Lessons Learned by Paying for First Home

Recently, Realtor.com posted a great article about “5 Surprising Lessons I Learned About Paying for My First Home.” It’s been a bit since I purchased my first home but these thoughts/lessons still ring true.

Two that I found of particular value were:
1. Don’t be fooled by your pre-approval amount.
2. PMI is not the devil.

Both of those are so true. Hit the link to read the rest of this great article and when you’re ready to buy your first home, let me help!

Entry-Level Homeowners Are in the Driver’s Seat

Entry-Level Homeowners Are in the Driver’s Seat

Entry-Level Homeowners Are in the Driver’s Seat | MyKCM

One thing helping homeowners right now is price appreciation, especially in the entry-level market. In the latest Home Price Insights report, CoreLogic reveals how home prices increased by 4% year-over-year and projects prices will rise 5.2% by December 2020.

Why is this good news for the homeowners? 

When prices appreciate, homeowners gain equity. In addition, those planning to sell this year, especially in the entry-level market, can potentially earn a substantial profit.

Dr. Frank Nothaft, Chief Economist at CoreLogic, says:

“Moderately priced homes are in high demand and short supply, pushing up values…Homes that sold for 25% or more below the local median price experienced a 5.9% price gain in 2019, compared with a 3.7% gain for homes that sold for 25% or more above the median.”

As Dr. Nothaft indicates, the lack of inventory continues to drive home price growth. This means there’s a high demand for homes in this tier of the market, making it a great time to consider using your equity to move up to a bigger or more premium home.

When you upgrade your home, you may be able to find the amenities or features you’ve dreamed of – such as a yard to plant or garden in with your family this spring, or more outdoor space for entertaining this summer. Maybe it’s the master bath you’ve always hoped for, or a garage to finally park your car inside.

Whatever you choose, if you’re moving out of an entry-level house, you’re likely going to be in the driver’s seat as a seller.

Bottom Line

If you’d like to own a bigger home, let’s get together to discuss your situation. You may be surprised by the current value of your home and the equity you’ve gained. Want to see what your current home might be worth?

How are you using your tax refund this year?

How Your Tax Refund Can Move You Toward Homeownership in Tennessee This Year

How Your Tax Refund Can Move You Toward Homeownership This Year | MyKCM

If you’re looking to buy a home in 2020, have you thought about putting your tax refund toward a down payment? Homeownership may be one step closer than you think if you spend your dollars wisely this year.

Based on data released by the Internal Revenue Service (IRS), Americans can expect an estimated average refund of $2,962 when filing their taxes this year. Tennessee is only slightly below that number with an average of $2,878.

How Your Tax Refund Can Move You Toward Homeownership This Year | MyKCM

The map below shows the average tax refund Americans received last year by state:According to programs from the Federal Housing Authority, Freddie Mac, and Fannie Mae, many first-time buyers can purchase a home with as little as 3% down. Truth be told, a 20% down payment is not always required to buy a home, even though that’s a common misconception about homebuying. Veterans Affairs Loans allow many veterans to purchase a home with 0% down.

How can my tax refund help?

If you’re a first-time buyer, your tax refund may cover more of a down payment than you ever thought possible.

How Your Tax Refund Can Move You Toward Homeownership This Year | MyKCM

If you take into account the median home sale price by state, the map below shows the percentage of a 3% down payment that’s covered by the average tax refund:The darker the blue, the closer your tax refund gets you to homeownership in one of these programs. Maybe this is the year to plan ahead and put your tax refund toward a down payment on a home. In Tennessee, it is possible to have roughly 48% of your down payment via your tax refund!

Bottom Line

Saving for a down payment can seem like a daunting task, but the more you know about what’s required, the more prepared you’ll be to make the best decision for you and your family. This tax season, your refund could be your key to homeownership.

Contact me and I can help you start that search process.

Now that Fall is Here

Here in Middle Tennessee it is officially Fall – sort of… The temps have been hot even thought the calendar says it’s October. I don’t know about you, but I am ready for cooler temperatures.

As you think towards fall it is also a great time to think through what needs to be done to prepare and maintain your home. Here is a great article on 12 Tasks to Check Off Your Fall Home Checklist. A few of my favorites are:

  • Clean and seal your deck.
  • Winterize and seal your driveway.
  • Check your smoke detectors.

Hit the link above to get the full list and check them off your list!

Be sure to follow me on Facebook and Twitter

If Fall is the time of year for you to sell your home, I would love to speak with you!