Listing Courtesy of JOE MAGGIO REALTY
Home buyers direct a series of major decisions when it comes down to finalizing their Dewey Beach property purchase. Among the most important are two with decisive ownership and financial consequences: who will be the primary borrower for the mortgage; and who will be named on the deed?
The answers to these questions are the opposite of the fine print details that few of owners ever need to concern themselves about. These cast defining roles in determining the eventual ownership of the Dewey Beach property and in assigning financial responsibility for loan repayment.
Whose Name Goes On the Loan?
Determining who is to be the primary borrower may not be as simple as you would think. After all, one person might have the excellent credit needed to insure the best interest rate, while the other person currently brings in a higher annual income—providing the cash flow boost that enables a sufficient mortgage. It is often necessary for both members of a couple to sign on the dotted line to get an Dewey Beach property financed. A loan officer will walk buyers through the process, explaining which combination will offer the greatest loan amount at the most favorable terms.
Whose Name Goes on the Deed?
It’s important to keep in mind that the deed is almost completely separate from the loan. Even if only one person signs for the loan, several people can be listed on the deed. Placing a name on the deed shares ownership of the property. That can be helpful in the event of an untimely death or to avoid probate during an estate settlement, but there can also be drawbacks.
Since those named on the deed share in title rights to the property, that can empower them to prevent a sale—and also leave the property vulnerable to their debts. That’s why it’s important to be clear about all outstanding obligations before adding people to a deed, lest a pre-existing debt result in a lien being filed against the property. It's also good to remember that until the loan is paid in full, the bank or lender also has an ownership interest, which is why the bank can take possession for non-payment.
Making the Decision
Making the most of your Dewey Beach property is a continuing planning exercise that begins with these first ownership decisions. For individuals as well as couples, the multiple issues that come into play have financial and tax ramifications that merit careful consideration. Before buttoning up those final decisions, I always advise clients to consult with their accountant and lawyer to get the whole story—it’s a story which begins with your first call to my office!
Lewes home owners don’t have to live in the kind of January landscape that features blizzards and snowdrifts to want to winterize their home before the onslaught of the chilliest temperatures. In even the mellowest of climates, winterization is a way to shrink energy bills. And even if the recent shocking downward spirals in world oil prices have sent your home heating costs to the bottom of your budget-tightening "to do" list, remember that if and when you eventually put your Sussex County home on the market, low utility expenses can be a strong selling point. Regardless of how you set your internal thermostat, theBig Three of energy cost reduction always include the following:
Raise the Air Temp; Lower the Water Temp
Two tips that could seem counterproductive will cut energy costs in many an Sussex County home. You’d think you should just switch ceiling fans off until spring, but not so. For cooling, the blades are set to spin counterclockwise so that cool air won’t be wasted down near the floor. The tip is to reverse the fan’s rotation to clockwise. That will act to push warmer air down from the ceiling. Wait until the blades come to a stop, then slide the small direction switch (it’s usually next to the pull cord). The second tip is actually one you can do any time of the year since hot water heaters are usually set to heat to 140 degrees. In truth, most of us don’t need it that hot. Try resetting the temperature to 120 degrees, and see if it’s sufficient. If so, in the course of a year you’ll save more than a few dollars!
Block Air Creep
For a few dollars, a tube of caulk can be a final defense against the creep of cold outside air. Use caulk to seal cracks in the walls and gaps around your windows and doors. In extremes, there are inexpensive extra measures, such as see-through plastic sheets to cover windows with a second seal (doing both would keep the most remote Siberian cabin as buttoned-up as a baby kangaroo). If a drafty door will have to wait until spring for full renewal, an interim trick is to roll up a bath towel and place it against the threshold. This temporary fix keeps out the worst drafts and doesn’t cost a dime.
Take Care of Your Air Conditioner
If you have water-served central air, during the colder months when it’s out of service, good maintenance requires draining the water hoses. Split air conditioners don’t have that issue, but some of them need an exterior cover for preventing drafts (if you haven’t felt any on chilly evenings, it’s not necessary). If you haven’t already removed any window units, better go to the hardware store to buy exterior covers: a lot of chilly air can make its way in through uncovered vents.
The Big Three tips alone comprise a Sussex County home winterization program that costs less than a burger and fries—yet can result in measurable energy savings. If you have found any other simple energy savers, I hope you’ll share: drop me an email, or give me a call at the office!