Let’s Get You Moving

The beast is in need of a car wash!  

We had a little Real Estate fun in the Bedford County today…. signs up, photos taken, curtains hung, lock boxes in place and a GPS that took us every backroad there was between Shelbyville, Wartrace and Unionville. The fun was going to continue in Wilson County this afternoon, but the house went under contract on day one!  

Folks, these dirty tires are not the only things moving these days!! A few of the ladies in my office, as well as myself, are finding the last couple of weeks busier than we were last month.

THIS. IS. A. GOOD. THING. 

If you’re considering a move, reach out to an MRE Real Estate Professional today. We’d love to help get the wheels moving in finding YOU your next stop along the way. 

www.MaroneyRealEstate.com

#maroneyrealestate #homewithmre

Proposed Bill Cuts Mortgage Insurance Costs

 

The House of Representatives passed a bill Tuesday that can cut the cost of upfront mortgage insurance for first-time homebuyers. This bill would affect those obtaining a mortgage backed by the Federal Housing Administration. (an FHA loan)

According to the article from Housing Wire posted below, “The Housing Financial Literacy Act of 2019, or H.R. 2162, stipulates that first-time homebuyers who complete a housing counseling program to learn about sustaining homeownership can get a 25-basis-point discount (0.25%) on their upfront mortgage insurance for an FHA loan.”

The bill will move on to a Senate vote before being able to reach the president’s desk.

What is Mortgage Insurance?

It is paid as a cost the day you close on a new home (up front) and as an annual premium. MIP stands for mortgage insurance premium and is required with an FHA loan.

➡️ Read the full article here: https://www.housingwire.com/articles/49525-new-bill-slashes-fha-mortgage-insurance-for-first-time-homebuyers

➡️Follow the bill: https://www.congress.gov/bill/116th-congress/house-bill/2162

To learn more about obtaining a mortgage and purchasing a home, please contact me for a list of local lenders we recommend.  Be sure to ask about the Maroney Real Estate First Time Home Buyer meeting!

Homeownership Builds Wealth

How Homeownership Delivers Unsurpassed Family Wealth

How Homeownership Delivers Unsurpassed Family Wealth | MyKCM

There are many financial benefits to homeownership, but probably none more important than its ability to create family wealth.

How Housing Matters is a joint project of the Urban Land Institute and the MacArthur Foundation. It is an online resource for research and information on how homeownership contributes to individual and community success.

Their article, The First Rung on the Ladder to Economic Opportunity Is Housing, explains the importance of homeownership to a family’s financial health. In that article, they simply stated:

“The ladder to economic success can stretch only so high without the asset-building power of homeownership.”

To this point, National Association of Realtors’ (NAR) Economists’ Outlook Blog revealed in a recent post:

“Housing wealth contributes positively to the homeowner’s and children’s economic condition, because home equity can be tapped for expenditures such as investing in another property (which can generate rental income), home renovation (which further increases the home value), a child’s college education, emergency or major life events, or expenses in retirement…

Housing wealth (or net worth or equity) is built up over time via the home price appreciation and the principal payments that the homeowner makes on the loan.”

Here is a graph showing the build-up of wealth over time:How Homeownership Delivers Unsurpassed Family Wealth | MyKCMJust last month, NAR’s Chief Economist, Lawrence Yun, explainedthat even though home appreciation has slowed, homeowners are still building wealth:

“Homeowners in the majority of markets are continuing to enjoy price gains, albeit at a slower rate of growth. A typical homeowner accumulated $9,500 in wealth over the past year.”

Later in life, this wealth is crucial…

This wealth is important to a family’s retirement plans. In a recent report from the Joint Center for Housing Studies at Harvard University titled, Housing America’s Older Adults 2018, they revealed that a renter 65 years old or older has a net worth of $6,710. Meanwhile, a homeowner 65+ years old has a net worth of $319,200. That huge difference will allow for a dramatic upgrade in one’s lifestyle during your retirement years.

Bottom Line

Homeownership builds wealth. This, in turn, allows families to have more and better options when it comes to their children and their life in retirement.

Truth about Housing Affordability

The Ultimate Truth about Housing Affordability

The Ultimate Truth about Housing Affordability | MyKCM

There have been many headlines decrying an “affordability crisis” in the residential real estate market. While it is true that buying a home is less affordable than it had been over the last ten years, we need to understand why and what that means.

On a monthly basis, the National Association of Realtors (NAR), produces a Housing Affordability Index. According to NAR, the index…

“…measures whether or not a typical family earns enough income to qualify for a mortgage loan on a typical home at the national and regional levels based on the most recent price and income data.”

Their methodology states:

“To interpret the indices, a value of 100 means that a family with the median income has exactly enough income to qualify for a mortgage on a median-priced home. An index above 100 signifies that family earning the median income has more than enough income to qualify for a mortgage loan on a median-priced home, assuming a 20 percent down payment.”

So, the higher the index, the more affordable it is to purchase a home. Here is a graph of the index going back to 1990:

The Ultimate Truth about Housing Affordability | MyKCM

It is true that the index is lower today than any year from 2009 to 2017. However, we must realize the main reason homes were more affordable. That period of time immediately followed a housing crash and there were large numbers of distressed properties (foreclosures and short sales). Those properties were sold at large discounts.

Today, the index is higher than any year from 1990 to 2008. Based on historic home affordability data, that means homes are more affordable right now than any other time besides the time following the housing crisis.

With mortgage rates remaining low and wages finally increasing, we can see that it is MORE AFFORDABLE to purchase a home today than it was last year!

Bottom Line

With wages increasing, price appreciation moderating, and mortgage rates remaining near all-time lows, purchasing a home is a great move based on historic affordability numbers.

Fish for Free in Tennessee!

Fish For Free In TN
June 8, 2019 – Fish for free in TN
(Photo courtesy of my daughter enjoying time at the lake when she was a little girl!)

When I was a young girl, my parents often packed a picnic lunch and took my brother and I to a forest preserve to fish on the banks of the river. I think Dad probably spent most of his time getting my hook out of the tree branches above and I’m sure I talked way too much, but it sure made for some great memories. I can still remember the river bank, the stinky outhouses, the playground equipment and Dad & Mom just being relaxed. There were no cell phones in those days, so when we went, Mom had a true break from real estate calls and Dad got a nice break from the hot factory. I think sometimes in today’s world, we can forget to unplug and the importance of doing so once in a while.

We grew up on 10 acres surrounded by cornfields and soybean fields, but there was a small creek two homes over. Once in a while when we were older, my brother and I would sometimes venture across the street and over to the creek. The neighbors were super sweet and the setting was gorgeous. I don’t believe I went with him too often, but I have a very fond memory of brother-sister time.

We also fished in Wisconsin a lot. Often times, it was Door County, Wisconsin while camping in Penninsula State Park. (Gorgeous places to go, it’s been many years since I have been, but I highly recommend a trip North!) There were many Wisconsin fishing and boating locations, too many to share. But a great deal of my memories as an older child, young adult and while raising my daughters include time at a lake home. Memories I wish I had made more of, but am super glad my girls made a ton!

However, I don’t believe I have had a fishing pole in my hand since before July of 2005. It was such a big part of my life growing up and that of my daughters, but I have ventured away from it as I grew older.

Free Fishing Day may be a good time to grab a pole, pack a picnic lunch like Mom used to do and head out!

Many states offer a free fishing day where young and old alike enjoy a day of fishing without the need for a fishing license. In 2019, that day is Saturday, June 8th for Tennesseans. If you’d like to check for dates in other states, this website seems to provide a great list.

Tennessee Wildlife Resources Agency offers a great deal of resources on their website, including this link for Kids! Go out, make some memories and take a photo or two like this one from about four decades ago. The memories are priceless.

Where are some great spots in TN to fish? Ask your local bait shop, or small gas station on the side of the road close to the nearest body of water near you….I bet they’d have some good ideas. But if you’re an internet reader, there are plenty of links to find top fishing opportunities on line.

AND…if you’re wanting to buy a home near water or even a lake home here in Middle TN, let one of us at Maroney Real Estate know. We’d be honored to assist you!

FIshing With the Family
Dad, one of my brothers and I after a fishing day.
Notice we are both holding on to the fish!
Guide to Fishing in TN
https://www.gooutdoorstennessee.com/

For Licensing Info:
https://www.gooutdoorstennessee.com/

That’s fishing and other licenses!

For info on obtaining a Real Estate License in TN, please give me a call at: 931-389-4MRE or 615-653-1137.

And don’t forget to share your photos with us when you go fishing this summer! #maroneyrealestate or #mrepicsaroundmiddleTN

Tips for Moving with Children

Planning a move with children?

Getting to know the children involved in a real estate transaction is one of the joys of this career. Throughout the house hunting process, some kiddos have nicknamed me Grandma Michel and another, Aunt Michel. It sure did warm my heart!

In addition to the honor of handing over the keys to their new home, I have had the pleasure of entertaining several children while their parents sign closing documents. They are all such blessings.

Though handing over the keys is exciting and house hunting can be enjoyable, I get that packing and the actual move can be a stressful time, especially for children. Here are just a few tips to make the transition a bit smoother

Hopefully, these tips are of help!

As for buying or selling, I am here to help with any questions you might have!

National Rescue Dog Day, May 20

May 20th is National Rescue Dog Day! Many of us have a four legged friend we love. How many of you have a Rescue Dog?

I lost the one I referred to as my rescue Dog shortly after we moved into the home we owned in Smyrna, TN during the summer of 2015. She is now in doggie heaven, but Polly was a sweet dog.

In 2009, I went to bring her home. I had been facing some rough times and the company of a fur baby was just what the doctor ordered. She was not a rescue, but “rehomed” and about eighteen months old. It was shortly after arriving at the meeting location that I and the young friend who accompanied me realized this may be more than rehoming. While I didn’t bring her home with us from a shelter or a rescue organization, I feel our family may have rescued her.

She was so pathetic looking. The back half of her was grossly shaved down, the front half long, unkempt and matted; hair hanging in her eyes, wet from being sick in the car, and covered in fleas. I asked if she was potty trained. The reply I received was, “Welllll, when we get home we take her out. If she goes potty she gets a treat and if she doesn’t she gets put back in her kennel.”

On the way home, she laid on me and just looked at me as if to say thank you. I’ll never forget the look in her eyes. Once home, the one I loved bathed her and gave her a haircut, so lovingly. She was looking more loved and cared for right away.

The weeks that followed brought even more trying days in my life and Polly was always right there. One day I will never forget—She came up to me and sat in my lap, licked my cheek as tears were falling and didn’t leave my side for several hours. She was the first pet I allowed to sleep at the foot of my bed. [Okay, so she slept on top of the covers at the bend of my knees!]

I may have kind of rescued this sweet girl based on her condition, skiddish/scared ways and a few things I had been told, but Polly….Polly rescued ME. 💗 And I will never forget her.

Rescue pups need us. They need love and someone to give them another chance.

The National Day Calendar website tells us, “National Rescue Dog Day recognizes all the benefits of allowing a four-legged canine to adopt you into their immeasurably lovable life.

According to the ASPCA, approximately 3.3 million dogs enter shelters every year. When these abandoned and abused animals find their way to a shelter, each one needs a forever home and their potential is limitless.”

If you rescue a Dog today and are within an hour of Bell Buckle, TN, let me know! I have some photography experience and I’d love to treat you to a family photo with your new fur child before the end of June!

And if you have already added a rescue dog to your family, please share your photos on my Facebook page. I’ll share a link to this blog and would love to see your photos in the comment section.

You never know, your rescue pup story may just inspire someone else to bring a rescue home also!

Just a few places you may be able to adopt in Middle TN:

Renters Paying Substantially More While Owning Costs Less


Renters Paying Substantially More While Owning Costs Less | MyKCM

In a recent Insights BlogCoreLogic reported that rent prices have skyrocketed since 2005. Meanwhile, the typical mortgage payment has actually decreased.

“CoreLogic’s national rent index was up 36% in December 2018 compared with December 2005, while the typical mortgage payment was down 4% over that period.”

Renters Paying Substantially More While Owning Costs Less | MyKCM

Why the difference between the costs of renting versus owning?

It makes sense that rents have risen. However, how did mortgage payments decrease? CoreLogic explained:

“It’s mainly because mortgage rates back in December 2005 were significantly higher, averaging 6.3% for a fixed-rate 30-year loan, compared with 4.6% in December 2018. 

The national median sale price in December 2005 – $190,000 – was lower than the $220,305 median in December 2018, but because of higher mortgage rates in 2005 the typical monthly mortgage payment was slightly higher back then – $941 – compared with $904 in December 2018.”

Additionally, a recent report by the National Association of Realtors (NAR) showed that purchasing a home requires less of your monthly paycheck.

According to the Economists’ Outlook Blog, NAR’s February 2019 Housing Affordability Index showed that the “percentage of income needed” to pay the typical mortgage has decreased the last three months.

  • November – 17.3%
  • December – 16.9%
  • January – 16.2%
  • February – 15.9%

Bottom Line

What does this all mean to the current housing market? We think First American said it best in a post last week:

“The mortgage rate-driven affordability surge has arrived just in time… Rising affordability has already benefited home buyers and, if the lower rate environment persists, we’re in for a great spring home-buying season.”

Selling Your House: Here’s Why You Need A Pro In Your Corner!


Selling Your House: Here’s Why You Need A Pro In Your Corner! | MyKCM

With home prices on the rise and buyer demand still strong, some sellers may be tempted to try to sell their homes on their own rather than using the services of a real estate professional.

Real estate agents are trained and experienced in negotiation while, in most cases, the seller is not. Sellers must realize that their ability to negotiate will determine whether or not they get the best deal for themselves and their families.

Here is a list of just some of the people with whom the seller must be prepared to negotiate if they decide to For Sale by Owner (FSBO):

  • The buyer, who wants the best deal possible
  • The buyer’s agent, who solely represents the best interests of the buyer
  • The buyer’s attorney (in some parts of the country)
  • The home inspection companies, which work for the buyer and will almost always find some problems with the house
  • The termite company, if there are challenges
  • The buyer’s lender, if the structure of the mortgage requires the sellers’ participation
  • The appraiser, if there is a question of value
  • The title company, if there are challenges with certificates of occupancy (CO) or other permits
  • The town or municipality, if you need to get the CO permits mentioned above
  • The buyer’s buyer, in case there are challenges with the house your buyer is selling

Bottom Line

The percentage of sellers who have hired real estate agents to sell their homes has increased steadily over the last 20 years. Let’s get together to discuss all that we can do to make the process of selling your house easier for you.