Forever
It seems many buyers I work with at the time of writing the offer to purchase a house say, "Don't worry Jane, we are going to live in the house forever. We don't need to worry about..." When I meet with people to discuss remodeling they tell me the same thing. "We want to do it this way ... as we are going to live in this house forever."
Forever statistically in real estate means 7-12 years. That amount of time really goes quickly. Our lives change in the blink of an eye. Odds just are not there for people to live forever in their houses. The rate of divorce is 50% ,and that is a major reason people sell houses. The multiple birth rate is up and that means to couples they can be short on bedrooms before they know it. Corporate America is changing and our jobs change too. Many families have dual incomes, so the odds of relocating just increases.
Buy smart. Select location, location, location. Have the floor plan be a style that would meet the needs of many families. It might be fun and funky to you, but will other buyers see it that way? Buy always with resale in mind. That drives my buyers crazy as they are just moving in why should they worry about moving out? If you are going to put little money down and have the seller pay closing costs, then you best pay the mortgage down when you have extra cash on hand. Otherwise, it will take a long time to build up enough equity to cover selling costs at the time you move. Rule of thumb is that with 5% down and buying at the right price, you need to hold the property 5 years to cover the selling costs. Keep the house up to today's standards. Each year invest $3-5,000 in your property. That could be a new roof, replacing windows, finishing the basement, tuck pointing, rebuilding the chimney, adding a bath, remodeling the kitchen, and the list goes on. Select products that fit the price range and neighborhood of your house. When in doubt go higher rather than lower. Buyers do not like sellers that did things cost effectively. Think green and natural products. That trend is not going away. If you know you do not have the ability to make good selections consult a professional. They will be more than worth it at the time you go to sell. I offer no cost, no obligation consolations to help homeowners stay on track. Do the improvements for you now and not when you are rushing to put your house on the market.
Remember, forever is not really in the big picture.
Date: Monday, August, 25th 2008 @ 08:26:21 AM Views: 15
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