Category

Retirement

May 29
0

Get Rich Quick Scheme

By | Buyers, Economy, Investing in Real Estate, Retirement, Sonoma County info, Wine Tasting, Winery with picnic place | No Comments

“Ora et Labora”, historically the mantra of the Northern provinces of the Netherlands. Totally opposite of this are the “Get Rich Quick Schemes” -> if it is too goo to be true… What does this have to do with Real Estate? Well, Real Estate is a great way to built wealth, to built a nest egg HOWEVER, it is not a quick rich scheme. It is consistent and stable, despite the ‘hick-up’ we had. The quick rich schemes in Real Estate in the roaring 2003/2006 didn’t work, initially the majority of all the foreclosures were non owner occupied, victims of these schemes. Not built on cash flow but solely on appreciation, hence the problem. Did you know we still has an increase of 30.14% since 2000 despite the negative economic factors?

What does this have to do with you? Real Estate is still a good way to built money for retirement, just as part of a good financial strategy. AND there is a need for rental housing: on average about 33% of all adult Americans need housing and are not in a position to buy. In the USA this is not provided by the government (as it is in Netherlands ->the local department of housing provides rentals) but provided by private investors. The reason for all the tax benefits for owning investment property.

Myth:you need to be rich to invest in real estate. Fact: median income for an investor in 2010 was $87,600. Myth: you need cash to buy properties for investment. Fact: there are great mortgage products available. And Self Directed IRA’s that allow you to invest in Real Estate.

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This overview of historic values in Real Estate speaks for yourself. We all know what happened in the 3 years we had negative appreciation. But do you also see it’s a tad bit above the 0% again. Just a but and that is GOOD, that is what we like to see. Do you know what this also means? That now is a great time to invest in real estate, the numbers haven’t been this good in a long time, in Sonoma County the last time we had this was about 27 years ago.

And although Real Estate is fun, don’t forget to enjoy the good things in life, next week Windsor Oaks Winery has a ‘Chillin’ by the Pinot Pond party. Julie and Doug are passionate about wine and are happy to share their passion and knowledge about wines with you.

Enjoy,

Mirjam

Nov 07
0

Reverse Mortgage – a way to foreclosure proof your house.

By | Aging in Place, Foreclosure, Mortgage, Retirement, Reversed Mortgage, Sonoma County info, Visit WineCountry, Wine Tasting, Winery with picnic place | 10 Comments

A few days ago I had coffee with David Carter, he is a reverse mortgage specialist at BofA. When I initially heard about reverse mortgage I thought is was some sort of a scam… I was wrong. As with any loan product, a reliable specialist is key and David is a specialist.

Recent legislation and changes in the marketplace are increasing the use of reverse mortgages. Here are three factors that make reverse mortgages an improved retirement-planning tool.

1. Fees are lower. The government, with support from lenders, has revised how reverse mortgages are structured.

2. Loans are more flexible. New loans let borrowers take money as they need it instead of all at once.

3. Selling isn’t always wanted, someone likes to stay in his/her house but need some extra income.

You can make payments on your mortgage but you don’t have to. This basically means that you cannot be foreclosed on when you don’t pay the mortgage.

You have to be 62 or older. For more information, contact David Carter: 707.235.8786.

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Fall is beautiful in the wine country, visiting wineries, taste and discover new wines… Found a great winery with a deck where you can enjoy a picnic as well as the views: Everett Ridge  Winery in Healdsburg

Have a great day!

Mirjam

Nov 02
0

Quotes about Owning Real Estate

By | Buyers, RE Investing, Retirement, Sellers, Sonoma County info | One Comment

And you thought now is about the worst time to buy Real Estate let alone own Real Estate? Over priced, not worth it, etc etc etc. Let me share some quotes with you:

“A home is where a bad investment is” – San Francisco Examiner 1996. -> Average price of a home in San Francisco in 1996 was $250,000. Ten years later is was $750,000

“Financial planners agree that houses will continue to be a poor investment” – Kiplinger’s Personal Financial Magazine, 1993 -> Average home price around $190,00o

“If you are looking to buy, be careful. Rising home values are not a sure thing anymore” -Miami Herald 1985 -> Average home price around $120,000

“The goal of owning a home seems to be getting beyond the reach of more and more Americans”- Business Week 1969 -> Average home price around $ 25,000

“Houses cost too much for the mass market. Today’s average price is out of reach for two-thirds of all buyers” -Science Digest, 1948 -> Average home price around $ 7,000

Here it is, the history makes it clear: buying a home has always been expensive, first time home buyers have always been in a difficult spot, the first year is hard. However, rewards are there for those who take the challenge and go for home ownership.

Think of it, I don’t know how old you are, but the people who were starters in 1965, are retired by now, their home has become a nice nest egg…

Have a great weekend!

mirjamnew.jpg Mirjam

Nov 01
0

Aging in Sonoma County

By | Aging in Place, Retirement, Sonoma County info | No Comments

Since Sonoma County is one of the most beautiful places on earth to live (ask my hubby) people tend to stay around. I tend to think that people who live in a great environment live longer. Alas, when we get older, the home we live in might get to big and to much upkeep. The good news is that there are some great communities that cater to these needs.

Earlier this week, I had lunch at Merrill Gardens in Rohnert Park. A great retirement community that gives you the opportunity to get away from household chores and home maintenance. Entering the property, you immediately get a feeling of casual country living, of enjoying life. It’s on a beautiful location in Rohnert Park. There is a program every day with interesting things for everyone, go to the mall, do an art class etc.  Everyone gets his own email address and is encouraged to stay on touch with friends through email, they have computers to use for this in the country store/library. And, pets are allowed, that is, if they pass the initial interview. While Judy Goldman showed me around, I did see a few friendly dogs accompanying their owners.  The 1 bedroom apartments with a small kitchen have a great floor plan and they have some 2 bedroom apartment too. So you can cook in your apartment but you can also go to the restaurant for lunch or dinner. The food is great and there is have anytime dining.

Should you or one of your loved ones be thinking about moving into a retirement community, make sure to visit Merrill Gardens on Rohnert Park. Judy Goldman and Sandi Truesdell will be happy to show you around. Tell them I sent you!

Have a great day!

  mirjamnew.jpg Mirjam