If you have a vacation home that you had hoped to retire to some day but have since changed your mind, don’t jump to sell it…consider renting it out instead.

For many, it seemed like a great idea to buy that vacation home or condo 20 years ago.   The plan was to vacation in the mountains as often as possible, then some day sell your primary residence and retire  to Highlands or Cashiers.   But lifestyle changes or financial situations might now be causing you to consider selling it instead.

However, as a member of the Top 5 in Real Estate Network®, I have seen many clients successfully rent their retirement home instead of selling it.  Author Christine Karpinski, director of Owner Community for HomeAway.com (HomeAway.com), offers some good reasons to consider renting your second home:

1. Circumstances have changed. Maybe grandchildren have arrived on the scene and you can’t bear the thought of moving hundreds of miles away from them. Or your parents are in poor health and need you nearby.

2. You’ve suddenly realized there’s no place like home and you’ve simply changed your mind. You’ve decided you like being near your friends and you don’t want to leave your current community.   Renting your second home out during the time you are not staying there makes it financially feasible to keep both homes.

3. You’ve decided to “retire” from retirement.   Nowadays, it’s not unusual for people to test-drive retirement and find that it’s just not for them.   Work can provide many rich rewards—structure, social interaction, mental stimulation, a sense of purpose, and so forth—that people keenly miss when they retire. And, let’s be honest—sometimes people simply can’t afford to retire.

4. Your fixed income hasn’t kept up with your lifestyle.  Even when you’re happy to give up the daily grind of your job, losing the paycheck that comes with it can be pretty painful.  Factor in inflation, rising taxes, and unexpected “new” expenses, and you may find that what seemed like a manageable cost of living five years ago doesn’t seem that way anymore.  Your second home, even if it’s paid for, may start looking like a liability due to property taxes, homeowner’s association dues, and maintenance costs. Not if you rent it out, says Karpinski. Then it becomes a source of new income.

So don’t give up and seek to unload your Highlands or Cashiers second home just yet!    There are still many ways to make this investment pay off. For more information on renting or buying a second, potential retirement home, please send an email to info@meadowsmtnrealty.com or give us a call at 828-526-1717.    We have a great rental department with a rental website at www.renthighlandsnc.com.

If you’re looking to sell or refinance your home, you know that a home appraisal is a necessary step in the process.  Even though the value of your home may not be as high as it once was, it is important for homeowners to be realistic when it comes to getting their home appraised.

As a member of the Top 5 in Real Estate Network®, I know how vital it is to list your home at the right price.  Although price is only a part of marketing, it is important and having an appraisal done is the first step toward making the  pricing decision.

Here are 10 ways to prepare for a home appraisal:

1. The appraiser will need approximately 30 minutes to one hour to complete the inspection phase of the appraisal process, which includes: exterior photos of the front and rear of the home and a photo of the street in front of the property; measurements of the exterior of the home, garage and any outbuildings; a walk-through inspection of all rooms and levels of the interior of the home, including the basement.
2. Get organized. Put together a checklist that will help you get ready for your appraisal.
3. Be flexible when scheduling the appointment.
4. If possible, have a copy of your home’s floorplan to help verify measurements and lot size.
5. Provide a list of improvements made to the property since the purchase.  Include improvements like adding a deck, updating your kitchen or bathroom, and any room additions, etc.
6. Allow your appraiser access to the entire property, including access to any crawl space or attic areas.
7. Keep in mind that a clean home makes a good impression. Be sure to trim the lawn, clean our garage, repair cracked windows or torn screens, check for leaky faucets and secure gutters and down spouts before your appraisal.
8. Point out any amenities that may not be obvious to the appraiser:  patios,  security systems,  vacuum, etc.
9. Provide a copy of last year’s tax assessment information.
10. Know what year the house was built and when improvements were made.
Following these steps will go a long way toward making the home appraisal process a bit easier.  For more information on home appraisals and preparing your home for sale, please email us at info@meadowsmtnrealty.com. 

If you are looking for your real estate  in Highlands NC or Cashiers NC, please give any of the brokers at Meadows Mountain Realty a call at 866-526-3558.  Visit our website at www.meadowsmtnrealty.com

Many consumers comment that some realtors as well as some economists seem confused about the future of housing sales. They point out that sometimes we seem bullish and sometimes we seem bearish. Let’s set the record straight about this.

Whether the Highlands housing market is likely to be up or down in the future is based on how many people decide to buy homes. Their decisions are based on a myriad of personal factors such as health concerns, whether they are close to retirement, whether they need or want a second home, whether they can afford to buy and so on.

Their views are also affected by tax credits, home prices, mortgage rates and a host of other factors out of their control. In short there are more than a few variables.

What do we think? Going back over 30 years shows that one consistent barometer is the “5%” rule. That is over 30 years of data shows that roughly 5% of all households tend to buy a new or existing home each year. (Note: in 2005 the percentage had reached 7.2% or 44% ABOVE the sustainable long term rate.) On that basis, and given approximately 120 million households in the U.S. then “normal” housing sales should be around 6 million for this year. And given where we are at the start of June, that seems to be where we will finish.

 In short, we are bullish about a solid if not spectacular year for housing sales.

There’s also been some confusion about how the new health care bill may affect real estate. First, there is no 4% “sales tax” or “transfer tax” on the sale of a home included in the health care bill. Additionally, there is nothing in the bill that impacts the mortgage interest deduction. What was included in the health bill is a provision that imposes a new 3.8% Medicare tax for some high income households that have “net investment income”. Any revenue collected by the tax is dedicated to the Medicare hospital insurance program.

This new tax would only apply to households with Adjusted Gross Income (AGI) of more than $200,000 for individuals or more than $250,000 for married couples. Since capital gains are included in the definition of net investment income, an additional tax obligation might result from the sale of real property.

The calculations of how much tax is owed are complex. However, even when the AGI limits are met, the new tax would not be applied to all capital gains that result from the sale of a home since the existing home sale capital gains exclusion rule still applies. So if the gain from the sale of the primary residence is below $250,000 (individual)/$500,000 (couple) then no Medicare tax will have to be paid on the gain.  The new Medicare tax would only apply to any home sale gain realized in excess of the $250K/$500K existing primary home exclusion that pushes the filer’s AGI over the $200K/$250K income limits. The new Medicare tax will take effect January 1, 2013. Of course, you need to check with your own tax professional to see how the new health care reform bill can affect your bottom line.

For more information on real estate in Highlands, contact Judy Michaud at Meadows Mountain Realty 828-526-1717 or toll free 866-526-3558. Please feel free to stop by our office across the street from “Sweet Treats” at 450 N. 4th Street in Highlands or at 94-1 Highway 64 West in Cashiers.  Or visit us online at www.meadowsmtnrealty.com   Judy can also be reached by email at info@meadowsmtnrealty.com

Highlands Falls Country Club is a lovely gated community in Highlands North Carolina.  Bordered by the Nantahala National Forest, the Highlands Falls Country Club is in a magical setting that offers not only fantastic golf but amazing recreational opportunities.  The community has a variety of home options, from cluster homes and condominiums to elegant custom built homes.  One of the hottest buys currently available is a Highlands Falls cottage located at 1100 Claire Lane.

1100 Claire Lane is a 3 bedroom 2 ½ bathroom cottage with impeccable details that include a beamed ceiling, a stone fireplace, hardwood floors, all-new appliances and new cabinetry.  Priced at $499,000 this home is a must-see.

Highlands NC has many wonderful homes for sale that run the gamut in terms of price.  If you are looking for a luxury estate it is here but if you want to live in luxury in Highlands NC and not pay a luxury price then this adorable Highlands Falls cottage is what you have been looking for.  Contact us today to look at this home or any other Highlands NC real estate.

For more information about Highlands and Cashiers North Carolina, and for access to the Highlands/Cashiers NC MLS, contact Meadows Mountain Realty today, 866-526-3558 or email us today at info@meadowsmtnrealty.com.

For those looking to live a mountain lifestyle that includes golf, a lake, incredible views and a spectacular setting Cullasaja Club in Highlands North Carolina fits the bill.  Cullasaja Club is known for its challenging golf course designed by legendary golfer Arnold Palmer.  Comprised mainly of single family homes, this Highlands NC community has some cottages and villas as well, affording their residents maintenance-free living with stunning views and easy access to the Cullasaja Club amenities.

The fabulous clubhouse at Cullasaja Club is a cornerstone of the community, offering a place to meet up with friends, swim, play tennis, work out, or just plain relax and enjoy life.  In addition to the golf course and clubhouse is Lake Ravenel, a stunning lake to one which to canoe, fish or picnic alongside.

Highlands NC is made up of a variety of communities, and Cullasaja Club is one which has a great deal to offer the outdoors-man, the golfer and families.  With amazing golf, a clubhouse to meet friends and make new ones, and a lake, What more does one need?

For more information about Highlands and Cashiers North Carolina, and for access to the Highlands/Cashiers NC MLS, contact Meadows Mountain Realty today, 866-526-3558 or email us today at info@meadowsmtnrealty.com.

If you have been looking for the perfect specimen of Highlands NC real estate, your search is over.  1124 Billy Cabin Road in Highlands, NC, is an amazing home in an ideal location.  This Highlands property is in a private setting alongside Big Creek, allowing its residents to feel away from it all when they are actually close to the town of Highlands and all that it has to offer.

This Highlands home has 4 bedrooms, 5 bathrooms and was built in 2008.  The attention to detail make this home special.  Built to resemble old world construction this Highlands home has all of the modern conveniences one needs to feel comfortable and pampered.  Old beams, stone fireplaces and nostalgic baths accent this unique Highlands property.  Call us today to set up a showing of this home or any other home that is currently on the market in Highlands North Carolina.

For more information about Highlands and Cashiers North Carolina, and for access to the Highlands/Cashiers NC MLS, contact Meadows Mountain Realty today, 866-526-3558 or email us today at info@meadowsmtnrealty.com.

Cashiers North Carolina is made up of a variety of communities, offering different types of mountain lifestyles, one of which is Sassafras Ridge.  Sassafras Ridge is a stunning gated community where residents partake in luxury mountain living above the stunning Sapphire Valley.  The larger home sites in this Cashiers community secure one’s privacy, allowing residents to get away from it all and take advantage of their setting and views.

The community of Sassafras Ridge is bordered by United States Forest Service land and Golf Club Estates.  With meadows, creeks, cascading waterfalls and far reaching views this lovely gated community epitomizes luxury living in Cashiers NC.  Contact us today to learn more about Sassafras Ridge and the real estate opportunities that exist here.

For more information about Highlands and Cashiers North Carolina, and for access to the Highlands/Cashiers NC MLS, contact Meadows Mountain Realty today, 866-526-3558 or email us today at info@meadowsmtnrealty.com.

Old Highlands Park offers hassle-free, luxury living in Highlands NC.  The Old Highlands Park Condominiums are well-planned, luxurious condominiums that require no maintenance from their residents in a convenient in-town setting.  For those that want to escape to the Southern Blue Ridge Mountains yet not have to worry about landscaping and maintaining a large home, these Highlands condos are a must-see.

Located next to a lakeside park, complete with picnic tables and benches, the Old Highlands Park Condominiums give homeowners access to the true beauty of the Highlands NC area.  At the same time, the best of what the town of Highlands has to offer, top notch shopping and fine dining, is all within walking distance.

Please call us today to learn more about the Highlands Park Condominiums and to take a look at what a luxury condo in Highlands NC has to offer.

For more information about Highlands and Cashiers North Carolina, and for access to the Highlands/Cashiers NC MLS, contact Meadows Mountain Realty today, 866-526-3558 or email us today at info@meadowsmtnrealty.com.

If you are looking for a Highlands home that has privacy yet the convenience of being located in town, look no further.  93 Old Edwards Circle is a home that offers its residents the impeccable quality and design expected from the mountain style architecture of Highlands NC.  The detail is this home is evident throughout, from the natural stone fireplace to the timbered trusses that accent the coffered ceilings of its great room, this Highlands home offers a luxurious retreat to its lucky inhabitants.

A well-designed kitchen was built as much for low-key home cooked meals as it was for elegant entertaining, adding to the versatility of this particular Highlands home.  If you have been looking for a home in Highlands that will give you the charm and the serenity of a private location, the security of club membership and an in-town location, look no further.

For more information about Highlands and Cashiers North Carolina, and for access to the Highlands/Cashiers NC MLS, contact Meadows Mountain Realty today, 866-526-3558 or email us today at info@meadowsmtnrealty.com.

This question is central to both anxious home buyers and investors who are on the fence waiting for an economic recovery.   Even with historically low rates and with the first-time buyer tax credit  which the government hoped would inspire buyers to take the plunge — the number of new home purchase loans is expected to fall 4.6% this year, according to the Mortgage Bankers Association, a trade industry group.

Banks are still caught in the undertow of the mortgage crisis, and are under pressure from bank regulators to clean up the earlier mess and under pressure from stock holders to boost profits.    This pressure is increased by the government’s attempts to stem the growth of foreclosures and bring about recovery from the Great Recession.   For a list of foreclosures and short sales in Highlands and Cashiers NC click here.

You would think that healthier banks would be lending more.    However, consumers aren’t seeing increased mortgage lending because of tight underwriting standards associated with Fannie Mae, Freddie Mac and the Federal Housing Administration.   The banks are not really in direct control of the underwriting standards of residential mortgages.   These firmer lending standards seem to be a return to what it was like to get a mortgage before the housing bubble.  If you couldn’t get a mortgage in 2000, you probably won’t get one now.

For lending to increase, some experts say the government will have to play a role in softening the standards – at least slightly – of getting a mortgage through Fannie and Freddie, which typically require a minimum 20% down payment.   This requirement is one reason why FHA originations – which require a 3.5% down payment – have gone from 2% of the mortgage origination marketplace in 2006 to 35% in the present market.

There is a bright spot which helps the Highlands and Cashiers market.   That is a mild loosening of jumbo-mortgage lending relative to price.     The jumbo mortgages have a couple of advantages for lenders.   The banks are allowed to set the standards for the loans, and the loans can go on their books.    The most immediate link between a financially healthier bank and increased lending will likely be seen with these mortgages since banks have full underwriting control over them.

It is expected that moving forward, mortgage lending will remain a significant portion of the large banks’ business; the Mortgage Bankers Association expects new mortgage originations to climb 14% in 2011 up almost 10% from this year.

For questions about real estate in Highlands and Cashiers NC, ask the experts at Meadows Mountain Realty, your best source for up to the minute information about your best investment.