Before You Build: What about Your Present Home?

The thought of having a brand-new home is once again on many people's minds as we look at 30-yr. mortgage rates right around 5%. [And by the way, I always encourage folks to go with a 30-yr. mtg. instead of 15 in order to be more in control of their disposable income. What I mean is that you can accomplish the same goal--paying lots less interest over the life of the mtg.--by just adding 1/12 of your 30-yr. mtg. principal to your regular payment (just be sure to write on the check what the extra amount is to be applied on), or by making a lump-sum payment on the principal (such as if you get an annual bonus). By sticking with the 30-yr. mtg., you have more disposable monthly income to decide what to do with, & the slightly higher rate on the 30-yr. mtg. will affect you less if you do make extra dedicated payments to the principal.]

With that out of the way, this post is to remind you to think about your present home's "buyer position" in the Omaha-area market. Would your present home be in a price range for first-time buyers? Were you a first-time buyer when you purchased it? This is vitally important between now and November, as first-time home buyers are now eligible for an $8,000.00 tax credit through the end of November. This means that if your home could be sought by first-time buyers & you've always wanted to consider building a new home, well...NOW is the time to get rollin'! The Omaha home-buying market is heating up, & builders are highly motivated to give excellent service to new clients.

My wife & REALTOR partner Leann is paid by our company, CBSHOME Real Estate, to teach home pricing to both new agents as well as those who need a tune up with this skill. Leann & I pride ourselves in giving home sellers the most accurate information possible about their home's market value, & our company, Nebraska's largest & a Berkshire-Hathaway subsidiary, obviously values Leann's pricing skills highly.

For no-nonsense, no-obligation information regarding both your home's value in the present market as well as whether your home would be in the price range for first-time buyers, please contact us at 690-6100 (Leann) or 657-3333 (Scott). Please also visit my website, ScottYahnke.com, for additional information & helpful web links.