Saturday, October 31, 2015

1354 Shaw, Gladwin MI - Beautiful Home Across from Recreation Area

Cute home on a paved country road, on approximately 2.5 acres, surrounded by nice trees and across the street from the Gladwin Recreation Area. Walk across the street and enjoy beautiful walking and bike trails. This spacious contemporary style home features cathedral ceilings, stone fireplace, some hardwood floors and spacious rooms. It also comes with a 30x40 pole garage located towards the back of the property, a 12x16 storage shed and a play-scape for children to enjoy. All of this is located in an area of nice homes, just a few short minutes from Gladwin and a short drive from Pratt Lake and Wiggins Lake accesses. Must see!


Friday, October 30, 2015

2117 Heather Way, Gladwin MI - Sugar Springs Waterfront Home

Well Maintained Waterfront Home on Lake Lancer in Sugar Springs!
Very well maintained waterfront home on a quiet cove of Lake Lancer. Enjoy the view while watching ducks, herons, eagles and loons visit the area. Home has new carpet, neutral colors, large rooms, spacious kitchen and dining area, two sliding door walls and a large outdoor patio facing the lake. Enjoy affordable lake living in beautiful Sugar Springs. You'll also enjoy some of the nice amenities, such as an 18 hole championship golf course, pro-shop, indoor swimming pool, restaurant, camp ground, sledding hills and two all sports lakes.


Thursday, October 29, 2015

3847 N Hoover Avenue, Gladwin MI - Park-Like Setting on Cedar River

3.5+ Acres with the Cedar River. Gorgeous Park-Like Setting!
You will fall in love with this beautiful setting! This lovely chalet style home sits on 3.5+ acres overlooking the scenic Cedar River. Enjoy the park-like setting, nestled in the trees and rolling hills. Sit out on the open deck and watch birds and deer. This home features two fireplaces, a large living room and separate family room, large picture windows, full length open deck and several updates. The property also features a 54x24 pole barn garage with a finished, heated workshop. (((Includes a 1 Year Home Warranty)))


Wednesday, October 28, 2015

4535 Hamilton Way, Gladwin MI - Beautiful Home in Sugar Springs

Stunning Lake View Home in Sugar Springs, Across the Street from Lake Lancer.  Stunning lake view home on one of the highest topographical locations in Sugar Springs! This beautiful home is situated on a wide lot, across the street from Lake Lancer, with extensive custom landscaping, lots of easy to maintain gardens, filled with lovely perennials. There are 3 new decks made with quality Tamko decking, a gazebo & a concrete patio. This home also features hardwood floors, vaulted ceilings, , large bathrooms w/wide doors, spacious bedrooms, formal dining area and kitchen dining area and a natural fireplace that's already piped for gas log, if desired. Sit out on the deck and enjoy the view.

Tuesday, October 27, 2015

Real Cost of Housing

A variety of factors have led to a shortage of rental units, especially single family homes, and as a result, rents have been steadily increasing nationwide. In most markets, it is considerably less to own than to rent.House composite.png

In some cases, the total house payment is less than the rent for a similar size and condition home which supports a purchase. However, when you factor in some of the financial benefits like principal reduction, appreciation and tax savings, the difference becomes even more dramatic.

Let’s look at an example of a $250,000 home with 3.5% down payment and a 4.50% mortgage for 30 years. We’ll assume a 3% annual appreciation, 25% federal tax bracket, $1,200 annual maintenance and current rent of $2,100 a month.

The total house payment with property taxes, insurance and mortgage insurance premium would be $1,834 a month. Once the principal reduction, appreciation, tax savings and maintenance have been considered, the net cost of housing is about $673 a month. It costs a tenant over $1,400 more a month to rent than to own which would amount to $17,000 in the first year alone. That’s almost twice as much as the down payment to get into the home.


In this example, the down payment of $8,750 grows to almost $94,000 in seven years due to appreciation and amortization of the loan. Owning a home is one of the few investments available that allow these personal and financial benefits.

One of the obstacles in the past five to seven years has been a borrower’s inability to qualify for a mortgage but new programs and relaxed requirements have allowed more people to be eligible for mortgages. The important step is to talk to a trusted mortgage professional very early in the home search process. Your REALTOR® can make recommendations based on experience from actual closed transactions.

Use the Rent vs. Own calculator to see what the benefits might be in your price range.

Tuesday, October 20, 2015

6 Reasons for Rentals

Rental homes have several distinct advantages compared to alternative investments. These advantages coupled with the opportunity for a higher yield make it a clear choice for some investors.Income Property.png

  1. Most investments must be paid for in cash. Stocks can be purchased with 50% cash but if the value goes down, more cash has to be used to keep the margin at 50%. Rentals can readily be financed with only 20-25% down payment.
  2. Most loans made for business or investment purposes are at a floating interest rate compared to the prevalent fixed-rate mortgage on non-owner occupied real estate.
  3. Terms for investment loans if possible are generally six months to a year with a possible renewal but real estate commonly has long term loans up to 30 years.
  4. Real estate has a long-term history of appreciation.
  5. Real estate enjoys tax advantages like long-term capital gains treatment, cost recovery and tax deferred exchanges that are not available to many other types of investments.
  6. Single family homes and similar properties give the investor a reasonable amount of control to make improvements and manage the property which are limited to simply determining when to buy and sell for other investments.

The ins and outs of stocks, bonds, mutual funds, commodities and other investments are unfamiliar with most people. It is obviously possible for anyone to invest in them but the lack of knowledge about how they work could make it more difficult to have a successful outcome. On the other hand, homeowners can use their experiences to select, manage and sell with much more confidence using a single family home for rental purposes.

To find out more about investing in rental properties, contact your real estate professional.

Tuesday, October 13, 2015

Your Best Investment

According to a Federal Reserve report on Consumer Finances, homeowners' net worth is 36 times greater than that of renters. Building on that study, the National Association of REALTORS® believes that by the end of 2015, the factor will grow to 41 times greater.36x.png

There can be several factors that contribute to this disparity but an important one is the forced savings that is achieved due to an amortized mortgage. A portion of the payment goes to the reduction of the principal balance of the mortgage which increases equity in the home.

Appreciation is also a major contributor to homeowners’ equity. Homes, in most areas, have consistently increased in value over the long term and during the past four years have experienced solid growth. Many economists expect home prices to increase in the next five years.

Let’s look at a scenario where a qualified buyer considers three different options to see what their investment would be in five years: purchase a certificate of deposit, invest in the stock market or buy a home. The following assumptions are made: a $250,000 home with an $8,750 down payment with a 4.5% mortgage for 30 years and 3% annual appreciation; CD rate at 2% and a 5% return in the stock market.

The $8,750 would grow to $9,661 in the certificate of deposit, to $11,167 in the stock market and to $69,900 in equity with a home purchase. That is over a six times growth in the same period of time due to the amortization of the loan and the appreciation.

Check out Your Best Investment to compare possible differences in your price range.

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Tuesday, October 06, 2015

The Cost of Co-Signing

It seems fairly innocuous; a friend or family member wants you to co-sign on a loan because they don’t qualify. They assure that they’ll make the payments; they’re quite convincing and very appreciative. You don’t want to disappoint them and after all, it’s not like it’s going to cost you anything…is it?Caution CoSign.png

Think of it this way. They couldn’t get a loan unless you co-sign for them. If they don't make the payments, the lender is going to look to you to repay the loan plus late and collection fees. The lender may be able to sue you, file a lien on your home or garnish your wages.

And it’s not just money that you could be losing, it could be your credit too. Co-signing a loan is a contingent liability that could affect your debt-to-income ratio and your ability to borrow.

Co-signing is an obligation to repay the debt if the other signer is unable. You could be out the money and unable to recoup the loss because you don’t have control of the asset. The impact on your credit could take years to recover.

Before you obligate yourself, consider all of the ramifications involved in co-signing a loan for someone.