Archive for the 'Moving' Category

Staying Put

I make my living by helping people move. But at times, I have to advise them that it may make more sense to just stay put.

Here’s a recent example…

A few weeks ago, I met a nice, older couple at an open house. They have been thinking about moving from their house to a condo. Right now they have one floor living, a garage, and central air. They have around 1,100 square feet and would want a condo around the same square footage. Finally, they have no mortgage on their home, so their only recurring monthly housing expenses are their taxes, insurance, and utilities.

I suggested that I could help them understand what their house is worth so they could make sure they were looking in the right price range for condos. They thought that sounded like a good idea and invited me to their home.

I toured their house, went home and did a market analysis, and came up with a potential selling range. I also created a Net Sheet to help them understand what they would take away from a sale. The Net Sheet takes the projected selling price and subtracts out the estimated commission, state and town conveyance taxes, attorney fees, and other miscellaneous expenses.

Based on their need for single floor living, a garage, and the towns they were considering, there were about 10 condo options available. When we took into account the condo fees at the complexes, taxes, insurance, and utilities they would pay, it turned out to be cheaper to stay in their current home.

Luckily they currently live in a ranch, so they don’t need to deal with stairs, and that made my recommendation to stay where they are much easier. They also have adult children in the area that can help them out with plowing and mowing, when needed.

While I do enjoy helping people sell their homes, sometimes it’s in a person’s best interest to just stay where they are. If you’re thinking about moving to reduce expenses, it’s important to understand your current monthly housing budget.

When looking at condos, don’t forget to take into account the monthly Homeowners Association fees and what they include. They may make it more attractive to just stay in your house.

Relocating to Connecticut and Buying a Car

I’ve run into this more than once with relocating clients, so I think it needs to be addressed…

If you’re thinking about moving to Connecticut and buying a car in the state at the same time, make sure you have a legal Connecticut address first.

Often people coordinate their move and car purchase. However, if you don’t have a legal CT address, you won’t be able to register the new car here, so you won’t be able to drive it off the lot. A copy of a lease or bill with your name and address should be good enough for the dealership to work with the Department of Motor Vehicles on the registration.

Just don’t be caught in a bind thinking you can purchase your car and then drive around looking for an apartment or house. Unfortunately you’ll have to rent a car, find your place, and then you can buy and register your car. Happy relocating!

Movin’ to the City

 

The ‘burbs have attracted entire generations of Americans looking for their own little piece of paradise.  A small plot of land where they can plant a garden or put up a swing set.  Play fetch in the yard with the dog or catch with the children.  A nice little neighborhood and good clean fresh air.

They were willing to travel a little further to their jobs, in many cases suffering through brutal traffic.  And they were willing to pay a little more in taxes since the suburban communities tended to have fewer businesses on the tax roles.

Although the tradeoffs are manageable in an economic environment where energy is cheap, the recent spike in gas prices has made the traditional American car culture much more expensive to maintain.  We’re seeing folks struggling to make ends meet throughout the country.  Since the general perception is that energy prices will remain high for the foreseeable future, folks are beginning to rethink their budgets.

Early in the week I saw my first article suggesting a major, but logical, way to handle higher gas prices - move.  Move closer to your job.  Move closer to the town center where you do your regular shopping.  Move closer to your family and friends that you visit regularly.

I’d been waiting to see this article in the mainstream press.  It makes sense.  In many cases it’s easier than keeping the house but finding an acceptable job closer to home.  And it’s sufficiently dramatic to make for a good story.  It was bound to show up at some point.

However, I was surprised to see two more variations on the same theme show up shortly after.  First we have this piece forecasting the death of the suburbs. And then there was this one focusing on the increasing attractiveness of living along public transportation lines.

In the Hartford area we have some public transportation.  We have some of our big employers co-located downtown.  And we have some urban housing.  But we are not New York.  My guess is that rather than focusing on true city living, folks will gravitate to the inner neighborhoods and towns to minimize drive time rather than get rid of their cars all together.

But if folks start moving closer to the city, what’s going to happen to the more distant communities? Who will live there and what will become of all the strip malls? Will they become the new ghost towns?