Moving day has many moving parts. Almost everything you own is stored for transit, and finding one or two essential items can be a major headache, even if you are prepared and organized with labeled boxes.

To make the day as smooth as possible, I advise my clients to make a “Moving Day Survival Kit.” It’s surprising how helpful these items are when you first land at your new home. From paper plates and plastic flatware for lunch to toilet paper, the Moving Day Survival Kit can be a real life-saver as you sort out where the furniture and boxes need to be.

Below is a list of what I recommend you pack in your Moving Day Survival Kit:

• Paper towels
• Glass cleaner
• Baby wipes
• Sharpie marker
• Duct or packing tape
• Large garbage bags
• Toilet paper
• Tape measure
• Picture hangers/anchors
• Needle nose pliers
• Screwdriver
• Wrench
• Pliers
• Box cutters (at least two)
• Scissors (at least two)
• Hammer
• Small level or download a leveling app on your smartphone
• Plastic silverware
• Paper plates
• Disposable / Solo cups
• Light bulbs in high & low wattage
• Extension cord(s)
• First-aid Kit

An inexpensive plastic bin is a great way to assemble and store the kit separate from your other possessions. Feel free to add/omit items as you see fit, but this list will surely cover everything.

Tips & Tricks for an Easy Move

According to Moving.com, below are a few extra tips that will make moving day less stressful.

• Find free moving boxes at recycling drop-off points, as well as on Craigslist, Nextdoor.com, and Freecycle
• Reuse original boxes for electronics and appliances
• Schedule a donation pick-up for free. Remember to save donation receipts for tax season
• Obtain quotes from at least three different moving companies
• Have lots of water bottles on hand when moving
• If you are hiring movers, take photos of your belongings before packing them
• Color-code your moving boxes and household items with Post-it notes
• Bring a doorstopper with you
• Get extra cash to tip movers

Consider Moving to Prescott, AZ

If you want to move soon, consider moving to Prescott, Arizona. Prescott offers countless activities, including horseback riding, golfing, kayaking, fishing, hiking, camping, mountain biking, local breweries, restaurants, and shopping. It also has a hometown feel that keeps visitors, young and old, coming back year after year.

Give Me a Call

Once the territorial capital of the state, Prescott, Arizona, is rich with history embodied in its world-famous Whiskey Row, the historic courthouse, and abundant historical landmarks. Whether you’re seeking to relax in a natural environment filled with beauty and wildlife or the history of “Everybody’s Hometown,” you will find something that interests you.

Prescott is located in the Bradshaw Mountains at an altitude of 5,400 feet. The average high temperature in the winter is around 52 degrees and averages 89 degrees in the summer. There are approximately 43,000 people in Prescott, but the surrounding “Quad-City” area of Dewey-Humboldt, Chino Valley, and Prescott Valley and the smaller towns of Mayer, Paulden, and Wilhoit comprise around 103,000 people.

I love to help buyers and sellers on their journey to moving day. When you are ready to make a move to a different home, give me a call! 928-830-6976

Homeownership has long been considered a cornerstone of the American Dream, yet its true wealth-building potential is often overlooked. For many, the journey from renting to owning can be daunting. However, understanding the myriad financial benefits can make all the difference.

In this blog post, we’ll explore how homeownership can build wealth, comparing it with renting, highlighting equity gains, and delving into the tax advantages available to homeowners. By the end of this read, you’ll have a clearer picture of why owning a home is not just a place to live but a strategic financial move.

Renting vs. Owning: A Financial Perspective

The Cost of Renting

Renting is a more flexible and less burdensome option at first glance. However, the reality is that rent payments do not contribute to your net worth. You’re paying for a service without accumulating any tangible assets.

The Long-Term Benefits of Homeownership

On the other hand, owning a home allows you to build equity over time. While you’re making monthly mortgage payments, unlike rent, a portion of that payment is being invested back into your property. This means that over time, you’re growing your financial assets.

Stability and Predictability

One overlooked aspect of homeownership is the financial stability it offers. With a fixed-rate mortgage, your monthly payments remain consistent, shielding you from the unpredictable nature of rising rents. This stability can be a game-changer for long-term financial planning.

Equity Gains: Building Wealth Over Time

Understanding Equity

Equity is the difference between what your home is worth and what you owe on it. As you pay down your mortgage, your equity grows. Additionally, if property values increase, your equity will grow even faster. This compounding effect can significantly enhance your net worth over time.

Forced Savings Plan

A mortgage acts as a forced savings plan. Each payment reduces your loan balance, increasing your ownership stake. This disciplined approach to saving can be particularly beneficial for those who might otherwise struggle with saving money.

Leveraging Equity for Financial Goals

As your equity grows, it provides you with financial leverage. Home equity loans or lines of credit can be used for various purposes, such as funding home improvements, paying for education, or even consolidating high-interest debt. Your home becomes a financial tool to help you achieve other financial goals.

Tax Deductions: The Hidden Financial Perks

Mortgage Interest Deduction

One of the most significant tax advantages of homeownership is the mortgage interest deduction. This allows you to deduct the interest paid on your mortgage from your taxable income, lowering your tax bill. For many homeowners, this can result in substantial annual savings. NOTE: This is not available on all mortgages. Consult a tax professional for additional information.

Property Tax Deduction

In addition to mortgage interest, property taxes are also deductible. This means you can reduce your taxable income further, making homeownership even more financially advantageous. NOTE: This is not available on all mortgages. Consult a tax professional for additional information.

Appreciation: Your Home as an Investment

Historical Trends

Historically, real estate has appreciated over time. While there are no guarantees, the long-term trend has been upward, making homeownership a relatively safe investment. Unlike other assets, such as cars, which depreciate, homes tend to increase in value, contributing to your overall wealth.

Renovation and Value Addition

Home improvements can also add value to your property. Strategic renovations can enhance your living experience and your home’s market value. This dual benefit makes investing in your home a smart financial move.

Making Homeownership a Reality

Homeownership is more than just having a place to call your own; it’s a strategic financial move that can build wealth over time. The advantages are numerous and long-lasting, from gaining equity to enjoying tax benefits. By understanding the economic implications and preparing adequately, you can make the dream of owning a home a reality.

Are you ready to take the first step toward homeownership? The gap between a homeowner’s net worth and a renter’s shows how foundational homeownership is to wealth-building. If you’re ready to start your journey to homeownership, let’s connect today.  Give the Plane Team a call at (928) 830-6976!

Being prepared to swiftly make an offer on a home in a seller’s market is crucial. Here are five straightforward tips to equip you for the competitive landscape.

1. Know Your Budget: Knowing your budget is critical to be a successful homebuyer. First, create a plan to save for a down payment. Also, the best step is to work with a lender to get pre-approved for a loan. You will also communicate to the sellers that you are a serious buyer by getting pre-approved for a loan. Also, pre-approval will allow you to act quickly when you’ve found your perfect home and give you a competitive edge.
2. Be Ready To Move Fast: With today’s market, homes fly off the market within weeks. It’s imperative to act quickly and stay on top of the market. Your agent can help you put together and submit your best offer when you find the home you want to buy.
3. Lean on a Real Estate Professional: No matter what the housing market looks like, rely on a trusted real estate advisor. When you’re looking to buy or sell a home, it’s essential to have a real estate professional by your side. They can help you navigate the complicated process, answer any questions, and provide valuable advice. They’ll know about all the available properties in your area and can help you narrow your search. They’ll also be able to provide you with information about the neighborhoods you’re interested in, such as schools, commute time, etc.
4. Make a Strong but Fair Offer: In some housing markets, many homes are sold above the list price. Lean on your real estate advisor to help you submit a solid yet fair offer in a competitive market. Make sure your offer is well thought-out and presented in a way that shows you are serious about buying the home. Your offer should also be backed up by a pre-approval letter from your lender. By doing these things, you’ll put yourself in the best possible position to buy the home you want.
5. Be a Flexible Negotiator: It’s critical to be a flexible negotiator. This means working with your real estate advisor to consider taking certain contingencies off your contract. However, don’t get carried away. Remember to protect yourself as the buyer. Your real estate advisor can help you understand reasonable contingencies and which contingencies should be waived to make the deal happen. Waiving a contingency too soon can put you at risk, so consult your advisor first.

Today’s competitive landscape makes making a firm offer on a home more critical than ever. Let’s connect to make sure you rise to the top along the way.  Call the Plane Team at 928-830-6976.

As the economy rapidly expands and more professionals opt for self-employment, the traditional path to homeownership continues to have unique obstacles for this growing demographic. Navigating the mortgage landscape can be daunting for the self-employed, who often endure additional scrutiny and documentation requirements compared to their W-2 counterparts. 

In this guide, self-employed home seekers will find the navigation tools they need to navigate the intricacies of home loan application processes. The information within will demystify the steps required to secure a mortgage and offer proactive strategies to increase the chances of mortgage approval.

Understanding the Self-Employed Mortgage Landscape

Self-employed individuals often face more stringent requirements than their salaried counterparts when applying for a mortgage. You might be asked to provide several years of tax returns, business financials, and other documentation to help lenders understand your financial stability and loan repayment ability. The key is to prepare early and thoroughly.

Tips to Help you on Your Path to Pre-approval

1. Lower your income-to-debt ratio. While a high income is excellent, your debt-to-income ratio is more important to lenders. This percentage of your gross monthly income goes towards debts like credit cards, car loans, and your potential mortgage payment. The lower this number, the better your chance of being approved for a loan. To lower your debt-to-income ratio, make extra monthly payments on your existing debts or consider paying off some debts altogether.
2. Keep your personal and business accounts separate. Separate accounts will make it easier for lenders to see a clear picture of your finances. Plus, it’ll help you stay organized come tax time.
3. Document everything. When you’re self-employed, lenders will want to see a two-year history of your business income. Be sure to keep detailed records of your revenue and expenses. These documents could include tax returns, profit and loss statements, and bank statements.
4. Deduct less on your taxes. When you’re self-employed, you can deduct several business expenses from your taxes. But when it comes to qualifying for a mortgage, it’s best to minimize your deductions. Less deductions will result in a higher taxable income, making you look more appealing to lenders.
5. Register and pay yourself on a W-2 form. If you’re incorporated, lenders may require that you document your income with a W-2 form. A W-2 is the same form used to report wages for traditional employees. To get a W-2 form, you must register your business with the IRS and pay yourself a salary.
6. Work with a lender who specializes in loans for self-employed borrowers. You may have to shop around to find a lender who understands the unique challenges of financing a home when you’re self-employed. But it’s worth it to find someone who can help you navigate the process and get the best loan terms possible.

Securing a mortgage as a self-employed individual is a challenge worth pursuing. It represents the attainment of a major life goal and the building of wealth through property ownership. By meticulously preparing your financials, leveraging your unique position, seeking professional guidance, and remaining patient, the goal of homeownership can be entirely within reach. Remember, the right mortgage is not just about rates and terms. It’s about finding a financial institution that understands and values the hard work and innovation that embody the self-employed ethos. With these tips, you are well on your way to turning the key to your front door.

When you are ready to buy a home, we would love to put our experience to work for you and help you navigate the homeownership process. Contact us at 928-830-6976.

For many, the phrase ‘American Dream’ conjures a quintessential image of a white picket fence surrounding a beautiful home, symbolizing the pinnacle of personal accomplishment and financial security. The truth is that owning a home is a profoundly cherished ideal in America. It’s a significant milestone and an emotional investment that often defines one’s sense of stability and roots. 

But how do you turn this iconic imagery into reality? 

This guide dives into the intricate steps of owning a home in America, offering exhaustive resources for understanding the processes and navigating the challenges to turn your homeownership dreams into tangible results.

Where Do I Start?

There is a list of questions to get you started when you decide to buy a home.

• How much space do you need?
• Will this be a short-term starter home or a “forever” home?
• What is your ideal commute?
• How much can you spend?
• Which neighborhood?
• Do you need to evaluate nearby schools?

Understanding Home Affordability

Determining what you can afford is a crucial first step. Various online calculators and financial advisors can help you assess your budget. Homeownership goes beyond the purchase price; you must factor in insurance, maintenance, and taxes.

Establishing a Realistic Budget

Create a budget that considers down payment, closing costs, monthly mortgage payments, and day-to-day expenses. The goal is to strike a balance that doesn’t compromise your financial well-being.

Saving for a Down Payment

Saving for a down payment doesn’t have to be daunting. There are multiple tips to help you:

• Automatic Savings: Business Insider suggests direct depositing a percentage of your paycheck into a savings account set aside for your down payment. They state that “the automatic-savings strategy makes it so you don’t have to remember to save money constantly.”
• Learn where your money goes:  Monitor your current spending to determine where you can trim the fat from your budget.
• Create a Goal: Talk to an agent or lender to determine how much you need to save and work towards that goal.

The Mortgage Application Process

Securing a mortgage is often the most daunting aspect of buying a home. Understanding the intricacies of the financing process is essential to finding the right mortgage for your situation.

Apply for a Mortgage

Navigating the application and approval process is complex. It involves credit checks, employment verification, and a thorough financial assessment. Be prepared to supply documents that prove your ability to repay the loan.

Lenders will examine multiple factors, including your credit history, to determine how much you can borrow. They will look at your history of paying and managing your car loans, student loans, credit cards, and other debts.

Freddie Mac states to determine what you can afford, “you should spend no more than 28% of your monthly gross (pre-tax) income on your mortgage payment, including principal, interest, taxes and insurance.” 

Negotiating Tips

Understand what is negotiable and strategic in your approach. An experienced real estate agent can provide valuable insights and ensure your offer stands out.

Familiarize yourself with the legal aspects of an offer. Understanding contingencies and timelines can save time and prevent headaches.

Owning a home in America is indisputably a core pillar of the American dream. It is a significant investment that goes beyond financial returns, offering a sense of identity and community.  Patience, diligence, and a supportive team are your best companions in this noble endeavor. If you plan to buy a home, I encourage you to seek help. When it comes to buying a home, knowledge is power! I am very familiar with the market and trends in selling and purchasing properties in the Quad Cities area.  Call me at (928) 830-6976!

It is hard to miss all of the Flip/House Makeover shows on television.  Some transformations are incredible, but some seem ‘too good to be true.’  Okay, maybe they are ‘true,’ but are the makeovers good enough to last long-term?

When inventory is tight and newly renovated homes are wooing prospective buyers, you must take a step back and remember that the home you’re hunting for is a long-term investment. While futuristic appliances and gleaming hardwood floors may seduce you into making a quick offer, understand there’s much more to a home than what lies on the surface.

Investors who renovate homes want to maximize their profit as quickly as possible. While many are upstanding, others will cut corners to boost their return. Sometimes, an investor will do a “lipstick flip” on a home renovation. This flip type means fixing up what’s cosmetic and leaving the rest as-is. Paint, flooring, appliances, fixtures –all may get a tune-up. But this doesn’t necessarily consider foundation issues, leaks, plumbing problems, and work performed without permits.

Foundational and mechanical problems are a significant concern, but I want to caution buyers that cosmetic changes must be inspected for quality. A new DIY floor that is installed quickly may present problems. 

Just look at the products’ quality and the renovation details before getting ‘wowed’ by the fresh new paint.

Once buyers close on a home, they’re responsible for the home. This includes issues that may be costly to repair or unsafe for habitation. You must take the necessary steps to protect yourself before signing off. Here are some tips to prevent the headache and heartache of a bad “lipstick flip”:

• Do not waive the inspection. In addition to the usual areas, inspect exposed wiring in the attic and mold. Include a termite inspection.

• Ask for a complete list of all work done with receipts for the work. 

• For all work done, make sure the seller used a licensed contractor.

• Ensure the work on the home passed inspection and is up to code. Request a copy of the certificate of occupancy.

• Ask the seller for a current disclosure statement, as required by law.

If the seller balks at these requests, it may be necessary to pass on the home. If issues arise during the inspection, you may change your mind about the house or negotiate for repairs or closing credits, depending on your agent’s advice.

Don’t worry; not all flipped homes are money pits. Prescott has many beautiful homes to offer. As a trusted real estate advisor, I like to ensure my clients don’t get burned! Let us use our years of experience and help you look for your next home (928) 830-6976.

When you become a homeowner, you are also responsible for paying property taxes. These taxes can take a significant chunk out of your finances, and it’s essential to understand their impact on your mortgage payment. Property tax is a recurring expense and can affect the affordability of your home, especially if you’re purchasing in an area where rates are high. 

When applying for a mortgage, you’ll see one of two acronyms in your paperwork, P&I or PITI, depending on whether you include your taxes in your mortgage payment.

P&I stands for Principal and Interest, and both are parts of your monthly mortgage payment that go toward paying off the loan you borrow. PITI stands for Principal, Interest, Taxes, and Insurance. Taxes and Insurance can be included in your payment, although, sometimes, you can elect to pay those items directly. Either way, they are all important factors to calculate when you want to determine the cost of your new home.

Understanding Property Taxes

Before diving into how property taxes affect your mortgage payments, it’s vital to understand the basics of property tax. Property taxes are a form of tax paid on real estate by landowners. Local governments use property tax to fund their services and operations, such as schools, hospitals, and services like garbage collection. The amount of property tax you pay can vary depending on your property’s assessed value and your area’s tax rate.

Including Property Taxes in Your Mortgage Payments

When you buy a home, you’ll have a mortgage. In most cases, you are required to make an additional monthly payment toward property taxes. The mortgage company holds the taxes in a separate account called an escrow account. When property taxes are due, your lender will use the money held in escrow to make payments on your behalf.

Tax Hikes and Your Monthly Payments

Property tax rates are not fixed and will change over time. Governments and local councils have the power to increase property tax rates, which can significantly impact your mortgage payment. It’s essential to be aware of any expected property tax increases and consider them when budgeting for your mortgage.

Yavapai County Tax

We are fortunate in Yavapai County to have a user-friendly online system to look up the property taxes for individual properties. If you are considering a house and want to look up the amount of past property tax, enter the property address on the Yavapai County Interactive Map.   http://gis.yavapai.us/v4/  Once you have the address displayed, select ‘Taxes’ from the right-hand column and view the taxes for the past five years. The Yavapai GIS System also shows assessed values and the amount of previous sales.

Purchasing a home is a significant investment, and it’s essential to understand all expenses you will incur, including property taxes. Property taxes can significantly impact your mortgage payment, and it’s essential to factor them into your home-buying plans. 

Dena and Dave Plane

(928) 830-6976