Real Estate Information

Let it Snow!                                      

A major winter storm dumped up to two feet of new snow on ski areas in Summit County Sunday and Monday. Snowpack surveys of the Natural Resources Conservation Service on Jan. 1 showed a statewide average of 156% of last year’s Jan. 1 readings and 136% of the 30-year average, with some areas in northern Colorado almost double last year’s readings.

Snowpack, as percentage of average, Dec. 31:
Colorado River Basin: 145%
Yampa/White River Basin: 146%
Gunnison River Basin: 154%
San Miguel/Dolores/Animas/San Juan River Basin: 133%

The avalanche danger rating was raised to “high” at and above timberline in the Summit County and Vail areas.

• You gotta see this. Vail's new "Epic Mix" tracks all your activities from your pass, vertical, runs, days on mountain then posts it automatically. With the mobile app you can see who's on the mountain and hook up with them. Go to www.snow.com and check it out!
• Go to the itunes store and download Navionics. It has almost 500 US and Canadian ski trail maps, snow and weather reports and other useful information like tickets, lodging, lessons, etc. It will even help you find trails while on the mountain like the GPS in your car.

Real estate sales in Pitkin, Eagle and Summit counties through October have risen by double digits this year compared to 2009, with Eagle County totaling $1.27 billion at the end of October, up 75% from the $898.44 million last year. Sales in Pitkin County were up 12% for the same period, to $1.02 billion and Summit County sales were up 10%.

Officials of Vail Resorts reported Monday that early season total skier visits for the company’s 6 mountain resorts were up about 10.1% through Jan. 6, and revenue at all resorts is up, from lift tickets to ski rentals and lodging. Lift ticket revenue is up 7.4%, ski school revenue up 11.5%, and retail/rental revenue up 17.5%.

Snowmass occupancy for the month of December was up 11.1% over 2009. January looks solid for both Aspen and Snowmass, with Aspen even with last year and Snowmass more than 9% ahead, and both resorts basically sold out during the final weekend of January for the Winter X Games.

Distressed sales are a sad fact of the real estate market.  While no one wants to see a homeowner lose their home, these properties also present unique opportunities for buyers. To determine whether you are a candidate for such a purchase, it’s important to learn all you can about distressed properties, and to work with a qualified buyer's representative who can guide you through each step of these complex, non-traditional transactions.

Foreclosure is a process, with buying opportunities at each stage:

STAGE 1. PRE-FORECLOSURE
a period of time that begins with the initial mortgage default and ends when the distressed property is sold.

STAGE 2. FORECLOSURE SALE –
when the property is auctioned to the highest bidder, someone who also meets the terms of the sale.

STAGE 3. REO (REAL ESTATE OWNED) –
if a foreclosure sale is not successful, property ownership is transferred to the lender.

WHAT IS A SHORT SALE?
This is a situation in which a seller owes more on their loan than
a sale of the property will produce, and they are unable or unwilling to make up the difference at closing. The seller may or may not be in pre-foreclosure. Banks may consider a short sale to a new buyer to reduce their losses.

Questions to ask Yourself....
Your buyer’s representative can give you specific guidance based on your situation and the type of distressed
property you want to purchase. But for starters, consider these questions:
✦ Are you flexible on timing? Can you make a quick decision and/or accommodate months of possible delays?

✦ Is your purchase limited by any contingencies, such as needing to sell your current home first?

✦ Have you already secured financing?

✦ Do you have resources to repair and rehab the property, if  needed?

✦ If you are buying the property for investment purposes, what is your action plan? Do you intend to rent or resell? Or perhaps
inhabit the property until market conditions improve?

NEXT STEPS
Your buyer’s representative can assist you further in answering these and other questions which will help you determine whether this path to homeownership is right for you.

Check out www.YourSummitRealEstate.com for more information on Buyer's Representatives, (ABR) and information about foreclosures. 

National Safety Awareness Week started Saturday and continues all this week. Many of the local ski resorts have events, clinics, activities and promotions designed to promote and build awareness of the Skier Responsibility Code. At Keystone, a Summit County Sheriff will be on the hill Wednesday and Thursday with a radar gun and guests can have their downhill speed checked. The Breckenridge ski patrol will hold an open house all week, and guests can do trail checks and end-of-the-day sweeps with the patrol. Breckenridge will also be giving out "caught skiing safely" buttons.

Copper Mountain is promoting the wonders of staying hydrated at altitude with Go Wet Yourself. On display at the East and Center Villages are safe skiing posters provided by the students of Frisco Elementary. The posters will be on display all season on Alliroo Alley run.

If you go to A Basin you can win a piece of cake by answering questions correctly about the Skier Responsibility Code. Look for the tent at the base area. Have fun, be safe, arrive alive.

Convertible ARMs
Many lenders are offering a type of Adjustable Rate Mortgage which will allow the buyers to convert their ARM to a fixed-rate mortgage without the expense of refinancing. There are several variations of this type of loan, so you should be informed about the various options before you decide on a loan.

Each lender places restrictions on when the ARM can be converted to a fixed-rate loan. Some allow a conversion after the first year of the mortgage, while others allow a change only on the rate adjustment dates. There is usually a fee for converting the mortgage, but it is much less than the cost of refinancing. The rate that you will pay after the conversion may be slightly higher than the going rate for fixed-rate mortgages. A real estate agent can provide you with a list of lenders who offer convertible ARMs, so that you can shop for the one that is best for you. For additional information contact us at: www.yoursummitrealestate.com.

When two or more individuals own property together, each one owning an equal interest and having equal rights in the property including the rights of survivorship, it is referred to as joint tenancy. Any of the joint tenants may transfer his or her interest in the property to another party, but this dissolves the joint tenancy and creates a tenants-in-common interest with respect to the other parties whose names are on the title.

The most important feature of joint tenancy is the right of survivorship. A joint tenant cannot will his or her interest in the property to others. The surviving joint tenant (or tenants) simply becomes the owner or owners of the property without going through the probate process, which can involve expensive legal fees and may take months to resolve.

It is important to get professional advice when you plan to buy and hold title to real estate with another person.

To get additional information on real estate in Summit, Lake and Park Counties in Colorado contact  www.yoursummitrealestate.com

Top 10 Simple Energy Saving Tips
It is easy to get overwhelmed by all of the options for green home renovations, especially the larger, more expensive ones. For a simpler approach to greening your home, improving your health, and saving energy and money, consider the following recommendations for quick, inexpensive retrofits that you can do yourself.

To find out more ways you can improve your home's energy-efficiency, consider having a home energy audit conducted by a certified professional. To find qualified raters in your area, visit Energy Star's New Home Partner Locator and click on your state.

1.Replace your incandescent bulbs with CFLs.
CFLs use about 75% less energy than standard incandescent bulbs and can last up to ten times as long. By replacing the five most commonly used bulbs in your home, you can save about $70 every year on energy costs. The more you replace, the more you save. For more information, visit our green topic page on compact fluorescent light bulbs on www.ecobroker.com https://www.ecobroker.com/misc/articleview.aspx?ArticleID=50.

2.Unplug appliances, chargers, and electronics you are not using. Vampire power (also called phantom energy) is the energy used by electronics that are turned off. This can account for as much as 10% of your home energy use. To help combat these unused power drains.  Keep outlets clear as much as possible.

In areas where you have several electronics that are commonly used, consider plugging them into a power strip and turning the strip off when they are not in use. This will prevent the energydrain that would occur if they were plugged directly into the wall.

To help avoid tangled cords (especially when unplugged), consider purchasing a charging station or labeling the ends of the cords using tape or small labels with the name of the electronic it powers. This will make it easier to identify what you're plugging in without having to retrace cords.

Unplug electronics when they are fully charged.
Lawrence Berkleyfs National Laboratory claims that aggressive measures taken to combat vampire power can reduce the amount of standby electricity utilized in your home by about 30% http://standby.lbl.gov/cutting.html. For more information, visit http://standby.lbl.gov/standby.html

3. Install a programmable thermostat.
Programmable thermostats are a great way to lower your energy bills by offering you pre-determined control over your homes heating and cooling schedule. Not only does this save on energy by altering temperature to energy-saving settings while you are away or sleeping, it does it automatically according to your set guidelines allowing you to save energy without even thinking about it. Many models come with a filter sensor that tells you when to change your HVAC filters to further maximize energy efficiency. For more information on programmable thermostats, visit our green topic page http://www.ecobroker.com/misc/articleview.aspx?ArticleID=51.
www.ecobroker.com  or call, 1-800-706-4321

4. Save water - Put aerators on faucets and install a low-flow showerhead.  Aerators attach to your faucet to decrease the water flow while maintaining high pressures. Since faucets make up around 15% of a typical homefs indoor water use, decreasing the water flow on every faucet in your home can easily help save a significant amount of water. Low-flow showerheads essentially work the same way, minimizing the amount of water you use while running the shower. Look for hardware with the EPAfs Water Sense label for products that are at least 20% more efficient than standard models. For more information, visit http://www.epa.gov/WaterSense/about_us/watersense_label.html.

5.  Recycle.  According to the National Recycling Coalition, the average American discards 7.5 lbs. of garbage every day! Recycling not only helps minimize this amount of waste being put into landfills, it helps minimize the use of natural resources and saves energy in manufacturing new products. And the best part is, itfs easy! Put up bins in your garage or laundry room (if you have kids, let them decorate them) and sort your cardboard, paper, aluminum, glass, steel, etc. Once every couple of weeks, make a trip to your local recycling center and deposit your recyclables. To find recycling centers near you, visit http://earth911.com. For more information on the effects of recycling, check out http://www.nrc-recycle.org/theconversionator/shell.html.

6.  Use eco-friendly cleaners.
In 2007, the American Journal of Respiratory and Critical Care Medicine reported that 15% of all asthma cases were caused by exposure to unsafe cleaning products. To avoid this and other negative effects, look for cleaners with the EPA Design for the Environment (DfE) label or the Green Seal. These products are held to rigorous standards ensuring the the safest ingredient in each class (bleach, sterilizer, etc.) is used. For a complete list of DfE products, visit their website at http://www.epa.gov/dfe/pubs/projects/formulat/formpart.htm. For a list of certified Green Seal products, visit http://www.greenseal.org/findaproduct/index.cfm.

7.  Fill air leaks with caulking or weather stripping.
Cracks around your windows and doors can be a major energy drain on your home as they decrease the efficiency of your heating and cooling system by allowing air to escape. To avoid this problem, apply caulk or weather stripping around windows and doors or other spaces where air may be leaking through. To find these spots, consider having a home energy audit done on your home by a certified auditor. For more information, visit the U.S. Department of Energy's Energy Savings page on Caulking and Weather Stripping at http://www.energysavers.gov/your_home/insulation_airsealing/ index.cfm/mytopic=11260 or check out our green topic page on sealing the existing home http://www.ecobroker.com/misc/articleview.aspx?ArticleID=20.

8.  Plant a tree to shade your home.
Planting a six to eight foot deciduous tree with high spreading crowns on the south side of your home can help increase the efficiency of your air conditioner by up to 10% http://www.energysavers.gov/your_home/landscaping/index.cfm/mytopic=11940. Because of evapotranspiration (the process by which a plant moves and releases water vapor into the air), areas surrounding shade trees typically see a 9 degree temperature reduction, with a 25 degree reduction in the direct shade of the tree. This can obviously yield tremendous energy savings by helping keep your home cool without the extensive use of fans or A/C. For best results, plant a tree to the south of your home for maximum summer shading. (If you have a solar system on your roof, do not plant directly to the south as the tree may block direct sunlight from reaching the solar panels.) For more information, visit our green topic page on shade trees and windbreaks (http://www.ecobroker.com/misc/articleview.aspx?ArticleID=10).

9.  Insulate your hot water heater and furnace.

By putting a blanket of insulation around your hot water heater and furnace, you can reduce heat loss by 25-45%, reducing your energy bill by 4-9%
(http://www.energysavers.gov/your_home/water_heating/index.cfm/mytopic=13080). Some blankets come pre-cut and ready to wrap around your heater while others require cutting and forming to fit your specific model. These blankets are available at many home improvement stores or online.

10.  Replace your HVAC filters.

Energy Star recommends that you check your filters every month for excess debris that can restrict air flow and cause dust and dirt to enter your ventilation system and decrease your homefs indoor air quality. Filters should be replaced at least every three months or whenever they look dirty to avoid negative health effects and increase your HVACfs efficiency. For more information on how to maximize HVAC efficiency, check out Energy Starfs Guide to Energy-Efficient Heating and Cooling (http://www.energystar.gov/ia/partners/publications/pubdocs/HeatingCoolingGuide%20FINAL_9]4]09.pdf).

Other Energy Saving Tips:

• Harvest rainwater.

• Move heat-generating appliances and electronics away from your thermostat.

• Turn down your water heater 10-20 degrees.

• Check insulation.

• Turn off lights and fans when you leave the room.

• Close doors and windows when heating or cooling your home.

• Use your drapes to control heat gain and loss.

• Wash full loads in of dishes and laundry.

Timeshare ownership is a popular vacation home investment currently held by over three million American households. A timeshare is joint ownership in a vacation resort property that gives you an exclusive right to occupy a condo unit for a specified interval each year. What might you need to know about timeshare ownership if you are considering making such an investment?

There are two ways to approach timeshare. One is to buy a right-to-use membership that allows you to stay in a particular condo for an annual block of time for a number of years. You can also choose to trade your right-to-use time with someone else, perhaps someone who owns timeshare in a different location you yearn to visit. Simple-fee ownership is more like conventional homeownership -- you purchase a slice of the property and receive title by means of a deed. The property is legally yours. You can obtain insurance on the time-share property, sell or lease it, or have it transferred by will. Deeded timeshares can be also willed to family members.

Minimize the stress of booking yearly accommodations by purchasing ownership in a timeshare resort in one of 81 different countries.   We have many timeshare opportunities for you at Keller Williams Top of the Rockies...please log onto www.YourSummitRealEstate.com for more information. 

The Federal Tax Code allows married taxpayers to exclude from capital gains taxes up to $500,000 in profits from selling a home (singles can exclude $250,000). In order to qualify for this exemption, you must prove that that the home has been your principal residence for at least two out of the last five years. The establishment of the home as a principal residence depends on the facts of each homeowner's circumstance. Here are two cases to consider.

Homeowner A has lived at 25 Pine Drive for 12 years. Although he stays at his vacation cottage in another town for up to three months out of each year (sometimes more), 25 Pine Drive is his principal residence, where he lives most of the time. When he sells the home, Homeowner A (filing as a single individual) can keep up to $250,000 in tax-free profit.

Homeowner B buys 108 Maple Street, intending to live there. He rents it out while waiting to sell his current home, where he has lived for six years. His principal residence sells at the end of two years. Homeowner B moves into his new house, lives there for three months, and then decides to travel. After a six-month trip, he regrets buying 108 Maple Street and sells it. Even though he has owned the house on Maple Street for over two years, it won't qualify as "owner-occupied", because he only lived in it for a few months. Thus Homeowner B is not eligible to claim the tax exemption when he sells the house on Maple Street.

As always, remember to consult your tax advisor for advice about your particular circumstance.

For your real estate needs, please contact www.YourSummitRealEstate.com to speak with a Realtor.