Real Estate Lessons from Michael Jackson

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einstein_time_to_buy.jpgI know, who knew, right?!

 Lessons in money investing and management from the King of Pop?!  You can stop laughing.  Neverland has been in and out of the press for being in various “possible” stages of foreclosure. . .I have to insert here that MOST lenders really just want to loan you the money and sit back and enjoy collecting a check each month from their “investment”. . .very rarely are they hot and bothered to repossess a home and try to resell it and recoup their money, often giving borrowers a few chances to bail themselves out. . .the current market in some major cities where home prices have dropped and default rates have risen, we see this happening, blame predatory lending, unfortunate but true, the “bubble” was in short created by playing with “funny money”, paying more for a property in a high-demand market than it was really worth with money the buyers didn’t really have, and now we have a mess on our hands.  So, what can we learn from Michael Jackson? 

Don’t get in over your head.  Most folks these days understand the value of investing in real estate; the accumulation of equity as you own the home over the years, the interest payments being tax deductions, etc. . .but I have seen on many sad occasions folks who buy a lovely home. . .and have two car payments, a boat payment and maybe as the icing on the cake, a motorcycle payment.  Live with in your means.  I don’t know who will buy something like Neverland, I suppose its days as a private residence are over, I suspect some investor group will swoop in and eventually open it to the public. . .but easy to see that even one of the world’s richest men can get in over their head.

You should be able to afford not only your mortgage and other basic monthly expenses such as utilities, insurance, taxes, etc.  You must be able to afford upkeep and maintenance on your home, be it simple lawn care, a fresh paint job every few years, a new roof when needed. . .I have some sellers expect to tack on the cost of a very much needed paint job or a new roof to replace a leaking one to the sales price, the home is SUPPOSED to have a roof “performing the function as intended” like everything else in the house.  In short, I hate to sell a home to family that has a mortgage payment that will stretch them to their limits. . .I don’t want anyone to cry while writing their mortgage check and cursing my name.  Investing in real estate is a wonderful experience as long as you know what you are getting into, ask questions, read up, double and triple check your budget and find a great agent to help you through the process. . .have I mentioned I’m available?  🙂

About McKenzie Johnson

I am a Real Estate Broker with over 13 years experience in the industry. A fan of anything the color orange, long walks on the beach eating dried cuttlefish, four legged friends, new adventures in cooking or travel. A REALTOR and real estate consultant living and working in North Carolina with information to share. I would love to demystify the process for you. . .I think real estate is a tremendous investment for just about everyone. . .not just for the financial aspect, but also the idea of owning a piece of the American Dream, a chunk of earth, literally, with your name on it. I love what I do and who I get to meet through my job, the most rewarding part is handing a family their very first set of house keys! I hope you will find helpful information here, and it is just that, information, please don't take it as gospel, just my take on real estate and the world around me. For additional information and how to contact me, visit my website www.910Homes.net. I serve the Onslow County area which includes the military bases: Camp Lejeune, New River MCAS, Camp Johnson, Camp Gieger and more.

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