Renting vs Buying A Home in Florida

There’s nothing quite like a home that you can truly call your own. A place where you can have the gleaming hardwood floors you’ve always dreamed of, a space to cultivate your own vine-lined patio, a way to provide a good neighborhood for your kids to grow up in, and a freedom from the whims of your landlord. These are the images that immediately come to mind, for many of us.

Yet some of the biggest advantages of owning a home are less romantic and more practical – in fact, there are financial advantages to owning a home:

* Tax Deductibility You can deduct the cost of your mortgage loan interest from your state and federal income taxes. Since interest generally will account for most of your payment during the first half of your mortgage, the savings can be significant. Some of your costs at the time of closing (including prepaid mortgage interest) can be taken as deductions on that year’s income tax return, and points paid up front at the time of closing represent additional mortgage interest and may be taken as a deduction.
* Tax Deductibility of Property Taxes You can deduct all of the property taxes you pay.
* Appreciation Potential Real estate is considered a good long-term investment because it usually appreciates in value. The effects of borrowing potential can increase as the value of the home appreciates.
* Capital Gains Exclusion When it’s time to sell your home the amount of capital gains you have to pay is reduced. A homeowner can exclude up to $500,000 per couple if married and filing jointly, or $250,000 if single or filing separately for homes that have been the taxpayer’s principal residence for the previous two years.
* Capital Gain Treatment Congress allows preferential tax treatment on gains from capital assets held for more than one year. This would be important for a homeowner who has gains in excess of the allowable exclusion.
* Principal Accumulation Mortgages are designed to pay the interest for the time that the money has been used, as well as to retire the principal debt over a period of time. This payment plan means that part of the payment each month is for principal accumulation.
* Personal Enjoyment Pride of ownership is a valid reason for wanting to own a home. You can personalize your home while enjoying the financial benefits.

For the best evaluation of your financial situation, consult your financial advisor. He/she will be the most qualified to discuss the financial consequences of a home purchase decision, as well as help you to establish a plan that will achieve your home ownership goals.

Now is the Time to Invest in Real Estate in Sebring, Avon Park & Lake Placid

I just finished two full days at the Allen Hainge Cyber Star Summit in Orlando, July 21-22.  My head is on overload with all the great ideas, latest tech tools, and best marketing ideas for selling real estate.  Some of the top selling agents from around the country attended this event.  Along with all these good tips and talk about the negative media on foreclosures, short sales, high gas prices etc., one of the points agents from around the country kept making is there are great deals just waiting for buyer!  The stock market may be bad.  But now is the best time to invest in real estate for those with money to invest.  Pick up good properties at rock bottom prices.  Invest in your future.

To find out the best deals in Avon Park, Sebring and Lake Placid, give the Cool Team of Maureen and Carl Cool a call today at 863 873-7243 or 1-888-243-2665.  We will be happy to provide a free list of foreclosures and short sales in the Highlands County area by email.   You can request this by emailing me at maureen@ACoolRealtor.com.

June 1 – July 15, 2008 Real Estate Update: Sebring, Avon Park & Lake Placid

June 1 – July 15, 2008  Real estate sales in Highlands County are down a little, but this tends to happen during the summer.  Our real season is January through March with summer being the slowest.  The greatest amount of sales are short sales or bank forclosures.  There are some really good deals out there.  I just saw a home go into the MLS close to Florida Hospital that is a foreclosure for $69,900.  It is a four bedroom home (the garage was converted to the fourth bedroom).  For an investor or first time home buyer, this is a steal.  RE/MAX continues to lead our county with number of sales.  I am fortunate enough to continue being one of the top selling agents in Highlands County.  Finding good buyers to qualify continues to be an issue.  But, the buyers are there!
 
This is the recap of activity for the past six weeks June 1 – July 15, 2008 in Highlands County.
 
Single Family Homes
 
Currently Listed                      1,578
Contingent or Pending             116
Sold   6/1 – 7/15                     77
       Sebring                           42
        Avon Park                      11
        Lake Placid                     23
 
Condos, Villas, Duplex
 
Active                                   357
Contingent or Pending            15
Sold                                     9
 
Mobile Homes – Owned Land

Active                                    134
Contingent or Pending             9
Sold                                      7
 
The majority of the sales were under $125,000, 15 sales were over $250,000 and 5 sales were over $400,000.  The houses that are price to sell are selling.   With all the media about short sales and foreclosure sometimes really good deal of great homes that are in the best condition are missed.  Work with an experienced agent…Call Maureen Cool to find the best deals.  Maureen keeps up with listing daily and knows what is new on the market that is prices right.  Let Maureen help you find your next home.  Now is the time to buy!.  Let the next great deal be yours!  Call Maureen Cool today at 863- 873-7243.

March 2008 Real Estate Update: Sebring, Avon Park & Lake Placid

March 2008 turned out to be a great month for real estate sales in Highlands County.  RE/MAX in Highlands County has 23% of the market share with the next closest office at 6.5%.  As my son would say “RE/MAX Rules!”   In Highlands County, RE/MAX has closed 287 transactions YTD and continues to out sell the next closest office two to one.  I think most will agree this is very impressive especially since we have fewer agents!

This is a recap of what is active on the market and what  has sold during March 2008 for residential sales.

Single Family Homes

Currently Listed               1,676

Contingent or Pending      150

March Closings                71

       Sebring                    37

       Avon Park                12

       Lake Placid               13

Condos, Villas, Duplex

Active                            364

Contingent or Pending      12

March Closings                14

Mobile Homes – Owned Land

Active                             141

Contingent or Pending      22

Closed March                  15

The majority of the sales were under $150,000 and only six sales were over $250,000.  The houses that are price to sell are selling.  I heard on agent descript the market as a beauty contest.  The homes in the best condition, correctly priced win the sale.  A home than needs work — painting, cleaning, new carpet, yard work cannot compete.  It will be Maureen Cool’s pleasure to show you the best of the best for sale in Highlands County.  Let the next great deal be yours!  Call Maureen Cool today at 863 873-7243.

When is the Perfect Time to Invest in Real Estate?

Is now the time to purchase real estate?  Everywhere you turn, the media is telling you about how bad the real estate market is.  Foreclosures and Short Sales are everywhere.  The real estate inventory is huge in Highlands County.  Every street you drive down has several “For Sale” signs.  The picture is total gloom and doom.  But, is it and for who?  In Highlands County this morning, there are 2,250 homes for sale.  Nobody truly knows the bottom of any market.  The only way to know the bottom is when the market starts going back up.  When prices are down, investment opportunities are up.    I personally think this is a great time to buy and there must be a great investment opportunity in one of these 2,250  homes.    Your first step to investing in real estate in this market is to consult with a professional Realtor who knows the condition of the real estate market where they live and work.

The next step to consider when making Real Estate investments is:

1.  Cash Flow – rental income vs. mortgage payment

2.  Mortgage Packages or Interest Rates

3.  Insider Hot Spots (commercial or residential, your Realtor will know)

4.  New Home Builder Deals (with interest payments on Spec Homes eating them up, these guys are willing to deal).

5.  Second Home vs. Investment Property

6.  Motivation of the Seller (Is the home sitting empty because of a transfer and now the seller has two mortgage payment to make).

With the help on an experienced Realtor, maybe it is time you take a look at these great opportunities.  I meet with many investors throughout the year to discuss the ideal time for buying and selling real estate. Remember, Real Estate is not any different than the stock market.  When everyone at work  is talking “buy” or the media is talking appreciation, most likely you are too late.  This ship has already sailed and you did not get on in time.  Don’t be the one missing the boat in this fantastic market.   Call or email Maureen Cool today to discuss if this is the right time for you to investment in Real Estate.  Maureen is an expert on the Highlands County Real Estate Market.  Perhaps the next best Real Estate deal in Sebring, Avon Park, or Lake Placid belongs to you!