Scott Sachs Real Estate Video Blog

Ever wondered what it would be like to live in the Potomac House? Tour the building with me today.   Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale.Today I’m going to take you on a tour of the Potomac House in Georgetown. The Potomac House is a great place to live and there are a lot of things to cover, so here is a quick rundown of everything you need to know: A closed loop security system covers the entire building. However, you should still be careful when letting people in. The Potomac house features regular trash and recycling services. Cardboard boxes must be broken down and put in recycling. All residents get three keys: the key to the front door, your unit key, and your mailbox key. The Potomac House is a great place to live.   The foyer has designated mailboxes and an area for incoming packages. There are fire extinguishers and fire alarms on every level. The lower level also has sprinklers in case of an emergency. The setup is very similar in all units. Each unit comes with a radiator and window A/C unit. You have to wash the filters for the A/C unit. The radiator heat is a management paid expense. When you move in, management will make sure that none of the drains are clogged.The kitchens come with gas stoves and a garbage disposal. There is a garbage disposal below the sink, as well as a red reset button on the bottom of the disposal.  Every unit has a fire extinguisher in the kitchen. The fuse box is also in the kitchen. Emergency information is all located on the front of the fuse box. All work requests can be done directly through the website portal that you will receive upon becoming a resident. That is just a brief overview of all this amazing building has to offer. To get the full experience, make sure you check out the above video. If you are interested in living at the Potomac House or if you have any other real estate questions for me, please don’t hesitate to give me a call or send me an email. I would be happy to help you!

I have a new listing at 2006 10th street that’s ideal if you’re looking to invest in multi-family properties.  Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale. I’m pleased to be able to show you one of my new listings located at 2006 10th Street, right on the corner of 10th and U and less than a block from the Metro. Check out the video above for an in-depth, guided video tour of the entire interior. This listing is ready for investors. This property is a three-unit apartment building listed for $1.3 million. The three units consist of a 2-bedroom, 2-bath penthouse with a spectacular rooftop, a main-level 1-bedroom, 1.5-bath multi-use unit that you can convert into commercial space based on zoning, and a lower-level 1-bedroom studio. The building was built in 2015, so it’s turnkey and ready for investors. If you’re interested in investing in multi-family properties or have any questions regarding this listing, don’t hesitate to reach out to me. I’d be happy to speak with you.

Right now is a great time to be an investor. You have a chance to build some long-term wealth in this inflationary market.  Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale. Today I’m in front of a great listing that just sold in Ledroit Park. It’s a two-unit property with three bedrooms and 2.5 bathrooms on the upper level and two bedrooms and two bathrooms on the lower level. This type of unit is fantastic for an investor or someone who wanted to live in one unit and rent out the other. I’ve got a three-unit property that will hit the market in U Street Corridor that would be perfect for an investor as well. Right now there’s a great opportunity to get rental income. Right now there’s a great opportunity to get rental income. We’re in an inflationary market and rent prices tend to correspond with that inflation. Picking up something in that two- to four-unit range for a great 30-year fixed rate will create a really nice long-term wealth building opportunity.If you would like to talk more about opportunities in the marketplace or you would like some information on our three-unit listing that will hit the market soon, feel free to give me a call or shoot me an email. I look forward to hearing from you! 

Owning a home comes with some major advantages when it comes to your taxes.  Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale.Owning a home comes with many benefits, especially when it comes to your taxes. It’s especially true for anyone thinking about buying their first home. Let me start by saying that I’m not a tax professional, but I’ve sold my fair share of homes, and I’m pretty proficient in this area.The biggest tax advantage of homeownership is tax and interest deductions. For starters, when you sell your principal residence, you can claim up to $250,000 tax-free as a single person. Married couples can claim up to $500,000 tax-free. This is a huge bonus that allows you to take advantage of appreciation over time. However, the biggest advantage is mortgage interest and real estate tax deductions. Say you owned a $600,000 property that you put down 20% on with a 4.25% interest rate. You’d pay $20,244 in interest the first year, which you can write off against your income. If you’re in the 33% tax bracket, the actual savings amounts to $6,680, or $556 a month. That’s an advantage you don’t get as a renter.If you’re an investor interested in taking advantage of the 1031 exchange before it’s gone, I’d love to sit down and speak with you about the potential tax benefits you could utilize. If you have any other questions about the tax benefits of owning a home or you’re thinking about buying your first home here in the D.C. area, give me call or send me an email. I’m here to help.

The Washington D.C. area is firmly in a seller’s market, and here’s how homebuyers can get ahead by making their offers on a home more attractive.  Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale.We’re definitely in a seller’s market in the Washington D.C. area right now, making writing a competitive offer more important than ever when buying a home. Price is obviously very important in an offer, but you can only go so high and still have the price make sense. There are a few other ways to make your offer compelling outside of price alone.Settlement date: Make sure the settlement date corresponds with what works best for the seller. If the house is vacant, a 30-day deadline is very important. If the home seller is looking for a home, you should consider giving them 60 days plus post-settlement occupancy. You need to be open to the needs of the seller in those situations.Contingencies: The standard contingencies are an appraisal contingency, a financing contingency, and a home inspection contingency. I’m currently seeing offers with no contingencies at all, but as a homebuyer, it’s important to write an offer you’re comfortable with. It’s also important to have a conversation with your real estate agent to understand the implication of this. Once you do, it’s important to write an offer that will be a winning offer, whether that means waiving your home inspection contingency but doing a pre-inspection before the offer deadline so you know of any adverse conditions with the property and you’re comfortable moving forward without that inspection in place. You can also speak with your lender before making an offer to make sure you’re fully approved. Creative things to make your offer stand out: This could include paying the seller’s transfer taxes or things like that to give them a higher net without impacting the price of the home. You can only go so high on offer price and have it make sense. These are all successful techniques that I’m currently implementing to help buyers get into the home they want. If you have any questions or you’re looking to sell a home in the Washington D.C. market, give me a call or send me an email. I’d be happy to help.

What's going on in the D.C. market as we transition from winter to spring? I've got an update for you today.  Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale.I wanted to bring you an update on the Washington D.C. market as we transition from the winter market to the spring market.We've got a lot of pent-up demand from people looking to buy a home who held off on their purchase since the election. Whether it was for economic or political reasons, people wanted to know what would happen. We're seeing this segment of buyers hitting the market, which already had low inventory. From 2016 to 2017, the average sale price in D.C. has increased 11.1%. This has had an impact on the market in that the average days on market here in D.C. is down nearly 5%. In Montgomery County, the average number of days on market is down 15% and in Arlington County, it's down 19.7%. This has an immediate impact on the price of these properties because they're ending up in multiple offer situations. From 2016 to 2017, the average sale price in D.C. has increased 11.1% year over year. That number is up 6.8% in Montgomery County and up 3.4% in Arlington County. This means that if you're looking to buy a home, you need to work with a competent real estate agent and be prepared to write a competitive offer. If you're looking to sell your home, now is a terrific time to maximize your return by working with a professional who will stage your property the right way, market it efficiently, and negotiate on your behalf. Make sure your agent knows your area well.If you have any questions about the D.C. market or you're looking to buy or sell a home at this time, give me a call or send me an email. I'd be happy to help!

Understanding how to properly prepare yourself to enter the market is key. Here are a few tips for buyers and sellers to ensure a successful purchase or sale.  Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale.Many people don’t understand how important it is to prepare before entering the market. Most of them end up playing catch-up. Using these tips will help ensure a successful market experience whether you are a buyer or seller. The spring market is going to be very busy. Low inventory combined with rising interest rates are pushing both buyers and sellers onto the market. As a buyer, follow these tips to ensure a successful purchas Get fully approved for a loan by your lender. Make sure you get an actual approval letter. This will show the seller that you are highly qualified and serious about the purchase, putting you ahead of the pack. Meet with your agent and make sure they know what your criteria are heading into the market. If a property hits the market on a Thursday, you’ll want to know about it and know the course of action to take in order to create an offer and make it competitive. Understand the contingencies of your offer. Make sure you’re covered if there is some sort of financial contingency or a contingency involving an appraisal. Your agent will be able to help you understand any contingencies. Don’t make the mistake of rushing onto the market. As a seller, follow these tips to ensure a smooth home sale. Meet with your listing agent at least a month in advance. This allows your agent to set your active date and make sure everyone is on the same page. From there you can get your pre-inspection to find out what potential red flags could harm your sale. Fix those issues before you list, and ask your agent what you can do to maximize your profit. Start a successful marketing campaign before you list. Your agent should have professional photos taken and create a virtual tour of your home in order to get your home marketed correctly before it goes on the market. This allows you to make a splash on the market when your home goes active. If you have any other questions, feel free to reach out to me with a phone call or an email. I look forward to hearing from you!

Have you ever considered investing in real estate outside of your primary residence? It's time to stop sitting on the fence and really dig into the possibility in 2017.  Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale.We've seen that a lot of people have a New Year's resolution to finally make an investment in real estate. Adding a property as an investment only is a great way to diversify your portfolio, whether it's a small condo, a townhouse, a single-family home, a multi-family property, or anything else. If it's something you've considered, I encourage you to reach out to me. It can be a scary process.I'm here to tell you that you can, in fact, find the right property and you can go through the process pain-free. I do it myself, and I constantly work with investors to find really great deals that they can use as long-term builders of wealth. Just recently, a client of mine closed on a six-unit apartment building. The property yielded a 17% IRR (internal rate of return), an 8.9% year one cash-on-cash return, and a 7.69% cap rate. I do it myself, and I constantly work with investors to find really great deals. Now, you might not yet understand what some of those terms mean, and that's what I'm here for. This example is a very solid investment, particularly in the Washington D.C. market. This is something most people should look for, especially if you're primarily invested in stocks or bonds. I know this market extremely well and I know which neighborhoods that are transitioning that present an appreciation potential, and most importantly, what rents are doing in and around the city.At the very least, ask a real estate professional like myself about it. I'd be more than happy to give you a free real estate investment consultation.

I’ve been fielding a lot of questions from people recently. The thing people want to know about most is what effect the new president will have on interest rates.  Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale.I’ve been getting a lot of questions lately about what’s going to happen to real estate values now that we have a new president. The short answer is there is going to be little impact, but here’s why.There are roughly 32,000 jobs tied to the political arena. Additionally, 24,000 of them are located on Capitol Hill. Of those 24,000, 9,000 are considered nonpartisan jobs. They are there year round, no matter who is in place as leader. The remaining jobs are staffers who are not in a position to buy something. In the end, you have about 2,250 people who are qualified buyers that will be looking in the area.Even though people are leaving with the old administration, there are people coming in with the new one. In this type of turnover in the past, we haven’t seen an exceedingly high supply. There is a net gain and a net loss. The policies put forth by the new president are what will have a large and lasting impactWe are going to see more increases in interest rates. Based on indicators in the marketplace, we are going to see an interest rate increase this month and maybe another one soon after. You need to be prepared for those higher rates if you’re thinking about buying. A rise in rates will affect your buying power and the type of home you can afford. Keep in mind that right now, interest rates are historically low; under 4%. Don’t be concerned about them going up, as this is a normal part of what looks like an improving economy. It’s just something to be aware of moving forward.If you have any questions for us, don’t hesitate to give us a call or send us an email. We look forward to hearing from you.

Today we're talking about new TOPA regulations and how they affect property owners that have tenants. The new regulations affect sellers of tenant-occupied properties.  Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale.If you're buying or selling a property, do you know about TOPA rights? It's an important thing to understand to protect yourself in a real estate transaction.TOPA is the Tenant Opportunity to Purchase Act. In Washington DC, landlord laws are very stringent, so you have to be careful when dealing with properties that have tenants. You must understand timelines of when you serve notice to tenants and what their rights are as tenants under those notices, as well as the assignability of those rights. You want to work with a real estate professional who can properly maintain a transaction and be a consultant for you in these situations. Keep in mind the recent change in TOPA regulations as well, because it is important relative to the companies that underwrite your title insurance. Just recently on the jurisdictional addendum in Washington DC, there was a change to add a clause titled 'Tenancy.' Under this clause, it states specifically that 'seller represents the property that is or is not subject to an existing residential lease or tenancy at the time seller decided to sell.'New TOPA changes could affect anyone selling a property with a tenant. It's very subjective, but the new regulation essentially says that you can't sign listing paperwork with an agent until 1) the lease on the property has expired and 2) the security deposit has been returned to the tenant in order for you not to be subjected to TOPA rights. This means having to go back to that tenant—even if they moved out three months ago—if you signed listing paperwork before returning the security deposit to that tenant. You'll then be subject to TOPA rights, and will have to track them down, serve them the proper notices, and go through those various processes. This change is because underwriters of the policy now see it as a liability if you had a tenant in that property within three to four months of signing listing paperwork. They want to know that the tenant isn't coming back to you and making any claims for the security deposit or monetary reasons, like rent that wasn't returned. This is especially important with a lot of people selling units right now in the Washington DC area. More specifically, we're seeing people who owned condos and were using them as investment properties with tenants and are now going to sell them. Be sure to talk to your real estate professional to make sure they’re aware of these new changes to help ensure you have a smooth transaction. If you have any questions for me about these changes, give me a call or send me an email. I'd be happy to offer my expertise.

Why is it so important for agents to have an extensive network of trusted vendors? So they can recommend service providers to clients that reflect their own values.   Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale.Today I wanted to talk to you about the importance of a provider network when selecting and working with your real estate agent. Over the 13 years I've spent in real estate, I've created and vetted a list of number vendors like contractors, lenders, and title companies to essentially create an extension of my brand. I know that these people that I recommend will provide the same level of reliability and consistency in their service that I provide to my clients.Our network is essentially an extension of our brand. This is important because there are a lot of components that go into finding a home, writing an offer, and negotiating a contract, when there's still a lot of heavy lifting that needs to be done to get the deal closed smoothly. That involves your insurance agent, your lender, and the title company. Finally, you need to consider your contractor network whether you're a buyer or seller. That could be for remodeling, landscaping, painting, or anything in between; you want them done at a reasonable price with a high level of professionalism. We always look at things from an owner's perspective and ask how we would want something done ourselves. We do this for peace of mind for our buyers and sellers and to ensure that our deals close on time and successfully. If you have a need for any type of contractor, please feel free to let us know, because that's what we're here for. Give us a call or send us an email and we'd be glad to help.

If you’re a seller, there are new radon testing guidelines about to take effect that could have a significant impact in how you list your property.   Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale.The new radon testing guidelines of Montgomery County impact sellers more than buyers, but it’s still important for buyers to understand their rights based on the new real estate transaction process. Under the old law, there was a radon contingency in the contract stating that buyers had the opportunity to conduct a radon test and, based on those results, either request remediation from the seller or have the ability to walk away from the transaction.The new law requires that within one year of the date of settlement, the seller must provide radon testing results of the property to the buyer, allow the buyer to be able to conduct the test themselves or allow the buyer to mandate that they conduct the test. In essence, the seller is responsible for paying for and conducting the test. This doesn’t mean that the seller must remediate if the radon levels come back higher, but it does mean that they have to provide the tested results in their disclosures to all parties interested in buying the property.The new guidelines took effect on October 1st. These new guidelines took effect on October 1st of this year. Anybody who owns a single-family or fee simple property will be included in this. REO properties, foreclosures, estate sales, condominium properties, and co-op properties will be excluded, however. There are additional guidelines that apply to this rule regarding the logistics of how you can conduct this test and how it affects the way you list your property, so it’s important to work with a Realtor who knows what they’re talking about and is informed about the most recent changes to the law to make sure that you’re protected when it comes time to conduct your business. For more information, you can visit our website at www.scottsachs.com where I will have a link posted with additional radon regulation rules, here. I will also have a list of the approved radon testing devices you can use or pay someone else to use prior to listing your house.

I have a new listing I would like to show you. It won’t last long, so take a good look at it if you think you’re interested.   Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale.I’m standing just outside my new listing at 1913 11th St. NW, Washington, D.C. 20001. This townhouse is a total gut renovation that’s been contemporarily remodeled with a sleek new design. It now features a spacious open floor plan, four bedrooms, 3.5 bathrooms, and a rooftop deck with a gorgeous view.This townhouse is a total gut renovation with a sleek new design. This one’s going to go fast, so check out the video above to get a better look. Inside the 1,594 sq ft interior, you’ll also notice things like the dramatic entry with the restored brick walls and the kitchen lined with quartz countertops.If you would like to know more about this property or have any other questions, feel free to email me or give me a call. I look forward to hearing from you!

Because rates are so low and we have a historically low level of inventory, most of the greater D.C. area is in a seller’s market.  Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale.We’re right in the middle of the fall market season now, which has thus far been very busy. It’s typical for the market to slow down once kids go back to school in August but then pick back up after Labor Day weekend, and we saw that again this year.There was a lot of new inventory that hit the market, but we also saw a lot of buyers come back into the marketplace. A lot of that new inventory, then, was absorbed. What we’re left with now is a historically low level of inventory. We’re currently sitting at a three-month supply, and since a six-month supply is considered balanced, most of the greater D.C. area is in a seller’s market. As you go a little bit further out, you’ll a see a little softening in areas like Potomac, Great Falls, Vienna, and even as far as Reston. This is indicative of the price points that are prevalent in those areas. Anything under $750,000 or even $800,000 is still extremely popular given that interest rates are still so low. That kind of borrowing power is forceful, and you’re seeing a lot of people step up their bases a little bit to get that property. We’ve also seen some softening in the more expensive markets between the $1.3 million and $1.4 million price points. Because interest rates are so low, many lenders have offered some really great jumbo loan packages, and these are starting to help the even more expensive markets between the $1.6 million and $1.8 million price points.We’re seeing a historically low level of inventory.If you’re a buyer, it’s a great time to be out there looking, particularly to lock in on something while the rates are so low. The next Fed meeting is happening in December, and they are expected to raise interest rates, so it might be a good idea to protect yourself from what could be a one-quarter to a half percentage point rate increase. If you’re a seller and you’re looking to downsize, now is a great time to do that as well. There are a lot of buyers out there, and because of the interest rates, you’ll likely be able to find that higher price point you’re looking for. If you have any further questions about the D.C. real estate market, feel free to give me a call or send me an email. I would be happy to assist you in any way I can.

If you’re a seller with $40,000 to spend on home renovations, there are many other home improvements you should consider making besides a kitchen or bathroom renovation.   Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale.How do you get the best return on your investment for home improvements? What should you really be spending your money on?The best improvements you can make from a purely ROI perspective are minor kitchen and bathroom improvements. These typically return over 100%. There are other repairs, too, that will usually return over 80%, including windows, roofs, and HVAC systems. If you’re a seller and have $30,000 or $40,000 you plan to spend on a kitchen or bathroom renovation, though, stop and consider the items that you really need to be spending your money on. Imagine what a buyer is going to look at when they look at your home. When I go through homes today, I see too many properties where owners have renovated the kitchens and bathrooms but have neglected more obvious repairs that should have been made instead. For example, if you have a double layer of shingles on your roof, then that roof probably needs to be replaced. If your gutter system is draining into the foundation, you should consider getting a new system, adding extensions to your leaders, and installing a sump pump into your basement so it doesn’t get musty. “Consider the items you really need to be spending your money on. ”You could also have single-pane windows that are leaking. These are upgrades that are not only great for resale, but they improve your finances by both eliminating future deferred maintenance and reducing your electric bill by increasing your home’s energy efficiency. The worst-case scenario for me is having to see buyers “spend good money after bad,” meaning they’ve bought a house that’s been recently renovated with bottom-line products and materials. With Home Depot and other home improvement companies having their own websites, it’s not hard for people in today’s market to distinguish between what’s quality and what’s not quality. They get stuck, then, having to make improvements to something they’re already paying a premium for because the seller considered their materials to be top-quality before they sold.  If you’ve recently purchased a house or are thinking about selling yours, please feel free to reach out to me so that I can provide you with a consultation on what’s really going to give you the most bang for your buck. Just give me a call or send me an email, and I’d be happy to help.

Today I’m announcing some exciting news:Our 16th Annual Client Appreciation Party will take place on Saturday, September 24th from 10:30 a.m. to 1:30 p.m. at Rock Creek Park in D.C. Picnic Area #13!This is a wonderful opportunity for us to thank all of our past and present clients, since a majority of our business is referral-based. We really appreciate our clients and their trust in us in referring their friends and family so that we can provide that high level of service to them as well.So please mark your calendars for September 24th. We’re going to have lots of family-friendly activities like face painting, balloon animals, games and prizes, as well as some great food on the grill.“See you on September 24th at Rock Creek Park! ”The event will also be located right next to the Nature Center, Planetarium, and Horse Center of Rock Creek Park. I will be coordinating a tour of the Nature Center and Horse Center in the morning, as well as a 1 p.m. show at the Planetarium. If you have kids over the age of 5, please let us know so that we can sign them up.This is also in observance of the Centennial of our National Parks Service, which was started in 1916, so this is a great way to celebrate the protection of our environment while simultaneously appreciating our clients.If you have any questions, please don’t hesitate to call or email us. I look forward to seeing you all!

How has Brexit impacted the D.C. housing market? So far, there is a lot of uncertainty in financial markets and long-term implications there. In our local real estate market, however, a lot of people are putting money into really safe securities, like treasuries and bonds. When that happens, the value of the U.S. dollar goes up and interest rates go down. As far as the 10-year treasury, Brexit may also lower the yield. Locally, we haven’t seen any changes in home prices, so don’t worry about home values going down. In any case, they continue to go up. Home value is more closely tied to supply and demand than what happens in the global financial market. If anything, Brexit has created a great buying opportunity for people in the real estate market. In fact, there is a lot more international money coming back into the United States real estate market. People see the U.S. as the best, safest place to park their money. Investors are using cash to invest in our real estate market. “Interest rates have dipped even lower since Brexit. ”The bottom line is you should not be concerned about Brexit’s impact on home value. Again, home value is affected more by local economics and policies than anything in the global market. So, take advantage of these historically low interest rates. You can get a 30-year mortgage for 3.5% or 3.625%, which is unbelievable. It’s also a great time to be in a 15-year amortization - that is under 3%. If you have any questions, give me a call or send me an email. I would be happy to help you!

  Want to sell your home? Get a FREE home value report.Want to buy a home? Search all homes for sale.Today I’m here with a public service announcement about the upcoming tax increases for Montgomery County, specifically for the county transfer tax. Anything settled after September 1st is subject to these fees whether you are the primary resident or an investor. To clarify, these tax increases don’t apply to homes under contract; this is for actual settlements. If you are looking to buy something and you want to get in before these deadlines, you need to act very quickly and be under contract in the next week or two. What are these increases and how will they impact your bottom line? Let’s say you bought a $575,000 home. Under the old county tax fees, $50,000 would be exempted from the first $500,000 of value if the property is your principal residence. The next $450,000 would be taxed at $6.90/$1,000, which would add up to $3,105. The additional $75,000 would be taxed at $10.00/$1,000, which would give you another $750. All told, you would pay $3,855 in taxes. “The county transfer tax increase takes effect on September 1st. ”Under the new rules for that same $575,000 property, you will get a $100,000 exemption off the first $500,000 of the home value. The next $400,000 is then taxed at $8.90/$1,000, bringing you to $3,560. The remaining $75,000 is taxed at $13.50/$1,000 for an additional $1,012.50. Your tax under the new increases would be $4,572.50 total. As you can see, that is an increase of $717.50 (or 19%) under the new tax increases. That’s if the property is your principal residence. If you are buying an investment property, there will be no exemption and taxes are due in the full amount. I think I speak for everyone who lives in the area when I say we expect better roads, less crowding in schools, and a variety of other things from the city council after these increases are in place. I hope you have a better understanding of what your settlement costs will be after September 1st. If you have any further questions, please don’t hesitate to reach out to me. I would be happy to help you!