Thanksgiving History

In 1621, the Plymouth colonists and Wampanoag Indians shared an autumn harvest feast that is acknowledged today as one of the first Thanksgiving celebrations in the colonies. For more than two centuries, days of thanksgiving were celebrated by individual colonies and states. It wasn’t until 1863, in the midst of the Civil War, that President Abraham Lincoln proclaimed a national Thanksgiving Day to be held each November.

Source: History.com

Retirement is a LIE

Everyone is thinking of #retirement especially the baby boomers.  10,000 of then turns 65 every day.  According to the article published by Daily Worth online, 55% of Americans is in danger of not fully covering the estimated essential expenses like housing, healthcare, food in retirement as studied by Fidelity Investments.” A Wells Fargo/Gallup survey found that 46 percent of their participants were either “very” or “somewhat” worried about outliving what they were capable of saving for retirement, with concerns about whether they could rely on Social Security checks alone.

The top financial services institutions make it sound so easy: Sock away a portion of your paycheck, put it in long-term retirement plans like your workplace 401(k) or an IRA  and then just wait for the money to kick in at retirement.

But if it’s supposed to be so simple, why isn’t retirement working the way it should?

Apparently, we don’t prioritize saving, and we’re poorly educated about money management skills, according to Springleaf Financial surveys. On the whole, this country is not ready to retire — but those aren’t the only reasons why.

“The issue is not that people don't prepare properly,” says Helaine Olen, author of Pound Foolish: Exposing The Dark Side of the Personal Finance Industry and co-author of The Index Card: Why Personal Finance Doesn't Have to be Complicated, coming in 2016. 

The inability to save isn’t because we’re wasting money on kitchen remodeling or fancy coffee, but rather because the cost of living has gone up — thanks to rising health-care costs and housing costs — while our salaries have stagnated or declined. And millennials have the extra burden of staggering student debt.

Even if you do manage to save, the financial products that have been set up to protect us — like 401(k)s and related retirement plans — cannot accomplish what they are touted to provide. 401(k)s, for example, were simply not designed to be our main retirement fund, according to a Frontline interview with Teresa Ghilarducci, director of the Schwartz Center for Economic Policy Analysis at The New School for Social Research.

Instead, the 401(k) was established “as a way for high-earning executives to put part of their salary aside on a cash-deferred basis. Even after the Reagan administration said all employees were eligible to use a 401(k) account if an employer offered it, no one thought it would supplement pensions,” explains Olen.

Even John Bogle, founder and former chief executive of The Vanguard Group, says the retirement options offered by financial institutions are fiction — what he called a “train wreck” in his appearance on Frontline.

IRAs and 401(k)s weren’t designed to be retirement plans but savings or thrift plans. And the returns are small: After adjusting for inflation and subtracting taxes and fees, “you’re down into a pretty paltry return, 1 or 2 percent,” according to Frontline, which Bogle confirms. “We don’t tell people that, you see, in this business,” Bogle adds.

The most appalling aspect of all of this is that we have no choice — we are locked into a system designed to fail. You may think you can just postpone retirement and get in a few more years with income; maybe you’re convinced you can wait until 70, as Fidelity, for example, advises. But “the great myth of retirement” is that you get to choose how and when you’ll retire, says Olen.

The truth is that people are frequently forced to leave the workforce.

According to a report by the Government Accountability Office (GAO), “[m]any people retire for reasons they did not anticipate or are out of their control”; health problems, changes in the workplace, or caring for a spouse or family member were the main reasons people hung up their briefcases.

A 2012 Health and Retirement Study noted that 43 percent of retirees who participated felt that they were forced into retirement. The 2015 Employee Benefit Research Institute’s Retirement Confidence Survey found similar results: 50 percent of retirees left the workforce earlier than they had planned. 

I might be able to help you alleviate some issues with your retirement or any financial concerns..  Email Me for more info.


Source:  DailyWorth

4 Renovations that can lower the Value of your Home

Renovations are mostly done for the home owner's comfor but also to add value to their home. Unfortunately in some cases, it lowers the value of their home depending on what they choose to do. 

Marketwatch recently featured some of the common renovaions for home owners that can decrease the value of their home.  This article was posted in Realtor Mag online.

1, Eliminating a bedroom - Even if the purpose of removing a bedroom to enlarge one or to make a living space larger, this renovation can lower the value at resale.  The more bedroom a home has, the higher the price it usually gets.

2. Renovating the garage into living space -  Getting rid of the garage in favor  of more living space, office or extra bedroom can be a turned off for some buyers.at resale.  74% of recent buyers said that having a garage is very important according to a survey of 7,500 people by Crescent Communities.

3. Removing closets - Michele Silverman Bedell, Chief Executive of Silversons in Westchester, N.Y.recalls that a client had removed a closet to make the master bedroom bigger. But the renovation made the home more difficult to sell.  One of the criteria that buyers look for is a bigger closets in master bedroom.

4. Too much wallpaper -  Even though the wallpaper can be removed, it gives the impression of having a lot of work to get it off.


Source: DAILY REAL ESTATE NEWS | FRIDAY, NOVEMBER 20, 2015

Car Maintenance in Auto Dealership

When you bring your car to a car dealership for regular maintenance, how much money do you think you will spend when you thought all you need to pay for is an oil change.

I have a year old car and I bring it to the car dealership for regular maintenance and an oil change.  About 6 months ago, I took my car in for an oil change.  When they were done with inspection, they told me that I would need 4 new tires and new brake pads which will cost me roughly $1000,00 to do all the repairs and tire replacement they mentioned.   I said to them how come I need 4 new tires when two of them were not even a year old.  They even showed me why I needed new tires. So I told them for now just to do the regular oil change.  I came back with my husband to pick it up and they never mentioned the repairs.  I had my husband bring the car back to the dealership for the regular maintenance and they never mentioned the repairs needed again..

I have concluded that if they know that you don't know much about cars, especially if you are a woman, the car dealership auto maintenance will bleed you to death with all the unnecessary repairs so they can get as much from you as they can. I have searched and found this link.  Please click here to read more about it.

Have an AWESOME Monday - From your favorite Realtor

Happy Monday! I hope you had an amazing weekend! As always I like to start the week off right with some words of motivation!  

 

Today is Monday... most view this as a negative thing... as 5 work days to get through so they can enjoy the weekend... Don't fall into this mindset... Instead think of today as the start of a new week for you to create an amazing week... to start taking action on your goals and dreams... to get one step closer to creating the life you want and deserve! 

 

It is Monday, Don't Forget To Be Awesome!

 

 

Have an AWESOME week! 

Happy Mother's Day

The origins of Mother's Day are attributed to different people. Many believe that two women, Julia Ward Howe and Anna Jarvis were important in establishing the tradition of Mother's Day in the United States. Other sources say that Juliet Calhoun Blakely initiated Mother’s Day in Albion, Michigan, in the late 1800s. Her sons paid tribute to her each year and urged others to honor their mothers.

Around 1870, Julia Ward Howe called for Mother's Day to be celebrated each year to encourage pacifism and disarmament amongst women. It continued to be held in Boston for about ten years under her sponsorship, but died out after that.

In 1907, Anna Jarvis held a private Mother's Day celebration in memory of her mother, Ann Jarvis, in Grafton, West Virginia. Ann Jarvis had organized "Mother's Day Work Clubs" to improve health and cleanliness in the area where she lived. Anna Jarvis launched a quest for Mother's Day to be more widely recognized. Her campaign was later financially supported by John Wanamaker, a clothing merchant from Philadelphia.

In 1908, she was instrumental in arranging a service in the Andrew's Methodist Episcopal Church in Grafton, West Virginia, which was attended by 407 children and their mothers. The church has now become the International Mother's Day Shrine. It is a tribute to all mothers and has been designated as a National Historic Landmark.


Mother's Day has become a day that focuses on generally recognizing mothers' and mother figures' roles. Mother's Day has also become an increasingly important event for businesses in recent years. This is particularly true of restaurants and businesses manufacturing and selling cards and gift items

For Mother's that have passed away

Source: History.com

2015: The Year to Buy A House

Is 2015 the year to buy?


Listen to Housing and Urban Development Secretary, Julian Castro, discuss why many people should buy a home this year. Call me at 480-414-7202 or email today and we can discuss your unique needs. Thank you!

Tips for Getting a Mortgage

Are you considering buying a Phoenix property as a second home or investment? Perhaps you are looking for a small cottage or apartment where you can escape for vacation, or maybe you want to have another home closer to family. Maybe you want to rent out your second property and make a steady income from your investment. Whatever the reason, a second piece of real estate can be a fantastic investment. However, sometimes getting a mortgage on your second home can be a challenge.

Generally, a mortgage lender will have tougher standards for second home loans than primary home loans. This is because usually when you are buying a second home your finances will be stretched thinner and you will have less money to spare because you are already paying a mortgage on your primary home. This will mean that your second home mortgage can be harder to get and might have a higher interest rate.

Here are some tips to keep in mind that will help you to get the best mortgage on your second property: Build up a decent amount of savings. Your mortgage lender will want to be able to see that you have a large amount of savings so that you will have enough to pay for the mortgage even if you were to lose your job.

Pay off any credit card debt. Many lenders will be hesitant to approve your second home mortgage if they see that you have a lot of debt on your credit card. They will want to see that you have a low debt to income ratio so that you will be able to pay back the loan.

Use the first mortgage as a good reference. If you have always made your payments on time and you are most of the way through paying off your first house, you could ask someone from your current mortgage company to vouch for you. The lender for your second mortgage will be reassured that you are a reliable person to loan money to.

These are just a few tips to keep in mind in order to make getting a mortgage for your second property as easy as possible. To find out more about investing in Phoenix property, contact me at aliciadelacruzrealtor@gmail.com phone me at 480-414-7202.

How Ready is Your Home's Air Conditioner This Summer

Your home’s air conditioner needs a regular tune-up just like your car does. If you don’t know much about air conditioners, here are some quick tips and facts:

Your home’s air conditioner consists of three main parts:

1. The compressor: It’s the large outdoor unit which is usually on the side of your house or behind the garage. It compresses the refrigerant, or Freon®, into a liquid that then evaporates, resulting in cooling.
2. The blower unit: Pushes the air throughout the system.
3. The ductwork: Circulates the air. Cool air is carried into the home; warm air is exhausted.

Anything having to do with refrigerant should be left to professionals. Hire someone to inspect the refrigerant and the compressor lines.

Here are several do-it-yourself tune-up tasks for your home’s air conditioner:

• Change the air conditioner filters: Schedule a day each month to change your filters. It can be the first, the fifteenth or any day you will remember each month, just pick a date so you do not forget. Check the number on the filter that is already in the system, and buy the same size when it needs to be replaced.`Check for debris: After you change the filter, walk around the outside unit and check for obstructions. Clear any leaves or debris that might be caught in the grate. Cut back bushes that may be preventing airflow to the unit. There should be two feet of clear space around the unit.
• Check the condensate removal system: Condensation occurs when warm air passes through the cooling coil. That condensation drips to a drain or a pan under the unit. If there is a pan, you need to empty it as it gets full.
• Clean the compressor: The outdoor unit will get dirty and need cleaning, at least annually. Make sure you shut off the power to the unit before beginning. You can then hose off the dirt.

If you’d like a referral to an air conditioning specialist for those times when you need to hire a professional, I’m happy to share my recommendations.

Call me at 480-414-7202 or email me at aliciadelacruzrealtor@gmail.com for more information

Loan Demand Softens as Rates Rise

Mortgage applications fell 2.3 percent last week as interest rates ticked up slightly, the Mortgage Bankers Association reports in its seasonally adjusted application index. Broken out, applications for home purchases dropped 3 percent while applications for refinancing fell 2 percent.

"With rates little changed for the week, we saw a dip in application volume. It is important to note that purchase volume remains 7 percent above last year's level, and has been up on a year-over-year basis for six weeks now," says Mike Fratantoni, MBA's chief economist.

The 30-year fixed-rate mortgage rose slightly to 3.87 percent from 3.86 percent the prior week, MBA reports. Tight credit conditions persist, which are keeping many would-be buyers out due to regulations over appraisals as well as inconsistent incomes for self-employed individuals, Peter Carroll of Quicken Loans said at FSR’s Housing Policy Council forum this week. The appraisal process, for example, may keep some buyers out who don’t have a lot of money for a down payment, Carroll said.

“We are seeing a chronic tightening of appraised values that very frequently come in below the sales price and when you are talking about consumers with lower down-payment loans, that's going to pull a lot of people out of eligibility with these products," Carroll said.

Source: Daily Real Estate News | Weekly Mortgage Application Drop as Rates Tick Higher (CNBC.COM)  April 15, 2015

Why Homeowners Need to Get Moving

Realtor Magazine posted whether sellers in the market need convincing. An article in CNN Money recently highlighted several reasons why this spring would be the perfect time for home owners to get off the fence. After all, many markets across the country are still tilting in sellers’ favor. Here’s why:

Mid-March to mid-April is the best time to hang the sale sign nationally, with homes selling 15% faster and for 2% more than the average sale, according to Zillow. The window tends to be a little earlier for sellers in warmer climates and a little later in colder climates.

"It's still predominately a seller's market, but less so than the last year or two," said Stan Humphries, Zillow's chief economist. "Some advantages are moving back to buyers; but largely and broadly ... it's still favoring the sellers."

Here are four reasons you might want to list your home:

1. Low housing supply: Tight inventory is a main reason the ball is still in the sellers' court. The level of unsold homes was 4.6 months in February, according to the National Association of Realtors. That means it would take a little less than five months for all available inventory to sell. In a normal market, a five-to-seven month supply is considered balanced, said Danielle Hale, director of housing statistics at the NAR. Tight inventory tends to prop up home prices and can result in multiple offers and spur bidding wars.

2. Fewer cash buyers: All-cash and investment buyers helped buoy home sales in the last couple years. And while the acceleration of home prices has slowed from its recent double-digit growth, experts still expect modest gains this year, but with fewer cash buyers. All-cash offers made up nearly 31% of sales in 2014, according to RealtyTrac, a 13% drop from 2013 and the lowest level in four years. "We are predicting a more stable and sustainable housing market in terms of price growth," said Ralph McLaughlin, Trulia's housing economist. "A lot of the growth we saw was from cash buyers, but now we are thinking those buyers will play less of a role."

3. Higher interest rates: While mortgage rates remain low, experts predict more buyers will enter the market in the coming months. The Federal Reserve's recent hint that higher interest rates are coming sooner rather than later could prompt buyers to start their house hunt in order to take advantage of lower mortgage rates.

4. Rising rents: Rising rental prices could motivate tenants to make the leap into home ownership. Rent prices have risen 15% nationwide in the past five years in 70 metro areas across the U.S. and income growth hasn't kept up, according to NAR. "Every time there's an increase, it triggers the decision processes on whether [renters] should go into the market and buy," said Huskey. Getting more buyers into the market, especially first-timers, can help sellers feel more comfortable about their prospects. "It allows others to move up the chain in the market."


Posted by Realtor Magazine and CNN Money

Hello Spring

Spring 2015 Forecast

Last August, courtesy of The 2015 Farmer's Almanac, they had predicted a cold winter for two-thirds of the nation—what we called a "refrigernation."

The good news? Spring brings above-normal temperatures to the eastern half of the nation from late March through early May. Temperatures will be below normal, generally in the West.

Precipitation will be below normal in most states near the Atlantic and Pacific coasts, but above normal in most spots in the central two-thirds of the nation.

Below are some more regional U.S. highlights for April and May of 2015:

• Northeast: Snowy periods early to mid-March. April and May will be warmer and wetter than normal in the north and much warmer and drier than normal in the south.
• Atlantic Coast: Along the coast from Boston down to Richmond, and along the Appalachians regino, April and May will be warmer and drier than usual.
• Southeast: April and May will be warmer than normal. Rainfall will be below normal in the north and slightly above in the south. Watch for an early tropical storm threat in mid- to late-May.
• Florida: April and May will be hotter than normal, with below-normal rainfall in the north and above in the south. Watch for an early tropical storm in mid-May.
• Lower Great Lakes: April and May will be warmer than normal, with near-normal rainfall.
• Ohio Valley: April and May will be warmer and slightly drier than normal.
• Deep South: April and May will be warmer than normal, with rainfall above normal in all but easternmost areas.
• Upper Midwest: April and May will be warmer than normal in the east, with near-normal precipitatino, while the west will be cooler and wetter than normal.
• Heartland: April and May will be warmer than normal, while rainfall will be a bit below normal in the north and a bit above in the south.
• Texas-Oklahoma: April and May will be warmer and rainier than normal, on average.
• High Plains: April and May will be cooler than normal, with precipitation above normal in the north and below normal in the south.
• Inter mountain and Pacific Northwest: April and May will be slightly drier than normal, with near-normal temperatures.
• Desert Southwest: April and May will be cooler than normal, with near-normal rainfall.
• Pacific Southwest: April and May will be drier than normal, with temperatures near-normal in the north and below in the south.
• Alaska: April and May will be warmer than normal, with near-normal precipitation and less snowfall than normal.
• Hawaii: April and May will be rainier than normal, especially on the Big Island. Temperatures will be near or slightly above normal. 

Source: www.almanac.com