Getting the Best Work from Your Contractor

Managing your contractor is your biggest job during a remodel. You must make sure the project stays on target, on time, and on budget. Get apathetic or lose your focus, and you may pay for it—literally. Here’s what you need to know to stay organized and keep your contractor and construction team on the ball.

AVOID ALLOWANCES

Make important decisions about finishes and hardware before your contractor delivers an itemized bid. Otherwise, the bid will contain “allowances,” estimates that may grossly overstate or understate the cost of items you eventually pick. Allowances ultimately can send your budget reeling. If you can’t pinpoint the master bath tile or kitchen sink, at least give your contractor an accurate ballpark price for items you’re considering. Guess higher, rather than lower; that way you’re more likely to come in under—rather than over—budget.

ESTABLISH COMMUNICATIONS

Discuss with your contractor how you prefer to communicate. Establish a regular meeting time, perhaps at the site for a few minutes before work each day. Exchange cell phone numbers so urgent questions—from either party—can get answers quickly and keep work moving. Your contractor may ask you to speak with the project manager who is running the job. Whatever the arrangement, chat at least once a day. These discussions are your opportunity to hear progress reports, review work schedules, ask questions, and voice concerns. Daily chitchats help identify and remedy problems in their infancy. And even though no one likes change orders, it’s better to spend a little more to fix a problem then to live with it for the next 10 years.

KEEP A PROJECT JOURNAL

Part scrapbook, part diary, part to-do list, a project journal will help you stay organized. Use a notebook to record progress, remember questions you want to ask your contractor, jot down ideas, record product order numbers, and anything else that comes along. It’ll help you keep things on track, communicate with the team, and provide a record of exactly who said what when—which could help you iron out disagreements later on.

TRACK ALL CHANGES IN WRITING

No matter how well you planned, your home improvement job will change as it moves along. You may encounter unforeseen structural issues, or you may decide to include additional work. Any good contractor can handle these changes—just make sure all costs are specified in writing first. Tell the contractor at the outset (and put in the contract) that you want to sign off on written change orders for anything that’s going to add to the bottom line of the job. That means the contractor has to give you a bid (a description of the change and a fixed price for what it will cost) and you both have to sign it before the work is done. This eliminates misunderstandings about the scope and price of the new work. Also, it helps you keep track of your bottom line.

CHECK ALL WORK

It’s easier to nip problems in the bud than to undo mistakes after the fact, so diligently check your contractor’s work. As fixtures arrive on site, compare model numbers on the boxes against your receipts, invoices, and the contractor’s bid to ensure that the correct product was delivered. Check locations of walls, windows, and door openings against blueprints. To the extent that it’s possible, conduct these investigations after hours or during lunch breaks so you don’t seem like you’re looking over the workers’ shoulders (even though you are).

PAY ONLY FOR COMPLETED WORK

Money is power. As soon as you’ve paid the contractor, you no longer have the upper hand. It’s crucial that you keep the payment schedule in line with the work schedule. The contract should establish a series of payments to be made when certain parts of the job are completed. For example, your contract could stipulate that you’ll pay in three equal installments, with the last payment made after the project is complete, and after you and your contractor agree the work is satisfactory. Never put down more than 10% upfront; that’s too much cash to hand over before any work is complete. Your contractor should be able to get any necessary supplies on credit.

BE A GOOD CUSTOMER

One of the best ways to get quality work out of a construction crew is to make them enjoy working for you. That means making decisions quickly and paying on time. It also means being friendly and accommodating of the workers in your house: designating a bathroom they can use, greeting them by name each morning, and perhaps serving cold lemonade on a hot day. Complimenting their work (as long as you feel it’s worthy of praise) can be a great way to motivate others to do their best.

---------------------------------- By Oliver Marks. A former carpenter and newspaper reporter, Oliver Marks has been writing about home improvements for 16 years. He’s currently restoring his second fixer-upper with a mix of big hired projects and small do-it-himself jobs.

Source: http://www.houselogic.com/home-advice/contracting/getting-best-work-contractor/

TWO BEDROOM FURNISHED RENTAL COTTAGE - $1,500 PER MONTH

This completely furnished two Bedroom, 1 Bath, 1920's Cottage is located on a very private piece of land on Schoolhouse Road, in the Red Rock area of the town of Canaan. It has been completely updated and is in excellent condition and has oil hot water heating, hardwood floors, large and very private backyard, landscaped, with almost 1200 square feet of living space all on one level. It has a Living room with a woodstove, modern Kitchen, large great room, 2-car detached garage and plenty of storage. This house is in excellent, ready-to-move-in condition. Available June 1, 2013. Annual rental is preferred, but owners will consider a minimum of six months as well.

To receive additional information or to request a Brochure about the property, please call John Wallace at 518-392-7062, or email him at: John@GrayRider.com

NINE COMMON MISTAKES HOME OWNERS MAKE ON THEIR TAXES

As you calculate your tax returns, consider each home tax deduction and credit you are — and are not — entitled to. Running afoul of any of these 9 home-related tax mistakes — which tax pros say are especially common — can cost you money or draw the IRS to your doorstep.

Sin #1: Deducting the wrong year for property taxes

You take a tax deduction for property taxes in the year you (or the holder of your escrow account) actually paid them. Some taxing authorities work a year behind — that is, you’re not billed for 2013 property taxes until 2014. But that’s irrelevant to the feds. Enter on your federal forms whatever amount you actually paid in 2013, no matter what the date is on your tax bill. Dave Hampton, CPA, tax manager at the Cincinnati accounting firm of Burke & Schindler, has seen home owners confuse payments for different years and claim the incorrect amount.

Sin #2: Confusing escrow amount for actual taxes paid

If your lender escrows funds to pay your property taxes, don’t just deduct the amount escrowed, says Bob Meighan, CPA and vice president at TurboTax in San Diego. The regular amount you pay into your escrow account each month to cover property taxes is probably a little more or a little less than your property tax bill. Your lender will adjust the amount every year or so to realign the two. For example, your tax bill might be $1,200, but your lender may have collected $1,100 or $1,300 in escrow over the year. Deduct only $1,200. Your lender will send you an official statement listing the actual taxes paid. Use that. Don’t just add up 12 months of escrow property tax payments.

Sin #3: Deducting points paid to refinance

Deduct points you paid your lender to secure your mortgage in full for the year you bought your home. However, when you refinance, says Meighan, you must deduct points over the life of your new loan. If you paid $2,000 in points to refinance into a 15-year mortgage, your tax deduction is $133 per year.

Sin #4: Misjudging the home office tax deduction

This deduction may not be as good as it seems. It’s complicated, often doesn’t amount to much of a deduction, has to be recaptured if you turn a profit when you sell your home, and can pique the IRS’s interest in your return. Hampton’s advice: Claim it only if it’s worth those drawbacks. If so, here’s what to know about what you can write off.

Sin #5: Failing to repay the first-time home buyer tax credit

If you used the original home buyer tax credit in 2008, you must repay 1/15th of the credit over 15 years. If you used the tax credit in 2009 or 2010 and then sold your house or stopped using it as your primary residence, within 36 months of the purchase date, you also have to pay back the credit. The IRS has a tool you can use to help figure out what you owe.

Sin #6: Failing to track home-related expenses

If the IRS comes a-knockin’, don’t be scrambling to compile your records. Many people forget to track home office and home maintenance and repair expenses, says Meighan. File away documents as you go. For example, save each manufacturer’s certification statement for energy tax credits and lender or government statements to confirm property taxes paid.

Sin #7: Forgetting to keep track of capital gains

If you sold your main home last year, don’t forget to pay capital gains taxes on any profit. You can exclude $250,000 (or $500,000 if you’re a married couple) of any profits from taxes. So if your cost basis for your home is $100,000 (what you paid for it plus any improvements) and you sold it for $400,000, your capital gains are $300,000. If you’re single, you owe taxes on $50,000 of gains. However, there are minimum time limits for holding property to take advantage of the exclusions, and other details. Consult IRS Publication 523.

Sin #8: Filing incorrectly for energy tax credits

If you made any eligible improvements in 2012 — or will in 2013 — such as installing energy-efficient windows and doors, you may be able to take a 10% tax credit (up to $500). But keep in mind, it’s a lifetime credit. If you claimed the credit in any recent years, you’re done. Fill out Form 5695. Part II of the form, which covers systems eligible for a larger tax credit through 2016, such as geothermal heat pumps, can be incredibly complex and involves crosschecking with half a dozen other IRS forms. Read the instructions carefully.

Sin #9: Claiming too much for the mortgage interest tax deduction

You can deduct mortgage interest only up to $1 million of mortgage debt, says Meighan. If you have $1.2 million in mortgage debt, for example, deduct only the mortgage interest attributable to the first $1 million.

This article provides general information about tax laws and consequences, but shouldn’t be relied upon as tax or legal advice applicable to particular transactions or circumstances. Consult a tax professional for such advice. Read more: http://www.houselogic.com/home-advice/taxes-incentives/common-tax-mistakes/#ixzz2MV2cwUht

TEN PIECES OF ADVICE WHEN SELLING YOUR HOME IN THE WINTER

If your home will be for sale this winter, it is important to understand some basic seasonal issues that are less significant or even non-existent at other times of the year. Here they are:

1.  Let Those Lights Shine: The best way to combat winter’s short and frequently cloudy days is to turn on your house lights. For a showing, every single light in the house must be on, even in the closets and utility/mechanical rooms.  Make sure all the bulbs are working, and stock up on all the right bulbs for lamps and fixtures so burned out bulbs can be replaced immediately.  Also, it’s a great idea to keep the lights on in the front of the house even if no showings are scheduled. People are always driving past the house, and keeping it lighted makes it look happy and welcoming.  It ias also advisable to keep the drapes and blinds open during the day to let in light and let visitors enjoy the view.

2.  Provide Convenient Parking: It’s vital that buyers have a convenient place to park. They won’t want to walk very far in cold weather or be forced to climb over a snow bank to exit their vehicle. Because parking is often more restricted around condominiums, sellers should make sure their agent can pass along parking details to buyers.

3.  Make It Easy to Enter: Winter showings can get off to an awkward start if prospective buyers arrive with snow or salt on their shoes. Put a festive area rug at the front door for a great first impression and so visitors can wipe their feet. Have slippers or disposable booties available, along with a bench or chair, if there is room for one, where a visitor can sit and easily remove or put on their boots.

4.  Keep Odors Under Control: Any home tends to be stuffy in winter when windows are opened rarely. That can allow odors to build up, which can be a turn-off to buyers.
Pet odors can be especially worrisome in winter. Use a room fragrance if needed, but nothing too strong, and I recommend that in winter sellers clean more often. For example, change the cat litter daily, rather than every third or fourth day, or even consider using an air purifier.
If pets are in the house, consider setting the thermostat control so that the furnace fan runs constantly during the day to keep air moving through the house and dissipate odors. Also try to avoid strong cooking odors, especially if a showing is scheduled that day.
Cultivate a Festive Look: Appropriate decorations for Christmas and even St. Valentine’s Day help give a home a cheerful look during the winter months.
“I really believe that holiday decorations can help homes sell, but don’t go to excess,” suggests Starr Zook of RE/MAX On Track in Aledo, Ill. “Keeping small, decorative white lights on trees and bushes pretty much through the winter season is fine, but other decorations should be taken down quickly once the holiday passes.”
Don’t Ignore the Outdoors: Make a good first impression on buyers with a neatly maintained yard. Walks and steps should be kept clear, especially of snow and ice.
Look after Condo Common Areas: If the home you are selling is a condominium, your job as a seller may be relatively easy in winter, with no snow to shovel or yard work to worry about. However, that is only the case if your condominium association does its job well.
If the association isn’t doing it, the homeowner may have to take responsibility for keeping the entrance area and hallways clean. If the association isn’t getting snow shoveled promptly, consider buying some de-icing salt and sprinkling it judiciously around the building entry.
Don’t Roast Buyers: We all tend to prefer a specific temperature for our homes during the winter, but don’t blast buyers with hot air. Keep the temperature at a comfortable 65 degrees for all showings. Remember, buyers are likely to be wearing their coats even as they walk through the house.
Keep Seasonal Clothing under Control: “One major challenge of selling a home during the winter months is the overabundance of cold weather gear that must be stored,” says Mike Mondello. “A buyer doesn’t want to find the mudroom filled with boots or the hall closet overflowing with heavy coats. Shift some winter coats to another closet and put anything not needed in the closet into storage.”
To keep gloves and scarves from piling up in the front hall or mudroom, put a special container for them, such as a decorative chest, where the family typically enters the home.
Encourage Day Time Showings: A home shows to its best advantage during daylight hours, which are relatively scarce in winter.
“Encourage your agent to show your home before 3 p.m. and have it ready to show by 9 a.m. if you want the best results,” Granacki recommends.
Despite the special challenges of marketing a home during winter, there also are benefits, notes Laura Ortoleva, a spokesperson for the RE/MAX Northern Illinois real estate network.
“Buyers out looking at homes in December or January are, as a group, quite serious about buying. Therefore, sellers tend to benefit because each showing is more productive, and fewer showings are needed to sell the property,” she said.

UNIQUE FARMHOUSE ON 8 ACRES IN NEW LEBANON

Very unique, 1890's Farm House with addition for home occupation, artists, lawyer or other professional. It was a very successful speciality coffee cafe a few years ago called the "Triple Nickel" and is now used as a residence and child day care center by a tenant. The house has three bedrooms and one full bath upstairs and a Living Room, Professional Kitchen, Dining Room, Family Room with Gas Fireplace, Office and 1/2 Bath downstairs. The propertty has 8.84 acres of open land and 500 plus feet of frontage on US Route 20 and a parking area for about 15 cars.

To receive additional information or to request a Brochure about the property, please call John Wallace at 518-392-7062, or email him at: John@GrayRider.com

4 BEDROOM CAPE COD ON 7+ ACRES IN CANAAN

This four Bedroom, two Full Bath, 1987 Cape Cod is located on 7.73 acres of mostly wooded land on County Route 24 (Red Rock Road) in the town of Canaan. It is in very good to excellent condition, has an Eat-In Kitchen, oil hot water heating, almost 1,500 square feet of living space, double-hung thermopane windows, covered front porch, with sub-division potential and backs up to forever wild conservancy land. Most of the shingles on the house were replaced in December of 2012. The old shingles were removed and new felt paper, drip edges, ice and water barriers were added.

To receive additional information or to request a Brochure about the property, please call John Wallace at 518-392-7062, or email him at: John@GrayRider.com

UPSCALE PUB FOR SALE

Upscale Celtic Pub serving speciality beers and "Pub Grub" in an upscale small village in Columbia County, New York. The business price includes $100K in furniture, fixtures and one-of-a-kind items. Available with the business, is a late 1800's three story building in very good condition. This would be an ideal business for Owner/Bartender or partners wishing to operate an Irish/Scottish/English/Welsh-style pub in an small upscale town. Expand the hours and the menu to create additional business. The third floor is approved for an owner's apartment and has been partially renovated by the Seller.
Facilities: The business comes with $100K in furniture, fixtures, custom made bar, and many one-of-a-kind items.
Competition: There are some other bar/restaurants in the Village, but there is no other pub stype business in the immediate town and there are a lot of NYC weekenders in the town looking for good places to eat and hang out.
Growth and Expansion: The pub doesn't usually open to 4PM (a little earlier on weekends). The hours could be extended, particularly on the weekends to include serving lunch and expanding the evening menu as well.
Support/Training: The Seller will assist the new owners during the transition. Most employees, including the bartenders will stay on. The current owner does not bartend.
Reason Selling: The Seller has other business interests in town.
Year Established: 2000
Employees: 5
This is a TURN-KEY business. It is also a confidential listing and any potential buyer who is interested will be expected to provide proof of their financial ability to purchase a business with real estate in this price range.
To receive additional information or to request a Brochure about the property, please call John Wallace at 518-392-7062, or email him at: John@GrayRider.com

Fully Leased Professional Office Building

Professional Office building fully leased. Excellent tenants with current leases. New rubber roof in 2010, new furnaces and hot water heaters. This 5,000 square foot professional office building was built in 1962. It sits on 3.8 acres of land on a side street in the Village of Chatham. It has waiting rooms, reception/office areas, 5 baths, and ample parking in both the front and the rear of the building. Tennants pay for heat and electric. There is a total of 4 furnaces (including backups) and the building is air conditioned. Total Annual Real Estate taxes are approximately $11,732. per year. Gross income is approximately $81,000+ per year. Owners pay the real estate taxes and tenants pay approximately 91% of the common charges.
To receive additional information or to request a Brochure about the property, please call John Wallace at 518-392-7062, or email him at: John@GrayRider.com

ATTN: FIRST TIME HOME BUYERS

This Four Bedroom, two Bath, ranch-style home is located on almost 4 acres of open and wooded land on Shillings Crossing Road in the town of Canaan. It is in excellent condition, has a large Eat-In Kitchen, large Living Room, Formal Dining Room, oil hot water heating, anderson windows throughout, wall to wall carpeting, two large decks overlooking open land and nearby mountains and a full semi-finished basement with a two car garage, workshop and plenty of storage. It also has "Lake Rights" to nearby Queechy Lake.
FOR MORE INFORMATION CALL JOHN WALLACE AT 518-392-7062 OR EMAIL HIM AT: John@GrayRider.com

THE ANT AND THE GRASSHOPPER - TWO VERSIONS OF AN OLD FABLE

THE TRADITIONAL CONSERVATIVE VERSION:

The ant works hard in the withering heat all summer long, building his house and laying up supplies for the winter.

The grasshopper thinks the ant is a fool and laughs and dances and plays the summer away.

Come winter, the ant is warm and well fed.
The grasshopper has no food or shelter, so he dies out in the cold.

MORAL OF THE OLD STORY: Be responsible for yourself!
---------------------------------------------------

THE PROGRESSIVE-SOCIALIST VERSION

The ant works hard in the withering heat and the rain all summer long, building his house and laying up supplies for the winter.

The grasshopper thinks the ant is a fool and laughs and dances and plays the summer away.

Come winter, the shiveringgrasshopper calls a press conference and demands to know why the ant should be allowed to be warm and well fed while he is cold and starving.

CBS, NBC, PBS, CNN, and ABC show up to provide pictures of the shivering grasshopper next to a video of the ant in his comfortable home with a table filled with food.

America is stunned by the sharp contrast. How can this be, that in a country of such wealth, this poor grasshopper is allowed to suffer so?

Kermit the Frog appears on Oprah's Show with the grasshopper and everybody cries when they sing,'It's Not EasyBeing Green...'

Occupy the Anthill stages a demonstration in front of the ant's house where the news stations film the SEIU group singing, We shall overcome.

Then Rev. Jeremiah Wright has the group kneel down to pray for the grasshopper's sake, while he damns the ants.
President Obama condems the ant and blames President Bush 43, President Bush 41, President Reagan, Christopher Columbus, Sarah Palin and the Pope for the grasshopper's plight..
Nancy Pelosi & Harry Reid exclaim in an interview with Larry King that the ant has
 gotten ric h off the back of the grasshopper, and both call for an immediate tax hike on the ant to make him pay his fair share.
Finally, the EEOC drafts the Economic Equity & Anti-Grasshopper Act retroactive to the beginning of the summer.

The ant is fined for not having a formal Affirmative Action program and for not hiringe a correct proportionate number of green bugs and, having nothing left to pay his retroactive taxes, his home is confiscated by the GovernmentGreenCzar
 and given to the grasshopper.

The story ends as we see thegrasshopper and his free-loading friends finishing up the last bits of the ant's food while the government house he is in, which, as you recall, just happens to be the ant's old house, crumbles around them because thegrasshopper doesn't maintain it.

The ant has disappeared in the snow, never to be seen again.

The grasshopper is found dead in a drug related incident, and the house, now abandoned, is taken over by a gang of spiders who terrorize the ramshackle, once prosperous and peaceful, neighborhood.
The entire Nation collapses bringing the rest of the free world with it.

MORAL OF THE STORY:

Be careful how you vote in 2012.

I've posted this article because I believe that you are an ant, not a grasshopper!
 Make sure that you pass this on to other taxpaying ants.

Don't bother sending it on to any grasshoppers because they wouldn't understand it, anyway

TEN POINTS FOR SELLERS IN THE WINTER

If your home will be for sale this winter, it is important that you understand some seasonal issues that are less significant or even non-existent at other times of the year.

Here are 10 points to know when selling your home in the winter:


1.  Let Those Lights Shine: The best way to combat winter’s short and frequently cloudy days is to turn on your house lights. For a showing, every single light in the house must be on, even in the closets and utility/mechanical rooms. Make sure all the bulbs are working, and stock up on all the right bulbs for lamps and fixtures so burned out bulbs can be replaced immediately. Also, it’s a great idea to keep the lights on in the front of the house even if no showings are scheduled. People are always driving past the house, and keeping it lighted makes it look happy and welcoming. You should also consider opening the drapes and blinds during the day to let in light and let visitors enjoy the view.

2.  Provide Convenient Parking: It’s vital that buyers have a convenient place to park. They won’t want to walk very far in cold weather or be forced to climb over a snow bank to exit their vehicle. Because parking is often more restricted around condominiums, sellers should make sure their agent can pass along parking details to buyers.

3.  Make It Easy to Enter: Winter showings can get off to an awkward start if prospective buyers arrive with snow or salt on their shoes. Make it easy for buyers to deal with their shoes when they arrive. Put a festive area rug at the front door for a great first impression and so visitors can wipe their feet. Have slippers or disposable booties available, along with a bench or chair, if there is room for one, where a visitor can sit and easily remove or put on their boots.”

4.  Keep Odors Under Control: Any home tends to be stuffy in winter when windows are opened rarely. That can allow odors to build up, which can be a turn-off to buyers.
Pet odors can be especially worrisome in winter. Use a room fragrance if needed, but nothing too strong, and I recommend that in winter sellers clean more often. For example, change the cat litter daily, rather than every third or fourth day, or even consider using an air purifier.

If pets are in the house, consider setting the thermostat control so that the furnace fan runs constantly during the day to keep air moving through the house and dissipate odors. Also try to avoid strong cooking odors, especially if a showing is scheduled that day.

5.  Cultivate a Festive Look: Appropriate decorations for Christmas and even St. Valentine’s Day help give a home a cheerful look during the winter months. Holiday decorations can help homes sell, but don’t go to excess. Keeping small, decorative white lights on trees and bushes pretty much through the winter season is fine, but other decorations should be taken down quickly once the holiday passes.”

6.  Don’t Ignore the Outdoors: Make a good first impression on buyers with a neatly maintained yard. Walks and steps should be kept clear, especially of snow and ice.

7.  Look after Condo Common Areas: If the home you are selling is a condominium, your job as a seller may be relatively easy in winter, with no snow to shovel or yard work to worry about. However, that is only the case if your condominium association does its job well. If the association isn’t doing it, the homeowner may have to take responsibility for keeping the entrance area and hallways clean. If the association isn’t getting snow shoveled promptly, consider buying some de-icing salt and sprinkling it judiciously around the building entry.

8.  Don’t Roast Buyers: We all tend to prefer a specific temperature for our homes during the winter, but don’t blast buyers with hot air. Keep the temperature at a comfortable 65 degrees for all showings. Remember, buyers are likely to be wearing their coats even as they walk through the house.

9.  Keep Seasonal Clothing under Control: One major challenge of selling a home during the winter months is the overabundance of cold weather gear that must be stored. A buyer doesn’t want to find the mudroom filled with boots or the hall closet overflowing with heavy coats. Shift some winter coats to another closet and put anything not needed in the closet into storage. To keep gloves and scarves from piling up in the front hall or mudroom, put a special container for them, such as a decorative chest, where the family typically enters the home.

10.  Encourage Day Time Showings: A home shows to its best advantage during daylight hours, which are relatively scarce in winter. Encourage your agent to show your home before 3 p.m. and have it ready to show by 9 a.m. if you want the best results. 

Despite the special challenges of marketing a home during winter, there also are benefits. Buyers who are out looking at homes in December or January are, as a group, quite serious about buying. Therefore, sellers tend to benefit because each showing is more productive, and fewer showings are needed to sell the property.

SHOULD I TAKE MY PROPERTY OFF THE MARKET DURING THE HOLIDAYS?

When you look at your holiday calendars you may find the months already overloaded with seasonal obligations -- shopping, entertaining, children's pageants, charity work, decorating the house, and so much more. If you are also trying to sell your home, you are under extra pressure to keep your home in "showtime" condition. And that could be the last thing you need before the holiday spirit is broken.

It is understandable why you would be tempted to take your home off the market during the holidays. And the list of justifications is long. If you are too busy, buyers may be also, and you may find your efforts unrewarded by enough showings. And what if you do get an offer? You may be faced with the possibility of packing and moving during the busiest time of the year. Besides, you can give your house a rest, and it will have better momentum after the holidays. Better to just pack it in and start fresh in January, right?

But wait! Top-selling Realtor Jennie Ling says taking your home off the market during the Christmas season is a mistake. A vice president of Virginia Cook REALTORS® and the number one sales person in her company for almost every one of her more than 35 years in the real estate business, Ling exclaims, "The house sure isn't going to sell off the market! What is the advantage of that? So you're busy. Let your Realtor do the work. You can leave in the morning, go to work, go shopping, and let your Realtor take care of things."

"The holidays are my best-selling period. Why? Because most people take off work sometime during the season. The husband and wife are both off and want to see houses. I showed homes on New Year's Day last year. I like the holidays because the buyers have more time, and they can look at homes together."

Before you take your home off the market, consider the following points:

• Although buyer activity may appear to slow down, the buyers who are actively looking during the holidays are that much more serious. Ling believes the home market is no more affected at Christmas than during other "busy" period. If that were so, the market would shut down throughout the year as families concentrate on spring weddings, June graduations, summer vacations, and autumn back-to-school activities.
• Many buyers deliberately choose to shop for a home after the busy spring and summer rush. They know that it will be easier to look, and that negotiations will be less stressful. They may not have children, or they may have grown children, so moving to accommodate the school year isn't a consideration. Finding the right home at the right price, however, is.
• Relocating families often don't have a choice in when they can leave for their new destination. Although 68 percent of transferring families have children, many families have to transfer during the middle of the school year. These families are that much more motivated to get their families settled in before either before the January semester begins, or to arrange for the move during spring break in March. If you sign a contract by New Year's Eve, the timing couldn't be more perfect.
• At Christmastime, our culture focuses on family and the home. Preparing for the indoor activities of winter is one of the most enjoyable periods of family life. Allowing buyers to view your home during this most hospitable of seasons lets them better picture their own family life in the attractive environment you have created.
• When is your home ever more beautiful and inviting? You have cleaned and decorated, and your home looks like a picture postcard. If the results are good enough for family and friends, they will surely be good enough to impress your buyers. Get the family team on board to do a five-minute blitz pick-up every morning to keep holiday messes to a minimum.
• With reduced inventories and motivated buyers, you will have all the members of the MLS on your team. You may find you have more showings than you would if your marketed your home during a busier time of the year.
• If you do get a contract, you can arrange the terms to suit your needs. If moving during the holidays isn't an option, you can put in the closing date of your choice. "Most people can close 30 to 60 days after a contract is written, so there is plenty of time," Ling says. "Possession and closings are are very negotiable."

By: The Realty Times Staff
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ORIGINAL ARTICLE:  http://realtytimes.com/rtpages/20111125_holidays.htm

THE HOUSING MARKET IS GREAT: IF YOU ARE RICH!

NEW YORK–It's starting to feel as if there are two housing markets. One for the rich — and international buyers — and one for everyone else.

Consider foreclosure-ravaged Detroit. In the historic Green Acres district, a haven for hipsters, a pristine, three-bedroom brick Tudor recently sold for $6,000 — about what a buyer would have paid during the Great Depression.

Yet just 15 miles away, in the posh suburban enclave of Birmingham, bidding wars are back. Multimillion-dollar mansions are selling quickly. Sales this August were up 21% from the previous year. The country club has ended its stealth discounts on new memberships. And Main Street's retail storefronts are full.

"We're getting more showings, more offers and more sales," says Ronnie Keating, a real estate agent with Sotheby's International.

Think of this housing market as bipolar. In the luxury sector, the recession is a memory; sales and prices are rising. Everywhere else, the market is moving sideways or getting worse.

In the housing market inhabited by most Americans, prices have fallen 30% or more since the peak in 2007. That's a steeper decline than during the Depression. Some people have had their homes on the market for a year without a single offer.

Almost a quarter of American homeowners owe more on their house than it's worth. Another quarter have less than 20% equity. About half of homeowners couldn't get a mortgage if they applied today, says Paul Dales, senior U.S. economist for Capital Economics.

Then, there is the other housing market, occupied by 1.5% of the U.S. population, according to Zillow.com.

Here, houses have outdoor kitchens and in-home spas, his-and-her boudoirs and closets the size of starter homes. This market is not local but global, with international buyers bidding in cash. And the gyrations of the stock market are cause for conversation, not cutting expenses.

In this land of luxury properties, the Great Recession seems over. Prices of $1 million-plus properties have risen 0.7% since February, according to Zillow. Prices of houses under $1 million have fallen more than 1.5%.

Normally, these two segments of the housing market rise and fall together. Now, they're moving in opposite directions.

"Luxury is the best performing segment of the housing market right now," says Zillow.com chief economist Stan Humphries.

After every recession since World War II, housing has led the economic recovery. Not this time. The renewed vitality in the comparatively small market for luxury homes is not enough to power a full-blown recovery.

This bifurcation in the market is yet another reason Michelle Meyer, chief economist at Bank of America Merrill Lynch, says her housing outlook is "increasingly downbeat."

The phenomenon is not limited to real estate. You can see the same split elsewhere in the economy. Sales at Saks vs.Walmart. Pay on Wall Street vs. Main Street. Corporate profits vs. family balance sheets.

The divide also is making credit a perk of the rich. Mortgage rates are the lowest in decades. But what good are absurdly cheap rates if you can't get a mortgage?

Banks aren't granting credit to anyone "who even has a smudge on their application," says Jonathan Miller, founder of real estate consulting firm Miller Samuel. Applications for new mortgages are at 10-year lows.

Across the U.S., prices on high-end homes fell after the subprime crash in the fall of 2008. The price on the $25 million mansion became $20 million, then $15 million. Such "bargains" are pushing luxury buyers to commit to more deals.

There are other factors, too. In Detroit, a recovering auto industry is helping propel high-end sales. All those car executives who helped turn around the auto industry used to rent homes. Now they are using their performance bonuses to buy.

Wall Street's recovery has brought back the market for mansions in the Hamptons, on Long Island, where the number of real estate closings has returned to the 2007 level, and for luxury co-ops in New York City. And because of social-network riches in Silicon Valley, twice as many homes have sold for $5 million or more this year than last.

But in the other housing market, an apartment tower built in 2007 in San Jose, Calif., recently converted to all-rental. The building had not sold a single unit.

In Miami, a city that exemplifies the foreclosure epidemic, idle cranes dot the skyline. Unemployment shot up again this summer from 12% to 14%, a level not seen since the energy crisis in 1973. There are so many two-bedroom condos in gated communities with golf courses, private pools and jogging paths that you can pick one up for $25,000, 66% off the price five years ago. But luxury condos priced at $1 million or more are selling as rapidly as they did during the boom.

"In the 20 years that I have been in South Florida real estate, I have never seen a greater divide between those who have and those who have not," says Peter Zalewski, founder of the real estate firm Condo Vultures.

One big factor in the divide in the real estate world is foreign cash. For international buyers, U.S. real estate is the new undervalued asset, the new fire sale, and foreigners are big buyers of luxury properties. International clients bought $82 billion worth of U.S. residential real estate last year, up from $66 billion in 2009. In states like Florida, international buyers account for a third of purchases, up from 10% in 2007.

"Luxury properties are drawing buyers from all over the world," says CoreLogic's chief economist, Mark Fleming.

That's true even in such seemingly all-American enclaves as Detroit. Step off a plane at the city's futuristic new airport and the internationalization of the Motor City is obvious. All the signs — as well as the announcements on the public address system — are in both Chinese and English.

In the middle of the terminal sits a five-star Westin Hotel, the better to serve the global executive class that jets in and out as the U.S. auto industry regains its footing. Many of them are buying in Birmingham, Mich.,, where home values are up 3.1% this year, according to Zillow.com.

In Birmingham, store owners say business is as good as it was during the boom years last decade. Chasta Fase, who owns Old World Olive Press, a boutique shop that sells $30 bottles of olive oil from around the world, says business "has been just awesome" since she opened in November. And since April, she says, customers have been spending more than ever.

Real estate agent Keating says the same is happening to her sales. In June, she sold a lakefront mansion in Birmingham to a Russian entrepreneur. He had purchased a local steel company that he plans to turn around.

"They're coming from all over," says Keating, who for the past 30 years has sold most of the car barons their homes, from Roger Smith, former CEO of General Motors, to former Chrysler CEO Bob Nardelli. "I don't know who any of them are anymore."

Copyright 2011 The Associated Press.

HOUSE ON THREE ACRES IN COPAKE-HILLSDALE AREA - $175,000.

This ranch-style home is strategically located on a mostly open three acre parcel to catch the best views of the nearby hills. The house was built in 1967 by the current owner and is being offered for sale for the first time. It has 1,000+ square feet of living area that includes three bedrooms, 1 full bath, triple-pane thermopane windows for energey efficiency, oil hot water heating, ceramic tile and carpeted floors, covered porch to enjoy the great views, and a 2-bay detached garage/barn with electric service and workshop. Total Annual real estate taxes are only $3,150. This house is in excellent, ready-to-move-in condition.

The property is located only a few minutes away from Catamount Ski Center, New York State Parks, Bash Bish State Park, and the Harlem Valley Rail Trail goes right by the property. You can also walk to the hamlet of Hillsdale for shopping and fine dining. More land is available.

For more information call John Wallace at 518-392-7062 or email him at John@GrayRider.com



FARM LAND RUSH IN THE USA

“It’s a feeding frenzy out there,” says Renee Harvey, ALC, of Century 21 Harvey in Paris, Texas. Farmers, private investors, and institutional owners are bidding up cropland prices to record highs, fueled by commodity prices that rose 29 percent in the year ending March 2011, according to the U.S. Department of Agriculture. In the Midwest alone, prices rose 23 percent during 2010, according to the Federal Reserve of Chicago, and have since spiked higher. Total returns for farmland were 2.4 percent in the first quarter of 2011, up 1.3 percent from a year ago and the strongest first quarter return since 2006, according to the National Council of Real Estate Investment Fiduciaries Farmland Index.

The eye-popping prices and impressive returns, in large part, reflect the relative scarcity of land for sale. Amid rising food prices, owners aren’t inclined to sell. “There’s just not much on the market and finding property for buyers takes a lot of networking,” says Ray Brownfield, ALC, of John Greene Land Co. in Oswego, Ill. In fact, the 2010 annual report of the Illinois Society of Professional Farm Managers and Rural Appraisers found that 57 percent of the farmland sold in the state came from estate sales. With relatively few sellers, transaction volume has stayed low, despite liquidity in the market. Data from the Farmers National Credit Services of America, an Omaha-based lender, found that transaction volume on crop and pasture land in Iowa, South Dakota, Nebraska, and Wyoming dropped 54 percent in three years from 2,326 sales in the first quarter of 2008 to 1,074 sales in the first quarter of 2011.

The appeal is easy to understand. “High-quality farmland can generate a 3 to 4 percent annual cash-on-cash return with low volatility,” says Murray Wise, ALC, of Murray Wise Associates, headquartered in Champaign, Ill. Compare that to a yield of less than 1 percent on six-month Treasuries, and you can see why income-hungry investors love farms.

Rising rents have also kept returns high despite higher land prices. In Illinois, for example, the cash rents for the mid-third range of leases on excellent farmland rose from $183 per acre in 2007 to $319 in 2011, according to a survey by the Illinois Society of Professional Farm Managers and Rural Appraisers. More owners are negotiating flexible profit-sharing agreements to capture rising commodity prices, says Winnie Stortzum, ALC, GRI, a land broker and appraiser at Farmers National Co. in Arcola, Ill.

Six Keys to Farm Land Value
Farmland investment income rests on crop production for much of its return on investment. What makes for a productive farm?
-Soil quality
-Water availability and control
-Fertilizer requirements
-Topography
- Percentage of tillable land
- Proximity to transportation

Another draw is land's inverse correlation with the stock market, says Jeff Conrad, president of Hancock Agricultural Investment Group in Boston. “You really saw that in 2008,” he says. Investors worried about inflation like that land is a tangible asset.

But even with strong investor activity, there are doubters. Yale University economist Robert Shiller, famous for predicting the fall in housing prices, cited farmland as his “favorite dark horse bubble candidate” over the next decade in a spring 2011 article in Slate. Some investors are already pulling back, especially in the hot Midwest farm belt. “When land reached $10,000 an acre in the first quarter of 2011, it was a mental stopping point for some cash in­vestors,” says Mark Goodwin, Goodwin & Associates in Shorewood, Ill. The U.S. Department of Agriculture is also reporting slight drops in income streams from such major crops as cotton, oilseeds like soybeans, and feed grains for the first quarter of 2011. Part of the challenge is that “the agricultural industry doesn’t set its own commodity prices; that’s done by traders and speculators,” says Kirk Goble, ALC, with The Bell 5 Land Co. in Greeley, Colo.

Many agriculture brokers agree that there may be a 5 percent drop in land prices, but “as long as people from developing countries want to increase the quality of their diets and their protein consumption, commodity prices and land prices will remain very strong,” says Mac Boyd, ALC, GRI, of Farmers National Co. in Arcola, Ill.

Another factor that mitigates a sharp drop in agricultural land prices is the low debt-to-asset ratios for most farmers today, says Conrad. “Farm debt is the lowest it’s been in 30 years. That’s not the sign of a bubble.” Brownfield agrees: “The average mortgage debt load for farmland purchases today is less than 20 percent.” Many current buyers are coming in with all cash. Those who do use debt are putting 40 or 50 percent down.

Does that mean that farmland investment is bulletproof? Not quite. Government policy—particularly anticipated changes in farm subsidies in the 2012 farm bill—could have “a significant impact on what goes in the farm market,” says Stortzum. While subsidies aren’t as critical when commodity prices are high, land ownership would get much riskier without some sort of federal backstop, notes Brownfield. A rising dollar could soften demand, while higher interest rates could pull investors away to higher returns elsewhere.

Flexibility Counts

Given the high prices and retreats in commodity prices, are there still opportunities in farmland investment? Yes, but only if you’re savvy and flexible, say land experts. Finding willing sellers is the toughest part, since only about 1 percent of U.S. farmland turns over every year, says Wise. His tip: If you do find a farm, be ready to make a cash offer in 24 hours. Other buyer-finding advice: Check tax rolls for absentee owners, who may have inherited farm property and now live far away.

Bargain hunting can also pay off. “It’s an imperfect market. Sometimes there aren’t any aggressive buyers at an auction, and the land sells for less than the perceived market,” says Randy Hertz, alc, of Hertz Farm Management Inc. in Nevada, Iowa. Another way to get a better buy: Look beyond the top cropland markets of the central Midwest to somewhat less fertile, but more affordable, land in states like South Dakota, he says. The Mississippi Delta, similarly, hasn’t been bid up as high, suggests Bob Turner, alc, with Southern Properties LLC in Cordova, Tenn. “Prices per acre are averaging $2,500 to $3,500 in our area,” he says. Another option: Focus on commodities that are soft at the moment, like wine grapes and cranberries, suggests Conrad. When these products rebound, land prices will rise, too.

A Comeback for Ag

The strength of farmland prices is even pulling some undeveloped transitional land back into the farming fold, says Nancy Surak, ALC, CCIM, of Eshenbaugh Land Co. in Tampa, Fla. With prices on bank-owned transitional land down as much as 80 percent from the peak of 2005, “ag may be the highest and best use,” she says.

Farmers in the collar counties around Chicago are following a similar pattern, says Goodwin. Those who sold to developers for $75,000 an acre a few years ago are now buying it back for $15,000. “They’ll farm it for five to 10 years and sell it to a developer again,” he says. Much of this land is REO from larger banks, which seem more ready than smaller ones to take write-downs, he says.
In some cases, this farming or grazing use is a temporary way to qualify for lower agricultural tax rates. “You can get a fence up and cattle on a property in two weeks and substantially lower your ­carrying costs,” Surak says.

Comparably lower prices on build-ready land are also attracting buyer interest. “We sold almost 1,000 finished lots last year, every one we had listed,” says Surak. Homebuilders who have cash as well as regional investors are snapping them up at 40 percent of the average $25,000 replacement cost, she says. Other buyers for build-ready land include state and local governments and local housing authorities, which have used federal Neighborhood Stabilization Program funds to buy bank-owned land for new construction.

Even recreational land is getting the farm bug. “The biggest trend in recreational land is multiuse opportunities, including farming, timber, and habitat development,” says Derrick Volchoff, manager of Cabela’s Trophy Properties, a network of more than 250 independent real estate affiliates based in Sidney, Neb. Income helps to offset carrying costs as buyers remain hesitant in a weak economy.
Like all real estate, agricultural land prices are ­cyclical—so the highest of today will decline at some point. But as the world’s population grows and needs to be fed, the future looks bright for U.S. farmland and for those who sell and manage it.

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http://realtormag.realtor.org/commercial/feature/article/2011/09/farm-land-rush

HOW WILL THE U.S. CREDIT RATING DOWNGRADE IMPACT HOUSING FUNDAMENTALS?

Congress’ last-minute accord to raise the nation’s debt ceiling and avert a default wasn’t enough to save the United States’ AAA rating from Standard & Poor’s. The market’s reaction to the news could have an impact on Treasury yields and with these yields closely tied to mortgage rates, on homebuyers’ borrowing costs.

[Editor’s Note: As the day unfolded, following publication of this article, investors responded to the news with a Treasury bond buying spree, resulting in a 13 basis point drop in 10-year Treasury yields.]

The international ratings agency downgraded the long-term sovereign credit rating of the United States to AA+ late Friday night. That’s a grade level just below the AAA rating the U.S. had held for 70 years, going back to 1941 when S&P began assigning ratings to countries.

S&P said the fiscal plan that Congress and the administration agreed to last week “falls short” of what its analysts believe is “necessary to stabilize the general government debt burden by the middle of the decade.”

The agency also said the wrangling that went on in Washington – namely the use of the impending threat of default as a political bargaining chip – makes near-term progress on curbing public spending or reaching an agreement to raise revenues “less likely than we previously assumed.” S&P says the debate “will remain a contentious and fitful process.”

White House and Treasury officials fired back at S&P for basing the downgrade on what they said was a “math error of significant consequence.” The administration says S&P misquoted estimates from the Congressional Budget Office by $2 trillion in projecting the deficit over the next 10 years. S&P has since acknowledged the error but says that doesn’t change its decision.

So what does all this mean for the housing and mortgage markets?

Mortgage financiers Fannie Mae, Freddie Mac, and 10 of the 12 Federal Home Loan Banks also had their senior debt issue ratings cut from AAA to AA+ by S&P Monday morning. (The Federal Home Loan Banks of Chicago and Seattle were already rated AA+ prior to the U.S. sovereign downgrade.)

S&P says the downgrades were the result of the institutions’ “direct reliance on the U.S. government.” The agency warned back in April that the rating of the U.S. would have a direct impact on the ratings attached to the debt of these government-sponsored entities.

Reuters notes that a downgrade of Fannie Mae and Freddie Mac could also affect billions of dollars of debt issued by public housing authorities, debt that is secured by federally guaranteed mortgages.

The markets are bracing for an eventful week ahead, with expectations that the value of the dollar will slip and Treasury yields will begin to rise. The trajectory of mortgage rates typically goes hand-in-hand with Treasury yields.

But market participants point out that mortgage rates are already at historical lows, and it still hasn’t done much to boost demand from homebuyers.

Economists and housing experts alike were expecting mortgage rates to head higher later this year, even before the rating downgrade.

According to Paul Dales, senior U.S. economist for the research firm Capital Economics, “[A]ny spike in Treasury yields and/or fall in the dollar should be relatively short-lived. Once the dust settles, attention will turn back to the economic fundamentals, which are certainly consistent with low Treasury yields.”

The analysts at Barclays Capital don’t expect the ensuing shock to the market to run very deep.

“Treasuries are not going to sell off…but longer-run the fiscal problems are likely to mean a weaker dollar,” Barclays said.

The firm also stressed that for many observers, it was really a question of when the downgrade would happen rather than if it would since S&P had been very clear about its expectations.

“But it is yet another milestone in the ongoing financial crisis: another once-unthinkable event has taken place,” Barclays said. “For decades the 10-year U.S. government bond yield was the definition of the long-run risk-free interest rate; now that has been declared a less than top-notch credit risk.”

S&P is the only one of the three major ratings agencies to downgrade the United States.

Moody’s Investors Service and Fitch Ratings both confirmed their AAA ratings after the debt deal was reached last week.

By Carrie Bay
www.DSNews.com

TWO BEDROOM COUNTRY COTTAGE - ONLY $198,000.

This two Bedroom, two Bath, 1960's Cottage is located on 2.04 acres of mostly wooded land on County Route 24 (Red Rock Road) in the town of Canaan. It is in excellent condition, has oil hot water heating, 1,136 square feet of living space, double-hung windows, enclosed porch, seasonal stream at property border, 1-car detached garage, and plenty of storage.

For more information and/or an email brochure, please email John Wallace at: John@GrayRider.com

or call him at 518-392-7062

PROFESSIONAL OFFICE BUILDING IN CHATHAM, NEW YORK

PROFESSIONAL MEDICAL OFFICE BUILDING IN CHATHAM - $425,000.

Professional Office building fully leased. Excellent tenants with current leases. New rubber roof in 2010, new furnaces and hot water heaters. This 5,000 square foot professional office building was built in 1962. It sits on 3.8 acres of land on a side street in the Village of Chatham. It has waiting rooms, reception/office areas, 5 baths, and ample parking in both the front and the rear of the building. Tennants pay for heat and electric. There is a total of 4 furnaces (including backups) and the building is air conditioned. Total Annual Real Estate taxes are approximately $11,732. per year. Gross income is approximately $81,000+ per year. Owners pay the real estate taxes and tenants pay approximately 91% of the common charges.

Total Annual Income: $81,116.
Total Annual Expenses: $48,200.
Total net Income: $3,916.

Cick on the link below for more information:

http://www.grayriderrealestate.com/Form-MedicalBuilding-InfoRequest.htm

Survey: 87% of First-Time Homebuyers Don't Foresee Payment Troubles

Prospective homebuyers cite worries about future unemployment, concerns about property affordability, and the local economic outlook as issues that hold them back from jumping into the market, according to an industry survey commissioned by Genworth.

But the Virginia-based mortgage insurer says these economic concerns have not translated into excessive mortgage stress among recent U.S. homebuyers.

According to the survey, 87 percent of Americans who bought their first home in the past 12 months expect to easily meet their mortgage repayment obligations in the coming year.

Genworth debuted its new International Mortgage Trends Report Friday based on a global survey of current and aspiring homebuyers aimed at gaining local insight into key world markets. More than 9,000 respondents were interviewed from Australia, Canada, India, Ireland, Italy, Mexico, the United Kingdom, and the United States.

The company says the U.S. is the most optimistic among all the markets surveyed about buying a home. According to the findings, nearly two-thirds of Americans polled believe now is a good time to buy a home.

Genworth says indebtedness colors how households around the world view their financial situation and how they approach buying a home. Western countries tended to have higher levels of debt, but were also more comfortable taking on debt.

Of the many factors that influence the decision to buy a home, Genworth notes that consumer confidence is one of the most important.

The company’s survey found that homebuyer confidence has eroded due to property market instability and worries about personal finances, leading consumers to adopt a wait-and-see attitude.

Still, nearly two-thirds of Americans surveyed believe now is a good time to buy a home for those who can afford it.
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Article by Carrie Bay - www.DSNews.com

FLANDERS CORP COMING TO COLUMBIA COUNTY

The news that the Flanders Corporation will move into Columbia County is a welcome sign that the changing dynamics in New York State are starting to reap benefits.

The Flanders Corporation has picked our region to expand its growing air filter manufacturing business which is based out of North Carolina. The Company will be creating 180 jobs and investing approximately $7 million in the former Kaz plant. The collaboration between state, county and local officials helped make this a reality and I was pleased to be a part of this economic development team.

As challenging as this past budget process was, my Republican Senate Colleagues and I remained steadfast in our commitment to deliver an on time budget that contained no new tax increases. A signal that New York can be competitive in attracting and maintaining businesses and jobs.

I am hopeful the Flanders Corporation is the first of more businesses who will see the region full of potential to establish or expand a business.

Posted by State Senator Steve Saland