Housing Affordability Surges to Highest Level in 18 Years | RISMedia

May 20th, 2009

RISMEDIA, May 20, 2009-Nationwide housing affordability jumped 10 percentage points during the first quarter of 2009 to its highest level since the series began 18 years ago, according to the National Association of Home Builders/Wells Fargo Housing Opportunity Index (HOI). The HOI showed that 72.5% of all new and existing homes sold in the first quarter of 2009 were affordable to families earning the national median income of $64,000, up from 62.4% during the previous quarter and up from 53.8% during the first quarter of 2008.

via Housing Affordability Surges to Highest Level in 18 Years | RISMedia.

I don’t think this surprises anyone.  I know that with the lower prices currently, housing is a lot more affordable for a lot more people.  I know many people who were getting priced-out of the market in recent years and now they are back in the market.

New Incentives for Short Sales

May 14th, 2009

The NATIONAL ASSOCIATION OF REALTORS® (NAR) today announced that the Obama Administration has added new incentives and uniform procedures for short sales under its new Foreclosure Alternatives Program (FAP), part of the administration’s Making Homes Affordable plan. Loan servicers may consider short sales or deeds-in-lieu of foreclosure for borrowers who do not qualify to have their loans modified on a permanent basis under the Making Home Affordable Loan Modification Program.

• Borrowers/homeowners qualify under the FAP if they meet minimum eligibility requirements for the Home Affordable Modification program, but don’t qualify for a modification or do not successfully complete the three-month trial period. Before proceeding with a foreclosure, servicers must determine if a short sale is appropriate.

• Incentives include: $1,000 for servicers for successful completion of a short sale or deed-in-lieu of foreclosure; $1,500 for borrowers/homeowners to help with relocation expenses; and up to $1,000 toward the cost of paying junior lien holders to release their liens (one dollar from the government for every $2 paid by the investors to the second lien holders).

• The program will include streamlined and standardized documents, including a Short Sale
Agreement and an Offer Acceptance Letter. The goal is to minimize complexity and increase use
of the short sale option.

• Servicers will independently establish both property value and minimum acceptable net return, in accordance with investor requirements. The price may be determined based on an appraisal or
one or more broker price opinions (BPOs), issued no more than 120 days before the date of the
short sale agreement.

• In the Short Sale Agreement, servicers must give borrowers/homeowners at least 90 days to
market and sell the property, or up to one year, depending on market conditions. Property must be listed with a licensed real estate professional with experience in the neighborhood. No foreclosure  may take place during the marketing period (at least 90 days) specified in the Short Sale Agreement.

• The Short Sale Agreement must specify the reasonable and customary real estate commissions
and costs that may be deducted from the sales price. The servicer must agree not to negotiate a
lower commission after an offer has been received.

• Servicers may not charge fees to borrowers/homeowners for participating in the FAP.

• The program is in effect through 2012.

• Servicers have the option to require the borrower/homeowner to agree to deed the property to the servicer in exchange for a release from the debt if the property does not sell within the time allowed in the Short Sale Agreement (plus any extensions).

New First-Time Homebuyer Tax Credit

May 2nd, 2009

A tax credit of up to $8,000 is now available for qualified first-time home buyers purchasing a principal residence on or after January 1, 2009 and before December 1, 2009. Unlike the tax credit enacted in 2008, the new credit does not have to be repaid.

For home purchases after January 1, 2009 and before December 1, 2009, many taxpayers are eligible for the credit.  Some of the highlights are:

  • Maximum credit allowed is $8000
  • Purchasers who utilize revenue bond financing can use the credit
  • No repayment for purchases between January 1 and December 1, 2009
  • If the home is sold within 3 years of the purchase, the entire amount of the credit is recaptured with the sale.  This applies only to homes purchased in 2009.

 

  • The program terminates December 1, 2009
  • Still available for first time buyers only. Three year rule continues to apply.
  • Single taxpayers with incomes up to $75,000 and married couples with incomes up to $150,000 qualify for the full tax credit.

Gorgeous Place in Orchidland

April 9th, 2009

Asbestos Information

November 25th, 2008

I’d really like to thank Jesse Herman of the Mesothelioma Cancer Center for this great information.

Remodel Safely: Protect yourself and the Environment while saving Money

There are many things to consider when remodeling or buying buying an older home. Homes built before 1980 could easily contain asbestos. Of course, even homes build after 1980 still may contain products that are worth taking note of. As technology and long-terms cost efficiency is constantly evolving, so too is our need for environmentally and health safe building materials. If you are interested in remodeling, saving money and improving your environmental standing in the world, then here is some information to get a project started in the right direction.

In the Beginning

If you’ve thought about remodeling a home that was built before 1980, you’ll probably be faced with a number of toxic materials during the process, not the least of which will be asbestos. Asbestos insulation was used in millions of homes during the housing boom of the 20th century and though it’s safe to be around when it’s enclosed or in good condition, damaged asbestos can be a real problem. It can cause dfferent types of mesothelioma, such as peritoneal mesothelioma and pericardial mesothelioma. In addition, removing asbestos in order to replace it with a healthy alternative can be a pain as well – it needs to be removed by a licensed professional – but the end result is well worth the time and expense.

Asbestos Removal

Nonregulated asbestos material can be legally performed by homeowners, regular contractors, or licensed asbestos abatement contractors as long as the National Emissions Standards for Hazardous Air Pollutants (NESHAP) are not violated.

The health risks involved in handling non regulated asbestos materials is small but the removal should be done in a manner that will minimize the release of fibers due to breakage. It is recommended, because breakage in inevitable, that one wears asbestos related safety equipment including a disposable tyvek suit, gloves and must be medically able to wear a half mask respirator with High Efficiency Particulate Air (HEPA) filters, and adhere to the principles of wet removal and without visible emissions.

Removal in workplaces, schools and public facilities must be done by a licensed asbestos abatement contractor.

Disposal

The best way to dispose of asbestos is to bury it or any way that will prevent it from becoming airborne.

Service area landfills will often accept large amounts of asbestos provided it is properly contained or shipped in bulk.

Clean ways to Insulate

Building Green

Most individuals give little thought to what’s being consumed when they turn on their lights or fire up their furnace. Few workers pay attention to whether or not they’ve turned the air conditioning off when they leave their office building or whether they left the faucets dripping in the company washroom.

In a world where electricity is expected at the flick of a switch and where water rarely fails to flow from the bathtub or shower, the Green Building Resource Center estimates that in the U.S., buildings account for:

  • 36% of total energy use
  • 65% of electricity consumption
  • 30% of greenhouse gas emissions
  • 30% of raw materials use
  • 30% of waste output (equal to 136 million tons annually)
  • 12% of potable water consumption

So many buildings. So much waste. And with the building boom continuing, despite present economic hardships, adherence to construction practices other than what’s become known as “green building” will surely continue to increase the proverbial “carbon footprint.”

Benefits of Green Construction

Thankfully, however, the idea of “building green” is gradually becoming much more than a trend. Builders and investors are recognizing that eco-friendly construction provides not only long-term positive environmental benefits but also immediate financial payoffs as well.

Cities throughout the U.S. and the world are also slowly recognizing the necessity of green construction practices in the remodeling and renovating of older residential and commercial facilities, taking advantage of loans offered to them by various foundations, designated for the purpose of upgrading lighting and heating and cooling systems in aging buildings, where the most energy is consumed.

Such initiatives also prompt the need for healthier and more cost-efficient options in the world of building materials. Indeed, the United Nations Environmental Program says that the use of recycled building materials, like cotton fiber insulation, in addition to the installation of energy saving appliances and the maximization of natural lighting in a building, can reduce energy use energy use by 25 to 35 percent. In some best-case scenarios, they say, results have been as high as 80 percent.

The United States Green Building Council (USGBC), in a study conducted in 2003, estimated a savings of $50-$65 per square foot for well-constructed green buildings in the U.S. (see table below) during that year. The numbers continue to improve as more eco-friendly options become available, and those kinds of figures have finally begun to attract those who thought eco-friendly construction was just a bunch of hogwash.

 

Type of Benefit

20-year Net Present Value / sq. feet

Energy Savings

$5.80

Emissions Savings

$1.20

Water Savings

$0.50

Operations and Maintenance Savings

$8.50

Productivity and Health Benefits

$36.90 - $55.30

Subtotal

$52.90 - $71.30

Initial Investment in Green Building Practices

$3.00 - $5.00

Total 20-year Net Benefit

$50 - $65

Source: USGBC Capital E Analysis, 2003.

Green Remodeling

While the remodeling of existing older buildings to make them more energy efficient is certainly a necessity, it doesn’t come without its hazards. Remember, older homes and commercial buildings probably contain all sorts of toxins, most notably asbestos. The miracle of the 20th century building industry, touted for its amazing heat- and fire-resistant properties, this hazardous mineral can be found in attics, wrapped around pipes and furnaces, and even in walls, floors, and ceilings, especially in buildings constructed prior to 1980.

Once the asbestos is addressed and then removed by a licensed professional and disposed of properly, green insulation options should be given serious consideration. The Department of Energy says heating and cooling accounts for 50-70 percent of the energy used in the average American home so finding sound and healthy insulation options are a necessity. Today, these options can save natural resources as well. Eco-friendly insulations are often made of recycled materials and include cellulose (old shredded newspapers treated for fire resistance), cotton fiber (usually made of recycled batted denim), and spray polyurethane foam.

Statistics show that the foam, for example, can cut energy costs by about 35 percent annually, according to studies done by manufacturers. The other projects claim similar figures. And because these are recycled materials, less waste is going to the nation’s already crowded landfills.

Formal listing of Insulation Alternatives

  • Cotton fiber – This has become the favored insulation of many green builders or remodelers. Made of recycled batted material, such as denim, this fiber insulation is then treated with a chemical to make it fireproof. However, cotton fiber insulation is non-toxic and produces no off-gasses, making it a healthy choice.
  • Cellulose – Who would have believed that someday we’d be insulating our homes with recycled newsprint? Well, that’s exactly what cellulose is and it’s become one of the most popular new green insulating materials. Chemically treated to reduce mold and promote heat and fire resistance, figures show that cellulose can reduce air conditioning and heating bills up to about 20 percent each year.
  • Icynene – This water-based spray polyurethane foam keeps a home very tight, allowing little opportunity for things like mold to form. This healthy insulation also contains no polybrominated diphenyl ethers (PBDE), which are often found in spray foam insulation products. PBDEs can be quite toxic and are already banned in some states. Icynene also contains no hydrochlorofluorocarbons, which are believed to prompt global warming.

 

Hilo Farmer’s Market

July 30th, 2008


Hilo Farmer’s Market

Originally uploaded by John Dirgo

Recently I decided to take some photos of the famous Hilo Farmer’s Market. You can see all the photos here

http://www.flickr.com/photos/johndirgo/sets/72157606042806741/

Kapoho Fish Pond Proposal Approved

June 4th, 2008

DLNR has approved a proposal by a landowner in the Kapoho area to restore an old, deteriorated fishpond in Kapoho. This is a 4.3 acre fishpond that was built sometime before 1893 and maintained until the mid-1900s. However, in recent years, the pond has fallen into disrepair. His proposal was to restore the pond it about a foot above the high-tide mark and leaving it ungated as a no-fishing zone. Of course, traditional, cultural, and religious practices in the area would still be allowed under the PASH (Public Access to Shoreline in Hawaii) laws. The owner still has to submit a preservation plan to DLNR’s State Historic Preservation Division. He’ll also have to submit preservation plans and consult with the Division of Aquatic Resources to stop or at least minimize the spread of invasive algae.
Creative Commons License photo credit: roadman22Arthurena the Sea Turtle

High, Hot, and Happening…

May 4th, 2008

High, Hot , and Happening!!!

I am so looking at the future of the Big Island as the place to be, buy, live, and explore. High snow covered mountains, hot lava flows, arts and culture. Checking out recent rags that are predicting things to turn around in our real estate market as soon as August of this year. Big Island Economy Forecast I am inspired and love living and working here.
I want to talk to everyone about the things like VOG, Surfing, Fishing, Snorkling, catchment, property values, you name it and lets talk about it. Real estate prices are right again.
I live in Hilo, and also own property in Kapoho and Nanawale.For some basic and specific info on those places, fell free to visit my websiteAloha Coast Realty When I bought my first home here on Wainaku St in Hilo in 2000, everyone said BAD AREA….Crime was the reason. They had a drive by shooting six years ago I was told. I am from Birmingham Alabama, and drive by was weekly. Crime is relative and this is the safest place I have ever been. No drive by has happend here since I moved here. Same for Nanawale in the Puna area. Lived there three years and still have a house there. A great place to live and a wonderful value. Great Practical homes under 200k, and some on oversized lots for under 150k. Close to Hot Ponds, Tide Pools, and short drive to active lava flows that excite me and was the main drive for me to move here. Lets talk and if you come, I will take you on a real estate tour of some of the most incredible places to be, play, buy, and see..
The primary of this blog is Hilo, so hit me up and I will tell you everything I know. Tell me the things that are of interest and I will get that on this blog. This is not about me or to try to sell you anything. So jump in, the water is fine, and lets have some fun.

David Deweese R PB RN e-PRO owner

808-896-5623

Kapoho Tide Pools Get Funds

April 29th, 2008

The Tribune-Herald reported today (sorry, that link will probably only be good for a couple of weeks) that the County Council had approved funds to pay for a part-time “visitor access manager” to help educate people about the tidepools. Of course, not many people realize that the Vacationland Hawaii Community Association has been paying for port-a-potties and a guard/educator down there for the last year or so. Its great that the County is helping out.

Merrie Monarch Parade 2008

April 5th, 2008


Merrie Monarch Parade 2008

Originally uploaded by John Dirgo

Great parade!  See lots more photos at

http://www.flickr.com/photos/johndirgo/