In This Issue

Starting Over Making The Market Work Work It

We are pleased to present you with the latest issue of Life@Home.  Delivered to home buyers, sellers and owners on a monthly basis, this electronic newsletter is designed to give you the real estate information that is important to you.  In each issue, you will find practical tips and articles related to buying, selling or owning a home, as well as the latest news on real estate trends.  We hope that you enjoy this issue of Life@Home.  If we can be of any assistance, please do not hesitate to contact us.

Starting Over

For most high school teens, the world is a complex web of classes, friends, sports, clubs, part-time jobs, and other interests. When a teenager finds out his or her family is moving, it can feel like that intricate web is suddenly being swept from underneath them.

Certainly every teen reacts differently to the news. Some might be excited at the prospect of a fresh start. Some might be angry that they can't control the situation. Others might be unhappy about leaving friends. But whether their outlook is positive or negative, almost all are overwhelmed by the idea of being the "new kid".

You can help lessen their anxiety by helping your child get as much information as possible about their new town and school.

Start with the school. Arrange for a tour of the building, preferably before their first official school day. Find out if the administration offers a peer counseling program or buddy system for new students. If your child has special interests, like marching band or photography, find out how he or she can get involved. Find out who runs the music program or when the photo club meets in addition, get a list of all the school offerings. This could be a chance for your child to start something new too.

Next, look at the community. Is there a teen night at the town community center? Are there recreational sports programs in addition to school offerings? Are there community service groups for young people? All of these could be ways for your teen to make connections.

If working is important to your child, help them investigate a good part time job. Sometimes a municipality or school will run a youth employment program. That could be a good place to start.

The more information, you can provide your child, the more comfortable they may feel. And remember, your support and assurances, even if they seem unwelcome, are keys to a successful move.

Making The Market Work

Real estate can be one of the best ways to put your money to work. Historically speaking, real estate investors who do it right have seen steady returns. If you are considering buying as a business enterprise, consider these four points.

1. Do your homework - Know your finances inside and out before you buy. Although you may be able to count on rent to defer some of your costs, be sure to factor in renovations, emergency repairs, vacancies, recurring costs and other expenses.

Work It Is your office or work station a distracting mess? Improve the situation by dedicating 10 minutes each day to organizing your desk. Also, take time daily to manage your inbox. Delete emails you don't need and create a folder system for action items. Twenty minutes of maintenance can make a difference.

2. Know your strategy - Is your plan to buy a home, renovate then sell it for profit? Do you plan to hold onto the property for the long term? Come up with a specific plan with benchmarks that will help you determine if you are meeting your goal.

3. Location - Whether you are buying residential, commercial or vacation property, pay special attention to location. It is often better to purchase a mediocre property that can be renovated in a prime location than to buy in a less desirable area.

4. Know the tax implications - There are definite tax benefits to owning a second property, but there are also repercussions when it comes time to sell. Capital gains tax must be paid on profits from a real estate sale. if you plan to use the proceeds to buy again, look into a 1031 tax deferred exchange. This provision allows you to defer capital gains and roll-over the funds into other real estate investments.