James Team Real Estate Joined Heart Run 2013

Last April 27, 2013, Saturday, James Team Real Estate together with other 5,000 runners and walkers joined the Alaska Heart Run 2013 - the largest 5K race in Alaska.  Participants travel from across the state to participate in this fundraising event benefiting American Heart Association which raises funds for the research and education to fight against heart disease and stroke - the number 1 and 4 killer in the US.

The race began  and finished in University of Alaska Anchorage Fine Arts Building Parking Lot. The event started at 9:30am.

The event has raised a record of $240,000 surpassing its goal of $195,000, according to Lisa Sauder, Alaska's executive director of the American Heart Association.

Top 5 overall winners of the Alaska Heart Run 2013 are 1. Alfred Kangogo 14:53; 2. Jake Moe 14:53; 3. Micah Chelimo 15:01; 4. David Kipligat 15:43; 5. Sam Tilly 15:46.

It's truly amazing to see thousands of people gather to contribute their time and energy for a good cause. They ran, they donated, they raised money and they got their family, friends and coworkers to donate to fight against heart disease and stroke.

2013 Spring Home Buying Season

Spring time is the season for selling houses. April, May, June and July account for more than 40% of all housing transactions annually, and this is all due to the weather condition - according to Forbes. 

Here's what you need to know about the market before you hunt for homes:

1. Inventory Shortages

The available homes have gone record lows, thanks to both an abnormally small supply of existing homes for sale. The low inventories are helping push home prices to increase.  Stuart Hoffman, Chief Economist at PNC Financial Services Group suspects that more home will come to market as the home prices increase - showing prospective sellers confidence in the housing market.

Traditionally this time of the year shows a sharp increase in home inventory levels as the sellers list their homes in time for the buying season. According to NAR economist Lawrence Yun, more homes are expected to go on the market by May - ahead of the summer buying season.  However, other economists suspect inventory levels will remain low throughout the rest of this year. A six-month supply is considered healthy, but there are only 4.7 month supply of existing homes are available on the market. That's nearly 20% less than last year - on national level.

The limited supply of available homes is pushing up the home values.  Nationwide, the median price for a home resale has increased to $184,300 in March, up by 11.8% from last year.  The highest increase since November 2005.  

2. Increased Competition

In some areas, buyers make an offer above the asking price. Some buyers have different tactics so that the sellers would choose them over other buyers. 

Buyers should be prepared to move fast if they find a property that they would like to buy.  Otherwise, other buyers would beat them to it.  Some may need to bid on multiple homes because many will be outbid by others.

3. Cash is King

Sellers still prefer all-cash buyers that can be closed quickly.  According to NAR, about 30% of home sales are all-cash.  To compete with cash buyers, buyers MUST get a pre-approval before they search for a home. 

Unlike the past several years, inventory is at record lows, home prices are increasing. Statistics show that Americans are gaining back confidence on the housing market. Buyers are willing to invest again!  While the news looks promising to sellers, many buyers will be faced with several obstacles in buying their house as compared to previous years.

If you want to buy or sell your home, NOW is the time to join the bandwagon. For any questions, do not hesitate to contact me.

Boston Marathon Nightmare

Photo Source: http://www.washingtonpost.com

The James team sends our deepest sympathy to the victims of the Boston bombing happened yesterday, Monday.  On April 15, 2 bombs exploded near the finish line of the Boston Marathon killing 3 people and leaving over 170 others hurt, 17 people are in critical condition.

The Boston Marathon is the oldest annual city marathon in the world.  It started for the first time in the year 1897.  The fist marathon was run with only 18 runners in the race, but the participants grew since then.   Thousands of professional runners travelled from around the world to take part on America's biggest sporting event. 

The Boston Marathon is ranked as one of the most prestigous marathon in the world.  The running event is held on Patriot's day which is observed on the third Monday of April every year.  The holiday commemorates the battles of Lexington and Concord on April 19, 1775. These were the first battles of the American Revolutionary War. 

As of this time, it is still unclear who was behind the bombings.  "There is no suspect in custody, but many people are being questioned,"  according to Boston Police Commissioner Ed Davis.  President Barack Obama said that the perpetrators would pay.  

Within seconds, the festive celebration has turned into a very traumatic event. It was a very horrific day in Boston.

We pray for the speedy recovery of those that are injured and we hope that whoever is behind the attacks will take responsibility for the effects it caused to a lot of people.  During these times that we, as Americans should unite to find the people who are responsible for this horrible tragedy. Anyone with information on the bombings, please call Boston authorities at 1-800-494-TIPS.

Green is In. Trending Eco-friendly Homes

Green is IN.  One of the hottest trends in home design NOW is to have energy efficiency features in mind. Eco-friendly homes can reduce the need for investment in energy infrastructure, reduce energy bills, improve health and increase environmental benefit. Making your home eco-friendly is easier than you think.  With a few minor changes, you can make a huge difference. 

Consider using these types of green products in your home:

1. Compact Flourescent Light Bulbs (CFL)

Changing your lighting to energy efficient bulbs is probably the easiest energy efficient improvement you can do.  CFLs use 70% less energy than regular bulbs and can give you savings of $30 per bulb's lifetime. 

2. Eco-friendly Flooring

Bamboo, cork and eucalyptus flooring are eco-friendly alternatives to hardwood floors. They are also stylish and affordable. 

Many home owners choose bamboo as an eco-friendly alternative hardwood flooring. Bamboo is durable and sustainable. It shares the same characteristics as hardwood but it is made from natural vegetation and grows to maturity in 3-5 years as compared to other trees which can take twenty years to grow. 

Cork can be seen on your favorite wine bottles but it is also great material for floors.  It has anti-microbial properties that reduce allergens in the home, is fire retardant, easy to maintain and acts as natural insect repellant too.  Cork floors, can last between 10-30 years, depending on the quality. 

Eucalyptus tree is renewable and can be harvested in as little as 14 years. It is affordable as well, eucalyptus flooring is about half the price of traditional wood flooring. 

3. Energy Star Windows

You can save energy bills by replacing your windows to an energy efficient ones.  Energy Star windows help keep the heat inside during the winter.  

Installing energy efficient home features will benefit you in the long run.  Consider installing these eco-friendly features in your home: 

1. Home Insulation 

Home insulation is one of the most important energy efficient improvement you can do to your home. This is because insulating materials effectively keep the heat in your room when the weather is cold.  

You can save as much as 40% on your energy bill since your heater does not need to run as hard since your home is getting the right kind of temperature. You will recuperate the costs of installing the insulating materials in the long run if you add up all your monthly savings in energy bills.

Insulation materials are also sound proof.  This is useful if you are living in a populated area where noise pollution is common.  

Your home's market value increases if your home is well insulated. Should you decide to sell, your home will surely get a higher price.  And since the trend is towards eco-friendly homes, your home will definitely sell faster.

2. More Efficient Toilets

The modern toilets are more energy efficient than the first low-flow models. Their bowls and tanks are designed to use less water.  In an average home, flushing toilets accounts for about 30% of water usage. The energy efficient models can reduce that 

use of up to 25%.

3. Induction Cooktops 

Induction cooktops cook faster than the regular cooktops.  It also uses far less energy.

4. Tankless Water Heaters

A solar water heater can reduce costs by up to 80% a year and will prevent more than 50 tons of carbon dioxide emissions over its 20-year life span.

If you are planning to upgrade any of your appliances, choose appliances with Energy Star logo on them. Products like dishwashers, refrigerators, computers and TVs use 10-50% less energy and water than standard models, more than making up for 

the slightly higher cost of these products. 

Green homes often use eco-friendly materials such as energy efficient lighting, flooring and windows. Other features would include energy-conserving insulation, efficient toilets and cookers and high-efficiency water heaters.

More and more home owners are going green.  Opting to live in an eco-friendly home is becoming a conscious effort for home owners. The benefit of going green isn't just about money, it also improves home quality and home owner comfort, demands lower energy and reduces air pollution. 

James Team Real Estate is pro-green.  If you need assistance in turning your home green. We have strong connections with certified professionals that we would be happy to refer. 

IT'S TAX TIME! TAX BENEFITS FOR THIS TAX SEASON!

April 15 - filing of tax deadline is just around the corner. With less than a week left until the filing deadline, everyone should have all the needed paper works ready by now.  For home owners, there are some additional tax benefits that they can enjoy. Here are some of them:

1. Mortgage Interest Deduction 

Mortgage interest are paid during the first few years of the mortgage term.  Through the home mortgage interest deduction, home owners are allowed to reduce their taxable income by deducting the amount of interest paid on the loan which is secured by their principal residence.  On a mortgage of up to $1 million, they can deduct the interest they've paid at settlement if they itemize their deductions on Form 1040.  

2. Property Taxes 

Property tax paid to the local municipality are deductible. The new home owner do not need to pay income tax on money that was spent on property taxes.  However, money held in escrow for the purpose of paying property taxes are not deductible - until the money is actually taken out of escrow and paid the property tax.

3. Selling Costs

Selling costs on the sale of a home can be claimed as tax deductions.  Closing fees, repairs, capital improvements costs, broker's fees and dvertising/marketing expenses required to sell their home will be deducted on the gain on sale of their home. Provided that the repairs were made within 90 days of the sale.  Maintenance items such as painting the home and changing the carpet are usually not considered as capital improvement.

4. Mortgage Insurance Premiums Deduction

Home owners that paid less than 20% down payment on their homes are required to pay Mortgage Insurance Premiums or MIP to protect the lender in case the borrowers default on the loan.  MIP payers can deduct those insurance payments as tax deduction when they file their returns. 

5. Energy Efficient Upgrade/Repair Deduction

The cost of the building materials used for energy efficient upgrades can be deducted on the total tax payable, not just a reduction in the taxable income.

6. Home Office Deduction 

Home owners can deduct a percentage of their mortgage, utilities and repair bills dedicated their office space. However, the home office must be the primary office location of the business or it is used as storage area for your business (i.e. samples, inventory, etc)

7. Construction Loan Interest Deduction

If a home owner has borrowed money to build a home, he/she may qualify to deduct the interest.  The interest deduction will only be applicable for the first 24 months of the loan even if the actual construction takes longer.  

Tax day is SOON! Do not delay, it's better to file even if you are not able to pay the taxes.  Just file and pay what you can.

Let me know if you have any more questions, I will be glad to help.  We have strong business relationships with CPA's and Tax Professionals that we would be happy to refer with any additional questions.  

Real Estate: Think Out of the Box

Real estate is bouncing back again after suffering for a few years.  Home buyers are interested in buying again, but they are faced with a big inventory deficit. Meaning there are limited homes for sale.  Some buyers make 3-4 offers on homes but other buyers keep snatching it from them.

In this challenging market, home buyers must get creative in looking for their home.  Looking for a house may not only mean searching in the for sale section.  Here are other ways of looking for your new home:

1. Check out 'expired' and 'withdrawn' listings

A lot of homes home owners failed to sell because buyers thought that it was overpriced.  Other homes in the same location with the same features may have been priced better than that home.  Chances are, the owners are still looking for a buyer for their home.  

2. Check rental listings 

There are a lot of reasons why a house was put up for rental by the owner.  He/she might have a job transfer, divorce or other things. He/she might have thought of selling, but judging from the past housing situation it was not a good idea for the owner because he/she would lose his investment.  Now that housing prices have improved, he might think of selling that house again.

3. Check out for Off-market or pocket listings

Some home owners want to sell their home but they do not want to list or can't list it.  These people want to sell their homes but do not want to do the leg work.  This is true for luxury market, some home owners do not want to publicly list their home in the market. 

In practice, realtors network with each other for potential deals.  Also, brokerage firms release upcoming listings to their agents a few weeks before they hit the MLS.  Well connected agents will be able to show buyers homes that are not even in the market yet.  Buyers will have less competition.

Most buyers prefer to look for their homes the traditional way. There are other ways that will guarantee successful house hunting if they just think out of the box. It is very important to work with a realtor who has a wide connection. The realtor who have access to expired, withdrawn and off market listings.  The listing might not be for sale, but it can still be a good deal, especially in this current market.

If you are looking to buy your dream home, I will be able to help!  I have a vast network and resources to help you find your perfect home. In James Team Real Estate, we are dedicated on exceeding your expectations.