Equity, which I refer to as wealth in the house, is the difference between the value of your house at any given time and the balance of any outstanding liabilities, such as a 1st mortgage, equity line of credit, etc… attached to the house at that same time. For example, if your house is worth $350,000 and the current Read More >
What Drives Real Estate Values?
Posted on: 03.10.15
Your house is part of a general housing market. If the market as a whole is rising or falling, it may influence the value of your house in ways over which you may have little control. However, ALL real estate is local. The value of a house in San Diego is not affected by the number of foreclosures in Florida or the Read More >
Is Your House a Good Place to Park Your Wealth? Is it Tax Favorable?
Posted on: 02.17.15
Is your wealth in the house (equity) receiving favorable tax treatment? To answer that question you must first understand what we mean by favorable tax treatment. Let’s define tax treatment as the method of taxation the principal and/or growth could potentially be subject to. Understanding the tax treatment of an Read More >
Is Your House a Good Place to Park Your Wealth? Is it Earning a Return?
Posted on: 02.10.15
Is the wealth in your house (equity) earning a return? To answer that question you must first understand what we mean by return. Let’s define return as the interest or growth you receive on money you invest. Do you know the actual return on the wealth in your house? Many people believe the return on the wealth in their Read More >
Is Your House a Good Place to Park Your Money? Is It Liquid?
Posted on: 02.03.15
Is your wealth in the house (equity) liquid? Is it accessible? To answer that question you must first understand what we mean by liquid. Let’s define liquidity as the speed and ease with which you may convert your wealth to cash. This is an important distinction because typically when a homeowner needs to access the Read More >
Is Your House a Good Place to Park Your Wealth?
Posted on: 01.20.15
The most basic purpose of a house is to provide a place to meet our physical needs for safety and shelter and our social needs of family and community. We believe most people would agree that the house serves each of these purposes quite well. However, many people use the house in a way that it was not intended or Read More >