Short-Term Rentals and Money Tips #investment #realestate #homeownership

Should My Neighbor Be Allowed to Turn His House Into a Short-Term Rental?
Source:  Kiplinger

The debate over short-term rentals, such as Airbnb and VRBO, is a constant one in all of America's major cities.  The debate centers around whether the entrepreneurial landlords or homeowners have the right to make a buck and the right of neighbors to maintain the atmosphere of the locale.

In some cities, there is the added concern that investors who buy homes in order to profit from short-term rentals are pricing home buyers out of the market.  Some rental apartment buildings prohibit brief sublets by tenant who might want to earn extra income, and that's the landlord's right.

4 Money Tips For New Homeowners
Source: CNN Money

More than half of Californians own their homes, and while there are many benefits to homeownership, costs can be a downside.  Besides for saving up for a down payment, there are numerous other expenses associated with owning a home.  Here are some tips for managing those expenses:

1.  Create a budget - if you've been renting, you may need to adjust your budget to accommodate increased utility and maintenance expenses.

2.  Prepare to spend money on repairs and maintenance - most homeowner's spend 1-4 percent of their homes' value each year on repairs and maintenance.

3.  Expect your property taxes to go up - your property taxes are based on the assessed value of your home but have a tendency to rise even when home values drop.

4.  Don't get caught off guard when big payments come due - if you don't have your homeowners' insurance and property taxes included in your monthly mortgage payments through an escrow system, you're responsible for paying those expenses on your own when they're due.

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