#MyRealtorDonna's Blog!Recently posted or modified blog posts by tag - home ownershiphttps://www.donnalernerhometeam.com/blog/Copyright DonnaLernerHomeTeam.com2023-07-25T11:56:24-07:00tag:donnalernerhometeam.com,2012-09-20:13265How to Arrange Your Living Room<img src="https://assets.site-static.com/userfiles/1746/image/Final-11_1_1.jpg" width="2550" height="1702" />
When we list a home, we always do some level of staging. This can range from bring in all new furniture to simply rearrange the existing items. One of the most common changes we make is rearranging the living room. The popularity of open concept homes has arguably made planning layouts more difficult. If you think your living room could use a refresh, we've put together a brief guide on how to arrange your living room to maximize its potential, whether you're selling or simply enjoying your home!
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Float your furniture - People tend to think furniture floating in a room makes it feel smaller and inconvenient, so they push all the furniture to the perimeter or the room. Listen when we say that the opposite is shockingly true. Floating furniture can create more comfortable spaces with clearer walkways around it. Try rearranging your pieces around to see how the flow changes. You might be surprised.
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Have a mix of seating - When planning seating, consider who will be enjoying the room and for what purposes. Will you be entertaining, watching movies, reading… All the activities benefit from different types of searing. There are sectionals on the market that could fill the world’s largest living rooms, but that doesn’t mean it’s the best option. Create a mix of group seating like sofas or sectionals with individual seating like chairs, chaises, or ottomans. Everyone will have a spot for every activity.
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Pick a focal point - Do you have a show stopping fireplace? Or a beautiful credenza? A personal piece of art? Even a TV can be a focal point. Once you’ve decided the item or feature you want to highlight, arranging the furniture towards it will define the room’s purpose - conversation area, media room, or relaxing lounge.
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Ground the room with a rug - Probably one of the simplest ways to define a space is with an area rug. However, we constantly see rugs that are too small for a room, making everything feel more cramped and out of place. As long as all the major pieces of furniture are completely or partially on the rug, your room will feel cohesive. When in doubt, go bigger.
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Pay attention to lighting - Lighting is so underutilized in today’s homes, especially new construction. Overhead lighting like recessed lights are convenient, but can be so harsh and uninviting. Incorporate different types of lighting like ambient, accent and task lighting. These will designate specific areas of the room and give you more options for how you want the space to feel. And remember to include natural light. Mirrors are a great way to heighten the amount of natural light your room might have.
2023-07-26T07:00:00-07:002023-07-25T11:56:24-07:00Lauren Mesagnotag:donnalernerhometeam.com,2012-09-20:11048Be Safe While Decorating!<img src="https://assets.site-static.com/userfiles/1746/image/pexels-elina-fairytale-3811021.jpg" width="1600" height="2400" />
"Go big or go home" is the attitude more and more people have when it comes to decorating their home's exterior for the holidays. Roofs lines in garland, inflatable characters strews about the yard, and lights everywhere. We wanted to remind you that there is one very important thing you cannot forget...SAFETY! The last thing anyone wants is to be spending the holidays in the hospital. If you're planning to decorate this year, please check out our list of safety tips and promise to follow them!
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Have a plan - We speak from experience when we say, planning the route of your string lights and how many you’ve strung together is not something you want to be doing 20 feet in the air. It’s crucial to know exactly what you are going to put where, how you are going to have it stay there, and if it being there is safe. Do yourself that favor before heading up on the roof. You don’t want to be just about finished when you realize you can’t add one more string of lights and you’re all out of outlets!
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ALWAYS HAVE A BUDDY - Let us repeat ourselves, ALWAYS HAVE A BUDDY! It doesn’t matter how experienced you are. There is no excuse to not have someone with you while doing something potentially dangerous. It’s as simple as that.
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Know your ladder safety - Even if you have someone holding your ladder steady, it’s the climber’s responsibility to know how to be safe. Make sure the feet are flat and stable, keep your body inside the rails, never reach too far, don’t stand on the top few rungs, and give yourself breaks. If you feel unsteady at any time, let your buddy know and climb down. Don’t even think about climbing back up until you know that you can be safe.
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Strap yourself in if you’re going on the roof - If you plan to actually be on your roof (perhaps you’re setting up a full set of eight reindeer and santa in his sleigh!), you’ll need to take a few extra precautions. Roofs, especially in the fall when it's rainy and windy, can be very slippery. The proper thing to do is to wear a harness and tether yourself to an anchor on the roof. This might seem overly cautious, but better safe than having hospital food for your Christmas dinner.
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Rent some big time equipment - Did you know that you can rent lifts? Perhaps it’s a little much just for decorating the house. But if that’s your thing, GO FOR IT! You’ll need to make sure to follow all the instructions to the letter. You don’t want to go crashing through a window. But with proper handling, this can be one of the safest and easiest ways to decorate your home.
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If all else fails, hire a professional - You can plan and plan until the cows come home, but if handling the decorating yourself just isn’t in the cards, there are plenty of professionals who can help. Some will decorate your home, inside and out. Sometimes landscapers can handle the job. There is no shortage of eager elves who want to help spread the holiday spirit!2022-11-30T08:56:15-07:002022-11-30T09:32:58-07:00Lauren Mesagnotag:donnalernerhometeam.com,2012-09-20:11047Become a Holiday Cheermeister!<img src="https://assets.site-static.com/userfiles/1746/image/pexels-nicole-michalou-6061404.jpg" width="2750" height="1833" />
If you aren't already in the holiday spirit, allow us to step in as your Holiday Cheermeisters! Of course, this time of year is busy busy busy, but spending time with the family, or even just yourself, is so important. Make time slow down, and enjoy some of the activities we put together for you. They're sure to make you holly jolly
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Cookie decorating - It might make a mess, but we can’t think of a more fun way to cover your kitchen in icing and sprinkles! This is a great way to get kids of all ages to express their holiday spirit however they see fit. That might be just a little coarse sugar, or mounds of frosting. There is no wrong answer.
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Decorate the house - Everyone has their own style of decorating. Some people like a formal look while others like something a little more wild. If your ideal decorations conflict with another member of the family, try to find a happy medium. Or, for a little added fun, divide up rooms to decorate and vote on who’s room is the most festive!
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Do a photoshoot - Do you send out Christmas cards? Even if you don’t you’ll surely need some festive photos of you and yours, right? Skip the mall Santa lines, and set up your own photoshoot at home! Plan some fun outfits and silly poses. Send them to your loved ones, or just enjoy having the photos for your own memories.
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Wrap presents - Wrapping presents doesn’t have to be a chore. Look at it like an art project. Each gift can be different! Check out YouTube or Pinterest for some fun new ways to make bows or add little baubles. After all, the present isn’t the best part of the gift, it's the thought and work that goes into it that makes it special.
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Play games by the fireplace - Spending time with the people you love is what the holiday’s are for. But that shouldn’t be reserved for just December 25th. Any day can be special if you make it. So turn on that fireplace, grab a game or two, make some hot chocolate and popcorn, and spend some time with the most important people in your life, whomever they might be.
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Collect donations - Sometimes, one of the best ways to get a little joy is to give a little joy to those who need it most. If you haven’t heard, we are always collecting donations for Toys-for-Tots. Take the kids shopping, not for themselves, but for children who might not get toys otherwise. Show them that giving can be just as fun as receiving. Then come drop by our office (an official Toys-for-Tots drop off location) and pay us a visit! We always take any excuse to see our clients!
We hope you and your loved ones have a fun, safe, and very merry holiday season!2022-11-30T07:00:00-07:002022-11-30T08:55:26-07:00Lauren Mesagnotag:donnalernerhometeam.com,2012-09-20:9548 How Your Equity Can Grow over Time
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It’s true that record levels of home price appreciation have spurred significant equity gains for homeowners over the past few years. As Diana Olick, Real Estate Correspondent at CNBC, says:
“The stunning jump in home values over the course of the Covid-19 pandemic has given U.S. homeowners record amounts of housing wealth.”
That’s great for your home’s value over the last couple of years, but what if you’ve lived in your home for longer than that? You may be wondering how much equity you truly have.
The National Association of Realtors (NAR) has done a study to calculate the typical equity gains over longer spans of time. The data they compiled could be enough to motivate you to move. Just remember, to find out how much equity you have in your specific home, you’ll want to get a professional equity assessment from a trusted real estate advisor.
How Your Equity Grows
Let’s start by establishing how you build equity in your home. While price appreciation is clearly a factor that can help boost your equity, you also build equity over time as you pay down your home loan. NAR explains:
“Home equity gains are built up through price appreciation and by paying off the mortgage through principal payments.”
Average Equity Growth over Time
The study from NAR breaks down the typical equity gain over time (see graph below). It calculates the equity a homeowner potentially gained if they purchased the median-priced home 5, 10, or 30 years ago and still own it today.
<img loading="lazy" class="aligncenter wp-image-103286" src="https://files.mykcm.com/2022/07/05165641/20220706-MEM-Eng-1.png" alt="How Your Equity Can Grow over Time | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2022/07/05165641/20220706-MEM-Eng-1.png 1000w, https://files.mykcm.com/2022/07/05165641/20220706-MEM-Eng-1-600x450.png 600w, https://files.mykcm.com/2022/07/05165641/20220706-MEM-Eng-1-768x576.png 768w, https://files.mykcm.com/2022/07/05165641/20220706-MEM-Eng-1-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />
These six-figure numbers are impressive and certainly enough to help you fuel a move into your next home, but they’re not a promised amount. Remember, your own equity gain will be different. It depends on how long you’ve been in the house, your home’s condition, any upgrades you’ve made, your area, and much more.
If you want to find out how much equity you have, partner with a trusted real estate professional for an equity assessment on your home. They can provide an expert opinion on what your house is worth today and how the equity you’ve gained over time can help you when you purchase your next home. It may be some (if not all) of what you need for your next down payment.
Bottom Line
If you’re thinking about selling your house and making a move, home equity can be a real game-changer, especially if you’ve been in your current home for a while. If you’re ready to find out how much equity you have, let’s connect.
2022-07-06T06:00:00-07:002022-07-06T06:46:09-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:9518Real Estate Consistently Voted Best Investment
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Some Highlights
Based on a recent Gallup poll, real estate has been rated the best long-term investment for nine years in a row.
Owning real estate is more than just a place to call home. It’s also an investment in your future. That’s because it’s typically a stable and secure asset that can grow in value over time.
If you’re ready to buy a home and invest in your future, let’s connect.
2022-07-01T06:00:00-07:002022-07-01T08:16:14-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:9494Preparing for Winter Already???<img src="https://assets.site-static.com/userfiles/1746/image/pexels-yura-forrat-11429201.jpg" width="2174" height="1450" />
I know, I know… Summer JUST started! The last thing any of us wants is to think about Winter. But the sad truth is, right now is the best time to be preparing for the colder months ahead. The ground will be frozen, our roofs will be covered in snow, and being outside is the last thing you want to put on your to-do list. Though a bit of an annoyance, sparing a few Summer hours to prep for Winter will make you very happy come November.
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First and foremost, make sure you’ll have a reliable heat source when you need it. If your home uses gas, electric, or a wood burning oven to heat your home, check on their current state. Was everything in working order the last time you used it? If not, figure out the next steps you need to take to guarantee you will be warm by Winter. That may mean scheduling a technician to come service your furnace before they start to book up in the fall. Or it may mean a full rebuild of a brick chimney. No matter what, you are sure to have an easier time handling these issues early on, rather than waiting until the last minute like everyone else.
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Similarly, you want to make sure your home is weather proof. Winter weather is tricky. We might get a snow storm one day, bright sun another, just to drop back to below freezing later that night. With all these twists and turns, our homes can take a beating. If moisture finds its way in, the constant freezing and unfreezing will take its toll. To make sure your home will be safe, take a stroll around the exterior of your home. Do you see any areas where water might get in? What about on the roof? If there are any vulnerabilities, make those repairs while it’s warm out. No one wants to be out on a roof in the middle on January.
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With all these tasks complete, you’ll hopefully have time to enjoy your home this Summer. But don’t forget to take care of the parts of your home you only get to enjoy in the warmer months! Hardscaping maintenance is crucial to preserving your outdoor spaces for years to come, even through the roughest Winters. Pavers, concrete, and asphalt can see serious damage from the cold. While not all damage can be prevented, there are definitely steps you can take to give them a fighting chance. This would be things like filling any cracks, applying new sand between pavers, or sealing your driveway. Your backyard will be very happy you did!2022-06-29T07:00:00-07:002022-06-29T07:38:37-07:00Lauren Mesagnotag:donnalernerhometeam.com,2012-09-20:9493Pool Party!<img src="https://assets.site-static.com/userfiles/1746/image/pexels-kindel-media-9044050.jpg" width="3685" height="2073" />
It’s only June, and we’ve already seen multiple 90 degree days. It’s time to cool down! A nice relaxing dip in a pool is one of our favorite ways to beat the Summer heat. So grab your water wings and listen up for some of our favorite ways to enjoy a swim!
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If you are lucky enough to own a pool, firstly, know that we are incredibly jealous. Secondly, we’re sure you know all the work that goes into their care. Whether you have a gunite pool, liner pool, or above ground pool, they all come with a very long to-do list. If you ask us, these pools are the best when they are owned by someone else. That way you can enjoy the swimming and poolside tanning with none of the responsibilities. We do however recommend bringing along your world famous BBQ ribs as payment!
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If you still want the privacy of a private pool, but can’t put one in your own yard, there are plenty of blow up pool options these days that can really hit the spot on a hot day. Whether you want a small pool to lounge in or a larger one to play with the whole family, there is something on the market for you!
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If you’re more into the social side of a fun pool day, joining a community pool or pool club might be the choice for you! Not only are you free of the cleaning or maintenance, many offer additional programs like water aerobics classes, children’s swim lessons, or neighborhood parties. You’ll never be bored!
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If all else fails, there’s always lakes! NJ is very blessed with its ample amount of lakes. Yes, we have Lake Hopatcong, the largest lake in NJ right around the corner, but we have plenty more smaller ones scattered throughout the state. You don’t need to drive down the shore for a good beach day (although we’re always a fan). Lakes offer plenty of fun activities like swimming, tanning, boating, jet skiing, and so much more!
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How do you like to spend your hot days? Do you have a pool? Can we come over?2022-06-29T06:00:00-07:002022-06-29T07:18:56-07:00Lauren Mesagnotag:donnalernerhometeam.com,2012-09-20:9442Homeownership Is a Great Hedge Against the Impact of Rising Inflation
<img width="750" height="410" src="https://files.mykcm.com/2022/06/22164521/20220623-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Homeownership Is a Great Hedge Against the Impact of Rising Inflation | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/06/22164521/20220623-KCM-Share.jpg 750w, https://files.mykcm.com/2022/06/22164521/20220623-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2022/06/22164521/20220623-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
If you’re following along with the news today, you’ve heard about rising inflation. Today, inflation is at a 40-year high. According to the National Association of Home Builders (NAHB):
“Consumer prices accelerated again in May as shelter, energy and food prices continued to surge at the fastest pace in decades. This marked the third straight month for inflation above an 8% rate and was the largest year-over-year gain since December 1981.”
With inflation rising, you’re likely feeling it impact your day-to-day life as prices go up for gas, groceries, and more. These climbing consumer costs can put a pinch on your wallet and make you re-evaluate any big purchases you have planned to ensure they’re still worthwhile.
If you’ve been thinking about purchasing a home this year, you’re probably wondering if you should continue down that path or if it makes more sense to wait. While the answer depends on your situation, here’s how homeownership can help you combat the rising costs that come with inflation.
Homeownership Helps You Stabilize One of Your Biggest Monthly Expenses
Investopedia explains that during a period of high inflation, prices rise across the board. That’s true for things like food, entertainment, and other goods and services, even housing. Both rental prices and home prices are on the rise. So, as a buyer, how can you protect yourself from increasing costs? The answer lies in homeownership.
Buying a home allows you to stabilize what’s typically your biggest monthly expense: your housing cost. When you have a fixed-rate mortgage on your home, you lock in your monthly payment for the duration of your loan, often 15 to 30 years. James Royal, Senior Wealth Management Reporter at Bankrate, says:
“A fixed-rate mortgage allows you to maintain the biggest portion of housing expenses at the same payment. Sure, property taxes will rise and other expenses may creep up, but your monthly housing payment remains the same. That’s certainly not the case if you’re renting.”
So even if other prices increase, your housing payment will be a reliable amount that can help keep your budget in check. If you rent, you don’t have that same benefit, and you won’t be protected from rising housing costs.
Investing in an Asset That Historically Outperforms Inflation
While it’s true rising home prices and higher mortgage rates mean that buying a house today costs more than it did even a few months ago, you still have an opportunity to set yourself up for a long-term win. That’s because, in inflationary times, you want to be invested in an asset that outperforms inflation and typically holds or grows in value.
The graph below shows how the average home price appreciation outperformed the average inflation rate in most decades going all the way back to the seventies – making homeownership a historically strong hedge against inflation (see graph below):
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So, what does that mean for you? Today, experts forecast home prices will only go up from here thanks to the ongoing imbalance of supply and demand. Once you buy a house, any home price appreciation that does occur will grow your equity and your net worth. And since homes are typically assets that grow in value, you have peace of mind that history shows your investment is a strong one.
That means, if you’re ready and able, it makes sense to buy today before prices rise further.
Bottom Line
If you’ve been thinking about buying a home this year, it makes sense to act soon, even with inflation rising. That way you can stabilize your monthly housing cost and invest in an asset that historically outperforms inflation. If you’re ready to get started, let’s connect so you have expert advice on your specific situation when you’re ready to buy a home.
2022-06-23T06:00:00-07:002022-06-23T06:26:28-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:9417The Average Homeowner Gained $64K in Equity over the Past Year
<img width="750" height="410" src="https://files.mykcm.com/2022/06/16163903/20220621-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="The Average Homeowner Gained $64K in Equity over the Past Year | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/06/16163903/20220621-KCM-Share.jpg 750w, https://files.mykcm.com/2022/06/16163903/20220621-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2022/06/16163903/20220621-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
If you own a home, your net worth likely just got a big boost thanks to rising home equity. Equity is the current value of your home minus what you owe on the loan. And today, based on recent home price appreciation, you’re building that equity far faster than you may expect – here’s how it works.
Because there’s an ongoing imbalance between the number of homes available for sale and the number of buyers looking to make a purchase, home prices are on the rise. That means your home is worth more in today’s market because it’s in high demand. As Patrick Dodd, President and CEO of CoreLogic, explains:
“Price growth is the key ingredient for the creation of home equity wealth. . . . This has led to the largest one-year gain in average home equity wealth for owners. . . .”
Basically, because your home value has likely climbed so much, your equity has increased too. According to the latest Homeowner Equity Insights from CoreLogic, the average homeowner’s equity has grown by $64,000 over the last 12 months.
While that’s the nationwide number, if you want to know what’s happening in your area, look at the map below. It breaks down the average year-over-year equity growth for each state using the data from CoreLogic.
<img loading="lazy" class="aligncenter wp-image-102964" src="https://files.mykcm.com/2022/06/16163908/20220621-MEM-Eng-1.png" alt="The Average Homeowner Gained $64K in Equity over the Past Year | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2022/06/16163908/20220621-MEM-Eng-1.png 1000w, https://files.mykcm.com/2022/06/16163908/20220621-MEM-Eng-1-600x450.png 600w, https://files.mykcm.com/2022/06/16163908/20220621-MEM-Eng-1-768x576.png 768w, https://files.mykcm.com/2022/06/16163908/20220621-MEM-Eng-1-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />
The Opportunity Your Rising Home Equity Provides
In addition to building your overall net worth, equity can also help you achieve other goals like buying your next home. When you sell your current house, the equity you built up comes back to you in the sale. In a market where homeowners are gaining so much equity, it may be just what you need to cover a large portion – if not all – of the down payment on your next home.
So, if you’ve been holding off on selling or you’re worried about being priced out of your next home because of today’s ongoing home price appreciation, rest assured your equity can help fuel your move.
Bottom Line
If you’re planning to make a move, the equity you’ve gained can make a big impact. To find out just how much equity you have in your current home and how you can use it to fuel your next purchase, let’s connect so you can get a professional equity assessment report on your house.
2022-06-21T06:00:00-07:002022-06-21T06:36:18-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:9351More Americans Choose Real Estate as the Best Investment Than Ever Before
<img width="750" height="410" src="https://files.mykcm.com/2022/06/10135410/20220613-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="More Americans Choose Real Estate as the Best Investment Than Ever Before | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/06/10135410/20220613-KCM-Share.jpg 750w, https://files.mykcm.com/2022/06/10135410/20220613-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2022/06/10135410/20220613-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Americans’ opinion on the value of real estate as an investment is climbing. That’s according to an annual survey from Gallup. Not only is real estate viewed as the best investment for the ninth year in a row, but more Americans selected it than ever before.
The graph below shows the results of the survey since Gallup began asking the question in 2011. As the trend lines indicate, real estate has been gaining ground as the clear favorite for almost a decade now:
<img loading="lazy" class="aligncenter wp-image-102872" src="https://files.mykcm.com/2022/06/10135406/20220613-MEM-Eng-1.png" alt="More Americans Choose Real Estate as the Best Investment Than Ever Before | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2022/06/10135406/20220613-MEM-Eng-1.png 1000w, https://files.mykcm.com/2022/06/10135406/20220613-MEM-Eng-1-600x450.png 600w, https://files.mykcm.com/2022/06/10135406/20220613-MEM-Eng-1-768x576.png 768w, https://files.mykcm.com/2022/06/10135406/20220613-MEM-Eng-1-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />
If you’re thinking about purchasing a home, let this poll reassure you. Even when inflation is high like today, Americans recognize owning a home is a powerful financial decision.
How an Investment in Real Estate Can Benefit You During High Inflation
Because inflation reached its highest level in 40 years recently, it’s more important than ever to understand the financial benefits of homeownership. Rising inflation means prices are increasing across the board, and that includes goods, services, housing costs, and more. When you purchase your home, you lock in your monthly housing payments, effectively shielding yourself from increases on one of your biggest budgetary items each month.
If you’re a renter, you don’t have that same benefit, and you aren’t protected from these increases, especially as rents rise. As Danielle Hale, Chief Economist at realtor.com, notes:
“Rising rents, which continue to climb at double-digit pace . . . and the prospect of locking in a monthly housing cost in a market with widespread inflation are motivating today’s first-time homebuyers.”
When Inflation Has Risen in the Past, Home Prices Have Too
Your house is also an asset that typically increases in value over time, even during inflation. That‘s because as prices rise, the value of your home does too. Mark Cussen, Financial Writer for Investopedia, puts it like this:
“There are many advantages to investing in real estate. . . . It often acts as a good inflation hedge since there will always be a demand for homes, regardless of the economic climate, and because as inflation rises, so do property values. . . .”
And since rising home values help increase your equity, and by extension your net worth, homeownership is historically a good hedge against inflation.
Bottom Line
Buying a home is a powerful decision. It’s no wonder why so many people view it as the best long-term investment, even when inflation is high. When you buy, you help shield yourself from increases in your housing costs and you own an asset that typically gains value with time. If you want to better understand how buying a home could be a great investment for you, let’s connect today.
2022-06-13T06:00:00-07:002022-06-13T08:57:33-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:9197Classic Homeownership Tips from Dad<img src="https://assets.site-static.com/userfiles/1746/image/pexels-tatiana-syrikova-3933227.jpg" width="2795" height="4193" />Dads always have something to say, whether it's a story, an opinion or advice. And believe it or not, sometimes it can actually be helpful! In honor of Father’s Day, we’ve put together some of our favorite fatherly advice, straight from our own dads! From financial to mechanical, they cover just about everything you need to know to be a successful homeowner.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-gustavo-fring-3867617_1.jpg" width="2590" height="1727" />
Donna’s Dad
Donna is very lucky to have a dad like hers. Any questions you might need an answer to - call dad. For everything…literally everything. Somehow he has learned absolutely everything there is to know about everything, and he is always happy to help however he can. But he won’t say no to a sandwich as payment. If we’ve learned anything from him, it’s that you’re never too old to ask for help, whether it’s from dad or someone else.
If you can believe it, both of Donna’s parents are also in fields relating to homes. The apple doesn’t fall far from the tree. Dad’s expertise lies in all things stone - marble, quarts, granite, you name it. Of course that means knowing how to protect the stone in your home was not optional for his kids. First, determine the type of stones you have, whether it be countertops, floors, or fireplace surrounds, and make sure you are caring for them properly. This will give them the longest and most beautiful life for you to enjoy!
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-rodnae-productions-7491011.jpg" width="2800" height="1867" />
Eric’s Dad
You haven’t met a pro when it comes to saving until you’ve met Eric’s dad! While his saving advice is useful for nearly everything, it comes especially in handy for household items. We spend a lot of money making a house run smoothly - from toiletries to gas bills. But knowing where to splurge and where to save can be difficult.
<br />Break down the items and services you need/want for your home. Some are going to be necessities and some will be just for fun. In both columns, you’ll find things you feel more passionately about than others. You may have very strong feelings about the kind of toilet paper you use, but you can deal with buying store brand bubble bath. Splurge only where it makes sense to splurge, and save everywhere else. Enjoying the things you splurge on will tast that much sweeter!
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-bidvine-1249611.jpg" width="3600" height="2400" />
Lauren’s Dad
He might be an engineer and one of the smartest guys around, but Lauren’s dad is definitely not a handyman. In fact, Lauren had to do most of the household fixes as a kid. But he still has plenty he wanted to share. Since he was never the best at maintaining the mechanics around the house, he made sure to hire the right people for the job. But it’s important to remember to do this regularly. Cleaning your ducts and having the AC serviced in the Spring will set you up for a smooth Summer. Getting your heating system a tune up can make sure you stay warm all Winter.
Dad’s expertise is more in finances than fixing things. So he always suggests a thorough budget and sticking to it! Keep a spreadsheet of your monthly expenses, such as utilities, insurance, and mortgage. Then flesh it out with non house related expenses such as car payments, groceries, etc. This way you always know where you stand financially. Finally, saving money each month can keep you comfortable in the off chance you need to make some repairs or if you need to buy an emergency hot tub.
Does your dad have some must-know homeownership tips? We’re always down to learn more ways to take care of our homes.
2022-05-25T08:00:00-07:002022-05-25T07:15:03-07:00Lauren Mesagnotag:donnalernerhometeam.com,2012-09-20:9196Meals you can grow at home!<img src="https://assets.site-static.com/userfiles/1746/image/pexels-eva-elijas-5502856.jpg" width="3998" height="2665" />Sustainability has been a big conversation in NJ recently. We always try to do our part in helping our planet whenever possible. Here’s an idea! Next time you’re planning a get together, try orchestrating a menu around ingredients you can grow yourself. After all, NJ is the Garden State! We are lucky to live in a climate that makes growing our own food very possible in the warmer months. Check out some of the recipes we’ve put together which contain plenty of fruits and veggies you can harvest right in your own backyard!
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-karolina-grabowska-4621597.jpg" width="2482" height="1567" />
Appetizer: Watermelon Salad
This salad is the perfect refreshing start to every Summertime meal! It’s sweet, minty, juicy, and healthy! It might seem like it shouldn’t work, but trust us, it does! Watermelons need a lot of space to grow, so these will be difficult to grow if your garden space is limited. Mint on the other hand is basically a weed and will grow absolutely anywhere and will never stop. Arugula, like a lot of salad greens, grows quickly, perfect for keeping healthy all Summer long. Lemon trees will take patience, and a bit of a green thumb. Keeping lemon trees in our climate takes year round care, including bringing them inside during the colder months. If you’re diligent, after a few years, you should see fruit!
Recipe: <a href="https://www.seriouseats.com/watermelon-feta-mint-salad-recipe">https://www.seriouseats.com/watermelon-feta-mint-salad-recipe</a>
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-karolina-grabowska-4750287.jpg" width="2800" height="1867" />
First Course: Pesto Zoodles
We all love pasta, but sometimes it can be a bit too heavy when the weather is sweltering. Instead, zoodles can satisfy that craving while still being light and refreshing. If you don’t know what zoodles are, they are simply zucchini shaved into the shape of noodles (don’t worry, they make a tool for this). In addition to the zucchini, which can be a little tough for a new gardener, you’ll need tomatoes, which are one of the easiest plants to get a good harvest from, basil, a simple herb to grow, lemon (as discussed above), and garlic. In fact, did you know that you can grow garlic plants from store bought garlic? Next time you let your garlic go a little too long and you see a sprout, try planting in to grow and harvest your own!
Recipe: <a href="https://www.twopeasandtheirpod.com/zucchini-noodles-with-pesto/">https://www.twopeasandtheirpod.com/zucchini-noodles-with-pesto/</a>
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-noelle-otto-906110.jpg" width="3240" height="2160" />
Second Course: Eggplant Parm
Time for the main course! Eggplant is a common main ingredient in a lot of vegetarian recipes often replacing chicken, pork or beef. That’s because it’s full of vitamins and is very filling! If you have any experience growing tomatoes, they have very similar needs. For this recipe, you will also need tomatoes, garlic, and basil, as we’ve discussed above. Additionally, you’ll need onions and thyme in your garden. Onions usually need a full year to grow, but thyme is just as simple as any other herb.
Recipe: <a href="https://www.foodnetwork.com/recipes/alexandra-guarnaschelli/eggplant-parmigiana-recipe-2012703">https://www.foodnetwork.com/recipes/alexandra-guarnaschelli/eggplant-parmigiana-recipe-2012703</a>
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-pixabay-134581.jpg" width="4265" height="2174" />
Dessert: Berry Trifle
This colorful and fun dessert is easy to make and very versatile. To make it, you’ll need any mix of berries you prefer, ideally freshly picked ones right from your garden. Here in NJ, we are especially lucky to have wild berries all around in the Summer. But PLEASE be sure to make sure you know what berries you are picking before eating them. Not all berries are safe to eat! But once you have those picked, you’ll also need some citrus juice like lemon or orange (orange trees can also be grown here if they are taken care of in the Winter), and honey. If you’re looking for some fresh local honey, look no further than our good friends at IKenBee Honey! Check out the recipe to see some other suggested additions to the trifle.
Recipe: <a href="https://www.oliveandmango.com/quick-and-easy-mixed-berry-trifle/">https://www.oliveandmango.com/quick-and-easy-mixed-berry-trifle/</a>
IKenBee Honey: <a href="https://www.dashofthyme.com/shop/local-honey/">https://www.dashofthyme.com/shop/local-honey/</a>
Do you have any recipes inspired by your own garden? We’d love to hear them!
2022-05-25T06:00:00-07:002022-05-24T10:25:30-07:00Lauren Mesagnotag:donnalernerhometeam.com,2012-09-20:9160Don’t Let Rising Inflation Delay Your Homeownership Plans
<img width="1046" height="2334" src="https://files.mykcm.com/2022/05/18153723/20220520-MEM-1046x2334.png" class="attachment-entry size-entry wp-post-image" alt="Don’t Let Rising Inflation Delay Your Homeownership Plans INFOGRAPHIC] | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/05/18153723/20220520-MEM-1046x2334.png 1046w, https://files.mykcm.com/2022/05/18153723/20220520-MEM-269x600.png 269w, https://files.mykcm.com/2022/05/18153723/20220520-MEM-459x1024.png 459w, https://files.mykcm.com/2022/05/18153723/20220520-MEM-768x1714.png 768w, https://files.mykcm.com/2022/05/18153723/20220520-MEM-688x1536.png 688w, https://files.mykcm.com/2022/05/18153723/20220520-MEM-918x2048.png 918w, https://files.mykcm.com/2022/05/18153723/20220520-MEM-100x223.png 100w, https://files.mykcm.com/2022/05/18153723/20220520-MEM.png 1300w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights
If recent headlines about rising inflation are making you wonder if it’s still a good time to buy, here’s what experts have to say.
Housing is an asset that typically grows in value. Plus, your mortgage helps stabilize your monthly housing costs, and buying protects you from rising rents.
Experts say owning a home is historically a good hedge against inflation. Let’s connect if you’re ready to start the homebuying process today.
2022-05-20T06:00:00-07:002022-05-20T07:09:17-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:9104If You’re a Homeowner, You Have Incredible Leverage When You Sell Today<img src="https://assets.site-static.com/userfiles/1746/image/Screen_Shot_2022-05-16_at_12.38.13_PM.png" width="1242" height="663" />In today’s housing market, homeowners have a great opportunity to sell their house and receive the best terms for their personal situation. That’s because there’s a limited number of homes for sale, which is creating competition among buyers. Right now, homebuyers want three things:
To be the winning bid on their dream home
To buy before mortgage rates rise more
To buy before home prices go even higher
These buyer needs give you an amazing advantage – also known as leverage – when you sell.
What Does This Mean for Sellers Today?
You might already realize this enables you to sell at a good price, but you’re also in a great position to get the best terms to suit your needs.
According to the latest Realtors Confidence Index from the National Association of Realtors (NAR), the average home sold is receiving 4.8 offers. That’s why there’s a good chance you’ll get offers from multiple buyers who are willing to compete for your house. When you do, you should look closely at the terms of each offer to find out which one has the best options for you.
And if you have questions at any point in the process, remember your trusted real estate advisor can help. They’re experts who understand the fine print, know how to compare the terms of various offers, and will help you select the best one for your situation.
Bottom Line
If you’re thinking of selling your home, know buyer demand in today’s market gives you a great opportunity to get the best terms and price when you sell your house. Let’s connect today to discuss how much leverage you have as a seller in today’s market.2022-05-16T06:00:00-07:002022-05-16T09:42:15-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8966How to prep your outdoor space for BBQ season<img src="https://assets.site-static.com/userfiles/1746/image/pexels-lisa-fotios-1666467.jpg" width="3000" height="2000" />There is nothing better than a roaring fire, good food, and even better friends. Get ready, because days like these are fast approaching! A lot of people started to update their outdoor entertainment spaces when the pandemic hit, which was well worth the investment. If you are planning to host an outdoor gathering soon, check out some of these helpful tips for making sure your event goes off without a hitch!
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-marianne-238377.jpg" width="3497" height="2063" />
1. Seating
Make sure your guests feel welcome by having enough seats for everyone. This doesn’t necessarily have to be all in one location. Having options is a great way to encourage people to mingle, move around, and enjoy the entirety of your space. Some people may want to lounge while others are chowing down at the dining table.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-malte-luk-1233101.jpg" width="4272" height="2848" />
2. Cooking
Prep your cooking spaces so you’re ready to spend the day out there tending the grill. Do you have multiple cooking spaces, like a smoker or firepit? Keep them all ready to go at a moments notice, by cleaning them after every use and having any fuel/kindling you may need.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-rodnae-productions-7551316.jpg" width="2913" height="1942" />
3. Activities
Not everyone is going to want to relax in the sun and shade. Some are going to want some fun and excitement. Find some outdoor games that work for your space. If you have a large yard, frisbee, or croquet will make use of that space. Bocce or horseshoes pack a lot of punch in smaller spaces. Just remember to always be safe!
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-blank-space-2615407.jpg" width="2560" height="1920" />4. Landscaping
Aesthetics are always important. You want your space to feel inviting, but still like the outdoors. Make sure your landscaping is taken care of, manicured, and your style. Do you think of yourself as more of a zen rock garden…tropical oasis…english formal garden? Find your style and go for it! Your guests will appreciate it!
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-cassiano-psomas-1045199.jpg" width="3431" height="2287" />5. Safety
There’s nothing more important than safety. Before inviting others into your home, you’ll want to be sure that the visit will be fun filled…and a trip to the ER is not that fun. If you have a patio, make sure there are no tripping hazards. If you have a deck, make sure the boards are all sturdy. Keep walkways clear and dry. Go through with a fine toothed comb because again SAFETY IS THE MOST IMPORTANT THING!
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-askar-abayev-5638644.jpg" width="3405" height="2270" />6. Get excited
A happy host is the best host. You’ve made yourself a fantastic space to enjoy the outdoors on your own or with the people who mean the most to you. Enjoy the time while you can because Winter always comes faster than we want it to.2022-04-27T07:00:00-07:002022-04-27T07:53:39-07:00Lauren Mesagnotag:donnalernerhometeam.com,2012-09-20:8964Protect your home from the Spring sun<img src="https://assets.site-static.com/userfiles/1746/image/pexels-cats-coming-674580.jpg" width="7360" height="4912" />We all know that April showers bring May flowers, but it also comes along with warmer brighter sunlight! While we are usually itching to see the sun again, we have to be cautious with the possible damage it can bring. Just like we must protect our skin, our homes need protection too. To get you started, we’ve put together a list of helpful ways to cut down on sun damage to your home, inside and out.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-pixabay-462197sjsdfoi.jpg" width="4112" height="2736" />Curtains/Shades
Yes, window treatments are an interior design element, but they serve a crucial purpose. Multiple actually. By having the option to open and close, you are in control of how much light the inside of your home gets to see. This can protect everything inside from fading. They also act as another layer of insulation, regulating the temperature of your home. Plus, quality window treatments will really up the style of a space.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-merve-7497777.jpg" width="3250" height="3358" />Awnings
Technically, another type of window treatment, but awnings have additional benefits to protecting your home. Though you don’t have the exact control of how much light is entering through a window as you would with curtains or shades, awnings allow already shaded natural light in. This can be ideal for lighting, plant growth, as well as protecting your siding. Not to mention all they do in protecting against water damage, but that’s for a different article.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-rachel-claire-5490295.jpg" width="1728" height="2592" />Take precautions inside
Sometimes, we don’t have as much control of the light entering our home as we would like, but we still want to do everything we can to protect what we have. For example, you may have a dog who demands to have the curtains open for her to look out the window all day. But you have just restrained your hardwood floors. Plop down a large rug where you know the sunlight will be most prevalent to prevent fading. There are plenty of ways to reduce damage without entirely removing natural light from the equation.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-scott-webb-1029599.jpg" width="2382" height="1582" />Landscaping
Trees and shrubs can work wonders when it comes to protecting your home. The shade and insulation they provide is particularly important in the warmer months. They do a fantastic job at diluting direct and even indirect light. But remember that along with any landscaping, it’s important to make sure you aren’t also creating new problems. Plants can bring along with them wood destroying insects, critters, or possible damage to your home if they are too close to it.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-sindre-strom-966387.jpg" width="3125" height="2219" />Check your siding and roofing
Lastly, take the time to give your home a check up. Walk around your home to see if your siding and roofing are all in tip top condition. Even small imperfections can cause long lasting damage. If you see anything suspicious, call a professional to make sure your home and everyone and everything inside it are as safe as can be!2022-04-27T06:00:00-07:002022-04-27T06:56:02-07:00Lauren Mesagnotag:donnalernerhometeam.com,2012-09-20:8960 How Homeownership Can Help Shield You from Inflation
<img width="750" height="410" src="https://files.mykcm.com/2022/04/25102951/20220426-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="How Homeownership Can Help Shield You from Inflation | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/04/25102951/20220426-KCM-Share.jpg 750w, https://files.mykcm.com/2022/04/25102951/20220426-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2022/04/25102951/20220426-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
If you’re following along with the news today, you’ve likely heard about rising inflation. You’re also likely feeling the impact in your day-to-day life as prices go up for gas, groceries, and more. These rising consumer costs can put a pinch on your wallet and make you re-evaluate any big purchases you have planned to ensure they’re still worthwhile.
If you’ve been thinking about purchasing a home this year, you’re probably wondering if you should continue down that path or if it makes more sense to wait. While the answer depends on your situation, here’s how homeownership can help you combat the rising costs that come with inflation.
Homeownership Offers Stability and Security
Investopedia explains that during a period of high inflation, prices rise across the board. That’s true for things like food, entertainment, and other goods and services, even housing. Both rental prices and home prices are on the rise. So, as a buyer, how can you protect yourself from increasing costs? The answer lies in homeownership.
Buying a home allows you to stabilize what’s typically your biggest monthly expense: your housing cost. If you get a fixed-rate mortgage on your home, you lock in your monthly payment for the duration of your loan, often 15 to 30 years. James Royal, Senior Wealth Management Reporter at Bankrate, says:
“A fixed-rate mortgage allows you to maintain the biggest portion of housing expenses at the same payment. Sure, property taxes will rise and other expenses may creep up, but your monthly housing payment remains the same.”
So even if other prices rise, your housing payment will be a reliable amount that can help keep your budget in check. If you rent, you don’t have that same benefit, and you won’t be protected from rising housing costs.
Use Home Price Appreciation to Your Benefit
While it’s true rising mortgage rates and home prices mean buying a house today costs more than it did a year ago, you still have an opportunity to set yourself up for a long-term win. Buying now lets you lock in at today’s rates and prices before both climb higher.
In inflationary times, it’s especially important to invest your money in an asset that traditionally holds or grows in value. The graph below shows how home price appreciation outperformed inflation in most decades going all the way back to the seventies – making homeownership a historically strong hedge against inflation (see graph below):
<img loading="lazy" class="aligncenter wp-image-101920" src="https://files.mykcm.com/2022/04/25102953/20220426-MEM-Eng-1.png" alt="How Homeownership Can Help Shield You from Inflation | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2022/04/25102953/20220426-MEM-Eng-1.png 1000w, https://files.mykcm.com/2022/04/25102953/20220426-MEM-Eng-1-600x450.png 600w, https://files.mykcm.com/2022/04/25102953/20220426-MEM-Eng-1-768x576.png 768w, https://files.mykcm.com/2022/04/25102953/20220426-MEM-Eng-1-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />
So, what does that mean for you? Today, experts say home prices will only go up from here thanks to the ongoing imbalance in supply and demand. Once you buy a house, any home price appreciation that does occur will be good for your equity and your net worth. And since homes are typically assets that grow in value (even in inflationary times), you have peace of mind that history shows your investment is a strong one.
Bottom Line
If you’re ready to buy a home, it may make sense to move forward with your plans despite rising inflation. If you want expert advice on your specific situation and how to time your purchase, let’s connect.
2022-04-26T06:00:00-07:002022-04-26T12:29:48-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8814Using Your Tax Refund To Achieve Your Homeownership Goals This Year
<img width="750" height="410" src="https://files.mykcm.com/2022/04/07142536/20220411-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Using Your Tax Refund To Achieve Your Homeownership Goals This Year | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/04/07142536/20220411-KCM-Share.jpg 750w, https://files.mykcm.com/2022/04/07142536/20220411-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2022/04/07142536/20220411-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
If you’re buying or selling a home this year, you’re likely saving up for a variety of expenses. For buyers, that might include things like your down payment and closing costs. And for sellers, you’re probably working on a bit of spring cleaning and maintenance to spruce up your house before you list it.
Either way, any money you get back from your taxes can help you achieve your goals. Using a tax refund is a common tactic for buyers and sellers. SmartAsset estimates the average American will receive a $2,897 tax refund this year. The map below provides a more detailed estimate by state:
<img loading="lazy" class="aligncenter wp-image-101734" src="https://files.mykcm.com/2022/04/07142322/20220411-MEM-Eng-1.png" alt="Using Your Tax Refund To Achieve Your Homeownership Goals This Year | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2022/04/07142322/20220411-MEM-Eng-1.png 960w, https://files.mykcm.com/2022/04/07142322/20220411-MEM-Eng-1-600x450.png 600w, https://files.mykcm.com/2022/04/07142322/20220411-MEM-Eng-1-768x576.png 768w, https://files.mykcm.com/2022/04/07142322/20220411-MEM-Eng-1-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />
If you’re getting a refund this year, here are a few tips to help with your home purchase or sale this season.
How Buyers Can Use Their Tax Refund
According to American Financing, there are multiple ways your refund check can help you as a homebuyer. A few include:
Growing your down payment fund – If you haven’t started saving for your down payment, let your tax refund kick off the process. And if you have a fund already, the money you get back could put you closer to your goal.
Paying for your home inspection – Your home inspection can save you a lot of headaches down the road by helping you determine the condition of the house. As a buyer, you’ll typically be responsible for paying for your inspection, and it’s definitely worth the investment.
Saving for closing costs – Closing costs are additional expenses you’ll need to pay once it’s time to close. They average anywhere between 2-5% of the purchase price of your home.
This list is a great start, but it isn’t exhaustive of all the costs you may encounter as you set out on your homebuying journey. The best way to prepare is to work with a trusted real estate professional to make sure you understand what’s to come in the process.
How Sellers Can Use Their Tax Refund
If you own a home and are planning to sell this spring, your tax refund can help you make sure your home is ready to list. Here are a few ways current homeowners can put their tax refund to good use:
Making small upgrades – NerdWallet provides a list of great ways to use your tax refund, including tackling small projects or boosting your curb appeal to help your home stand out.
Making repairs – If there’s anything in your house that needs to be fixed, American Financing notes that completing repairs is another great use of that money.
Buying your next home – Whether you’re selling to move up or downsize, you can use your tax refund to help pay for any costs on the purchase of your next home.
Of course, it’s important to talk with your trusted real estate advisor before taking on any projects. They’ll make sure you can focus on areas that’ll help you receive the best possible price when you sell.
Bottom Line
Funding your home purchase or sale can feel like a daunting task, but it doesn’t have to be. Your tax refund can help you reach your goals. Let’s connect to discuss how you can start on your journey.
2022-04-11T06:00:00-07:002022-04-11T06:14:15-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8797Do You Know How Much Equity You Have in Your Home?
<img width="1046" height="2334" src="https://files.mykcm.com/2022/04/05162315/20220408-MEM-1046x2334.png" class="attachment-entry size-entry wp-post-image" alt="Do You Know How Much Equity You Have in Your Home? [INFOGRAPHIC] | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/04/05162315/20220408-MEM-1046x2334.png 1046w, https://files.mykcm.com/2022/04/05162315/20220408-MEM-269x600.png 269w, https://files.mykcm.com/2022/04/05162315/20220408-MEM-459x1024.png 459w, https://files.mykcm.com/2022/04/05162315/20220408-MEM-768x1714.png 768w, https://files.mykcm.com/2022/04/05162315/20220408-MEM-688x1536.png 688w, https://files.mykcm.com/2022/04/05162315/20220408-MEM-918x2048.png 918w, https://files.mykcm.com/2022/04/05162315/20220408-MEM-100x223.png 100w, https://files.mykcm.com/2022/04/05162315/20220408-MEM.png 1300w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights
If you’re a homeowner, your net worth has gotten a big boost. That’s because recent home price appreciation has increased your equity.
Your equity grows as you pay down your loan and as your home increases in value. Over the past year, the average homeowner’s equity grew by $55,300.
Ready to sell? Let’s connect to talk about how you can use that equity to fuel your next move.
2022-04-08T06:00:00-07:002022-04-08T06:25:05-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8705A Key To Building Wealth Is Homeownership
<img width="750" height="410" src="https://files.mykcm.com/2022/03/24150309/20220328-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="A Key To Building Wealth Is Homeownership | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/03/24150309/20220328-KCM-Share.jpg 750w, https://files.mykcm.com/2022/03/24150309/20220328-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2022/03/24150309/20220328-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
The link between financial security and homeownership is especially important today as inflation rises. But many people may not realize just how much owning a home contributes to your overall net worth. As Leslie Rouda Smith, President of the National Association of Realtors (NAR), says:
“Homeownership is rewarding in so many ways and can serve as a vital component in achieving financial stability.”
Here are just a few reasons why, if you’re looking to increase your financial stability, homeownership is a worthwhile goal.
Owning a Home Is a Building Block for Financial Success
A recent NAR report details several homeownership trends and statistics, including the difference in net worth between homeowners and renters. It finds:
“. . . the net worth of a homeowner was about $300,000 while that of a renter’s was $8,000 in 2021.”
To put that into perspective, the average homeowner’s net worth is roughly 40 times that of a renter (see visual below):
<img loading="lazy" class="aligncenter wp-image-101625" src="https://files.mykcm.com/2022/03/24150344/20220328-MEM-Eng.png" alt="A Key To Building Wealth Is Homeownership | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2022/03/24150344/20220328-MEM-Eng.png 960w, https://files.mykcm.com/2022/03/24150344/20220328-MEM-Eng-600x450.png 600w, https://files.mykcm.com/2022/03/24150344/20220328-MEM-Eng-768x576.png 768w, https://files.mykcm.com/2022/03/24150344/20220328-MEM-Eng-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />
The results from this report show that owning a home is a key piece to the puzzle when building your overall net worth.
Equity Gains Can Substantially Boost a Homeowner’s Net Worth
The net worth gap between owners and renters exists in large part because homeowners build equity. As a homeowner, your equity grows as your home appreciates in value and you make your mortgage payments each month.
In other words, when you own your home, you have the benefit of your mortgage payment acting as a contribution to a forced savings account. And when you sell, any equity you’ve built up comes back to you. As a renter, you’ll never see a return on the money you pay out in rent every month.
To sum it up, NAR says it simply:
“Homeownership has always been an important way to build wealth.”
Bottom Line
The gap between a homeowner’s net worth and a renter’s shows how truly foundational homeownership is to wealth-building. If you’re ready to start on your journey to homeownership, let’s connect today.
2022-03-28T06:00:00-07:002022-03-28T07:03:09-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8661The Many Benefits of Homeownership
<img width="750" height="410" src="https://files.mykcm.com/2022/03/21110149/20220322-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="The Many Benefits of Homeownership | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/03/21110149/20220322-KCM-Share.jpg 750w, https://files.mykcm.com/2022/03/21110149/20220322-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2022/03/21110149/20220322-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
The past two years have taught us the true value of homeownership, especially the stability and the feeling of accomplishment it can provide. But homeownership has so much more to offer. Here’s a look at a few of the non-financial and financial benefits of owning a home. If you’re looking to buy a home today, think about all the ways homeownership can impact your life.
Homeownership Has Impactful Personal and Emotional Benefits
Owning your home gives you a significant sense of pride because it’s a space that is truly yours. And as a homeowner, you can customize your home to your heart’s desire. Having a space you’ve put your stamp on enhances the pride and sense of ownership you may feel.
And that sense of ownership can extend beyond your shelter to help create social, community, and civic benefits as well. That’s because the average homeowner stays in their home for longer than just a few years. That means you’ll naturally feel a stronger connection to the community around you the longer you live there. This can help you experience a greater sense of belonging and a greater stake in your community as a whole. As the National Association of Realtors (NAR) says:
“Living in one place for a longer amount of time creates an obvious sense of community pride, which may lead to more investment in said community.”
Owning a Home Is a Significant Step Toward Financial Stability
In a financial sense, homeowners benefit from home price appreciation, equity gains, and having a shield against some of the effects of inflation. These benefits can have a big impact on your life. As you gain equity through home price appreciation and paying down your mortgage, you build your net worth. And in times of inflation, your 30-year fixed-rate mortgage can help you stabilize one of your largest monthly expenses for the duration of your loan.
Lawrence Yun, Chief Economist for NAR, explains how you can start to see these lasting effects of homeownership as soon as you make your purchase:
“Owning a home continues to be a proven method for building long-term wealth. . . . Home values generally grow over time, so homeowners begin the wealth-building process as soon as they make a down payment and move to pay down their mortgage.”
Knowing you’ve made a good investment soon after your purchase is powerful. And that may give you confidence in your decision to buy a home.
Bottom Line
The benefits of owning a home are foundational. As a homeowner, you can feel proud of the space you call home and know you’ve made a sound financial investment. To learn how homeownership can help you, let’s connect to start the conversation today.
2022-03-22T06:00:00-07:002022-03-22T06:12:35-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8448The Difference Between Renting and Owning
<img width="1046" height="2279" src="https://files.mykcm.com/2022/02/24130106/20220225-MEM-1046x2279.png" class="attachment-entry size-entry wp-post-image" alt="The Difference Between Renting and Owning [INFOGRAPHIC] | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/02/24130106/20220225-MEM-1046x2279.png 1046w, https://files.mykcm.com/2022/02/24130106/20220225-MEM-275x600.png 275w, https://files.mykcm.com/2022/02/24130106/20220225-MEM-470x1024.png 470w, https://files.mykcm.com/2022/02/24130106/20220225-MEM-768x1674.png 768w, https://files.mykcm.com/2022/02/24130106/20220225-MEM-705x1536.png 705w, https://files.mykcm.com/2022/02/24130106/20220225-MEM-940x2048.png 940w, https://files.mykcm.com/2022/02/24130106/20220225-MEM-100x218.png 100w, https://files.mykcm.com/2022/02/24130106/20220225-MEM.png 1300w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights
If you’re deciding whether to rent or buy, consider the many financial benefits that come with owning a home.
As a renter, you build your landlord’s wealth and face rising costs. As a homeowner, you build your own net worth and can lock in your monthly payments for the length of your loan.
If you’re weighing your options, remember that owning a home is a decision that has considerable financial perks. If you want to learn more, let’s connect to talk about the perks of homeownership.
2022-02-25T07:00:00-07:002022-02-25T07:50:27-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8414 The Perks of Owning More Than One Home
<img width="750" height="410" src="https://files.mykcm.com/2022/02/18112554/20220222-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="The Perks of Owning More Than One Home | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/02/18112554/20220222-KCM-Share.jpg 750w, https://files.mykcm.com/2022/02/18112554/20220222-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2022/02/18112554/20220222-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Many things have changed over the past couple of years, and real estate is no exception. One impact is an increased desire to own more than one home. According to the recent Luxury Market Report from Luxury Home Marketing:
“As trends such as remote working and flexi-hours took hold in 2021, so too did the flexibility of relocating as well as the growth of second homeownership.”
This may be because the pandemic has altered how we think about our homes. Where we live has become, more than ever, our safe space and our getaway. And with the rise in remote work, more people are reconsidering where they want to live and buying second homes to give them greater flexibility. If you fall in that category, here are just a few of the perks you’ll enjoy, and how owning a second home may be a great decision for your lifestyle and your future.
Enjoy a Change in Scenery (or Weather)
When you have two homes, you can alternate between them as the weather changes or as you crave different scenery. Do you want to live in an area with a particular season? Would alternating between a resort and a suburban setting be ideal? With two homes, you have those options. Being able to move between homes based on which location best suits you at the time gives you added flexibility and variety that can help increase your happiness.
Build Your Wealth Faster
You may have heard that home equity is skyrocketing, thanks to ongoing home price appreciation. CoreLogic reports that the average homeowner gained $56,700 in equity over the last year. With home prices projected to continue rising, if you purchase a second home, you could benefit from rising equity on both properties to build your wealth (and your net worth) even faster.
Be Closer to Loved Ones
The pandemic has also reignited the importance of being near our loved ones. One option worth exploring is whether you want your second home to be near the people who matter most in your life. This makes it easier to see your loved ones but still gives you your own dedicated, private space so you can be nearby for major life events or longer visits.
Lock in Your Expenses
Buying a second home today and locking in your mortgage rate may be a good option if you’re looking to stabilize your housing costs for the long haul. If you’re approaching retirement or are looking to use your second home as your permanent residence in the future, buying that house now with today’s rate and price may be a good financial decision. That way, no matter what happens with rates and prices in years ahead, your monthly payment is locked in for the next 15-30 years.
Bottom Line
Having multiple homes has considerable benefits. If owning a second home is something you’re interested in, let’s connect to explore your options, discuss the benefits, and take the next step to start your home search.
2022-02-22T07:00:00-07:002022-02-22T07:59:55-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8398Real Estate Voted the Best Investment Eight Years in a Row
<img width="750" height="410" src="https://files.mykcm.com/2022/02/18105859/20220221-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Real Estate Voted the Best Investment Eight Years in a Row | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/02/18105859/20220221-KCM-Share.jpg 750w, https://files.mykcm.com/2022/02/18105859/20220221-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2022/02/18105859/20220221-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
In an annual Gallup poll, Americans chose real estate as the best long-term investment. And it’s not the first time it’s topped the list, either. Real estate has been on a winning streak for the past eight years, consistently gaining traction as the best long-term investment (see graph below):
<img loading="lazy" class="aligncenter wp-image-101232" src="https://files.mykcm.com/2022/02/18105653/20220221-MEM-ENG.png" alt="Real Estate Voted the Best Investment Eight Years in a Row | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2022/02/18105653/20220221-MEM-ENG.png 960w, https://files.mykcm.com/2022/02/18105653/20220221-MEM-ENG-600x450.png 600w, https://files.mykcm.com/2022/02/18105653/20220221-MEM-ENG-768x576.png 768w, https://files.mykcm.com/2022/02/18105653/20220221-MEM-ENG-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />If you’re thinking about purchasing a home this year, this poll should reassure you. Even when inflation is rising like it is today, Americans agree an investment like real estate truly shines.
Why Is Real Estate a Great Investment During Times of High Inflation?
With inflation reaching its highest level in 40 years, it’s more important than ever to understand the financial benefits of homeownership. Rising inflation means prices are increasing across the board. That includes goods, services, housing costs, and more. But when you purchase your home, you lock in your monthly housing payments, effectively shielding yourself from increasing housing payments. James Royal, Senior Wealth Management Reporter at Bankrate, explains it like this:
“A fixed-rate mortgage allows you to maintain the biggest portion of housing expenses at the same payment. Sure, property taxes will rise and other expenses may creep up, but your monthly housing payment remains the same.”
If you’re a renter, you don’t have that same benefit, and you aren’t protected from increases in your housing costs, especially rising rents.
History Shows During Inflationary Periods, Home Prices Rise as Well
As a homeowner, your house is an asset that typically increases in value over time, even during inflation. That‘s because, as prices rise, the value of your home does, too. And that makes buying a home a great hedge during periods of high inflation. Natalie Campisi, Advisor Staff for Forbes, notes:
“Tangible assets like real estate get more valuable over time, which makes buying a home a good way to spend your money during inflationary times.”
Bottom Line
Housing truly is a strong investment, especially when inflation is high. When you lock in a mortgage payment, you’re shielded from housing cost increases, and you own an asset that typically gains value with time. If you want to better understand how buying a home could be a great investment for you, let’s connect today.
2022-02-21T07:00:00-07:002022-02-21T08:11:02-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8334Are You Ready To Fall in Love with Homeownership?
<img width="750" height="410" src="https://files.mykcm.com/2022/02/10151705/20220214-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Are You Ready To Fall in Love with Homeownership? | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/02/10151705/20220214-KCM-Share.jpg 750w, https://files.mykcm.com/2022/02/10151705/20220214-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2022/02/10151705/20220214-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Financial benefits are always a key aspect of homeownership, but it’s also important to understand that the nonfinancial and personal benefits are why so many people genuinely fall in love with their homes. When you own your home, you likely feel a sense of emotional attachment because of the comfort it provides, but also because it’s a space that’s truly yours.
Over the past two years, we’ve learned to love our homes even more as we’ve stayed home more than ever due to the ongoing pandemic. As a result, the personal and emotional benefits our homes provide have become even more important to us.
As the most recent State of the American Homeowner from Unison puts it:
“Despite the upheaval and uncertainty of the past year, one thing has stayed the same: the home continues to be of the utmost importance and a place of security and comfort.”
When the health crisis began, the world around us changed almost overnight, and our homes were redefined. Our needs shifted, and our shelters became a place that protected us on a whole new level. The same study from Unison notes:
91% of homeowners say they feel secure, stable, or successful owning a home
64% of American homeowners say living through a pandemic has made their home more important to them than ever
83% of homeowners say their home has kept them safe during the COVID-19 pandemic
It’s no surprise this study also reveals that homeowners now love their homes even more as our emotional attachments to them have grown:
<img loading="lazy" class="aligncenter wp-image-101110" src="https://files.mykcm.com/2022/02/10151707/20220214-MEM-Eng-1.png" alt="Are You Ready To Fall in Love with Homeownership? | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2022/02/10151707/20220214-MEM-Eng-1.png 1000w, https://files.mykcm.com/2022/02/10151707/20220214-MEM-Eng-1-600x450.png 600w, https://files.mykcm.com/2022/02/10151707/20220214-MEM-Eng-1-768x576.png 768w, https://files.mykcm.com/2022/02/10151707/20220214-MEM-Eng-1-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />
That sense of emotional connection genuinely reaches far beyond the financial aspect of homeownership. Because they’re our shelters – ones that we can genuinely call our own. Our homes touch our hearts and can also positively impact our mental health.
As JD Esajian, President of CT Homes, LLC, says:
“Aside from the financial factors, there are several social benefits of homeownership and stable housing to consider. It has long been thought that buying a home contributes to a sense of accomplishment. Still, most individuals fail to realize that homeownership can benefit your mental health and the community around you.”
Whether you’re thinking of buying your first home, moving up to your dream home, or downsizing to something that better fits your changing lifestyle, take a moment to reflect on what Mark Fleming, Chief Economist at First American, notes:
“Buying a home is not just a financial decision. It’s also a lifestyle decision.”
Bottom Line
There are so many reasons to fall head over heels for homeownership. Your home will provide a place to customize and call your own, in addition to stability and security. If you’re ready to fall in love with homeownership, let’s connect so you can get started on your homebuying journey today.
2022-02-14T07:00:00-07:002022-02-14T07:31:08-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8302The Path To Homeownership Can Be Steeper for Some Americans
<img width="750" height="410" src="https://files.mykcm.com/2022/02/08103739/20220209-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="The Path To Homeownership Can Be Steeper for Some Americans | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/02/08103739/20220209-KCM-Share.jpg 750w, https://files.mykcm.com/2022/02/08103739/20220209-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2022/02/08103739/20220209-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
As we celebrate Black History Month, we honor and recognize the past and present experiences of Black Americans. A significant part of this experience is investing in a home of their own. While equitable access to housing has come a long way, the path to homeownership is still steeper for households of color. It’s an important experience to talk about, along with how working with the right real estate experts can make all the difference for diverse homebuyers.
We know it’s a more challenging journey to achieve homeownership for some because there’s still a measurable gap between the overall average U.S. homeownership rate and that of non-white groups. Today, the lowest homeownership rate persists in the Black community (see graph below):
<img loading="lazy" class="aligncenter wp-image-101091" src="https://files.mykcm.com/2022/02/08103741/20220209-MEM-Eng-1.png" alt="The Path To Homeownership Can Be Steeper for Some Americans | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2022/02/08103741/20220209-MEM-Eng-1.png 1000w, https://files.mykcm.com/2022/02/08103741/20220209-MEM-Eng-1-600x450.png 600w, https://files.mykcm.com/2022/02/08103741/20220209-MEM-Eng-1-768x576.png 768w, https://files.mykcm.com/2022/02/08103741/20220209-MEM-Eng-1-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />
Homeownership is an essential piece for building household wealth that can be passed down to future generations. However, there are obstacles in the homebuying process that can negatively impact certain racial and ethnic groups, including the Black community. This can delay or prevent many from achieving homeownership, challenging their ability to grow their net worth. A report by Vanessa G. Perry of the George Washington University School of Business and Janneke Ratcliffe of the Urban Institute explains:
“. . . households of color have much lower homeownership rates than white households and consequently hold, at the median, just one-eighth the wealth of white households.”
On top of that, when Black households do become homeowners, research shows they pay more for those homes overall than the average household. Raheem Hanifa, a Research Analyst for the Joint Center for Housing Studies of Harvard University, tells us:
“Black homeowners not only have primary mortgages with higher interest rates than white homeowners with similar incomes, they also have higher interest rates than white homeowners with substantially lower incomes, . . . Black homeowners have experienced systemic barriers to homeownership and wealth-building opportunities that have limited their ability to access credit, which is a key component in receiving low mortgage interest rates.”
For Black homebuyers, the inequity that remains in housing can be a point of pain and frustration. That’s why it’s so important for members of diverse groups to have the right team of experts on their sides throughout the homebuying process. These professionals aren’t only experienced advisors who understand the market and give the best advice. They’re also compassionate allies who will advocate for your best interests every step of the way.
Bottom Line
Opportunities in real estate improve every day, but there are still equity challenges that many face. Let’s connect to make sure you have an advocate on your side as you walk the path to homeownership.
2022-02-09T07:00:00-07:002022-02-09T07:24:45-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8263How Remote Work Impacts Your Home Search
<img width="1046" height="2435" src="https://files.mykcm.com/2022/02/03134442/20220204-MEM-1046x2435.png" class="attachment-entry size-entry wp-post-image" alt="How Remote Work Impacts Your Home Search [INFOGRAPHIC] | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/02/03134442/20220204-MEM-1046x2435.png 1046w, https://files.mykcm.com/2022/02/03134442/20220204-MEM-258x600.png 258w, https://files.mykcm.com/2022/02/03134442/20220204-MEM-440x1024.png 440w, https://files.mykcm.com/2022/02/03134442/20220204-MEM-768x1788.png 768w, https://files.mykcm.com/2022/02/03134442/20220204-MEM-660x1536.png 660w, https://files.mykcm.com/2022/02/03134442/20220204-MEM-880x2048.png 880w, https://files.mykcm.com/2022/02/03134442/20220204-MEM-100x233.png 100w, https://files.mykcm.com/2022/02/03134442/20220204-MEM.png 1300w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights
If your workplace is delaying its return to office plans or is allowing permanent work from home options, that may open up new possibilities for your home search.
Ongoing remote work could give you the chance for a change in scenery, a move to an area with a lower cost of living, or finding a home with more home office space.
If you want to learn more about how remote work can give you more options, let’s connect to discuss your situation and priorities for your home search.
2022-02-04T07:00:00-07:002022-02-04T08:58:42-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8252Millions of Americans Have Discovered the Benefits of Multigenerational Households
<img width="750" height="410" src="https://files.mykcm.com/2022/01/31150904/20220202-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Millions of Americans Have Discovered the Benefits of Multigenerational Households | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/01/31150904/20220202-KCM-Share.jpg 750w, https://files.mykcm.com/2022/01/31150904/20220202-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2022/01/31150904/20220202-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
If your needs are changing, you may be thinking about sharing a home with additional loved ones, such as grandparents, adult children, or other extended family members. Whether it’s for financial or health-related circumstances, or simply because you’ve reached a new phase of life, you might be wondering if living with multiple generations under the same roof is a good move for you. Many people have found themselves in a similar situation and they’ve already made the choice to live in a multigenerational home.
What Is a Multigenerational Home?
The Pew Research Center defines a multigenerational household as a home with two or more adult generations. They include households with grandparents and grandchildren under the age of 25. As you weigh your options and decide if multigenerational living is right for you, here’s some helpful information highlighted by other homeowners living with additional loved ones.
The Benefits of Multigenerational Living
A recent report from Generations United surveyed individuals living in a multigenerational setting and asked them about the key benefits of this housing arrangement. It says:
“Nearly all Americans who live in a multigenerational household (98%) feel their household functions successfully, citing various aspects of home design, family relationships and interactions, and supports and services influencing their success.”
The study identifies some of the top benefits of this lifestyle as an improved financial situation, better mental and physical health, strengthened bonds with loved ones, and more (see chart below):
<img loading="lazy" class="aligncenter wp-image-100934" src="https://files.mykcm.com/2022/01/31150909/20220202-MEM-Eng-1.png" alt="Millions of Americans Have Discovered the Benefits of Multigenerational Households | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2022/01/31150909/20220202-MEM-Eng-1.png 1000w, https://files.mykcm.com/2022/01/31150909/20220202-MEM-Eng-1-600x450.png 600w, https://files.mykcm.com/2022/01/31150909/20220202-MEM-Eng-1-768x576.png 768w, https://files.mykcm.com/2022/01/31150909/20220202-MEM-Eng-1-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />
Those are just some of the reasons why most people who decide to live in this situation find it worthwhile. As Donna Butts, Executive Director at Generations United, says:
“Families may come together from need, but they are staying together by choice. Indeed, more than 7 in 10 (72 percent) of those currently living in a multigenerational household plan to continue doing so long-term.”
With More Adults Living Under One Roof, You May Need More Space
If you decide to look for a multigenerational home, it’s important to understand what everyone will need to make the arrangement work to its fullest. Something that often makes the top of the list for homeowners living with multiple generations is additional space for privacy. This could mean more bedrooms and bathrooms or features like an in-law suite or a basement.
If you’re realizing your current house doesn’t provide the room you need for multigenerational living, an expert real estate advisor can help you navigate the process to find the right home that works for you and your loved ones.
Bottom Line
Living in a multigenerational household has real and impactful benefits. If you’re interested in learning more about these options in our local area, let’s connect so you can find a home that fits your changing needs.
2022-02-03T07:00:00-07:002022-02-03T09:35:42-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8235Why a Move Could Bring You More Happiness This Year
<img width="750" height="410" src="https://files.mykcm.com/2022/01/31115439/20220201-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Why a Move Could Bring You More Happiness This Year | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/01/31115439/20220201-KCM-Share.jpg 750w, https://files.mykcm.com/2022/01/31115439/20220201-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2022/01/31115439/20220201-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Over the past two years, we’ve lived through one of the most stressful periods in recent history. Because of the health crisis, many of us have spent more time at home and that’s led us to re-evaluate both what we need in a house and how much we appreciate having a safe space. If you’ve found your current home isn’t filling all your needs, you may be wondering if it’s time to find a new one.
There’s reason to believe a change of scenery could boost your happiness. Catherine Hartley, an Assistant Professor at New York University’s Department of Psychology and co-author of a study on how new experiences impact happiness, says:
“Our results suggest that people feel happier when they have more variety in their daily routines—when they go to novel places and have a wider array of experiences.”
A move could be exactly the new experience you’ve been looking for. If that’s something you’re considering to better your lifestyle, here are a few things to keep in mind.
Approach Your Decision Thoughtfully and Explore Your Options
Buying and selling a home is a major life change, and it’s not a decision you should enter lightly. But, if you’re questioning whether or not a move would bring you more happiness, it’s important to explore if it’s the right choice for you.
To find out more and discuss your options, reach out to a local real estate professional. They’ll explain the process – including how to list your existing house and search for a new one – in clear and simple terms.
You should also think about your lifestyle and what you’re hoping to get out of your move. What needs aren’t being met in your current home? What features would bring you more joy and make your life easier? For example, are you now working remotely and need a home office? Do you crave more fresh air and open outdoor space to unwind in? Knowing the answers to these questions can help you get started and position your real estate advisor to work with you so you can find just the right home.
Consider a Location with Weather That Will Boost Your Mood
Home features aren’t the only thing to consider. You should also weigh your options when it comes to location. Is the weather something that’s important to you? Does it have a tendency to impact your mood? If it does, you may want to factor it into your next move. The World Population Review shares:
“What states have the best weather? When evaluating each state for temperature, rain, and sun, some states stand out. . . . Climate and weather preferences are personal and subjective. . . . “
Better weather can mean different things to different people. Some prefer the heat, others cooler temperatures, and some want to experience all four seasons. Think about what makes you feel happiest and prioritize that in your home search. If you’re moving to a whole new location, your agent is a great resource with a strong network to support you along the way.
Bottom Line
Moving could provide you with a fresh beginning and the chance to find happiness in your new home. Let’s connect today to talk about your goals and options in the current market.
2022-02-01T07:00:00-07:002022-02-01T09:56:39-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8161The Most Surprising Home Trends of 2021<img src="https://assets.site-static.com/userfiles/1746/image/pexels-sammsara-luxury-modern-home-1099816.jpg" width="2540" height="1782" />
We know that the past two years have brought along with them some of the most unforeseen trends in the real estate market. And if we’ve learned anything, it is to expect the unexpected. No one was predicting the need for closed off spaces in 2019 when open concept was all the rage. But 2020 struck with more changes than can be counted. In the spirit of reflection, we put together a list of the most surprising home/market trends of the past year.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-houzlook-com-3797991.jpg" width="2667" height="2000" />
Color - After years and years of the black, white, and grey designs of the Joanna Gains’ of the world, bold color has finally found its place. In 2020, we painted out walls. In 2021, we painted EVERYTHING else. Nothing was off limits, cabinets, doors, ceilings, furniture, the list goes on and on. We needed more optimism in our lives, and color has a way of lifting our moods. We’re hoping that the embrace of color stays in the spotlight and isn’t just a one hit wonder.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-mikael-blomkvist-6476587.jpg" width="4383" height="2925" />
Closed spaces - Open concept, open concept, open concept. You couldn’t watch a single design show for the past 20 years without hearing those words. But that trend has finally started to see a decline. When trapped with your loved ones, sometimes all you want is to slam a door and enjoy some privacy. In order to do that, you need walls. So opposed to a grand space that functions as living/dining/kitchen, having designated spaces are officially back!
<img src="https://assets.site-static.com/userfiles/1746/image/21.jpg" width="2397" height="1600" />
Elevated Trim - Minimalism, inspired by the rise of Scandinavian and Modern styles left walls pretty bare when it came to trim. But this year we’ve seen more and more homeowners and professional builders up their game when it came to wood details. We probably aren’t going to see 12” crown become the norm any time soon, but paying attention to the impact a little bit of detail can do when it comes to window and door casings, baseboard, crown, chair rail and picture rail, and even coffered ceilings, trim can really elevate the design of your home.
<img src="https://assets.site-static.com/userfiles/1746/image/jan5.jpg" width="564" height="846" />
Vintage and Traditional Decor - When shipping delays and cancelations swept the nation, people had to turn somewhere else for their home’s needs. What better place to look for new furniture and accessories than your favorite place to shop for second hand goods. We can all admit that most things aren’t built like they used to be. Old furniture is still in circulation because it was made to last. Design has started to embrace hand-me-downs and vintage finds, blending them with more modern decor for a perfect balance of old and new.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-thorn-yang-154161.jpg" width="3200" height="4800" />
Light Wood - Dark woods were and definitely still are popular choices, but it’s been a while since we’ve seen so much blond and natural wood on the market. There is such a bright and cheerful vibe to these beachy tones that make our homes feel like more of a vacation spot than a prison.
<img src="https://assets.site-static.com/userfiles/1746/image/feb_4.jpg" width="564" height="846" />
Natural Elements - Speaking of wood, natural elements of every kind are being brought indoors a lot lately. We’re seeing a rise in rattan, burlwood, and excessive amounts of house plants. Millennials were accused of replacing children with their pets. Well, Get Z is doing the same with their plants. Have to admit, the incorporation of natural elements, especially living ones add a lot of life to a space as well.2022-01-26T10:00:00-07:002022-01-26T07:40:18-07:00Lauren Mesagnotag:donnalernerhometeam.com,2012-09-20:8160What renovations should you consider in 2022?<img src="https://assets.site-static.com/userfiles/1746/image/pexels-pixabay-159045.jpg" width="3573" height="2373" />
If your 2022 resolution is to sell your home, we’re here to help, in more ways than one. Even in todays hot seller’s market, making certain improvements to your home before you list can get you even more bang for your buck! Here is our list of the best renovations you can do this year for the best return on investment!
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Cabinetry - Whether they’re in the kitchen, bathroom, laundry room, or basement, having updated cabinets is a must to today’s buyer. If your cabinets are in good shape, you may be lucky enough to give them a fresh coat of paint or new hardware, but sometimes replacement is the best way to go. Buyers want clean, functioning, and stylish storage solutions now more than ever!
<img src="https://assets.site-static.com/userfiles/1746/image/Screen_Shot_2022-01-26_at_9.46.03_AM.png" width="1077" height="1106" />
Hardware - We all know the ones… brass with a hint of green tarnish. We see it every day in our line of work. Unfortunately, buyers see it too often as well. Though small features like faucets, knobs, pulls, or lighting might seem like small potatoes, but they add up faster than you think. Replacing these before buyers come in will make it much easier for them to imagine living there rather than thinking about how much it will cost to replace them themselves.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-stephanie-ho-994164.jpg" width="2283" height="2283" />
Paint - This is almost always a necessity. Paint, even when the color choice is perfect, can use a refresh in as little as one year. Paint can fade or get scuffed and dirty. Repainting is a simple and cost effective way to breathe a little life back into your home.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-huseyn-kamaladdin-667838.jpg" width="2917" height="2018" />
Office Spaces - Did you know that the majority of Americans work at least occasionally form home? We don’t know about you, but that time working remotely is usually best done from a designated work space rather than on the sofa or in bed. Even working at the dining room table or kitchen island can prove difficult. Having a separate space to shut the door and focus on work will be a big selling point to potential buyers, whether they work from home full time or once in a blue moon.
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Garage Doors and Windows - When a potential buyer drives up to your home, they’ll immediately take notice of the garage doors and windows. Making sure these are updated will set the tone for a successful showing. More than just curb appeal, a new garage doors and windows up a homes energy efficiency and security, both of which are critical when we are spending more time in our homes.
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Outdoor Retreat - Since 2020, having family and friends over has looked very different. The safest way to have your loved ones spend time at your home is by hosting in your backyard. Because we don’t know when gathering will go back to normal, buyers are looking for yards that are made for hosting. Wood decks tend to have better ROI than composite decking or patios, but any outdoor entertainment space is going to see a healthy return. Think about an outdoor kitchen, fire pit, and plenty of space for seating.
We hope this list gave you some ideas of how to set your home up for the most successful sale in 2022. We’re here to help whenever you’re ready!2022-01-26T07:00:00-07:002022-01-26T07:49:50-07:00Lauren Mesagnotag:donnalernerhometeam.com,2012-09-20:8155The Next Generation of Homebuyers Is Here
<img width="750" height="410" src="https://files.mykcm.com/2022/01/24121723/20220125-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="The Next Generation of Homebuyers Is Here | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/01/24121723/20220125-KCM-Share.jpg 750w, https://files.mykcm.com/2022/01/24121723/20220125-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2022/01/24121723/20220125-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Many members of Generation Z (Gen Z) are aging into adulthood and deciding whether to rent or buy a home. If you find yourself in this group, it’s important to understand you’re never too young to start thinking about homeownership. The sooner you start planning, the sooner you can move on from renting.
As you set off on your journey and plan your next move, here are a few reasons to think about homebuying this year.
The Reasons Gen Z Want To Become Homeowners
While the majority of Gen Z haven’t entered the housing market yet, a large portion plan to according to a realtor.com report. The report found that 72% of Gen Z would rather purchase a home than rent long-term. As George Ratiu, Manager of Economic Research for realtor.com, says:
“With nearly three-quarters of those surveyed preferring to buy versus renting long-term, the housing industry should be prepared for millions of Gen Z buyers to bring a new wave of demand along a similar stage-of-life timeline as the millennial generation before them.”
But why do so many members of Gen Z value homeownership? According to the latest Home Buyers and Sellers Generational Trends Report from the National Association of Realtors (NAR), young homebuyers – more than any other age group – want to become homeowners because they want to have a place of their very own.
That may be because one of the biggest benefits of homeownership is having a place that you can truly make your own by customizing it to your style and personality. Whether that’s the décor, painting, or renovations, when you own your home, you don’t have to limit yourself to what your lease and landlord will allow.
Not to mention, owning a home provides much greater long-term stability and security than renting. When you own a home, there’s also protection from steadily rising rental costs because your monthly mortgage payment is locked in for the length of your loan (typically 15 to 30 years).
Work with a Real Estate Professional To Achieve Your Goals
Whether you’re just getting started on your homebuying journey, you want to learn more about the process, or you’re fully committed to buying your first home this year, it’s especially important to connect with a trusted real estate advisor soon, as you won’t be the only first-time buyer in the market. According to a recent survey from realtor.com, a majority of first-time buyers surveyed are looking to purchase a home in 2022. As the survey notes:
“First-time home buyers retain their optimism despite a challenging housing market in the past year. Hoping to achieve their goal of homeownership and provide a comfortable space for their families, young buyers are setting out to learn what they can about the market and setting their list of priorities for their home purchase.”
That means you’ll likely face strong competition from other first-time buyers. One way to get a leg-up on that competition is to work with a real estate professional to make sure you have the support you need to make an informed and confident decision.
Bottom Line
If you’re planning your next move, you’re not alone. Just know it’s never too early to consider the benefits of homeownership over renting. To learn more, let’s connect today so you have a trusted professional on your side to help you explore your options.
2022-01-25T07:00:00-07:002022-01-25T08:13:59-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:8133Americans Choose Real Estate as the Best Investment
<img width="1046" height="2199" src="https://files.mykcm.com/2022/01/20142632/20220121-MEM-1046x2199.png" class="attachment-entry size-entry wp-post-image" alt="Americans Choose Real Estate as the Best Investment [INFOGRAPHIC] | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2022/01/20142632/20220121-MEM-1046x2199.png 1046w, https://files.mykcm.com/2022/01/20142632/20220121-MEM-285x600.png 285w, https://files.mykcm.com/2022/01/20142632/20220121-MEM-487x1024.png 487w, https://files.mykcm.com/2022/01/20142632/20220121-MEM-768x1615.png 768w, https://files.mykcm.com/2022/01/20142632/20220121-MEM-731x1536.png 731w, https://files.mykcm.com/2022/01/20142632/20220121-MEM-974x2048.png 974w, https://files.mykcm.com/2022/01/20142632/20220121-MEM-100x210.png 100w, https://files.mykcm.com/2022/01/20142632/20220121-MEM.png 1300w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights
According to a Gallup poll, real estate has been rated the best long-term investment for eight years in a row.
Real estate tops the list because you’re not just buying a place to call home – you’re investing in your future. Real estate is typically considered a stable and secure asset that can grow in value over time.
Let’s connect today if you’re ready to make real estate your best investment this year.
2022-01-21T07:00:00-07:002022-01-21T10:29:43-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:7926The Colors of 2022!<img src="https://assets.site-static.com/userfiles/1746/image/0c37ff60-5daa-0f74-c426-6e95dc7359bb.png" width="1130" height="1750" />
With a new year comes more new trends than we can possibly keep track of - one of the most anticipated being Pantone’s Color of the Year! For 2022, they have selected the vibrant and playful Very Peri. However, most other big name paint companies have selected much calmer, almost pastel colors as their choices for 2022. So, what does this mean in terms of home trends? I’m here to help you understand how you can incorporate these kinds of colors in your home, whether you’re looking to sell or stay put, while being perfectly on trend!
(Images below are examples, not exact colors mentioned above)
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-max-vakhtbovych-6636285.jpg" width="4829" height="7008" />
Let’s start with the leader of the pack. Pantone’s Very Peri, is easily the most adventurous of this year's shout out colors. Pantone’s Color of the Year is always a big influencer in marketing and fashion, but a color this brave can be tough to incorporate seamlessly with existing home decor. I wouldn’t tell just anyone to go ahead and paint their walls this intense of a color and expect them to be happy. But if the color speaks to you, there are so many ways to weave it into your home design. Of course, florals work perfectly in this shade. If you’re feeling a little more daring, go for a bold solid pillow, window treatment, or even a chair! Throw the color in a few places to make it blend more easily. For those of you who are ready, pairing it with other vibrant colors will create a dynamic design!
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From the color palette above, we can see that dusty blues and greens are very popular right now across the board. As the trend continues to move away from cool greys, warmer and slightly more playful colors are taking their place. Colors like this make it very easy to put color where we may not have thought to before. For example, the thought of colored kitchen cabinets may have seemed dated only 10 years ago. But now, a pale green kitchen or a monochromatic blue bedroom is perfectly in style. If Very Peri is too much for you, these colors should be your best introduction to the world of color.
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If these past two years have taught us anything, it’s that home needs to be comforting. We have spent a lot of time locked up, and who knows if and when it will happen again. If so, we want to feel at home when we’re at home. This is a big reason that warmer neutrals are starting to take the driver's seat again. Being cooped up for long periods of time can be hard in a well designed but cold room. Browns and tans might not be fore everyone, but linen instead of white, or taupe instead of grey, are good places to start. Remember that we aren’t only referring to paint either. Items like wood and leather have a warmer effect than glass and metal. Think outside the box!
If you aren’t sure which of these colors to pick or if any of them are really meant for you, we are offering complimentary color consultations for the month of January to get your 2022 off to a fresh start! Reach out to our Color Expert, Lauren at <a href="mailto:Lauren@DonnaLernerHomeTeam.com">Lauren@DonnaLernerHomeTeam.com</a> today to set up your appointment!
2021-12-29T10:00:00-07:002021-12-29T09:20:31-07:00Lauren Mesagnotag:donnalernerhometeam.com,2012-09-20:7938Good Home Habits for 2022<img src="https://assets.site-static.com/userfiles/1746/image/pexels-cottonbro-4108712.jpg" width="5035" height="3776" />
The most wonderful time of the year is soon going to be replaced with the tedious resolution season. We all start with the best of intentions and often hit a wall somewhere around week two, if we’re lucky. If you're hoping to get into some better home habits, this is how we suggest going about it. Don’t wait for the “we have guests coming over so we need to clean” excuse. Considering we don’t even know if that will be an option in the coming Winter months, we have to rely on ourselves to be motivated. The best path to success is to not bite off more than you can chew. Think of the tasks that seem the most daunting. Do yourself and your home a favor by getting ahead of tasks like these. Check out our ideas below!
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-anete-lusina-4792771.jpg" width="5770" height="3852" />
Keep a no-shoes home.
To keep your floors in tip-top shape, you want to minimize the amount of wear and tear. Wearing shoes in the home not only causes more friction than slippers or socks, but it also tracks in dirt and debris from the outside world all throughout your home. Keep your floors shining like new and help yourself out when it comes time to vacuum. You’ll notice you need to empty out the canister much less often!
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-cottonbro-4112728.jpg" width="3079" height="4104" />
Run the dishwasher every night.
If your resolution is to start eating healthier or cooking more rather than ordering out, take this tip from professional chefs. Keep your workstation clean! Instead of letting dishes pile up in the sink or on the counter from a long night of meal prepping, stack those dishes in the dishwasher and run it every single night. You will actually save water opposed to washing them in the sink, even if it is just a few dishes. Plus you’ll save yourself a lot of time and annoyance later.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-polina-tankilevitch-4443433.jpg" width="2000" height="3000" />
Keep your fridge clean and organized.
Another issue a lot of us face when it comes to eating healthy is having a hard time finding something to eat. If you keep your fridge organized where everything is accessible, you won’t kick yourself when you realize that those grapes you bought were forgotten in the back of the crisper drawer. Empty the fridge, take stock, and organize as regularly as you can.
<img src="https://assets.site-static.com/userfiles/1746/image/99-films-48mTwDzizqE-unsplash.jpg" width="3569" height="5354" />
Clean your shower while you’re in the shower.
Soap scum is the bane of everyone's existence. The best way to tackle it is while it’s fresh. And the best time to do that is while you’re actually IN the shower. Spray on some cleaner when you first hop in and rinse it off once you’re done. Even squeegee the walls/doors. You’ll never have to scrub away scum in hard to reach areas ever again!
<img src="https://assets.site-static.com/userfiles/1746/image/Screen_Shot_2021-12-29_at_9.58.02_AM.jpg" width="1406" height="1948" />
When you start the laundry, finish the laundry.
Nothing is more terrifying than a giant pile of laundry, dirty OR clean. It's so simple to put a load in and forget about it until we literally have no other options but to finish it. But the task seems impossible when you know it will take a full weekend dedicated to nothing else. The simplest fix to this is to follow through when you start. Keep the task managable and the fear associated with laundry will start to fade. It will become as simple as making your bed!
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-mw-studios-90317.jpg" width="2270" height="1498" />
Make the bed every morning.
Speaking of...it might seem insignificant, but this one task will help set your intentions for the entire day. This is the space where you are meant to be your most relaxed. If you can manage to keep it inviting and tidy, you’ll always have something to look forward to at the end of the day.
We hope these small changes to your daily routine will make your 2022 as smooth as possible!
2021-12-29T07:00:00-07:002021-12-29T08:13:16-07:00Lauren Mesagnotag:donnalernerhometeam.com,2012-09-20:7894When a House Becomes a Home
<img width="750" height="410" src="https://files.mykcm.com/2021/12/15131434/20211223-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="When a House Becomes a Home | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/12/15131434/20211223-KCM-Share.jpg 750w, https://files.mykcm.com/2021/12/15131434/20211223-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/12/15131434/20211223-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
It’s clear that owning a home makes financial sense. But lately, the emotional side of what drives homeownership is becoming increasingly important.
No matter the living space, the feeling of a home means different things to different people. Whether it’s a familiar scent or a favorite chair, the feel-good connections to our own homes can be more important to us than the financial ones. Here are some of the reasons why.
1. Owning your home is an accomplishment worth celebrating
You’ve put in a lot of work to achieve the dream of homeownership, and whether it’s your first home or your fifth, congratulations are in order for this milestone. You’ve earned it.
2. There’s no place like home
Owning your own home offers not only safety and security but also a comfortable place where you can simply relax and unwind after a long day. Sometimes that’s just what we need to feel recharged and truly content.
3. You can find more space to meet your needs
Whether you want more room for your changing lifestyle (think: working from home, dedicated space for a hobby, or a personal gym) or you simply prefer to have a large backyard for entertaining, you can invest in a home that truly works for your evolving needs.
4. You have control over renovations, updates, and your style
Looking to try one of those decorative wall treatments you saw on Pinterest? Tired of paying an additional pet deposit for your apartment building? Maybe you want to create an entire in-home yoga studio. You can do all of these things in your own home.
Bottom Line
Whether you’re a first-time homebuyer or a repeat buyer who’s ready to start a new chapter in your life, now is a great time to reflect on the non-financial factors that turn a house into a happy home.
2021-12-23T07:00:00-07:002021-12-23T07:55:40-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:7881The Average Homeowner Gained $56,700 in Equity over the Past Year
<img width="750" height="410" src="https://files.mykcm.com/2021/12/20121022/20211221-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="The Average Homeowner Gained over $56,700 in Equity over the Past Year | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/12/20121022/20211221-KCM-Share.jpg 750w, https://files.mykcm.com/2021/12/20121022/20211221-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/12/20121022/20211221-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
When you think of homeownership, what’s the first thing that comes to mind? Chances are you might focus on the non-financial benefits, like the security or stability a home provides. But what about equity? While it can be overlooked, a homeowner’s equity helps build long-term wealth over time. Here’s a look at what equity is and why it matters.
For a homeowner, your equity is the current value of your home minus what you owe on the loan. So, as home values climb, your equity does too. That’s exactly what’s happening today. There aren’t enough homes on the market to meet buyer demand, so bidding wars and multiple offers are driving prices up. That’s because people are willing to pay more to buy a home. Right now, this low supply and high demand are giving current homeowners a significant equity boost.
Dr. Frank Nothaft, Chief Economist at CoreLogic, explains it like this:
“Home price growth is the principal driver of home equity creation. The CoreLogic Home Price Index reported home prices were up 17.7% for the past 12 months ending September, spurring the record gains in home equity wealth.”
To find out just how much rising home values have impacted equity, we turn to the latest Homeowner Equity Insights from CoreLogic. According to that report, the average homeowner’s equity has grown by $56,700 over the last 12 months.
Curious how your state stacks up? Check out the map below to find out the average equity gain for your area.<img loading="lazy" class="aligncenter wp-image-100413" src="https://files.mykcm.com/2021/12/20170247/20211221-MEM-Eng.png" alt="The Average Homeowner Gained over $56,700 in Equity over the Past Year | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2021/12/20170247/20211221-MEM-Eng.png 1000w, https://files.mykcm.com/2021/12/20170247/20211221-MEM-Eng-600x450.png 600w, https://files.mykcm.com/2021/12/20170247/20211221-MEM-Eng-768x576.png 768w, https://files.mykcm.com/2021/12/20170247/20211221-MEM-Eng-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />
How Rising Equity Impacts You<br />
If you’re already a homeowner, equity not only builds your wealth, it also opens doors for you to achieve your goals. It works like this: when you sell your house, the equity you built up comes back to you in the sale. You can use those proceeds to fuel your next move, especially if you’ve decided your needs have changed and you’re looking for something new.
If you’re thinking about becoming a homeowner, understanding the importance of equity can help you realize why homeownership is a worthwhile goal. It builds your wealth and gives you peace of mind that your investment is a wise one, not just from a lifestyle perspective, but from a financial one too.
Bottom Line
Whether you’re a current homeowner or you’re ready to become one, it’s important to know how equity works and why it matters. If this inspires you to make a move, let’s connect to explore your options and find out what steps you need to take next.
2021-12-21T07:00:00-07:002021-12-21T08:38:55-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:7790A Happy Tail: Pets and the Homebuying Process
<img width="1046" height="1910" src="https://files.mykcm.com/2021/12/08135318/20211210-MEM-1046x1910.png" class="attachment-entry size-entry wp-post-image" alt="A Happy Tail: Pets and the Homebuying Process [INFOGRAPHIC] | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/12/08135318/20211210-MEM-1046x1910.png 1046w, https://files.mykcm.com/2021/12/08135318/20211210-MEM-329x600.png 329w, https://files.mykcm.com/2021/12/08135318/20211210-MEM-561x1024.png 561w, https://files.mykcm.com/2021/12/08135318/20211210-MEM-768x1402.png 768w, https://files.mykcm.com/2021/12/08135318/20211210-MEM-841x1536.png 841w, https://files.mykcm.com/2021/12/08135318/20211210-MEM-1121x2048.png 1121w, https://files.mykcm.com/2021/12/08135318/20211210-MEM-100x183.png 100w, https://files.mykcm.com/2021/12/08135318/20211210-MEM.png 1300w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights
It’s no secret that we love our furry friends – about 70% of U.S. households have pets. What may come as a surprise is how large a role they play in the homebuying process.
Americans spend $1,163 a year on their pets, and nearly half of pet owners say they would move for better accommodations and amenities for their pets.
If you’re thinking of adding a furry friend, or if you already have, let’s connect to discuss how you can find a home that meets all your pet’s needs.
2021-12-10T07:00:00-07:002021-12-10T07:36:13-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:7735Why It Just Became Much Easier To Buy a Home
<img width="750" height="410" src="https://files.mykcm.com/2021/12/06153054/20211207-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Why It Just Became Much Easier To Buy a Home | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/12/06153054/20211207-KCM-Share.jpg 750w, https://files.mykcm.com/2021/12/06153054/20211207-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/12/06153054/20211207-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Since the pandemic began, Americans have reevaluated the meaning of the word home. That’s led some renters to realize the many benefits of homeownership, including the feelings of <a href="https://www.mykcm.com/2021/11/30/home-is-where-the-heart-is-more-than-ever-this-year/" title="security and stability">security and stability</a> and the financial benefits that come with rising <a href="https://www.mykcm.com/2021/09/30/as-home-equity-rises-so-does-your-wealth/" title="home equity">home equity</a>. At the same time, many current homeowners have decided their house no longer meets their needs, so they moved into homes with more space inside and out, including a home office for <a href="https://www.mykcm.com/2021/09/21/remote-work-is-here-to-stay-can-your-home-deliver-the-space-you-need/" title="remote work">remote work</a>.
However, not every purchaser has been able to fulfill their desire for a new home. Here are two obstacles some homebuyers are facing:
The ability to save for a down payment
The ability to qualify for a mortgage at the current lending standards
This past week, both of those challenges have been mitigated to some degree for many purchasers. The FHFA (which handles mortgages by Freddie Mac, Fannie Mae, and the Federal Housing Administration) is raising its loan limit for prospective purchasers in 2022. The term used to describe the maximum loan amount they will entertain is the Conforming Loan Limit.
What Is the Difference Between a Conforming Loan and a Non-Conforming Loan?
Investopedia explains the difference in a <a href="https://www.investopedia.com/federal-agency-announces-2022-conforming-limits-for-conventional-loans-5211394" title="recent post" target="_blank" rel="noopener noreferrer">recent post</a>:
“Conforming loans are the only loans that meet the requirements to be acquired by Fannie Mae and Freddie Mac. Jumbo loans, which exceed the conforming limit, are the most common type of nonconforming loan.”
What Difference Does It Make to Me as a Home Buyer?
A Forbes <a href="https://www.forbes.com/advisor/mortgages/conforming-vs-non-conforming-loan/" title="article" target="_blank" rel="noopener noreferrer">article</a> earlier this year explains the benefits of a conforming loan and why they exist:
“Since lenders can’t sell non-conforming loans to Fannie Mae or Freddie Mac to free up their cash, they’re a bit riskier for the lender. This is especially true for jumbo loans, which aren’t backed by any government guarantees. If you default on a jumbo loan, it’s a huge blow to the lender.
Thus, lenders generally charge higher interest rates to compensate, and they can have even more requirements. For example, lenders who give out jumbo loans often require that you make a down payment of at least 20% and show that you have at least six months’ worth of cash in reserve, if not more.”
What Happened Last Week?
The FHFA has significantly increased its Conforming Loan Limits for 2022. Sandra L. Thompson, FHFA Acting Director, explains in the <a href="https://www.fhfa.gov/Media/PublicAffairs/Pages/Acting-Director-Thompson-Statement-on-Increased-Conforming-Loan-Limits-for-2022.aspx" title="press release" target="_blank" rel="noopener noreferrer">press release</a> that:
“Compared to previous years, the 2022 Conforming Loan Limits represent a significant increase due to the historic house price appreciation over the last year. While 95 percent of U.S. countie​s will be subject to the new baseline limit of $647,200, approximately 100 counties will have conforming loan limits approaching $1 million.”
This means that more homes now qualify for a conforming loan with lower down payment requirements and easier lending standards – the two challenges holding many buyers back over the last year.
The Federal Housing Administration (FHA) also increased its Conforming Loan Limits for 2022. That could also mean an easier path to homeownership for many prospective buyers. As the Forbes article explains:
“FHA loans can be very beneficial if you don’t have as much savings, or if your credit score could use some work.”
Bottom Line
Buying your first or your next home may have just gotten much easier (less stringent qualifying standards) and less expensive (possibly lower mortgage rate). Let’s connect to discuss how these changes may impact you.
2021-12-07T07:58:00-07:002021-12-07T08:02:07-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:76224 Ways Homeowners Can Use Their Equity
<img width="750" height="410" src="https://files.mykcm.com/2021/11/18151516/20211122-KCM-share.jpg" class="attachment-entry size-entry wp-post-image" alt="4 Ways Homeowners Can Use Their Equity | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/11/18151516/20211122-KCM-share.jpg 750w, https://files.mykcm.com/2021/11/18151516/20211122-KCM-share-600x328.jpg 600w, https://files.mykcm.com/2021/11/18151516/20211122-KCM-share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Your equity is a powerful tool that can help you achieve your goals as a homeowner. And chances are, your equity grew substantially over the past year. According to the latest Equity Insights Report from CoreLogic, homeowners gained an average of $51,500 in equity over the past year.
If you’re looking for the best ways to use your growing equity, here are four options:
1. Use Your Equity To Buy a Home That Fits Your Needs
If you’re finding you no longer have the space you need, it might be time to move into a larger home. Or, it’s possible you have too much space and would like something smaller. No matter the situation, consider using your equity to power a move into a home that fits your changing lifestyle. Moving into a larger home can provide extra space for remote work or loved ones. Downsizing, on the other hand, may mean saving time and money by caring for a smaller home.
2. Move to the Location of Your Dreams
If the size of your home isn’t a challenge but your current location is, it could be time to relocate to a new area. Maybe you enjoy vacationing in the mountains, at the beach, or another area, and you’re dreaming of living there year-round. Or perhaps the distance between you and your loved ones is greater than you’d like, and you want to close the gap. No matter what, your home equity can fuel your move to the location where you really want to live.
3. Start a New Business
If you’re not ready to move into a new home, you can use your equity to invest in a new business venture. As the U.S. Small Business Administration Office of Advocacy says:
“There is an estimate of 31.7 million small business owners in the United States, many of them started their business with the equity they had in their home.”
While it’s not recommended that homeowners use their equity for unnecessary spending, leveraging your equity to start a business that you’re passionate about can potentially grow your nest egg further.
4. Fund an Education
Whether you have a loved one preparing to head off to college or you’re planning to go back to school yourself, the thought of paying for higher education can be daunting. In either situation, using a portion of your growing equity can help with those costs, so you can make an investment in someone’s future.
Bottom Line
Your equity can help you achieve your goals. If you’re unsure how much equity you have in your home, let’s connect today so you can start planning your next move.
2021-11-22T07:00:00-07:002021-11-22T08:25:23-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:7591Retirement May Be Changing What You Need in a Home
<img width="750" height="410" src="https://files.mykcm.com/2021/11/16112900/20211117-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Retirement May Be Changing What You Need in a Home | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/11/16112900/20211117-KCM-Share.jpg 750w, https://files.mykcm.com/2021/11/16112900/20211117-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/11/16112900/20211117-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
The past year and a half brought about significant life changes for many of us. For some, it meant entering retirement earlier than expected. Recent data shows more people retired this year than anticipated. According to the Schwartz Center for Economic Policy Analysis, 2021 saw a retirement boom:
“At least 1.7 million more older workers than expected retired due to the pandemic recession.”
If you’ve recently retired, your home may not fit your new lifestyle. The good news is, you’ve likely built-up significant equity that can fuel your next move. According to the latest Homeowner Equity Insights report from CoreLogic, homeowners gained more than $50,000 in equity over the past 12 months alone. That, plus today’s sellers’ market, presents a great opportunity to sell your house and address your evolving needs.
You Can Move Closer to the Ones You Love
The 2021 Home Buyers and Sellers Generational Trends report from the National Association of Realtors (NAR) provides a look at the reasons people buy homes. For those reaching retirement age, the number one reason to buy is the opportunity to be closer to loved ones, friends, or relatives.
If you find yourself farther from your loved ones than you’d like to be, retirement and the equity you’ve built in your home may enable you to move closer to the people in your life who matter most.
You Can Find the Right Home for Your Needs
Not only can your equity power a move to a new location, but it can also help you purchase the right size home. Lawrence Yun, Chief Economist at NAR, says many homebuyers 55 and older choose to downsize – or buy a smaller home – when they make a purchase:
“Clearly from the age patterns, young people want to upsize, and the older generation is looking to downsize. . . .”
Whatever your home goals are, a trusted real estate advisor can help you to find the best option for your situation. They’ll help you sell your current home and guide you as you buy your next one while you move into this new phase of life.
Bottom Line
If you’ve recently retired and your needs are changing, you’re not alone. Let’s connect so you can get a better sense of how to find a home that will match your situation.
2021-11-17T07:00:00-07:002021-11-17T08:03:45-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:7416Renters Missed Out on $51,500 This Past Year
<img width="750" height="410" src="https://files.mykcm.com/2021/10/29155117/20211101-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Renters Missed Out on $51,500 This Past Year | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/10/29155117/20211101-KCM-Share.jpg 750w, https://files.mykcm.com/2021/10/29155117/20211101-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/10/29155117/20211101-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Rents have increased significantly this year. The latest National Rent Report from Apartmentlist.com shows rents are rising at a rate much higher than the three years leading up to the pandemic:
“Since January of this year, the national median rent has increased by a staggering 16.4 percent. To put that in context, rent growth from January to September averaged just 3.4 percent in the pre-pandemic years from 2017-2019.”
Looking back, we can see rents rising isn’t new. The median rental price has increased consistently over the past 33 years (see graph below):<img loading="lazy" class="aligncenter wp-image-99793" src="https://files.mykcm.com/2021/10/29155119/20211101-MEM-Eng-1.png" alt="Renters Missed Out on $51,500 This Past Year | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2021/10/29155119/20211101-MEM-Eng-1.png 1000w, https://files.mykcm.com/2021/10/29155119/20211101-MEM-Eng-1-600x450.png 600w, https://files.mykcm.com/2021/10/29155119/20211101-MEM-Eng-1-768x576.png 768w, https://files.mykcm.com/2021/10/29155119/20211101-MEM-Eng-1-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />If you’re thinking of renting for another year, consider that rents will likely be even higher next year. But that alone doesn’t paint the picture of the true cost of renting.
The Money Renters Stand To Lose This Year
A homeowner’s monthly mortgage payment pays for their shelter, but it also acts as an investment. That investment grows in the form of equity as a homeowner makes their mortgage payment each month to pay down what they owe on their home loan. Their equity gets an additional boost from home price appreciation, which is at near-record levels this year.
The latest Homeowner Equity Insights report from CoreLogic found homeowners gained significant wealth through their home equity this past year. The research shows:
“. . . the average homeowner gained approximately $51,500 in equity during the past year.”
As a renter, you don’t get the same benefit. Your rent payment only covers the cost of shelter and any included amenities. None of your monthly rent payments come back to you as an investment. That means, by renting this year, you likely paid more in rent than you did in the previous year, and you also missed out on the potential wealth gain of $51,500 you could have had by owning your own home.
Bottom Line
When deciding whether you should rent or buy in the future, keep in mind how much renting can cost you. Another year of renting is another year you’ll pay rising rents and miss out on building your wealth through home equity. Let’s connect today to talk more about the benefits of buying over renting.
2021-11-01T06:00:00-07:002021-11-01T08:24:43-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:7334Your Home Equity Is Growing
<img width="1046" height="2053" src="https://files.mykcm.com/2021/10/18091034/20211022-MEM-1046x2053.png" class="attachment-entry size-entry wp-post-image" alt="Your Home Equity Is Growing [INFOGRAPHIC] | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/10/18091034/20211022-MEM-1046x2053.png 1046w, https://files.mykcm.com/2021/10/18091034/20211022-MEM-306x600.png 306w, https://files.mykcm.com/2021/10/18091034/20211022-MEM-522x1024.png 522w, https://files.mykcm.com/2021/10/18091034/20211022-MEM-768x1507.png 768w, https://files.mykcm.com/2021/10/18091034/20211022-MEM-783x1536.png 783w, https://files.mykcm.com/2021/10/18091034/20211022-MEM-1044x2048.png 1044w, https://files.mykcm.com/2021/10/18091034/20211022-MEM-100x196.png 100w, https://files.mykcm.com/2021/10/18091034/20211022-MEM.png 1300w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights
If you’re a homeowner, today’s rising equity is great news. On average, homeowners have gained $51,500 in equity since this time last year.
Whether it’s funding an education, fueling your next move, or starting a business, your home equity is a great tool you can use to power your dreams.
Ready to sell? Let’s connect to talk about how you can take advantage of your rising equity to reach your goals.
2021-10-22T06:00:00-07:002021-10-22T06:25:27-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:7265The Big Question: Should You Renovate or Move?
<img width="750" height="410" src="https://files.mykcm.com/2021/10/12131853/20211013-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="The Big Question: Should You Renovate or Move? | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/10/12131853/20211013-KCM-Share.jpg 750w, https://files.mykcm.com/2021/10/12131853/20211013-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/10/12131853/20211013-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
The last 18 months changed what many buyers are looking for in a home. Recently, the American Institute of Architects released their AIA Home Design Trends Survey results for Q3 2021. The survey reveals the following:
70% of respondents want more outdoor living space
69% of respondents want a home office (48% wanted multiple offices)
46% of respondents want a multi-function room/flexible space
42% of respondents want an au pair/in-law suite
39% of respondents want an exercise room/yoga space
If you’re a homeowner who wants to add any of the above, you have two options: renovate your current house or buy a home that already has the spaces you desire. The decision you make could be determined by factors like:
A possible desire to relocate
The difference in the cost of a renovation versus a purchase
Finding an existing home or designing a new home that has exactly what you want (versus trying to restructure the layout of your current house)
In either case, you’ll need access to capital: the funds for the renovation or the down payment your next home would require. The great news is that the money you need probably already exists in your current home in the form of equity.
Home Equity Is Skyrocketing
The record-setting increases in home prices over the last two years dramatically improved homeowners’ equity. The graph below uses data from CoreLogic to show the average home equity gain in the first quarter of the last nine years:<img loading="lazy" class="aligncenter wp-image-99559" src="https://files.mykcm.com/2021/10/12131855/20211013-MEM-Eng-1.png" alt="The Big Question: Should You Renovate or Move? | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2021/10/12131855/20211013-MEM-Eng-1.png 1000w, https://files.mykcm.com/2021/10/12131855/20211013-MEM-Eng-1-600x450.png 600w, https://files.mykcm.com/2021/10/12131855/20211013-MEM-Eng-1-768x576.png 768w, https://files.mykcm.com/2021/10/12131855/20211013-MEM-Eng-1-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />Odeta Kushi, Deputy Chief Economist at First American, quantifies the amount of equity homeowners gained recently:
“Remember U.S. households own nearly $35 trillion in owner-occupied real estate, just over $11 trillion in debt, and the remaining ~$24 trillion in equity. In inflation adjusted terms, homeowners in Q2 had an average of $280,000 in equity- a historic high.”
As a homeowner, the money you need to purchase the perfect home or renovate your current house may be right at your fingertips. However, waiting to make your decision may increase the cost of tapping that equity.
If you decide to renovate, you’ll need to refinance (or take out an equity loan) to access the equity. If you decide to move instead and use your equity as a down payment, you’ll still need to mortgage the remaining difference between the down payment and the cost of your next home.
Mortgage rates are forecast to increase over the next year. Waiting to leverage your equity will probably mean you’ll pay more to do so. According to the latest data from the Federal Housing Finance Agency (FHFA), almost 57% of current mortgage holders have a mortgage rate of 4% or below. If you’re one of those homeowners, you can keep your mortgage rate under 4% by doing it now. If you’re one of the 43% of homeowners with a mortgage rate over 4%, you may be able to do a cash-out refinance or buy a more expensive home without significantly increasing your monthly payment.
First Step: Determine the Amount of Equity in Your Home
If you’re ready to either redesign your current house or find an existing or newly constructed home that has everything you want, the first thing you need to do is determine how much equity you have in your current home. To do that, you’ll need two things:
The current mortgage balance on your home
The current value of your home
You can probably find the mortgage balance on your monthly mortgage statement. To find the current market value of your house, you can pay several hundreds of dollars for an appraisal, or you can contact a local real estate professional who will be able to present to you, at no charge, a professional equity assessment report.
Bottom Line
If the past 18 months have refocused your thoughts on what you want from your house, now may be the time to either renovate or make a move to the perfect home.
2021-10-13T06:00:00-07:002021-10-13T06:36:52-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:7246Experts Agree: Homeownership Provides a Path to Long-Term Wealth
<img width="750" height="410" src="https://files.mykcm.com/2021/10/06105145/20211011-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Experts Agree: Homeownership Provides a Path to Long-Term Wealth | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/10/06105145/20211011-KCM-Share.jpg 750w, https://files.mykcm.com/2021/10/06105145/20211011-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/10/06105145/20211011-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
A recent survey from LendingTree.com found there are multiple reasons why Americans would choose to purchase a home instead of renting. Some of the most popular non-financial reasons given include:
The flexibility to make the space your own
The pride homeownership offers
The sense of stability
In the same survey, 41% of respondents say they’d rather own a home than rent because of the unique way homeownership builds wealth over time.
And experts agree – the home you own is an important tool for building your net worth. Here’s what many of those experts have to say about building long-term financial stability through homeownership.
According to the National Association of Realtors (NAR):
“Homeowners who purchased a typical single-family existing-home 30 years ago at the median sales price of $103,333 with a 10% down payment loan and who sold the property at the median sales price of $357,700 in 2021 Q2 accumulated housing wealth of $349,258, . . .”
Mark Fleming, Chief Economist at First American, points out that a home is truly a one-of-a-kind asset. It’s the only asset that’s both an investment and a place for you to call your own.
“The major financial advantage of homeownership is the accumulation of equity in the form of house price appreciation. . . . We won’t always have 17% house price appreciation, but we have to take into account the fact that the shelter that you’re owning is an equity-generating or wealth-generating asset.”
Homeowners can leverage the wealth they generate in several ways throughout their life. Tapping into accumulated equity has long been used to pay for the cost of an education, to start a business, or to fund various other expenses. The Joint Center of Housing Studies at Harvard points out:
“. . . by paying down mortgage principal each month and participating in the long-term appreciation of home values, a family can build wealth that can be used for retirement or other needs, including helping the next generation.”
Bottom Line
With home prices expected to continue to appreciate in coming years, homebuyers have an opportunity to start the long-term wealth-building process right now. Let’s connect today if you’re ready to begin your journey on the path to becoming a homeowner.
2021-10-11T06:00:00-07:002021-10-11T07:01:20-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:7087Remote Work Is Here To Stay. Can Your Home Deliver the Space You Need?
<img width="750" height="410" src="https://files.mykcm.com/2021/09/17131654/20210921-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Remote Work Is Here To Stay. Can Your Home Deliver the Space You Need? | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/09/17131654/20210921-KCM-Share.jpg 750w, https://files.mykcm.com/2021/09/17131654/20210921-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/09/17131654/20210921-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
A lot has changed over the past year. For many people, the rise in remote work influenced what they’re looking for in a home and created a greater appetite for a dedicated home office. Some professionals took advantage of the situation and purchased a bigger home. Other people thought working from home would be temporary, so they chose to get creative and make the space they already had work for them. But recent headlines indicate working from home isn’t a passing fad.
If you’re still longing for a dedicated home office, now may be the time to find the home that addresses your evolving needs. More and more companies are delaying their plans to return to the office – others are deciding to remain fully remote permanently. According to economists from Goldman Sachs in a recent article from CNN:
“Job ads increasingly offer remote work and surveys indicate that both workers and employers expect work from home to remain much more common than before the pandemic.”
Other experts agree. A survey conducted by Upwork of 1,000 hiring managers found that due to the pandemic, companies were planning more remote work now and in the years to come. Upwork elaborates:
“The number of remote workers in the next five years is expected to be nearly double what it was before COVID-19: By 2025, 36.2 million Americans will be remote, an increase of 16.8 million people from pre-pandemic rates.”
The charts below break down their findings and compare pre- and post-pandemic percentages.<img loading="lazy" class="aligncenter wp-image-99367" src="https://files.mykcm.com/2021/09/21091003/20210921-MEM-Eng-2.png" alt="Remote Work Is Here To Stay. Can Your Home Deliver the Space You Need? | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2021/09/21091003/20210921-MEM-Eng-2.png 960w, https://files.mykcm.com/2021/09/21091003/20210921-MEM-Eng-2-600x450.png 600w, https://files.mykcm.com/2021/09/21091003/20210921-MEM-Eng-2-768x576.png 768w, https://files.mykcm.com/2021/09/21091003/20210921-MEM-Eng-2-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />
How Does This Impact Homeowners?
If you own your home, it’s important to realize that continued remote work may give you opportunities you didn’t realize you had. Since you don’t need to be tied to a specific area for your job, you have more flexibility when it comes to where you can live.
If you’re one of the nearly 23% of workers who will remain 100% remote:
You have the option to move to a lower cost-of-living area or to the location of your dreams. If you search for a home in a more affordable area, you’ll be able to get more home for your money, freeing up more options for your dedicated office space and additional breathing room.
You could also move to a location where you’ve always wanted to live – somewhere near the beach, the mountains, or simply a market that features the kind of weather and community amenities you’re looking for. Without your job tying you to a specific location, you’re bound to find your ideal spot.
If you’re one of the almost 15% of individuals who will have a partially remote or hybrid schedule:
Relocating within your local area to a home that’s further away from your office could be a great choice. Since you won’t be going in to work every day, a slightly longer commute from a more suburban or rural neighborhood may be a worthy trade-off for a home with more features, space, or comforts.
Bottom Line
If ongoing remote work is changing what you need in a home, let’s connect to find one that delivers on your new wish list.
2021-09-21T06:00:00-07:002021-09-21T07:05:32-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:6924What You Can Do Right Now To Prepare for Homeownership
<img width="750" height="410" src="https://files.mykcm.com/2021/08/30171737/20210901-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="What You Can Do Right Now To Prepare for Homeownership | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/08/30171737/20210901-KCM-Share.jpg 750w, https://files.mykcm.com/2021/08/30171737/20210901-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/08/30171737/20210901-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
As rent prices continue to soar, many renters want to know what they can do to get ready to buy their first home. According to recent data from ApartmentList.com:
“The first half of 2021 has seen the fastest growth in rent prices since the start of our estimates in 2017. Our national rent index has increased by 11.4 percent since January . . . .”
Those rising rental costs may make it seem impossible to prepare for homeownership if you’re a renter. But the truth is, there are ways you can – and should – prepare to purchase your first home. Here’s some expert advice on what to do if you’re ready to learn more about how to escape rising rents.
Start Saving – Even Small Amounts – Now
Experts agree, setting aside what you can – even smaller amounts of money – into a dedicated savings account is a great starting point when it comes to saving for a down payment. As Cindy Zuniga-Sanchez, Founder of Zero-Based Budget Coaching LLC, says:
“I recommend saving for a home in a ‘sinking fund’ . . . . This is a savings account separate from your emergency fund that you use to save for a short or mid-term expense.”
Zuniga-Sanchez adds saving in smaller increments can help make a large goal – such as saving for a down payment –achievable:
“Breaking up your goals into smaller bite-sized pieces by saving incrementally can make a large daunting number more manageable.”
Assess Your Finances and Work on Your Credit
Another tip experts recommend: take a look at your overall finances and credit score and find ways to reduce your debt. According to the HUD, the average credit score of first-time homebuyers is 716. If you’re not sure what your credit score is, there are numerous online tools that can help you check. If your score is below that average, don’t fret. Remember that an average means there are homeowners with credit scores both above and below that threshold.
If you find out your score is below the average, there are several ways to improve your credit before you apply for a loan. HUD recommends reducing your debt as much as you can, paying your bills on time, and using your credit card responsibly.
Start the Conversation with Your Advisor Today
Finally, it’s important to talk to someone who understands the market and what it takes to become a first-time homebuyer. That’s where we come in. A trusted advisor can help you navigate your specific market and talk you through all the available options. Having the right network of real estate and lending professionals in your corner can help you plan for the homebuying process as well as determine what you can afford and how you can get pre-approved when you’re ready.
Most importantly, we can help you understand how homeownership is achievable. As Lauren Bringle, Accredited Financial Advisor with Self Financial, says:
“Don’t write home ownership off just because you have a low income . . . . With the right tools, resources and assistance, you could still achieve your dream.”
Bottom Line
If you’re planning to be a homeowner one day, the best thing you can do is start preparing now. Even if you don’t think you’ll purchase for a few years, let’s connect today to discuss the process and to set you up for success on your journey to homeownership.
2021-09-01T06:00:00-07:002021-09-01T08:44:51-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:6870The Difference in Net Worth Between Homeowners and Renters Is Widening
<img width="750" height="410" src="https://files.mykcm.com/2021/08/25162102/20210830-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="The Difference in Net Worth Between Homeowners and Renters Is Widening | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/08/25162102/20210830-KCM-Share.jpg 750w, https://files.mykcm.com/2021/08/25162102/20210830-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/08/25162102/20210830-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Becoming financially secure is an important goal for many people today, but some don’t realize just how much homeownership can help them achieve that dream. A recent report, The Journey Toward Financial Freedom, surveys Americans about their perspective on financial wellness and their goals. It shows there may be a significant misconception about the role owning a home plays in building wealth:
“Home ownership is one of the indicators Americans say is least connected to financial health.”
Two major personal wealth goals – homeownership and net worth – work hand-in-hand. Below are just a few reasons why, if you’re looking for financial security, homeownership should be a top priority.
Homeownership Is an Important Cornerstone of Building Wealth
Every three years, the Federal Reserve releases the Survey of Consumer Finances which highlights the difference in wealth between homeowners and renters. The graph below shows the findings across the previous surveys including the latest data (2019), and the results are staggering:<img loading="lazy" class="aligncenter wp-image-99152" src="https://files.mykcm.com/2021/08/25162108/20210830-MEM-Eng-1.png" alt="The Difference in Net Worth Between Homeowners and Renters Is Widening | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2021/08/25162108/20210830-MEM-Eng-1.png 1000w, https://files.mykcm.com/2021/08/25162108/20210830-MEM-Eng-1-600x450.png 600w, https://files.mykcm.com/2021/08/25162108/20210830-MEM-Eng-1-768x576.png 768w, https://files.mykcm.com/2021/08/25162108/20210830-MEM-Eng-1-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />As the graph illustrates, the gap between homeowners and renters continues to widen. That’s because homeownership contributes massively to an individual’s overall net worth. Odeta Kushi, Deputy Chief Economist at First American, highlights this idea:
“. . . between 2016 and 2019, housing wealth was the single biggest contributor to the increase in net worth across all income groups . . . .”
When we look even closer at the most recent data from 2019, the average homeowner’s net worth is more than 40 times greater than that of the average renter (see graph below):<img loading="lazy" class="aligncenter wp-image-99151" src="https://files.mykcm.com/2021/08/25162105/20210830-MEM-Eng-2.png" alt="The Difference in Net Worth Between Homeowners and Renters Is Widening | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2021/08/25162105/20210830-MEM-Eng-2.png 1000w, https://files.mykcm.com/2021/08/25162105/20210830-MEM-Eng-2-600x450.png 600w, https://files.mykcm.com/2021/08/25162105/20210830-MEM-Eng-2-768x576.png 768w, https://files.mykcm.com/2021/08/25162105/20210830-MEM-Eng-2-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" />The gap exists in large part because homeowners build equity as their home appreciates in value and they pay off a portion of their mortgage each month. When you own your home, your monthly mortgage payment is, in essence, forced savings that come back to you when you sell your home or refinance. As a renter, you’ll never see a return on the money you pay out in rent every month.
If you’re ready to start building your net worth, the current real estate market offers several opportunities you should consider. For example, with today’s low mortgage rates, your purchasing power may be higher now than it has been in some time. That means there may be no better time than now to start working towards your homeownership goals – especially since rates are anticipated to rise in the coming months.
Bottom Line
Owning a home provides one of the strongest foundations for building individual wealth and lasting financial security. If you’re ready to start your path towards homeownership, let’s connect today.
2021-08-30T06:00:00-07:002021-08-30T06:41:06-07:00Donna Lernertag:donnalernerhometeam.com,2012-09-20:6766Get Your Home Ready for Back-to-School<img src="https://assets.site-static.com/userfiles/1746/image/august_newsletter_1.jpg" width="1194" height="855" />
Every parent’s favorite and every child’s least favorite time of year is just around the corner! Back-to-school season is a lot of work for all parties involved. For kids, it means saying goodbye to their carefree days and finishing their Summer reading list at the last minute. For the parents, it means shopping, planning, organizing, budgeting, and making a last minute trip to the library to get the books your child just told you they need to read before the first day back. Seems like the parents pulled the short straw in this deal, huh? In the hopes of lightening the load, we’ve put together a list of tips for getting your home ready for the start of the school year. Let’s get to work!
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-photo-4145153.png" width="1000" height="667" />
If there is anything we’ve all learned since 2019, it's that children are resilient. They went through one of the strangest school years in history, and they took it in stride. This year, depending on your school system, your child may have class in person, virtually, or a combination of the two. No matter what, you will need to have a space at home for school work, whether it be for a full day of class or homework. Help keep your kids focused, by creating a space separated from other activities. Creating boundaries between work and fun is critical. If you are lucky enough to have enough room for an entire desk setup with all the necessary supplies, perfect! But dedicating one end of the dining room table to school work, while the other is for meal time can make all the difference. Find what makes the most sense for your home and your children.
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-rachel-claire-5490930.jpg" width="3498" height="4575" />
If your little one is going to be heading back out into the world, the harsh reality is that a lot of additional responsibilities will be returning as well. You may not have to disinfect your groceries anymore, but there will be plenty of dirty gym clothes that need cleaning, lunch boxes that need to be emptied and refilled, and sports equipment that needs a safe home. Having a prep area/drop zone will be a life saver for all involved. Help streamline your children’s mornings by organizing everything they’ll need to grab when they run to catch the bus. The easiest way to do that is by setting them up for success the night before. Upon entering, instead of dropping everything and running off, make sure there is a spot for all their belongings. This will not only save everyone time and effort, but also helps build responsibility at a young age. Win-win!
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-photo-5905683.png" width="1000" height="667" />
Teaching children how to handle some of the responsibilities we adults have to do every day is a great way to sneakily move some of your to-do list items to theirs. By sharing experiences like cooking at a young age, you will be passing on immeasurably important life skills. Of course, you can’t expect a five year old to cook a delicious casserole, nor should you allow that! But simple meal prep like making a sandwich, putting some veggies in a bag, and filling up a water bottle are safe and easy responsibilities they can take on. This can make your life easier when it comes to cooking other more elaborate meals!
<img src="https://assets.site-static.com/userfiles/1746/image/pexels-georgia-maciel-2168791.jpg" width="5472" height="3648" />
It’s important to remember that the transition of back-to-school can be tough on the kids. Going from spending countless hours playing outside to sitting in a classroom is hard on the psyche. Make that transition easier by keeping your outdoor space at home accessible and fun for as long as the weather will allow. Take the sprinkler out on the weekends or spend an hour after school playing catch in the yard. Once the colder air starts to settle in, bring the fun inside with movie nights or a 1000 piece puzzle! Having some time to spend with the family, indulging in hobbies, and letting off steam is important all year round!2021-08-25T09:00:00-07:002021-08-25T06:58:28-07:00Lauren Mesagnotag:donnalernerhometeam.com,2012-09-20:6791Options for First-Time Homebuyers
<img width="1046" height="2452" src="https://files.mykcm.com/2021/08/19144631/20210820-MEM-1046x2452.png" class="attachment-entry size-entry wp-post-image" alt="Options for First-Time Homebuyers [INFOGRAPHIC] | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/08/19144631/20210820-MEM-1046x2452.png 1046w, https://files.mykcm.com/2021/08/19144631/20210820-MEM-256x600.png 256w, https://files.mykcm.com/2021/08/19144631/20210820-MEM-437x1024.png 437w, https://files.mykcm.com/2021/08/19144631/20210820-MEM-768x1800.png 768w, https://files.mykcm.com/2021/08/19144631/20210820-MEM-655x1536.png 655w, https://files.mykcm.com/2021/08/19144631/20210820-MEM-874x2048.png 874w, https://files.mykcm.com/2021/08/19144631/20210820-MEM-100x234.png 100w, https://files.mykcm.com/2021/08/19144631/20210820-MEM.png 1300w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights
With a housing market this competitive, sometimes you have to think outside the box.
Work with your trusted real estate advisors to do things like assess your budget, expand your search radius, look into other options, and determine your true needs.
If you’re having trouble finding your first home, let’s connect to explore your options. It’s out there!
2021-08-20T06:00:00-07:002021-08-20T07:49:46-07:00Donna Lerner