The True Cost of NOT Owning Your Home

The True Cost of NOT Owning Your Home

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Owning a home has great financial benefits, yet many continue to rent! Today, let’s look at the financial reasons why owning a home of your own has been a part of the American Dream for as long as America has existed.

Zillow recently reported that:

“In reality, buying or renting a home is an intensely personal decision, with emotional and even financial considerations that go beyond whether to invest in this one (admittedly large) asset. Looking strictly at housing market numbers, there is a concrete point at which buying a home makes more financial sense than renting it.”

Here are 4 Reasons Why Owning Is A Better Financial Decision Than Renting

1. We recently highlighted the top 5 financial benefits of homeownership:

  • Homeownership is a form of forced savings.

  • Homeownership provides tax savings.

  • Homeownership allows you to lock in your monthly housing cost.

  • Buying a home is cheaper than renting.

  • No other investment lets you live inside of it.

2. Studies have shown that a homeowner’s net worth is 44x greater than that of a renter.

3. Just a few months ago, we explained that a family that purchased an average-priced home at the beginning of 2017 could build more than $48,000 in family wealth over the next five years.

4. Some argue that renting eliminates the cost of taxes and home repairs, but every potential renter must realize that all the expenses the landlord incurs are already baked into the rent paymentalong with a profit margin!!

Owning a home has always been, and will always be, better from a financial standpoint than renting.

Valentine's Day Events - Rock Hill

Valentine's Day Events - Rock Hill

If you’re looking for the perfect Valentine’s Day/date activity, Rock Hill has got a lot of great options!


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Join us on Monday, February 11th at 6:30pm for a four course beer dinner. Hear from the farmers, chefs and brewers as they walk you through this incredible locally sourced dinner paired with LRB beers!

This is a private event, (brewpub is closed on Mondays), so you'll get the chance to ask questions, visit with the brewing team and local farmers, and encourage the chefs to share their culinary secrets.

Tickets are $75 per person and can be purchased online (ticket link below) or in person at the brewpub.

Please note: due to the nature of this special event, we will not be able to offer dietary accommodations and menu be revealed upon arrival. 21+only.


Valentine's Day Carriage Rides

Valentine's Day Carriage Rides offered in Rock Hill!! Enjoy a beautiful horse-drawn carriage ride down the gorgeous streets of Old Town Rock Hill. These evening excursions are perfect for any lovebird!

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Thursday February 14th 5 to 10 pm


Friday February 15th 5 to 10 pm


Saturday February 16th 3 to 9 pm

$80 for private 40 minute carriage rides. Bring your beverages and chocolate and enjoy on your own private ride (up to 4 riders).

Under 3 years old can sit on laps for free. Over 4 years old must sit in a seat and have a ticket.

 

Pick up will be at:

The Getty’s Center
201 E. Main Street
Rock Hill, SC

 

Drop off will be at:
Fountain Park
300 E. Main Street
Rock Hill, SC


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York County Animal Shelter is partnering with Dust Off Brewing Co. to present Meet Your Match on February 13th 6-8 PM.

Come to Dust Off and meet sweet fur babies who are also looking for true love. Spend time with each pet and talk to their escort about their likes and dislikes. Who knows? You might just find your true love in a furry package.


Couples Night Out at The Warehouses on White Street

Join us this Valentines day for an delectable journey through each of the Warehouses on White street! Events start at 4pm, 5:15pm, and 6:30pm.

Spots are limited. Tickets are just $50 per couple. Register through the links below, or in-store.

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--- 4PM REGISTRATION
https://www.knowledgeperk.com/events/valentines-day-couple-night-out
--- 5:15PM REGISTRATION
https://www.knowledgeperk.com/events/valentines-day-couples-night-out-5-15pm
--- 6:30PM REGISTRATION
https://www.knowledgeperk.com/events/valentines-day-couples-night-out-6-30pm

We'll start with a professional tasting of 100% Jamaica Blue Mountain coffee - one of the most expensive, sought-after coffees in the world - hosted by Knowledge Perk. You'll even leave with an eight-ounce bag of Disrupt, KP's very own certified Jamaica Blue Mountain Blend.

Then, head to the The Mercantile by Copper Dwelling & Design to shop and explore, and pick up your complimentary fresh, custom-made bouquet.

Finally, top off the experience with two Red Velvet craft beers from Dust Off Brewing Co.

Come join us for a fantastic evening!



Wednesday Night Ride

Wednesday nights have never been better! Join us for a social group bike ride around Fort Mill every Wednesday evening at 7pm.

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-We will be doing a 10 mile loop at a social pace.
-This ride has hills but can be dominated with a single speed cruiser.
-Meet up behind the brewery at 6:45pm and roll out at 7pm.
-All paces welcome, no rider will be left behind!
-Helmets and lights are required.
-There will be beer and house wine specials for bikers post ride.

We'll see everyone there!


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Main Street Bottle Shop is welcoming Slow Play Brewing to the tap lineup on Tuesday, February 12th.

We will be featuring 7 of their brews so come out and support local! #SCBeer

Copper Dwelling + Design's 2018 Year in Review

Copper Dwelling + Design's 2018 Year in Review

2018 has come to a close, and we’re so excited to see the changes 2019 will bring. There has been so much growth and development here at Copper Dwelling + Design in the past year alone. We wanted to take a moment to reflect on it all.

Without our family and friends, we certainly couldn’t have done it all. Thank you to everyone who has been apart of our 2018!

Check out our 2018 year in review below:

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Copper Dwelling + Design: Interior Design

This year our Brittany and the interior design team finished 24 projects!

Copper Dwelling + Design: Real Estate

Michael sold 27 properties in the Rock Hill/Charlotte area.

The Mercantile

Brittany & Michael opened The Mercantile in downtown Rock Hill, SC!

We’re so proud of what we’ve accomplished this past year, and we couldn’t have done it without your help! Cheers to an amazing 2019!!

2019 Housing Forecast

I am excited to see what 2019 brings for our buyers & sellers. This report from Realtor.com gives some fantastic insights into the 2019 Real Estate market. Anyone interested in buying and/or selling their home should not delay in contact me today!
— Michael Kelly
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Forecast Highlights

  • Home price growth will continue to slow, with a forecasted increase of 2.2 percent

  • Inventory increases will remain moderate with less than a 7 percent increase

  • High-priced markets will buck the trend, with double-digit inventory gains

  • Millennials will account for 45 percent of mortgages in 2019 vs. 17 percent for Boomers

  • New tax plan will be good for renters, mixed for homeowners

Realtor.com® Forecast for Key Housing Indicators

“Housing IndicatorRealtor.com 2019 Forecast

  • Mortgage Rates Average 5.3% throughout the year, reaching 5.5% (30 year fixed) by year end

  • Existing Home Median Price Appreciation Up 2.2%

  • Existing Home SalesDown 2%

  • Single-Family Home Housing StartsUp 8%

  • Homeownership Rate 64.6%

Inventory will continue to increase next year, but unless there is a major shift in the economic trajectory, we don’t expect a buyer’s market on the horizon within the next five years. Unfortunately for buyers, it’s only going to get more costly to buy in 2019, especially the most-demanded entry level real estate. To be successful, buyers should think through how they’ll adapt to higher rates and prices.

What will 2019 be like for buyers?

Buying a home will be an even more expensive undertaking in 2019 as mortgage rates and home prices increase. Buyers who are able to stay in the market will find less competition as more buyers are priced out, but feel an increased sense of urgency to close before it gets even more expensive. Their largest struggle next year will be reconciling wants, needs and budget versus the heavy competition of 2018. 

Although the number of homes for sale is increasing, which is an improvement for buyers, the majority of new inventory is focused in the mid-to higher-end price tier, not entry-level. Rising mortgage rates and prices will keep a lot of new inventory out of their budget and make it especially tough for first time home buyers.

What will 2019 be like for sellers?

Although it remains a seller’s market, sellers will need to be mindful of their increasing competition and shouldn’t necessarily expect to name their price and get it in full — a change from the past few years. Above-median priced sellers, may find it will take longer to sell and require offering incentives, such as price cuts or other offerings.

With less demand in the market, there will be fewer bidding wars and multiple offers. However, with inventory expected to remain limited in most markets, sellers who price competitively can still walk away with a handsome amount of profit, but not the price jumps observed in previous years.

Four Housing Trends in 2019

1) Modest inventory gains continue; high-end inventory growth spreads

Inventory hit the lowest level in recorded history last winter, but finally bottomed out and reached positive territory in October. National inventory increases will remain low in 2019 at less than 7 percent. In the majority of markets, the number of homes being put on the market or newly constructed has increased slightly, while the pace of sales has slowed slightly, which has helped stop the inventory decline. But the inventory increases or slowing price increases necessary for a more widespread sales gain are not forecasted to happen in 2019. While the situation is not getting worse for buyers, it’s also not improving notably in the majority of markets.

High-priced markets are a different story. The majority of the inventory gains have been in upscale homes in high-growth markets, which suggests higher prices are incentivizing sellers. Next year, realtor.com® forecasts more high-end inventory growth in major metros with the largest increases expected in: San Jose-Sunnyvale-Santa Clara, Calif.; Seattle-Tacoma- Bellevue, Wash.; Worcester, Mass.-Conn.; Boston-Cambridge-Newton, Mass.-N.H.; and Nashville-Davidson– Murfreesboro–Franklin, Tenn. all of which could see double digit gains in inventory in 2019.

2) Soft home sales continue

After the best sales year in a decade in 2017, home sales are on track for a mild year-over-year decline in 2018, which is likely to extend into 2019 with a 2.0 percent decline. Although long-term desire to own a home remains strong, especially among younger Gen-z and millennials, the market challenges that make owning a home difficult continue to keep out first-time buyers, locking them out not only of their home, but also of the wealth by equity generation that owning provides.

3) Millennials purchase the most homes

Millennials will continue to make up the largest segment of buyers next year, accounting for 45 percent of mortgages, compared to 17 percent of Boomers, and 37 percent of Gen Xers. While first-time buyers will struggle next year, older millennial move-up buyers will have more options in the mid-to upper-tier price point and will make up the majority of millennials who close in 2019.

Looking forward, 2020 is expected to be the peak millennial home buying year with the largest cohort of millennials turning 30 years old. Millennials are also likely to make up the largest share of home buyers for the next decade as their housing needs adjust over time.

4) Tax plan remains a wild card for housing

In April 2019, taxpayers will go through the income tax process for the first time since the new tax plan. For most renters, the results will be good: lower rates and a higher standard deduction should amount to lower tax bills. For homeowners, it’s a mixed bag. Some will benefit from lower rates and a higher standard deduction, but many others will find limited itemized deductions and personal exemptions mean a higher tax bill.

Despite the fact that 2017 home sales were the highest they’ve been in over a decade, sales in 2018 started to decline immediately following the tax plan. While many factors influence home sales, it could be the case that without homeownership incentives some renters are holding off on buying. How the market will react in 2019 remains a wildcard for housing.”


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Copper Dwelling + Design’s Newest Team Member, Angel

Copper Dwelling + Design’s Newest Team Member, Angel

Rock Hill, SC

We’re excited to welcome Angelique Overton to the Copper Dwelling + Design—design team.

Angelique began her design journey in 2005, working in kitchen design and then lighting stores to sharpen her knowledge of construction, decore, and lighting. Angelique’s most recent work experience combined her work experience to design custom made cabnietry locally.

She has lived in Fort Mill, SC for two years and looks forward to establishing her family here for many years to come.

“I am so excited to start this new chapter in my life in the interior design business.” -Angelique

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This Is How The Government Shutdown Is Impacting Your Home Loan

This Is How The Government Shutdown Is Impacting Your Home Loan

Government Shutdown 2018-2019

Thanks to Congress and the other powers-that-be, December 2018’s budget resolution could not be resolved, which means that the government’s spending authority expired at midnight on December 21, 2018. As a home buyer, the government shut down may have you worried, and rightfully so. The government shutdown is impacting home loans in a few key ways.

 
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The National Association of Realtors® has the following to say regarding the government shutdown:

Flood Insurance 

An extension of the National Flood Insurance Program (NFIP) is currently attached to the CR. Without an extension, NFIP cannot sell flood insurance policies after midnight on December 21. Existing policies will not be affected until 30 days after their renewal date. Homebuyers will be able to assume existing policies and claims will continue to be processed and paid as usual. For more information, click here to read NAR’s answers to frequently asked questions about NFIP. 

Federal Housing Administration

HUD’s Contingency Plan states that FHA will endorse new loans in the Single Family Mortgage Loan Program except for HECM loans. It would not make new commitments in the Multi-family Program during the shutdown. FHA will maintain operational activities including paying claims and collecting premiums. FHA Contractors managing the REO/HUD Homes portfolio can continue to operate. Some delays with FHA processing may occur due to short staffing (click here for more info).

Internal Revenue Service 

The IRS will close and suspend the processing of all forms, including requests for tax return transcripts (Form 4506T). While FHA and VA do not require these transcripts, they are required by many lenders for many kinds of loans, including FHA and VA, so delays can be expected if the shutdown is protracted. Some loan originators may adopt revised policies during the shutdown, such as allowing for processing and closings with income verification to follow, as long as the borrower has signed a Form 4506T requesting IRS tax transcripts. On loans requiring a Form 4506T Fannie Mae and Freddie Mac may adopt relaxed provisions allowing closings but subject to tax transcript verification before the GSE’s purchase the loans.

Government Sponsored Enterprises

During previous shutdowns, Fannie Mae and Freddie Mac have continued normal operations, similar to their regulator, the Federal Housing Finance Agency, since they are not reliant on appropriated funds. Fannie and Freddie may announce relaxed procedures that would permit closings to go forward without federal verification of Social Security numbers and IRS tax transcripts. However, lenders would still have to obtain federal verification of both before the GSE’s will accept loans for purchase. Any relaxed requirements would not apply to loan modification re-financings.

Rural Housing Programs 

The U.S. Department of Agriculture would not issue new rural housing Direct Loans or Guaranteed Loans. Scheduled closings of Direct Loans will not occur. Scheduled closings of Guaranteed Loans without the guarantee previously issued would be closed at the lender’s own risk. 

Social Security Administration 

The Social Security Administration will close, but checks will still be processed and distributed. According to the SSA Contingency Plan, verifying Social Security numbers through the Consent Based SSN Verification Service would be suspended. Fannie Mae and Freddie Mac are expected to adopt policies to allow for closing subject to subsequent verification and before GSE purchase of the loan.

 
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Allen Tate Mortgage’s team noted that the four types of government funded loans are impacted in the following ways:

  • USDA (Rural Housing Loans) – USDA will not issue any new rural housing Direct Loans or Guaranteed Loans. Scheduled closings of Direct Loans will not occur. All Guaranteed USDA loans must receive a commitment by USDA prior to closing. Lenders will be unable to close Guaranteed USDA loans during the shutdown, unless the lender has already received the commitment from USDA.

  • FHA Loans – FHA’s automated system is continuing to allow lenders to order case numbers, which are required for appraisals. In addition, FHA has a small team working to answer questions but there may be some delays due to short staffing.

  • VA Loans – VA loans are not impacted at this time. Veterans are encouraged to apply for their loan with an approved lender of their choosing.

  • Conventional Loans (Fannie Mae and Freddie Mac) – We have been advised that loans sold to Fannie Mae and Freddie Mac, which make up the majority of the current mortgage market, are not affected directly.

Aside from home loans, there are 38 government departments affected. Unfortunately one of the most necessary government agencies is severly understaffed; the IRS is involved in verifying information needed for many home loans is severly understaffed. The IRS is said to have 1 out of 8 workers on staff during the government shutdown.