Adding Value by Dennis O'Hagan

Now Is A GREAT Time to Buy...

Dallas Home Prices Up Only 3%...

Dallas-area home prices were up just 3% in the latest nationwide comparison.  The year-over-year price gain from March 2018 levels was the smallest increase in seven years in the S&P/Case-Shiller Home Price Index.  Nationwide prices rose 3.7% from a year ago, continuing a trend toward weaker housing appreciation in many U.S. metro areas.  "Home price gains continue to slow," S&P's David M. Blitzer said in the report. "The patterns seen in the last year or more continue: Year-over-year price gains in most cities are consistently shrinking.  "Double-digit annual gains have vanished."  An increase in houses for sale in North Texas and rising affordability problems have caused the local housing market to cool. Through the first four months of 2019, home sales by real estate agents are down 1% from the same period last year.

• Dallas Morning News, May 29, 2019

Property Tax Increase Now Limited to 3.5% Increase...

One of the big accomplishments of the 2019 Texas State Legislature was the passing of a bill that slowed the growth of city and county tax bills by imposing a 3.5% cap on revenue collections over the previous year.  This was a change from the 8% allowed increase without voter approval.  Local city and county leaders say the move is dangerous and will result in cuts to service and an ability to fully pay for public safety.  The cap could be exceeded if voters approve the tax increase in an election.  Currently, cities and counties can increase tax revenue up to the 8% without approval from the voters.

• Dallas Morning News, May 28, 2019

HUMOR...

New York, California Get 'Aggressive' When Residents Try to Flee High Taxes...

The Governments Are Strong-arming People Moving to Texas and Florida

As an increasing number of residents are looking to leave states, such as California and New York, some of these state and local governments are not making the process easy.  The Tax Cuts and Jobs Act introduced a number of reforms, including a $10,000 cap on state and local tax deductions, which have caused Americans to look into establishing legal primary residences in states where they can limit their liabilities.   But some states give taxpayers a hard time when they are trying to change their domicile – thereby establishing their permanent residency elsewhere.

“California … they don’t particularly like when people that were large taxpayers … leave,” Marc Minker, lead managing director at accounting provider and consulting firm CBIZ MHM, told FOX Business. “The state becomes very aggressive with respect to making you prove that you essentially changed your domicile.”   Changing a domicile requires an individual to physically move with the intent to stay either permanently or indefinitely. The state of domicile determines your income, estate and other taxes.

Even when you change your domicile, that is not always enough, Minker added. If you own a property in the old state, you must be able to prove that you resided in the new domicile for more than 183 days out of the year.  In addition to California, Minker said New York is “equally aggressive,” as are New Jersey, Connecticut and Ohio, among others.  Lance Christensen, a partner at accounting firm Margolin Winer & Evens, agreed that New York State and New York City are aggressive when it comes to allowing taxpayers to leave. He said individuals must be ready to “withstand New York State and New York City challenges.”

To prove where they were throughout the year, Christensen recommends people keep a detailed diary. He also told FOX Business taxpayers should keep items like receipts, plane tickets – even EZ pass receipts.  “The burden of proof is on the taxpayer to prove where he is, or she is, and it can be very close,” Christensen said. “We’ve seen this come down to where your pet is.”

He added that taxpayers should make sure they have thoroughly planned and are prepared for the move, adding for some clients with a lot of taxable income during a certain year it may be cheaper to take a trip around the world than it would be to return to New York and be hit with those taxes.

• Dallas Morning News, May 15, 2019

Frisco, McKinney and Rowlett Top the Charts...

Dallas Has Three of the Fastest Growing Cities in the USA

Laila Assanie, a senior business economist at the Federal Reserve Bank of Dallas, said there are no signs the growth will end anytime soon.  "So far we don't see anything on the horizon that would tell us that the boom is coming to an end, though we do expect growth to slow down a bit," Assanie said. "We can't keep on growing at the pace we have been."

Tony Felker, president and chief executive officer of Frisco Chamber of Commerce, remembers a time when he had to leave Frisco to buy a pair of socks. Now the city of 188,000 has 10 high schools and nearly 80,000 jobs.  "I like to jokingly say, 'If you don't know where Frisco is, Dallas is our suburb just 30 miles south,'" Felker said. "The visionary people in Frisco have always said we don't want to be a suburb of Dallas — we want to be self-contained."  From 2017 to 2018, Frisco was the fourth-fastest-growing city in the nation, adding 10,000 residents through birth or migration. Since 2010, Frisco has added more than 70,000 residents — a 60% increase.

But as the city grows, some longtime residents and people who moved to Frisco for cheap large lots are pushing back. The Stonebriar Legacy Association of Neighborhoods represents a group of about 5,000 residents who want to pump the brakes on Frisco's breakneck growth. The group vocally opposed a plan to add more than 2,000 residential units to Hall Office Park, where thousands of people work.

Dallas Morning News, May 23, 2019

Little Elm should be named Big Elm...

City Surpasses 50,000 Residents

In 2000, when George W. Bush was still governor of Texas, Little Elm was a bedroom community on the shores of Lake Lewisville with only about 3,600 year-round residents.   Today, the Denton County town is the region's newest big city, surpassing 50,000 residents in newly released population estimates from the U.S. Census Bureau.  Little Elm's growth is in line with other North Texas cities like Frisco and McKinney.   What makes Little Elm different is how small it was when nearby suburbs began booming, said Town Manager Matt Mueller. Most homes, schools and offices in the town are less than 15 years old.  "It's almost like playing SimCity for a living because in many ways it's a blank slate we're working with," Mueller said.   Mueller said he hopes Little Elm can retain some of that rural lifestyle, even as he envisions a decade more of growth. The eastern side of Little Elm, which borders Frisco, has more apartment communities and neighborhoods than the sparsely developed northern and western corners of town.

• Dallas Morning News, May 23, 2019

Thinking Of Selling Your Home??? Here Are A Few Tips To Get It Ready...

1.  Edge, mow and fertilize the lawn. Re-seed sparse areas.
2.  Trim hedges, weed lawns and flowerbeds, and prune trees. Cut back overgrown shrubbery.
3.  Reseal cracks in foundation, steps, walkways, walls and patios. Power-wash the exterior.
4.  Clean and align gutters and downspouts; clean the chimney.
5.  Remove oil stains from driveway and garage. Keep walks and driveway swept or free of ice.
6.  Wash the windows inside and out.
7.  Hire a cleaning service to thoroughly clean the interior.
8.  Paint the walls and ceilings off white or beige.
9.  Repair cracks, holes and damage to plaster, wallboard, wallpaper, paint, and tiles.
10. Replace damaged windowpanes, moldings and woodwork.
11. Repair drippy faucets and shower heads. Unclog slow drains.
12. Shampoo carpets, scrub and wax linoleum or wood floors.
13.  Clean out the fireplace and lay some logs in it.
13. Mend torn screens. Clean out all window tracks.
14. Replace burned-out light bulbs. Use brighter light bulbs.
15. Re-nail creaking boards or stairs; lubricate squeaking doors.
16. Clean all appliances (especially refrigerator and oven).
17. Replace old toilet seats and shower curtains.
18. Clear all cobwebs from corners and doorways.
19. Wash all light switches, handrails and doorknobs.

Dallas Golf Cars... $500.00 Gift Card...

Thinking About Buying An Older Home???

Thinking About Buying an Older Home? 4 Things to Consider First

Many people love the idea of buying an older home that has a rich history. Maybe you even have plans to restore one to its original glory. While older homes can be aesthetically pleasing, they often come with many underlying issues.

Keep reading to learn the four things you should consider before purchasing an older home. 

Does It Use Well Water? 

Check out the water situation before you sign on the dotted line. These days, most homes use water that comes from treated reservoirs or dams, but many older homes use well water. The downside to well water is that it can smell very strongly of sulfur and have a terrible taste. To some, the sulfur smell isn’t an issue, but if you are not used to it, the odor can be overpowering. 

Make sure you look into the water system, and if well water isn’t something you can live with, an older house might not be right for you.

Is There a Bat Infestation? 

There are many kinds of insect and rodent infestations, but a bat infestation may be one of the most tedious to deal with. Unlike termites or mice, bats are an endangered species, so you definitely cannot exterminate them. But the kicker is that you also can’t just catch them and let them go. There are only two times a year during which bats relocate, so you will have to wait for the appropriate time to get bat removal specialists into your home. 

Does It Contain Lead or Asbestos? 

Before we knew the dangers of lead, it was included in various materials in homes, such as pipes, paint and solder. However, studies have shown that exposure to lead can cause serious health problems, especially in children. The other thing that older homes may include is asbestos, which is a material often found in insulation and roofing. However, it poses severe health risks, such as increasing your chances of contracting lung cancer. 

An inspection will tell you whether the home you’re interested in has lead or asbestos, and if it does, you may want to ask yourself whether you’re willing to take on the issues of an older home.  

Are the Windows Shoddy? 

Check out the efficiency of the home’s windows. A lot of older homes have the original windows, which will be less effective at keeping your home warm in the winter and cool in the summer. 

Older windows can cost you money when it comes to your electricity bill. So before you buy an older home, look into the state of the windows and keep in mind that you may need to pay to replace them with more energy-efficient ones. 

If you are interested in buying an older home or any kind of home and have questions about the buying process, feel free to give us a call anytime. We’re happy to help!