Real Estate 101 Archives - Adrian Willanger

21

May

Real Estate TipsDiscount Points, Mortgage Tips, Real Estate 101

What Do Points Have to Do With Real Estate?

You may have heard of points when looking for real estate. Maybe your loan officer told you that you can trade points for a better interest rate. That sounds good, but just what are points? We'll give you a better idea of just what points are and how they work. What Are Points?Points, more specifically discount points, are a percentage of the total loan amount for the house that is pre-paid to the lender. Each point is worth one percent. Your lender may offer a lower interest rate for your mortgage loan if you buy discount points. What do Discount…

Difference Between a Home Inspection and a Home Appraisal

When buying or selling a home, you'll likely encounter both a home inspection and a home appraisal. While these processes are essential for ensuring a smooth real estate transaction, they serve different purposes and involve unique evaluations. Understanding the differences between a home inspection and a home appraisal can help you navigate the home-buying or selling process more confidently. What Is a Home Inspection? A home inspection is an in-depth evaluation of a property’s condition. It is typically ordered by the buyer and conducted by a licensed home inspector. The goal is to identify any current or potential issues with…

What You Need to Know About IRS Reporting When Selling Your Home

If you’re selling your home, you might be surprised to learn that certain information regarding the sale must be reported to the IRS. This requirement stems from the Tax Reform Act of 1986 and is meant to ensure compliance with tax laws and to assist the IRS with audits. To make the process easier for you, here’s a clear explanation of what to expect when selling your property: Who is Responsible for Reporting the Sale to the IRS?According to IRS guidelines, the seller’s gross proceeds from the sale must be reported on Form 1099S. But don’t worry—you don’t have to…