Bill Hornsby Real Estate

When it comes time to sell your home, one of the most important financial details you'll need to know is your "basis" in the property, that is, the total amount you've invested in the home over time. Your basis determines how much profit you'll report on the sale, which in turn impacts whether you owe capital gains taxes. Many homeowners are surprised to learn that their original purchase price is just the starting point. Costs for major improvements, certain closing costs, and other qualified expenses can all be added to your basis, helping to reduce�or in some cases eliminate any taxable gain. Keeping thorough and accurate records of these expenses is essential. Without documentation, the IRS may not allow you to include them in your basis, which could result in a larger tax bill than necessary. Homeowners who maintain organized records from day one, including receipts, contractor invoices, and settlement statements, are better positioned to take...

If you've been sitting on the sidelines, waiting for mortgage rates to drop back below 4% before making a move, it's time for a reality check. While we all loved the historically low rates of 2020 and 2021, those numbers were driven by extraordinary global circumstances, not typical market trends. And expecting them to return any time soon could lead to missed opportunities that may cost you far more in the long run. During the height of the pandemic, global economic uncertainty prompted aggressive action from the Federal Reserve, which helped drive mortgage rates to record lows. In January 2021, the 30-year fixed rate bottomed out at 2.65%, the lowest in Freddie Mac's recorded history, which dates back to 1971. But that wasn't a normal market. It was a response to an emergency. Looking at the big picture, the average 30-year mortgage rate over the last 60+ years has hovered around 7.74%. Even today's rates, currently in the mid 6% range, are below that ...

"What if your next home came with built-in income? Discover how living in one unit and renting out the others could slash your housing costs and build your wealth at the same time." When most people think about buying a home, they picture a single-family house. But there's another option that could make homeownership more affordable and help you build wealth faster, buying a small multi-unit property. FHA, VA, and conventional lenders allow qualified buyers to purchase up to a four-unit property if they live in one of the units. That means you could buy a duplex, triplex, or fourplex, move into one unit, and rent out the others. The rental income from your tenants can help offset your monthly mortgage payment, often making your housing cost less than if you bought a single-family home. This can be a game-changer because of: Lower monthly cost: Rental income helps cover your mortgage, taxes, and insurance. Forced savings: Part of every payment reduces you...