SoCal, CA Real Estate Video Blog with Shawn Luong

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Being Too Conservative About Depreciation Can Cost You

There are many great San Gabriel Valley area homes for sale. Click here to perform a full home search, or if you're thinking of selling your home, click here for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call me at (626) 643-7090 for a FREE home buying or selling consultation to answer any of your real estate questions.

As you know, we advocate building a nest egg without having to rely on social security or your company pension funds. We recommend you use real estate to be financially independent, so you don't have to rely on either the government or your company.

If you are too conservative about the depreciation of your investment property, you are doing yourself a disservice. Property tax is based on two factors: land values and improvements. Improvements can be depreciated, while land values cannot - most people use a tax assessor to estimate the depreciation of improvements.

If you have purchased a home in the last few years, you may be able to get an amendment so that you don't have to pay more in taxes than you're entitled to. We can provide a Broker Letter for you that has a different estimate of the improvement value. This could save you money on your taxes and make your real estate venture a stronger investment.

Does this sound like something you might be eligible for? Don't hesitate to give us a call. We would be happy to be your Los Angeles area real estate resource.

Thanks, stay safe and stay happy!

What Does the Merger of Zillow and Trulia Mean for You?

In a huge merger, Zillow has recently acquired Trulia for $3.5 billion. Many people have asked us what the consequences might be; in truth, not much is going to change because of it. Both companies operate under the same business model and collect advertising money from real estate and loan agents. The only bad part is that advertising on these websites will likely be more expensive because there is no longer any competition to drive prices down.

Working with an agent remains the best choice when you're searching for a home or trying to determine the value of your home. If you are searching for a home, our website is much more accurate than Zillow and Trulia. Its listings are accurate and up-to-date, so you don't have to worry about finding a home that is no longer available. This resource is available to you for free!

If you want to know how much your home is worth, avoid Zillow and Trulia. Their estimates are off by as much as 10%, which can be frustrating if you are looking for a true value. We can provide you the "broker-price opinion" of the value of your home for free. We've done this over 1,000 times in the last five years and have found them to be very accurate. We have a strategy where we price your home slightly below its market value to generate more bids; the effect is that we typically sell homes for 5% more than they are listed for.

If you want accurate and up-to-date real estate information, we are happy to be your trusted resource. For all the help you need with real estate, give us a call or shoot us an email. Thanks, stay safe and stay happy!

What is a homestead exemption?

With the rise in home value and the increase in equity we have been seeing, a few of our clients have asked about homestead exemptions. Some of you have have heard this phrase before, but a lot of you aren't quite sure what it means, let us explain:

A homestead exemption, if declared, allows the equity on the principle residence dwelling to be exempt from any forced sales, like if you declared bankruptcy. For a single individual living by themselves, the exemption is $75,000. With an additional family member or spouse, it's $100,000. For the elderly and disabled, the homestead exemption is $175,000 with some income restrictions.

The homestead exemption does not prevent foreclosures. Homeowners are still liable for the Mechanic's Liens. So if you would like to know more about this, we would be more than happy to share the forms you need to fill out and help walk you through them. E-mail us or give us a call and we will help you out right away.