Category Archives: Home Ownership

7 Signs You’re Ready to Buy a Place of Your Own

Are You Ready to Buy a Place of Your Own?

Living in an apartment or rental home does have its perks: You can test out different neighborhoods and locations, you have the flexibility to move, and you have access to great amenities like a gym or pool. But there’s a reason that owning a home, rather than renting one, is a highly desired achievement.

Maybe the thought of having your own place has crossed your mind only recently, or maybe you’re regularly saving a chunk of your paycheck for that future down payment. No matter where you are in the process of considering home ownership, here are the unmistakable signs that you’re ready to buy your first home.

new friends hanging out

1. You Want to Get to Know Your Neighbors

Because renters don’t tend to live in one apartment for very long, it can be difficult to meet people who live in your building. But when you buy a home and are more invested in your community, it’s easier to forge lasting friendships.

homeowner customizing his house Continue reading

Say “Hello” to Warmer Weather: Spring Home Décor Tips for 2017

Stay on Top of the Trends with Your Spring Home Décor

vase of flowers in a homeNothing says spring quite like a bouquet of fresh flowers sitting on the coffee table and the sun streaming through the windows. Homeowners love any excuse to freshen up their home décor and welcome the new season, and if Pinterest is any indication, people love to bring the latest trends into their living spaces. Flowers, plants, and cheerful colors are traditional staples of springtime, but 2017 has a few unexpected twists for interior decorating. Looking for inspiration for your own home? Here are just a few home décor ideas to try.

Decorate Your Home with “Greenery”

Pantone’s Color of the Year is a vibrant, nature-inspired hue called “Greenery,” and it’s sure to liven up your living spaces.

Showcase Soft Textures

Velvet, cotton, and plush yarns are textures of choice this year. Bringing these soft, luxurious textures into your home, either with new furniture or decorations, will make you feel even more cozy and comfortable.

Continue reading

Understanding Property Taxes in Washtenaw County

Property Tax CalculationUnderstanding Property Taxes

“In this world nothing can be said to be certain, except death and taxes.” Even back in 1789, Benjamin Franklin understood that taxes are here to stay. Before purchasing a property, educate yourself on how property taxes are assessed your area, how they might change after your purchase, and how you or your bank might be paying them. Here are a few tips for buyers in Washtenaw County:

  1. Property taxes are based on the taxable value of the property and the current millage rate for the area, all of which is public information. You can find taxable values for properties in Washtenaw County here, and 2016 millage rates for the state of Michigan here. The state of Michigan also has an online calculator for property taxes.
  2. Keep in mind that both taxable values and millage rates are subject to change, but taxable value increases are limited to the percent change in the inflation rate or 5%, whichever is less.
  3. The exception to this rule is during the year after you purchase a property. For properties sold during the past year, the cap is removed and the current year’s taxable value becomes the State Equalized Value (SEV) of the property. The SEV is based on 50% of a property’s market value.
  4. In Washtenaw County, Summer tax statements are sent by July 1 and are due on September 14. Winter tax statements are sent by December 1 and due on February 14. Penalties apply for late payments. On March 1 of each year, any past due tax balances are sent to the County as delinquent.
  5. Be sure to look for any special assessments that may apply to the property you are considering for purchase, and include who will be responsible for them in the sales contract. Will the current seller pay them off, or will the buyer be responsible for payments going forward? One example of this is the 10-year Scio Road Assessment that was implemented in 2013 and is payable in $85 installments each year.
  6. If you own and occupy a property (it’s your principal residence), you may qualify for a principal residence (homestead) exemption from a portion of local education taxes. Check with your city or township for additional information.
  7. If you obtain a mortgage to purchase a property, your bank will likely collect your property taxes from you in your monthly PITI payment (principal, interest, taxes, and insurance). You will pay 1/12 of your annual property tax due each month. The taxes and insurance will be held in an escrow account, and then the bank will pay your property taxes when they come due.

If you are thinking about buying a home and need help navigating property taxes in our area, call Ann Arbor’s Real Estate Specialists at The Bouma Group at 734-761-3060. You can also email us at info@bouma.com. Start your new home search here!

Save

Beat the Winter Blues with Colorful Home Décor

The winter holidays and New Year’s have come and gone, and so have all the decorations. With no twinkling lights or festive ornaments brightening up its main living areas, your home can start to look a little bare. Not to worry! Here are a few winter home decorating ideas that can cheer you up and bring back the holiday sparkle. And if you’re planning to sell your home this season, these tips will also help you impress potential buyers with your warm, welcoming home.

seasonal wreath on doorKeep the Wreath on Your Front Door

A splash of color in your entryway can bring a smile to your face even on the gloomiest winter mornings. Add sprigs of holly, frosted pine cones, or a colorful bow to an evergreen wreath and hang it over your door for a fun and festive winter look. (Plus, home buyers pay special attention to your entryway, so a seasonal wreath is key to creating the best first impression.) Continue reading

Ten Tips for Maintaining Your Septic System

Outhouse in the WoodsTen Tips for Tanks

Moving to the countryside or the deep woods can have many advantages – nighttime skies full of stars, peace and quiet, and open spaces. But if you’ve been a city slicker your whole life, moving away from an urban area can present a new experience in the way of septic tanks. A septic tank, usually found underground, is a tank that collects sewage from your household and uses bacteria to break down the solids before moving the waste to a septic field to filter back into the environment. The tank, field, and related pipes are collectively referred to as a septic system. Review these ten tips for the care and maintenance of your septic system to guarantee frustration-free flushing for years to come.

  1. Have a professional inspect your septic system annually. As the saying goes, “An ounce of prevention is worth a pound of cure.”
  2. In addition to regular inspections, you should have your tank pumped out by a licensed contractor every 2 – 5 years depending on usage. You should also call immediately if you suspect any problems.
  3. Make sure that everyone in your household and anyone who might do work at your property knows where the septic field is located, and try to stay clear of the area as much as possible.
  4. Keep the septic field clear of plants, trees, cars, concrete, etc. No building or driving should take place on the field. Planting grass will prevent erosion and absorb excess moisture.
  5. Do not attempt tank maintenance yourself. The anaerobic bacteria breaking down your household solids produce toxic methane gas, which can cause skin and lung irritation, nausea, vomiting, and even death.
  6. Before installing a garbage disposal, check with your septic professional or local building codes. You need to be sure your septic system can handle the extra food-based waste. Avoid using the disposal for fats and oils which can clog your system, harm the bacteria that maintain the system, and be detrimental to local waterways after expulsion to your septic field. Consider a septic-safe disposal, which utilizes an extra cartridge of enzymes to help break down food waste. Many professionals will advise you to avoid a garbage disposal altogether.
  7. Avoid a muddy mess by keeping gutter, pool, and sump pump water away from the septic field.
  8. Do not flush diapers, sanitary products, cat litter, or paper towels down the toilet. Do not pour leftover cleaning products and other hazardous chemicals down the toilet or sink drain.
  9. Maintain detailed records regarding the care and maintenance of your septic system. This is both for your benefit and the benefit of future potential buyers of your property.
  10. Conserve water so as not to overload the system. Use low-flow showerheads and toilets, install high-efficiency appliances, and repair leaky toilets and pipes. Spread out your laundry use over the week and use the smallest load size for the amount of laundry you have.

If you are considering the purchase of a property with a septic system, call the experienced exclusive buyers agents at The Bouma Group, Realtors to guide you through the process. They have local knowledge and professional contacts who can ensure you aren’t flushing money down the drain. Call 734-761-3060 or email info@bouma.com today!

Save

The Essentials for Entertaining Big in a Small Home

homeowner setting dining tableWith the holiday season approaching, many homeowners are starting to plan get-togethers with friends or family. While entertaining can be more of a challenge in a smaller home, it’s not impossible to host a memorable dinner party with your loved ones if you’re working with limited space.

Here are a few tips for throwing a large dinner party in a small area.

Before Guests Arrive, Clean and Clear Your Home

You don’t have to put as much effort into cleaning and decluttering as if you were selling a home; the basics will do.

Put away any unnecessary furniture, home décor, and kitchen appliances before the dinner party. Clean and dust the rooms that guests will visit: bathrooms, the kitchen, and the dining area. If you have pets, don’t forget to vacuum upholstery and stash toys or the litter box out of sight.

Continue reading

What You Haven’t Considered About Owning a Vacation Home

tropical-vacationWouldn’t it be great to own a place at the beach, in the mountains, or by the lake? If you are seriously considering buying a vacation home, you have probably weighed many of the pros and cons already.

But you should carefully consider everything before you buy. Have you taken these additional costs and benefits into account?

The Overlooked Costs of Homeownership

As any experienced home buyer knows, there are additional annual costs that come with owning a home, such as property taxes, home insurance, and any association fees.

Make sure you consider maintenance costs, as well. If you decide to rent out your property, you might want to invest in housekeeping or property management services. MarketWatch outlines a few additional costs you may face.

Continue reading

Don’t Touch the A/C! 7 Tips to Stay Cool and Save Money

sunglasses laying in a grass fieldIt’s easy to just crank up the air conditioning during the hottest months of summer. Sure, the energy bill may be higher, but it’s worth the extra expense to keep your home cool — right? Or are there any sure-fire ways to save money and stay cool indoors?

Before you reach for the thermostat, try these DIY energy-saving tips to keep your home comfortable and keep you from breaking the bank.

1. Raise the A/C Temperature — Yes, Really

It’s better to keep the air conditioning down, but if you want to keep it on, raise the thermostat to a comfortable temperature. When you’re at home (or have buyers viewing your home), set the thermostat to 78 degrees Fahrenheit (25 Celsius). When you’re away, set the thermostat to 85 Fahrenheit (29 Celsius).

The trick is to find the temperature that’s comfortable, not too cold or too hot. This is crucial if you’re selling your home during the summer. No buyer wants to step inside and still be sweating during a showing!

2. Wash Dishes and Do Laundry at Night

You’ll want to avoid using as many heat-generating appliances or lights as you can during the summer. Use your dishwasher, dryer, or oven only during the coolest parts of the day, either in the early morning or evening. You can even air-dry your dishes and use the stove or microwave instead of the oven.

Continue reading

The Top 5 Home Features That Save Time and Money

Everyone wants to save money on energy bills every month. But did you know that having today’s popular energy-efficient features in your home can also save you time and stress when you sell your home?

two home buyers surrounded by moving boxesMore and more first-time home buyers are searching for homes in the area, so there is more of a demand for move-in ready homes or homes with certain features.

As Millennial Magazine notes, what buyers are looking for in a home include open floor plans, homes with great cell service, and energy-efficient features.

Having the best energy-efficient home features now means you won’t need to upgrade your home later when you sell. Plus, these features may also add value to your home.

5. Programmable Thermostats

Programmable thermostats let you control when you want the heat and air conditioning to be running in your home, saving you money on your monthly energy bills. Some thermostats, such as Nest Learning Thermostats, even let you control the temperature remotely on your phone, an appealing feature for today’s home buyers.

upgraded kitchen with bright spring flowers4. Energy-Efficient Appliances

There are plenty of cost-saving options for the appliances throughout your home. Energy Star offers many appliances and equipment from kitchen appliances to water heaters that are popular energy-efficient home features.

3. Green Home Construction

Materials involved in home construction can be also be energy-efficient. Different types of insulation and energy-efficient windows, such as low-emissivity (low E), can be installed to reduce your heating and cooling costs.

2. Low-Flow Plumbing Fixtures

A way to save money on your water bill is to replace your toilet, faucet, or shower head with a low-flow toilet and water-conserving features.

LED light bulb on a white surface1. LED Lightbulbs

A simple switch from incandescent lighbulbs to LED bulbs will not only brighten your home but save you money on your energy bill.

Using these bulbs can also help you as you’re selling your home, too; brighter rooms are more appealing to buyers who are scrolling through online listing photos and viewing homes.

Today’s Buyers are Searching for Your Home

Not all home buyers are searching for new construction homes in the area. In fact, the National Association of Home Builders found that less than 9% of Millennials and only 12% of older home buyers bought a brand new home.

Today’s home buyers may be searching for a home that is similar to yours, and if you have the energy-efficient home features they are looking for, they may value your home more.

But Before You Upgrade Your Home…

person using an iphoneAs the real estate experts in this area, we know what features home buyers are looking for. So before you completely upgrade your home with these features or other home improvements, talk to us about whether you need to spend the time and money installing them.

All your home may need is expert marketing to attract buyers.

We’d be happy to talk with you about the best energy-efficient home features and what today’s buyers are searching for. Just give us a call at The Bouma Group at 734-761-3060 or email info@bouma.com today!

Is Renting Truly Cheaper Than Buying a Home?

Owning a home is a dream for many people. You have the opportunity to invest in a place of your own and build equity, not to mention carve out a space that reflects who you are and what you love.

However, worries about down payments, property taxes, maintenance, and insurance (and student loans) can make buying a home seem like wishful thinking, which is why you may prefer to rent a home or apartment.

But is renting cheaper than buying a home? There are more than just financial costs to consider. Let’s discuss the advantages and disadvantages of renting.

a person holding a wad of cashYou Receive No Return When You Rent a Property

As a renter, you’re paying hundreds of dollars a month to live in your community, and if you want to move, it’s much easier. But renting a home doesn’t offer you investment opportunities.

Unlike paying off your home loan and building equity, the money you pay when you rent goes straight to the property owner or manager.

You Don’t Build Credit When You Rent

As this recent Forbes article explains, your credit score often does not factor in your on-time monthly rent payments, so renting a property is not a great way to build credit.

Additionally, renting doesn’t provide you with any tax benefits. If you own a home, however, you can deduct mortgage insurance and property taxes, and exclude capital gains when you sell.

You Cannot Customize Your Living Space

upgraded kitchen with bright spring flowersNot all costs are financial. There are opportunity costs of renting a home instead of buying a home, and customization is one of them.

There may be rules and regulations in your rental community that prevent you from changing your space to fit your style, such as painting the walls or upgrading the kitchen. These rules may also prevent you from living with a pet.

Owning a home means you can create your own space (with your choice of countertops and kitchen cabinets), you can invest in home improvements, and you can live with your furry companion.

You Have a Harder Time Connecting with Your Community

Forming deep connections with your neighbors is likely not high on your priority list if you’re a renter, especially when you consider that you will only be living in the community for a short time. If you desire to get to know your neighbors, home ownership is a better option.

buyer holding house keys to new homeRenting vs. Buying: The Bottom Line

Renting gives you flexibility and little maintenance to worry about. Buying a home is a long-term investment that gives you a space you can customize, helps you build credit and equity, and connects you with your community.

We want to help you make the best decision, and we have important real estate market resources that you can use to help you decide if renting is cheaper for you than buying a home. Just give us a call at 734-761-3060 or email info@bouma.com and we can talk about your plans!