The Benefits of Downsizing When You Retire

 
 

If you’re taking a look at your expenses as you retire, saving money where you can has a lot of appeal. One long-standing, popular way to do that is by downsizing to a smaller home.

When you think about cutting down on your spending, odds are you think of frequent purchases, like groceries and other goods. But when you downsize your house, you often end up downsizing the bills that come with it, like your mortgage payment, energy costs, and maintenance requirements. Realtor.com shares:

“A smaller home typically means lower bills and less upkeep. Then there’s the potential windfall that comes from selling your larger home and buying something smaller.”

That windfall is thanks to your home equity. If you’ve been in your house for a while, odds are you’ve built up a considerable amount of equity. And that equity is something you can use to help you buy a home that better fits your needs today. Daniel Hunt, CFA at Morgan Stanley, explains:

Home equity can be a significant source of wealth for retirees, often representing a large portion of their net worth. . . . Retirement planning can be complex, but your home equity shouldn’t be overlooked.”

And when you’re ready to use that equity to fuel your next move, your real estate agent will be your guide through every step of the process. That includes setting the right price for your current house when you sell, finding the home that best fits your evolving needs, and understanding what you can afford at today’s mortgage rate.

What This Means for You

If you’re thinking about downsizing, ask yourself these questions:

  • Do the original reasons I bought my current house still stand, or have my needs changed since then?

  • Do I really need and want the space I have right now, or could somewhere smaller be a better fit?

  • What are my housing expenses right now, and how much do I want to try to save by downsizing?

Then, meet with a real estate agent to get an answer to this one: What are my options in the market right now? A local real estate agent can walk you through how much equity you have in your house and how it positions you to win when you downsize.

Bottom Line

Want to save money in retirement? Consider downsizing – it could really help you out. When you’re ready, connect with a local real estate agent about your goals in the housing market this year.

Read more at KeepingCurrentMatters.com

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Why Access Is So Important When Selling Your House

 
 

If you’re gearing up to sell your house this spring, one of the early conversations you’ll have with your agent is about how much access you want to give buyers. And you may not realize just how important it is to make your house easy to tour.

Spring is the peak homebuying season, so opening up your house to as many showings as possible can really help you capitalize on all the extra buyer activity we see at this time of year.

Since buyer competition ramps up in the spring, buyers are going to want to move fast to see your house once they find your listing. And, if they see it and fall in love with it at a time they know they’re competing with other buyers, you may be more likely to get the offer you’re looking for on your home.

It’s understandable you want to keep the disruptions to your own schedule to a minimum, and you may be stressed about having to keep it clean, but it’s worth it. As an article from Investopedia explains:

If someone wants to view your house, you need to accommodate them, even if it inconveniences you. Clean and tidy the house before every single visit. A buyer won’t know or care if your house was clean last week. It’s a lot of work, but stay focused on the prize.”

To figure out what’s best for you, your agent will walk you through options like the ones below. This list breaks things down, starting with what’s most convenient for buyers and getting less buyer-focused as the list goes on:

  • Lockbox on the Door – A key is available via a lockbox, which makes it easy for agents to show the home to potential buyers. This gives the most flexibility because the key is on-site and convenient.

  • Providing a Key to the Home – An agent would have to stop by an office to pick up the key with this option. This is still pretty convenient for showings, but not quite as simple.

  • Open Access with a Phone Call – You allow a showing with just a phone call’s notice, which can be great for someone who sees your house while driving by.

  • By Appointment Only – This gives you a more advanced warning so you can get the house tidied up and be sure you have somewhere else you can go in the meantime. But it’s also a bit more restrictive.

  • Limited Access – You might go this route if you only want to have your house available on specific days or at certain times of day. But realize this is the most difficult and least flexible of the choices.

As an article from U.S. News Real Estate says:

“Buyers like to see homes on their schedule, which often means evenings and weekends. Plus, they want to be able to tour a home soon after they find it online, especially if they’re competing with other buyers. If your home can be shown with little or no notice, more prospective buyers will see it. If you require 24 hours’ notice, they may choose to skip your home altogether.”

Your agent is going to help you find the right path forward based on your schedule and what’s working for other sellers in your area. And if you’ve got a hardline on granting buyers more access or have interested out of town buyers that just can’t be there in person, your agent will get creative and help you explore other options like video tours, virtual showings, and more.

Bottom Line

When it comes to selling your house, you want to be sure to get as much buyer activity as you can. Connect with a local real estate agent to talk about which level of access helps make that possible.

Read more at KeepingCurrentMatters.com

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6 Ways to Create a Beautiful Spring Garden

 
 

What could be more welcome than the first warm breezes of spring?

They refresh both the gardener and the garden. There’s no better way to enjoy this change in the weather than to plan your borders so they peak during this beautiful time of year.

Spring starts anywhere from February to April, depending on where you live and what the temperatures happen to be any given year. Your flowers will hang on longer, in some cases for a couple of months, during a cool spring. Or the season can rush by in just a few weeks during a warmer year.

Early, mid and late spring garden

Short or long, spring usually has three phases: Early, mid and late. Make sure you have plants that look good in each one. Early spring is chilly with erratic weather patterns. Look for tough early bloomers, such as hellebores, witchhazel and snowdrops. In mid- to late spring you’ll notice common lilacs, peonies and many others blooming abundantly.

So as you can see, a great spring garden is more than a few tulips and daffodils plunked in the ground. These essential design ideas will take your spring garden from ho-hum to positively perfect.

1. Think fragrance

Spring and fragrant flowers just seem to go hand in hand. Common lilac, peony, hyacinth — their heavenly scent makes time spent outside a real pleasure. Place them near a well-travelled path or under an open window so you won’t miss out. Work fragrant plants into a foundation planting or near the front door to share a favorite scent with visitors. Sheltered from the wind by the house, the fragrance won’t dissipate as quickly as it would in an open area. A hedge or privacy fence can serve the same purpose in your backyard. If you don’t have room for a large woody vine, try one of the other aromatic spring beauties in the list below.

Fragrant spring flowers

Make sure a few of these spring bloomers are close to areas you visit frequently so you can enjoy what they have to offer.

  • Common lilac Syringa vulgaris

  • Dianthus Dianthus spp. and hybrids 

  • Hyacinth Hyacinthus orientalis

  • Lily-of-the-valley Convallaria majalis

  • Mockorange Philadelphus spp. and hybrids 

  • Peony Paeonia lactiflora

  • Star magnolia Magnolia stellata

  • Stock Matthiola incana

2. Choose a pretty spring color palette

Pastel colors, such as the pink, lavender and white above, create a classic spring look. These soft colors are easy to mix and match. Frame an entry with them to give your front door a laid-back and relaxed style. Swap those pink tulips for bright orange ones and you’d change the mood from serene to peppy.

3. Balance scale and size of plants in the spring garden

Doesn’t a photo of a lush green lawn path beckon you to wander in and see what other views might be around the corner? Grow a few large spring-blooming shrubs in areas far from the house. Big sweeps of vibrant color from these rhododendrons are perfect for attracting attention to vistas. The brighter the better, if you want a lot of impact from the view out of your back window. Save sweet little combos like the one at right for an often-used path or an area next to your favorite seating spot. Smaller plants, such as the yellow archangel, are more in scale with these situations and often have smaller blooms or more subtle flower colors that are harder to see from a distance.

Foliage plays a role in the spring garden, too

Not every good-looking plant in spring has flowers. Emerging plants can be a part of the show, too. Look for the graceful curl of hostas unfurling as they poke through the soil and upright ferns uncoiling their fiddleheads. And check your epimedium every day to see its changes in leaf color.

4. Adding bulbs to your spring garden is a no-brainer

When you think spring, it’s only natural to start with a few bulbs. Tulips, daffodils, grape hyacinths and many other spring-blooming bulbs are so easy to grow. Take the petite greigii tulips — they perk up this foliage-filled border with minimal care. They’ll even naturalize, or spread on their own, if you keep the soil on the dry side through summer. How would you like even more bulbs that will expand into a big pool of color in your garden? Check out the list of bulbs below for a few that can naturalize in your garden.

Bulbs that will spread in your spring garden

Start with just a few of these bulbs, and give them a sunny spot with good drainage. It won’t take long for you to have a big patch of color that brightens your spring garden.

  • Camassia Camassia quamash

  • Crocus Crocus spp. and hybrids 

  • Daffodil Narcissus spp. and hybrids 

  • Grape hyacinth Muscari armeniacum

  • Grecian windflower Anemone blanda

5. Add trees and shrubs for structure in your spring garden

Not all spring-flowering shrubs are as flashy as rhododendrons. But trees and shrubs provide the overall structure essential for a good-looking garden design. Plus spring-blooming annuals, perennials and bulbs are perfect under a deciduous tree. The smaller plants will soak up the sun and bloom like crazy before getting shaded out by the leaves above. Once the canopy fills in, it protects the foliage below from getting too crispy.

Flowering crabapples and ornamental pears are stunning in bloom but trees don’t have to flower to be impressive. Many have attractive features that are well worth bragging about. Take river birch, for example. Its shaggy bark adds a unique texture that complements the spring flowers nicely. When the blooms below fade, the tree continues its performance year-round.

Shrubs are great additions to a spring garden

Shrubs are a great choice if you don’t have a lot of room in your yard but still want the height and structure a tree provides. Why not try the pearlbush? This low-maintenance specimen is also drought-tolerant, once established. Its small white flowers aren’t fragrant, but they usually last a couple of weeks in spring. To protect the buds from a late frost, give pearlbush a sheltered spot next to a wall, or on the east side of the house.

6. Don’t forget spring planters!

Whether it’s early, mid- or late spring, you can dress up entries, patios and decks with containers. Tulips and wishbone flowers are surrounded by bacopa and creeping Jenny, which seem to flow out of the planter. The wishbone flower will eventually get leggy, so go ahead and cut it back by a third and it will bloom again in fall. When the tulip flowers are past, pull the bulbs and replace them with a summer-blooming favorite.

Garden center shortcut

Instead of having to chill or overwinter your own bulbs, make it easy on yourself and buy some already in bloom at the garden center. Look for open flowers to help you decide on the color and then pick up plants that are labeled and in tight bud for a longer-lasting show.

Read more at GardenGateMagazine.com

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Home equity remained near historic highs to end 2023

 
 

Buoyed by a rise in home prices, U.S. homeowners with mortgages saw their home equity increase by 8.6% year over year in fourth-quarter 2023.

Homeowners saw an average increase of slightly more than $24,000 compared to Q4 2022, adding up to a collective gain of $1.3 trillion, according to CoreLogic’s newest homeowner equity report. Net homeowner equity totaled more than $16.6 billion at the end of 2023.

“Rising home prices continue to fuel growing home equity, which, at $298,000 per average borrower, remained near historic highs at the end of 2023,” Selma Hepp, chief economist at CoreLogic, said in a statement.

“By extension, at 43%, the average loan-to-value ratio of U.S. borrowers has also remained in line with record lows, which suggests that the typical homeowner has notable home equity reserves that can be tapped if needed.”

 
 

Rhode Island posted the country’s highest annual equity gains of $62,000, followed by New Jersey ($55,000) and Massachusetts ($53,000). The equity growth in the three Northeast states was attributed to “the recent healthy home price increases” in that area of the country.

In January, home equity increased by 13.2% year over year in Rhode Island and by 11.6% in New Jersey, as the two states led the nation in annualized appreciation.

Texas was the only state that posted an annualized equity loss (-$6,000) in Q4 2023.

Home price growth over the past year helped lift the equity of homeowners who were underwater due to price declines in 2022, meaning their mortgage debt exceeded the value of their properties. 

As of fourth-quarter 2023, the total number of mortgaged homes with negative equity decreased by 1.1% from the previous quarter to 1 million homes, or 1.8% of all mortgaged properties.

Compared to 12 months earlier, that figure dropped by 15%, from 1.2 million homes or 2.1% of all mortgaged properties. 

The national aggregate value of negative equity was approximately $323 billion at the end of last year. This was up by $9 billion (3%) from the $314 billion figure in third-quarter 2023 but down by $12.4 billion (4%) from the $336 billion total in fourth-quarter 2022.

 
 

Because home equity is affected by home prices, borrowers with equity positions near the break-even point are most likely to move into or out of underwater status as prices change. 

If home prices increased by 5%, 114,000 properties would have regained positive equity status as of Q4 2023. If prices declined by 5%, however, 162,000 homes would have fallen underwater, CoreLogic projected. 

The real estate analytics company expects U.S. home prices to increase by 2.8% from December 2023 to December 2024.

Read more at HousingWire.com

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As Featured in West + Main Home Magazine: Mid-Century Marvel

 

West + Main Agent Kevin Bolin

I was showing property to clients who were looking for a brick ranch. I drove them through the Indian Hills neighborhood as, in my opinion, it’s one of the most desirable areas in Fort Collins
— Kevin

“All of the homes were custom built in the 60’s and 70’s with large lots and now have mature landscaping. It’s a really special neighborhood. We happened upon an estate sale in progress and walked through. My clients had ZERO interest in the house, (really actually hated it) but I liked it and knew my wife would also. I called her and had her run to the estate sale and of course she loved it. We spent the next couple of weeks in negotiations and ended up with the house!”

The house was in really great condition but extremely dated and most of it not in a good way. The Bolins ended up living in the house for almost 6 years before starting the remodel and that was very helpful in informing the final design, as they thought about many different remodel plans…but they ended up keeping all the rooms where they were.

“Ultimately we bought the house because we loved it and it felt like home after living there for so long, so we kept the floorpan the same. We did open up some walls and moved nearly every doorway in the house (some just a few inches) to provide a better flow. That made all the difference in comfort, light and livability but still felt like our house.”

The couple really wanted to honor the midcentury quality + feel of the original home and wanted to have a finished space that was great for entertaining and had a bit of a sense of humor, as well as a good flow for parties and defined, intentional spaces that created some moments that they would feel comfortable enjoying, human scale and intimate.

“Lighting was a really important consideration and turned out to be one of the things that really makes the house have a soul,” said Kevin. “Midcentury homes weren’t known for their abundance of lighting and relied heavily on lamps. We wanted to make sure we had very layered and functional interesting lighting that maintained the original ambiance.”

The back of the house has large windows overlooking the yard and the landscape plan was designed to feel like a continuation of the interior. They modernized the yard and removed about 75% of the turf grass areas, but tried to keep some of the quirkiness and traditional elements of the original landscape.

“The blue painted birds on the back fence are really interesting to look at in the evening when they are illuminated by the globe light fixtures, and we have a neat rowed area of flowing perennials and a bed of lavender so we can have fresh flowers for the house all summer.”

The key words that we kept in mind as we were working on this project were restraint, quality, humor, and efficiency. We wanted the end product to not feel like new construction, but a super well maintained original house!

We worked with some amazing companies on this project.

This was the 3rd house remodel that we have done using Aspen Leaf Kitchens, 4338 Tennyson St, Denver, CO 80220. We can’t say enough good things about the collaborative process and quality of cabinets they provide. Absolutely the best installers on the planet!

Independent Plumbing Solutions (IPS), 1611 E Lincoln Ave UNIT A, Fort Collins, CO 80524

Benchmark Electrical Services, 621 Gyrfalcon Ct, Windsor, CO 80550

American Air Heating and Air Conditioning, 7350 Greendale Rd, Windsor, CO 80550

RLM Services, Hardy Window and Door, Colorado Quality Painting and NOCO Drywall were all spectacular partners on this project and really understood the quality of construction and finishes that we wanted.

Waterwise Land and Waterscapes, 1930 N Whitcomb St, Fort Collins, CO 80524 were our full service Landscape Company handling the design, install and maintenance of our yard.

We ended up spending around $650,000 on the remodel and landscaping.

 

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