Paying Off Your Mortgage

Posted on February 20, 2018 by blogeditor

Paying off your mortgage? Who doesn’t want to get rid of their debt? No long owing money on your home and paying off your mortgage so that you own your home is a huge part of the American Dream. But don’t write that check just yet—there may be conflicting circumstances that will change your mind. Paying off your mortgage early will no doubt leave you with more cash every month, less interest paid, and a great credit score, but there are also negative consequences as well. At Colorado Horse Property we know that everyone’s financial situations are different, so make sure you know the facts before making any decisions.

Paying Off Your Mortgage Pros

Paying off your mortgage will leave you with peace of mind knowing that you don’t have a mortgage to worry about.
You will save on interest, regardless of your current mortgage rate.
You can lower your housing costs, allowing you to save for more important things like retirement.

The Cons

You could use the money that you have to pay off your mortgage to pay off other debts that have higher interest rates.
Your employer might have a matching retirement plan that would benefit you a lot more.
You have more urgent financial needs like emergency fund, life, health and disability insurance. Don’t pay off your mortgage when the money is better used somewhere else.
If you believe that high inflation will affect the value of your mortgage then paying off your mortgage could become too expensive. Contact your property adviser for more information on inflation before making a decision.
You can invest at a higher rate than your mortgage.
You might not qualify for a mortgage currently.

Mortgage Rates Through The Ages

Posted on February 20, 2018 by blogeditor

Rates Through The Ages From 1968 to 1980

In 1968, the mortgage rates were 8.5% but they went down to 7% the following year. Homeowners could buy a home that was 15% to 20% larger home with the same mortgage if they could find someone to assume the payments. Federal Housing Administration and Veteran Affairs mortgages were very popular in certain price ranges and they allowed buyers to assume the mortgage regardless of the credit. Therefore, if you could get someone to take over your payments, you were free to qualify for another mortgage.

Rates From 1981 to 1999
In 1981, mortgage rates reached a whopping 18.63%. A quarter of a million dollars of mortgage had a monthly principal and interest payment of nearly four thousand dollars. As crazy as that rate sounds, people were still buying homes; they were good investments. Four years later, the rates were going down but they were still over 12%.

The monthly payment from our previous example would now be twenty-five hundred. Home owners happy to be paying only two thirds what they had to pay a few years earlier and that was a good thing. Fast forward to late 1991 when the rates went below 9%—that same payment was down to two thousand dollars a month.

Mortgage Rates in the 21st Century
Rates during this time were 8.15% and that made the payment of a quarter of a million dollars of mortgage less than two thousand dollars a month. Rates were even lower in 2008 at 6.04%. By 2009, mortgage rates had fallen below 5%. The lowest mortgage rate was 3.31% on November 2012 with a payment one thousand dollars via our previous example.

As you can see, rates fluctuate and most of the experts are expecting rates to be above 5% by the end of this year. Rates have been historically low for a long period but will probably continue to go up. Based on history, even 8% would be an excellent rate for home owners. Until it reaches that point again, everything lower is a bargain.

Negotiating and Home Buying

Posted on February 16, 2018 by blogeditor

Negotiating and home buying go hand in hand. Going into a transaction for buying a home can put the buyer under a lot of stress. Especially when it comes to getting what they want. If you are planning on buying a house and you are intimidated by the entire process, don’t fret. There are periods during the buying process in which you can list your demands. Also, if you are looking for a horse property for sale in Colorado, contact Colorado Horse Property today and speak with one of our horse-person realtors.

Negotiating and Home Buying

The negotiation takes place when the contract terms are agreed upon, which include the price, closing, and possession. You could be done there, but if you have anything else to bring to the table—problems with financing, inspections or other things—then you will get another chance to bring them up. When you are in the transaction of getting a home, you will be expected to get the home inspected. This is for you to receive an objective evaluation of the property and its components to identify existing defects and potential problems. Inspections are not cheap.

The expense for inspections can be several hundred dollars and it’s reasonable for buyers to not want to spend the money before they find out if they can come to terms with the seller. There for it is reasonable for you to negotiate for the seller to pay for these inspections themselves. But be aware that the seller may have a different perspective; sellers want to know quickly if the buyer is going to reject the home due to the inspections. If the inspection comes back with problems that must be fixed, then you can also negotiate on the costs of repairing these issues.

Why Wait to Buy?

Posted on February 15, 2018 by blogeditor

Why Wait to Buy? Do you want to buy a new home? Don’t have enough money to put twenty percent down? Don’t give up just yet. Having the twenty percent is good because so you can avoid paying mortgage insurance. Continue reading for more information on this topic. Also, if you are looking for a horse property for sale in Colorado, contact Colorado Horse Property today and speak with one of our horse-person realtors.

Why Wait to Buy Your First Home?

Except for VA loans, lenders require mortgage insurance when the loan-to-value ratio is greater than eighty percent. This is the ratio to how much the lender is giving you and how much the home is worth. The twenty percent down balances everything out. Therefore, if you are able to provide it then you will not be required to pay mortgage insurance. However, if you fear the costs of mortgage insurance, don’t give you just yet. Odds are you can still get the home of your dreams by finding the right balance between loan and mortgage insurance. Here’s how.

Imagine that you are purchasing your new home with a nine-five percent loan at the current low interest rates plus approximately eight-five dollars a month for mortgage insurance—this will greatly depend on your individual credit score. At the end of three years, the unpaid balance would be of a two hundred thousand dollar home would be about one hundred and seventy-nine thousand. Assuming the home will be worth the same two hundred thousand, the buyer’s equity would be almost forty thousand dollars. You might find that having a little bit of mortgage insurance to pay for is worth it in the long run to get the house you want now.

Homeowner Documents to Get Now

Posted on February 14, 2018 by blogeditor

Homeowner documents, like a living will, are important. If you have invested in property it is important to prepare for the future. What if something were to happen to you? What would happen to your investment? Are you married? Do you have children? Who will get the house when you pass away?

Homeowner Documents to Get Now

An estate plan is a collection of documents. Also, your lawyer carries out your wishes according to these homeowner documents when you die. They also help if you are no longer capable to make your own decisions. Every state is different and document requirements can vary. Therefore you should always get legal advice before filing any documents. If you need a current estimate of value of your home, then you can just get help from a licensed professional. For more advice, contact Colorado Horse Property.

Will & Living Will
A will specifies the way a person wants to manage and distribute his/her assets.
Durable Power of Attorney
This document is very important. It grants whomever you choose the authority to act on your behalf in legal affairs. Also, this would allow the attorney-in-fact to buy and sell property on your behalf.
Healthcare Proxy
If you are incapacitated a healthcare proxy is used. It determines who can legally make healthcare decisions on your behalf. This document should outline specific decision you want made when in specific situations.
Hippa Release
The law requires healthcare professionals to protect the privacy of your health information. Include the people you want the information shared with. The healthcare professionals can legally inform them.
Letter of Instruction
This document contains information about a person’s wishes upon death. It is intended to offer details on whom to contact. It says where to find important documents about financial matters.

Photographing Property

Posted on February 13, 2018 by blogeditor

Photographing property is important. When individuals are looking for a home to buy or rental to purchase for an investment, what is the first thing they do? Search the web of course! In this technological age that we are living in, it is very easy to look for potential homes to buy that are already on the market.

Photographing Property

Pictures of the property are important when it comes to online searching because it gives the buyer a since of what the property looks like and room for their imagination to show them the way it could look if they got their hands on it. If you are selling your property, you should definitely put the listing online with a lot of pictures.

Buyers typically start looking at homes on the internet before they even think about contacting an agent. For one thing, it is way easier to screen properties by looking at the pictures that have been posted than to make appointments with a homeowner, drive to the property, and waste a lot of time looking at it. Most of the time the properties shown to you by an agent will not meet your criteria.

Yes, everyone loved the pictures you took of your cousin at his twenty-first birthday party, but not everyone is a photographer so you should consider getting your photos taken by a professional. Photographing property isn’t easy. If you need help finding a property photographer, contact Colorado Horse Property for help. Here are a few things you should keep in mind when getting your photos.

Horse Property Photos

Quantity—Don’t forget that you will need enough pictures of your property to adequately represent it. The majority of websites allow for at least two dozen images and more may be needed if your property is large. Also, try arranging the images on the website in a way that will help buyers visualize the floor plan as if they were walking through it in real life.
Quality—You may have the nicest home on the block, but no one will want to purchase it if the images they see online are of bad quality. Horizontal images fit best with most listing websites. Ensure that you or the photographer has proper lighting in the property so that pictures come out crisp and detail all of the room.
The Lens—Make sure that you or your photographer has a wide-angle lens. Images taken with this type of lens will show the majority of the room in one picture.
Perspective—When taking shots of the rooms in your property, remember to take some from a few different angles to give the buyers a different perspective. You can stage a room before taking the pictures; the buyer will have a better idea of what the room might look like with their own things in it.
Equipment—No one wants to see a blurry image. Think about using a tripod; professionals do to absolutely hold the camera still.

Home Cleaning Tips

Posted on February 13, 2018 by blogeditor

Home cleaning tips can help you when life gets away from you sometimes. Routines can be tight, especially if you have a large family to take care of. However, sometimes cleaning doesn’t get enough time in the schedule that it needs. Actually, if you manage your time efficiently, you can take care of your family and your home with less time cleaning up. Also, if you are looking for a horse property for sale in Colorado, contact Colorado Horse Property today and speak with one of our horse-person realtors.

I’m not talking about throwing the clothes in the washing machine or the dishes in the dishwasher. I’m talking about dusting, which depending on how large your home is can be a difficult thing to do. You have to be committed to your housekeeping strategy and not only cleans away the dust built up in the nooks and crannies of your home but also what causes the dust buildup in the first place. Remember, dust can cause allergies and asthma symptoms so riding it from your home will make everyone happy. Here are a few tips on how to do that. Get help with spots and stains here at Colorado Horse Property.

Home Cleaning Tips

Purifiers/Humidifiers—Humidifiers are known to eliminate static electricity which can hold onto dust and air purifiers circulate the air in your home, capturing dust and other pollutants as it does so.
Vacuuming—If you have carpeting in your home that must be vacuumed, don’t forget to change the bag or emptying the container in your vacuum. Consider vacuuming your floors once a week so that the dust don’t have time to build up. Remember to vacuum under furniture and periodically move appliances to clean behind and underneath. It might seem like a hassle, but by using the proper attachments to your vacuum on upholstered furniture and under cushions can really make a difference.
Planning—Plan on dusting your home at least twice a week. That might sound like a lot, but the more you do it the less there will be to dust every time. Try starting with the tallest items and work your way down. Don’t forget about the small things like picture frames, blinds, baseboards and anything that stands out from the wall. Mopping with a damp mop and dusting with plain water helps hold the dust and is environmentally friendly.
Microfiber—Microfiber cloths have an electrostatic charge and can attract dust more efficiently than using a regular feather duster. Actually, feather dusters can spread more dust than they collect.
Home Air Filters—Filters on heating and air-conditioning systems hold a lot of dust and should be changed often. This will also increase the efficiency of the units themselves. HEPA filters can improve the overall indoor air quality.

Perfect Homes

Posted on February 12, 2018 by blogeditor

Perfect homes comes after finding the right agent. Colorado Horse Property has previously laid out a guideline of questions to ask your agent to make sure they are right for you. Expanding on that, a broad skill set is required to select the perfect real estate agent for you. Also, if you are looking for a horse property for sale in Colorado, contact Colorado Horse Property today and speak with one of our horse-person realtors.

The way the market used to work, many buyers did not have access to every home that was for sell. Nowadays with the advent of the internet and the sharing of information that has changed. The National Association of REALTORS® is America’s largest trade association. It represents 1.2 million members, including NAR’s institutes, societies, and councils. Also, these members are involved in all aspects of the residential and commercial real estate industries.

Perfect Homes

Right out of the National Association of Realtors (or the NAR) came a study called the Profile of Home Buyers and Sellers. Indicated in that study was that least fifty-two percent of home buyers wanted help in finding the right home to buy. Nearly a quarter of buyers wanted help negotiating prices. As important as prices, negotiating the terms of sale is paramount. The negotiation takes place when the contract terms are agreed upon. These include the price, closing, and possession.

You could be done there. However, if you have anything else to bring to the table then you will get another chance to bring them up. This is because buyers do not want to pay more than what is absolutely necessary. This is completely understandable in today’s economic climate. Ask the agent representing you to specifically list the tools and talent they have available to address these areas. Ask about their financing and paperwork skills. You may have been through the process before, but if it was been several years then things have probably changed. Talk to you agent. A good agent knows how to deal with them.

Rental Investments

Posted on February 12, 2018 by blogeditor

Rental Investments: It is no secret that owning a rental property is a great investment. For one thing, they can offer a higher rate of return than other investments. This can be achieved without having to worry about the stock market. Colorado Horse Property has already compared rentals and mutual funds.

Some people’s main source of income comes from other forms of investment. Investments like certificates of deposit and from bonds at less than two percent. If you are one of them then you will probably be looking for an alternative. The answer is investing in rentals. Find out more about how rentals might complement your current investment plans. You cab contact your real estate professionals at Colorado Horse Property for help. Here are a few more reasons to invest in rentals.

Rental Investments: Reasons to Invest

Expenses
When managing a rental you will come across extra expenses. Your tenant may ring you up and inform you that a bulb has blown. Fixing these issues can cost you some time but not money. Income from the monthly rent contributes to paying these expenses. So, you don’t have to come up with any extra money. Rentals pay for themselves.
Economy
Today’s economy is in the perfect condition to benefit rental owners. Increased rents, and low, non-owner occupied mortgage rates amounts to more money in your pocket and very favorable rates of return.
Depreciation/Appreciation
We all know that values can go up and down and that goes for rental properties. If you stay on top of the expenses that your rentals accrue, appreciation will be achieved as the value of the property goes up.
Control
Rental owners have more control on their invest because of leverage. Leverage can increase the return on investment. They do this by using borrowed funds to control a larger asset.

CLUE Reports

Posted on February 10, 2018 by blogeditor

CLUE Reports: CLUE is a popular acronym in the industry that stands for Comprehensive Loss Underwriting Exchange. It is a report showing the insurance claims for the past five to seven years on your car and home. The report is created from a database. This is used by insurance companies to evaluate risks. Then they come up with rates. If you are looking for horse Property in Colorado, contact Colorado Horse Property to find an agent that is perfect for you.

CLUE Reports

Since it comes from a human-developed database, rates can be falsely increased by data entry error as well as legitimate claims. Keep a close check on it to ensure that errors have not occurred for your car or home. Fortunately the reports are free and there is even a process that will allow to fix any mistakes you find. You probably don’t want any surprises during the home buying process. If you’re trying to sell your home, why not request the personal property report on your residence? That way they know there’s no hidden damage that you made an insurance claim about but didn’t otherwise disclose.

The claim of the previous seller could impact the price of the premium of a new buyer. Therefore, you can ask for a copy of the comprehensive loss underwriting exchange report on the home you’re interested in buying before writing a contract. The buyer will get the property inspected as a condition of purchase. And yet having the C.L.U.E. report handy is just another way to ensure the buyers. They want to know that they are not buying a property loaded with hidden problems that got passed on to the insurer. For more information on what to look out for when buying a home, check out this home buyers checklist.