The Tax Cuts and Jobs Act – What it Means for Homeowners

Nar.Realtor

Introduction

While NAR remains concerned that the overall structure of the final bill diminishes the tax benefits of homeownership and will cause adverse impacts in some markets, the advocacy of NAR members, as well as consumers, helped NAR to gain some important improvements throughout the legislative process. The final legislation will benefit many homeowners, homebuyers, real estate investors, and NAR members as a result.

The final bill includes some big successes. NAR efforts helped save the exclusion for capital gains on the sale of a home and preserved the like-kind exchange for real property.

As a result of the changes made throughout the legislative process, NAR is now projecting slower growth in home prices of 1-3% in 2018 as low inventories continue to spur price gains. However, some local markets, particularly in high cost, higher tax areas, will likely see price declines as a result of the legislation’s new restrictions on mortgage interest and state and local taxes.

The following is a summary of provisions of interest to NAR and its members. NAR will be providing ongoing updates and guidance to members in the coming weeks, as well as working with Congress and the Administration to address additional concerns through future legislation and rulemaking. Lawmakers have already signaled a desire to fine tune elements of The Tax Cuts and Jobs Act as well as address additional tax provisions not included in this legislation in 2018, and REALTORS® will need to continue to be engaged in the process.

The examples provided are for illustrative purposes and based on a preliminary reading of the final legislation as of December 20, 2017. Individuals should consult a tax professional about their own personal situation.

All individual provisions are generally effective after December 31, 2017 for the 2018 tax filing year and expire on December 31, 2025 unless otherwise noted. The provisions do not affect tax filings for 2017 unless noted.

Major Provisions Affecting Current and Prospective Homeowners

Tax Rate Reductions

  • The new law provides generally lower tax rates for all individual tax filers. While this does not mean that every American will pay lower taxes under these changes, many will. The total size of the tax cut from the rate reductions equals more than $1.2 trillion over ten years.
  • The tax rate schedule retains seven brackets with slightly lower marginal rates of 10%, 12%, 22%, 24%, 32%, 35%, and 37%.
  • The final bill retains the current-law maximum rates on net capital gains (generally, 15% maximum rate but 20% for those in the highest tax bracket; 25% rate on “recapture” of depreciation from real property).

Tax Brackets for Ordinary Income Under Current Law and the Tax Cuts and Jobs Act (2018 Tax Year) Single Filer

Current Law Tax Cuts and Jobs Act
10% $0-$9,525 10% $0 – $9,525
15% $9,525 – $38,700 12% $9,525 – $38,700
25% $38,700 – $93,700 22% $38,700 – $82,500
28% $93,700 – $195,450 24% $82,500 – $157,500
33% $195,450 – $424,950 32% $157,500 – $200,000
35% $424,950 – $426,700 35% $200,000 – $500,000
39.6% $426,700+ 37% $500,000

Tax Brackets for Ordinary Income Under Current Law and the Tax Cuts and Jobs Act (2018 Tax Year) Married Filing Jointly

Current Law Tax Cuts and Jobs Act
10% $0 – $19,050 10% $0 – $19,050
15% $19,050 – $77,400 12% $19,050 – $77,400
25% $77,400 – $156,150 22% $77,400 – $165,000
28% $156,150 – $237,950 24% $165,000 – $315,000
33% $237,950 – $424,950 32% $315,000 – $400,000
35% $424,950 – $480,050 35% $400,000 – $600,000
39.6% $480,050+ 37% $600,000+

Exclusion of Gain on Sale of a Principal Residence

  • The final bill retains current law. A significant victory in the final bill that NAR achieved.
  • The Senate-passed bill would have changed the amount of time a homeowner must live in their home to qualify for the capital gains exclusion from 2 out of the past 5 years to 5 out of the past 8 years. The House bill would have made this same change as well as phased out the exclusion for taxpayers with incomes above $250,000 single/$500,000 married.

Mortgage Interest Deduction

  • The final bill reduces the limit on deductible mortgage debt to $750,000 for new loans taken out after 12/14/17. Current loans of up to $1 million are grandfathered and are not subject to the new $750,000 cap. Neither limit is indexed for inflation.
  • Homeowners may refinance mortgage debts existing on 12/14/17 up to $1 million and still deduct the interest, so long as the new loan does not exceed the amount of the mortgage being refinanced.
  • The final bill repeals the deduction for interest paid on home equity debt through 12/31/25. Interest is still deductible on home equity loans (or second mortgages) if the proceeds are used to substantially improve the residence.
  • Interest remains deductible on second homes, but subject to the $1 million / $750,000 limits.
  • The House-passed bill would have capped the mortgage interest limit at $500,000 and eliminated the deduction for second homes.

Deduction for State and Local Taxes

  • The final bill allows an itemized deduction of up to $10,000 for the total of state and local property taxes and income or sales taxes. This $10,000 limit applies for both single and married filers and is not indexed for inflation.
  • The final bill also specifically precludes the deduction of 2018 state and local income taxes prepaid in 2017.
  • When House and Senate bills were first introduced, the deduction for state and local taxes would have been completely eliminated. The House and Senate passed bills would have allowed property taxes to be deducted up to $10,000. The final bill, while less beneficial than current law, represents a significant improvement over the original proposals.

Standard Deduction

  • The final bill provides a standard deduction of $12,000 for single individuals and $24,000 for joint returns. The new standard deduction is indexed for inflation.
  • By doubling the standard deduction, Congress has greatly reduced the value of the mortgage interest and property tax deductions as tax incentives for homeownership. Congressional estimates indicate that only 5-8% of filers will now be eligible to claim these deductions by itemizing, meaning there will be no tax differential between renting and owning for more than 90% of taxpayers.

Repeal of Personal Exemptions

  • Under the prior law, tax filers could deduct $4,150 in 2018 for the filer and his or her spouse, if any, and for each dependent. These exemptions have been repealed in the new law.
  • This change alone greatly mitigates (and in some cases entirely eliminates) the positive aspects of the higher standard deduction.

To illustrate how the above-listed changes can affect the tax incentives of owning a home for a first-time buyer and a middle-income family of five, please see these examples:

Example 1: Single Buyer

Example 2: Middle-Income Family of Five

Mortgage Credit Certificates (MCCs)

  • The final bill retains current law.
  • The House-passed legislation would have repealed MCCs.

Deduction for Medical Expenses

  • The final bill retains the deduction for medical expenses (including decreasing the 10% floor to 7.5% floor for 2018).
  • The House bill would have eliminated the deduction for medical expenses.

Child Credit

  • The final bill increases the child tax credit to $2,000 from $1,000 and keeps the age limit at 16 and younger. The income phase-out to claim the child credit was increased significantly from ($55,000 single/$110,000 married) under current law to $500,000 for all filers in the final bill.

Student Loan Interest Deduction

  • The final bill retains current law, allowing deductibility of student loan debt up to $2,500, subject to income phase-outs.
  • The House bill would have eliminated the deduction for interest on student loans.

Deduction for Casualty Losses

  • The final bill provides a deduction only if a loss is attributable to a presidentially-declared disaster.
  • The House bill would have eliminated the deduction for casualty losses with limited exceptions.

Moving Expenses

  • The final bill repeals moving expense deduction and exclusion, except for members of the Armed Forces.
  • The House-introduced bill would have eliminated the moving expense deduction for all filers, including military.

Major Provisions Affecting Commercial Real Estate

Like-Kind Exchanges

  • The final bill retains the current Section 1031 Like Kind Exchange rules for real property. It repeals the use of Section 1031 for personal property, such as art work, auto fleets, heavy equipment, etc.
  • The exclusion of real estate from the repeal of 1031 like-kind exchanges is a major victory for real estate stakeholders, who had fought hard to preserve the provision for several years, and against long odds.

Carried Interest

  • The final bill includes the House and Senate language requiring a 3-year holding period to qualify for current-law (capital gains) treatment.
  • Again, real estate stakeholders prevailed against long odds to preserve the incentive of capital gains treatment for carried interests in the final legislation.

Cost Recovery (Depreciation)

  • The final bill retains the current recovery periods for nonresidential real property (39 years), residential rental property (27.5 years) and qualified improvements (15 years). The bill also replaces separate definitions for qualified Restaurant, Leasehold, and Retail improvements with one definition of “Qualified Improvement Property.”

Qualified Private Activity Bonds

  • The final bill retains the deductibility of qualified private activity bonds used in constructing affordable housing, local transportation and infrastructure projects and for state and local mortgage bond programs.
  • The House bill would have eliminated the use of private activity bonds.

Low Income Housing Tax Credit

  • The final bill retains current law. However, a lower corporate rate will negatively impact the value of the credits in the future, and will result in less low-income housing being developed.

Rehabilitation Credit (Historic Tax Credit)

  • The final bill repeals the current-law 10% credit for pre-1936 buildings, but retains the current 20% credit for certified historic structures (but modified so the credit is allowable over a 5-year period based on a ratable share (20%) each year).
  • The House bill would have entirely eliminated the Historic Rehabilitation Credit.

Provisions Not Included in the Final Bill

Rental Income Subject to Self-Employment Tax

  • The House-introduced bill would have subjected rental income to self-employment taxes. This provision was dropped from the House (and final) bill.

Examples of How The New Law Will Affect the Tax Incentives of Owning a Home

Example 1 – First-Time Homebuyer. To illustrate how the changes to the standard deduction, repeal of personal exemptions, mortgage interest and state and local taxes might affect a first-time homebuyer, consider the example of Barbara Buyer. Barbara, an accountant making $58,000 per year, is single and currently rents an apartment. She also pays state income tax of $2,900 and makes charitable contributions of $2,088, but the total of these is lower than the standard deduction, so she claims the standard.

Barbara’s tax liability for 2018 under the prior law is as follows:

Salary income $58,000
Standard deduction ($ 6,500)
Personal exemption ($ 4,150)
Taxable income $47,350
Tax $ 7,491

Under the new law, Barbara would get a tax cut, computed as follows:

Salary income $58,000
Standard deduction ($12,000)
Personal exemption ($ – 0 -)
Taxable income $46,000
Tax $ 6,060

Tax Difference Under New Law. Even though Barbara would not get the benefit of the personal exemption under the new law, her higher standard deduction would more than make up for the loss. In addition, the lower tax rates of the new law would help deliver the total tax cut of $1,431 ($7,491 – $6,060) as compared with the prior law.

However, let’s take a look at what happens to Barbara if she were to purchase the condo that she likes costing $205,000. She takes out a 30-year fixed rate mortgage at 4% interest, putting down 3.5%. Assuming she buys early in 2018, her first-year mortgage interest would total $7,856 and she would pay real property taxes of $2,050.

As a first-time homeowner, her tax liability under the prior law would be computed as follows:

Salary income $58,000
Mortgage interest $ 7,856
Real property tax (1%) $ 2,050
State income tax (5%) $ 2,900
Charitable contributions (3.6% of income) $ 2,088
Total itemized deductions ($14,894)
Personal exemption ($ 4,150)
Taxable income $38,956
Tax $ 5,393

Note. Under the prior law, Barbara would lower her tax liability for 2018 by $2,098 ($7,491 – $5,393) by purchasing the condo. This is the financial effect of the prior law’s tax benefits of buying a home. This amount effectively lowers her monthly mortgage payment by $175 per month.

Now, let’s take a look at what her tax situation would be under the new law as a first-time homebuyer:

Salary income $58,000
Mortgage interest $ 7,856
Real property tax (1%) $ 2,050
State income tax (5%) $ 2,900
Charitable contributions (3.6% of income) $ 2,088
Total itemized deductions ($14,894)
Personal exemption ($ – 0 -)
Taxable income $43,106
Tax $ 5,423

Tax Difference Under New Law. Even though Barbara would still be able to claim all of her itemized deductions under the new law, she would lose the benefit of her personal exemption. This would mean that her taxes would actually go up under the new law by $30 ($5,393 – $5,423). But far worse, look at the tax differential between renting and owning a home. This difference, which was $2,098 under the prior law, has now shrunk to just $637 ($6,060 – $5,423), or $53 per month. In other words, under the prior law, Barbara was given a strong incentive to move into the ranks of those who own their home. The new law still offers her an incentive, but it is a shadow of what it was, and is unlikely to be very compelling.

Family with Teenagers in Living Room

Example 2 – Middle-Income Family of Five:

To illustrate how the changes to the standard deduction, repeal of personal exemptions, mortgage interest and state and local tax deductions, and increase in the child credit might affect middle-income family of five, consider the example of Steve and Melinda. Steve is a store manager making $55,000 per year, while Melinda is a school principal, earning $65,000. They have three children, ages 17, 14, and 9. Steve and Melinda recently relocated from another city, and while they are getting to know their new community, they are leasing a home. But they would like to purchase as soon as they identify which area is the best fit for their family. As renters, they pay state income tax on their salaries, totaling $6,000, and also make some charitable contributions equaling $3,120. Since these itemized deductions do not reach the level of the standard deduction, they do not itemize, but they expect to do so when they purchase their home.

Here is a look at Steve and Melinda’s tax liability for 2018, computed under the prior law:

Salary income $120,000
Standard deduction ($ 13,000)
Personal exemptions (5 x $4,150) ($ 20,750)
Taxable income $ 86,250
Tax before credits $ 12,870
Child tax credits (2 x $1,000 less $500 phase-out) ($  1,500)
Net Tax $ 11,370

Under the new law, Steve and Melinda, as renters, would get a tax cut, computed as follows:

Salary income $120,000
Standard deduction ($ 24,000)
Personal exemption ($ – 0 -)
Taxable income $ 96,000
Tax before credits $ 12,999
Child tax credits (2 x $2,000) ($   4,000)
Net Tax $ 8,999

Tax Difference Under New Law As Renters. Steve and Melinda lose the big benefit of the personal and dependency exemptions for the two adults and three children. And the increase in the standard deduction is not enough to make up for this loss. However, the big increase in the child credit for the two younger children and the lower tax rate are enough to deliver them a tax cut of $2,371 ($11,370 – $8,999) as compared with the prior law.

Let’s now consider how Steve and Melinda’s tax situation changes if they were homeowners, rather than renters. Assume they find an ideal home in a nice neighborhood that costs $425,000, and after offering a 10% down payment, Steve and Melinda take out a 30-year fixed mortgage at a 4% rate. Let’s say that their real property tax for the year totals $4,250, which is just 1% of the home’s value.

Here is how their 2018 tax liability would be computed as homeowners, under the prior law:

Salary income $120,000
Mortgage interest $ 15,189
Real property tax (1%) $  4,250
State income tax (5%) $  6,000
Charitable contributions (2.6% of income) $  3,120
Total itemized deductions ($ 28,559)
Personal exemptions (5 x $4,150) ($ 20,750)
Taxable income $ 70,691
Tax before credits $  9,651
Child tax credits (2 x $1,000 less $500 phase-out) ($  1,500)
Net Tax $  8,151

Note. Under the prior law, Steve and Melinda would lower their tax liability for 2018 by $3,219 ($11,370 – $8,151) by purchasing their home instead of renting. This is the financial effect of the prior law’s tax benefits of buying a home. This amount effectively lowers their monthly mortgage payment by over $268 per month.

Now, let’s take a look at what her tax situation would be under the new law as a home-owning family instead of renters:

Salary income $120,000
Mortgage interest $ 15,189
Real property tax (1%) $   4,250
State income tax (5%) (limited by $10,000 cap) $   5,750
Charitable contributions (2.6% of income) $   3,120
Total itemized deductions ($ 28,309)
Personal exemptions ($ – 0 -)
Taxable income $ 91,691
Tax before credits $ 12,051
Child tax credits (2 x $2,000) ($  4,000)
Net Tax $  8,051

Tax Difference Under New Law As Homeowners. For Steve and Melinda, most of their itemized deductions from the prior law are preserved by the new law. They are limited slightly ($250) by the $10,000 limit on the deduction of state and local taxes. However, they lose big by the repeal of the personal and dependency exemptions, which equal $20,750 for this family. Even so, Steve and Melinda receive a small tax cut of $100 ($8,151 – $8,050) under the new law, thanks to the much larger child credit and lower tax rate. But as renters, they received a tax cut of almost $2,400. Thus, buying a home becomes a net tax change of almost $2,300.

What happened? What happened is that the new law is taking away most of the tax benefits of owning a home. Under the prior law, this benefit was $3,219 for Steve and Melinda. But under the new law, they enjoy only a benefit of $948 ($8,999 – $8,051). This gives them a benefit of just $79 per month, which is obviously a far weaker incentive to own.

[1] Meaning one does not have to itemize deductions in order to claim it.

[2] This means that for single individuals, the benefit of the deduction would be fully phased out for taxable income levels above $207,500 and for married couples filing joint returns, the benefit of the deduction would be fully phased out for taxable income levels above $415,000.

[3] With the exception of some restrictions on the deductibility of entertainment expenses, the normal business expenses of real estate professionals were not changed by the bill.

[4] The new law provides single individuals with a $12,000 standard deduction.

[5] The prior law provided a tax credit of $1,000 for each child.

[6] The new law increases the standard deduction for married taxpayers filing a joint return to $24,000. Since this is higher than Andy and Emma’s itemized deductions, they will claim the higher standard deduction.

[7] The new law doubles the child tax credit to $2,000 per child.

[8] At this income level, Bobbie and Emil’s personal exemptions would be phased out.

[9] At this income level, Bobbie and Emil’s itemized deductions are reduced by 3% of the excess of their AGI ($445,000) over the 2018 phaseout threshold of $320,000, or by $3,750. $28,000 – $3,750 = $24,250.

[10] The new law repeals the itemized deduction phaseout (so-called “Pease” provision).

[11] These are made up of mortgage interest, state and local taxes, and charitable contributions.

[12] At this income level, David and Valerie’s personal exemptions would be phased out.

[13] At this income level, David and Valerie’s itemized deductions are reduced by 3% of the excess of their AGI ($450,000) over the 2018 phaseout threshold of $320,000, or by $3,900. $35,000 – $3,900 = $31,100.

[14] The new law repeals the itemized deduction phaseout (so-called “Pease” provision).

For more on the Tax Reform – click here.

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Moving Checklist: RealtorKJ

The whirlwind of moving can quickly take on the effects of a hurricane when you add in kids, pets, or special circumstances. As is the case with most things in life, planning is key!

Whether you have six months, or six days to get it all done, just take a deep breath, prepare and let’s get planning!

Once you have decided to move, and established a loose timeline, its time to prep, prioritize and pack. Knowing what you touch and use daily as opposed to items in closets, storage and in the very back of cupboards makes it easier to start packing early on. If you are able to spread the work out, you, your family, and your pets will all feel at ease.

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New Years Resolutions for Your Home -PART TWO

If you missed the first post, check it out here.

Kids are back in school, work has resumed, and life is in full swing. 2017 can be just like every other year where you resolve to make changes and then lose steam a few weeks or months in, OR you can take the necessary steps to set yourself up for success. Having a plan, set goals and defined timeframes is a surefire way to stick with these resolutions. The benefits of a healthy, efficient home far outweigh the initial time investment it takes to implement them. Read below to find five more resolutions as they pertain to your home:

lcz9nxhoslo-brooke-lark

Eat Healthier

You are what you eat! In your diet and in your home. Think of gas or electric as the food you eat. It gives you energy to do the things you need, and want, to do. Energy consumption in the home is something we can control through some simple efforts.

  • Fan/space heater in one room instead of heating/cooling entire home
  • Make sure your home doesn’t allow heat to escape
  • Adjust thermostat seasonally
  • Plug entertainment devices into a power-strip and turn it on and off
  • Investigate if gas or electric is most cost-effective for you

The debate of gas versus electric is as long lasting as it is long winded. In order to know which option is best for you, take note of the rates for each in your area. This information should be easily accessible on your bill, or on the provider’s website. Once you have all the information you can re-evaluate your appliances and heating

 

Drink Less. 

Laying off the libations is great for your waistline and your wallet! In your home, especially in California, consuming less water is a necessity. We all know the typical tricks, like reducing shower time, turning off the tap while you brush your teeth and lather your hands, but what can you do to reduce water use in your home?

  • Check for leaks, and fix them promptly
  • Switch to timed watering systems in your yard
  • Reduce lawn space, or better yet, switch to dryscapes
  • Update fixtures. Switching to low-flow toilets or aerated faucets can potentially off rebates as well!

 

Exercise More

Do you have an entire Pinterest board dedicated to “Someday I’ll do This….” but you haven’t done any of it? Exercise your DIY muscle! Why not tackle one of those projects? Repurpose that old outdated furniture. Move it into a new space. Transition your backyard from pile of stuff to haven of rest. You live in California, take advantage of it! There are so many resources, YouTube tutorials, How-To books, and guides to give you step-by-step of any project! Houzz.com is a great place to gain inspiration on larger projects, while Pinterest can give you thousands of ideas from quick and inexpensive to huge and costly. You get to take on whatever you want AND you get to benefit from your handiwork! Hop to it!

 

Family Time

Time is our most precious resource and the only thing can never get more of. Setting a space within your home for family time can be as simple as designating a movie night where family members rotate picking the film, or setting a game closet that kiddos can easily access. Other fun ways to enjoy your home with those you love are:

  • Plant an Herb garden
  • Invite the kids (or significant other) to help you cook
  • Tackle a house project together
  • Makeover the kids bedroom as a family, rework the furniture and it can feel like a new space!
  • Plant a family tree!
  • Install a swing
  • Build a sandbox

 

Reduce Stress

In our homes, just as in our personal lives, many things contribute to added stress. Your heater and air conditioner may have it’s work cut out for it if you’re not taking care to insulate your home properly. Checking window and door seals can be a quick and inexpensive way to keep your home at a comfortable temperature. If you have the ability to update old windows, or take on larger, more expensive projects– think about spraying insulation into existing walls. Not only will it help the comfort of the space, but it serves as a noise barrier as well. Local energy companies will often do free in home analysis’ providing you with suggestions on how to cut costs, usage, and how to maximize heating and cooling efforts.

Other items in your home that may not be standing up to the stress of regular wear and tear are flooring, fixtures, appliances and lighting. Changing out one of all of these can provide you an updated look, energy-efficiency and potential cost savings in the long run.

 

Understanding your home is the first step in knowing which areas need a little extra love. Implementing these resolutions could allow you to be prepared if you take the leap of listing your home, if it sells faster than you anticipate, or if you decide to purchase. Having your life organized, being educated and prepared will make the moving process far easier to handle. I am always available as a resource and am happy to answer any questions, refer you to resources, or help to navigate your next step toward homeownership. I look forward to finding your first home, an additional income property, or your forever home. Give me a call (831) 801-8206 or shoot me an email at KJurevich@gmail.com and let’s resolve to make a move in 2017!

 

Cheers to the New Year!

New Years Resolutions for your Home – Part ONE

For many people, the start of the new year is an opportunity to set new goals; a chance to achieve the things that may have overwhelmed them previously. Whether your goals are for your pocketbook, your waistline or your family- they’re all achievable! Make a list, set a plan and hop to it! Below are some of the top resolutions, no matter how cliche, and how they pertain to your home. This year could be the year you not only improve your mind, body and soul… but your HOME! Enjoy these top 5 resolutions, and check back in a few days for the remaining five.

pexels-photo-209968

Lose Weight

Fitting into your favorite jeans, or buying a size down is exciting, but in your home, fitting all of your belongings in the space you have is key to pleasant day-to-day living. It doesn’t have to be a long drawn out, over the top project. Break your space out into zones. Perhaps its easiest for you to go room to room. Maybe you prefer to pull anything that doesn’t have a home into a common space and organize it from there. The most effective practice for me is setting locations for everyday items. Office supplies, utility items, craft, miscellaneous can all migrate into designated areas. Streamline your life! Imagine what you could do with an empty shelf in the garage, or how much easier it would be to cook after clearing old items you no longer need or use in the kitchen. You know what you can handle. Set a timeframe, and goals– you can do this!

 

Quit Smoking

Everyone knows it’s a nasty habit, its rough on your body and is proven to shorten your lifespan. In your home, smoking can be interpreted in many ways. Make new, healthy habits in 2017 by designating January as the month you ensure the cleanest air possible inside your home. Check and replace air filters, vacuum out registers, wipe down hard to reach surfaces, and clear your dryer vents. You’ll be shocked by how much dust might be lying around your house. Especially living in Central California with seasonal weather. Another way to protect those in your home would be replacing batteries in your carbon monoxide detectors, using air purification machines and dehumidifiers can also reduce allergens like dust, mildew and mold in your home.

 

Save Money/Get Out of Debt

Your home can be a money pit or you can leverage it to be a worthwhile investment. Understanding your finances is the first step. Know what your limits are and don’t over extend yourself. Some simple steps could free up cash to be put toward your mortgage, or toward various projects to increase your equity. Reevaluate your utilities- has your gas bill jumped? Is your water use out of control? Are you throwing money at landscaping that dies every season? Are you paying for more channels than you could watch in a year? Take stock of your daily habits and examine how you could make changes to put some extra cash in your wallet.

 

Learn a New Language

Learning something new, as challenging as an entire language, can seem daunting. The home-buying process can hurl new words, acronyms and topics that can easily sound like greek at times. An easy way to reduce stress before you start your search, is by reading up on the basics. Get to know financial terms, discover essential steps, and clarify any questions you might have prior to beginning the process. Learning these things before you proceed is a great way to ensure you make educated decisions. Find a book, a blog, a magazine or website that you can relate to, and always, always  make sure it is a reliable source. Some of my top picks are: Forbes  Money  and for real estate RealtorKJ , of course.

 

Get Organized

Don’t worry, we already covered purging your closets and tackling those junk drawers. This topic is dedicated to the organization of everything that goes into your home. Collect all of your utilities, chart them on a calendar (electronically allows you to set reminders), and streamline everything from home maintenance to monthly expenses. Additionally, you will benefit come tax-season! Get rid of those stacks of papers and make your life easier.

 

Implementing these resolutions could allow you to be prepared if you take the leap of listing your home with me Kristen Jurevich, if it sells faster than you anticipate, or if you decide to purchase. Having your life organized, being educated and prepared will make the moving process far easier to handle. I am always available as a resource and am happy to answer any questions, refer you to resources, or help to navigate your next step toward homeownership. I look forward to finding your first home, an additional income property, or your forever home. Give me a call (831) 801-8206 or shoot me an email at KJurevich@gmail.com and let’s resolve to make a move in 2017!

 

Check back in a few days for part two of two!

100 Contractor Tips to Read Before You Remodel

Have a better remodel experience with tips from a contractor on how to plan, shop and communicate