Dickson Realty’s April 2016 Newsletter
The Dickson Truckee Team 11836 Donner Pass Road | Truckee, CA 96161 | 800.541.4440
Dickson Realty’s April 2016 Newsletter Are we heading for another housing bubble? March 9 2016, by Nancy Fennell - President, Dickson Realty
This is the question that continues to come up as residents read about rising home prices. To them, it feels like 2006. However, I have listened to several presentations recently that would suggest otherwise. Those presentations coupled with sales statistics present another story; one not without challenges but certainly a picture that suggests we are not seeing a repeat of the housing crisis which began in 2006 just yet. We are in a slow recovery, but certainly a recovery. The first several presentations I heard were from Mike Kazmierski, CEO of EDAWN (Economic Development Authority of Western Nevada). His team has done an outstanding job assisting more than 100 companies relocate to our area over the past four years. His future predictions of what is to come are even stronger. As he states, “This is just the beginning.” Two differences from 2006 are job and population growth. I last wrote about the EPIC Report which took a “middle-of-the-road” projection of employment and population growth over the next five years (2015-2019). EDAWN took the middle scenario projecting an addition of 52,400 jobs through 2019 and a population growth of 64,700.
Read more… The graph that accompanies this article can be found on the next page.
The Dickson Truckee Team 11836 Donner Pass Road | Truckee, CA 96161 | 800.541.4440
Dickson Realty’s April 2016 Newsletter
The Dickson Truckee Team 11836 Donner Pass Road | Truckee, CA 96161 | 800.541.4440
Dickson Realty’s April 2016 Newsletter
The Dickson Truckee Team 11836 Donner Pass Road | Truckee, CA 96161 | 800.541.4440
Dickson Realty’s April 2016 Newsletter TAX DEDUCTIONS FOR RENTAL HOMES By: Donna Fuscaldo
From finding tenants to fixing faucets, renting out a home can be a lot of work. If that doesn’t dissuade you, you’ll appreciate collecting the rent checks and taking advantage of tax deductions. In fact, you can use many rental property expenses to offset your rental income. IRS Publication 527 has all the details. Writing Off Rental Home Expenses Many rental home expenses are tax deductible. Save receipts and any other documentation, and take the deductions on Schedule E. Figure you’ll spend four hours a week, on average, maintaining a rental property, including recordkeeping. In general, you can claim the deductions for the year in which you pay for these common rental property expenses: Advertising Cleaning and maintenance Commissions paid to rental agents Home owner association/condo dues Insurance premiums Legal fees Mortgage interest Taxes Utilities Read more…
The Dickson Truckee Team 11836 Donner Pass Road | Truckee, CA 96161 | 800.541.4440
Dickson Realty’s April 2016 Newsletter
What do YOU want? Whatever it is, an agent can help you accomplish your real estate goals.
The Dickson Truckee Team 11836 Donner Pass Road | Truckee, CA 96161 | 800.541.4440
Dickson Realty’s April 2016 Newsletter Mortgage Rates and Federal Funds Rate It’s commonly misbelieved that the Federal Reserve makes consumer mortgage rates. The Federal Reserve can affect and influence today’s mortgage rates but it cannot set them. It is important if you are shopping for a home loan to be aware that mortgage rates are made on Wall Street. As well are determined by the price of mortgage-backed securities, not the Federal Reserve. The influence of the FED comes mainly after their scheduled meetings; a press release is issued which highlights the group’s economic opinion and consensus. When the Fed members report the economy is positive then mortgage rates tend to rise. When it’s negative they tend to fall. Lately, the Fed has shown a mix of positive and negative sentiments. The group has acknowledged that the U.S economy is improving, but that growth obstacles and hindrances remain. One of the key messages for rate shoppers to listen for is the one the Fed spreads on inflation. Inflation is the enemy of mortgage bonds and when inflation pressures are growing, mortgage rates are rising. Inflation is an economic term describing the loss of purchasing power. When inflation is present within an economy, more currency is involved to purchase the same amount of goods. Mortgage rates are based on the price of mortgage-backed securities (MBS), and mortgage-backed securities are U.S. dollar-denominated. When inflation is present in the economy, the value of a mortgage bond drop leads to higher mortgage rates. See next page. The Dickson Truckee Team 11836 Donner Pass Road | Truckee, CA 96161 | 800.541.4440
Dickson Realty’s April 2016 Newsletter
The more inflationary pressures the Fed fingers in the economy, more likely the mortgage rates will rise. Last week the Fed forecasted just 2 rate hikes, down from the original 4 hikes. It will be interesting to see how this plays out. The economy is only getting by on many levels-we think there is a good possibility that they don’t hike again in 2016. However make sure you are working with a mortgage professional that can watch and listen for the correct indicators for you. Please call us if you have any questions on purchases or refinances throughout California or Nevada. The Rice Team @ Guild Mortgage Team@TheRiceTeam.com 530-582-9991
The Dickson Truckee Team 11836 Donner Pass Road | Truckee, CA 96161 | 800.541.4440
Dickson Realty’s April 2016 Newsletter April EVENTS 1-3 – Winter WonderGrass Squaw Valley/Alpine Meadows 3 Day Pass $129 & up, see website for ticketing options Lively national, Regional and Local Bluegrass and Acoustic roots music, California Craft Beers, wines, spirits and warm local food. Information: www.winterwondergrass.com 1 – Kids Night Out Northwoods Clubhouse, Tahoe Donner 5-9pm, $20 in advance Information and RSVP: 530-587-9437 1 - First Fridays Historic Downtown Truckee, 5:30 - 8 pm Most of downtown’s unique shops, boutiques, art studios, and eateries will keep their doors open later and offer special promotions, activities, demonstrations, food and beverages, music, and more! Participating shops and restaurants will display First Friday Flags so the public will know where the fun is. Information: www.historictruckee.com
The Dickson Truckee Team 11836 Donner Pass Road | Truckee, CA 96161 | 800.541.4440
Dickson Realty’s April 2016 Newsletter 1 - Family Movie Night (weekly) Northwoods Clubhouse, 11509 Northwoods Blvd., Tahoe Donner 6:30 – 9:30pm Kids and adults, bring a favorite pillow and blanket to the Northwoods Clubhouse, kick back, and enjoy both classic and new movies every Friday night. Movie nights begin at 6:30 p.m. and the films are rated G and PG. To find out what movie will be playing in advance, call Member Services at 530-587-9400 2 – Spring it On! Pond Skim Northstar California 9am – 12pm Information: www.northstarcalifornia.com 2 - STEAM Exploration Saturdays (weekly) 9am– 12noon; $35 per child – ages 4-7 Prices vary – see website STEAM is Science, Technology, Engineering, the Arts and Mathematics. Science & Art: Bubbles, oil, salt, crystals and watercolor. Discover how creative you can be! Technology & Engineering: make things move with animation, toys and circuits. Have a blast experiencing how math can help your artistic designs. Information: www.kidzonemuseum.org 3 – Pancake Breakfast Sierra Senior Center, 10040 Estates Drive, Truckee 8 to 11am, $7adults/$3 kids A fundraiser for Sierra Senior Services The Dickson Truckee Team Information: www.sierraseniors.org 11836 Donner Pass Road | Truckee, CA 96161 | 800.541.4440
Dickson Realty’s April 2016 Newsletter 2- Dancing with our Sierra Stars Kristie Pellegrino Photography North Tahoe Event Center 8318 N Lake Blvd., Kings Beach, CA 7-10pm General Admission $55, VIP Admission $75 Local celebrities strut their stuff with professional ballroom dancers from the Utah Ballroom Dance Company. Our esteemed panel of local judges, with your help, will decide the winner of the coveted mirror ball trophy. Information: www.innerrhythms.org 3 – Sunday Wine Down Days Truckee River Winery, Truckee 12 – 5pm; $45pp Would you like to taste how wine changes while it ages and discover the complexity and challenge of the wine process? Here's your chance to do that. Come and enjoy seven years of the same vineyard and varietal at one sitting and discover how different and wonderful each year is. Winemaker Russ Jones will pour seven consecutive years of his award winning Pinot Noir. This is a rare opportunity for many, and the only time when one can purchase individual bottles of past vintages. Information: www.truckeeriverwinery.com 6 – Cushing Crossing Squaw Valley USA 12-2pm Squaw Valley's annual spring skiing spectacle, complete with splashes, crashes, costumes and fun! Information: www.squawalpine.com The Dickson Truckee Team 11836 Donner Pass Road | Truckee, CA 96161 | 800.541.4440
Dickson Realty’s April 2016 Newsletter 9 – Taste of Plumas Plumas-Sierra County Fairgrounds, Quincy, CA 5:30pm The taste allows you to tour of most of the best culinary establishments in Plumas County all in one location at one festive community gathering. Information: http://www.plumasarts.org/events/top12.html or (530) 283-3402 10 – Downhill Dummy and Rail Jam Tahoe Donner Downhill, Truckee, CA 8am – 4pm; Free The annual end of season bash! Enjoy food and beverage specials, a bounce house, live music, plus the popular Boxing Match Rail Jam and the traditional Downhill Dummy event, in which teams build unique dummies to send sliding down the hill and off a massive jump. Information: www.tahoedonner.com 10 – Last Day to Play! Snowplay Area, Tahoe Donner, Truckee, CA BBQ, music and the last day of Snowplay for the season. Information: www.tahoedonner.com
The Dickson Truckee Team 11836 Donner Pass Road | Truckee, CA 96161 | 800.541.4440
Dickson Realty’s April 2016 Newsletter 10 – Spring it On! Northstar California Celebrate the gorgeous winter season with tunes spun by a live DJ, face painting, balloon twisting, and more fun activities for kids and kids-at-heart. Information: www. 16 – American Valley Speedway Quincy, CA Noon Enjoy a revved up day at the second largest dirt track in California! Information: http://www.americanvalleyspeedway.com/home.htm 16 - Free Hazardous Waste Drop-off Eastern Regional Landfill, 900 Cabin Creek Road (between Truckee and Squaw) Free Call 530-583-7800 for an appointment 28 – 30 – Truckee Follies Community Art Center, Historic Downtown Truckee 8pm; $35 and $55pp Tickets on sale April 1st A Truckee Downtown Merchants Association signature fundraiser, the 22nd occasionally semi-annual Truckee Follies is a tasteless theatrical revue that takes a look at local issues occurring around town. It’s held at the same old location, with the same old cheap seats. These creative acts host a talented local cast of hundreds dedicated to your pleasure. The Dickson Truckee Team Information: www.historictruckee.com 11836 Donner Pass Road | Truckee, CA 96161 | 800.541.4440