Realtor Mike Mahoney: The Greater Boston Voice | Clarity in Real Estate

If You Rent a Home for $1500/month for 30 Years w/ Only a 3.2% Rental Rate Increase

If You Rent a Home for $1500/month for 30 Years w/ Only a 3.2% Rental Rate Increase...

You will still die broke wheras if if you purchased a home now for 300k...and only realize a 1% appreciation on the property you will have 400K in your pocket as opposed to spending 900k in your lifetime in rent with a BIG FAT ZERO @ the end.

Enjoy the video and demonstration on the power of owning below. Mike Mahoney

  

Why Now Is A Great Time to Buy

Michael Mahoney
TheGreaterBostonVoice.com 

Good afternoon, this is Mike Mahoney real estate agent here in greater Boston just wanted to take a minute and reach out to all the folks who visit my website on a regular basis and explain all the great reasons why you should take and capitalize on the opportunity that currently exist for homeownership in Boston Please review the video down below and as always reach out to me if you have any questions give me a call at 617-980-9025. Thanks a lot...

There is Really No Better Time to Buy a Property Than Right Now

Mike Mahoney
Realtor with Keller Williams
www.MMahoney.com
Read By Blog @ http://www.TheGreaterBostonVoice.com
 

There is Really No Better Time to Buy a Property Than Right Now

Honestly, this will sound completely self serving as a real estate agent, but there really is no better time to buy a property than right now. The interest rates are the lowest the rates have been in history. Couple this with a depressed market, and you stand to do really well.

This probably explains why the investment market is fairly strong. People are buying properties on sale. Now, you add in the low interest rates and you have the perfect storm as a buyer.  Listen in down below as I go over a chart which tracks interest rates from 1981 up until the third quarter of 2011.

If you don't call me, that's okay, but please please take advantage of the opportunities that exists today in this market.

 

 

 

The Cost of Waiting for Prices to Fall

The Cost of Waiting for Prices to Fall.

The Cost of Waiting for Prices to Fall

Pros and Cons of Buying a Condo in Boston

Pros and Cons of Buying a Condo in Boston

Condominiums and townhouses offer an affordable option to single-family homes in many markets, and they’re ideal for those who appreciate a maintenance-free lifestyle. But before you buy, make sure you do your legwork. These are some of the important elements to consider:

Storage.

Outdoor space.

Amenities.

Maintenance.

Security.

Reserve funds and association fees.

Resale.

Condo rules.

Neighbors.

You’re much closer to your neighbors in a condo or town home. If possible, try to meet your closest prospective neighbors. Although you have a vote, the rules of the condo association can affect your ability to use your property. For example, some condos prohibit home-based businesses. Others prohibit pets, or don’t allow owners to rent out their units. Read the covenants, restrictions, and bylaws of the condo carefully before you make an offer. The ease of selling your unit may be dependent on what else is for sale in your building, since units are usually fairly similar. Although fees generally help pay for amenities and provide savings for future repairs, you will have to pay the fees decided by the condo board, whether or not you’re interested in the amenity. Keyed entries and even doormen are common in many condos. You’re also closer to other people in case of an emergency. Many condos have onsite maintenance personnel to care for common areas, do repairs in your unit, and let in workers when you’re not home — good news if you like to travel. Many condo properties have swimming pools, fitness centers, and other facilities that would be very expensive in a single-family home. Yards and outdoor areas are usually smaller in condos, so if you like to garden or entertain outdoors, this may not be a good fit. However, if you dread yard work, this may be the perfect option for you. Some condos have storage lockers, but usually there are no attics or basements to hold extra belongings.

Tax Benefits of Homeownership

Tax Benefits of Homeownership

The tax deductions you’re eligible to take for mortgage interest and property taxes greatly increase the financial benefits of homeownership. Here’s how it works.

Assume:

$9,877 = Mortgage interest paid (a loan of $150,000 for 30 years, at 7 percent, using year-five interest)
$2,700 = Property taxes (at 1.5 percent on $180,000 assessed value)
______

$12,577 = Total deduction

Then, multiply your total deduction by your tax rate.

For example, at a 28 percent tax rate: 12,577 x 0.28 = $3,521.56

$3,521.56 = Amount you have lowered your federal income tax (at 28 percent tax rate)

Note: Mortgage interest may not be deductible on loans over $1.1 million. In addition, deductions are decreased when total income reaches a certain level.

 

8 Tips to Guide Your Home Search in Boston

8 Tips to Guide for Your Home Search in Boston

1. Research before you look. Decide what features you most want to have in a home, what neighborhoods you prefer, and how much you'd be willing to spend each month for housing.

2. Be realistic. It's OK to be picky, but don't be unrealistic with your expectations. There's no such thing as a perfect home. Use your list of priorities as a guide to evaluate each property. Know your budget and if it calls for beer, don't shop for champagne.

3. Get your finances in order. Review your credit report and be sure you have enough money to cover your down payment and closing costs. Then, talk to a lender and get prequalified for a mortgage. This will save you the heartache later of falling in love with a house you can't afford.

4. Don't ask too many people for opinions. It will drive you crazy. Select one or two people to turn to if you feel you need a second opinion, but be ready to make the final decision on your own. Your long lost contractor uncle will tell you that every house is a piece of junk. If I listened to these types of folks, everyone would be living in their cars.

5. Decide your moving timeline. When is your lease up? Are you allowed to sublet? How tight is the rental market in your area? All of these factors will help you determine when you should move.

6. Think long term. Are you looking for a starter house with plans to move up in a few years, or do you hope to stay in this home for a longer period? This decision may dictate what type of home you'll buy as well as the type of mortgage terms that will best suit you. I always recommend that you buy just a bit more than you think you'll need and to stay within budget. This way if you if your life changes, you will be able to stay (ie. children, you find Mr. Right).

7. Insist on a home inspection. If possible, get a warranty from the seller to cover defects for one year. I never recommend a buyer waive any inspection. NEVER!

8. Get help from a REALTOR®. Hire a real estate professional who specializes in buyer representation. Unlike a listing agent, whose first duty is to the seller, a buyer's representative is working only for you. Buyer's reps are usually paid out of the seller's commission payment.

I know that #8 sounds self serving...It's not meant to be. I am making this recommendation on the basis that your hire a real estate professional, not necessarily me. The folks who call me to sell their homes, and are upside down are usually the ones who went at it alone or directly to the listing agent to make their purchase and guess what, they are now going to pay the price.

 

Why You Should Become a First Time Homebuyer in Boston Mass

Why You Should Become a First Time Homebuyer in Boston Mass

1. Tax breaks. The U.S. Tax Code lets you deduct the interest you pay on your mortgage, your property taxes, as well as some of the costs involved in buying your home.

2. Appreciation. Real estate has long-term, stable growth in value. While year-to-year fluctuations are normal, median existing-home sale prices have increased on average 6.5 percent each year from 1972 through 2005, and increased 88.5 percent over the last 10 years, according to the NATIONAL ASSOCIATION OF REALTORS®. In addition, the number of U.S. households is expected to rise 15 percent over the next decade, creating continued high demand for housing.

3. Equity. Money paid for rent is money that you’ll never see again, but mortgage payments let you build equity ownership interest in your home.

4. Savings. Building equity in your home is a ready-made savings plan. And when you sell, you can generally take up to $250,000 ($500,000 for a married couple) as gain without owing any federal income tax.

5. Predictability. Unlike rent, your fixed-mortgage payments don’t rise over the years so your housing costs may actually decline as you own the home longer. However, keep in mind that property taxes and insurance costs will increase.

6. Freedom. The home is yours. You can decorate any way you want and benefit from your investment for as long as you own the home.

7. Stability. Remaining in one neighborhood for several years gives you a chance to participate in community activities, lets you and your family establish lasting friendships, and offers your children the benefit of educational continuity.

 

How Much Mortgage Can I Afford?

How Big of a Mortgage Can I Afford?
This is a question we get a lot simply due to all of the 1st time home buyers that we work with.

Not only does owning a home give you a haven for yourself and your family, it also makes great financial sense because of the tax benefits — which you can’t take advantage of when paying rent.

The following calculation assumes a 28 percent income tax bracket. If your bracket is higher, your savings will be, too. Based on your current rent, use this calculation to figure out how much mortgage you can afford.

Rent: _________________________

Multiplier: x 1.32

Mortgage payment: _________________________

Because of tax deductions, you can make a mortgage payment — including taxes and insurance — that is approximately one-third larger than your current rent payment and end up with the same amount of income.

If you are a first time buyer, you should look at all of our posts on being 1st Time Buyer

If you need a mortgage preapproval, please reach out to Thea Simolari

For more help, use Fannie Mae’s online mortgage calculators.

 

Opportunity Is Knocking: The Guide to Finding a Good Deal in This Market

Distressed Properties Ebook - "Opportunity is Knocking" is your guide to the ins and outs of finding a good deal in today's market.

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