Here’s What Happens to Your Data After You Die???

As I was checking my email I came across this article and thought I would share it – sorry it is a bit morbid, but in this day in age – the digital age – there is more to our legacy than just a last will and testament.  I thought this would be good for individuals and families planning ahead and for those handling estates.  I wish you all the best in health in life. – SC

Here’s What Happens to Your Data After You Die???

A couple of years ago. I logged on to one of my many social network accounts and encountered a familiar face under the People You May Know section: Emru Townsend.

Emru was indeed someone I knew. A talented writer, a good friend, and a true mensch, beloved by many. He was also dead. He had succumbed to leukemia a few years earlier at the age of 39.

Yet there he was, smiling at me just like he did in life. But it wasn’t just a social media account that survived Emru. There’s his personal blog, where he recounted in sometimes-painful detail his battle against cancer, and his professional one, featuring some of the hundreds of articles he wrote on technology and animation. There’s his Flickr account, featuring photos of him in the hospital. There’s the site his family set up in an effort to find a stem cell donor, which ultimately proved unsuccessful. Today, nearly seven six years to the day of Emru’s passing, he still receives email at his pobox.com account, maintained by his widow, Vicky.

In addition to leaving a mark on everyone he met, Emru also left a footprint on the Internet, which his family struggled to deal with because they did not have access to all of his accounts.

This is a problem all of us on the Internet will encounter eventually, whether we want to think about it or not.

What can go wrong? Lots. Your loved one may have died leaving photos and videos behind that you can’t get to. He may have locked essential financial or other information away with passwords and not left those with you. She may have online financial accounts with money or credits leftover, or social media accounts that continue to generate painful reminders of her absence.

And, each year, the personal information of more than 2.5 million dead people is abused by identity thieves, according to ID Analytics.

Data of the dead
So you want to deal with this now, before you die and leave your family a mess of locked-down digital assets. There are three key things you need to do, says Evan Carroll, co-author of Your Digital Afterlife.

  1. Make an inventory of all your digital assets. That includes the documents on your computer, the photos on your phone, any data stored on thumb drives or backup disks, and every online account, including the ones you no longer use. It’s a big job, but you don’t have to do it all at once, Carroll says. Start with the most important things and work your way down the list. Odds are your primary email account will be number one, since that’s typically where online accounts send password resets. Keep reading for advice on where to store this data.
  2. Figure out what you want to happen to all of this stuff after you’re gone. Do you want your family to have access to all your emails? How about photos? Videos and other material you’ve downloaded? There may be some things you don’t want your loved ones to see. Decide now, and make your wishes known to those you care about.
  3. Assign someone to be your digital executor. Be explicit in your will about what you want to happen to your assets. Don’t assume your survivors automatically have a right to it all, because the law varies greatly from state to state, Carroll says. On his blog, The Digital Beyond, he offers some sample power-of-attorney language to include in your will.

And if like more than half of all Americans you don’t have a will, it’s time to whip one up. Will-making software starts around $30, and some extremely simple last-will-and-testament templates are available online for free.

Things to do on Google when you’re dead
You also want to take a look at your online accounts. Of all the major online service providers, only Google lets you plan for the inevitable ahead of time. Using the innocuously named “Inactive Account Manager,” you can designate a beneficiary who will inherit access to any or all of your Google accounts after a specified period of inactivity (the default is three months).

The beneficiary will then have an additional three months to download your data before it gets pulled offline for good. You can even set up an auto-responder from the grave, so to speak, to alert emailers of your passing.

Facebook is probably the next best at this, though your options are more limited. Once a family member has passed, you can ask the network to either delete the account or “memorialize” it, essentially freezing it in time but removing it from features like birthday reminders or People You May Know. You’ll have to provide proof of death via certificate or a published obituary, however. And if you want to download content from the account, you’ll need to obtain a court order.

As for the other main social accounts, some allow you to request that a deceased person’s account be closed, once you provide proof of their demise. Others are totally silent on the matter. LinkedIn makes it pretty easy to delete a dead member’s profile; you can fill out a DocuSign form, digitally sign it, and email it in. There’s no way to preserve any blog posts or other material your loved one has shared, however.

You can ask Twitter to close the account of a deceased family member, but you’ll have to mail it paper copies of your ID, the death certificate, a copy of the obituary (if you have one), and proof that the account actually belongs to the decedent if his Twitter handle doesn’t match his legal name. If you want to remove images of your loved one posted by others, you can request that by emailing privacy@twitter.com (but Twitter makes no guarantees it will honor every request).

Sadly, Yahoo’s death policy is rather stark. It will delete the account upon request and presentation of the death certificate. There are no options to download your loved one’s email, blog posts, or photos, nor can you create a memorial. According to Yahoo’s official policy statement, this is an effort to honor the original privacy choices of the deceased.

Still, that’s better than Amazon or Apple, which offer no way to officially close an account post mortem. (An Amazon spokesperson says you can close the account of a deceased family member by contacting Amazon customer support.) Worse, you can’t bequeath any of the music, videos, ebooks, and other digital materials a deceased customer paid for. That’s because you don’t actually buy these things, you license them; your right to them expires when you do.

Grave matters
As a practical matter, the best way to ensure that your digital assets pass into the right hands is to share them and your login data before you shuffle off this mortal coil.

(This may violate some terms of service agreements, but why should you care? You’ll be dead.)

Don’t insert login information into your will, advises Carroll; those documents usually become part of the public record, allowing any stranger to gain access to your accounts. Instead, indicate a secure place where your digital executor can find them, like a safe deposit box or an encrypted file in a service like SecureSafe.

PasswordBox’s Legacy Locker offers another option. This password manager lets you designate a “digital heir” who will inherit access to your Password Box account — and, by extension, all the logins contained in it. It can also store your credit card, driver’s license, and membership card data and let you securely share your logins before you kick. The advantage here is that if your passwords change or you add accounts, your information is always up to date.

What happens if PasswordBox goes belly-up before you do? The company has secured enough funding and cloud storage to maintain users’ account data “for years to come,” a company spokesperson says.

Whatever you choose to do, start doing it now. Because you never know if your next log-in will be your last.

“Death is the final log off,” Carroll says. “You don’t have the opportunity to go back and fix it.”

 

I read this article at:  https://www.yahoo.com/tech/heres-what-happens-to-your-data-after-you-die-101447039569.html?soc_src=mags

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The Caton Team – Susan & Sabrina – A Family of Realtors

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COUNTY BANS SMOKING IN YOUR OWN HOME

COUNTY BANS SMOKING IN YOUR OWN HOME

Paul Stewart, SAMCAR Governemnt Affairs Director

The San Mateo County Board of Supervisors has voted 4-1 to enact a second hand smoking ordinance that, among requirements, bans smoking in ownership units. Only Supervisor Don Horsley stood up for private property rights. Irrespective of one’s stance on smoking, imagine having to tell a buyer who just paid $862,000 for a townhome—which for purposes of illustration is 20% less than the median price of a home in San Mateo County—that they are barred from smoking (or performing any other legally allowed activity) in their own home? Now you will.

What was exempted:

  • Detached, single-family residences.
  • Detached, single-family homes with a detached or attached in-law or second units (approved pursuant to code)

What was NOT exempted:

  • Townhomes – whether owned or rental.
  • Condominiums – whether owned or rental.
  • Apartments

The ordinance will be enforced by the San Mateo County Sheriff’s Department and the San Mateo County Health Department and is designed as a ‘complaint driven’ regulation (i.e., incidents of people smoking in their own home will be investigated only when neighbors complain; smokers will supposedly not be under surveillance by the Sheriff’s Department or the Health Department.)

How the voting emerged:

  • Supervisor Carole Groom has supported the ordinance as proposed since its introduction. She made the motion to approve.
  • Supervisor Tissier noted that when she met with SAMCAR, she noted the key was consistency in the application of the regulations… and that she prefers consistency “the other way and supports adoption of the ordinance as presented.” (She also seconded Groom’s motion.)
  • Supervisor Slocum stated the notion of private property rights is important but “I am swayed by the testimony of the health hazards (of second hand smoke) and can support the ordinance as proposed.”
  • Supervisor Pine said he favors the ordinance as proposed but was struggling with the ownership issue. He added that owners (townhomes & condos) who are troubled by smokers cannot move as easily as renters, so such activity “actually has impact outside your private property.”

Gratitude on this issue goes to President-Elect Michael Verdone, Peninsula Government Affairs Committee Chair Michelle Velez, SAMCAR stalwart Tom Thompson and TCAA GAD Rhovy Lyn Antonio, who were present at SAMCAR’s meetings with the Supervisors on the prohibition of smoking in a person’s own home.

 

I read this article at: https://www.samcar.org/posts/county-bans-smoking-in-your-own-home-264.htm

 

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Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE#70000218/ 01499008

 

What Does Name “Drysdale” Mean

Our CEO announced our new DBA will be Berkshire Hathaway HomeServices | Drysdale Properties – and we all wondered what it meant.  Well, now that I know the meaning – I am proud be to a Drysdale.  The meaning truly falls in line with The Caton Team and our business ethics.

 

What Does Name “Drysdale” Mean

 

You are strong in material matters, determined and stubborn. You have good business ability. You are a good worker, steady and practical, a builder who takes responsibility well. These qualities may bring you a position of authority and power. You are a doer, down-to-earth, serious-minded, reliable, and self-disciplined; have good power of concentration. You are inventive, intuitive and extremely methodical. Since your will is so strong, you are hard to convince. You also dislike advice. You love beauty and philosophy, and you desire achievement. You have a strong need for freedom – physical, mental and spiritual.

You are very intuitive. You have a reservoir of inspired wisdom combined with inherited analytical ability, which could reward you through expressions of spiritual leadership, business analysis, marketing, artistic visions, and scientific research. Operating on spiritual side of your individuality can bring you to the great heights, and drop you off if you neglect your spiritual identity. You are always looking for an opportunity to investigate the unknown, to use and show your mental abilities, to find the purpose and meaning of life. You want to grow wise and to understand people and things. You need privacy to replenish your energy. You have a unique way of thinking, intuitive, reflective, absorbing.

I read this at: http://www.sevenreflections.com/name/drysdale

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The Caton Team – Susan & Sabrina – A Family of Realtors

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE#70000218/ 01499008

 

Low Mortgage Rates Are Lingering

Low Mortgage Rates Are Lingering

 

The average percentage rates for fixed-rate mortgages inched up slightly this week, but continue to hover near yearly lows.

Freddie Mac reports the following national averages with mortgage rates for the week ending Sept. 11:

  • 30-year fixed-rate mortgages: averaged 4.12 percent, with an average 0.5 point, up slightly from last week’s 4.10 percent average. Last year at this time, 30-year fixed-rate mortgages averaged 4.57 percent.
  • 15-year fixed-rate mortgages: averaged 3.26 percent, with an average 0.5, rising from last week’s 3.24 percent average. A year ago, 15-year fixed-rate mortgages averaged 3.59 percent.
  • 5-year hybrid adjustable-rate mortgages: averaged 2.99 percent, with an average 0.5 point, rising from last week’s 2.97 percent average. Last year at this time, 5-year ARMs averaged 3.22 percent.

1-year ARMs: averaged 2.45 percent, with an average 0.4 point, rising from last week’s 2.40 percent average. A year ago, 1-year ARMs averaged 2.67 percent.

 

My 2 cents – Talk around the water cooler is interest rates will rise since the market has recovered. So if you’re thinking about investing in real estate – the Spring/Summer rush has cooled and Autumn is a great time to find investments with not as much competition. If a property is for sale over the holidays it needs to sell – and we’ve assisted several clients buy homes during the off season for a great price compared to earlier this year.

 

I read this article at: http://realtormag.realtor.org/daily-news/2014/09/12/low-mortgage-rates-are-lingering?om_rid=AACmlZ&om_mid=_BUEz4EB88ZKvTn&om_ntype=RMODaily

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The Caton Team – Susan & Sabrina – A Family of Realtors

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE#70000218/ Office BRE# 0149900

 

Law Requiring Water-Conserving Plumbing Fixtures is in Effect

Law Requiring Water-Conserving Plumbing Fixtures is in Effect

Just a re-reminder, state law calling for the replacement of older plumbing fixtures with water-conserving ones went into effect on January 1 of 2014. The law says that when improving a property (based on certain standards and thresholds), new water-conserving toilets, showerheads, faucets and urinals must be installed before the local building department will issue a certificate of final completion and occupancy. The plumbing fixtures that will need to be replaced are: any toilet manufactured to use more than 1.6 gallons per flush; any showerhead manufactured to have a flow capacity of more than 2.5 gallons of water per minute; any interior faucet that emits more than 2.2 gallons of water per minute and any urinal manufactured to use more than one gallon of water per flush. Homeowners with questions about their individual fixtures are urged to contact their city or county building department.

 

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Please enjoy my personal journey through homeownership at:

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Thanks for reading – Sabrina

The Caton Team – Susan & Sabrina – A Family of Realtors

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE#70000218/ Office BRE# 0149900

Financial Benefits of Home Ownership – Great Article I had to share…

Great article I was very excited to share. Sometimes I see buyers pass an opportunity since the cost of owning is higher than renting. However, with the rental prices in the Silicon Valley going up – it may be time to consider a more secure future by buying your own home. The Caton Team is always here to answer your questions. 650-568-5522 or info@TheCatonTeam.com  – Enjoy this article.

 

Freshen Up On The 7 Financial Benefits of Home Ownership This Tax Season

The financial benefits of homeownership are evident year round, but particularly around tax time – they seem to jump off the page. Let’s examine how homeownership makes “cents” –  from the tax benefits, to good old fashioned financial stability.

1. Homeownership Builds Wealth Over Time

We were always taught growing up that owning a home is a financially savvy move. Our parents knew it, and their parents knew it. But this past decade of real estate turbulence has shaken everyone’s confidence in homeownership. That is why it’s so important that we discuss this again now that we’re in a ‘new market.’ Homeownership can be a very savvy financial move – but only if people buy homes they can actually afford. In 2014, this idea of sticking to a home you can afford to gradually build wealth is a “rule” that just happens to be new and old at the same time.

2. You Build Equity Every Month

Your equity in your home is the amount of money you can sell it for minus what you still owe on it. Every month you make a mortgage payment, and every month a portion of what you pay reduces the amount you owe.  That reduction of your mortgage every month increases your equity. That is especially true now with the elimination of risky mortgages like negative amortized and interest-only loans – thanks to the new “Qualified Mortgage” rules. The way mortgages work is that the principal portion of your payment increases slightly every month year after year. It’s lowest on your first payment and highest on your last payment. Thus, as the months and years go by, your equity grows!

3. You Reap Mortgage Tax Deduction Benefits

▪   Mortgage deduction: The tax code allows homeowners to deduct the mortgage interest from their tax obligations. For many people this is a huge deduction, since interest payments can be the largest component of your mortgage payment in the early years of owning a home.

▪   Some closing cost deductions: The first year you buy your home, you are able to claim the points (also called origination fees) on your loan, no matter whether they are paid by you or the seller. And because origination fees of 1 percent or more are common, the savings are considerable.

▪   Property tax is deductible: Real estate property taxes paid on your primary residence and a vacation home are fully deductible for income tax purposes.

4. Tax Deductions on Home Equity Lines

In addition to your mortgage interest, you can deduct the interest you pay on a home equity loan (or line of credit). This allows you to shift your credit card debts to your home equity loan, pay a lower interest rate than the horrendously exorbitant credit card interest rates, and get a deduction on the interest as well.

5. You Get a Capital Gains Exclusion

If you buy a home to live in as your primary residence for more than two years then you will qualify. When you sell, you can keep profits up to $250,000 if you are single, or $500,000 if you are married, and not owe any capital gains taxes. Now, it may sound ridiculous that your house could be worth more than when you purchased it after these past several years of falling house prices. However, if you purchased your home anytime prior to 2003, chances are it has appreciated in value and this tax benefit will come in very handy.

6. A Mortgage Is Like a Forced Savings Plan

Paying that mortgage every month and reducing the amount of your principal is like a forced savings plan. Each month you are building up more valuable equity in your home. In a sense, you are being forced to save—and that’s a good thing.

7. Long Term, Buying Is Cheaper than Renting

In the first few years, it may be cheaper to rent. But over time, as the interest portion of your mortgage payment decreases, the interest that you pay will eventually be lower than the rent you would have been paying. But more importantly, you are not throwing away all that money on rent. You gotta live someplace, so instead of paying off your landlord’s home or building, pay off your own!

As always, you must look very hard at your personal situation before making the big decision to buy. Stay tuned to Trulia Tips as we explore more on this topic.

ALL: What’s your favorite benefit of home ownership?

I read this article at: http://www.trulia.com/tips/2014/02/7-financial-benefits-of-home-ownership/?ecampaign=cnews&eurl=www.trulia.com%2Ftips%2F2014%2F02%2F7-financial-benefits-of-home-ownership%2F

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Please enjoy my personal journey through homeownership at:

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Thanks for reading – Sabrina

The Caton Team – Susan & Sabrina – A Family of Realtors

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE#70000218/ Office BRE# 0149900

San Carlos – The City of Good Living – Just Got Easier to Find Parking

San Carlos – The City of Good Living – Just Got Easier to Find Parking

Very cool news from the City of San Carlos – they will be utilizing an app called Parker for smart phone users to find real-time available parking spots near their favorite restaurants and shops in San Carlos.  This should truly help us all find that one spot so we can jump out and enjoy food and fun in San Carlos.  For more information please visit the City of San Carlos website below.

I read this article at: http://www.cityofsancarlos.org/news/displaynews.asp?NewsID=1049&TargetID=21

And

http://www.cityofsancarlos.org/civica/press/display.asp?layout=1&Entry=657

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Please enjoy my personal journey through homeownership at:

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Thanks for reading – Sabrina

The Caton Team – Susan & Sabrina – A Family of Realtors

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE#70000218/ 01499008

Roaring Rentals…

When Susan read this article one morning over coffee – I just about dropped my cup. As full time Realtors we are well aware of the hot rental market – having just rented a unit out for a client in under a week. However, when I heard this – even I was surprised. Enjoy this article from the SF Chronicle – I enjoy Carolyn Said.

Rents soaring across region

San Francisco rentals were a different world when Chuck Post became a leasing agent – just four years ago.
“In 2009 we were actually discounting rents, offering things like a free month’s rent when you moved in, perhaps throwing in free parking,” he said.
Those days are long gone.
Now as the economy roars back, his listings draw long lines of wannabe tenants, and apartments get snapped up in less than a week.
Rents in San Francisco are escalating at breakneck clips this year, largely driven by an influx of tech workers. Oakland and San Jose likewise are seeing steep run-ups.
San Francisco’s bigger apartment complexes saw average asking rents break the $3,000 mark in the third quarter, hitting a record $3,096 across all size units, according to data service RealFacts. That’s an 11.9 percent bump from the same time last year.
Median asking rents for San Francisco apartments listed on http://www.livelovely.com clocked in at a record $3,398 in the third quarter, up 21 percent from 2012, said apartment-finding company Lovely.
“Rents are rising faster in San Francisco than almost anywhere else in the country,” said Jed Kolko, chief economist with housing service Trulia. “Rising rents are a bigger challenge than rising home prices, especially in a place like San Francisco where buying is out of reach for many middle-class and lower-middle-class people.”
Gabriel Metcalf, executive director of the think-tank San Francisco Planning and Urban Research, said the city is facing a “crisis of affordability.”
“What happens when you let a city get this expensive, is that over time, only the wealthy can live there. You lose everyone else,” he said.
A spike in evictions has spurred protests of gentrification, including one at City Hall on Thursday. Activists say San Francisco must act to maintain a diversity of income levels.
The root cause is simple, Metcalf said: “The growing regional economy coupled with decades of under-building housing.”
San Francisco’s construction boom is helping to increase inventory. But to really make a dent on the housing shortage, Metcalf said, the city would need to deliver 5,000 new housing units a year for quite some time. It’s averaged 1,500 units a year over the past 20 years.
New buildings in Mid-Market and the Mission have a two-faceted impact on rents.
They command a pretty penny, driving up the median and average rental costs.
However, some experts said the new buildings are forcing some older units to drop their prices to compete, thus giving prospective tenants some relief.
“There’s a lot of brand-new Mid-Market stuff with nice amenities and high prices competing for the well-paid tech people,” said Laura Gray, a leasing agent with Paragon Real Estate Group. “The not-brand-new units are left struggling a little bit.”
For instance, she’s listing for $2,900 a one-bedroom at a 6-year-old luxury building near AT&T Park and Caltrain.
“A year ago, this would have rented for $3,500,” she said.
Other agents said that there remain plenty of wallflower apartments, either because they’re in undesirable areas or overpriced.
But that’s cold comfort to the folks engaged in the blood sport of apartment hunting in San Francisco.
Rosie Simeonova and Jay Dillon thought they were prepared when they moved here from Los Angeles last month.
“We knew San Francisco would be expensive, so we upped our budget,” she said. “We knew it would be competitive, so we were very prepared with our renter’s resume, employment confirmation, credit reports, pay stubs, anything you could possible ask for.”
They quickly discovered that their $2,500 limit for a one-bedroom near Dillon’s new job at the University of San Francisco didn’t go far.
“We must have seen over 30 places,” Simeonova said. “We’d go to an open house for a little tiny apartment and there’d be 20 people on the stairway frantically filling out applications. The landlords had no leeway for renters; a lot of times they would just offer 15-minute windows to see places. It was intimidating.”
They got more aggressive. When they spotted an Inner Richmond place that seemed to fit their needs, they called the leasing agent and asked to meet before the open house, offering to sign a lease on the spot. That did the trick.
Lovely said that rents for studio apartments rose the most, with the $2,370 median up 24 percent from last year and 16 percent from the second quarter.
For all sizes of apartment complexes, Oakland clocked in at $1,595, a 15 percent increase, while San Jose was at $2,180, up 13 percent from last year, Lovely said.
For buildings with 50 or more units, RealFacts said Oakland’s average rents of $2,124 in the third quarter were up 10.3 percent from 2012, while in San Jose the $2,015 average was a 9.2 percent bump.
By Carolyn Said

I read this article at: http://www.sfgate.com/realestate/article/Rents-soaring-across-region-4924282.php

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Negotiate Your Best House Buy

Negotiate Your Best House Buy

I love to share articles I find interesting – I’ve added my 2 cents in italics…

Keep your emotions in check and your eyes on the goal, and you’ll pay less when purchasing a home.

Here are six tips for negotiating the best price on a home.

1. Get prequalified for a mortgage

Getting prequalified for a mortgage proves to sellers that you’re serious about buying and capable of affording their home. That will push you to the head of the pack when sellers choose among offers; they’ll go with buyers who are a sure financial bet, not those whose financing could flop.

This is so much the first step towards home ownership – any Realtor worth their salt won’t even take a buyer out until they are pre-approved and understand their budget and constraints.  In the San Francisco Bay Area – don’t bother writing an offer until you have a pre-approval in hand – or proof of cash.

2. Ask questions

Ask your agent for information to help you understand the sellers’ financial position and motivation. Are they facing foreclosure or a short sale? Have they already purchased a home or relocated, which may make them eager to accept a lower price to avoid paying two mortgages? Has the home been on the market for a long time, or was it just listed? Have there been other offers? If so, why did they fall through? The more signs that sellers are eager to sell, the lower your offer can reasonably go.

The Caton Team also finds out the big picture so we can tailor each offer for the best fit.  When faced against multiple offers – information is key and structuring your offer is imperative. 

3. Work back from a final price to determine your initial offer

Know in advance the most you’re willing to pay, and with your agent work back from that number to determine your initial offer, which can set the tone for the entire negotiation. A too-low bid may offend sellers emotionally invested in the sales price; a too-high bid may lead you to spend more than necessary to close the sale. 

Work with your agent to evaluate the sellers’ motivation and comparable home sales to arrive at an initial offer that engages the sellers yet keeps money in your wallet.

The Caton Team will provide a buyer with a Comparative Market Analysis (CMA) when we sit down to write the offer.  We take into account the current state of the market, what homes have sold for in the recent past, what they are going for now, and the amount of competition for each home.  Try to maintain an open mind when writing your offer. 

4. Avoid contingencies

Sellers favor offers that leave little to chance. Keep your bid free of complicated contingencies, such as making the purchase conditional on the sale of your current home. Do keep contingencies for mortgage approval, home inspection, and environmental checks typical in your area, like radon.

Contingencies are what protect the buyer.  Talk closely with your Realtor on which contingencies should stay in and which you can omit to improve your offer.  Each client and offer is different.  That’s why it is so important to work with a Realtor you trust. 

5. Remain unemotional

Buying a home is a business transaction, and treating it that way helps you save money. Consider any movement by the sellers, however slight, a sign of interest, and keep negotiating. 

Each time you make a concession, ask for one in return. If the sellers ask you to boost your price, ask them to contribute to closing costs or pay for a home warranty. If sellers won’t budge, make it clear you’re willing to walk away; they may get nervous and accept your offer.

This strategy works great when you are the ONLY offer.  So much time is wasted by buyers who think they hold the reigns in negotiations.  In the San Francisco Bay Area we have low inventory right now and high demand.  Setting the stage for a Sellers Market. Each listing will entertain multiple offers.  So it is best to write your best offer up front because chances are you will NOT get a counter offer or the chance to change your offer once submitted.  It is imperative you work closely with a Realtor you trust.  Each offer opportunity is unique and will require a new strategy. 

6. Don’t let competition change your plan

Great homes and those competitively priced can draw multiple offers in any market. Don’t let competition propel you to go beyond your predetermined price or agree to concessions—such as waiving an inspection—that aren’t in your best interest.

Great advice.  The Caton Team will not push our clients to do anything they are not comfortable with.  I would rather change our purchasing strategy and shop in a different market or price point than overextend our clients reach just because the housing market is competitive.

Buyers must be aware that they cannot control the market or the volume of competition.  All a buyer can do is educate themselves on the market, understand their budget and their max and shop within their parameters.  Nobody said it would be easy – but The Caton Team does strive for a smooth overall experience. 

By: G. M. Filisko

I read this article at:  http://members.houselogic.com/articles/negotiate-best-house-buy/preview/

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Thanks for reading – Sabrina

4 Tips to Determine How Much Mortgage You Can Afford

I had to share this article – with our Fall Real Estate Market starting now – it’s a good time to think about your budget if you are planning on becoming a home owner!  I find so many buyers thinking about the house they want before they consider the impact of home ownership on their day to day finances.  Taking time now, before you house shop, to put your financial house in order – will help your chances in this competitive market today!  Enjoy – Sabrina

4 Tips to Determine How Much Mortgage You Can Afford

By knowing how much mortgage you can handle, you can ensure that home ownership will fit in your budget.

1. The general rule of mortgage affordability

As a rule of thumb, you can typically afford a home priced two to three times your gross income. If you earn $100,000, you can typically afford a home between $200,000 and $300,000.

To understand how that rule applies to your particular financial situation, prepare a family budget and list all the costs of homeownership, like property taxes, insurance, maintenance, utilities, and community association fees, if applicable, as well as costs specific to your family, such as day care costs.

2. Factor in your downpayment

How much money do you have for a downpayment? The higher your downpayment, the lower your monthly payments will be. If you put down at least 20% of the home’s cost, you may not have to get private mortgage insurance, which costs hundreds each month. That leaves more money for your mortgage payment.

The lower your downpayment, the higher the loan amount you’ll need to qualify for and the higher your monthly mortgage payment.

3. Consider your overall debt

Lenders generally follow the 28/41 rule. Your monthly mortgage payments covering your home loan principal, interest, taxes, and insurance shouldn’t total more than 28% of your gross annual income. Your overall monthly payments for your mortgage plus all your other bills, like car loans, utilities, and credit cards, shouldn’t exceed 41% of your gross annual income.

Here’s how that works. If your gross annual income is $100,000, multiply by 28% and then divide by 12 months to arrive at a monthly mortgage payment of $2,333 or less. Next, check the total of all your monthly bills including your potential mortgage and make sure they don’t top 41%, or $3,416 in our example.

4. Use your rent as a mortgage guide

The tax benefits of homeownership generally allow you to afford a mortgage payment—including taxes and insurance—of about one-third more than your current rent payment without changing your lifestyle. So you can multiply your current rent by 1.33 to arrive at a rough estimate of a mortgage payment.

Here’s an example. If you currently pay $1,500 per month in rent, you should be able to comfortably afford a $2,000 monthly mortgage payment after factoring in the tax benefits of homeownership. 

However, if you’re struggling to keep up with your rent, consider what amount would be comfortable and use that for the calcuation instead.

Also consider whether or not you’ll itemize your deductions. If you take the standard deduction, you can’t also deduct mortgage interest payments. Talking to a tax adviser, or using a tax software program to do a “what if” tax return, can help you see your tax situation more clearly.

By: G. M. Filisko

I read this article at:  http://members.houselogic.com/articles/4-tips-determine-how-much-mortgage-you-can-afford/preview/

Got Questions? – The Caton Team is here to help.

Email Sabrina & Susan at:  Info@TheCatonTeam.com

Call us at: 650-568-5522

Visit our Website at:   http://thecatonteam.com/

Visit us on Facebook:   http://www.facebook.com/pages/Sabrina-Susan-The-Caton-Team-Realtors/294970377834

Yelp us at: http://www.yelp.com/biz/the-caton-team-realtors-sabrina-caton-and-susan-caton-redwood-city

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Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina