Bill Hornsby Real Estate

After months of elevated mortgage rates, there's finally good news for homeowners: rates have been trending down over the past few months, and many experts expect this trend to continue as the Federal Reserve signals potential rate cuts through the end of the year. If you purchased your home when rates were at or above 7%, now might be a good time to evaluate whether refinancing could reduce your monthly payment and improve your long-term financial picture. But refinancing isn't just about chasing a lower rate. It's a financial decision that should be based on two important factors: how long you plan to stay in your home, and how long it will take to recapture the cost of refinancing. Every refinance comes with costs, typically 3-5% of the loan amount and the lender will give you an estimate when you meet. These include lender fees, title charges, and other closing costs. If you're planning to move in a year or two, the monthly savings may not be enough to of...

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...