The dream of home ownership is about more than just a stable place to live, exempt from the whims and decisions of landlords. For many, home ownership is a piece of the wealth building picture, essential to a future retirement or financial independence. The idea is pretty basic: You purchase a home and pay it down while hoping the value of the home increases over time. Generally speaking, this is what happens over a long enough period of time. As you go, you build what’s called “equity.”

What is Equity

Equity is defined as “the market value of a homeowner’s unencumbered interest in their real property—that is, the sum of the home’s fair market value and the outstanding balance of all liens on the property.” If you were to sell your home and pay off the balance of the mortgage (and any other debts, such as home equity credit lines or liens), the cash you would have leftover is your equity. Your “equity position” changes over time due to a variety of factors.

As you’ve probably noted, the biggest variable in your home equity position is the home’s true market value. A variety of factors can influence your home’s value, including: Market demand for homes in your area, local amenities, schools, your home’s particular features, upgrades you’ve made, condition issues, plus quite a bit more. So how can you tell your equity position?

First, you need to know what you owe on your home. This is as simple as checking your mortgage statement to see what your principle balance is on the loan. This number can differ slightly from your actual payoff amount due to closing dates, interest, and other issues determined during the sale, but generally speaking, your principle balance is the number you need to know. If you have any other debt on the home, you need to add the value of this debt to the principle balance. This, for example, might include credit lines, liens, or second mortgages.

Home Value

Next, you need to know the value of your home. While there are sites such as Zillow and Trulia out there which will tell you what your home’s value is, these “automated valuation models” are generally not very accurate when it comes to your home’s value, as they exclude many crucial factors. Often, they come in quite a bit higher. They can, however, give you an idea of general changing trends in your market over time.

Hiring an appraiser is one way to determine your home’s value from a more bank-like perspective. While an actual sale may be above the appraisal, this thorough, conservative option is a good way to go. The downside? You may have to pay up to $500 for the appraisal.

On-line Evaluation

We have made it really easy for you to determine the value of your home.  Simply enter your address on this page on our website and it will give you a list of homes that have sold near you, as well as a personalized home valuation.  This page also gives you a summary of the housing market in your area.  (Wow, I love technology!)

Knowing the correct value of your home is crucial when it comes to selling your home.  Having a home priced correctly is one of the number one reasons homes sell fast.  On the flipside, price a home too high, it can cause the home to sit on the market too long.  The right price is vital.  Get in touch today if you want to learn more at 928-277-6404.

You may not have kids right now, but chances are you may be entertaining guests one day who do. You can put your guests at ease and do your best to protect their little ones from harm by investing in some modest pre-visit baby proofing. Here are some sound strategies to make their visit low-stress and safe:

Mind the Power and Appliances:

Outlets are enemy #1. Baby fingers are like magnets for electricity, so splurge on some plastic outlet covers which fit snugly into those empty sockets. If you have any multi-socket power strips around, be sure to cover those as well (or elevate them out of harm’s reach). Depending on the age of your youngest visitors, some may be able to reach knobs and buttons on appliances like your stove. Exploring hands can accidentally turn on the gas, so if you think your kitchen will be vulnerable, invest around $10 on stove knob covers.

Make Some Rooms Off-Limits:

It may not be practical to baby proof every inch of your house, so make certain zones baby-free by using gates. Sturdy, simple, pressure-mounted gates will protect certain passages and prevent you from making any permanent holes in your wall. Alternately, use door knob covers to make even unlocked rooms less likely to be prone to an infant invasion.

Fight Falling Objects:

Babies are all about testing gravity, and as they try to bring themselves upright, they’re liable to tug on anything within arm’s reach. This might include your entertainment center, bookshelf, floor lamps, or other furniture. Are there any precarious pieces which might tumble down and seriously injure a child? Consider pieces on top of shelves (like decorative glassware) which could be shaken down through modest force.

Curtail the Cords:

Power cords and curtain (or blind) cords can cause falls, entanglement, or even strangulation. Tie these up out of the way or too high for a baby to reach from the floor.

Get Down and Look Around:

A baby will put anything in its mouth. That will include choking hazards, dropped medications, or stray chemicals such as rat poison or cleaners. Shift your perspective to the floor and look for anything suspicious.

Looking at things from a child’s perspective is key. If you have magnets on your refrigerator, move them up out of arms reach or take them off your fridge and tuck them away. This is because little kids may stick them in their mouth, which could cause a choking hazard. Also consider putting bumpers on sharp furniture edges, as toddlers are still figuring out balance and will stumble easier. In the bathroom, install toilet locks to keep the toilet lid closed so that there is no chance for kids to fall head first in when they are being curious.

Some homes are more kid-friendly than others. If you’re looking for a great home for little ones, I can help you find one today! Contact me at 928-277-6404.