Ricky Lang Realtor

A lil matchy matchy

Taking a poll. What is your ideal garage situation that is realistic for your budget right now?

Did you know this? HOA stands for Homeowner Association. This is popular for a condominium, when you own what’s inside the four walls of your home, and the HOA is responsible for everything on the outside. You pay monthly for the HOA to take care of these things. HOA’s also can issue a special assessment requiring additional funds for upkeep on the community.

How many bedrooms would your dream house have right now? I want to know!

The simple answer to this question is that refinancing your home will reduce your monthly cost as well as the amount of interest you pay over the 30 year mortgage, or however long you have left on that mortgage.

The average interest rate in the year 2000 was 8%. In 2021 it was about 3%, that’s a huge difference!

So for example If you’re looking at a home in 2000 valued at $500,000 at 8% interest, with all other things being equal, you’re looking at a monthly payment of $4,044 and paying $796,000 in interest over the life of a 30 year loan. Take that same house in the year 2021 with a 3% interest rate. Your monthly payment is going to be $2,745 and total interest paid = $328,000. That’s a huge difference in your monthly payment and total interest paid. Imagine what you can do with that money!

What are your thoughts on living rooms? Do they still matter to you or would you use this room for something else? I would love to know.

Have you ever heard the phrase “time in the market beats timing the market”? The only thing that can be guaranteed in the housing market is that the cost of homes will only continue to increase over time. There may be a dip here and there but over the long term you will see an increase in costs. That's why it is best to buy as early as possible and ride through the market.

Are you more interested in a brand new house or a fixer upper?

In March, inflation hit 8.4%, and this is more than double the targeted range. Therefore, the federal government is moving to raise interest rates, which is a restrictive monetary policy to slow the circulation of money within the economy. With less money in circulation, it will discourage a sharp increase in prices.

It means that the same house that you saw a month ago is now more expensive due to the increased interest that will need to be paid.This drives down the buying power of the everyday consumer.

The best feeling for me is knowing I helped my friends, family and clients find their dream home or sell their current home without panic, financial stress, or getting overwhelmed by logistics. I’ll be posting tips for both buyers and sellers every week on Instagram to hopefully make the process easier and more enjoyable for you. If you have any questions in the meantime, ask away!

This week’s question from Joya: “I wanna sell my house. Do I need to have my next move figured out before I put it on the market?” Here’s my answer:

100%. It is currently a sellers market, so you can negotiate a leaseback after sale which allows you to stay in the home for a certain period of time after the sell, but the market is moving quickly to where contract to close is 30 days at max in most situations. This means as soon as you accept an offer you are on the clock and want to make sure that you have your next plan settled.