End of Year (Tax) Savings Reminder - 2013

(Compliments of Kiplingers) I found this article reminding us all that if we have done any of these "energy efficient home improvements" ...  don't forget to take the tax credit! (Keep those receipts handy!)
Time Is Running Out on Energy-Efficient Home Improvement Tax Credits
Congress extended the deadline to December 31, 2013, for many energy-efficient improvements.
By Kimberly Lankford, November 13, 2013
Can I still get a tax credit for home improvements?

Yes, but most of them are about to expire (again). Last year, Congress extended the tax credit for many energy-efficient home improvements through 2013. You can receive up to $500 in total tax credits for eligible home improvements you’ve made since 2006. If you haven’t already claimed a credit of $500 or more for eligible home improvements, then you may be able to take the break before the end of the year. The improvements must be to your principal residence.
The size of the credit depends on the type of improvement. The tax break applies to 10% of the purchase price (not installation costs) of certain insulation materials, energy-efficient windows ($200 limit for windows), external doors and skylights, metal roofs with pigmented coating, and asphalt roofs with cooling granules that meet certain Energy Star requirements.
You can count both materials and labor costs for certain central air conditioners, biomass stoves, electric heat pumps and electric heat pump water heaters that meet specific energy-efficient guidelines -- up to a maximum of $300 each. You can count up to $150 for an eligible natural gas, propane or oil furnace or hot water boiler.
The items must meet specific energy-efficient requirements to qualify. See the U.S. Environmental Protection Agency’s tax breaks site, the Alliance to Save Energy tax credit page and the Tax Incentives Assistance Project for more information. Keep your receipts and the manufacturer’s certification of eligibility for your records.

Some alternative-energy improvements qualify for larger tax credits with a later deadline. You can take a credit worth 30% of the cost of buying and installing certain alternative-energy equipment, such as geothermal heat pumps, solar water heaters, solar panels, fuel cells and small wind-energy systems. You must make these improvements by December 31, 2016, and they aren’t subject to the $500 limit. See the Energy Star tax credit Web site for details on these credits. You can claim these credits by filing IRS Form 5695, “Residential Energy Credits,” which also includes more details about these credits.
If you don’t qualify for the federal incentives, see if you can get any state tax breaks for energy-efficient home improvements. For links to information about the programs in each state, see the American Council for an Energy-Efficient Economy site. For a list of several state and utility programs, see the Tax Incentives Assistance Project.

The Future of Suburbs ?

Picture this: you're driving through the suburbs and come upon a good looking manicured neighborhood that surrounds a local golf course, nice right? Well in the not so far off future this same style of neighborhood may be slightly different ... take out the golf coure and insert a real working farm. Talk about fresh food! The community would have not only a working farm but spaces for a farmers market, a farm to table restaurant and more. (Very pedestrian friendly) Homeowners could choose to participate in the actual process of growing in exchange for the crops they produce or just leave it up to the farmer. Sounds like a win -win-win ... Win for the farmer, win for the homeowner and win for the planet. Check out this info:

Agriburbia Principles
Agriburbia® promotes and supports the following policies and principles:
•Agricultural Production: No loss of agricultural value or revenue ("Green Fields" development), or production of dietary requirements of the project or equivalent cash from sales crops, or combination thereof.
•Locally Grown Food: Production of a significant portion (30 to 50%) of dietary requirements grown within or in the immediate surrounding area of the community
•Conserves and Promotes Natural Resources: Appropriate and efficient use of natural resources to provide housing, transportation, recreation and fresh food through creative, harmonious land planning and landscape architecture for the community. This includes use of alternative energy sources as well as land and water.
•Self Sufficiency: Provide a commercially viable opportunity for enhanced self- sufficiency for community residents, tenants, and guests.
•Sustainable Energy Practices : Integrate solar and geothermal technology to provide sustainable energy sources for the community.
•Financing: Incorporate established entities (Metropolitan Districts, HOAs) to finance both traditional infrastructure (streets, water, sewer) and environmentally friendly agricultural infrastructure (drip irrigation)

*Quoted from www.agriburbia.com   12/18/13

     I personally love the idea but if you know me I am sort of a "green person"so this just makes sense. I would love to see a generation of kids brought up on or around farms again so they can become the next great stewards of this planet. Imagine, kids playing outside, knowing exactly where their food comes from, unheard of nowadays. It's like getting back to basics but country on the edge of the city. Perfect!

Boomerang Buyers

Boomerang buyers are those folks who lost homes to foreclosure or deed-in-lieu or by some sort of compromise sale in the past few years, who are now ready to get back to being home owners instead of renters. FHA (the government backed lender) has come up with a program called "Back to Work" that is designed to help those people purchase homes again. The general idea is this: (quoted from HUD - Back to Work)  FHA is allowing for the consideration of borrowers who have experienced an Economic Event and can document that:
 certain credit impairments were the result of a Loss of Employment or a significant loss of Household Income beyond the borrower’s control;
 the borrower has demonstrated full recovery from the event; and,
 the borrower has completed housing counseling. Of course, there are other rules and regulations that go with this program and qualified lenders can help you navigate that. If you are one of those former home owners who lost a home in the recent recession, it may be time for you to find out if you are eligible once again to purchase a home. Owning a home is still the American dream. Are you ready to "boomerang" back into homeownership?

2013 Virginia Elections

It's over, results are in and it's time to get back to normal. I for one, will not miss the mid dinner phone calls to "just ask a few short survey questions" or the non stop barrage of wasted paper products going right from my mailbox in to the recycle bin! When will politicians learn that we don't base our votes on that stuff? I want to see the candidates talk about only what they will do for me, not one word about what their opponent did or did not do ... ever. Let's get back to running the government and balancing the budget. If you wonder how it all turned out: Check out the link to a local results page: Virginia Election Results 2013

Gov't Reopens, Averts Housing Impact

Gov't Reopens, Averts Housing Impact - Read here the latest info on the government shutdown (now ended). For those of us currently in the real estate business I can honestly say this has still caused some "major bumps" for us especially when it comes to closing homes sale purchases. With no government at work, we have not been able to get security records, neccessary permissons from government lenders and many other bits and peices of information to close on the sale of our "pending" homes. We will likely still face a delay now with the 16 days of back logged files and issues before we get back to regular closings. What about all the the buyers who's rate locks or approvals have since expired? They have to practically start over. All the documents that have to be re-created to correct figures and dates ... what a waste of time and money. The silver lining here is that Americans are back to work ... for now. People, I can not stress to you enough the importance of getting out to vote! Let's get some new talent into power!

What Do Interest Rates Do to My Home Purchasing Power?

What exactly is "purchasing power?" It's the financial ability to buy products (and/or) services. When it comes to home purchasing power it really means, how much house debt (or loan) do you qualify for or do you want to take on? Lending institutions may tell you that you qualify to spend way more than you feel comfortable spending, it's up to you to use your common sense and "gut instinct" to decide how much you  are comfortable paying now and into the future. Todays interest rates play a big part in how much home you can afford. Here's what I mean: I found this at Affinity Federal Credit Union, it explains the effect of a rise in interest rates:

For example:


You determine you can pay $1,500 per month for housing.
Your taxes and insurance total $300 per month, so you can afford a monthly mortgage payment of $1,200.
If you look at the chart, you will see that you can take out a loan of $251,353 at 4 percent interest.
If interest rates rise, your loan amount and the price of the home you can afford will go down. For example, the chart shows that if rates were to rise to 6 percent, your loan amount would be reduced to $200,150.

Notes about this chart: This chart was created assuming a 30-year fixed rate conventional loan. The figures listed below include principal and interest only. Keep in mind that your monthly tax and insurance escrow will add to your total monthly mortgage payment. Note that when comparing loans, you must consider the cost of the loan as reflected in the APR.
                                                              Interest Rate
Mo. Pymnt    3%                  4%                    5%                    6%

$300         $71,157          $62,838            $55,884            $50,037

$400         $94,876          $83,784            $74,513            $66,717

$500         $118,595        $104,731          $93,141            $83,396

$600         $142,314        $125,677          $111,769          $100,075

$700         $166,033        $146,623           $130,397         $116,754

$800         $189,752        $167,569           $149,025         $133,433

$900         $213,470       $188,515           $167,653         $150,112

$1,000      $237,189         $209,461          $186,282         $166,792

$1,100      $260,908         $230,407         $204,910         $183,471

$1,200      $284,627         $251,353         $223,538         $200,150

$1,300      $308,346         $272,300         $242,166         $216,829

$1,400      $332,065         $293,246         $260,794         $233,508

$1,500      $355,784         $314,192         $279,422         $250,187

$1,600      $379,503         $335,138         $298,051         $266,867

$1,700       $403,222         $356,084         $316,679         $283,546

$1,800       $426,941          $377,030        $335,307         $300,225

$1,900       $450,660          $397,976        $353,935         $316,904

$2,000       $474,379          $418,922        $372,563         $333,583

    This should make it clear that getting into a home sooner rather than later is going to afford you "more home" for the same payment. If getting into a home of your own is on your list of things to do, act now. Contact me to get started today! Let's get you more home for your money!

East Coast Dolphin Deaths

What the heck is going on here on the East coast with all the dolphins dying? So many animals have washed up and no one knows why yet. Our local aquarium stranding team has been stretched to the limit this summer, in both manpower and money. I found the following article at Huffington Post: By Victoria Cavaliere


Aug 1 (Reuters) - Carcasses of bottlenose dolphins are washing up on U.S. East Coast beaches from New Jersey to Virginia at a higher than normal pace, with more than 120 dead animals discovered since June, local and federal officials said on Thursday. The cause of the dolphin deaths has yet to be determined, said Maggie Mooney-Seus, of the National Oceanic and Atmospheric Administration's Fisheries Service, which is analyzing information collected by marine stranding response centers along the East Coast. "It's absolutely alarming," said Susan Barco, research coordinator at the Virginia Aquarium and Marine Science Center Foundation. Since early June, 87 dead dolphins have been found in Virginia, compared to about 50 dolphin deaths the state by this time last year. Most were found clustered in the middle to lower Chesapeake Bay region. In New Jersey, 21 dolphin carcasses have been found so far this year, compared to a dozen deaths in a typical year. In Delaware, 10 baby dolphins have perished since June, compared to a typical seasonal death toll of five. In Maryland, where there is usually one death each season, at least 4 dead dolphins have been discovered. Bottlenose dolphins live in pods that range in size from two to 15 animals along the U.S. eastern seaboard from New Jersey to Florida. The mammals spend most of the year in the temperate southern waters then move to the bays, sounds and open waters of the Mid-Atlantic from May to October, according to Bob Schoelkopf, the director of the Marine Mammal Stranding Center in Brigantine, New Jersey. Necropsies are being performed on the animals and it could take several months to determine what has led to the deaths, he said. But Virginia experts said early findings indicated it appears to be "more of a sickness," Barco said. "This is really frightening because these animals are sentinels of ocean health. Strandings have been much more common in the past few decades and we think it's an indication of the health of our ecosystem," she said. (Editing by Barbara Goldberg and Leslie Gevirtz)

It is so sad to see, you feel helpless. We have to pay more attention to what make's it's way into our waterways. Fertilizers from lawns, oil and fuel from cars and boats, trash, medicines flushed, can all make it to the sea. Click the link to the Va. Marine Science Museum (Aquarium) webpage for Stranded Sealife Information. If you see something call (757) 385-7575. Save that # in your cell.

"Hurricane Ready"?

It's that time agin ... if you are near or within striking distance of a coastline you need to be prepared for a hurricane to hit. What does that really mean? Well for starters, it's time to pay attention to the weather reports. Hurricanes take days to organize so if you watch the weather every few days or so, you will likely stay on top of things and not be surprised by any major storms. If you are a "smart phone user" there are many "apps" now available to keep you informed of your local weather conditions right on your phone!  So what else can you do? Make a plan, stock up on emergency supplies. Check out this link to the FEMA
Hurricane preparedness site, it has some great ideas. I keep some big storage tubs packed and ready to go in my garage, just in case. If I am asked to evacuate, I'll take them with me. If I get stuck at home during and after a storm, I have supplies to hold me over until the power and water come back on. My basics are: cases of bottled water, flashlights and extra batteries. Assorted canned and dried foods, medicines, first aid supplies, blankets, toiletries, candles, matches, a lighter and a radio. I also keep a cell phone charger in my car and my really important documents in 1 container so I can grab them and go if I had to. A deck of cards is a bonus. I try to keep my vehicles gas tanks at least half full during hurricane season, just in case I need to get out of town fast! No pets,or kids at home, but if I had them, I would have to make a plan for them too.
Now that I am prepared, I can sit back an see if any storms get named after anyone I know ... it's a great reason to call them and check in ! Please be safe. And remember, you do not have to be on the coast to be effected by a hurricane. I'm keeping my eye on Tropical Storm Barry, are you?

Virginia Sales Tax Holiday 2013

Did you know we have another VA sales tax holiday coming up? May 25 - 31, 2013. This is the "hurricane and emergency preparedness equipment" one, so items like: batteries, artificial ice, portable lighting (flashlights and self powered lanterns) self powered radios, rope, fire extinguishers, fuel tanks, food storage coolers, bottled water and more. Click on the link for more info and a complete list from the VA Dept of Taxation. There are actually 3 planned for this year so take a look at each and perhaps plan your own shopping around them to save every dollar you can. Need a new cooler for summer? How about replacing that old fire extinguisher? Do you have enough bottled water packed away in a safe place just in case? Get it while it's tax free!  Not in Virginia? Check your own states "Dept of taxation", go ahead, google it!

Boston Marathon Bombing 2013

Too many times I've had to sit down and blog about subjects that just make me cringe ... this is one of them. What happened at the Boston Marathon a few days ago whether foreign or domestic, was an act of terror.

Bostonian's and American's alike have once again been filled with fear (terror). I wish someone could explain to me how killing a bunch of innocent people furthers the cause for any organization. What could any group have against marathon runners and spectators? Nothing. It is a cowards way of getting exposure, making a statement for what ever his/her cause is ... it's stupid. Why can't they just write a book, make a tv show, produce a YouTube video, not take a life? Where is the logic? God rest the souls of those who lost their lives and be with the ones who will spend the rest of their lives grieving and recovering from this tragedy. Pray for our country and it's leaders and all leaders around the world to acheive peace. America's people will stay strong. We will comfort one and other and move forward, unafraid. We live in the USA because of the freedom it provides. Do NOT let terrorists take that from you.

Guide to Residential Styles

  
   Every house has a style. Sometimes it has two or more; because of renovations and new, eclectic mixes, fitting a home into one specific category can be daunting or even impossible. Thankfully, there’s no need to memorize complicated architectural terminology. REALTOR® Magazine has compiled a convenient compendium of common styles. Delve in and learn to highlight the details that give a home character, history, and romance. Click on the link below for visual examples. Click thru each style to learn even more about it.

Guide to Residential Styles

   Choose your favortie style and start dreaming! When you are ready to make it a reality, contact me. I love making the American dream (of homeownership) come true, one home at a time.

Hummingbird Migration - 2013

It's that time again ... time to get out your hummingbird feeders and get ready for your littlest feathered friends to arrive. They begin arriving here in the Mid-Atlantic region around the 15th of March. I have attached a link to a "Hummingbird Migration Map" for you so you can see when they will be arriving in your area. Never fed them? It is a fascinating thing to watch them zip in and out and hover nearby sometimes appearing to actually "study you". The tiny "chirps" they let out when facing other hummers at the feeder is very unique. How difficult is it to attract hummingbirds? Not very. They do have to have fresh nectar and a clean feeder to stay healthy, but you can either make your own or buy it premade or in concentrated from at most mass retailers now. Feeders are inexpensive and once they discover yours, they will spend the entire summer season nearby and likely teach their offspring to come there too. Having nearby cover (or shrubs and trees) gives them a safe place to retreat to and build nests, which by the way, are amazing! Hang your feeder up high enough that they feel safe from ground predators, like cats. If you can put it in a sheltered spot like under the canopy of a tree, even better. Be sure you can get easy access to it and can see the "excitement" that takes place around it, it is entertainment in itself. I even try to "help them out" by laying out human hair (taken out of my hair brush) for nest lining. If possible, a source of clean water helps and so will some natural plants attractive to hummingbirds like petunias, salvia,  morning glories or trumpet vines. Anything that produces nectar and the brighter the better. If you begin feeding them, please do not stop. They will depend on you. Once they find your feeder they will make it a regular stop on their daily flight path. If you are patient, you can work your way into their hearts and space by just sitting quietly along side them, they will come check you out, they will feed right beside you. Grab a book or tablet and get out into your garden!

Rent vs Buy - The age Old Question

     What are the real benefits to renting vs buying? Simple: living in anyone but your own families homes (if they even let you live there for free) means you are paying a mortgage ... either your own or someone else's. If you own the home it is called a mortgage, if you lease it is called "rent" but it does the same thing. It pays down the debt on the property and builds equity and (possibly wealth) for whom ever holds the title to that property. Is that going to be you or some stranger that you just happen to be supporting month after month, year after year? Put that money into your own pocket, own a home! 
     At the end of the lease, what do you have to show for all your hard earned and spent money? A box full of receipts. At the end of owning a home, you have a home, with value, to sell for real cash money! Or keep it to rent out for real cash money and let someone else pay your mortgage! Think anyone will want to give you real cash money for your box of rent receipts? Other benefits: In some places, rent has become so high that it is cheaper to buy! No more landlord to tell you what you can and can't do. You want blue walls? Paint them blue! Want a pet, get one! Today, there are still tax benefits to owning and some home expenses are tax deductible. Putting money into a home is a great investment. 
     Having real roots means not having to move around all the time. Even in a worse case scenario, say the home loses some value while you own it. You will still not have paid all that rent (to someone else's mortgage) and you still have a home with some value to sell. And while you have been living there, living the lifestyle you wanted, you have been paying down the debt so you may even have some "equity" (profit). You want hard facts and figures? Check out the chart above, it's just common sense. Figure out how much you have been paying in rent that you could be putting towards a home of your own . Owning makes sense. When you get tired of paying someone else's mortgage, contact me. I can get you started on the fast track to home ownership. Start building some wealth of your own. Let's make a plan.

Tax Season

     Have you done it yet? Did you sit up late one night getting all your tax documents in order so when you fianally get around to doing those 2012 taxes, the "stuff" you need will all be in one place? Do it! It makes the job so much easier and you know there will always be something missing anyways. I found this year that not all my sources sent me out "hard copies" of tax documents. Some of the ones I have online accounts for simply made them available to me online.
     Hmm, makes me wonder, what are they doing will all that saved money they are no longer spending on paper, ink, envelopes and postage? I certainly haven't seen it show up in any of my accounts or nor have I seen any reduction in costs, fees or expenses! Where are those savings going? Oh yeah, the bonuses for the executives. Don't get me started.
     I dropped off my tax "stuff" with my accountant today so I am feeling some relief ... that is until I find out if I have to pay or if I am getting a refund this year. I have used a CPA for years to manage my financial affairs, with so many different things going on it just got too complicateed for me to do it alone. If you still file the EZ way or do them yourself, why not try one of the FREE online services? I have posted 3 links here but do your own search to find the one that works for you. 1) www.IRS.gov     2) http://www.turbotax.com    or 3) www.hrblock.com . FREE tax forms are availbale online or at some local libraries. There is some free help out there ... Go to the IRS website and search for a VITA (Volunteer Income Tax Assistance) location {if you made less than $51,000} or a TCE (Tax Counseling for the Elderly) location {for 60 and older}. Check your area for places offering free help, like colleges, town offices or libraries. No matter what, get those taxes done. If you have money coming back, file early! It's your money, use it. If you have to pay, well then, you might want to wait until April 15th to give it to the government. It's your money until then!
     Until Monday, April 15th, some of us will keep putting it off and keep popping those antacids and aspirins every time we think about it. Maybe tonight is a good night to get it done?

Polar Plunge Winter Festival - Va. Beach, 2013

It's that time of year again (this weekend Feb 1 - 2, 2013) when the "crazies" come out for a winter dip in the Atlantic ocean to raise money for charity. (Polar Plunge for Special Olympics) Ok, I get the fundraising aspect but swimming in the near freezing water in "costume" with thousands of other "crazies" at the same time?  That practice eludes my sense of reason. It's really just a reason, any reason, to get out of the house where we have been stuck all winter. Aside from the freezing weather, the artic water and that cold north wind which is sure to be blowing, it looks like real fun! I certainly wouldn't do it myself but maybe next year I will volunteer to help behind the scenes. If you are in or near Virginia Beach this weekend, get involved! Come see the spectacle and if you can ... donate. Check the link I provided for other Polar Plunge celebrations, some maybe coming to a city or town near you! And above all, have fun, it's for a good cause!

Unwanted Gift Cards?

Unwanted Gift Cards? Swap Them!
          Even though gift cards are the new go-to gift, as with anything new, there are sure to be misfires. That’s when sites such as Plastic Jungle, Gift Card Rescue and Card Pool come to the rescue, allowing recipients to trade the coveted plastic cash cards for stores of their choosing. “People get their cards and want to make sure they get value from them,” said Kristin Morse, a spokeswoman for Plastic Jungle, a gift card marketplace that allows users to swap, sell and buy gift cards at reduced rates. The average gift card offered a savings of up 10 percent, Morse said.
          Gift cards remained the most coveted item on Christmas lists for the fifth straight year in a row, with the typical consumer spending a cumulative $155.43 on gift cards, according to the National Retail Federation. That adds up to approximately $27.8 billion. Kathy Grannis, a spokeswoman for the National Retail Federation, said convenience and technology had made gift cards a more popular gift than ever before. “Consumers are looking to these not only as last-minute gift ideas but also as a practical item for their loved ones, who may have had something on their radar all year long but didn’t want to get it for themselves,” Grannis said. “Gift cards can be sent online and even through Facebook. There are more options than ever. But those on a tight budget, watching their dollars, including their gift-card spending, can turn to the online marketplace to make the most of their dollars. “Certainly in this economy, people are trying to save money wherever they can,” Morse said, adding, “We are staffed up significantly.”                                       - ABCnews.com by Alyssa Newcomb           Did you get any gift cards you will not likely use? Check out the websites to see if you can make a trade for something you can use or sell them outright for someone else to use and get a little money back. I was lucky, I can use all the gift cards I got and I am so thankful to the loved ones who sent them. But for those to whom I sent gift cards ... hey, if you can't use them, let someone else or get some money back, on me! I promise not to take it personally, money is money. Now get to swapping!

"After the Holidays" Finance Planning

    
     Ok ... so how was your holiday season? Did you stick to your budget or are you just waiting for the credit card statements and all those holidays bills to arrive? If you have more bills than you wanted, take the time to make a quick (and I do mean quick) finance plan.
     Everyone is entitled to 1 free credit report (yes, really, with no strings attached and this is not the one that tries to sell you some "protection services", I promise) so if you haven't seen yours in a year, request one now. FREEannualcreditreport .  Take a few minutes to go over it. Make sure the accounts listed on it are: yours ... correct and contain accurate information. If you see things that need correcting, all the contact information you need is right there for you. Call your creditors or write to them to get the information corrected or updated (like if you have paid something off or it's not yours). Every thing matters on your credit report and small things can make a difference. You want the best credit score you can get to have access to great rates on loans, other credit sources and even landlords check credit! Fix what you can then with the rest, make a plan.
     Try this webpage: CNNmoneydebtplanner.   They have a calculator that can show you the fastest ways to pay off those debts and you can even set a deadline to pay them off and it's all figured out for you! Hey, every bit of info helps.
     To do it yourself: Figure out which (revolving, credit card or store) debt is costing you the most (either in amount of payment or interest) ... put this on the top of your list. (Yes, make an actual list.) Which debt is next largest? Put it second and so on until you have all your debts listed. Now, find a way to pay extra on the "top" debt. Can you pay more than the minimum? Do it! Ask for birthday, anniversary, graduation money instead of gifts. Have a yard sale, sell some stuff, cash in your broken jewelry for the weight of gold! Get a second job, do odd jobs, even if it is only temporary. The secret is this: When you pay off that 1st debt, (that bill disappears, so no more payment needed there) ... whatever (amount) payment you've been making ( to #1), now make that same (amount) payment on the next one down (#2)! You will never miss the money, you been sending it away anyhow, keep going! So debt #2 gets paid off in a hurry with the "extra payment" going on to it now! Once #2 is paid off do it again ... roll the payment you were making on #2 over onto # 3 or (#3 and #4) since they are getting smaller and smaller!  You will have those bills paid off in no time and be living a "cash" lifestyle again while your credit will be climbing back up to where you want it. Ready for your next fiancial endeavor, at the best rates going!
     Hope this helps, I want you to have great credit when you are ready to come see me and buy that next home!