This was originally posted on Coldwell Banker Elite.

So you’re finally ready to buy your own home, congrats! It’s a big decision that can really impact your life and your finances. Here are our top five things to do before you take the leap to make sure you’re completely prepared!

Strengthen your credit score

Don’t know your credit score? If you’re thinking about buying a home in the near future—it’s time to find out! Try CreditKarma or any of the free credit reports to see what you may need to work on or if you’re in good shape! The better your credit score, the less you’ll need to pay for your home loan. The quickest way to improve your score is to pay down any credit card balances! You’ll also want to avoid applying for credit, for example, opening a new credit card or getting a car loan, until after you’ve closed on your new home!

Figure out what you can afford

Now’s the time to face the facts and be realistic. What’s your actual budget for purchasing a home? Conventional wisdom says that home expenses should only take up around 30-33% of your income each year. What will your monthly mortgage payment be, including interest, mortgage insurance and any HOA fees? An easy way to figure out what you can afford is by using Zillow’s Mortgage Calculator—easily adjust your purchase price vs down payment and see how it can affect your monthly payment. You’ll also want to set aside an emergency fund for unexpected repairs—especially during your first year! Once you’ve figured out what price range you can comfortably afford, stick to only looking at homes in that range.

Research different neighborhoods

You know your desired price range and what kind of home you’re looking for—now ’s the time to do your homework! Different areas and neighborhoods have their own character, benefits and drawbacks—consult your Realtor, websites like Niche, Crimemapping and Yelp, and if possible, drive through any neighborhoods you’re seriously considering at various times of day to really get a feel for them.

Save up

Keep in mind that the down payment is only  one part of the costs you’ll need to pay upfront. Once you cough up that 10% down payment, you’ll still need to pay for any closing costs, necessary inspections, repairs or maintenance costs, the first few months of mortgage and insurance payments, and any moving costs. Closing costs can run anywhere from 2-5% of the asking price while typical home inspections are around $350-500. That’s on top of your down payment! With all that in mind, is your dream home still within your housing budget of 30-33% of your yearly income?

Connect with a lender

An experienced loan officer can be a huge help during your preparation period! They’ll help you figure out what loan product will be best for you and what you can do to improve your credit. Your CBE agent can recommend plenty of ed and once you’ve got your pre-approval letter, you’re ready to tour homes and make an offer!

Buying a home (whether it’s your first or not!) is an exciting experience and can be immensely rewarding! All of us at CBE wish you the best of luck finding your dream home–don’t hesitate to reach out if you need help along the way!

Protect Your Investment

Buying a house is probably the single largest investment you’ll ever make and throughout the transaction, we’ll work to ensure you’re getting the best value for your money. A licensed home inspector can help you make sure that your investment is secure and safe.

A professional Home Inspector takes a close look beneath a house’s surface, and then prepares a detailed written report for the prospective buyer on things like the condition of the foundation, electrical service, roof, insulation, and other critical structural factors. We know several experienced and trusted Home Inspectors that are familiar with the local area and can help connect you with them when the time comes.

Are They Worth It?

This was originally posted on Coldwell Banker Elite.

Scrolling through your Facebook timeline in your twenties and thirties can feel like a never-ending slideshow of #adulting milestones. Why is everyone engaged all of a sudden? When did so-and-so have a baby? Chances are, you’ve seen quite a few “We just bought a home!” posts, too. If you’re one of the 80% of millennials would like to purchase real estate, watching all your friends buy a home can trigger massive FOMO.

We’re here to help you figure out whether you’re ready to join the homeowner ranks! As fun as it looks on social media, buying a home before you’re ready or for the wrong reasons can be a huge mistake. Let’s go through the top 3 signs you’re not ready to buy a home right now:

     1.  Not enough money saved

So you’ve saved enough to make a 10% down payment on your dream home, congrats! Unfortunately, the down payment is only one part of the costs you’ll need to pay upfront. Once you cough up that 10% down payment, you’ll still need to pay for any closing costs, necessary inspections, repairs or maintenance costs, the first few months of mortgage and insurance payments, and any moving costs. Closing costs can run anywhere from 2-5% of the asking price while typical home inspections are around $350-500. That’s on top of your down payment!

Keeping all that in mind, is your dream home still within your housing budget of 30-33% of your yearly income?

    2.  You’re on the move

Due to the high up-front costs of buying a home, real estate is not generally a good short-term investment. The days of flipping distressed properties for a profit are over so if you’re planning on making money on the sale of your home, you’ll need to stay put for at least five years. If your career or relationship status isn’t particularly stable or you’re considering exploring new areas in the next few years—buying may not be the smart choice right now.

   3. You’re still working on your credit

One of the biggest signs that you’re not ready to buy a home is a low credit score. It won’t make it impossible to buy a home, but it will make it more expensive. Check your credit score on free sites like Credit Karma—the higher your score, the better your interest rate on your mortgage will be! This can make a big difference in your monthly payments so if your credit score isn’t particularly healthy right now, you may want to wait to purchase a home. If you’re not sure where to start, a loan officer will be able to help you navigate the process of repairing your credit and getting ready to buy.

Still feeling like you’re ready to buy? Give any of our wonderful agents a call and start looking for your dream home today!

This was originally posted on Coldwell Banker Elite.

A school district and a home work congruently; a good school district can add family value to an already beautiful home. The balance of choosing a school district and a home can be difficult, since house-hunting with school-age children can be an adventure that contains an additional layer: finding a new school. Maybe you’ve found an ideal home in a not-so-ideal school district. Or you’ve found a great school district, but it’s harder to find a home that ticks all the boxes. In certain markets it is easier to find both. In a highly competitive market—such as the one we are currently in—sometimes compromise is the way forward. Choosing between a school district and a house is a tough decision, but there are work-arounds and questions to ask yourself that can help you navigate the process. Read on to learn misconceptions and insights about this common issue.

Know the Myths and Facts about School Districts

It’s always a good idea to research the school district of a potential home. You can view school rankings at sites such as GreatSchools.org and the National Center for Education Statistics. But before you do, let’s dispel some common myths:

Myth: A lower-rated school district always offers a lower-quality education.

Fact: A district’s ranking is not necessarily a sign of the school’s value (or lack thereof). There are many factors in your child’s education and success, such as extracurricular activities, community support, access to Advanced Placement (AP) classes, personalized learning, and the child’s family support. If you find a good home in an area with many enrichment opportunities for your child, it may not matter if the school district is not top-ranked. By the same token, a highly ranked school district doesn’t guarantee the best educational environment for your child.

Myth: Property taxes are higher in good school districts.

Fact: Property tax rate has more to do with where the home is located and how the local government has allocated taxes. Often, rural areas have higher property taxes while metropolitan areas (which often have higher-rated school districts) tend to have lower rates. However, homes in highly-rated school districts are on average 49% more expensive than the national median home price. In short, there are many factors at play. Always do your homework.

Knowing Your Options

If you find a home you love in a school district you are less enamored with, take comfort in knowing that you have options! There are many alternatives to public school if you worry that your child’s education will suffer in your new district. Private schools and charter schools are alternatives that aim to provide students with more individual attention and specialized learning due to their smaller class sizes. Homeschooling or virtual classes can be great options as well.

Since all of these options either cost more money or more time, weigh them out based on your finances and family needs. Budget out what several years might look like for a variety of routes. Sometimes it ends up being more cost-effective to buy a home in a better school district rather than pay for private school tuition in your location of choice. Other times, the opposite is true. Doing your research and playing out the alternatives will help you narrow down your options.

Why a Home in a Great District May Be a Great Investment

It is worth noting that homes in highly-rated school districts tend to have higher property values and therefore higher resale values. If you plan to sell the home at some point, a home in a highly-ranked school district is often a good investment. (Plus, homes in above-average districts sell much faster.) There also tends to be more community activities, such as local sports leagues, parks, performing arts centers, and so on. These are all reasons to consider buying a home in a good school district even if you don’t have kids.

Why a Great Home May Outweigh an Average School District

A high-quality home provides a safe, nurturing environment for your child—which ultimately contributes to their success. If you find a great home in a lackluster school district, don’t write it off just yet. Evaluate the benefits and drawbacks of the local schools and look into community and extracurricular activities. There may still be AP classes and specialty programs suitable for high-achieving students, even in lower-ranked districts.

Plus, you’ll likely save money on your home, which puts more money back in your pocket to save for your child’s college fund, pay for their clubs and camps, etc.

Take the time to weigh all the pros and cons.

A Home in the Best School District for Your Family

Ultimately, your homebuying decision rests on your family’s unique preferences and needs. Every family has different needs and there is no one-size-fits-all approach! With due diligence, you’ll be able to choose a great home for your family.

Buying or selling a home can be stressful, but we’re here to help. Are you starting the homebuying or selling process? If so, reach out to us and find the perfect agent for your needs today!

This was originally posted on Coldwell Banker Elite.

Home equity can be a confusing topic for many homeowners, especially those new to the world of real estate. It is important to understand the concept of home equity and how it can benefit you as a homeowner.

In this blog post, we will break down the basics of home equity and explain how it works, how to build it, and why it’s valuable for homeowners. Helping homebuyers and homeowners make informed decisions about their homes and finances.

What is Home Equity?

Home equity is typically the difference between the value of a home and the outstanding balance on the mortgage. It is essentially the portion of the home that a homeowner owns outright. Home equity is an excellent tool for homeowners to increase their net worth and potentially secure financial stability.

One way to build home equity is by making regular mortgage payments. Regular mortgage payments build equity by reducing the loan balance and increasing homeowners’ ownership stake.

Another way to build equity in a home is through the value of the home increasing. For example, the value of a home can increase through home improvements. Rising home value boosts homeowner equity, reflecting increased ownership stake in the property.

Why is Home Equity Important?

Home equity is much more than just a number – it’s a valuable tool for homeowners to use for a variety of purposes. Depending on the amount, you can use the equity in your home as a source of funds for various purposes.

For example, homeowners can use their equity to pay for future home renovations, pay for college tuition, or even purchase a second property. In addition, having equity in a home can also make it easier to secure financing for other big-ticket items, like a car or a small business loan. Build home equity, use funds for next house. Smart move for homeowners seeking a new location.

Building Home Equity Versus Renting

Compared to spending money on renting, building equity in a home has the potential to be a more financially savvy move for many people. Explore the value home equity adds to your homeownership experience. Unlock the benefits of owning your home.

As a homeowner, you are paying a mortgage, which is an investment. With each mortgage payment, you are building equity and increasing your net worth. In contrast, when you rent, you may not be building equity, but your money is going toward things like maintenance and amenities. Depending on your stage of life and your family’s needs, you may find renting a better option than buying or buying better than renting.

Making the Most of Your Home Equity

Knowing how home equity works is valuable for building equity, funding a project, or learning about it. You can benefit from your home equity by making informed decisions. If you’re considering using your home equity to purchase a new home, reach out to our team at Coldwell Banker Richwill Realty. Our seasoned real estate experts will help you find the right fit for your family and make the most of your investment in your home!

They originally posted this on Coldwell Banker Elite.

Selling your home quickly is a matter of pricing it right, marketing it aggressively and making sure that it looks its best for potential buyers. Having a great open house can increase your chances of selling a your home tremendously. Your agent is responsible for the first two, but the last one is where you can really shine! In order to get top dollar for your home, you need to make sure you are helping it make the best possible impression. This means creating a calm, clean space so any lingering does not put that buyers off smells, unusual decor choices or messy rooms.

The Must-Do’s

Curb Appeal Matters: Enhancing First Impressions

• First impressions are very powerful! Take a look at your home from the street and spruce up any landscaping or front porch decor. Does your siding need to be powerwashed or your front door repainted? Even just sweeping up the cobwebs from around the doors and a few well-placed flowers on the front steps will make a big difference.

• Make sure your home is as empty as possible, or at least extremely decluttered. This means almost all pictures taken off the walls, most pieces of home decor off the shelves, and no curtains unless they are very flattering and make the windows look larger. Ask your agent if you’re not sure if the curtains should stay.  Someone should put away or hide everything on the kitchen and bathroom counters. This includes toasters, coffeemakers, soap bottles and sponges, etc. For example, the countertops on the left are perfectly clear except for one tasteful bowl, while the countertops on the right are mostly clear but the appliances still make it look cluttered.

Declutter and Depersonalize: Presenting a Real “Open” House

• Remove all valuables and medicines from the home during an open house. Unfortunately, open houses are easy targets for theft and during a busy open house and your agent simply cannot be everywhere at once to make sure your valuables aren’t pocketed. There’s no need to risk losing something precious when it could easily be taken with you or secured elsewhere!

• Turn on all the lights in the home–the home looks larger and more inviting when it is properly illuminated. Make sure to change out any dim lightbulbs before the open house or consider upgrading to some smart bulbs as an added feature!

• This should go without saying but all beds should be made, no towels or trash left in the bathrooms and all toilet seat lids should be down. Pet items like toys and beds should be removed or very well-hidden in the home. Kid’s rooms are not exempt from this—hampers and toys should be very well-hidden or removed from the house and the beds should be made just like every other room!

Professional Cleaning: Polishing Your Home to Perfection

• Consider hiring a cleaning service to come a few days or the day before an open house, especially if you have pets. As thorough as you think you are, there’s nothing quite like the shine and polish a home has after a professional cleaning. Freshly steamed carpets, stainless steel sans fingerprints, a spotless bathroom—these little details are what will convince a buyer that the home is worth the asking price.
• Please take all the dead animals off the wall before your open house!
• Don’t worry too much about making the house smell extra nice. If you absolutely must have scents in the home, one or two candles in universally-appealing scents like lavender or vanilla are acceptable but DO NOT Febreze the house into oblivion or leave a bunch of cookies baking in the oven for your agent to take care of during the open house.

• Ask your agent to make feature cards to put next to any unusual or special features in your home, or if anything in the home has a really interesting backstory.

• Lastly, probably the most helpful thing a seller can do for an open house is to leave the house! Go get a coffee and hang out for a few hours in a bookshop, or take a scenic hike—whatever you need to do to not be in the home during the open house. Buyers get really uncomfortable if the seller is still in the home and they feel like they can’t say what they really think.

Let Us Help You With Your Open House!

Trust your agent to sell the home and to put it in its best light for the buyers–it’s our job! As long as you and your agent have prepped your home for success, all you need to do now is relax and enjoy the process!

This was originally posted on Coldwell Banker Elite.

First Impressions Matter

Curb appeal can make or break your home’s sale! So many sellers totally neglect the exterior which is the first thing the buyer sees when considering your home. Mow the lawn, sweep the porch, and touchup any scuffed trim. Consider adding some chic front porch decor (consult Pinterest for some ideas!) and repaint your front door to give your prospective buyers a pleasant surprise!

Neutralize the Situation

Take a cue from HGTV and stick with neutral tones when it comes to wall colors and decor choices. They might seem boring but there’s a reason “greige” and light neutrals have become so popular this year–they work in almost every room and make the space look and feel bigger. Benjamin Moore’s Revere Pewter and Palladian Blue as well as Sherwin Williams’ Agreeable Gray and Silvermist are all beautiful neutrals that work in almost every room. Aside from color choices, you’ll want to minimize any unusual art, family pictures or bold home decor.

What Would I Want?

Put yourself in their shoes. Is there an old, stained carpet in one of the rooms? Would you rather have to replace it yourself before you can even move in or buy a turnkey home with a neutral-color carpet? Resist the urge to assume “they’ll want to change it so why bother?” They’ll pass on it if it’s too much work!

If you were considering paying top dollar for a home, how would you want it to look/smell/sound? You don’t have to constantly be baking cookies during showings,  just make sure the home smells pleasant, there’s flattering lighting and maybe some soft music playing to make the home more appealing.

Stay Cool

Try to take a step back from all those long hours of painting or back-breaking afternoons tending your garden. Your home’s prospective buyer doesn’t know about any of that and won’t be calculating it into the price. Think about your home as cold and calculatingly as you can: What improvements actually add value? What could be seen as a detractor from the overall appeal of your home? Don’t be afraid to be ruthless when analyzing your home!

Trust Your Realtor

We deal with picky buyers and fickle market conditions every day.  We know what’s going to work and what needs to happen to sell your home for the most money. It’s easy to be misled by a Zestimate and assume that your house needs no improvement but if you really want to make money on your home, you’ll need to take a step back and view your house like a buyer! Trust that your Realtor has your best interests at heart and take their advice when it comes to staging and preparing your house for sale!

This was originally posted on Coldwell Banker Elite.

Smart homes are not a new concept by any means, but the world of smart tech remains virtually unexplored for many homeowners. Your first association with smart tech may be virtual voice assistants like Amazon Alexa, but this only cracks the surface of what smart technology can do for your home.

In this article, we’ll explore some pros and cons of smart home technology and 4 of the most popular smart home upgrades that can increase your home’s value and enjoyability.

What are smart homes and smart technology?

Smart homes are homes that include appliances and devices that can be controlled wirelessly from your phone or computer. Smart devices wirelessly connect to the internet and make life easier by making processes—like lighting, heating/cooling, and appliance activating—automatic. While some people mistakenly think of smart homes as frivolous or a waste of money, smart appliances are often designed to save you money, time, or both. Keep reading to the end of this article for examples of stress-saving upgrades you can make.

Pros and Cons of Smart Homes

There are many, but here are the key pros and cons of smart home technology to consider before investing in it.

Pro: Convenience & Luxury

Smart homes are known for their ability to add convenience to people’s lives. Smart homes allow you the flexibility to keep tabs on your home no matter where you are. This means whether you’re on vacation or at work, you can control the settings of your home’s locks, lighting, sprinklers, temperature, and more.

A massive convenience of smart technology is that you can regulate your house’s functions on a timed schedule. For example, you can program your lighting to turn on and off at certain times every day without you having to touch anything.

Pro: Peace of mind

Another advantage of smart homes is enhanced security. Features such as smart locks with cameras allow you to keep tabs on any suspicious activity around your house. While this is great for deterring intruders, it’s also handy if you’re trying to let someone into your home without being present. Have a nanny or contractor trying to access your home? Provide access to your home by unlocking your doors no matter where you are! It’s also common for people on vacations to program their lighting and blinds to function like they would if they were home, so it gives the illusion that people are still home to potential intruders.

Con: Potential malfunctions

As with all tech, smart home technology isn’t perfect. Whether or not it will work best for you depends on a variety of factors, like your knowledge of the products and your internet connection. A reliable internet connection is crucial for the consistent, proper functioning of your products. Other potential cons include concerns about privacy and malpractice, especially when it comes to devices where personal data is concerned.

4 Upgrades to Consider

When it comes time to decide which smart home products to incorporate into your home, it is best to consider the ones that are most advantageous to your lifestyle. Here are four common smart home upgrades to consider:

1. Smart Thermostat

A smart thermostat is a smart home upgrade that almost anyone can benefit from. Smart thermostats allow you to create customized heating and cooling schedules based on your schedule and will adapt to help save you the most money possible on your monthly energy bills. Smart thermostats allow you to control the temperature in your home no matter where you are, so you can comfortably adjust while on vacation or for your pets while you’re at home.

2. Smart Video Doorbell

Video doorbells are a great device to enhance your home’s safety, especially if you’re away from the home frequently. You can keep an eye on who approaches the door and attempts to enter the home. For frequent online shoppers, you can also keep an eye on packages delivered and left at the front door.

3. Smart Shades

Smart shades are not only cool but can also help you lower your monthly energy costs! You can program your smart shades to open and close depending on when you’ll be home and where the sun falls at a specific time of day. Some shades are even voice activated! This cool feature is enjoyable whether you’re in or outside of your home.

4. Smart Lighting 

Smart light bulbs are one of the cheapest and most versatile options of all smart home tech—if you don’t want smart lighting for the whole house, one bulb in a bedroom can still go a long way. Aside from being personalized for your schedule, many bulbs are capable of different lighting settings, from daylight and candlelight to mood lighting. For that person who has a tough time getting up in the morning, a bulb activated to turn on daylight mode at 7 a.m. every day can be a great (and relatively) investment!

Working with a Smart Home Agent

When it comes time to sell, be sure to work with an agent who knows smart tech. It can be a differentiating factor among similar homes in the same neighborhood. Depending on the devices installed in your home, you may need to make some disclosures to buyers walking through your property. It’s also important that the hand-off to the buyer is seamless, which means ensuring that the tech is ready for the new owners to use. Coldwell Banker Elite agents are trained to understand the nuances of selling a smart home.

There’s a whole world of potential with smart home tech. We hope this article gets you exploring options that can give your lifestyle and home value a boost!

This is originally posted on Coldwell Banker Elite.

If you’re worried that the best time to sell your house has passed, you can take comfort in knowing that it is still an ideal time to sell your home in Virginia. If you weren’t planning on selling your home, then it may be worth it for you to look into it and consider it. The timing is perfect, and here are a few reasons why.

The Sellers Control the Market 

The current state of the real estate market is ideal for sellers — this state of condition is even called a seller’s market. As of summer 2021, we are still in a seller’s market. In two of our service areas, we’ve seen an 18% average sales price increase in both our Fredericksburg, VA and Gainesville, VA markets. Housing inventory still has catching up to do from the stagnation experienced in the past couple of years, so there are less houses available but more buyers willing to buy them. With more buyers than sellers and housing in high demand, sellers hold more power over their prices.

The end result is that houses are selling more quickly and at higher prices. As a seller, you reap those benefits.

You Have More Flexibility When Selling 

Before COVID-19 and our current seller’s market, you would have likely needed to make more repairs to your home before putting it on the market. In a buyer’s market, for example, it is especially important for homeowners to assess the wear and tear on their homes and make repairs as needed before they’re ready for selling. Otherwise, they can see a decrease in the amount of offers they receive and in their listing price. However, in the current market we’re seeing that many homeowners can put their homes on the market ‘as is’ and still receive many offers. Similarly, buyers in this market are more willing to purchase homes that need repairs and pay more money to do so.

Pricing Is Up 

As mentioned before, housing prices are up and the market is geared toward keeping them high. It should be noted that the market is always fluctuating and there is no guarantee as to how long a trend will last. However, if you decide to sell your home in the near future, you can take comfort in knowing that you are operating in an ideal environment.

If You’re Unsure About Selling

If you’re on the fence about selling your home, it might be because you’re unsure about purchasing your new home. The inverse effect of the seller’s market is that buyers are experiencing a more challenging time successfully bidding on homes and purchasing them. In general, buyers are putting more time, more effort, and more money into landing their new homes. You might not want to purchase a new home when prices are high or spend time engaging in highly competitive bidding wars.

These are valid reasons to hold off purchasing a new home, and the great news is that there are other options you can take that will allow you to ease your transition and save some money and time. One key option is renting. Renting allows you to settle down for a temporary period of time while you wait for market conditions to swing back in your favor. Purchasing a new home is a timely and costly endeavor, and it can be highly beneficial to delay this decision until it is ideal for you. Selling your home and then renting is a great way to reap the benefits of this current market while waiting until the market is ideal for buying.

Are you ready to sell? We can help you sell your home today! Reach out to us and find the perfect agent for your needs today.