• Look for settlement cracks on the wall, floor, or ceiling. Every Michigan home, at one time or another, will get a settlement crack with the thaw and freeze of the ground, so if you find a few, there’s no need to panic. However, if you notice major cracks, this could be a sign of structural problems. Mark down the location of where you find cracks and point them out to the inspector, who will determine the degree of damage. If they are small cracks, they can easily be filled with plaster and repainted.
• Look for leaks. Water damage marks on the walls, floors, or ceilings may simply be from a bathtub or toilet that overflowed, or it could be serious and due to a leaky roof. Also, check the tile in the bathrooms and kitchen for any indication of behind the wall leaks, such as mildew or loose tiles.
• Open and close all the doors and windows. Listen for squeaks or sticking. In most cases, this is simply a matter of spraying some lubricant such as WD-40, but it could also be another indicator of settlement.
• If there is an outside deck, check for rotted wood, which could be a sign of termites or simply old wood needing replacement.
• Check all of the electrical outlets. You can simply take a working nightlight with you, plugging it in to each outlet to make sure they’re all working properly.
• Check the garage doors, if applicable. Make sure they run smoothly on the tracks and that the openers are in good working order.
• Look for pests such as termites or ants. The best place to look is around the foundation, wiring, pipes, doors, and windows.
• Look at the grading of the yard, both front and back, to ensure that run-off water flows away from the house.
• Look at the gutters to ensure they are properly installed and that water flows out adequately.
• Check the driveway to look for crumbling concrete, pockmarks, or holes that would need to be fixed.
• Have the roof looked at by a professional. Make sure the turbans are installed correctly to eliminate any leakage and that no portions of the roof need to be fixed or replaced.
• Carefully check out the heating and cooling systems. These can be high dollar expenses; so, it’s important that they are running properly. Often, these items are covered under a warranty; so if there is a problem, see if there is warrant coverage.
• If there are any fireplaces or wood-burning stoves (which there usually are in the chilly Ann Arbor Area), make sure the chimneys are clear of debris and the flues are working properly.
• Caulking and weather stripping are important as well. Improper coverage will cause air leaks into the home, raising utility bills and causing unwanted drafts.

The property values in the Ann Arbor, Michigan area are at unheard of lows.  NOW is the best time ever to invest in this growing community!  We are here to accommodate your investing needs, from small opportunities to huge developments we are sure to have the perfect fit for your investing potential.  Look at this Chelsea duplex: a screaming deal, as an example.

If you are interested in investing but don’t know how or where to start, it is important to also let us know so that we can ensure that you get the most effective information possible.  Come to the Buyer Seminar to get started!  Our next Ann Arbor Home Buyer Seminar is Oct 28th on 355 S. Zeeb at United Bank and Trust.  Private, Free Pre-Approval starts at 6:30 pm, with round table seminar beginning at 7 pm.  There are still some great financing options available – get the insider secrets for this and complementary copy of book written by Gary Keller.

Timing is everything, and you don’t want to be left out with so much opportunity for profitable returns on the horizon in the Ann Arbor Real Estate market!!

Related Links

                      For buyers that are serious about finding a home | Click here

                        Visit our website for much more useful information for home buyers | Click here

 

How to Make Money Investing in Real Estate

Investing in Ann Arbor real estate can either produce a negative or positive result. To increase your odds of making a successful investment in Washtenaw County, you need to educate yourself and arm yourself with facts.  Currently, real estate is a hot market and now is the time to give some serious thought to making that investment. To get you started in the right direction, there are some specific guidelines to consider.

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Become an Expert
The best way to become really good at something is to focus your attention on one particular aspect. For example, in real estate, there are many options for investment to include foreclosures, fixer-uppers, properties requiring low down payment, houses geared for first-time home-buyers, and specific types of property such as single-family dwellings, apartments, condominiums, etc. When starting out, choose one, maybe two specific types of properties to invest in. For example, there are some duplexes in Chelsea, MI under $150,000 now! You will gain the most benefit from going this route.

Applicable Costs
To be a good investor, you must first understand all the costs associated. There are many different costs to consider such as loan payments, taxes, operating and maintenance costs. In addition, it is vital that you maintain solid financial records to avoid running into problems. Your best options are to meet with a financial advisor before you get started and then set up a database to track all the finances associated with each investment. This is a key step in being a successful investor.  I have an LLC for each property.

Comparisons
Before putting money into a property, do some research on the market value of that house. This would include:

• Neighboring homes to compare value
• Geographical area to determine if it retains value
• Crime rate 

These are just a few things to look at to ensure you are investing your money in the right house, in the right area in Washtenaw County.

Utility Costs
Be sure to make some phone calls to confirm the cost of recent utilities such as electrical, gas, water, and sewer. When you turn around to rent your house out, in addition to recouping the actual mortgage payment, if you plan on covering any utilities as a part of the lease agreement, you want to make sure that you also cover those costs along with the rent payment. For example, if the mortgage payment is $600 a month, and you plan on covering electrical and gas, which on average run $125 a month, you would need to ask $725 per month from the tenant for rent to cover those costs.

Tenants
Although the majority of people are honest, it is critical to run a background credit check on all tenants as well as collect a security deposit upfront in the amount to cover one month. This ensures you as the owner, if the tenant leaves for any reason without paying, you are covered for one month. In addition, if the tenant has pets such as dogs that might cause damage to the interior of the home or tear up the yard, you should also consider collecting a pet deposit. Again, if damage is done to the carpet, this will provide you the money needed to replace it.  I charge a $25 monthly pet charge.

Inspections
Another extremely important step before making your investment is to have a full inspection of the house done by a qualified inspector. A house may look perfectly fine but without having it properly inspected, you could easily miss a foundational problem, or a plumbing leak, or damage to the roof. These items could end up creating your worst nightmare and costing you thousands and thousands of dollars. The minimal cost to have the inspection done is the best money you will ever spend.

Taxes
If you are considering an investment based on current tax laws, you should rethink your strategy. Tax laws are constantly changing. Based on what the current law is, it may or may not make a property a good investment.

To better your chances of creating a positive cash flow from your investment, either contact a tax advisor or conduct thorough research first.  I am more careful now about Village taxes because they are higher than the township taxes and impact cash flow.

Insurance
It is important to understand that if a seller’s coverage is based on replacement value that is lower than the current value, you could end up paying a higher price due to insurance costs rising.

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Investment is a powerful tool and one that can provide you with years of good income and equity. Just be sure to do your homework first and know all your options and risks.  Feel free to come to our next MONTHLY ANN ARBOR HOME BUYER SEMNIAR| Click here

Whether you are buying your first home or your 10th investment property, it is not an easy process, but that is ok, we are here to help.  Contact me anytime.

Kathy Toth and Team
Keller Williams Realty
2144 S. State St., Ann Arbor, Michigan 48104
Phone: (734) 669-0337
Fax: (734) 661-4315
info@KathyToth.com

Related Links
Real Estate Process Explained | Click here
           This report explains in details the entire process of buying real estate

Why Most People Fail To Find the Right Agent | Click here
          The right agent can be found if you do the proper research

• In order to qualify for a house, you need 20% down
• Lenders are required by law to provide you with the best possible rate for your loan
• You can’t qualify for a house if you’ve been with your current employer less than five years
• Your credit must be perfect
• Mortgage interest is not tax deductible

• More and more innovative mortgage packages are being created, offering the borrowers options between 3% and 5% down. Some lenders offer zero down, if you have excellent credit. For first-time buyers, it’s in your best interest to do some serious comparison-shopping.
• Every lender works with its own rates bases on their standards as well as the type of loan being considered. Rates change literally every day so once you’ve made the decision to buy a house, check rates with more than one lender and check on a daily basis.
• Job stability is important but the five-year rule is merely a myth. For example, if you have worked in public relations or some other industry for 10 years but have had three jobs in that time, because you’ve stayed within the same business, lenders will often consider this as continuous employment, especially if you’ve made advancements. In addition, solid credit and a larger down payment can compensate for work history in some instances.
• It’s true that credit is very important when qualifying for any loan. However, if you have been out of a bankruptcy for two years and can provide a good letter of explanation to the lender, they will usually accept that. If your credit is in real bad shape, consider a credit counseling service to help you get back on track. Generally, this can be done in as little as 12 to 18 months.
• As you make your comparisons of the financial benefits of renting versus owning, be sure to consider tax deductions. When you buy a home, the closing costs, mortgage interest, and points are all tax deductible.

• Public transportation - If you depend on public transportation then you need to check into what options are available in the area you are interested in looking.·
• Aging parents - More and more families are taking care of elderly parents, therefore, you should think about any special needs as you start looking.
• Public safety - What is the crime rate in the preferred area? How close are public services such as police, fire, and hospital? · Parking - Will there be any issues with parking? If the house you’re interested in doesn’t have a garage, is there ample off-street parking?
• Utilities - This is an important finance to look at. Usually the seller can provide copies of the past few months for you to review, giving you an idea of what you would need to budget for.
• New communities - If the area you want is in an entire new community, what recreational amenities are offered? Is there a clubhouse? Pool? Playground? Exercise facilities?
• Property taxes - Some tax rules provide special benefits for veterans, elderly citizens, and even long-time residents. You should inquire what these benefits are and whom they cover.  Property Tax Estimator | Click here

• Establish good credit habits and cleanup any unfavorable reports.
• You should start saving for the down payment, closing costs, and extra for any hidden expenses. Don’t forget about utilities, moving expenses, and items needed for the home.
• Research and read. Go to your local library and read up on as much as possible about financial management and home buying.
• Start looking at various areas where you might be interested in living. Go to some open houses and do some comparison-shopping.
• Meet with a reputable real estate agent and start the preliminary process.

Click here to search all Ann Arbor area Michigan homes
and condos with pictures and tours - FREE!

Looking for More Listings in Ann Arbor,  Michigan? | Click here
           Please visit our website for a complimentary MLS search

 

10/4 -Kick-A-Thon-
Time: 10:00 AM - 4:00 PM
Category: Village of Dexter - Parks Commission
Details: Kick A Thon to raise money for St Jude’s Children’s Hospital
Location: Monument Park
830 Main Street, Dexter, MI 48130
Contact Information:
Patricia Birchmeier
734-424-0688
dexterkarate@sbcglobal.net

10/6 -Site Plan Submittal Deadline-
Time: 4:00 PM
Category: Village of Dexter - Planning Commission
Recurrence: Occurs the First Monday of every month
Details: Site Plan submittal is required for next months meeting
Location: Village Offices 
8123 Main Street, Dexter, MI 48130
Directions: Second Floor of National City Bank
Contact Information:
Allison Bishop
Community Development Manager/Zoning
734-426-8303
amenard@villageofdexter.org
 
10/9 -DDA Regular Meeting-
Time: 7:30 PM - 10:00 PM
Category: Downtown Development Authority - Board Meeting
Recurrence: Occurs the Second Thursday of every month
Details: DDA Meeting
Location: Senior Center
7720 Dexter-Ann Arbor Street, Dexter, MI 48130

10/11 -Dexter Chamber’s Apple Daze-
Time: 11:00 AM - 5:00 PM
Category: Chamber of Commerce - Apple Daze
Details: Monument Park will be filled with the excitement of fall
             with games, petting farm and hay rides to the Cider Mill.
             Of course, there will be apples and the pie eating contest.
             This year the Air National Guard Band will be perfoming in
             the Gazebo.
Location: Monument Park
830 Main Street, Dexter, MI 48130

10/16 -Townhall Meeting-
Time: 7:00 PM - 9:00 PM
Category: Village of Dexter - Village Council
Details:  Village Facilities will be the focus discussion, other questions/
               comments will also be addressed by the ouncil.
Location: Dexter Senior Center 
7720 Dexter-Ann Arbor Street, Dexter, MI 48130
Contact Information:
Donna Dettling
Village Manager
734-426-8303
deureste@villageofdexter.org

10/21 -Parks Commision Meeting-
Time: 7:00 PM - 9:00 PM
Category: Village of Dexter - Parks Commission
Recurrence: Occurs the Third Tuesday of every month
Details: Regaular Parks Commission meeting
Location: Senior Center
7720 Dexter-Ann Arbor Street, Dexter, MI 48130

 

 

Get ready to visit Jenny’s Market on the corner of Island Lake Road and Dexter Pinckney in Dexter, MI to partake in the hay bale maze where the kids can get lost and then enjoy the animal petting area. You can purchase fresh produce, apples, pumpkins, pies and jams or go for a scenic hayride. Pictured below you will see the best part of fall weather…ushering in our bountiful season.

Hours: 8:00 pm

Cost: $7 in advance, $9 at the door

Hours: 10am-3pm

Cost: Free

Hours: 8:00 pm
Cost: $7 in advance, $9 at the door

Hours: 11 a.m. - 5 p.m.

Cost: Free

Hours: 5:00 p.m.

Cost: Free, donations appreciated.

Hours: Doors open 5:30pm -6:00pm-9:30pm

Cost: $20.00

Hours: 10am-5pm

Cost: Free

Hours: 5pm-7pm

Cost: Free

Hours: Tables & Tea Display 11am-6pm, Lunch 11:30am-1:30pm or 3:30pm-5:30pm

Cost: Tables and Tea Display Tickets $15, Lunch $25, Both $37

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10/31/2008

Main Street Area Association is sponsoring a “Treat Parade” in downtown Ann Arbor. Stroll with your little costumed characters on our sidewalks for treats! Just look for the pumpkin flyer in the windows and balloons flying at the doors on Main, Liberty, and Washington!!

Downtown Ann Arbor Main St. and Washington St. Ann Arbor, MI 48104 Map/Driving Directions

Phone: (734) 668-7112 For more information, click here E-mail: ellie@mainstreetannarbor.org

Hours: 11 a.m. - 5 p.m.
Cost: free

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10/16/2008 - 10/25/2008 (Thursday, Friday, Saturday, Sunday)

Eight friends, one extraordinary year. UM is one of the first companies to present this Broadway phenomenon. Thursday, Oct. 16th and 23rd @7:30PM. Friday, Oct. 17th and 24th @8PM, Saturday, Oct. 18th and 25th @8PM, and Sunday, Oct.19th @2pm.

Lydia Mendelssohn Theatre 911 North University Ann Arbor, MI  Map/Driving Directions

Phone: (734) 763-3333 For more information, click here E-mail: kmtupac@umich.edu

Hours: 2PM, 7:30PM, 8PM
Cost: $18, $24

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Above was just a sampling of what is happening in our community in October.  There were over 90 different things to do in the Ann Arbor area this month.  There are many events for adults, however, October is a GREAT month for fun things to do with the kids.  Have a good time!