Choose Your Deduction

Published on January 16, 2012 in Around San Antonio.

One third of all U.S. households, 75% of households with more than $75,000 income and most homeowners itemize their deduction on their federal income tax returns. It makes sense because the interest paid on their mortgage and their property taxes probably exceeds the allowable standard deduction.

However, with interest rates as low as they have been in the last two years and the price of homes having come down considerably, it is possible that the standard deduction may be the better choice.

Each year, the taxpayer can compare the total of the itemized deductions to the standard deduction to select which method will result in the most benefits. The 2011 standard deduction is $11,600 for married couple filing jointly and $5,800 for single filers.

The Housing and Economic Recovery Act of 2008 allows homeowners to take the standard deduction and the lesser of their actual property taxes of $1,000 if filing their return married jointly. For more information, see Schedule L found on www.IRS.gov and consult your tax advisor.

I resolve…..will you too?

Published on January 8, 2012 in Around San Antonio.

OK, it’s 2012 and we’ve all made our resolutions for the year, right?  Sometimes, it’s the same old same old we do every year–get organized, exercise more, eat healthy, yada yada yada!

This year, in addition to those same ones I do every year, I’m going to make some new resolutions for working with my clients, and I’m going to hope they’ll extend them right back to me!  I’m putting them in writing so they mean something!  Here’s what I promise for them and hope to get in return in 2012 (and thanks to Nowlin Roberts, my hairdresser, for his blog post which gave me the idea!  Check him out at www.Beyondthecallof beauty.com ):

I will / I hope my clients will:

—Listen to my clients to learn about what they want and what they need when buying and/or selling a home so that I can guide them and assist them through the process, minimize the stress, and maximize their satisfaction at the end.
—Listen to Sue’s advice and follow it so that she can do her job and things will go smoothly.

—Educate my client about the process and what to expect at each step along the way.  Keep my clients informed and answer all questions that they have as we move down the path.
—Use the information Sue provides, read what she sends me, and do what she needs me to do.

—Be on time for appointments or call if I’m going to be late and reschedule if necessary.
—Ditto!

—Work on my communication skills so that all parties to a transaction are kept fully informed, and respond in a timely manner to my clients, my colleagues, and anyone working to facilitate a transaction.
—Speak up and/or ask questions if I don’t understand what’s happening or am uncomfortable with any part of the transaction.  Respond in a timely manner to all e-mails, voice mails, and other communications from Sue, the title company, the loan officer, or anyone else who is working on my behalf.

—When we’re all done, and throughout the process, give my client multiple reasons to refer me to friends, family, and colleagues.
—Refer my friends, family, and colleagues to Sue as a way of recognizing and rewarding her efforts in helping me buy or sell my home.

—Be the best REALTOR® I can be!
—Be the best client I can be!

That’s my pledge and those are my expectations!   I’d love for you to be my client so you can make sure I follow through!  Call or e-mail me and let’s get you moving!

Sue
Sue.Trautner@penfedrealty.com
www.SueTrautner.com

 

 

San Antonio Housing Forecast, 2012

Published on January 6, 2012 in For Buyers, For Homeowners, For Sellers and News.

I attended the San Antonio Board of Realtors’ annual Housing Forecast on Jan. 5 to hear what may be in store for us in the coming year.  We heard from County Judge Nelson Wolff and Mayor Julian Castro.  Both had lots of positive things to say about San Antonio and what’s happening in and around the city.  Mayor Castro called this the Decade of Downtown.  Lots of development happening in the downtown and surrounding areas, in residential and commercial.  San Antonio has a growing young urban population who want to live near the urban center of town and want to be able to work and play nearby.

We also heard from the current and immediate past Presidents of the Greater San Antonio Builders’ Association.  Both shared that they expect housing starts to tick upward in 2012, although not to the levels we saw in years past.  Builders are seeing a lot of activity in the higher-end price ranges and in areas farther out, since many of the neighborhoods closer in to 1604 are built out and fewer lots are available.   Their development costs to bring new lots online have increased also and some of those increases are being passed along in the price of houses.  They said that they were finding it a little easier to obtain financing for spec houses than they’ve seen in the last few years.

San Antonio’s number of sales and median price has seen a slight increase in 2011 and we expect that to continue into 2012.

There is one part of the residential market that has seen dramatic increases and those increases are expected to continue through 2012 and likely beyond–the rental market.  There are several reasons for that increase.  Mortgage lending requirements continue to be strict and are making it difficult for first-time buyers to qualify for the loan they need to purchase a home.  Uncertainty in the job market may also be keeping some folks from making the commitment to buy a home.  For these reasons and other personal considerations, many are choosing to rent for now.  So what does that mean?  It’s a great time to invest in rental housing!  If you are looking for a place to invest that provides tax advantages and where your money can grow and the value of your investment will appreciate, and the cost of acquisition (mortgage rates) is at historic lows, this is the time to buy!

Our other speaker, economist Dr. Jim Gaines from the Real Estate Center at Texas A&M, shared some stats with us and confirmed that Texas is the #1 state for job growth.  He also showed us some numbers and graphics that demonstrated the growth of urban areas in the state–the triangle that includes Dallas/Ft.Worth, Houston, Austin, and San Antonio.  That’s where the population is going and that’s where the growth is.  Texas has changed over the last 10-20 years from a rural state into a young urban state.  We have a large percentage of immigrant population, primarily Hispanic, who bring their own vibrancy to our cities.

One thing we hear about in the media is the looming “shadow inventory” of foreclosed homes that are poised to hit the market.  We are expecting some of that here and when those homes do come on the market, they will put downward pressure on home prices and home values in the neighborhoods they’re in.   Thankfully, we don’t have the volume to deal with that other areas do, and we hope those homes will sell quickly when they do enter the market, but sellers will have to deal with the effects for awhile.

Dr. Gaines did also point out that for all the job growth and other positive indicators in Texas and San Antonio, we are not immune to the national and international economic trends.  He also stated that many economic factors are going nowhere until after the Presidential elections.  Everyone is waiting to see what’s going to happen before they make major moves to expand, hire, move, etc.  So, expect 2012 to be mostly more of the same from 2011, with slight increases.  Texas and SanAntonio have been fortunate to not have experienced the high highs followed by the low lows that other areas of the country have seen.  We are slow and steady and we are doing fine!

Here’s to a great 2012!

 

REALTOR® 101

Published on December 17, 2011 in Around San Antonio.

As REALTORS®, there are certain behaviors that are expected of us in dealing with the public, our clients, and our colleagues.  Most of them are just common sense and common courtesy, but it amazes me how UNcommon these behaviors can be sometimes!  I’d like to highlight a few things that some of my fellow REALTORS® need to remember, and, if you’re a buyer or seller, and your REALTOR® isn’t doing these things with/for you, you should remind him or her also!  All these “reminders” (and many more!) are in the Pathways to Professionalism brochure, published for members of the San Antonio Board of Realtors.

Respect for the Public
  Present a professional appearance at all times, dress appropriately, and drive a clean car!  Dressing “appropriately” depends a lot on the activity one is dressing for!  Showing houses all day in San Antonio summer weather means we can dress comfortably–it does not mean we show up in cut-offs, t-shirts, and flip-flops!  Looking at rural properties?  Jeans and boots are more appropriate than a 3-piece suit.  Meeting a client for the first time (or any time really)?  Don’t show up looking like you just rolled out of bed or were out partying all night!  Ladies, short short skirts and low cut tops are not appropriate business attire–even if you have the “assets” to make them look good!  And please, keep your car looking presentable!  If you parked under a tree and the birds had a field day, run through the car wash!  If you use your car as a mobile office (and many of us do), keep your papers contained and throw away your food trash!

Respond promptly to calls, e-mails, and other inquiries.  And remember to tell what you know, not what you think!  If you don’t know, refer the client to sources for information or offer to find out what they need to know and get back to them.

Respect for Property:

Never enter a property without permission, and be responsible for all who are entering with you.  Schedule your showings as far in advance as possible, and if the property is occupied, please call if you’re running late for an appointment.

If the property is occupied, please remember that it is still someone else’s home.  Be considerate.  Do not allow your clients to smoke, eat, drink, let children run around, bring pets, handle personal items, etc.  Practice the golden rule!

If something seems amiss, notify the listing agent right away.  Leave the property as you found it–turn off lights, close doors, lock up when you leave, set alarms, etc.  Leave a business card to let owners/listing agent know you were there.

Respect for Peers:

Respond promptly to inquiries, voice mail, e-mail, texts.  And when you leave voice mails, clearly identify yourself, your questions, and the best way to reach you.

Treat colleagues with courtesy and respect, ask questions, supply information.

 
Just keeping these simple courtesies in mind and practicing them consistently helps smooth the path between us as REALTORS® and our clients and colleagues.  Buying or selling a home are stressful endeavors.  Part of our job as  real estate professionals is to help facilitate that process and make it as easy as possible for all parties.  We all have enough stress in our lives that we have to deal with every day that we can’t control.  Here’s one area we can completely control and help everyone, including ourselves!

Here’s to a positive real estate experience!

Sue


 

San Antonio housing market–strong and steady!

Published on November 20, 2011 in For Buyers, For Sellers and News.

San Antonio Board of Realtors released stats for October, 2011 recently.  Here’s part of the report:

“The average sales price for single-family residential homes
registered at $182,304 in October 2011, while the month’s
median price was $149,500. Both figures are a one percent
decrease from October 2010.
“This is the only decline we’ve seen in prices all year,” says Angela
Shields, President and Chief Executive Officer of SABOR. “Over the
course of the year, our prices have shown an increase and those
figures are more depictive of the big picture.”
Year-to-date, the average price ($186,815) and median price
($152,400) have seen a one and two percent increase
respectively.
Forbes Magazine recently named San Antonio the best city in the
nation for jobs, citing strong employee bases in a diverse roster of
industries.”

In summary, the housing market in San Antonio remains strong and steady.  We have jobs and job growth here, we have a healthy 7-month inventory of unsold homes, builders are being conservative and replacing sold homes but not flooding the market with spec homes.  Interest rates are low, and we just got news that Congress has restored the FHA loan limits to their higher amounts, which is great news for San Antonio home buyers since many of our sales are done with FHA financing!

As the figures above indicate, average and median prices are down 1% in October from a year ago, but that is reflective of an overall increase in the number of home sales, and in more modest price ranges than just the upper end of the scale.

What does this mean for San Antonio home buyers and sellers?  It means that now is the time to get serious!   Indications are that foreclosed properties may be hitting the market in 2012 in greater numbers.  San Antonio has not had the number of foreclosures that other markets have suffered, but we do have some, and when large numbers come on the market, they tend to drive down prices for other homes.  So, if you’re selling your home, you should not wait to put it out there!  People do buy homes during the holidays, and those that are looking now are serious!   Be sure yours is available to potential buyers!

For home buyers, although interest rates remain very low, qualification for loans continues to be a challenge as loan requirements have tightened.  Other loan fees have also been added and/or raised, so the cost of borrowing has increased and indications are that that trend will continue.  So, if you’re thinking of buying and plan to finance the purchase, start the process now!  Waiting may end up costing you more!

Hope you have a wonderful Thanksgiving!  I’m thankful for the opportunity to share my tips and ideas with you!

All the best,
Sue Trautner

Home Buyers–Read this!

Published on November 15, 2011 in For Buyers.

Waiting Might Cost MORE!

The housing market has been in a downward trend for four years. There is some speculation that inventories will not reduce any time soon which will be necessary for prices to rise. However, there are other factors that can increase the cost of housing, specifically mortgages. FHA accounts for a large percentage of the current housing loans and is expected to be even more prominent when the Qualified Residential Mortgage Guidelines go into effect next year.

  1. Rising rates are almost certain, due to looming inflation fueled by higher gas and food prices and the enormous amount of deficit spending
  2. FHA loan limits have been reduced – they are lower than conventional limits in most markets and FHA has suggested that they might be reduced further.
  3. FHA might increase the down payment to 5% or higher in an effort to have a more secure loan that will have less likelihood of going to foreclosure.
  4. FHA might decrease the amount of seller contributions in a similar move to require the buyer to have a larger investment in the home and therefore be a more “qualified” borrower.
  5. Congress may decide to increase the up-front MIP to build up the FHA reserves. The annual MIP has been adjusted twice since October 2010 when the Up-Front MIP was actually reduced.
  6. Due to tougher conventional requirements, demand for FHA loans could exceed maximum annual insurable limits. If Congress is having a hard time raising the limit on national debt, they might not even consider raising the limits for FHA.

In an effort to solidify the lending industry, qualifying is becoming harder for the buyer and more expensive at the same time. Many of the rules changes could go into effect next year. In addition, market factors could easily play a role in increasing buyer’s costs. Waiting will very probably require a larger up-front investment for buyers in the future.

It’s that time again!

Published on November 6, 2011 in Around San Antonio.

Unbelievably, it’s that time again–holiday time!  Stores around town are decorated, I’ve been getting catalogs and e-mails with holiday sales already–and it’s still early November!  Is it just me, or does this time seem to come around earlier every year???  Sigh!

We just “fell back” from Daylight Savings Time.  I’m starting to think about Thanksgiving and realizing that it’s going to be here way too quickly!  And now, let’s throw the stress of holiday/Christmas preparation into the mix!  But, I was out shopping yesterday for a couple of things I needed and while I was out, I found something that someone on my gift list could use so I bought it.  I have officially started my Christmas shopping!!  Those of you reading this who can say you’re already finished–don’t even go there!!  I don’t want to know!

I’ve been collecting recipes for homemade goodies to make, package, and give.  I’m going to be cooking and sampling soon to decide which ones are worth the cost, time, and effort.  If I find a real stand-out, I’ll share the recipe here.  Until then, time to make some lists and, for a change, a budget!  I am determined to not go overboard this year!  Of course, I’m determined not to every year, and I usually do anyway, but this year’s going to be different!  I’m going to get organized and be a budget-minded Santa!   Hey, there’s a first time for everything!

Hope you’ve enjoyed your extra hour of sleep–I sure did!  Now to use that hour wisely and get my holiday activities in gear.  Oh, and I still need to do some real estate business too!  Know anyone who may be interested in purchasing or selling a home?  Please send them my way!

Happy Holidays!

Sue

Time for Ghosts and Goblins!

Published on October 16, 2011 in Around San Antonio.

 

Here we are, in mid-October!  Stores are full of Halloween–from candy to costumes to decorations!  The fun is almost here!  Seems like Halloween has become as much of an adult holiday now as it is a kids’ one–guess we just decided it was too much fun to give up, just because we all grew up!

San Antonio offers lots of fun activities all around town for all ages, from haunted houses to safe trick-or-treating to clinics and some hospitals that will check candy for safety!

All us us “adult” kids have our own kinds of Halloween fun to enjoy, but if yours includes children or if you live near where they’re likely to be on Halloween evening, here are a few reminders about safety.  Halloween is a fun time–let’s keep it that way!

HALLOWEEN SAFETY TIPS

 Keep pathways and porches well lighted for easy navigation. Look for and remove any tripping hazards such as garden hoses and low potted plants.

Never use candles as outdoor decoration as costumes, kids and pets can easily knock them over and cause a fire. Use small battery-operated lights instead. There are some that look just like small votive candles and provide the same effect without the flame.

If using decorations such as dried corn stalks, be sure to keep them away from any flames or other fire sources.

Trick-or-treaters should use flashlights to guide their way from home to home. This will also help them be more visible to drivers. Stick to familiar neighborhoods, and visit only homes where the lights are on.

Be sure that any costumes are labeled as flame resistant. This makes them safer, but does not mean they are completely flame proof. Avoid overly long and loose sleeves, and be sure the length allows the child to walk normally.

If using masks, be sure they fit the child properly and allow them to see clearly. Alternatively, face paint or make-up is a good option for a safe disguise.

Children should refrain from eating their goodies until a parent can examine the treats for opened or damaged wrappers or any off-limits ingredients.  And, parents, you might want to “ration” the goodies over several days.  Halloween’s on a school night this year, so if you want your little goblins to sleep that night, don’t let them eat too much that evening!  (Consider this the voice of experience!)

When driving, be on the lookout for trick-or-treaters that may dart out into the street unexpectedly. Drive slowly and cautiously, and make sure headlights are on.


Turn on your porch light to let trick-or-treaters know your home is welcoming them.  If  you won’t be home, consider leaving a bowl of treats outside or just leave your lights off.   Also, turn the lights off when your treats are gone!

Speaking of treats, if you give out food/candy, be sure things are individually wrapped, for safety.  Otherwise it’s likely to be discarded.  Alternatively, consider giving out non-food items–many stores offer inexpensive coupons you can purchase.  Or consider inexpensive party favors with a Halloween theme–available at party stores or other places that sell party goods.  Kids get so much candy, sometimes parents appreciate seeing something else in that goodie bag!

Remember your pets–doorbells ringing and strangers coming can be upsetting to some, so consider keeping them safely enclosed in a bedroom or other quiet place.  Don’t let your pets, especially cats, roam outside on Halloween.

Be safe and enjoy the evening!              

ICE–Are you prepared?

Published on September 17, 2011 in Around San Antonio.

The summer of 2011 has been brutal here in San Antonio and surrounding areas.  Extreme heat, no rain, exceptional drought.  In short, perfect conditions for fire danger!  And the danger became real in these last few weeks.

You’ve probably seen reports of the horrendous fires burning around Texas, particularly in the Bastrop area.  Over 1500 homes–gone!  Damages in the millions of dollars!  Several lives lost, countless lives turned upside down.  Sometiimes it’s strange to watch all that on TV and think, “wow, what if that happened here?”  Well, Labor Day, it did–in San Antonio!  Every day for a week, new fires broke out around the city–in all parts of the city.  And given the extreme dryness of plants, yards, trees, these fires spread like, well, wildfire!  One of them was just a few miles from my home and watching the local news coverage, I saw people I know who had had to evacuate their homes in minutes, most of them with nothing but the clothes on their backs and whatever few things they could grab, throw in the car, and get out with.

That was scary!  And it’s really gotten me thinking about what I would do if that ever happens to me.  The police are banging on the door and saying you have 10 minutes or less to get out–what do you take?   Family and pets first, of course–hoping you can find your pets and get them into the car (could be harder than you think!).  But beyond that, what else?  Here are a few suggestions:

Important papers. You’ll need to be able to prove your identity, your residence, and have access to your financials.  Grab your passport, your birth certificate, military discharge, insurance documents, credit cards, cash, anything you would store in a safe deposit box, if you haven’t already.

Family heirlooms. Even if you have insurance coverage, sentimental value cannot be replaced.

Cash, jewelry, gold/silver coins, collectibles. Don’t forget your checkbook, credit cards, coin collections, stamp collections, anything of value.

Photos/photo albums. Treasured family photos should be digitized and backed up, but if you have some that are not, grab ‘em.  Also any artwork that’s not scheduled on your homeowners insurance policy.

Anything else that cannot be replaced.

OK, you have an idea of what to grab, but do you know where it all is?  If you had only minutes to find all these things, could you?  If the answer is no, then now’s a good time to gather these things together and put them in a bag that you can pick up on the way out the door.  Better yet, scan and save the paperwork items to a jump drive and keep that in a safe deposit box or somewhere you can find it quickly.

Consider taking some pictures on your smartphone of the rooms in your home and items of value so you’ll at least have that for insurance purposes.  Keep you computer files backed up with Carbonite or some other backup system. That way you’ll be able to access your files even if your equipment is lost.

Make a plan and be sure everyone in the family knows it! Decide on a place to meet, be sure everyone has access to a cell phone, have a number to call to check in if you get separated.  Cell phone service could possibly be disrupted so decide in advance on a location where everyone can convene.  Also have a plan to get out of your home in the event of a real emergency and be sure everyone knows the plan and has practiced it.

God willing, you will never need to use any of these suggestions, but if you ever do, being prepared can make all the difference!

Home Security fixes/upgrades

Published on September 4, 2011 in Around San Antonio.

Everyone wants to feel safe and secure at home, wouldn’t you agree?  That’s one of the reasons first-time homebuyers want their own home–to feel safe and have peace of mind.  Many homeowners have installed security systems that help them achieve that peace of mind, and certainly a monitored security system is one of the best investments you can make for your family’s safety.

But, what if your home doesn’t have a security system already installed and your budget doesn’t have room for that at the moment?  Are there other ways you can make your home more secure?  Absolutely!  And many of them can be done without a huge investment, maybe even as a weekend d-i-y project.  Here are some suggestions for things you can do around your home. Hope you find some that will work for you!

1. Install a better door!  Ideally, any door that allows entry from outside should be solid core or steel.  There are a wide range of choices in price, finish, and style to complement your home.

2. Install a peep hole.  An easy do-it-yourself project so you always can see who’s there before you open the door.

3. Consider adding a mail slot in the door.  Newer homes and neighborhoods may not allow this to comply with postal regulations, but if you’re in an older home in an older neighborhood that has an outside mailbox, removing the box and adding a mail slot in the door may prevent theft of checks and credit card numbers contained in your incoming and/or outgoing mail.

4. Add a security door–a glass door with a screen, heavy lock, and decorative bars.  This will allow you to leave the front door open in nice weather, see who’s there, and talk to them without having to open the door to a potential stranger.

5. Change the locks!  If you’ve ever given a key to a neighbor, a babysitter, a housekeeper, even a relative, you have no way of knowing where those keys may be and who has access to them.  While you’re changing the locks, consider upgrading to a new model that is keyless.  There are locks that operate electronically with a passcode or fingerprint or even a fob like you carry for your car door locks.  Again, lots of choices in lots of price ranges.

6. Secure pet doors.  If you have a doggy or kitty door for your pets, be sure you keep it locked when you’re going to be gone for extended times.  A small teenager could conceivably get through a medium to large pet door and unlock everything for someone else.

7. Add lighting and trim landscaping.  Be sure your outside lights are in good order and keep landscaping trimmed away from windows so burglars don’t have convenient hiding places.

8. Install smoke detectors!  This is so important as fall and cooler weather are approaching.  Be sure you have a working smoke detector outside every sleeping area and near kitchens and fireplaces.  This is code in San Antonio and it’s the best way to be sure your family is safe if the worst case scenario happens.

9. Upgrade/replace old windows.  Be sure your first floor windows are double pane tempered glass.  It’s harder to break.  And new windows likely have sturdier locks than older models.

10. Put out warning signs.  If you have a dog or a security system, get some inexpensive signs at a home improvement store and display them prominently.  If a would-be burglar sees those signs, he might just decide to go somewhere else.  Experts caution not to display the signs from your security system company that advertise the brand–a clever thief could go online and figure out how to bypass your system if he knows what brand it is!

Hope that gives you some ideas of easy ways to increase your home’s security.  We don’t want to be alarmist and feel like we live in a fortress, but we don’t want to take unnecessary chances with our family’s safety either!

There’s no place like home!