Blog – Chris Nooney

Chris Nooney August 24, 2018

4 Things To Know About Homestead Exemptions

4 Things To Know About Homestead Exemptions Homeowners are well aware that peripheral costs swell over time and can put a strain on incomes. Utility bills increase, home insurance creeps up annually and taxes rise with the cost of schools and road repair.

That’s why many communities have enacted homestead exemptions that can help stabilize and even lower tax bills in some cases. Although these exemptions are not well publicized, knowing how they work and how to apply could save you a good deal of money.

Understanding The Homestead Exemption

A homestead exemption helps homeowners lower and/or fix the amount you pay in local taxes. Qualifying property owners can have a portion of the assessment excluded from taxation. That allows your tax bill to be calculated at a lower rate than non-exempt properties. In some communities, full-time residents can set their annual tax bill at time of purchase or when they are granted the exemption. This has been a national trend to help our valued elders on fixed incomes such as Social Security.

Protection From Civil Lawsuits

Many states have homestead exemptions in place that protect residents from displacement. For example, if a resident has a civil judgment leveled against them, a homeowner may claim the homestead exemptions as a reason their property cannot be seized to offset the debt. In most cases, the exemption is dependent upon the amount of equity a person has accumulated. In some places, homestead exemptions set aside properties from the probate process in the event of a death. Simply put, homestead exemptions can act as a financial safeguard.

Homestead Exemption Eligibility

The exemption is generally a benefit only for the mortgage holder of a primary residence. The majority of states limit this benefit to full, free-standing homes. Some allow condominium and mobile home owners to also claim the exemption. Non-traditional homes may be limited to certain groups, including, disabled people, our valued elders or those who served in the military. The total exemption may also vary depending upon the type of property and class of citizen. Again, states recognize the need for economic stability for people on fixed incomes.

How To Claim An Exemption

Homestead exemption applications vary from state to state. In Illinois, for example, a reported fixed deduction is automatically given to all homeowners who reside in the state full time. Other states require residents to reapply each year. The process may include providing proof of ownership, full-time residency and exemption group status. The reapplication process can be tedious and serves as a deterrent against fraud. Most states require one-time application approval with simple updates, generally during assessment years.

Although homestead exemptions are generally not well known, check your local and state website for information. If you are planning on buying a home, consider homestead exemptions as a long-term cost-saving benefit.

Whether you have questions about your homestead exemption or want to learn about other ways to save on your mortgage, your trusted mortgage professional is ready and available to help.

Chris Nooney August 23, 2018

4 Reasons Millennials Should Buy A Retirement Home First

4 Reasons Millennials Should Buy A Retirement Home First There’s an idea running through marketing and business circles that anything that is popular, the opposite will likely be popular as well.

Consider that sugar and caffeinated beverages such as Coca-Cola have seemingly opposite products like Coke Zero. That product, in turn, is offset in the marketplace by high-sugar, high-caffeine energy drinks such as Monster and Red Bull.

In the housing industry, reverse living homes enjoy popularity. Basically, the bedrooms are downstairs while the kitchen, living room and other gathering spaces are upstairs. This concept of doing the opposite brings us to the idea about buying a first home.

The vast majority of potential buyers focus on starter homes as they build financial success. Some think about how that first home could be expanded to grow a family or sold when marriage and young ones come along. But Millennials enter the housing market may want to consider doing the opposite. What if you bought your last home first?

Consider these reasons for starting with your retirement home.

1: Lifestyle Suits Renting First

Millennials are flooding the job market and beginning to earn wages that prompt them to make major life purchases. But Millennial jobs tend to be different from the traditional ones of previous generations. Tech companies are trending in hip cities across the country and places with excellent weather. That means these first-time home buyers would either find themselves commuting through rush-hour traffic from the suburbs or paying urban real estate prices. Young Millennials may be better off renting and investing in property elsewhere.

2: Rent Out Your First Home

By taking your initial down payment and investing in a rental property, Millennials can make money or maintain a zero-expense real estate buy.

By purchasing your future retirement home in a vibrant community with a relaxed environment, it can pay for itself while strengthening your economic portfolio. The equity building in that first property will position you for a second home to live near work or build a family. That retirement rental may even put a few extra dollars in your pocket.

3: Pursuing Career Opportunities

Whether you are fresh out off college, completed military service or rising in a company’s ranks, Millennials on the younger end of the spectrum can benefit from agility. Being able to seamlessly relocate to pursue emerging career opportunities or take a promotion in another city or state can help maximize your earning potential. Having a home is certainly nice, but you will be faced with a decision to sell and buy a new one or pass on an opportunity. Those are not necessarily the best considerations during prime earning years.

4: Downsizing Matters

The trend of valued elders is to downsize family homes as the enter their golden years. Ironically, many purchase the same type of starter homes all over again. The value of buying a retirement home first is that you will be able to cash out of any other property and apply that revenue to living expenses. In all likelihood, the initial real estate buy will be paid off. In the end, doing the opposite of common trends can prove to have improved long-term benefits.

If you are considering buying a property to rent and retire in later, contact your trusted mortgage professional to discuss your financing options.

Chris Nooney August 22, 2018

Easy Decor Tricks That Make Any Home A Standout

Easy Decor Tricks That Make Any Home A Standout If your home’s style currently wouldn’t win any awards, there’s no reason to put off a redo indefinitely. With a little ingenuity and a few hours of time, it’s possible to transform a “Plain Jane” into a trendsetter.

Here’s how:

Paint and Pattern

Almost any designer will tell you that color is the best way to alter the character of a room. It doesn’t have to be dramatic; even a subtle change of tone, texture or pattern on a single wall can be a distinctive focal point. If your home lacks architectural detail, you might consider adding wood paneling to one wall or to the ceiling. It can be rustic or refined, and it will add instant appeal and point the way to further decor ideas.

If you don’t want to make major changes, hang simple fabric panels on a decorative rod to frame a window; or add color throughout a room with accessories — textured accent pillows, cozy throws, ceramic lamp bases or attractive woven baskets that do double duty as storage containers.

Framed Photographs

Create a gallery wall by collecting favorite vacation shots, art photographs or family portraits. Depending on your personal taste and your decor style, frame them similarly or create a lively display by interspersing other shapes and objects into the grouping.

It’s best to have a plan, however, before you start pounding nails in the wall. Create your wall montage by first laying it out on the floor or on a large table. Then take measurements and transfer the whole arrangement to your wall.

Family Memorabilia

If you have a variety of items that have special meaning, it’s best to display them or use them regularly rather than to hide them away. Furniture, china, antique clocks or kitchen tools, books — even old clothing or uniforms — can be attractive and impressive when grouped together and displayed.

You don’t want to create a museum in your home, but if you curate a collection with care, it can be meaningful and beautiful at the same time. Small objects are best displayed in some kind of case or on enclosed bookshelves. Furniture, however, can still be functional even if put to a use far different than was originally intended.

Sports Ribbons and Trophies

The rule is: If it has meaning to you, it’s worth showing off. So signed game balls, jerseys and team photographs, as well as the swim team trophy from college or the first place debate ribbon you won in high school should have a place in your home as well as in your heart. They can be as important in your life as your college diploma or your wedding portrait, and you wouldn’t dream of hiding them in a closet, would you?

Your home should reflect your personality, not the style sense of a magazine editor.

Unless, of course, you’re actively trying to sell the house. Then it’s best to pack away some of the personal items and contact your trusted mortgage professional for pre-approval financing on your next home purchase.

4 Things To Know About Homestead Exemptions

4 Reasons Millennials Should Buy A Retirement Home First

Easy Decor Tricks That Make Any Home A Standout

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