Monday, December 30, 2019

Should I Buy or Continue to Rent?

If you are contemplating purchasing a home, there are a few things to consider. Can you afford to purchase? What are the advantages and disadvantages?

Can I Afford to Purchase a Home? The question of whether to buy or rent ultimately comes down to the position that you find yourself in financially. If you are currently renting a property and you are interested in possibly owning your own home, you should meet with a mortgage professional to see if it is viable option for you. Owning a home may be less expensive than you think especially with the low mortgage rates that are currently available. There may be options for a low to zero down payment as well and even rent-to-own options.

Advantages of Buying a Home

Affordable:  The monthly payment on a mortgage is often the same or less than renting even with the taxes and insurance rolled into the payment. The monthly payment will usually remain the same for the entire length of the mortgage as well except when real estate taxes and insurance changes take place whereas a rental amount may increase every year.

Build Equity:  As you pay down your mortgage, you will own more of your home. This is what is known as building equity in your home. Also, if property prices in your area increase, that builds equity as well. One day you can sell your home and realize the equity you have built in your home. There is no such equity built up when renting.

Personal Preferences:  You have more options to customize a home when you own it. If you would like to paint a wall, replace carpet or even perform a major renovation, you will not have to ask permission of the landlord or risk losing your security deposit.

Potential Income:  By owning a home, you have the option to rent out the home if you decide to move rather than selling it. There are several advantages to holding onto a property such as creating monthly income, building additional equity into the property, having security for the future, etc.

Disadvantages of Renting 

Lack of Privacy:  Often with renting, there are shared spacing with neighboring tenants. If you are fortunate enough to have no adjoining walls with neighbors, your own separate laundry and a separate driveway, then dealing with the landlord each month for payment and every time there is an issue can seem like a lack of privacy as well.

Lose Money:  Each month it is like throwing money away since you are not building up anything and saving for your future. Each year the rent will increase as well and at the end of 30 years, you will have nothing to show for it.

Buying a Home is a Good Investment. There are really no advantages to renting and no disadvantages to purchasing when you are talking long term. Yes a short term rental especially when moving to a new area may make sense but when considering a long term option, buying a home is a good investment!

 

Today's New Listings!

29050 Homewood Dr, Wickliffe

8923 Jackson St, Mentor

393 Lucille Ave, Painesville

20B Pine Spring Dr, Painesville Township

20C Pine Spring Dr, Painesville Township

Monday, December 23, 2019

Why Homeowners Should Work With a Realtor

Some homeowners feel they can sell their home on their own since they know their home better than anyone else. Others feel they are contract savvy so they can handle the purchase agreement and disclosures required to complete a sale. Still others feel they cannot afford the real estate commission so they have no choice. Whatever the reason, Realtors have a vast amount of knowledge and experience with the real estate market and different types of transactions that it is in the homeowner’s best interest to use a Realtor to facilitate the sale of their home.

Time is Money
Doing your own research is a tiresome and tedious process that involves going through vast amounts of information. There are hundreds of real estate sites full of information that vary and selecting the correct data may be tricky. Realtors work in the market every day and are already familiar with the sales as well as the differentials that can change or create a comparable sale. Realtors know what your home is worth in today’s market and what to price your home at so that it will sell in a timely manner.

Pricing Your Home Correctly
The real estate market is a fast-passed sector that constantly changes and evolves. Whether you are looking to sell your property or buy a new home, keeping up with all the changes is impossible unless you are a professional who has dedicated his time to the market. Failing to analyze the data may lead to poor and uninformed decisions that will lead many homeowners to price their homes incorrectly. Some are way overpriced causing their property to sit on the market and waste valuable time. Others are under-priced and using a real estate professional actually would pay for itself!

Marketing Your Home
Real estate professionals advertise their properties on hundreds of sites since most buyers start their real estate search online. Marketing a property is key to getting the most visibility and exposure which will give it the best chance to get sold in a timely manner. Homeowners will not have this kind of accessibility.

A Realtor can help a homeowner save time and money when selling their home. According to the National Association of Realtors, in 2013, the typical FSBO sales price was $40,100 lower than a home being represented by a qualified real estate agent. A homeowner cannot afford not to work with a real estate professional!

Today's New Listings!

SL 6 Highland Way, Mentor

5309 Highland Way, Lakeline

613 Reginia Dr, Painesville Township

11660 Jamie Dr, Concord

Monday, December 16, 2019

Advantages of Buying with a Lease Purchase Option

Buyers who are not able to get traditional financing having another option. A lease purchase option is a type of temporary owner financing in which the owner rents the property to the buyer for a period of time until the buyer can get financing from a bank. Often this time period is for one year or less but sometimes a seller will accept a lease purchase for two years or more depending upon other favorable factors such as a larger down payment, a larger monthly payment or a larger purchase price. It often depends how the financing is structured that will determine the length of time a seller will be willing to offer temporary financing. What are the advantages though to the buyer?

Little to No Money Down
A buyer may be able to structure a lease purchase option with little to no down payment. Of course the normal security deposit and first month’s rent would be required but otherwise the monthly payment could be increased above the going rental rate and this increase can be applied towards the buyer’s down payment at the end of the rental period. It is usually a good idea to make sure the buyer has at least a 3.50% - 5% down payment either upfront or by the end of the rental term since the buyer needs this amount to put down with traditional financing.

Flexible Financing Terms
Just as the down payment is flexible so can the rest of the terms since the negotiating is between the seller and buyer. So if a buyer has a good sized down payment but only wants to pay the going rental rate and wants to negotiate a lower sales price at the end, it is possible. In addition, a lease purchase option is in fact an option to the buyer. If the buyer chooses not to purchase the property at the end of the lease, they have that right. They often will lose their down payment that they applied upfront or accumulated with their monthly payments as a recourse to the sellers for not completing the purchase.

Raise Credit or Down Payment
A lease purchase option gives a buyer time to correct their credit or raise the funds for a down payment. Sometimes a buyer cannot purchase because they are waiting for a specific time to pass such as with a bankruptcy or for a certain action to happen such as a divorce decree to be filed. A lease purchase option provides a buyer with this needed time while living in the home.

Investor Leverage
Investors can use this type of financing as well. It provides an investor the advantage to use leverage by having control of a property and making a profit from it before they even own the property. It also limits their personal responsibility and liability because the property is not totally theirs yet.

As you can see, there are several advantages for a buyer to use a lease purchase option. A seller will often consider this type of financing if a property has been on the market for a long period of time. It is wise to consult a Realtor to make sure you address all of the key terms and follow the lending guidelines that will eventually come into play. It is also recommended that you have an attorney draw up your lease purchase option so that the language protects you!

Today's New Listings!

8960 Riverwood Way, Kirtland

8356 Dartmoor Rd, Mentor

613 E Main St, Painesville

516 Prestwick Path, Painesville Township

10124 Candlestick Ln, Concord

Thursday, December 12, 2019

Open Houses!

December 15, 2019 

8375 Deacon Ave NW, North Canton  
Open 1-3pm
$375,000 
2bd 2ba
Call 330-232-2689

28767 Eddy Rd, Willoughby Hills 
Open 1-3pm
$350,000
3bd 2ba
Call 440-221-0075

305 E 293rd St, Willowick
Open 1-3pm
$250,000 NEW PRICE!
4bd 3ba
Call 440-289-8213

32324 Glen Arden Dr, Willowick
Open 11am-12:30pm
$139,900 
3bd 2ba
Call 440-289-8213

10806 Ellison Creek Dr, Concord 
BY APPT
$415,000 
4bd 5ba
Call 440-296-5006

6517 Fay Rd, Concord 
BY APPT
$540,000 
4bd 4ba
Call 440-296-5006

7550 Sarah Lee Dr, Concord 
BY APPT
$499,900 
3bd 4ba
Call 440-296-5006

6533 Bayside Dr, Madison 
BY APPT
$159,900 
3bd 3ba
Call 440-296-5006

6085 Meadow Wood Dr, Madison 
BY APPT
$184,000 
4bd 3ba
Call 440-296-5006

7969 Oakridge Dr, Mentor
BY APPT
$239,990 
4bd 3ba
Call 440-296-5006

7934 Sharon Dr, Mentor-on-the-Lake   
BY APPT
$222,000 
4bd 3ba
Call 440-296-5006

914 Lloyd Rd, Wickliffe 
BY APPT
$289,900 
3bd 2ba
Call 440-296-5006

Today's New Listings!

7331 Raccoon Hill Dr, Kirtland

8707 Blue Heron Way, Mentor

73 Grand Harbor Dr, Grand River

149 Southbridge Ln, Painesville

3901 Red Creek Ct, Perry

Monday, December 9, 2019

Home Improvement Projects that can Hurt Your Home

Homeowners often renovate their homes to create enjoyment today with hopes of adding value that they can realize in the future. Not every home improvement project will increase the value or sale-ability of a home though. Some projects may even hurt a property's chance of selling. Here are a few home improvement projects to avoid:

Garage Conversion - Do not convert a garage into living space unless you add another garage to the property. You will exclude many home buyers who want a garage.

Combine Bedrooms - Do not combine two bedrooms to create a larger bedroom. This will exclude home buyers who are looking for a certain number of bedrooms.

Wallpaper - Do not wallpaper your home. This is more of a permanent treatment and is difficult to remove. Paint and pictures look just as nice and are easier to change.

Closet Removal - Do not remove a closet to create more space in a bedroom. This will make it more difficult to sell the home and may cause an appraisal issue as well.

Usually home improvement projects will increase the value of a property and help it sell quicker. Sometimes though, it will have the opposite effect. Keep these things in mind when deciding on your next home improvement project!

Today's New Listings!

102 Canterbury Drive, Willoughby

8590 Baker Ave, Mentor

516 Prestwick Path, Painesville Township

486 Prestwick Path, Painesville Township

507 Prestwick Path, Painesville Township

10276 Chipmunk Ridge Dr, Concord

Thursday, December 5, 2019

Open Houses and Price Reduction!

Open Houses for December 8, 2019 

6517 Fay Rd, Concord 
Open 11am-2pm
$540,000 
4bd 4ba
Call 440-525-3331

7934 Sharon Dr, Mentor-on-the-Lake   
Open 11am-1pm
$222,000 
4bd 3ba
Call 440-413-0588

914 Lloyd Rd, Wickliffe 
Open 12-4pm
$289,900
3bd 2ba
Call 440-283-7557

28767 Eddy Rd, Willoughby Hills 
Open 11am-1pm
$350,000
3bd 2ba
Call 440-537-6671

305 E 293rd St, Willowick
Open 11am-1pm
$259,900
4bd 3ba
Call 440-289-8213

11130 River Rd, Chardon
BY APPT
$829,900 
Call 440-296-5006

10894 Thwing Rd, Chardon 
BY APPT
$245,000 
4bd 2ba
Call 440-296-5006

10806 Ellison Creek Dr, Concord 
BY APPT
$415,000 
4bd 5ba
Call 440-296-5006

7550 Sarah Lee Dr, Concord 
BY APPT
$499,900 
3bd 4ba
Call 440-296-5006

4988 South Sedgewick Rd, Lyndhurst   
BY APPT
$145,000 
3bd 2ba
Call 440-296-5006

6533 Bayside Dr, Madison 
BY APPT
$159,900 
3bd 3ba
Call 440-296-5006

7969 Oakridge Dr, Mentor
BY APPT
$239,990 
4bd 3ba
Call 440-296-5006

Price Reduction

29150 Forestgrove Rd, Willowick 
$50,000 NEW PRICE!

Today's New Listings!

5377 Strawberry Ln, Willoughby

36620 Ridge Rd, Willoughby

7670 Weber Dr, Mentor-on-the-Lake

Monday, December 2, 2019

Location, Location, Location - Things to Consider When Deciding Where to Live

Deciding where to live should be a home buyer’s first task. Many buyers though describe the type of home they want to live in and are open to many areas. This usually results in another move within a few years because the homeowner realizes they should have considered their lifestyle and the things they like to do and made choosing a location the priority.

Commuting Nightmares
If your new home is quite a distance from work, family or hobbies you like to do, then you could spend a good amount of time in the car. This is time that could be spent enjoying your home and spending time with family and friends. Even though a buyer may not mind driving, when it adds up to several hours each week, it will begin to mentally and physically weigh on a person and cause unnecessary stress.

Healthy Lifestyle
Many buyers today are looking for communities that are easy accessible with walking/biking paths. Real estate companies have recognized this and offer Walkability ratings on their websites. Sitting for long periods of time indoors is not healthy. It is ideal to choose a community where you can get out and roam to the neighborhood coffee shop, the gym or a nearby park.

Future Appreciation
If there truly is more than one location that will offer you everything you need, then choose the location that has the best chance of increasing in value. Appreciation is a great determining factor when choosing where to live since it takes your future earnings into consideration. A real estate professional can help you determine areas that are expected to increase in value over the next several years.

At the end of the day, location should be the first consideration when deciding where to live since the home itself should not be the only deciding factor. The surrounding area plays a big part in a homeowner’s happiness and therefore should be given the attention it deserves. A buyer will be happier in the long run!

Today's New Listings!

30140 Barjode Road, Willowick

1253 Watermark Lane, Fairport Harbor

804 Redbud Court, Painesville Township

1704 Muirfield Lane, Painesville Township

Today's New Listings!

34645 Willow Creek Pl, Willoughby  - $399,000 1331 Bennett Rd, Madison - $329,900 7165 Hawthorne Dr, Mentor - $274,900 4423 Ashwood Ave...