Vance Shutes' Blog

Nearly every buyer that I work with is interested in how I can help them save your cash at closing on your Saline real estate.  So how do you go about doing that?

There are several straight-forward strategies for saving your cash at closing:

A tax-free gift:  You can receive a tax-free gift from your parents (or others), documented by a “gift letter” stating that no repayment is necessary (and thus, your debt load is not increased).  Children can receive up to $10,000 from each parent in one year tax free;  thus, a couple can get gifts of up to $40,000 from four parents without any gift tax consequences.  Some lenders may require you to use some of your own money, in addition to the gift funds.

Finance your closing costs:  Ask your lender if you can pay closing costs from your mortgage loan proceeds.  This will free up some additional cash for your down payment.

Seller-paid closing costs:  Again, ask your lender if you can pay closing costs with a credit from the sellers at closing.  To some extent, you’re still financing your closing costs, so you should only do this if you have a cash shortage for closing.

Sale of assets:  If you own other property (real estate, jewelry, cars, collectibles, etc.),  securities (stocks, bonds, mutual funds), or other assets, they can be sold to make your down payment.

Tax refund:  Buyers who anticipate an income tax refund can use it to increase their down payment funds (especially in the spring).

Life insurance:  If your life insurance has cash value, you may be able to borrow against it at a low interest rate, possibly without having to repay the loan – and without jeopardizing your mortgage loan qualifications.

Securities loans:  If you own bonds, an IRA, vested pension funds or profit sharing, some banks will lend you cash against these as collateral.  The portfolio must be negotiable, although not immediately available.

These are only a few of the many ways to get around the home-financing dilemma.  I’d be happy to help you explore your options for saving your cash at closing on your Saline real estate.

If you like what you’re reading here, please subscribe.  Thanks!

If you have questions about your specific situation, or if you’re considering buying or selling any Saline real estate, you owe it to yourself to take advantage of my experience in the Saline market.  I’d be happy to meet with you!  Just give me a call at (734) 476-2063, or send an e-mail, “Vance (at) SalineMichiganRealEstate (dot) com”.

You can search for homes and condos in Saline here.

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Many times, I have been asked the question “What is the value of land in Saline real estate?”  Since it is such a frequently asked question (FAQ), let’s explore that today.

There’s an easy answer to the question “What is the value of land in Saline real estate?”   That answer is 25% of the total value of the improved property.  OK.  So, what does that mean?

In simple terms, an improved property is any land with something built upon it – typically, a home or condo.  If the improvement (think, “house” or “condo”) weren’t there, the land still has value of some kind.  When an improvement is added to the land, you add together the value of the land and the cost of the improvement to get the total value.

When a Saline home is sold, the price paid by the buyer is the total value of the property.  The value of the land under the home is 25% of the total price paid.  For example, if the sale price of a home is $200,000, the value of the land under the home is estimated at $50,000.

The 25% rule is common sense when you think of it this way:

If you bought a 1-acre home site for $50,000, you wouldn’t likely build a $1 million castle on the site, would you?  That would be a GROSS over-improvement to the land. 

At the same time, if you bought a vacant lot in a premiere subdivision for $200,000, you wouldn’t build a $100,000 bungalow on it, either.  That would be a GROSS under-improvement to the land. 

In fact, in many newer neighborhoods, there are “building and use restrictions” placed on the land.  These restrictions limit the minimum (and sometimes maximum) size of a home to be built upon the land.  These restrictions help to maintain the value of the subdivision.  Imagine how you’d feel if you owned an $800,000 home in a neighborhood, and the new owners of the land next door put up an 800 square foot shack.

I hope this article helps you to understand the value of land in Saline real estate.

If you like what you’re reading here, please subscribe.  Thanks!

If you have questions about your specific situation, or if you’re considering buying any Saline real estate, you owe it to yourself to take advantage of my experience in the Saline market.  I’d be happy to meet with you!  Just give me a call at (734) 476-2063, or send an e-mail, “Vance (at) SalineMichiganRealEstate (dot) com”.

You can search for homes and condos in Saline here.

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Did you know that the Weber-Blaess School in Saline will be hosting the Michigan Association of One-Room Schools Conference in May, 2009?

The Weber-Blaess School was moved to its present site on Woodland Drive in Saline in 2002, after which the school was renovated.  It is used by elementary classes to re-create the experience of attending a one-room country school (my daughter remembers her annual visits to the school a couple of years ago). The building is also available for meetings and other functions.  That’s how the conference will be using the facility in May.

Here’s what the Saline Schools superintendant wrote on his blog about the conference:

The Michigan One-room School Association will be holding its annual conference on Saturday, May 16, at Liberty School and the  Weber-Blaess One-Room School in Saline, MI.  The featured speaker will be Janice Stein, author of a book on the one-room schools of Huron Co. Local author Janis Stein pays tribute to Huron County, Michigan’s one-room schoolhouses in her new book, Schools of Yesteryear, Volume I, featuring the country schools of Sand Beach&Sherman Townships in Huron County, Michigan.  In the early 1900s, over 100 country schoolhouses dotted the landscape in Huron County, Michigan. Schools of Yesteryear delves into the histories of 15 one-room schoolhouses in Sand Beach and Sherman Townships in Huron County. Through ancient school board minutes and ledger books, along with the input and photographs from over 150 former schoolhouse students, teachers and school board members, these one-room schoolhouses once again come alive.

The highlight of the conference will be a session on the history and renovation the  Weber-Blaess School which is an integral part of the Saline Area Schools. The Weber-Blaess One-Room School is supported by the efforts of the Saline Area Schools Historical Preservation Committee (SASHPF).  They moved the school from Lodi Township, Washtenaw County to 520 Woodland Drive in the City of Saline on June 19, 2002.  After extensive renovations it was dedicated on September 26, 2004.  Over 1350 students visited the school during the 2007-8 school year and re-create the experience of attending a one-room country school.   They dress the part of children at the turn of the  century, bring lunches like the students would have carried and play the games inside and out that they would have enjoyed.  The building is also available for meetings and other functions.

The Michigan One-Room School Association holds an annual conference where people from all over Michigan come to learn how to research and restore one-room school buildings. Many attendees also come to trade their stories and reminiscences of experiences in one-room schools. Past conferences have been held in Ionia, Portage, Marshall, Corunna, Livonia, Dearborn and Ypsilanti.  Further information can be obtained by contacting Sue Daniel at Greenmead Historic Village, 20501 Newburgh Rd.,  Livonia, MI 48152,   (248) 477-3335,  or visit the MORSA web site at one-roomschool.org Registration is at 8:30 a.m. with a full program, luncheon and tour of the one-room school. Conference registration fee is $35.

Just another way that the Saline Schools remember their roots!

If you like what you’re reading here, please subscribe.  Thanks!

If you have questions about your specific situation, or if you’re considering buying any Saline real estate, you owe it to yourself to take advantage of my experience in the Saline market.  I’d be happy to meet with you!  Just give me a call at (734) 476-2063, or send an e-mail, “Vance (at) SalineMichiganRealEstate (dot) com”.

You can search for homes and condos in Saline here.

Follow me on Twitter!