Search found 1496 matches

by deanbrew
Thu Mar 21, 2024 10:39 am
Forum: Investing - Theory, News & General
Topic: Which industry will benefit from new real estate commission fee structure?
Replies: 120
Views: 9465

Re: Which industry will benefit from new real estate commission fee structure?

It's often easier for an agent to make a needed concession to keep the deal together, than it would be for the seller (with an emotional investment) to do on their own (although always keep in mind an agent's self-interest is in simply having the sale close; "highest" price is not their biggest concern). Good negotiators are able to avoid offending the other party's ego; most buyers and sellers aren't all that good at this - you get "irked" by the way the other party says something, or the other party being excessively nitpicky with trying to get concessions after an inspection, etc. For most people, however, negotiating a contract isn’t an easy thing to do, nor have most people had much experience doing that. (Some peo...
by deanbrew
Wed Mar 20, 2024 4:10 pm
Forum: Investing - Theory, News & General
Topic: Which industry will benefit from new real estate commission fee structure?
Replies: 120
Views: 9465

Re: Which industry will benefit from new real estate commission fee structure?

Simply pointed out you are paying tens of thousands of dollars to agents who needed 3 or 4 weeks of education to sell your home. What does education - presuming you mean post-HS formal education of some sort - have to do with anything? I don't do business with or hire anyone based on their formal education. I want someone with experience and specific knowledge and skills. I know educated engineers, lawyers, teachers, etc. that I wouldn't trust with a piggy bank. I know real estate agents with bachelors degrees, masters degrees - heck, one with a law degree. What is far more important than whatever formal education they have is local knowledge, expertise, customer service, honesty and professionalism. That generally comes after years of exp...
by deanbrew
Wed Mar 20, 2024 12:27 pm
Forum: Investing - Theory, News & General
Topic: Which industry will benefit from new real estate commission fee structure?
Replies: 120
Views: 9465

Re: Which industry will benefit from new real estate commission fee structure?

We did not pay 6% in 2021. We did not pay 6% in 2022. The buyers agent did not get 3% in either deal - they are all negotiable and all different. Just wondering how you got around the MLS rule requiring 3% to the buyers agent? Or did your brokerage allow variances prior to settlement? There is no MLS rule, as that was determined to be collusion between businesses years ago. Commissions are negotiable at the time a listing is agreed upon. Agents don't volunteer this information, and often present the commissions as "standard and customary", but they are indeed negotiable. The seller negotiates them at the time of listing, agreeing in the listing contract that x.x% goes to the listing brokerage and y.y% goes to the buying brokerage...
by deanbrew
Wed Mar 20, 2024 10:07 am
Forum: Investing - Theory, News & General
Topic: Which industry will benefit from new real estate commission fee structure?
Replies: 120
Views: 9465

Re: Which industry will benefit from new real estate commission fee structure?

Why did Realtors fight so hard against this? Mostly fear of the unknown and resistance to change, I guess. Does anyone like to see sudden change to their industry? And don't forget that the NAR is not synonymous with realtors/ brokers/ agents. Many agents resent having to pay dues to the NAR and MLS systems. Perhaps that will change, and save money for agents. How will Realtors losing their stranglehold on house pricing data "make buying more difficult and expensive"? Where did I say that? But to perhaps clarify a couple of my relevant points: A) Buyers, especially first-time buyers and those moving to a new location where they don't know the housing market or relevant businesses (home inspectors, title companies, septic companie...
by deanbrew
Tue Mar 19, 2024 4:36 pm
Forum: Investing - Theory, News & General
Topic: Which industry will benefit from new real estate commission fee structure?
Replies: 120
Views: 9465

Re: Which industry will benefit from new real estate commission fee structure?

Again, not at all what deadweight loss is - but also, this is contraindicated by my own experience where I found it very easy to negotiate lower cost for both my buying and selling agent. In fact, have so many realtors made my negotiating position stronger because had multiple people I could play against each other. Exactly. Having too many agents chasing listings results in bargaining power for sellers, not enhanced power by brokers. When friends sold their house recently, the three listing agents they interviewed offered varied commission rates from 5.0 to 6.5 percent. The highest was by an agent who tried to convince them that she was worth more money because she would do "enhanced marketing" and get them a higher price. Seeme...
by deanbrew
Tue Mar 19, 2024 10:21 am
Forum: Investing - Theory, News & General
Topic: Which industry will benefit from new real estate commission fee structure?
Replies: 120
Views: 9465

Re: Which industry will benefit from new real estate commission fee structure?

What is the new commission fee structure? Even if the settlement is approved as drafted? I ask because a) Where I live we already have the ability to negotiate the commission including a flat fee; and b) The initial news reports about what is in the settlement are starting to be walked back as it receives a closer review. Perhaps this thread is premature? Maybe not premature, but there will be unintended consequences, both predictable and unpredictable. Appraisers are starting to wonder if sale data will still be widely and comprehensively available as it is now on MLS systems. If not, guess what? Appraisal prices will go up. And for those who say lawyers and bankers can do much of the work, how much do you think they charge? And if you bu...
by deanbrew
Mon Mar 18, 2024 4:23 pm
Forum: Personal Finance (Not Investing)
Topic: Lifelong renter looking to become first time (cash) homebuyer - do I need agent? Or only lawyer & inspector?
Replies: 23
Views: 2279

Re: Lifelong renter looking to become first time (cash) homebuyer - do I need agent? Or only lawyer & inspector?

Excellent advice above. You should absolutely hire an agent who is familiar with the local market to assist you. Until things change due to the NAR issue (which will take many months), you don't even need to pay for buyer representation... it is paid by the seller.

As a first time buyer, it is critical to have expert guidance, and someone who is on your side. If you don't have a buyer's agent, the listing agent will do extra work, and they are absolutely working for the seller, with their interests in mind.
by deanbrew
Mon Mar 18, 2024 3:04 pm
Forum: Investing - Theory, News & General
Topic: Which industry will benefit from new real estate commission fee structure?
Replies: 120
Views: 9465

Re: Which industry will benefit from new real estate commission fee structure?

Sure, paying a near-universal percentage doesn't make a lot of sense. Agents make a lot less money in markets where houses typically sell for $150-250k than in markets where home prices routinely top a million dollars. I say the same thing about the restaurant industry where people always talk about leaving tips of 15-25 percent of the bill. Paying a percentage on an $80 per person meal costs a whole lot more than a $25 per person meal, even though the work is quite similar.
by deanbrew
Mon Mar 18, 2024 7:54 am
Forum: Investing - Theory, News & General
Topic: Which industry will benefit from new real estate commission fee structure?
Replies: 120
Views: 9465

Re: Which industry will benefit from new real estate commission fee structure?

smitcat wrote: Mon Mar 18, 2024 7:45 am

"If I put our home for sale in California for say 1.2 M it would sell in one weekend."
Just do a FSBO then.
Or use a flat fee or low commission broker to get your property on the MLS. Commissions have already been negotiable. There are listing agents who will list properties for less than the "standard" 6 percent. Just don't expect the same level of service and advice on either end of the transaction.
by deanbrew
Sun Mar 17, 2024 9:39 am
Forum: Investing - Theory, News & General
Topic: Which industry will benefit from new real estate commission fee structure?
Replies: 120
Views: 9465

Re: Which industry will benefit from new real estate commission fee structure?

Unlike some people, I don't see this change saving people money overall. It will likely add complexity for both sellers and buyers, and shift many payments from the seller side to the buyer side. I think it will end up hurting inexperienced home buyers, adding costs and decisions. I expect that listing agents will begin to market their services in tiers, adding either percentages or flat fees for pictures, videos, advertising, open houses, extra months on the market, etc. Home buyers, especially inexperienced ones, will have to negotiate with buyer agents to educate them, show houses, negotiate offers, etc. I guess both listing and buying agents will start to offer their services in cost tiers or by the hour. Another factor is that sellers ...
by deanbrew
Tue Jan 23, 2024 9:15 am
Forum: Personal Consumer Issues
Topic: [What TV Show Have You Recently Watched?]
Replies: 5993
Views: 699841

Re: [What TV Show Have You Recently Watched?]

We are currently watching "The Wire", the 20 year old crime series set in Baltimore. Excellent show with clever writing, complex characters and unpredictable situations. We just finished season 4 of 5.

Of course, we also loved Homicide: Life on the Streets (also by David Simon) back in the 90s. Gonna have to look at what else Simon has produced over the years.
by deanbrew
Mon Jan 22, 2024 5:19 pm
Forum: Personal Consumer Issues
Topic: [What TV Show Have You Recently Watched?]
Replies: 5993
Views: 699841

Re: [What TV Show Have You Recently Watched?]

MP173 wrote: Mon Jan 22, 2024 2:32 pm We figured out how to watch "The Bear".

Watched Season 1 in one sitting and the next night 2:1-5. Really well done. Love the shots of Chicago, used to spend several days a week there and ate at a number of Beef/Hot Dog stands. Nothing quite like the sight of a beef being wrapped up on sandwich paper.

Ed
I have to say that I'm a little disappointed in The Bear. The acting is excellent, but I'm not loving the writing or the storyline. We just finished Season 1 and will watch Season 2 to see how it progresses.
by deanbrew
Sat Jan 20, 2024 1:01 pm
Forum: Personal Finance (Not Investing)
Topic: Sell house on open market vs. to "investors?"
Replies: 32
Views: 2750

Re: Sell house on open market vs. to "investors?"

Apparently you don't know real estate agents well... Trustworthy and responsive? Not in my experience. Or others, since they lost the class action suit for billions. Their goal is to butted their bread. You sure paint with a broad brush, and the lawsuit you reference is more about the NAR having a monopoly on the MLS system than any indictment on agents' trustworthiness or responsiveness. I know lots of real estate agents, both professionally and socially. Their professionalism ranges from terrific to abysmal, and their value to clients ranges tremendously, as well. The better agents absolutely provide expertise and value to buyers and sellers. One can certainly argue about the commission system that is in place, but that isn't the same as...
by deanbrew
Sun Jan 07, 2024 2:28 pm
Forum: Personal Consumer Issues
Topic: three days and nights in Nashville what to do?
Replies: 20
Views: 2737

Re: three days and nights in Nashville what to do?

I definitely second the recommendations for Robert's Western World for cheap food and beer (about the only place with reasonable prices on Broadway). Also, Printers Ally for music, especially non-country.

The Grand Ole Opry tour was quite interesting, even if you don't love country music.

Make sure to try Nashville hot chicken at Reds, Helen's, or Hattie B. Arnold's and Central BBQ are good choices for BBQ.
by deanbrew
Sun Jan 07, 2024 2:15 pm
Forum: Personal Consumer Issues
Topic: [What TV Show Have You Recently Watched?]
Replies: 5993
Views: 699841

Re: [What TV Show Have You Recently Watched?]

We've talked about the shows you mentioned, as well as Get Smart, Gilligan's Island, The Addams Family, and the Munsters. IMO, Beverly Hillbillies and Green Acres are absolutely at the top of the heap in terms of laughs and cleverness. I think Green Acres is underrated, and I was shocked to find out that Eva Gabor never won an emmy for her performances on the show. After those, I would go with Mr. Ed. My kids loved all of those, and still talk about watching them when they were young. Get Smart is funny, as is The Adam's Family. The Munsters was OK. I never liked Gilligan's Island or Petticoat Junction at all, even as a kid. The Andy Griffith Show is very good, of course. The Partridge Family might be interesting due to clothing and music ...
by deanbrew
Wed Dec 13, 2023 3:58 pm
Forum: Investing - Theory, News & General
Topic: Taking Social Security at 62
Replies: 635
Views: 86104

Re: Taking Social Security at 62

AlwaysLearningMore wrote: Wed Dec 13, 2023 1:23 pm

Only on BH would someone be questioned for claiming Social Security at 65, the standard retirement age for so long.
Indeed. If it weren't for me trying to keep our income low due to ACA, I'd have probably started SS the month I turned 62. As it is, I'll be waiting to see what happens with ACA and decide year by year.
by deanbrew
Fri Dec 01, 2023 2:18 pm
Forum: Personal Investments
Topic: Low risk ETF or MF that has low distributions (interest & dividends) for ACA purposes
Replies: 5
Views: 487

Re: Low risk ETF or MF that has low distributions (interest & dividends) for ACA purposes

Cocoa Beach Bum wrote: Fri Dec 01, 2023 1:56 pm Berkshire Hathaway can be viewed as a fund with zero expense ratio and zero distributions. Over the long run its stock has outperformed the S&P 500 and with lower volatility (i.e. lower risk). I therefore recommend you consider owning BRK.B stock for your purposes.

https://www.portfoliovisualizer.com/fun ... Uh1OYmv2uP
Thanks. I have definitely thought about that. Wish I would have bought some over the past 30 years. Maybe now is the time.
by deanbrew
Fri Dec 01, 2023 12:34 pm
Forum: Personal Investments
Topic: Low risk ETF or MF that has low distributions (interest & dividends) for ACA purposes
Replies: 5
Views: 487

Re: Low risk ETF or MF that has low distributions (interest & dividends) for ACA purposes

VTI?? Can you exchange for lower risk product in a tax advantaged account?
In the same situation, I use VTI in my taxable account, and have bond funds in tax advantaged accounts.
Thanks, I already own quite a bit of VTI in my taxable account.

In the 25 minutes since I first posted, I've started down the rabbit hole regarding MYGAs. Never heard of them before, but they look promising. 3-year MYGAs pay about 5.75-6.00% interest, all deferred until withdrawal. Might just work for what I want.
by deanbrew
Fri Dec 01, 2023 12:03 pm
Forum: Personal Investments
Topic: Low risk ETF or MF that has low distributions (interest & dividends) for ACA purposes
Replies: 5
Views: 487

Low risk ETF or MF that has low distributions (interest & dividends) for ACA purposes

I am retired, and have two more years buying insurance on the ACA exchange. I want to keep my risk exposure relatively low, but want to minimize distributions in my non-tax advantaged investment account to keep my MAGI as low as possible. I have money hanging around in MMF, bond and private lending funds that I want to move to something that will generate less income now, but not expose me to too much market risk in case of a downturn over the next 2-4 years. I'm racking my brain to figure out what I can use. A balanced or target date fund would help minimize risk, but would also throw off current income. Obviously, a bond fund or MMF creates income. I would prefer an ETF over a mutual fund, but it's not critical. Perhaps a 3-year MYGA? Are...
by deanbrew
Wed Nov 22, 2023 1:54 pm
Forum: Personal Investments
Topic: Best time to draw money from HSA
Replies: 42
Views: 5247

Re: Best time to draw money from HSA

I keep reading mentions of "keeping receipts" to justify HSA withdrawals. Is it actually necessary to keep actual receipts? I keep my medical expenses on a spreadsheet, and have credit card statements that show payments to doctors, hospitals, etc. What proof would be sufficient to the IRS, and do people really get audited about HSA withdrawals?

FWIW, I have over $100k in my HSA account and have never taken out a dime. I will probably rethink my strategy, particularly since I had minor surgery this year and have paid over $7,000 in medical expenses this year.
by deanbrew
Wed Nov 08, 2023 8:27 pm
Forum: Personal Finance (Not Investing)
Topic: Tax question RE: ACA tax credits and HSA
Replies: 18
Views: 1552

Re: Tax question RE: ACA tax credits and HSA

I contribute to my HSA account, get the income reduction, and get ACA tax credits every year. Your insurance agent is wrong.
by deanbrew
Wed Nov 08, 2023 8:21 pm
Forum: Personal Finance (Not Investing)
Topic: City wants "Temporary Limited Easement" from me
Replies: 42
Views: 8205

Re: City wants "Temporary Limited Easement" from me

I am a retired commercial real estate appraiser, and I appraised several properties that highway departments acquired both permanent and temporary easements on. A temporary easement is often used exactly as you describe - for temporary storage of materials or staging of equipment. The calculation you provided suggests to me that they are valuing the land at $2.60 per SF, with a market rent of $0.26 per year (10 percent of land value). They would pay you for the 1.73 years, at which point you would get use of the land back. I have no idea what the land is worth, but 10 percent is pretty high as annual rent, so that's in your favor. But the resulting dollar amount is minimal, so it probably doesn't matter much what land value or rent percenta...
by deanbrew
Tue Oct 31, 2023 1:52 pm
Forum: Personal Finance (Not Investing)
Topic: I had to provide my ATM card and PIN when depositing a check with a teller
Replies: 54
Views: 4832

Re: I had to provide my ATM card and PIN when depositing a check with a teller

watchnerd wrote: Tue Oct 31, 2023 1:46 pm
deanbrew wrote: Tue Oct 31, 2023 10:52 am I've never had to provide my ATM or PIN before to deposit a check.
I'm surprised.

I've had to do this with BofA several times over years.

Walk into bank, hand over signed check, teller asks me to swipe my ATM card and enter my pin into the keypad.

I thought this was SOP.
I never walk into the bank to deposit a check. I either do it remotely on my phone, or go through the drive through. This is the first time at the drive through that I've had to provide my ATM card and enter a PIN. SOP now, apparently.
by deanbrew
Tue Oct 31, 2023 1:42 pm
Forum: Personal Finance (Not Investing)
Topic: I had to provide my ATM card and PIN when depositing a check with a teller
Replies: 54
Views: 4832

Re: I had to provide my ATM card and PIN when depositing a check with a teller

Update: I called and spoke to the assistant manager at the branch. She told me that this is a new requirement under the federal Bank Security Act. She said that TD Bank is only the second bank in the country that has been asked to meet this new requirement for deposits so far, but that all banks will have to soon.

I joked that I don't particularly care if somebody wants to add money to my bank account, and she quickly replied that the bank and federal government do care.

Mystery solved, and get ready for the same treatment.
by deanbrew
Tue Oct 31, 2023 11:36 am
Forum: Personal Finance (Not Investing)
Topic: I had to provide my ATM card and PIN when depositing a check with a teller
Replies: 54
Views: 4832

Re: I had to provide my ATM card and PIN when depositing a check with a teller

anon_investor wrote: Tue Oct 31, 2023 11:28 am
deanbrew wrote: Tue Oct 31, 2023 11:27 am
ekid wrote: Tue Oct 31, 2023 11:21 am If you divulged your PIN to Anyone you're going to have to change it!
Good point, but I didn't divulge it to anyone... I entered it into my phone.
Into a website? A SMS reply? Or their app?
A TD Bank website verification page that opened from the link she texted to me. I doubt, but don't know for sure, of course, that she saw the PIN itself. I think she got a message that I entered the correct PIN.
by deanbrew
Tue Oct 31, 2023 11:32 am
Forum: Personal Finance (Not Investing)
Topic: I had to provide my ATM card and PIN when depositing a check with a teller
Replies: 54
Views: 4832

Re: I had to provide my ATM card and PIN when depositing a check with a teller

JoeNJ28 wrote: Tue Oct 31, 2023 11:24 am
pizzy wrote: Tue Oct 31, 2023 11:24 am
deanbrew wrote: Tue Oct 31, 2023 11:22 am
pizzy wrote: Tue Oct 31, 2023 11:14 am This is a good thing.
Why?
Increased security measures related to banking is always a good thing. But I'm not much of a conspiracy theorist.
+1 feel the same way, more security the better.
What is the security risk to either the bank or me by having someone deposit a check made out to me into my account? I'm failing to see any risk.

The only thing I can think of is the new federal regulations tracking deposits over $800, but I still don't know how the atm card and texted link plays into it.
by deanbrew
Tue Oct 31, 2023 11:27 am
Forum: Personal Finance (Not Investing)
Topic: I had to provide my ATM card and PIN when depositing a check with a teller
Replies: 54
Views: 4832

Re: I had to provide my ATM card and PIN when depositing a check with a teller

ekid wrote: Tue Oct 31, 2023 11:21 am If you divulged your PIN to Anyone you're going to have to change it!
Good point, but I didn't divulge it to anyone... I entered it into my phone.
by deanbrew
Tue Oct 31, 2023 10:52 am
Forum: Personal Finance (Not Investing)
Topic: I had to provide my ATM card and PIN when depositing a check with a teller
Replies: 54
Views: 4832

I had to provide my ATM card and PIN when depositing a check with a teller

I just went to my TD Bank branch to deposit a check. I normally do my deposits with my phone, but this check was $14,000, which is above the limit for remote deposit. I used the drive-through lane, and whooshed away my signed check and deposit slip (an official deposit slip that came with my checks). The teller asked me over the speaker if I had my debit card with me. I told her that I don't have a debit card, but I have my ATM card with me. She had me whoosh the ATM card to her. She came back and asked if I had my cell phone with me, and could I receive texts. I answered in the affirmative. Next, she texted me a link, and I had to click the link and enter my ATM PIN. She quickly replied that all was well and she would deposit the check. I'...
by deanbrew
Sun Aug 27, 2023 1:25 pm
Forum: Personal Finance (Not Investing)
Topic: Approaching Home / Landowner to Sell
Replies: 10
Views: 1236

Re: Approaching Home / Landowner to Sell

Supergrover wrote: Sun Aug 27, 2023 1:09 pm A letter with the actual offer…I could see that. But I think a Letter of Intent with legal language might be confusing to some.
I agree. A legal document is way too much and would be very suspicious. I think letting them know that you are a "real person" and not a realtor or "buy homes" company is a good idea. And it's not a problem competing with those types because they would be making very low offers.
by deanbrew
Sun Aug 20, 2023 9:01 pm
Forum: Investing - Theory, News & General
Topic: Taking Social Security at 62
Replies: 635
Views: 86104

Re: Taking Social Security at 62

You can delay as long as you want, but once you start collecting, you can only "change your mind " for the first 12 months. Perhaps I misunderstood what you meant.
by deanbrew
Sun Aug 20, 2023 8:32 pm
Forum: Investing - Theory, News & General
Topic: Taking Social Security at 62
Replies: 635
Views: 86104

Re: Taking Social Security at 62

Charles Joseph wrote: Sun Aug 20, 2023 8:05 pm I'm 59, just retired, and am thinking I may just split the difference. Maybe collect at 65 or so. If the market is kind to me I can wait longer and take it even month by month.

We shall see.
Well, you can't really decide month to month, but I'm planning something similar. While I'm buying my health insurance through the exchange (ACA),I want to keep my income low, so I'm definitely waiting until I turn 65. Wife is four years younger, so she'll be o. ACA for another 4 years. Have to run the numbers when I turn 65 and see what is best.
by deanbrew
Thu Aug 17, 2023 2:03 pm
Forum: Personal Finance (Not Investing)
Topic: [You are Invited] - Food and Finances
Replies: 28
Views: 3562

Re: [You are Invited] - Food and Finances

We get the invitations/ solicitations in the mail every couple of months. I've been tempted to go when the restaurant was Ruth's Chris or a local high end restaurant, but wasn't sure that the free meal was worth the sales pressure or future heavy handed solicitations. I've been much less tempted by the ones that have the meal at the Golden Corral - and, no, I'm not kidding, I got one a couple of months ago that was at the Golden Corral. I can only imagine the presentation at that one. I actually went to one about 38 years ago, due to a business relationship with the hostingrestaurant. It was a full service (read: high trading commissions) brokerage when that was common. I imagine if the broker/financial planner gets one more client from the...
by deanbrew
Thu Aug 10, 2023 9:11 am
Forum: Personal Finance (Not Investing)
Topic: Help Me Think Down Payment Option Through
Replies: 9
Views: 643

Re: Help Me Think Down Payment Option Through

Seems like either a bridge loan or a home equity loan in your current house is the best solution. See which has the lowest interest rate. The loan will be paid off (and lein will be satisfied) upon sale of the current home.
by deanbrew
Thu Aug 10, 2023 8:59 am
Forum: Personal Finance (Not Investing)
Topic: Homeowner’s Insurance - Cost to Rebuild
Replies: 10
Views: 1392

Re: Homeowner’s Insurance - Cost to Rebuild

OP: Insurable value is the estimated replacement cost (cost to rebuild a structure of similar quality and utility), plus demolition and removal of debris, less the foundation. Land value is not included in the insurable value, as land is not destroyed by fire or wind. There are different definitions that insurance companies use, however. My policy is for guaranteed replacement cost. The insurance company states that the "guaranteed" part means that they will pay to replace even if the cost exceeds the dwelling value that they have determined. Sounds good to me, but I hope I never find out. Actual replacement cost means that they will only pay up to the figure on the declaration page, and extended replacement cost means that they w...
by deanbrew
Thu Jun 29, 2023 3:14 pm
Forum: Personal Finance (Not Investing)
Topic: New build mortgage rates: What's the catch?
Replies: 10
Views: 1533

Re: New build mortgage rates: What's the catch?

The builder is subsidizing the loan. That's what it's cheaper.
Exactly. The builder is making their new homes more affordable - less money up front, and lower payments - so buyers don't get crunched and disqualified due to rising interest rates. Take advantage of the deal.
by deanbrew
Mon Jun 26, 2023 3:20 pm
Forum: Personal Finance (Not Investing)
Topic: Tales from this insane real estate market [Home sales]
Replies: 2923
Views: 521166

Re: Tales from this insane real estate market [Home sales]

It pays to buy as much house as you think you can *possibly* afford. Looking back on how things were when we bought our first home we both agree now we probably should have have bought more than we did. It’d paid off though, and Zillow says it’s in the 7 figures so I guess we did better than a lot of people who bought a $400,000 home 17 years ago.

But still. We should have bought more house than we did.
It also pays to be lucky. Your house value went up more than 150 percent in 17 years. That is FAR from typical around the country. I wish I would have spent less on my last house. I bought it in 2003, added onto it, and sold it in 2020 for less than what I had in it. Real estate varies tremendously from one location to another.
by deanbrew
Sun Jun 18, 2023 11:17 am
Forum: Personal Finance (Not Investing)
Topic: Calculating Stepped Up Basis On Inherited Collectibles
Replies: 10
Views: 1251

Re: Calculating Stepped Up Basis On Inherited Collectibles

Price Guides (books or online) are adequate support for most things, both current and retrospective values. Exceptions would be very expensive items, especially if you show a loss.

For extremely valuable items, you may need to hire an appraiser, who can provide both current and retrospective value estimates.
by deanbrew
Sat Jun 17, 2023 5:37 pm
Forum: Personal Finance (Not Investing)
Topic: Calculating Stepped Up Basis On Inherited Collectibles
Replies: 10
Views: 1251

Re: Calculating Stepped Up Basis On Inherited Collectibles

I know next to nothing about artwork, but I do know that antiques, glassware and many, many collectibles are worth less than they were 20 years ago, not more. My wife inherited stuff that her parents collected over the years, and we sold it in 2020. Nearly everything sold for less than the modest values in the 2002 appraisals, in some cases far less.

For tax purposes, we ended up with capital losses, which is good. But the net proceeds were far less than we expected.

Were the items listed in the estate documents at the time of estate settlement? It sounds like they might not have been if you are just now discovering them.
by deanbrew
Fri Apr 21, 2023 1:21 pm
Forum: Personal Finance (Not Investing)
Topic: Tales from this insane real estate market [Home sales]
Replies: 2923
Views: 521166

Re: Tales from this insane real estate market [Home sales]

Thanks Sir, but what if I need some of the money? I could put most into another rental (although I am tired of being a landlord!)
You can alwaystake out a mortgage on the new rental property. If you only borrow a modest amount, say 50 percent, loan underwriting will be easier.

I understand the "tired of being a landlord" part. There is less landlord involvement with a commercial property, though, especially one rented on a NNN basis where the tenant takes care of almost everything and pays expenses directly. Banks, c-stores, restaurants and some office buildings are often rented with NNN leases.
by deanbrew
Sun Apr 09, 2023 4:18 pm
Forum: Personal Finance (Not Investing)
Topic: Got rear ended, not at fault. Dealing with other insurance company.
Replies: 16
Views: 1526

Re: Got rear ended, not at fault. Dealing with other insurance company.

Leesbro63 wrote: Sun Apr 09, 2023 4:11 pm Had a similar situation 2 years ago. Read this entire thread regarding the diminished value issue. After going through it, I'm pretty much convinced that the only way to truly get the real amount of diminished value is to do what I did here (pay $300-$400 for a online diminished value evaluation and spend $200 or so at the magistrate to get their attention).


viewtopic.php?t=348039
Thanks. I'll read that thread.
by deanbrew
Sun Apr 09, 2023 4:17 pm
Forum: Personal Finance (Not Investing)
Topic: Got rear ended, not at fault. Dealing with other insurance company.
Replies: 16
Views: 1526

Re: Got rear ended, not at fault. Dealing with other insurance company.

Lee_WSP wrote: Sun Apr 09, 2023 4:10 pm Take it to the shop of your choice, endorse the check, let the shop deal with the supplement.
I probably started this thread a bit early. I'm going to call the preferred body shop tomorrow and see if they have communicated with Nationwide yet (I've been out of town for 2 weeks).
by deanbrew
Sun Apr 09, 2023 4:15 pm
Forum: Personal Finance (Not Investing)
Topic: Got rear ended, not at fault. Dealing with other insurance company.
Replies: 16
Views: 1526

Re: Got rear ended, not at fault. Dealing with other insurance company.

why not contact your own insurance company and let them deal with the other insurer? (In CA, your insurer can't raise your rates when the other guy is at fault. Your state maybe different.) I'd definitely go with my choice of shops. Who cares who the other guy's insurer has a discount contract with? You are not their client. Did they offer a car rental while yoru car is being repaired? Do you have any cameras/sensors in that bumper/tailgate that will need to be replaced and/or re-calibrated? I called my insurance company and they advised to work with Nationwide because there is no doubt about blame. Nationwide is paying for a rental car. All cameras and sensors are working, but the o es in the bumper will have to be replaced, I'm sure.
by deanbrew
Sun Apr 09, 2023 3:51 pm
Forum: Personal Finance (Not Investing)
Topic: Got rear ended, not at fault. Dealing with other insurance company.
Replies: 16
Views: 1526

Got rear ended, not at fault. Dealing with other insurance company.

I got rear ended while stopped. Car #1 hit car #2, which was pushed into the back of ours (car #3). Driver of car #1 was cited by police, and #1's insurance (Nationwide) is accepting responsibility. Nationwide had me take the car to a local body shop who is contracted with them. They provided an estimate of around $2,950, which includes repairing the tailgate. I took the car to two other local shops that have great reputations, and both recommend replacing the tailgate rather than repairing. They both provided estimates around $4,400. I strongly prefer one of the higher shops, and Nationwide admits that I don't have to use their preferred shop. But they mailed me a check for $2,950. I don't need the money, of course, until the car is actual...
by deanbrew
Fri Apr 07, 2023 3:03 pm
Forum: Personal Finance (Not Investing)
Topic: Tales from this insane real estate market [Home sales]
Replies: 2923
Views: 521166

Re: Tales from this insane real estate market [Home sales]

New home construction has been fairly brisk in recent years, but not quite at the pace to meet new household formation. But the real supply constraint right now seems to be due to interest rates. If you own a home and don't need to move, you are very likely staying put and enjoying your 3-5 percent mortgage. The inventory of homes for sale is very low, so for people who want to buy, they are facing lots of competition for reduced supply.
by deanbrew
Wed Mar 22, 2023 11:11 am
Forum: Personal Consumer Issues
Topic: How does Billboard leasing work?
Replies: 14
Views: 8477

Re: How does Billboard leasing work?

First off, not having the current leases in hand is a drawback. But the billboard companies should have copies in their records, which they should be able to provide. The ground rent for billboard sites (the land owner seldom owns the signs) is, of course, related to the income potential of the signs, which in turn is related to the traffic count and visibility of the signs. But I have never seen a percentage rent clause in a billboard site lease. Not saying that it doesn't happen, but I don't think it is common, as billboard companies wouldn't want to have to calculate and remit extra rent for all the thousands of signs they operate. Billboard site rents can be tricky to find, but you can research other property owners near the property th...
by deanbrew
Thu Mar 09, 2023 11:42 am
Forum: Personal Consumer Issues
Topic: What Book Are You Currently Reading? Part VI
Replies: 7650
Views: 1724133

Re: What Book Are You Currently Reading? Part VI

I downloaded the audiobook version of "A Dog's Purpose" back in 2017 (based on posts here, I believe), and my wife and I just listened to it. We held off because our former canine pet was getting old in 2017 and died in 2018. I'm glad we waited this long, because the book is a real tear jerker. Talk about a roller-coaster of emotions... laugh, cry, laugh, cry.

It's a clever book, written from the Dog's perspective. I'm glad I finally read it, but I don't think we're going to watch the movie or read any of the other books in the series. Too heart wrenching for a dog lover.
by deanbrew
Sat Feb 18, 2023 10:25 am
Forum: Personal Finance (Not Investing)
Topic: Real estate gurus: is the 1% rule realistic?
Replies: 58
Views: 7978

Re: Real estate gurus: is the 1% rule realistic?

LFKB wrote: Sat Feb 18, 2023 9:57 am 1% a month is not a rule of thumb. Never heard of that. That would be a 12% cap rate, and most properties trade for much lower.
You don't calculate a cap rate from gross rent. Completely different concept.

And, as I wrote way up above, I first heard of the "1 %" rule of thumb about 45 years ago, and have heard it sporadically ever since. That doesn't make it meaningful, but it is a rule of thumb that some people mention.
by deanbrew
Fri Feb 17, 2023 10:16 am
Forum: Personal Finance (Not Investing)
Topic: Real estate gurus: is the 1% rule realistic?
Replies: 58
Views: 7978

Re: Real estate gurus: is the 1% rule realistic?

I would look at the cash flow from a property, with proper assumptions for costs, vacancy periods. If it cash flow positive, then it is doable. Absolutely correct. I first heard the "1% rule" about 45 years ago from an uncle (I was a teenager). Fast forward, and I spent 34 years in the real estate industry. The 1% rule of thumb is far too simplistic. Is it a convenience store rented NNN with the tenant paying all expenses, including taxes, utilities and everything else? Or a furnished home with the landlord paying all expenses. The only way to evaluate is to get to a realistic NOI after all expenses, and then calculate the cap rate. 12% cap rate just sounds crazy high in a world of say 6% mortgage rates? The 1% rule was never int...
by deanbrew
Fri Feb 17, 2023 10:03 am
Forum: Personal Finance (Not Investing)
Topic: ACA Subsidies vs Roth Conversions
Replies: 81
Views: 10341

Re: ACA Subsidies vs Roth Conversions

I was self employed (paying for my family's insurance) when the ACA was implemented, and my health insurance cost skyrocketed. There were years when my family incurred over $25,000 in health care and insurance costs, which was a significant burden. The more recent elimination of the income cliff has been very beneficial, and I view it as a correction to the program and appropriate, not welfare. But to be honest, I don't care if it is welfare, and I don't feel guilty about it. Health care and insurance are too expensive, and I'm thankful to be getting a break after paying so much for many years. Even now, the available plans on the exchange are either high deductible or have exorbitant premiums, so I'm still out of pocket for more than $10,0...