HIGHEST AND BEST USE

Whether you are buying or selling vacant or improved land, the key factor in pricing is the term - "highest and best use".  

According to The Appraisal Institute the highest and best use is defined as: "The reasonably probable and legal use of vacant land or improved property that is physically possible, appropriately supported, and financially feasible and that results in the highest value."

The Appraisal Institute defined four tests that comprise factors an appraiser must consider when determining the highest and best use of a property.

The Four Tests:

1. Legally permissible

2. Physically possible

3. Financially feasible

4. Maximally productive

Other factors which contribute to the valuation of vacant land or improved property include:

1. Current market trends

2. Physical attributes

3. Location attributes

4. Current or potential performance

5. Competitive sites

6. Cost of modification vs. existing use

7. Financial proformas

Bottom line: The determination of the highest and best use sometimes requires a more in-depth analysis of the property and may require the input of experts in other areas to assist in the assessment.  

4 CHALLENGES ASSOCIATED WITH MOVING TO A NEW AREA.

So, you need to move.  The job is taking you to a new location and you have to uproot and relocate to a new state, a new town, and a new country.  Making the transition can present its own problems, here are 4 challenges faced when relocating.

4 Challenges

1. Lack of routine - moving is a disruption of the normal, the normal pattern associated with everyday life - your life.  Yet change is a good thing.  Some routines are just that routines.  Same old same thing.  Moving should not be seen as a disruption of a routine, but an opportunity to break old (maybe bad) habits. 

2. Loneliness - How do you view meeting new people?  Are you challenged by the opportunity to make new friends, or do you hide from society?  There is a bigger, new world beyond your door that is just waiting to be explored so take that first step into a new and exciting world.  Look at meeting people from a unique perspective and ask yourself, "What do I bring to the conversation".  

3. New foods and restaurants - Half the fun of moving is the opportunity to open your palette to the regional foods and restaurants in your new town.  Whether you have moved across the state or across the ocean, new cuisines are yours for the tasting.  

4. Exploring new areas - The fire department calls it "area familiarization".  You can call it "boldly going where I have not gone before".  Fill your gas tank.  Get in your car and just follow the open road.  There is a new adventure awaiting around the next bend in the road.  Don't forget to stop along the way to take in the sights, sounds and experiences of the area.   

Bottom Line: The move it what you make of it.  It will either be exploration or isolation.  The choice is yours.  Carpe diem!

HOME SECURITY 101

Home security is a real issue in today's society.  Gone are the days when leaving the door unlocked was the norm.  How did we manage to become so "security conscious" in such a brief period of time?

Here are 5 things you can do to protect your belongings.

1. Take photos or make a video of all valuable items in the home.  Include a shot of the model and serial number for electronic devices.  Then store the list in a safe location like a bank safe deposit box.

2. Install an alarm system from a dependable security company that covers windows, doors, and other access points to the home.  Periodically, change the passcodes to the alarm system to prevent hacking.  

3. Upgrade your door locks.  Old locks can be easy prey for any petty thieves.  Update the entrance code on electronic locks regularly and try and avoid repeating codes previously used.

4. Trimming trees and shrubs periodically creates the "lived in" feeling that somebody is home. It also provides a clear line of sight for neighbors who may be "watching your home" while you are away.

5. Don't advertise your vacation on social media until AFTER you return.  To paraphrase: "An empty house is a thief's workshop".  Follow normal patterns of home security when present or away.

Bottom Line: Protecting your home and your personal items is of utmost importance to every homeowner.  Take the time to institute preventive measures to preclude from being a line item on the local police blotter.