Jim Valentine

Being humble and grateful is a beautiful and fulfilling manner of life, and periodically it is good to simply be thankful. It is that time of year when Americans express their thanks with, and through, the holiday of Thanksgiving. In that traditional spirit we are thankful for the opportunity to express our thanks, and, perhaps, some that you can also identify with.

We are very thankful for many, many things including: the continuing favorable interest rates; the assorted Home Retention Programs being developed and the spirit in which they are being formulated; Buyers that are boldly venturing forth and buying with confidence; our fellow real estate practitioners that are continuing to help Buyers and Sellers gain and maintain perspective to navigate in these interesting times; the high standard of the real estate practice in our area; USDA Rural Development 100% loans that provide wonderful opportunities for home Buyers in our community; the opportunity to help people with our real estate knowledge and experience.

We are very thankful for the prevalent Volunteer Spirit found throughout the Carson Valley that results in so many special things; for our friends' conspiracy to nominate Jim so he received the Carson Valley Chamber of Commerce "Unsung Hero of the Year" award; for the generosity of our community towards worthy causes even in trying financial times; for the local business community and their continued efforts to provide goods and services; for our Tiger Family; that we live in a free country; that if we don't like something about our life we can change it; that if we like something about our life we can keep it; that we have so much to live for.

We are very thankful for this great Valley we live in - the natural beauty and the wonderful people; the wonderful life changing opportunities for our children and families; that the Youth are still and always important in our community; that families are important as is community itself; that Values are respected and a way of life for most; that people still stop to help one another; that in our community people still say hello to strangers with a smile.

Our Advice: Be thankful and grateful for your health, your family, your friends, and your community. Be a shining example of gratitude and be thankful for what is ... not resentful for what isn't. Our wonderful Valley gives us a wonderful quality life to enjoy while the real estate market cycles ... as it always has and always will. Enjoy it now... every day... and be thankful for it. These are the good old days... be thankful we can share them together.

Together lets move boldly into the future and continue to generate many things to be thankful for. Experience is Priceless! Lisa Wetzel & Jim Valentine, RE/MAX Realty Affiliates, www.carsonvalleyland.com, 775-781-5472. www.carsonvalleyland.com email us at carsonvalleyland@hotmail.com

Our industry has certainly changed in recent years, and one of the most dramatic of all the changes is the manner in which we market properties. Most real estate agents have websites where they post the properties they have listed for sale. Most have many photos of those properties, and many have virtual tours of their listings. A virtual tour is a series of pictures stitched together so they look like a video. You can actually see the best features of a home sitting at your keyboard.

With so much visual information available it would seem like one could look at a property online and not have to take the time to physically look at it before making a buying decision. The reality is that one must beware when relying on photos. There are many things that can be done with photos that could disappoint a Buyer that didn't visit the property before finalizing their contract. An ultra-wide angle lens can make a room seem huge, but if you really need the size you think you are looking at you might be disappointed with the real room when you get in it. Hint: look for converging vertical lines in the picture - cheap ultra-wides don't stop such distortion in the picture.

Photos also don't always have the detail necessary to make an informed decision. When we asked our assistant about a showing the other day her comment, "they did a really good job with those pictures", said it all. The home looked superb in the MLS photos, but was actually creepy to walk through because of its deteriorated condition. The opposite can also be true - an agent can take marginal photos of a wonderful property. Don't eliminate a property that suits your wants/needs based on poor visual marketing efforts - make sure it really, really won't work for you. You might be delightfully surprised by taking the time to view the property.

What makes good and bad pictures? Lighting, subject matter (don't you just love looking at a picture of the commode instead of the back yard?), and quantity (some only have one outside picture - no detail photos). Things you can't see in a picture are odors, true room size, true colors, neighborhood sounds, i.e.- road noise, condition of neighboring properties and their impact on the subject property's value, flow of the floor plan, mold, water damage, etc.

Our advice: Don't be the victim of a Photo Shop artist. We have been told of photo doctoring that makes a property appear differently than it really is. You can get an idea of what a property consists of from a good website presentation, and you can even make an offer based on that information, but we highly recommend that you have a clause that provides for an onsite inspection before you reach the point of no return in the transaction. There is nothing like approaching a home, looking up and down the street, walking up the front walk, and entering what may be your new home. How does it feel? What are you seeing? Does the floor plan flow with your preferred lifestyle? Agents present the highlights of a home in their best light. It is your duty to find the converse aspects, if any, and how they will affect your buying decision. You will know if the home is "It" when you see it.

Shop at your desk and then go enjoy the home you found. Some things will only be discovered with a Pest and/or Physical Inspection, but you will get a good idea of what a home offers you by visiting it. Experience is Priceless! Lisa Wetzel & Jim Valentine, RE/MAX Realty Affiliates, 775-781-5472, carsonvalleyland@hotmail.com, www.carsonvalleyland.com

Yes, you can, but be advised that the rules are changing on January 1, 2009. Though the Housing Assistance Act of 2008 was primarily designed to provide relief for homeowner's facing foreclosure, a provision was included to help the government generate more taxes that will have an effect on you when you sell your second homes after that date.

Under the old rules you could sell your primary residence and your vacation home and keep up to $500,000 (married) in profit from both if you owned and lived in each appropriately. The new rule allows profit exclusion only up to the actual percentage of the time of total ownership that it was used as a primary residence. For example, you buy a home next year and use it as a vacation home for ten years. Then you sell your primary residence and move to the vacation home full time. After fifteen years you sell it. You will have owned the property for 25 years, 10 as a vacation home and 15 as your primary residence. Your primary residence period, 15 years, is 60% of the total ownership period. Under the new law, if you made $250,000 profit you can exclude $150,000 from taxation and will have to pay capital gains on the remainder profit of $100,000.

The new rule does not include ownership time prior to the enactment date, January 1, 2009. Using the above example, if you owned it for 5 years prior to that date, held it for the same 25 years, and moved in for the same 15 years, and were fortunate enough to realize the same $250,000 profit, you can now exclude $200,000 of profit, a tax savings of $37,500.

Loophole: Primary residences are granted a special tax status regardless of their subsequent use. This creates a potential loophole, i.e.- on January 1, 2009 you move out of your primary residence and into your vacation home. On January 2, 2011 you sell your then-primary residence and take the maximum exclusion on the profit. You then move back to the original primary residence and take the exclusion as long as you meet the basic criteria, i.e.- live in it two of the last five years, etc.

Our advice: Many people adjust their holding plans/strategy according to the tax consequence of their actions, and this new tax provision will undoubtedly result in owners holding their property longer. If held until their demise their heirs would have a stepped up basis in the property and little tax consequence to a subsequent sale. Beware of adjusting your holding plans too much, however, since this tax change will likely have an effect on vacation home markets and your property's market value may change over time nullifying any tax savings you are protecting by holding. If your second property was a rental unit before you moved into it, remember that you may have to recapture depreciation.

Planning your real estate moves based on taxes should be done in concert with the advice of your tax advisor. Real estate agents have working knowledge of real estate related taxes, but don't know your entire portfolio or financial circumstance, or enough about the tax code, to provide tax advice. Consult your accountant to assess the tax consequences of a sale or transfer. Experience is Priceless! Lisa Wetzel & Jim Valentine, RE/MAX Realty Affiliates, 775-781-5472, carsonvalleyland@hotmail.com, www.carsonvalleyland.com

Buying a home in today's Market is challenging and rewarding yet many Buyer's remain confused as to what they should do or be doing. Their doubt is often externally created by national media reports, or the challenge of family and friends to "not make a mistake". It is difficult to make a positive move when one has doubts about the outcome so let's make the process fun and rewarding.

Most Buyers engage the services of a real estate agent for their Market and professional knowledge. Typically the Seller pays the commission to the selling agents at the close of escrow with no cost to the Buyer for their professional services. Such a deal! One of the most important steps to a successful home acquisition is the interaction with the real estate agent. Amazingly, many Buyers play games with their agent when they meet.

It is silly to withhold information from your agent if you are relying on him to properly work for you. Have you ever gone to the doctor and told him, "I hurt doc, but I'm not going to tell you where it hurts. Find it."? Not telling your agent how much you want to pay, how much you have to spend, and what you really want in a home is about as silly as that. It is okay to be reserved with an agent you've just met as you get to know her, but it is in your best interest to get a feeling of trust and confidence with your agent as quickly as possible so you can work together towards your successful purchase.

With trusted confidence established, it is important that you and your agent identify your wants and needs so you can work together to achieve it. The first thing to determine is your ideal home scenario. Everything else will stem from this awareness. When you have a vision and set the intention for your ideal home you initiate momentum that will undoubtedly result in a positive outcome. Take action by creating a list of your ideal home features and amenities.

Start with the home itself - lifestyle is important when selecting a house. How many bedrooms do you need? Are you going to use one for an office ... or do you need formal office space? Do you cook a lot and entertain, or are your culinary efforts limited to microwaving popcorn and eating at the breakfast bar? Are you looking to buy something that reminds you of the home you grew up in, or are you moving to the acreage you've always dreamed about?

Do you want a split floorplan - master and guest bedrooms on opposite ends of the house? Do you like vaulted or traditional ceilings? Is it important for you to have a formal dining and/or room ... or is your lifestyle more casual? Do you want room for a pool table? Need a separate family room? Two story okay ... preferred... or a definite no? Do you need a defined living area for your mother in law, live-in care giver, adult child, etc.? Are work benches on the side of the garage sufficient, or do you need a shop area? Do you want a detached shop building, or is the third car bay in the garage an acceptable work space?

The more detailed you are in your wants and needs identification the more likely it is that you will have an enjoyable buying experience because you will be confident when you find your ideal home that it is, indeed, what you want. Are granite countertops a must, or do you like tile? Is a fireplace a must, or will a wood burning stove do? Willing to do repairs or remodeling or do you want the proverbial "cream puff"?

Though you spend most of your time inside your home, it is important to consider the outside attributes. How much time do you want to spend working in the yard? Do you want a vegetable garden? A private flower garden? Are you happy mowing, or do you want more of a xeroscape landscape with rocks and minimal lawn? What kind of animals do you have or want to have? Some areas don't allow certain animals, i.e.- horses, goats, etc. so be sure to tell your agent what you have or hope to have in the future. Are your kids fast, or do you want to avoid a busy street?

Once you understand the type of home you want to have and its general features, consider where you want it to be. The old axiom that property value is determined by "location, location, location" remains as accurate as ever. It is important to realize that the location value isn't just what is generally appealing in the market place, but what you consider important is also a major factor in your selection process. Are you going to be working? Where? How about your spouse? What activities will your children be involved with and how long does it take to transport them to and fro? Where is your church? Where do you recreate - do you want to ride a horse or ATV out your back gate?

Other factors will come in to play that will affect your bliss in your new home. Many subdivisions have Covenants, Conditions and Restrictions, C.C.&R.'s that can impact your intended use of your new home. It is important that your agent know what you want to do on your property so that you don't buy in a neighborhood that prohibits your preferred activity. Do you plan on working on your project car in the driveway? Will you have occasional customers coming to a home office? Are you a ham radio operator needing towers?

Remember, elimination is as much of the process as is selection. If you don't want to be around horses or radio towers you can eliminate certain neighborhoods. Other easy neighborhood elimination consideration items include distance to work, schools, etc. - the reverse of your preferred selection items. As you eliminate neighborhoods and homes from the list it is easier to select from the remainder. It is part of the qualifying process that gives you the confidence in your ultimate choice that you have, indeed selected the right home for you from what is available in today's Market.

Your agent will help you work through this awareness process in an easy and thoughtful manner through the course of conversation and the experience of looking at homes together. As you identify things you want, make sure that you prioritize what is truly important to you ... what you can't live without. If you have a want that you are flexible on make sure your agent knows where you can bend. Ultimately, you will both know what you are looking for.

When you find the right home on the right property in the right neighborhood ... love it but don't fall in love with it. If you get too emotionally involved you limit your agent's ability to negotiate on your behalf. Because of your collective efforts of establishing your ideal home and your candid conversations, your agent will know how well the home fits you. Given the nod to proceed, your agent understands the responsibility of working to the best of her ability to get that home for you.

When you've found the right property and can buy it at the right price, you are aware of what you have accomplished ... and that is fun. Enjoy the process. As you identify your ideal features and amenities, eliminate non-qualifying properties and neighborhoods, and select homes that meet your criteria you will have a calm, confident home buying experience.

The emotion will be one of fun, not the chaotic, nervous, doubting experience that too many Buyers endure when they aren't focused or properly guided. Enjoy ... and welcome to the neighborhood! Experience is Priceless! Lisa Wetzel & Jim Valentine, RE/MAX Realty Affiliates, 775-781-5472, carsonvalleyland@hotmail.com, www.carsonvalleyland.com

"I can't believe you're here!" exclaimed the man. "You must be Jim", he continued. Of course, Jim was Jim, and so they talked. The man lives in Roseville, California and was purposely driving by that property after spending time in Reno looking at Hot August Nights cars that day. He has been watching the property online, not just from the property information viewpoint, but he actually went on Google Earth and saw the entire street, as well as the front and sides of the property. He knew things about the vacant property next door that we unbeknownst to us, and a lot about the neighborhood. He was ready for an onsite visit. We are continuing dialogue with the man, providing utility bills, etc., and there is a good likelihood that he will buy the property.

There is a plethora of websites where Buyers can get real estate information including: Oodle, Hotpads, OLX, Frontdoor, Backpage, Googlebase, Trulia, Dothomes, Vast, Zillow, Cyberhomes, Yahoo, Geebo in addition to the well known sites like Realtor.com, remax.com, coldwellbanker.com, c21.com, etc.. Additionally, most agents have their own websites, like ours listed below, that allows people to search the local Multiple Listing Service.

Not only can Buyers search for homes for sale, and pull up comparable sold properties to assist them in establishing value for your property, they can find out what you paid for the property, if you have a loan on the property, if you have tax liens, if there is a Notice of Default, etc. Want to know if there is a permit for the addition? That information is now available on line in Douglas County. Floodplain maps are now readily available online. Well logs and water right information is easily tracked down via the Internet these days. There is plenty more information available to the Buyer willing to search for it.

Not all Buyers have the knowledge, ability or desire to do such extensive search efforts on their own without the help of their agent, but it is important to know that there are Buyers that are doing it, and the extent to which they are working to get information. We have had numerous instances of Buyers calling us with their own list of homes that they want to see. Most of the time they have done such a thorough job of searching that the home they ultimately buy is included in their original "shopping" list.

Our Advice: In addition to a local presence in print media, it is important to Sellers and Buyers that their agent has good technology knowledge and a thorough Internet presence. The latter takes time, knowledge, and experience. Your property must "come up" for Buyers searching our area for property like yours. It isn't easy, but then ... if real estate were easy you wouldn't need your agent. Remember, not all Buyers use the Internet. We still encounter Buyers that don't even have an email address. One never knows where the Buyer for your home will come from ... it is important that your agent be flexible and ready.

These are fun times being virtuosos in a virtual world, but there is no satellite or website will replace the agent on the ground to help a Buyer find the right house.

Experience is Priceless! Lisa Wetzel & Jim Valentine, RE/MAX Realty Affiliates, 775-781-5472, carsonvalleyland@hotmail.com, www.carsonvalleyland.com