Housing Innovation Alliance, LLC’s Post

Builders took a bath in the early 2000s selling their new homes at a loss. Since then they have been ultra conservative in construction creating a 300,000 annual deficiency of new homes resulting in shortage or 4,500,000. The increased cost of construction materials, land acquisition costs, decreasing construction workers, low home inventory and high municipal regulatory costs continue to increase home appreciation. The affordability index is being impacted by the continuing printing of money by the current administration adding to inflation and high mortgage interest rates. If that was not enough, homeowners insurance costs has soared exponentially, home maintenance keeps increasing and the need for additional monies by cities/counties keeps RE taxes increasing. Personally speaking, even with my prudent planning, I never expected these additional high costs. Boomers spending has contributed avoiding a recession however inflation abounds in the costs of groceries, gasoline, auto/mortgage interest rates along with less money going towards to savings/investments. 2008 proved that 3 months emergency funds was insufficient. 2024 will prove that home ownership requires serious financial commitment with larger reserves.

Our perception of homeownership is changing. For the vast majority, buying a property used to seem like a natural step, but it’s now predicted that by 2025 over 50% of adults under the age of 40 will be in private rented accommodation. In the UK, demand from renters is 43% higher than the last five-year average. Perhaps one of the biggest reasons more people are choosing to rent is because the rental market, once subject to rumours of unscrupulous landlords and high rents, has evolved and is perceived as a more progressive market that accommodates people’s needs. Renting is seen as advantageous because: • You don’t have to worry about maintenance costs, unlike homeowners. • It’s easier and quicker to rent than to buy a home. • Financially it’s less of a burden; a smaller deposit is required, monthly rent can be cheaper than a mortgage repayment, there is no home insurance, solicitors’ fees or stamp duty. • Tenancy terms can vary to suit needs, so planning for a future move is easier. • More controls in the rental market mean tenants enjoy more legal protection. • No danger of the negative equity trap . . . #PropertyReports #InventoryManagement #InventoryServices #RentalMarket #InventoryExperts #plymouth #Inventories

Here's a helpful tip for first-time homebuyers: Consider the long-term costs of homeownership beyond the purchase price. 🏡 While the initial price tag of a home is a crucial factor, it's essential to also factor in ongoing expenses. These costs can add up over time and impact your monthly budget. Here are some key expenses to consider: 1/ Property Taxes: Research the property tax rates in the area you're interested in. These taxes can vary significantly by location and can have a substantial impact on your overall housing expenses. 2/ Homeowner's Insurance: Protect your investment with homeowner's insurance. Be sure to shop around for quotes and choose a policy that provides adequate coverage at a competitive rate. 3/ Maintenance and Repairs: Budget for ongoing maintenance and repairs to keep your home in good condition. From routine tasks to unexpected repairs, having a financial cushion for these expenses is essential. 4/ Utilities: Factor in the cost of utilities such as electricity, water, gas, and internet when budgeting for homeownership. These expenses can vary based on factors like the size of the home and energy efficiency. 5/ Resident Welfare Association (RWA) Fees: If you are considering a property within a planned community or sector, there may be fees. These fees cover basic amenities, security, maintenance, and other shared expenses. By considering these long-term expenses upfront, you can make a more informed decision about the affordability of a potential home and avoid financial surprises down the road. And as always, our team at Top Squad is here to provide guidance and support throughout your home buying journey. 🌟 #TopSquad #RealEstate #Ahmedabad #BudgetingTips #FinancialPlanning

The average annual cost of owning and maintaining a single-family home in the U.S. is more than $18,000 a year — 26 percent higher now compared to four years ago, according to a new Bankrate study. Single-family homeowners in pricey states like California, Hawaii and New Jersey now pay more than $25,000 a year in ownership and maintenance costs. The lowest-cost states for homeowners include Arkansas, Kentucky and Mississippi.

Importance of Regular Property Valuations for Homeowners Regular property valuations are crucial for homeowners for a multitude of reasons. Firstly, they help in determining the market value of the property. Real estate markets are fluid, affected by a host of factors like economic climate, property demand, and neighborhood developments. For instance, if a shopping mall or a new school opens in your area, it can significantly raise your property's value. Without frequent valuations, you could be unaware of this increase and sell your property for less than it’s worth. Secondly, valuations provide an essential guide for insurance purposes. A house undervalued might result in inadequate coverage in case of a disaster, like a fire or flood. On the other hand, if your house is overvalued, you may end up paying higher premiums unnecessarily. A homeowner who has remodeled their kitchen, for example, would want to ensure the changes are reflected in their insurance policy so they can recover their investment if something unfortunate happens. Additionally, for homeowners interested in renting out their property, regular valuations can help determine an appropriate rental rate. This ensures that they do not undervalue their property and miss out on potential income. Lastly, property valuations assist homeowners who are looking to sell their homes or refinance their mortgages. An up-to-date valuation can aid in setting a competitive sale price and negotiating confidently with potential buyers or lenders. In conclusion, regular property valuations are pivotal for homeowners, offering them a realistic picture of their property's worth in the ever-evolving real estate market, thereby facilitating informed decisions regarding insurance, rent, sale, or refinancing. #propertyvalues #propertyvaluations #realestate #realestateappraisal #valuers #valuationservices #valueproposition #valueformoney #important #homeowners

The dream of owning a home is deeply ingrained in Australian culture. For many, it represents a significant milestone in their lives, symbolising financial security and stability. But with the rising cost of housing in many parts of Australia, it has made this aspiration increasingly challenging for first-time buyers.   Further, the dream of owning a home has been made even more difficult due to stricter lending practices by banks, sluggish wage growth relative to inflation, and concerns about fluctuating interest rates. In response to this challenge, commencing on July 1st, 2023, the government's Home Guarantee Scheme expanded its eligibility criteria to make it more accessible for individuals who have long held the aspiration of homeownership.   Visit https://lnkd.in/grdUdCYP to learn more about the changes to the First Home Guarantee Scheme.

Accessory Dwelling Units (ADU's) are popular in Canada and growing due to well written progressive ADU policy initiatives. This growth in the number of investor-occupants is being bolstered by government incentives that encourage homeowners to add secondary suites to their property, the goal being to increase the supply of affordable housing. Launched a few months before the Secondary Suite Loan Program — which is also seeking to revise mortgage insurance regulations to facilitate adding units to homes — the new federal Multigenerational Home Tax Credit provides a non-refundable tax credit of up to $2,000 for eligible expenses incurred when converting a home into a more accessible and comfortable living space for elderly or disabled family members. Then there’s the five-year-old Ontario Renovates Secondary Suites Forgivable Loan Program, which provides forgivable loans of up to $75,000 to homeowners who want to create or renovate secondary suites in their homes.   ADUinstitute

Buying a home involves more than just the purchase price. There are several hidden costs that buyers should be aware of. Here are 10 hidden costs of buying a home: 🏠Property Taxes: Property taxes can be a significant ongoing cost and vary by location. It's important to budget for these taxes, which are typically paid annually or semi-annually. 🏘️Homeowners Insurance: Lenders typically require homeowners insurance, and the cost can vary depending on factors like location, the size of the home, and the level of coverage. 🔍Home Inspection: While not hidden, the cost of a home inspection is often overlooked by first-time buyers. Inspections can help identify potential issues with the property before closing. 🛠️Maintenance and Repairs: While not a one-time cost, homeowners should budget for ongoing maintenance and repairs, such as fixing a leaky roof or replacing a water heater. 🚌Moving Costs: Whether you're hiring professional movers or doing it yourself, there are costs associated with moving your belongings to your new home, including packing supplies and truck rental fees. It's important for prospective homebuyers to factor in these hidden costs when determining their budget and affordability. Having a clear understanding of the total cost of homeownership will help you make a more informed decision and avoid financial surprises down the road.💪🏼💼

Home ownership can be extremely exciting for sure!! When working through the monthly expenses, be sure to ask the Listing Agent for a copy of the last 12 months of home expenses including electricity, cable/internet, water, heating and maintenance (landscaping, pool, etc). These expenses are typically ignored but must be included in ones monthly debt service of the new home. Those extra costs could be the difference between eating ramen noodles on a regular basis (house poor) and continuing to eat out 4X per month. There is nothing wrong with ramen noodles but..... You are not in college anymore! If you are looking to get pre-approved and would like to better understand the process and the monthly costs associated with owning a new home, I welcome the conversation. Please DM me.

The dream of owning a home is deeply ingrained in Australian culture. For many, it represents a significant milestone in their lives, symbolising financial security and stability. But with the rising cost of housing in many parts of Australia, it has made this aspiration increasingly challenging for first-time buyers.   Further, the dream of owning a home has been made even more difficult due to stricter lending practices by banks, sluggish wage growth relative to inflation, and concerns about fluctuating interest rates. In response to this challenge, commencing on July 1st, 2023, the government's Home Guarantee Scheme expanded its eligibility criteria to make it more accessible for individuals who have long held the aspiration of homeownership.   Visit https://lnkd.in/gDhufPnK to learn more about the changes to the First Home Guarantee Scheme.