FREE First-Time Home Buyer Seminar

If you’re considering buying a home, this informative Home Buyer Seminar will answer your questions about down payment options, pre-qualification and the overall mortgage process. In addition, you will come away with knowledge about the home buying process and importance of working with a buyer’s real estate agent. There will also be a Q&A time for you to discuss anything you would like about the mortgage and home buying process

Seminar Details

May 22, 2012

6:30pm – 8:00pm

at

TD Bank
280 Montvale Avenue
Woburn MA, 01801

Refreshments to be served!

 To register or for more information,
please call Anthony Giglio at 781-789-3940
or email anthonygiglio@yahoo.com

Hosted by:

Whether moving across the street or across the country, when there is a change in the size of a living space, there is a lot to think about with many pro’s and con’s to consider. Finding the right sized space is easier if you consider your lifestyle now and how it might change in this new space. Understanding your reasons, hopes and goals in transitioning to the new sized home is the biggest key to your success. The clearer and better prepared you are to transition to the new sized home, the bigger benefits you will receive in the short term. You can fix your errors over time, but often there are costs associated with that, so getting things “right” in the beginning is worth your time and effort.

Money – value or savings, often top the list for a size change. Often, people downsize thinking that they will save money; some people take equity from their larger home and use that money for other ventures. Upsizing during a buyer’s market can get you a good deal on a larger home. Either way, if money is the focus, remember that as you look at the home. Sometimes the savings is not as big as you think, or you can quickly get in over your head. A smaller home in a more desirable location might cost you more than your large home in a less sought-after area.

Lifestyle – changes in family size, job status, retirement or health top the list for lifestyle changes that prompt size changes. While money may still play a role, if your reasons for changing the size of your home are “lifestyle related” then you will want to keep this focus.

Upsizing

Many housing markets are providing buyers with opportunities to “upsize” – getting more house for the money and great values for the housing dollar. Going up in size when you have been living in a small space can be quite appealing, though surprisingly there are some challenges, too.

Pros

• Finally – you have more storage and space to move!
• Additional bathrooms allow more privacy and easier morning routines
• Additional bedrooms ease strain on family members and encourage guests
• Larger kitchens enable cooks to do their job with ease
• Added space can accommodate a home business or hobbies
• Larger homes also often have added amenities like larger lot size, lawns and landscaping in addition to more space inside the home

Cons

• In a larger home there may be more walking, more stairs, and facilities may or may not be as convenient
• Costs of heating and cooling will be higher
• Maintenance costs are often higher
• Property taxes may be higher
• More and possibly larger rooms may require more furniture or the scale of the furniture that you do have is off – so additional decorating expenses will be incurred
• Attics, basements, garages, sheds and storage areas need to be organized, and sometimes heated, cooled, or dehumidified to prevent items stored there from becoming ruined
• Lawns, landscaping and larger lots require care and maintenance which can be costly and a lot of work

Suggestions:

If you are upsizing at the same time that a family or friend is downsizing, you might walk into a great deal on furniture, tools, lawn-mowers or other must-haves for your new home. Check out Craigslist and local garage sales to score great finds and help you to get to know the new neighborhood. Weigh the cost and benefits of moving furniture long distances. Treasured family heirlooms will likely remain on the moving list while less favored items may not be worthy of moving. And, don’t forget rentals – there are actually places that can rent furniture while you make up your mind about what you want or can afford.

Do some planning for your new space. Magazines and the internet are filled with ideas that may provide inspiration for you, or consider working with an interior designer. Take photos of the new space and measurements of the rooms so you can better understand the opportunities and constraints of your new home. Consider the condition of the walls and floors, windows and lighting as you go. Painting and work on the floors is much easier to achieve if the room is already empty. For improvements, if you can make decisions on color and materials, and schedule workers, completing improvements prior to moving in can save a lot of time and effort.

If you have never owned a home before, it can be a big task to take on a large space. Often your realtor will know of reliable professionals to help accomplish home improvements. Your excitement and enthusiasm will take you far, and remember: you don’t have to do it all at once. Create a prioritized list for the new space, knowing you still have your day-to-day life to live while getting settled in your new home.

Downsizing

Sometimes a desirable location translates to a smaller home, or perhaps you are consciously choosing to reduce your space. Whatever the case, if you are moving from a larger home to a smaller one, chances are “stuff issues” will top your list. Knowing this when you are looking may be useful for you to see how much you can fit into the new space and what you need to part with. For some people, this is an emotional time. Falling in love with the new space can be a key to success. Your realtor can help you to find the right small space for you, only you can find the right space for your stuff.

Pros

• Finally – you are not paying to heat and/or cool rooms that you rarely use!
• It is convenient to have rooms closer together – often there is less walking
• There is less to clean and to organize
• Maintenance chores are often less, with smaller rooms, fewer windows, floors, less roof, etc.
• Perhaps you are seeing a reduction in property tax or mortgage
• Often you have less to take care of in the way of property and landscaping

Cons

• Often you have to make some tough decisions regarding “stuff”
• Your furniture might be “off” in scale, better suited to a larger home
• Fewer bedrooms and/or bathrooms sometimes require planning for family and guests
• Cooking in a smaller kitchen is different, and storage for kitchen tools and food might require thought

Suggestions:

Enlist the help of a professional. Recent trends in lifestyle management have spawned personal and professional coaches, as well as professionals who help with organization and clutter management. These professional organizers make it their business to know the best way to clear your closets, storage areas and generally handle and manage your stuff.

If you feel overwhelmed and can afford their help, they might even save you money in the end by reducing the need to rent storage, saving you from moving unneeded items, and helping you sell some of the more valuable things. And, while they are not interior designers, professional organizers have seen a lot of homes and know the most attractive ideas for using your space. If you are trying to sell a larger home while planning for the move to your smaller space, professional organizers can also aid you and your realtor in staging the home you are selling, gaining you twice the return on their services!

When downsizing, consider the features of the home that you use the most. Will you be doing the same things in the new home, or is there going to be a lifestyle change, too? Ensure that you compare what you are currently doing in each of these areas, and how that will have to change in the new space.

In the kitchen: If you are currently using many different kitchen tools, but moving into a home with a smaller kitchen – will you need to get rid of tools? Or will you find or create storage space in the new kitchen? Perhaps you are moving to a place with great restaurants – but can you afford to eat out a lot? Often you will need to plan for less pantry space, too.

In bathrooms: You will often be faced with towel and linen storage designed for a smaller dwelling, and vanities that are in keeping with smaller spaces. This can translate into crowded medicine cabinets and stuffed drawers, so even everyday things like personal care products become “stuff issues.” Consider buying smaller containers and filling them from larger bottles – your small space doesn’t have to be crowded if you can plan and get creative. Keep only the best of your towels and linens, and that which you really need.

Changing the size of your space may or may not benefit you financially, but the change in lifestyle will not be missed. It is an opportunity to re-evaluate your belongings and your relationship with the space you have and use. Sometimes, it even means looking at the way you do things, and why. Changing the size of your space is essentially an opportunity to get to know yourself all over again, in a very conscious way. Tackling these challenges and viewing them as opportunities will result in a new home that is suited to you and your needs. Bigger or smaller, be sure you make it just like you want it.

• Back To Top

You have been looking and hunting for that “deal” in this buyer’s market — and you think you’ve found it — but have you? Understanding what constitutes a Good Deal may be more personal than you think. The thrill of the search and looking at real estate can put your head in a spin and your heart may become attached to a certain home. However, when you get to the point of putting in an offer, step back and make sure you have a clear mind about the property — not just the price.

Price Is Not Everything

While the price of the home may be attractive, it isn’t cheating to ask why it is so low. Is the home in need of repair? Are there permits required to make those repairs? How extensive are they? Can you live in the dwelling while those repairs happen? Are you capable of doing the repairs yourself, or will you hire someone to accomplish the tasks? Do you have the constitution to deal with the repairs — are you able to make decisions, do the research, hire the right people, and have the tools/time you need?

While price may be a driving factor, in real estate it is often location. Did you find a good price but in a location that you are compromising? If so, this is one factor you cannot change. Think hard if you are compromising on this one. Commuting a long distance takes time and gas, which can be figured as dollars, making that low price not so low.

Look at features of the home, landscape, location or neighborhood that make it uniquely suited for you, or that affect the price. Understand these before you buy. Even if you never plan to have children attend the local schools, you still might want to know about the schools in your area – it is part of the entire profile of the property you are buying. Look at hospitals, bus routes and other aspects of civil services in the area, too. Some people want to be close to everything, some prefer to be off the main flow – but most importantly: does the profile of this property feel right for you?

When The Price Is Not The Price

A large home with poor insulation, an aging furnace or heating/cooling system, older windows, roof in need of repair or other “big ticket” needs can quickly affect your budget after you buy. Have an expert evaluate features like pools and hot tubs, as these attractive perks might not be in good repair or cost more than you expect to operate and maintain. And remember: pools need to have adequate fencing and safety features. If you need to add them, it could be expensive.

Smaller homes might require that you rent office or storage space off site — also affecting your budget. And don’t forget property taxes, homeowner’s or condo fees — these are annual expenses that must be considered. Don’t forget to look at driveways and sidewalks, if you are responsible for these. Often overlooked, replacing or repairing sidewalks that present liability issues might be a pricey fix.

Issues around location can also lead to hidden costs. Longer commutes, poor or inadequate parking, security systems for homes and cars, or costs to keep the home at the level of the neighborhood can add to your expenses. If you plan to work from home, or have clients into your home office, be certain that your business is welcome in the neighborhood. Some cities or communities have strict regulations about running a business from your home. If you cannot use your property in the way you want or need to, then it might not be good for you.

Know Thyself: The Key To Knowing A “Good Deal”

Understand how you deal with stress. If you can’t handle the stress of a remodel or complicated/lengthy transactions, getting a house that is in foreclosure or requires extensive work might not be such a good deal. Permits require understanding codes or hiring contractors who do — but ultimately the homeowner is responsible if there is a permitting issue. Moving itself is stressful, so consider when your “good deal” brings any extra stresses with it. Some people thrive on getting a good deal and doing home projects, so they have extra energy to deal with such things. Know if this is you.

Personal Style — You always dreamed of a cozy urban oasis, but you are about to settle for a suburban family home. Are you really ready for lawn-care 101? Have you compromised your personal style for a price tag? Allow yourself to really feel good about who you are and what you want. Compromising your personal style is probably not something that you can put a price on.

Health issues — You have seasonal affective disorder, and light makes all the difference. Who needs a southern exposure and big windows — that’s what those fancy light fixtures are for, right? Determine if making the house suitable for your needs will require extensive remodeling or big work-arounds. If you are compromising on issues that affect your health, do so carefully. If mobility is an issue, doorways and bathrooms could need to accommodate wheelchairs… and what about stairs? Homes in wet areas can have mold issues, which can be expensive to deal with. Be realistic and conservative with any home issues that could affect your health.

Work — Are you or someone living in the home planning to commute to a job? Is the building/property/neighborhood suitable to working from home? Location is one aspect of this question, but proper light, heat, sound-proofing or other issues may make work related issues a bigger deal than you first imagine. Consider the availability of communications like phone, internet, and other essentials if you plan to work from the property. If clients come to your home office, will you need a separate entrance or more parking? Again, understand the local regulations for running a business from your home in any situation where you are considering doing so.

Know The House And How It Fits YOU

Does the house have what you want? If you are compromising on things like storage, closets might be built, or furniture could remedy some of that — but building a garage, or adding an attic or basement might not be possible or practical. Look at the house with a critical eye, seeing how it matches with what you are really wanting to buy. The fewer compromises you make, the happier you will be long-term.

Upkeep and Maintenance: Notice elements of the home or property that require work to maintain. Pay attention to things like decks, countertops, bathtub surrounds, floors, fencing, landscaping and other areas where there might be work to do seasonally. Are you prepared to do that yourself, or will you hire this work out? Does the climate affect materials in such a way that decks or fences will need to be stained or replaced more frequently? Can you keep up with all the grout involved in that fancy tile work? If a property requires more work, attention, or money for upkeep than you can afford, perhaps the good deal is just not a good fit for you.

Community: Remember, when you buy a property you are buying into a community. What is the climate of the neighborhood? Are there issues to cause you personal concern? Evaluate the people who live in the area. Are there a lot of rentals, or do people own their own homes? How are the schools and local stores? Do you feel comfortable walking the streets, driving around, parking your car? What are the social opportunities and would you partake in them? Are you a person of faith or do you have strong political leanings? Buying into a neighborhood can call all of these questions into the forefront. Getting to know the tenor of the community and neighborhood can aid you in determining if there are issues to consider, especially if you are home a lot. Driving or walking around the neighborhood at different times of day and on the weekends might give you a better idea of the people in the area. A perfect home can be an island in a stormy sea if you don’t feel good in the area.

Going For It

Your hard work in considering all the above is just part of the due diligence when buying a home. Answering honestly will pay off in all sorts of ways. You will go in to your new home with open eyes and hopefully a good deal — just make sure it is good deal for YOU.

Roof, Doors, Windows, Walls, and Vents

Designed to keep water, wind, and other elements out while keeping the heat in and allowing venting for health reasons, you must know the basic state of each element. Roofs that are leaking or have branches overhanging them can lead to extensive repairs down the road. In hurricane-prone areas, roofs should be secured with ties so that the trusses are attached firmly to the walls. In cold climates, heat loss through windows and poorly sealed doors can be significant. Storm season in certain climates can spell disaster if you cannot secure large windows. Materials for covering large windows can be hard to find during an emergency, so those in storm-prone areas should consider installing storm shutters or having sheets of plywood on hand. During power outages, remember that a poorly placed generator near a vent can bring carbon monoxide into your home, which could lead to death. Get to know the structure and condition of your home for your own safety.

Foundation

In areas prone to earthquakes or tornadoes, there are special tie-downs that connect homes to their foundations, ensuring that the framework of your home will not slip from its foundation. It can be easily determined if your home is secured to its foundation with tie-downs, or if it is an item to consider doing. Understand the condition of your basement and/or crawlspaces and any hazards that might be faced there. Excessive moisture around your foundation can lead to mold and mildew growth that impose health issues, so ensure that there is proper drainage around your home.

Water

In the event of an emergency, knowing how to turn off water to your home could be key to preventing substantial damage if your plumbing becomes compromised. Additionally, understanding where your water comes from and the nature of various types of failures of the system will aid you in determining if you need to treat the water during emergency times. Public water systems can be compromised in times of large-scale emergency, so don’t assume your water automatically is safe for drinking and maintain an emergency supply of drinking water. However, if you live in a fire-prone area, you should consider if there enough water to support fire suppression efforts. On the other hand, if you are in a flood zone, do you have a basement that is likely to flood and do you have an escape route to higher ground?

Electric

Are your power lines buried or exposed? If your power lines are exposed, are there large trees nearby that could threaten your power supply in the event of wind or ice storms? If so, you may consider preventative tree trimming. Inside the house, do you know where your breaker box is? Do you know the health of your wiring and how much can be plugged into each outlet? Do you have GFCI (ground-fault circuit interrupter) plugs to protect people from electrical shock? Is the house grounded? If you elect to purchase a generator for use during power outages, is it stored in a secure place and maintained well? Do you know how to operate it and do you have fuel for it? Is it wired into the main panel? Do you know the load it can handle?

Heat and Cooling Systems

How much do you know about the condition of your heating/cooling system(s)? Have you had your furnace and/or air-conditioner maintained recently? What powers your system and what would you do if it were out for an extended period? If your system is powered by natural gas, knowing how to turn off the gas to your home could prevent a potential explosion in the event of a leak.

An Ounce of Prevention

Don’t assume anything, and go over your insurance policy with your agent when you renew annually. Understanding your coverage with regard to disasters like fire, flood, earthquakes, tornadoes, hurricanes or other natural occurrences can mean the difference of thousands of dollars in the event disaster strikes. Often special coverage is required and include limitations — make sure you ask about such things. Having an inventory of your home and possessions, in the form of a written list, photos or videos will aid you in the event that you have to file a claim – but be sure to keep a duplicate copy in a secure place off site.

There are great tax benefits of owning a home.  Home owners get addition tax benefits from the mortgage interest and the real estate taxes they pay.  The amount of these deductions are usually larger than the tiny standard deduction non home owners get that’s because in addition to the mortgage interst and taxes paid you can include state or local income taxes paid, charitable contributions and many more deductions! Feel free to contact me directly to find out more about the tax benefits of owning a home.

RE/MAX of New England and the Boston Celtics are giving you the chance to have your home driveway and bedroom made over Celtics style! Three winners will receive their very own Celtics branded home court which includes a newly paved driveway, a new basketball stanchion, basketballs, equipment and more. The RE/MAX Home Court Program will help you show off your Celtics Pride! Find out more at www.myhomeMA.com

The first step to accumulating the down payment is to ASSESS your current financial situation (i.e. income and expenses) and create a budget. This will help determine how much house you can afford. The next obvious step is to SAVE.  It is important not only to save for the down payment but also for a cash reserve to provide financial stability. The purpose of a cash reserve is to function as a safety net that protects you in times of emergencies you cannot cover out of your cash flow. It could be something as big as losing your job or something as minor as the brakes went out on your car. The last step is to PROTECT.  For most of us, our most valuable asset is our ability to earn an income. Our income is what drives our expenses and our goals. You want to make sure that you have adequate protection in the form of life and disability insurance.  Once you have assessed your financial situation, saved the funds and protected yourself you can ENJOY! Sarin Majarian – LPL Financial – Lexington, MA

Overall, the trend right now is replacement over remodeling–swapping out the old for the new rather than doing a total gut job, which can be much more costly.

This year’s Cost vs. Value report found that exterior replacement projects–such as new garage doors and a new entry door–offer some of the best returns at resale, allowing home owners to recoup close to 70 percent or more of the costs of the project at times of resale.

Read more to find the top mid range project list

By Melissa Dittmann Tracey, REALTOR® Magazine

Read full story