Anyone who has been in public settings can understand and appreciate the invisible line that makes personal space. You can’t see it, touch it, or feel it, but there is nothing worse than when someone crosses into it. That’s why when you drive down any given neighborhood, most people have fences to draw a physical line between them and their neighbors. Nothing personal, it’s just about the space. If you have purchased a property, I’m going to go ahead and assume it likely has a fence around the perimeter to mark your property from others. If it had a fence, it’s easy to imagine that the fence is the border and everything within the fence is yours and outside the fence isn’t. It’s a logical thought but if you thought you knew your property lines, you should think again! 

I know that may not be the news you want to hear, (or maybe you’re in a dispute with your neighbors and it's exactly what you want to hear). Unless you’ve had a land survey done of your property, you are basing your property line off of a plat map, which is like buying pants based on whether the waist fits around your neck (don’t act like your parents didn’t make you do that for back to school shopping). So why should it matter to you? The honest answer is it may not. Maybe you like your neighbors, have a large plot of land, or live away from other people. But if you have neighbors who have fences, sheds, or anything else that you think may be encroaching on your invisible property line or are buying a home and want to avoid the surprise of being told to move your fence, then you may want to make that invisible line more visible. Want to know more about your property line? Give me a call! Whether it's pesky neighbors, peace of mind, or just plain curiosity, I can help you find the answers.

Having a usable outdoor space is more important now than ever, but finding uses for it during the fall and winter seasons can be difficult.  Below we’ve listed some of the best ways to utilize your outdoor space year-round.  Enjoy! 

1. Fire Pit

Fire pits are an incredible use for outdoor space after sundown.  They provide warmth, light, a joyful mood, and are a perfect ambiance for future gatherings or late night reminiscences, not to mention the endless s’mores.  

2. Heat Lamps

The most luxurious outdoor heating experience ever.  The electric versions are sleeker and safer than other gas options.  Optimal for staying warm during late-night stargazing, investing in heat-lamps would be a great option for light and warmth during the cold winter months. 

3. Privacy Screens 

They increase privacy and block strong winds.  Whether you’d like a screen or a wall, latticework is an affordable pick to enclose a balcony or patio. 

4. Curtained Pergola

An extravagant and beautiful choice is the curtained pergola (also known as a gazebo) that can adapt to any seasonal festivities.  They offer privacy, a stylish appearance, and comfort right in your backyard! 

5. Small Outdoor Cooktop

Full outdoor kitchens are expensive and possibly wasteful if they aren’t used.  Find an affordable, easy-to-use, stylish option in the small cooktop or grill. 

6. Small shed

Sheds are versatile.  They offer storage space, an extra room for hobbies, homework space, office space, crafting spot, workout room, or meditation area.  The applications are endless! 

7. Extra Lighting

Light is a deciding factor in your outdoor-ambiance, so feel free to get creative with twinkling lights, glowing lanterns, Tiki torches, candles, and anything else your heart may desire. 

Utilizing your outdoor space is about maximizing warmth, comfort, and creativity.  With these tips, hopefully you’ll be able to stay warm and cozy whether gathering with friends, star-gazing, or having a late night reflection.  Stay warm and stay safe! 

To read Jennifer Kelly Geddes’ full article, click the link below. 

https://www.realtor.com/advice/home-improvement/ways-to-make-your-outdoor-space-livable-when-the-weather-cools-down/

VB Realty Group Presents: Home Buyer Master Class

Learn the top 5 things you should know to become a homebuyer in 2023!

If you would like to view the slides used in this presentation, Click the link below:

https://drive.google.com/drive/folder...

If you have questions or would like more information please send your request to Offersvbrealty@gmail.com or call Brenda at (562)881.9416 and we will be happy to help!

Cyber crime has been on the rise since the internet became available to the public.. Every day criminals are looking for the easiest targets. Think you’re not who criminals would be interested in? Think again!

Cyber criminals don’t need to know how much money you have in the bank, how big your house is, or what valuables you have on display. They want into your email, your financial data, and ultimately, your identity. They cast a wide net in the hopes to get anyone and they are counting on you thinking you are safe.

With the introduction of AI and ChatGPT, their scams have only gotten more realistic and easier to fall for.

So what can you do to stay safe? Here are a few tips.

1) Turn on Multifactor Authentication
2) Update your software
3) Think before you click on unknown links
4) Use strong passwords

Want more information? Visit click here to visit cisa.gov for more tips.

For secure password management, you can visit 1password.com or bitwarden.com.

As we reach the end of the spooky Halloween season, we thought it would be a fun send off to discuss a haunted house. The infamous Los Feliz Murder House in LA has a checkered past, but to real eatstae agent Nancy Sanborn, it was just a house.

In 2016, Sanborn was brought on to the selling team to what she thought was just a regular referral listing. She was completely oblivious to its history, one of the few who was. For context, the property was the scene of a gruesome crime about 60 years before, in which Dr. Harold N. Perelson killed his wife and hit his daughter with a hammer, and then took his own life. The haunted legend of this crime has spanned from 1959 to the present day.

The property has been a notorious haunted attraction for tourists and paranormal enthusiasts. Sanborn did her best to treat it as an ordinary listing, however, the residence attracted strange attention and visitors with a sole interest in the paranormal aspect of the home.

Most states require any material defects about a residence to be disclosed to potential buyers in case it has any lingering effects for them. Though many buyers are apprehensive towards the idea of buying a house with a reputation, purchasing a stigmatized house has the benefit of a price reduction, and according to a recent survey, ⅓ of homebuyers would be willing to purchase a house with a haunting reputation.

The Los Feliz Mansion closed in July 2016 for $2.3 million. Don’t let rumors ruin your chance at buying your dream home! We hope you have a very Happy Halloween!

To read the full article, click the link below.

https://magazine.realtor/daily-news/2020/10/30/how-an-la-agent-sold-a-haunted-house

In 2022, the California State Legislature approved 1,166 bills, and Governor Newsom signed 997 of them into law and vetoed the rest. Two dozen of these bills relate to real estate and were either implemented as part of the fiscal year 2022-2023 budget, which began on July 1, 2022, or that are effective on January 1 or July 1, 2023.

Senate Constitutional Amendment (SCA) 2 was enrolled under Chapter 182, Statutes of 2022, as a qualified ballot measure slated for a statewide vote on March 5, 2024 and would repeal Article 34 of the California Constitution. Enacted by voters in 1950, Article 34 requires that any development comprised of “low-rent” dwellings, financed in whole or part by federal, state, or local government, be approved by a vote of the people in the jurisdiction where the project is located. As California is now the only state that has this law in place, the California Association of REALTORS® (C.A.R.) was a sponsor of SCA 2 in order to repeal Article 34 in its entirety.

C.A.R. also sponsored several other housing bills signed into law, including AB 2170 that creates a state equivalent of the Federal Housing Finance Agency’s (FHA) “First Look Program”, which gives priority to purchasers of foreclosed properties who are prospective owner-occupants, nonprofits, or public entities, and that also prohibits bundled sales of such residential one to four properties.

As part of the state budget, homeownership has also been prioritized through $500 million allocated to the California Housing Finance Agency’s (CHA) California Dream for All Program, a new equity sharing down payment assistance program or shared-appreciation loans to help low- and moderate-income first-time buyers achieve homeownership. In addition, $50 million in funds have been allocated to assist homeowners with low-cost ADU constructions.

Effective July 1, 2023, and to sunset on January 1, 2033, SB 6 enacts the Middle-Class Housing Act of 2022, which deems a housing development project an allowable use on a parcel that is within a zone where office, retail, or parking are a principally permitted use. Similarly, AB 2011 enacts the “Affordable Housing and High Road Jobs Act of 2022” for the purposes of constructing 100% affordable housing projects in commercial zones

ASSEMBLY BILLS

AB 916

Zoning: Bedroom Addition

AB 1410

Common Interest Developments

AB 2011

Affordable Housing and High Road Jobs Act of 2022

AB 2097 Residential, Commercial or Other Development Types: Parking Requirements

AB 2170 Residential Real Property: Foreclosure Sales

AB 2221 Accessory Dwelling Units

AB 2245 Partition of Real Property

AB 2503 Landlords and Tenants: California Law Revision

Commission: Study

AB 2559 Reusable Tenant Screening Reports

AB 2745 Real Estate Broker’s License

AB 2917 Disability Access: Internet Websites, Parking Lots,

and Exterior Paths of Travel

AB 2960

Committee on Judiciary: Judiciary Omnibus:

Real Estate Disclosures

Senate Bills

SB 6

Local Planning: Housing: Commercial Zones

SB197

Committee on Budget and Fiscal Review:

Housing – California Dream for All

SB 851

Personal Income Tax: Small Business Relief Act:

Elective Tax

SB 869

Housing: Mobilehome Parks: Recreational Vehicle

Parks: Manager Training

SB 897

SB 989

Junior Accessory Dwelling Units

Property Taxation: Taxable Value Transfers:

Disclosure and Deferment

SB 1017

Leases: Termination of Tenancy: Abuse or

Violence

SB 1076 Lead-Based Paint

SB 1157 Urban Water Use Objectives

SB 1348

Escrow Agents: Controlled Substances

SB 1477

Enforcement of Judgments: Wage Garnishment

SB 1495

Committee on Business, Professions and Economic Development: Professions and

Vocations – Implicit Bias Training

Home insurance is an important part of owning a home and protects one of your largest financial investments. Whether you are interested in purchasing, reviewing, or replacing you’re current policy, it’s important to compare the options available to you.

The California Department of Insurance (CDI) is a great resource and provides guides, tips, and tools to help you understand your home insurance so you can make the best, and most informed decision for you.

You can visit the CDI website here. If you need additional help, feel free to reach out to your favorite VB Realty Group agent! We’re here for you for any stage of life and will help get you to where you want to go!

If you turn a profit by selling your home, the first $250,000 of that profit will be excluded from your taxable income. (That’s per owner. So for a co-owning couple the first $500K would be excluded).  Yay! But what about if you rented it out for a while before selling?  If you lived in the house for two out of the five years before the sale, the exclusion will still stand.  Any profit above that exclusion will be taxed at capital gains rate.  

(Renting property triggers other tax rules, though, so you may want to consult a tax professional.)

A large profit could affect you in ways other than taxation, though.  For example if you are a Medicare recipient, your premium might temporarily go up if your profit exceeds the exclusion amount. This is because individuals who earn more than $87K per year (or married couples who earn more than $174K) are subject to an income-related “monthly adjustment”.  So again, it’s best to seek out a tax professional:  He or she might be able to structure the sale to lessen the impact on your income in that year.

For more information, read Liz Weston’s complete article:

Q&A: Avoiding capital gains

Position yourself as a strong contender that can move when the moment is right with these proven tactics

Are you ready to buy in this crazy hot market? Here are ways to make yourself a more competitive buyer in a seller’s market.

With so many buyers on the hunt, it is important to keep an open mind when searching the market. It is important to set your expectations that the top end of the search price range should be significantly under the top end of the budget. Making sure you are open to touring unexpected neighborhoods, it is worth it to explore adjacent areas with less interest.

A key in this market is getting pre-underwritten. it is worth the substantial; legwork compared to pre-approval but in the end, you will need to do the legwork to finalize your loan. This will provide you confidence in your budget in turn providing the seller more confidence that your funding will come through. With today’s lower mortgage interest rates, their month-to-month mortgage payment even with PMI factored in may be very reasonable.

Making it easy for the seller will go a long way, it is more important to send a string email summary with your offer and follow up consistently. Always start with your strongest offer, instead of testing the bottom where the seller won’t even consider countering, they will just move on.

Being ready to offer quickly is also key to winning in a competitive market, and considering these tips before you find the home you want to buy will help you feel ready to jump when the moment arrives.

To read more about ways to be a competitive homebuyer in this intense market, read the following article by Inman Content Studio. https://www.inman.com/2021/05/24/6-tips-to-help-your-homebuyers-in-a-sellers-market/

Do you understand whether or not your retirement savings will ever get taxed, or when that happens?  What exactly are mandatory withdrawals, and when do they start?  How to best leave retirement savings to your heirs?  If your grasp is fuzzy on any of these questions, then read on:

TAXES:  Unless your tax-sheltered retirement savings account is a ROTH type, then any money that you withdraw from it definitely will be taxed.  The government set this deal up for you (and it is a good deal, because it allows your money to grow faster) to encourage you to save…but eventually Uncle Sam wants his share, since your contributions were made with untaxed income.   (With a ROTH account, however, you’ve contributed net income, not gross.  Since you’ve already paid taxes, you won’t pay any more when you withdraw.)

MANDATORY WITHDRAWALS:  Once you hit age 70½, you must start withdrawing—and paying taxes on any money you’ve withdrawn (unless it’s a ROTH).   The minimum withdrawal at that age is only 3.65% of the total balance, but it increases gradually with each year.  However if you live to be 100, the minimum withdrawal is still only 15.87% of the total.  (No mandatory withdrawals are required for ROTH accounts.)

LEAVING $$ TO HEIRS:  Therefore, if you only withdraw the required minimum over the years, you can leave the rest to your children—who will then have to pay tax on their withdrawals.  Before Congress recently changed the law, your children were able to spread the withdrawals over their lifetimes, but now they must drain the accounts completely within ten years of inheriting it.  (Your children will not have to pay any taxes on withdrawals from a ROTH account.)

ROTH:  These accounts have definite advantages, and if you can afford to contribute net rather than gross income you may prefer to do that.  (Ask your tax professional if it makes sense for you.) However if you decide not to go with a Roth, know that traditional non-Roth savings accounts are still wonderful vehicles for saving for your retirement. 

For more details, read Liz Weston’s complete article:

https://www.oregonlive.com/business/2020/01/liz-weston-why-am-i-paying-taxes-on-my-required-ira-withdrawals.html

When beginning to shop for your first home, start with the options at the lower end of your budget.  If you find homes you like in that price bracket, then stop there. 

Let’s say you qualify for loan to purchase a 3,800 square foot home with a pool.  Very tempting, but deep down you realize that a 2,000 square foot home would be big enough for you.   For every additional $1,000 that you pay for the bigger house, you will be paying $1,000 plus interest.  By the time you’ve paid off the loan, you may well have paid double that.  Remember that buying a bigger house means bigger ongoing expenses, too: utilities, maintenance (roof repairs, painting, etc.)–and property taxes.

That’s money that might be better spent on other important goals over time, such as education, establishing an emergency fund, and saving toward retirement.

Many will argue that your house is a great investment and you should therefore push the limits of your spending ability a bit when buying.  Housing has certainly does appreciate nicely over the years, but the averaged stock values of the S&P500 have easily outpaced them over the past 50 years.  Just don’t allow yourself to be lured into spending more than you are financially comfortable doing.  Go for less than you can afford.  You can make improvements to your modest home, when you’re ready, thereby bumping up your equity in a safer, incremental way.

And do try to put 20% down on your house.  It will save you from wasting money on private mortgage insurance (PMI) and will help keep you from getting “under water” if the value of your home declines.  Aiming to put 20% down also helps you gauge whether or not you can really afford a particular house, too.  If you can’t afford 20% for that house, consider looking for a less expensive one, or else waiting—and saving up for that down payment.

Most Americans hold a deep-rooted belief in home ownership.  Its size, quality, and location are all status symbols.  We tend to say of families with a flashy car and a big, fancy house:  “They must have a lot of money!”  

Because this family is spending a lot of money on items that go beyond basic comfort levels—including the big house–we assume they’re in a great financial position.  But deep down, we know this isn’t rational.  To build wealth, you must spend less than you earn. 

Top SoCal real estate agent can help you buy real estate in Long Beach, Seal Beach, and San Diego. Find a house for sale that you will love.

To read David Weliver’s complete article, visit:

https://www.moneyunder30.com/why-you-should-buy-less-house-than-you-can-afford

The Real Estate industry can be intimidating to first-time homebuyers, especially when they begin the preapproval and prequalification process.  Below we’ll refute the most popular credit myths in today’s real estate market.

Myth #1: Closing an Old Account Will Help Your Credit 

This is a very common misconception about credit impact.  Lenders mainly review a real estate agent’s client’s credit history by looking at how long accounts have been open.  Typically, lenders average out all of your current and past accounts to get an accurate, standard length of time.  Therefore, the longer your accounts have been open, the better.  

Myth #2: All Debt is Treated Equally 

There are many different kinds of debt, and each one has a different risk and purpose.  These risks are what lenders evaluate when examining your credit.  For example, short-term accounts (credit cards) are viewed as more risky if the account has a high amount of revolving debt.  In contrast, a long term debt (a 30 year mortgage) is viewed as less risky because of the extended amount of time you have to pay off your debt.  Basically, if you have a maxed out credit card and a car loan with a high balance, the credit card is more detrimental to your credit. 

Myth #3: Your Credit Can Be Improved With the Help of Credit Repair Companies 

Popular companies, such as Credit Karma, Credit Sesame, Equifax, Experian, and TransUnion advertise their ability to supposedly improve your credit.  But before you buy into all of their promises and craft a utopian view of your credit, remember the saying, “if it looks too good to be true, it probably is.”  These companies can only help you establish a plan to consolidate your debt.  They cannot reverse your debt, nor magically make it disappear.  To put it simply, in order to reduce your debt, you need to pay off your account.  If homebuyers want to create this plan by themselves, they need to make a spreadsheet with their periodic expenses along with their monthly income to map out a timeline for debt payments. 

Myth #4: When You Pay Off Your Debt, It Gets Removed From Your Credit Report 

False.  A missed payment or a collection has the ability to remain on your credit report for up to 7 years.  Even though paying off this debt will stop banks from trying to collect on it, there is no possible way to remove a derogatory mark from your credit history unless it was reported incorrectly. 

Myth #5: Your Credit Report Reflects Your Relationship Status 

Questions regarding information like employment, income, and relationship status are not reported to credit bureaus and will only come up during the credit application process.  Your relationships, whether past or present, do not appear on your credit report.  Therefore, if one partner does not pay a debt and you are on the account, you will both be impacted negatively. 

As a homebuyer, you should schedule consultations with lenders about entering the preapproval process for a loan and to formulate a plan for debt payment that allows you to have a better interest rate.  Real estate agents have an abundance of information about the homebuying process from their years of experience, so feel free to call our top notch agents at VB Realty Group for your credit questions and real estate endeavors. 

If you want to read Vance Kellogg’s full article, click the link below. 

https://www.inman.com/2020/06/30/5-credit-myths-to-explain-to-first-time-homebuyers/?unl=70030fad32f1e7eb5545778556a28aed6016077c&utm_source=referral&utm_medium=email&utm_campaign=sharedarticle