Dec 2020 Newsletter

"The ache for home lives in all of us, the safe place where we can go as we are and not be questioned.” (Maya Angelou). I wish you the Happiest of Holidays, wherever and however you celebrate this year. ~Gary

Wishing you all of the Hope, Wonder, and Joy that the Season can bring!

With prices at an all time high, it's common for home buyers to stretch their budget to reach higher mortgage payments. Unfortunately, a higher mortgage may not be the only increased cost, and buyers can find themselves spending more than they thought they'd need to.

Before leaping into a more expensive home, here's how to test drive future housing expenses...

Add up current expenses: Add your current full mortgage payment (piti + pmi) or rent, HOA fees, utilities, and routine maintenance (landscaping, snow removal, minor repairs, etc.).
Add the cost of the same items for your future property. You can use an online mortgage calculator like this one to help with estimates. You may need to research property tax and utility rates in your target location. For maintenance, it’s typical to spend .5% to 2% of the home's price annually, depending on condition, style, and price. Divide any annual costs by 12 months.
Subtract your Current from your Future expenses. These should be monthly costs.
Open a savings account and put the difference into savings each month, so you can't easily spend it. Do this for as many months as you can to get a true reading on how comfortable you are with the higher monthly costs.

Doing this experiment is also a great way to save more towards the down payment!

WELCOME NEW MEMBERS OF THE GLOBAL INVESTOR AGENT (GIA) TEAM

Congratulations to Ebony Rivers, Jonathan Salmond, Roger Nubel, Lisa Kilpatrick, and Ryan Joseph

Not a member yet? Get GIA Team details here
Or join our Facebook group: @REIAGroup

STAY INFORMED. GET ALL YOUR REAL ESTATE INVESTMENT NEWS AT https://www.mykcm.com/mmr/

REAL ESTATE & MONEY MATTERS

LAND INVESTORS - WHAT IN THE WORLD ARE THEY THINKING?

Raw land investing experts Adam Southey and Justin Sliva know exactly where new investors struggle. They’ve each had massive success in their own business, and today they’re on a mission to help others learn to harness the enormous potential offered by land investments. Have a listen!

➤ Listen to the Podcast Now

GAMING ZILLOW'S ZESTIMATE

Zillow’s Zestimate algorithms update three times a week, based on information from public and user-submitted data. According to Zillow, most Zestimates are "within 10% of the selling price of the home.” (Meaning your $500,000 home might have a Zestimate of $450,000 or $550,000.) But if details like the number of bedrooms or baths are inaccurate, the Zestimate will be off. Lately, there's been a trend for people to "game" their Zestimate by entering false data about their house to see if they can get the Zestimate to change. I guess it's something to do during COVID.

THE RISE OF DUAL-PRIMARY HOMES

You've heard of second homes, but have you heard of dual-primary homes? It's like having two primary homes instead of one primary and a secondary one. What's the difference? Nothing in terms of financing. One home will still be categorized as a primary residence. The difference is in how people perceive and use those two homes. Because of COVID, many of us are able to work from home. Some people, especially those who live in large cities, are choosing to buy another home in an alternative location and then move there for part of the year (rather than simply vacationing there).

JUST FOR FUN

THE (not so) HIDDEN TRUTH ABOUT REINDEER

According to mammologists, while both male and female reindeer grow antlers in the summer each year, male reindeer drop their antlers at the beginning of winter, usually late November to mid-December.

Female reindeer retain their antlers till after they give birth in the spring. Therefore, according to every historical rendition depicting Santa's reindeer, every one of them, from Rudolph to Blitzen, had to be female.

We should have known...only women would be able to make it all around the world in one night and not get lost. (From a woman's point of view, anyway!)

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