Colorado Springs Vintage Homes Blog
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What is a 1031 exchange?
As part of a recent 2 day class I attended to get my SRES Designation (Senior Real Estate Specialist) the class had a great section on 1031’s. I definitely learned some things and I wanted to share it with my readers.
If you would like more information about a 1031 tax exchange for Colorado Springs real estate, Call Kathy at 719-287-1049 or email, KTorline@msn.com
What is a 1031 exchange?
It’s a federal tax allow that allow taxpayers to DEFER capital gains tax on exchanged of property used in trade of business held for investment. They DEFER taxes, not eliminate them.
Why would you want to do a 1031 exchange?
There are many reasons including acquiring a future retirement residence, acquiring property with more appreciation potential, relocation of investments in another location, deferring capital gains.
Are there some basic rules?
- Property must be used in trade of businesses or held for investment.
- Property must be exchanged for like like property (i.e. real estate to real estate NOT real estate to stocks and bonds).
- Replacement property must be identified within 45 days of transferring the exchange property. Only 3 properties can be identified
- Replacement property must be acquired within 180 days or the tax filing deadline
- For a detailed list of the rules and regulations, here’s a link to the IRS web page.
- The value of the replacement property must be equal to or greater than the value of the relinquished property.
Colorado Springs Neighborhood Pick of the Week – Sunset Mesa
My Colorado Springs neighborhood pick of the week — Sunset Mesa
Search for Homes in Sunset Mesa 
10 things to know about Colorado real estate
What makes Colorado real estate different?
For a free Buyers Guide, Email Kathy Torline at KTorline@msn.com
I recently took some accreditation classes in another state. It was eye-opening for me to understand how much the laws vary from state to state. Since a major portion of my business is from Internet leads and from people moving to Colorado Springs from other parts of the country, these classes were very helpful.
Some other articles that could be of interest:
- News Flash – Colorado Springs ranked Fittest City
- Moving to Colorado Springs, check out Zip Skinny
- El Paso County taxes are some of the lowest in the nation!
- Colorado Springs in ratings for Best Places to Start Over
Did you know ?
- Colorado is an “actual knowledge” state, which means as Colorado Realtors we only need to disclose facts that we know and we must disclosure material facts. Some states are “imputed knowledge states”, which means Realtors are expected to know certain things.
- Most Realtors in Colorado list properties for sale in their local MLS and ask for 1% for Earnest Money. Some areas in the U.S. ask closer to 10% for Earnest Money.
- The majority of Colorado Springs homes get listed in some type of MLS database; and many homes get listed in multiple MLS’s. There are some major cities in the U.S. that don’t have an MLS.
- Colorado doesn’t have dual agency. Many states still have dual agency. In Colorado you can only be an agent for either the Buyer or the Seller, you can not be an agent for both. Read the rest of this entry »
Colorado Springs Home prices — similar to 2004
Graphs tell the story on Colorado Springs home prices
Search for homes in Colorado Springs
Since a lot of my business is relocation, I talk to a lot of people who are looking at moving to the Colorado Springs area. Even though our average pricing is down in Colorado Springs, we certainly haven’t been hit as hard as many cities. The graph below really shows exactly where the current average pricing is, which is close to 2004 pricing. But like all cities, the average price varies vastly on a neighborhood by neighborhood basis. Some areas have held strong, and some areas have seen their pricing drop by 30% or more.
To find out more information about Colorado Springs Real Estate, Contact Kathy Torline (KTorline@msn.com) 719-287-1049
If you enjoyed reading this article, why not Subscribe to be notified of the next one?
Some other articles that could be of interest:
- News Flash – Colorado Springs ranked Fittest City
- Moving to Colorado Springs, check out Zip Skinny
- El Paso County taxes are some of the lowest in the nation!
- Colorado Springs in ratings for Best Places to Start Over
Market report for homes in Northwest Colorado Springs for July 2009
Colorado Springs Real Estate – Market Report for Northwest
Single Family Homes
Search for homes in Northwest Colorado Springs
Must Read Articles:
The housing market in Northwest Colorado Springs continues to be a BUYERS Market, as there is currently a 7.78 months of supply of homes on the market. A 6 month supply of houses on the market is considered a “BUYER’S MARKET”. Sales were down 15% from 2008 to 2007, but average pricing was ONLY down 6.5% from 2008 to 2007. 197 Single family Homes have been sold in 2009 vs. 219 for the same period in 2008; a decline of 11%.
| 1-1-2009 to 7-30-09 | 2008 | 2007 | 2006 | 2005 | 2004 | |
| Number of Homes Sold | 197 | 317 | 370 | 473 | 532 | 546 |
| Average Sale Price | $296,601 | $339,804 | $363,946 | $354,585 | $327,587 | $301,114 |
| Total Square footage | 2814 | 3120 | 3195 | 3001 | 3093 | 3070 |
| Price Per Total Square Footage | $105.40 | $108.91 | $113.91 | $118.16 | $105.91 | $98.07 |
| Average Days on Market | 95 | 78 | 67 | 57 | 44 | |
| Average # of house sold per month | 28.1 | 26.4 | 30.8 | 39.4 | 44.3 | 45.5 |
5 reasons lack of building permits cause big problems
Building Permits are Important
I recently attended an inspection at a home in Colorado Springs for a client who lives out of state; and one of the first things the inspector said to me is that he noticed the basement had been finished without a building permit. These are not words that any Realtor wants to hear, it can definitely cause some problems and discussions with a potential buyer. Hence, I thought I’d type up my top 5 reasons that additions and basement finishes without permits can cause problems:
- There is no way for a buyer to know if an additions and basement finishes were built/refinished in accordance with local building codes when a permit wasn’t pulled; which brings up a whole host of other questions. One of the reasons the building code was enacted was to insure a minimum standard for construction, electrical, and mechanical work. When permits aren’t pulled, safety and quality of workmanship can definitely be a concern.
- The lack of building permits can often impede the sale of a property; buyer’s don’t want to purchase a property that doesn’t have permits.
- The lack of building permits can and will come up during an inspection for a potential buyer. In today’s real estate market, which is a Buyer’s Market in Colorado Springs, there are many properties for Buyer’s to choose from. The lack of permits can cause a buyer to walk away from a property they want to purchase. Read the rest of this entry »
Manitou Springs is still a Buyer’s market for homes
Manitou Springs Real Estate
Single Family Homes
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The Manitou Springs Springs housing market continues to be a Buyer’s Market, as there is currently a 15 month of supply of homes on the market. A 6 month supply of houses on the market is considered a “NEUTRAL MARKET“. Sales are only down 1% from 2008 to 2007, but average pricing is down 10% from 2008 to 2007.
Recap of 2009, 2008, 2007, 2006, 2005, and 2004
| 1-1-2009 to 3-31-09 | 2008 | 2007 | 2006 | 2005 | 2004 | |
| Number of Homes Sold | 6 | 62 | 63 | 90 | 80 | 82 |
| Average Sale Price | $222,583 | $288,634 | $331,214 | $293,955 | $268,868 | $251,372 |
| Sales Price to List Price | 92.2% | 95.3% | 94.9% | 96.3% | 97% | 97.1% |
| Average Days on Market | 244 | 138 | 133 | 101 | 99 | 70 |
| Average # of house sold per month | 2 | 5.2 | 5.3 | 7.5 | 6.7 | 6.8 |
Current Report as of 4-10-09 in Manitou Springs Read the rest of this entry »
New Carbon Monoxide Law effective July 1, 2009
Carbon Monoxide Bill Signed into Law
Search for Homes in Colorado Springs
Colorado homebuilders will be required to install carbon-monoxide detectors in new homes under a proposal signed into law on March 24th. House Bill HB 1091 also requires installation of the detectors in new and resold homes near bedrooms as well as rented apartments and homes. It takes effect July 1, 2009. The new la
w will cover all new residential construction and existing single-family and multi-family housing units offered for sale, transfer or rent.
The law applies to any seller of residential real property containing a fuel-fired heater or appliance, a fireplace, or an attached garage. The seller will be responsible for assuring that a carbon monoxide alarm is properly installed within 15 feet of the entrance to each room lawfully used for sleeping. No person shall have a claim for relief against a property owner or their authorized agent if a carbon monoxide alarm is installed in accordance with the manufacturer’s published instructions.
There have been several deaths in Colorado Read the rest of this entry »
33 Unique things to do- #7 Cheyenne Mountain Zoo
Cheyenne Mt. Zoo
For a Free Colorado Springs Relocation Guide, Email Kathy Torline at KTorline@msn.com
Cheyenne Mountain Zoo sits above The Broadmoor Hotel at 6,800 feet up Cheyenne Mountain.
Spencer Penrose was originally given a bear and then other exotic animals became part of his collection. After a child was bitten, he decided he needed a place to house his menagerie and so he built and incorporated it in 1926. Over the years its delighted young and old alike. Want to feed giraffes? You can certainly do that here.
With its 172 species of wild animals, engaging exhibits and irresistible attractions, The Cheyenne Mountain Zoo serves the citizens and visitors of Colorado Springs Read the rest of this entry »
New rules make condo buying harder
Colorado Springs Condos — just got harder to buy
Search for Condos in Colorado Springs
Fannie Mae has instituted new rules when it comes to giving loans for condos. If the building is brand new, they want to make sure there 
are enough owners to pay for maintenance and preserve the value of the property. These new rules are designed to protect the buyers and lenders but they could also make it harder for the owners to sell them.
Fannie Mae will only guarantee mortgages in new or newly converted condos if 70% of the units are sold or under contract. That 70% could be hard to reach if buyers cannot get financing. In older units, Fannie Mae will not guarantee a mortgage if more than 15% of the other owners are delinquent on the HOA fees.
Fannie Mae wants to reduce the risk for lenders and protect buyers from Read the rest of this entry »
Colorado Springs Vintage Home, open house on Sunday 3-22
Come see a piece of history
Search for Homes in Colorado Springs
Kathy will be at an open house this weekend on Sunday from 1:00-4:00pm, you can stop by and see her at this home at 4130 Dunbarton Lane in a vintage Colorado Springs Neighborhood, close to Academy and Maizeland.
This home is over 3,700 square feet on 1.5 acres located in the middle of Colorado Springs.
It’s a retreat on a forested lot, with hidden rock formations. What a gem!
House could use some updating in the kitchen, Read the rest of this entry »
Top 5 VA Loan Myths
Guest Blogger — Marry Ann Daniell
Search for Homes in Colorado Springs
It was only a year ago that I started blogging on an wonderful site, ActiveRain, which is an amazing resource for 
Realtors and anyone else involved in the Real Estate Industry. It’s has a wealth of information; and the most wonderful thing is that fellow Realtors all over the world share information with each other.
Since Colorado Springs has a high military population with both active duty and retired personnel, I thought this article would be helpful to share with our readers. Our military installations in the Colorado Springs area include: Fort Carson Army Base, the Air Force Academy, Peterson AFB & Schriever AFB, Cheyenne Mountain AFS and NORAD.
I’m very pleased to sh
are this article written by Mary Ann Daniell, a Realtor in Fort Hood Texas. I contacted Mary Ann and she gave me permission to share this article. You can contact her in Fort Hood at her Office Phone: (254) 547-4165 x 230, or send her an email at maryann@maryanndaniell.com. If you are ever looking for information on Fort Hodd, make sure and contact her.
Hope you enjoy her article!
One of the best benefits of the VA Guaranteed Home Loan is that you can purchase your home with no money down. Most buyers know this about the loan program, but there’s also plenty of misinformation floating around out there, too.
Some common misconceptions buyers often bring up during their search for financing:
VA Loan Myths
- I have to apply to VA for my VA loan
- I am already APPROVED for a VA loan since I am active duty military
- VA Loans can take 90 days to close
- I must have my Certificate of Eligibility in hand
- VA Inspects the home for defects before I buy the house
Here’s a quick clarification of these points about VA loans:
I have to apply to VA for a VA Loan – Not True!
You apply for a VA loan through a lender who is approved by VA to Read the rest of this entry »
It continues to be a great time to buy a home in the Central area of Colorado Springs
Colorado Spring Real Estate – 2004 to 2009 Market Report for Central Colorado Springs
Single Family Homes
Search for Homes in Central Colorado Springs
The Central area of Colorado Springs housing market continues to be a NEUTRAL Market, as there is currently a 4.56 month of supply of homes on the market. A 6 month supply of houses on the market is considered a “NEUTRAL MARKET”. Sales in 2008 were down 16% from 2007, but average pricing was only down 5% from 2007. Average prices on Home Sales ($139,813) in the first two months of 2009 were down substantially from the pricing for the same months in 2008 ($162,185). It continues to be a great time to buy in a home in Colorado Springs.
Recap of 2008, 2007, 2006, 2005, and 2004 Read the rest of this entry »
New FHA limits increased again for 2009 in El Paso County
FHA has new loan limits
One of our favorite guest writers, Harry Venick sent me an email yesterday stating that the FHA has increased the loan limits for El Paso County!
According to Harry, “FHA loan limits have been increased for 2009 again: El Paso County $ 325,000(1unit ), $ 416,050 (2units), $502,900 (3units), and $ 625,000 (4units).”
Harry Venick is a Sr. Loan Officer with Adams Mortgage, LLC. He can be reached at (719) 955-3674 or his cell is: (719) 338-3879.
If you’ve been holding off because you haven’t been able to get a large enough loan with the FHA, it might be a great time to revisit Read the rest of this entry »
Tax credit Part II
Colorado Springs Vintage Homes is happy to feature a great article by
Bryan Yaninek with Castle & Cooke Mortgage, LLC
Here are some of the top questions complied and answered by the National Association of Mortgage Brokers, the National Association of Realtors and tax advisers!
Part II of Tax Stimulus Explanation
Is it a tax credit?
Part I of the article explained they called it a “tax credit” because you get the tax credit money upfront, but it really was an “interest-free” loan which is paid back for the next 15 years or upon the sale of the home (within 3 years of purchase). The “payback” is based upon the balance owed and not the entire tax credit received.
The next set of rules applies if a home is purchased between January 1 and December 1, 2009. It is a true tax credit and does not have to be repaid. However, if the home is sold within 3 years of the purchase date, the entire tax credit has to be paid back.
How the Dollar Amount of Tax Credit is Figured
Simply calculation here: 10% of the home’s purchase price or a maximum of $8000. A tax credit can be claimed regardless if they obtain a mortgage, a tax-revenue mortgage or the buyer paid cash when purchasing the home.
Potpourri
For home buyers who do not want to wait until the end of the year to claim their tax credit, they should consider filing a W-4 form with their employer, decreasing the amount withheld for federal taxes. They may not get a check at the end of the year, but it will increase the dollar amount of their paycheck.
Another option for FTHB’s is to borrower the dollar amount of the expected tax credit from a relative (usually a parent) and pay it back when the tax credit is received. It could be used towards down payment and closing costs and FHA and VA will allow it. Be sure to check with the lender and the documentation required.
This is more complicated than it seems on the surface. Always, always, always, refer to your tax advisor!
If you enjoyed reading this article, why not Subscribe to be notified of the next one?
Other posts by Bryan Yaninek:
- 5 things you need to know about FHA Mortgages
- What the current lending market means to you as a home buyer or a seller
- Tax Credit — Who is a first time home buyer?
Bryan Yaninek is affiliated with Castle & Cooke Mortgage, LLC, a Licensed Mortgage Broker in the state of CO Department of Real Estate.
For more information, please call 719-457-2200.
Kathy (719-287-1049) KTorline@msn.com
Resources for building a Green Home
Green Homes
Search for Homes in Colorado Springs
Are you considering building the home of your dreams this year? The newest trend is to build green by using materials that are environmentally friendly, designing your space to use energy 
more efficiently, furnishing your home with Energy Star rated appliances, avoiding waste and using natural resources as much as possible.
There’s also the advantage of doing your bit to help the environment while cutting back on your own utility bills.
Here are a few websites that offer help while you’re in the planning stages of building green: Read the rest of this entry »
Fun stuff for Valentine’s Day in Colorado Springs
Valentine’s Day
With Valentines Day just around the corner, I thought you might like to know of some fun things to do or buy for the special someone in your life.
Want to have a special dinner and maybe a stay overnight? How about a night at The Broadmoor and then stay for one of their wonderful Sunday Brunches the next morning. What could be better than that? They even add chocolate and champagne at bedtime. Yummy!
Want a romantic dinner? How about trying the Briarhurst Manor where they are offering romantic dinners all week with a six course prix fix meal. They definitely spoil you there, so give them a call.
If dinner isn’t in your plans, don’t forget the flowers! We have one of the best floral shops around Read the rest of this entry »
Colorado Springs Old North End, Market Report for November
Colorado Springs Real Estate – Market Report for Old North End Neighborhood – Single Family Homes
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Must Read Articles
- Colorado Homeowners, don’t remodel until you read this!
- Are you a pet owner trying to sell your home
- Should I take my home off the market during the holidays?
- A tech savvy realtor can help sell your home
- It’s all about the home warranty
Single Family Homes in Old North End were primarily built in the 1900’s to 1920’s. The majority of the houses are ranches and 2-storys, with 3 to 5 bedrooms, 2- 3 baths, and 1 – 2 car garages. The average home has appx. 2500 to 3500 square footage. The absorption rate of 3.18 houses per month shows that there is a 5.5 month supply of houses on the market; the housing market is currently a NEUTRAL -BUYERS MARKET in this area. A 6 month supply of houses on the market is considered a “NEUTRAL MARKET“
Downtown Colorado Springs, November Market Report for November 2008
Colorado Springs Real Estate
- Market Report for Downtown – Single Family Homes
Search for Homes in Downtown Colorado Springs
Single Family Homes in Downtown Colorado Springs were built from 1900 to the 1940’s. The majority of the houses are ranches and 2-storys, with 2 to 3 bedrooms, 1 -2 baths, and 1 – 2 car garages. The average home has appx. 1000 to 1750 square footage. The absorption rate of .81 houses per month shows that there is a 12.2 month supply of houses on the market; the housing market is currently a BUYERS MARKET in this area.
Central Downtown area neighborhood is located in the Central area of Colorado Springs and in District 11 schools
HOHOHO, NORAD is following Santa from Colorado Springs
Norad follows Santa
For more than 50 years, NORAD(North American Aerospace Defense Command) has been following Santa’s trip around the world and you too, can log on and see where Santa is at any time as he leaves the North Pole and flies around the world delivering his most precious presents.
This site is opened until December 26 and is arguably the most viewed noncommercial site on December 24.
How did NORAD, who keeps as all safe from unexpected attacks, become the one place to view his trip? In 1955, NORAD got a call by accident, as Sears had put an ad in The Gazette that said do you want to talk to Santa? Call this number. It was one digit off from the NORAD number and a child called and instead of telling the child they had the wrong number, they told this child they would check the radar. A new tradition was born.
Today, with all the tracking abilities of NORAD, they can see his every stop. A Santa-tracking Web site was created and children from around the world can track his every move. Its even translated into seven languages, so even non-English speakers can understand the audio. There’s also activities and games that the kids Read the rest of this entry »
