News About Properties

News about properties and real estate
September 20th, 2015

Tax Implications for Converting a Primary Residence to Rental Property

f you have outgrown your current residence or want to move for other reasons, you have a few choices to make, such as selling or renting out your home. If market conditions are favorable, you could sell the property, cashing in your equity and making a profit. If getting your equity out of the property isn’t a must, you may also consider using the house to generate income as a rental property.This is the first of two articles about converting a principal residence to a residential income property. While we will be exploring some of the main considerations for this type of conversion, the tax code is very complex, and it is advisable to work with a certified public accountant who can offer advice based on your personal situation.A primary residence is defined as a living space which you inhabit, but may rent out for up to two weeks per year without paying tax on the income.

On the other hand, a rental home is primarily used as an income property, and personal use does not exceed the greater of 14 days or 10 percent of the number of days during the year the home is rented. If you are planning on turning your primary residence into a rental property, there are tax considerations to take into account before making a final decision.

via Tax Implications for Converting a Primary Residence to Rental Property.

August 10th, 2015

Out-of-town buyers reshape Miami real estate design

Out-of-town buyers aren’t just snapping up Miami’s prime real estate — they’re also changing the way luxury developers build.

As more out-of-towners decide they want to put down roots in South Florida rather than simply buy investment properties for the rental market, they’re asking for bigger, better, more expensive designs. Units equipped with quarters for a nanny or maid. Guest suites for visiting relatives and friends. High-tech security with biometric identification.

Those requests come from both Latin Americans, who have driven Miami’s latest real estate boom, and wealthy Americans, who are appearing locally in greater numbers. Some developers, hoping to lure a growing pool of Chinese buyers, are even turning to “feng shui” consultants who specialize in the eastern art of balanced design.

via Out-of-town buyers reshape Miami real estate design

August 2nd, 2015

Rent-to-Own Homes Make a Comeback

Wall Street firms have found a new way to profit from consumers with blemished credit who can’t qualify for a mortgage: let them rent a home first with the option to buy it later.Rent-to-own programs, once run mainly by small operators, were popular with cash-strapped consumers during the 1990s. They faded a decade later when easy lending made it possible for almost anyone to buy a home with no money down, but with lenders setting a higher bar, they are making a comeback.

For investors, it is a chance to profit off the recovering housing market. Consumers get a chance to lock in a home before they have the money together for a down payment. But the price may be higher rent in the interim and a higher purchase price the longer they wait to move from renting to owning.

via Rent-to-Own Homes Make a Comeback.

July 12th, 2015

Seattle’s Luxury Homes Get a Tech Boom Boost

The technology boom is pushing its way north up the Pacific Coast, boosting real-estate prices, sparking neighborhood squabbles and creating new demand for luxury homes asking $1.5 million or more.Real-estate agents say Seattle, the longtime home of software giant Microsoft and online-retailing behemoth Amazon, is attracting more technology firms because it offers a combination of local talent and lower housing prices than the tech centers of California.

In the past year, Best Buy, Alibaba and HBO have announced or opened IT-related operations in the city, according to the Seattle Metropolitan Chamber of Commerce. Amazon will add to its Seattle footprint with two new buildings, while Google, Facebook, Twitter and Hulu have all expanded their Seattle offices in the past few years.

via Seattle’s Luxury Homes Get a Tech Boom Boost.

June 22nd, 2015

Reverse-mortgage change saves homes for surviving spouses

Soon after Judy Stephens, of Lafayette, La., lost her husband in January, she got hit with more bad news, this time from the mortgage company. She needed to come up with $107,000 — the amount of principal, accrued interest and fees racked up by the reverse mortgage on the home she owned with her husband for the past 16 years — or face foreclosure.

She didn’t have the money, nor could family members come up with the cash needed to buy the house. So, Stephens told me last week, the mortgage company informed her that it would foreclose in mid-August.

Why? Because like an estimated 12,000 other widows and widowers around the country, Stephens, 65, is a “surviving spouse” whose name does not appear on the reverse-mortgage note. Though she and her husband, Raymond, had been assured multiple times since 2009 by loan officers and others that in the event of her husband’s death, she could continue to live in the home indefinitely, the reality turned out to be starkly different. She was not protected.

via Reverse-mortgage change saves homes for surviving spouses.

June 11th, 2015

How Renters Can Build Long-Term Wealth, Too

Home might be where your heart is, but it isn’t necessarily where your wealth grows.With American homeownership in a steady decline, according to the U.S. Census Bureau, many households are not living in the passive asset that is a house.  Homeownership is a long-term play, and for most families, true wealth only materializes when the mortgage is nearly paid off. Renters have an array of alternative strategies for building wealth, but doing so requires an extra dose of self-discipline to save money in the absence of a mortgage that converts an essential cost of living to an asset.

“The costs of ownership are so high in so many areas that it does make sense to rent – if you can invest the difference,” says Rachel Podnos, a financial planner with Wealth Care LLC, based in Merritt Island, Florida.

via How Renters Can Build Long-Term Wealth, Too.

« Previous Entries | Next Entries »
Western Union