Something You Should Know…

    

What is Private Mortgage Insurance (PMI)?

North County San Diego Homes & Lifestyle, Kelly Z Homes, Oceanside, California

What Is Private Mortgage Insurance (PMI)? | MyKCM

When it comes to buying a home in San Diego, whether it is your first time or your fifth, it is always important to know all the facts. With the large number of mortgage programs available that allow buyers to purchase homes with down payments below 20%, you can never have too much information about Private Mortgage Insurance (PMI).

What is PMI?

Freddie Mac defines PMI as:

“An insurance policy that protects the lender if you are unable to pay your mortgage. It’s a monthly fee, rolled into your mortgage payment, that is required for all conforming, conventional loans that have down payments less than 20%.

Once you’ve built equity of 20% in your home, you can cancel your PMI and remove that expense from your mortgage payment.”

As the borrower, you pay the monthly premiums for the insurance policy, and the lender is the beneficiary. Freddie Mac goes on to explain that:

“The cost of PMI varies based on your loan-to-value ratio – the amount you owe on your mortgage compared to its value – and credit score, but you can expect to pay between $30 and $70 per month for every $100,000 borrowed.” 

According to the National Association of Realtors, the average down payment for all buyers last year was 10%. For first-time buyers, that number dropped to 5%, while repeat buyers put down 14% (no doubt aided by the sale of their homes). This just goes to show that for a large number of buyers last year, PMI did not stop them from buying their dream homes.

Here’s an example of the cost of a mortgage on a $200,000, (granted there are not a whole lot of homes this price in San Diego, but it gives you an idea nonetheless) home with a 5% down payment & PMI, compared to a 20% down payment without PMI:

What Is Private Mortgage Insurance (PMI)? | MyKCM

The larger the down payment you can make, the lower your monthly housing cost will be, but Freddie Mac urges you to remember:

“It’s no doubt an added cost, but it’s enabling you to buy now and begin building equity versus waiting 5 to 10 years to build enough savings for a 20% down payment.”

Bottom Line

If you have questions about whether you should buy now or wait until you’ve saved a larger down payment, let’s get together to discuss our market’s conditions and help you make the best decision for you and your family.  I am always here and happy to help!


Posted on April 19, 2018 at 4:34 pm
Kelly Zijlstra | Posted in Uncategorized |

Stop Dreaming of that Home…Make it Happen!

Dreaming of a Luxury Home? Now’s the Time!

Dreaming of a Luxury Home? Now's the Time! | MyKCM

North County San Diego Homes & Lifestyle~

If your house no longer fits your needs and you are planning on buying a luxury home, now is a great time to do so! Recently, the Institute for Luxury Home Marketing released its Luxury Market Report which showed that in today’s premium home market, buyers are in control.

The inventory of homes for sale in the luxury market far exceeds the number of people searching to purchase these properties in many areas of the country. This means that homes are often staying on the market longer or can be found at a discount.

There are SO many amazing luxury homes on the market in North County San Diego!!!

Those who have a starter or trade-up home to sell will find buyers competing, and often entering bidding wars, to be able to call their house their new home.

The sale of your starter or trade-up house will help you come up with a larger down payment for your new luxury home. Even a 5% down payment on a million-dollar home is $50,000.

But not all who are buying luxury properties have a home to sell first.

A recent Bloomberg article gave some insight into what many millennials are choosing to do:

“A new generation of affluent homebuyers powered by a surge in inherited wealth is driving the luxury-home market, demanding larger spaces and fancier finishes, according to a report heralding ‘the rise of the new aristocracy.’”

Bottom Line

The best time to sell anything is when demand is high, and supply is low. If you are currently in a starter or trade-up house that no longer fits your needs and you are looking to step into a luxury home, now’s the time to list your house for sale and make your dreams come true.

Call/Text/Message me and let’s work together to make your dreams happen!


Posted on March 19, 2018 at 8:54 pm
Kelly Zijlstra | Posted in Uncategorized |

2 Ways to Get the Most Money from The Sale of Your Home….

You may not realize how important these 2 simple items are!

North County San Diego Homes & Lifestyle

2 Ways to Get the Most Money from The Sale of Your Home | MyKCM

Every homeowner in San Diego wants to make sure they maximize their financial reward when selling their home. But how do you guarantee that you receive the maximum value for your house?

Here are two keys to ensure that you get the highest price possible.

1. Price it a LITTLE LOW….Yes, you read that right!

This may seem counterintuitive, but let’s look at this concept for a moment. Many homeowners think that pricing their homes a little OVER market value will leave them with room for negotiation. In actuality, this just dramatically lessens the demand for your house (see chart below).

2 Ways to Get the Most Money from The Sale of Your Home | MyKCM

Instead of the seller trying to ‘win’ the negotiation with one buyer, they should price it so that demand for the home is maximized. By doing this, the seller will not be fighting with a buyer over the price but will instead have multiple buyers fighting with each other over the house.

Realtor.com gives this advice:

“Aim to price your property at or just slightly below the going rate. Today’s buyers are highly informed, so if they sense they’re getting a deal, they’re likely to bid up a property that’s slightly underpriced, especially in areas with low inventory.”

2. Use a Real Estate Professional

This, too, may seem counterintuitive. The seller may think they would make more money if they didn’t have to pay a real estate commission. With this being said, studies have shown that homes typically sell for more money when handled by a real estate professional.

study by Collateral Analytics, reveals that FSBOs don’t actually save any money, and in some cases may be costing themselves more, by not listing with an agent.

In the study, they analyzed home sales in a variety of markets in 2016 and the first half of 2017. The data showed that:

“FSBOs tend to sell for lower prices than comparable home sales, and in many cases below the average differential represented by the prevailing commission rate.”

The results of the study showed that the differential in selling prices for FSBOs when compared to MLS sales of similar properties is about 5.5%. Sales in 2017 suggest the average price was near 6% lower for FSBO sales of similar properties.

Bottom Line

Price your house at or slightly below the current market value and hire a professional. This will guarantee that you maximize the price you get for your house.  Now, give me a Call/Text and let me give you a FREE Current Market Analysis of your home’s worth right now.  I am always here and happy to help!

 


Posted on February 22, 2018 at 6:07 pm
Kelly Zijlstra | Posted in Uncategorized |

Small Bathroom Storage Ideas

Storage Ideas For Small Bathrooms

Kelly Z Homes North County San Diego Homes and Lifestyle

Is your bathroom small? It’s the worst, isn’t it? Well, unfortunately, small bathrooms are very common, and are usually the smallest rooms in the house. I can almost bet that it almost always feels cramped and tight in there. Although the square footage doesn’t change, a change of organization and storage space can make a drastic change to how your bathroom feels. Here are a few tips and tricks to make your bathroom space feel more functional and spacious.
Medicine Cabinet
  • If you have a regular mirror, replacing it with one that includes a medicine cabinet and provide further storage space.

Shelving

  • If you have free space above your toilet, vanity, or other another empty part of the wall, install shelving units. Purchase a few decorative baskets to maximize shelf space

Hooks

  • With a few decorative hooks, in a style of your preference, you can declutter by placing a couple on the back of the door to hang towels or robes. Perhaps one or two right next to each end of the shelving unit you just installed.

Towel Racks

  • A rack installed inside of you shower can save you space and convenience, also adding an additional shower bar above the original will work nicely. Another idea is installing a few racks a couple of feet above each other or right next on another. If you have an excessive amount of towels, store some of them away in the bedroom closet.

Vanity with Cabinet

  • I have come across plenty of pedestal sinks in small bathrooms, but if you want save some space, add some storage, and upgrade the look of your bathroom at the same time, a vanity cabinet will definitely do the trick.
 These are great tips and hints for everyday, as well as if you are preparing your home for the market and showing!! If you have any questions or are curious of the value of your home, drop me a message, call or text! I am always here and happy to help with any Real Estate needs!

Posted on January 23, 2018 at 7:19 pm
Kelly Zijlstra | Posted in Uncategorized |

Will the New Tax Code Impact You?…

What Impact Will the New Tax Code Have on Home Values?

Every month, CoreLogic releases its Home Price InsightsReport. In that report, they forecast where they believe residential real estate prices will be in twelve months.

Below is a map, broken down by state, reflecting how home values are forecasted to change by the end of 2018 using data from the most recent report.

What Impact Will the New Tax Code Have on Home Values? | MyKCM

As we can see, CoreLogic projects an increase in home values in 49 of 50 states, and Washington, DC (there was insufficient data for HI). Nationwide, they see home prices increasing by 4.2%.

How might the new tax code impact these numbers?

Recently, the National Association of Realtors (NAR) conducted their own analysis to determine the impact the new tax code may have on home values. NAR’s analysis:

“…estimated how home prices will change in the upcoming year for each state, considering the impact of the new tax law and the momentum of jobs and housing inventory.”

Here is a map based on NAR’s analysis:

What Impact Will the New Tax Code Have on Home Values? | MyKCM

Bottom Line

According to NAR, the new tax code will have an impact on home values across the country. However, the effect will be much less significant than what some originally thought.

Questions or Curious about the Current Market Value of your home?

Contact Kelly Z North County San Diego Homes & Lifestyle 760.522.7291!


Posted on January 18, 2018 at 7:58 pm
Kelly Zijlstra | Posted in Uncategorized |

The Spring Home Selling Myth…

The #1 Reason to List Your House in North County San Diego Today!

The #1 Reason to List Your House Today! | MyKCM

Are you waiting until Spring to SELL YOUR HOME?! Here in North County San Diego Many people believe that selling their house during “the spring buyers’ market” is the best thing to do. Their reasoning is that there will be more buyers than there are during the winter months and, therefore, their house will sell quicker and for a higher price.

Historically, this made sense. However, today’s real estate market is not following the rules of the past.  Homes are selling FASTER and FOR TOP DOLLAR throughout North County San Diego Homes.

The National Association of Realtors (NAR) measures buyer “foot traffic” each month. It receives data on the number of properties shown to a prospective purchaser by a Realtor® (based on the number of lockboxes used). The data reveals the number of buyers out actively looking for a home, not just window shopping on the internet. NAR explains:

“Foot traffic has a strong correlation with future contracts and home sales, so it can be viewed as a peek ahead at sales trends two to three months into the future.”

According to the latest Foot Traffic Report, buyer traffic is greater now than it was during this year’s spring market and there are more buyers out now than at any other time in the last five years (March of 2012).

The chart below shows that buyer activity over the last three months (blue bars) was greater than it was during this past spring market (green bars).

The #1 Reason to List Your House Today! | MyKCM

Bottom Line

If you are waiting for next spring to list your home because you think that’s when the buyers will be out in force, perhaps you should reconsider. Buyers are out right now!

Call, Text or Email Me if you are curious about the Value of your Home, or are ready to begin the process of getting your home on the market! Or please do leave a Comment Below with your thoughts!


Posted on December 7, 2017 at 7:22 pm
Kelly Zijlstra | Posted in Uncategorized | Tagged , , , ,

List Your North County San Diego Home For the Holidays…

7 Reasons to List Your North County San Diego Home This Holiday Season

7 Reasons to List Your Home This Holiday Season | MyKCM

Every year at this time, many North County San Diego homeowners decide to wait until after the holidays to put their homes on the market for the first time, while others who already have their homes on the market decide to take them off until after the holidays.

Here at North County San Diego Homes & Lifestyle we have provided seven great reasons not to wait:

  1. Relocation buyers are out there. Many companies are still hiring throughout the holidays and need their employees in their new positions as soon as possible.
  2. Purchasers who are looking for homes during the holidays are serious buyers and are ready to buy now.
  3. You can restrict the showings on your home to the times you want it shown. You will remain in control.
  4. Homes show better when decorated for the holidays.
  5. There is less competition for you as a seller right now. Let’s take a look at listing inventory as compared to the same time last year:

7 Reasons to List Your Home This Holiday Season | MyKCM

  1. The desire to own a home doesn’t stop when the holidays come. Buyers who were unable to find their dream home during the busy spring and summer months are still searching!
  2. The supply of listings increases substantially after the holidays. Also, in many parts of the country, new construction will continue to surge reaching new heights in 2018, which will lessen the demand for your house.

Bottom Line

Waiting until after the holidays to sell your home probably doesn’t make sense.


Posted on November 15, 2017 at 7:14 pm
Kelly Zijlstra | Posted in Home Seller | Tagged , , ,

10 Reasons to List Your Home During the Holidays…Yes Indeed!

Attention North County San Diego Home Owners…Have you previously thought that putting your home on the market before or during the Holidays was not such a good idea?….Think again and see below!

You might think that selling a home during the holidays can be a stressful, painful, or even downright unproductive experience. Some of your valid concerns might be:

“Our phone will ring all through Thanksgiving dinner!”

“We won’t able to decorate the house like we usually do!”

“Earlier, you said the best time to list is during the spring and summer, when almost ALL home sales happen!”

However, while many of these pushbacks were true in years past, the way real estate is conducted and the way people buy homes has shifted dramatically in recent years.

To help you overcome these objections, I have put together a list of reasons why it’s actually a great idea to list a home during the holidays!

Now…are you thinking about Selling and want to discuss further? Let’s Talk!


Posted on November 10, 2017 at 10:05 pm
Kelly Zijlstra | Posted in Uncategorized |

Oceanside, California The Truth About Homeowner Equity

Oceanside, California

The Truth About Homeowner Equity

The Truth About Homeowner Equity | MyKCM
At a local level in Oceanside, San Diego, California, buyer confidence remains strong with some changes that varies on the price level and what type of houses they are looking for.
Particularly in and around Oceanside, 92057, 92056, 92054, 92049, 92051, 92052, 92058, San Diego, California.  The addition of new store and business entities in the area makes Oceanside, San Diego, California a great place to call home!
As you are aware, for most families, choosing a new home is the biggest financial decision they will ever make and for that reason, there are many complicated decisions involved in choosing your new home.
Today, I would like to talk to you about The Truth About Homeowner Equity.

A recent article from a reputable news source was titled: Here’s why some homeowners still can’t sell. In the opening bullets of the article, the author claimed, “Negative equity is one of the main reasons why there are so few homes for sale.” The article then goes on to soften that stance but we want to bring better clarity to the equity situation.

A recent report from CoreLogic (which was quoted in the article) revealed that over 80% of all homes now have “significant equity,” which means the home has over 20% equity. That level of equity allows the homeowner to sell their home if they so desire. (There was no reference to significant equity in the article.)

If eight out of ten homeowners now have significant equity in their homes, it is hard to make the claim that lack of equity is “one of the main reasons why there are so few homes for sale.”

Here is a map showing the percentage of homes in each state which currently have significant equity:

The Truth About Homeowner Equity | Simplifying The Market

Source KCM Kelly Zijlstra Blog

Bottom Line

If you are one of many homeowners who is debating selling your home and are wondering how much equity you have accumulated, let’s get together to determine if now is the time to list.


Posted on October 16, 2017 at 8:50 pm
Kelly Zijlstra | Posted in Home Seller | Tagged