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CONTENTS
Let ter from the Editor Letter from the Editor
Departments 4
Market Report
8
Feature
Emily L.G. Untalan
10
Condo Concepts: Not Just for Home
12
Real Estate Spotlight Assuming Mortgages
14
Profile Jeffrey Marchesseault Alliance Realty, LLC
April 2018 • Vol. 11 • No. 04 P.O. Box 24881 Barrigada, GU 96921 Tel: (671) 472-3495 | Fax: (671) 472-3498 Email: office@yellowpagesink.com
[ Publisher ] [ Business Sales Manager ] Jay-R S. Dominguez
[ Editor/Display Advertising ] 16
From the Experts What Value Does a Title Insurance Company Have?
Emily L.G. Untalan
[ Traffic/Circulation ] Shaun Cruz
[ Production Manager ] Mark S. Burke
[ Graphics & Layout ] 18
How to D.I.Y. Faux Fireplace
Mark S. Burke Edwin E. Valencia
[ Website Development ] Edwin E. Valencia
20
Your World, Our Island UOG’s Green Army Protects Our Environment
22
Curb Appeal Window Tint
25
Who Ya Gonna Call?
[ Editorial Contributors ] Marcus Aydlett Christopher Felix Siska S. Hutapea Island Tinting & IWFA Isabella LaRue Peggy A. Llagas Jeffrey Tomas Marchesseault Eric M. Palacios Emily L.G. Untalan Kim Anderson Young
Fondly,
Cover Photo: Mark S. Burke CasaGuam is Published by:
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Hafa Adai Readers! It’s April and whether you owe the IRS or not, don’t forget to file your taxes (or get an extension) by the deadline . Our FEATURE-theme this month is Condo Concepts: Not Just for Home by Jeffrey Marchesseault. Take note of the benefits of business condo ownership. In REAL ESTATE SPOTLIGHT, Kim Young writes about Assuming Mortgages and gives good reasons why you should not assume anything! In our PROFILE section we highlight Jeffrey Marchesseault of Alliance Realty, LLC! He is honestly one of the brightest humans I know. Get to know him yourself in our Q&A dialogue. Kim Young gives us her FROM THE EXPERTS view on the Values a Title Insurance Company provides. Your DIY project this month is building a makebelieve Fireplace! It will surely add elegance to your home or office. In YOUR WORLD, OUR ISLAND, Eric Palacios meets UOG’s Green Army and is content that a more green future is not impossible!! In CURB APPEAL, Island Tinting, through its partnership with IWFA, confirms how Window Tint not only adds curb appeal but conserves energy which saves you money! In WEATHER-READY NATION (WRN), Marcus Aydlett cautions that Guam is not Tsunami Proof but assures us that our island can be Tsunami Ready! GAR President, Christopher Felix, gives you the pros and cons of Condo Ownership and Peggy Llagas, GAR CEO, writes about Fair Housing in commemmoration of its 50th Anniversary. Make your April a safe one, everyone! Stay blessed.
Emily L.G. Untalan
Closing
CasaGuam Advertising Disclaimer All Advertisers agree to hold the publisher harmless and indemnify it against any and all claims, losses, liabilities, damages, costs and expenses (including attorney’s fees) made against or incurred by the publisher, officers or employees with respect to, or arising out of, the content, text, graphics or representations of any ad published herein, including but not limited to the sole negligence and/or fault of the publisher. The publisher is not liable for any claims, losses or damages of any kind, arising from the wording, text, graphics or representations of any ad published herein, or the condition of the articles sold through the publication, or performance of services advertised in this publication. All advertising and/or performance of services advertising and/or submissions become wholly the property of CasaGuam Magazine. CasaGuam Magazine is a registered trademark of PTI Pacifica Inc. Copyright © 2008. All rights reserved. Reproduction in whole or in part in any form without the express written consent of the publisher is prohibited. We reserve the right to edit or refuse any ad and to reprint any photo for promotional use.
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Market Repor t
By Siska S. Hutapea, MAI, AI-GRS, MRICS, MRE, President and Carlos U. Diaz, MAI
PRICELESS
S
Some things in life are priceless: Guam’s winter sunsets, quiet times, and family time. Carlos Untalan Diaz, our General Certified Appraiser with 20 years experience under his belt, recently received his highest designation in commercial appraisal from the Appraisal Institute in Chicago, and that’s priceless too. However, when it comes to real estate, I have an aversion to the word priceless, as it implies market participants making passionate investment decisions not necessarily based on cash flow, or banking heavily on future appreciation. I was in New York for appraisal continuing education class on advance land valuation, and the professor succinctly summarized how one make money in real estate, which a commercial real estate appraiser typically described in her cash flow modelling. An investor makes money through the income and upon disposing his ownership interest. Does this apply to home ownership? Or should buying home always be a ‘priceless’ experience? As in everything, moderation! Guam home buyers have several concerning challenges ahead. Interest rate hikes, limited supply, limited additional supply, competition with off island investors and many others. Cornerstone Valuation Guam, Inc. database reflects 2017 median price of single family dwelling in Guam at $240,000, up from 2013 at $200,000. Interest rate hikes will reduce the affordability. As illustrated simply below, a potential home buyer who is able to make $1,500 payment (P&I), at 4 percent annual interest rate can afford to buy a $314,000 house. However, with a 1 percent increase in interest, the affordably decreased by -11 percent to only $279,000. Buying Power vs. Interest Rate Item
Estimate
Current limited supply and temporary limited additional supply will continue the upward price pressure. As of February 23, 2018, there are only 157 single family dwelling available for sale on GAR Multiple Listing Service (“MLS”). This reflects 2.7 months supply based on 696 single family dwelling sold in 2017 on MLS. The interest rate increase and the upward price pressure both works against the potential homebuyers. Where are the most residential activities? Not surprisingly, Dededo, Yigo, and Mangilao top the municipalities with the most sales volume and number of transactions. The Municipality of Barrigada came fourth in sales volume and fifth in number of sales. This centrally located municipality is one of the mst desirable locations for residential. The most coveted residential location, Tamuning came fifth in sales volume. Yona came fourth in number of sales, at 52 sales in 2017, compared to Dededo’s 228 sales. 2017 Top 5 Sales Volume Municipality
Sales Vol. ($Million)
% of Total
Dededo
$52.3
26.1%
Yigo
$41.0
20.4%
Mangilao
$19.5
9.7%
Barrigada
$17.1
8.5%
Tamuning
$15.0
7.5%
2017 Top 5 Number of Sales Municipality
Sales Vol. ($Million)
% of Total
Dededo
228
29.8%
Yigo
149
19.5%
Monthly Payment
$1,500
$1,500
Annual Interest
4%
5%
Mangilao
79
10.3%
Principal
314,192
279,422
Yoña
52
6.8%
-11.1%
Barrigada
51
6.7%
Decrease 4 CasaGuam
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Market Repor t Residential sales volume increased to $282.8 million in 2017 from $250.7 million in 2016. The number of sales increased from 953 residential units to 1,090, an over 14 percent increase. The lack of supply causing older less attractive properties to be sold is the main cause of the decrease in median price of single family dwelling from $246,500 to $240,000 in 2017. Median price of condominium continues the sharp increase from $185,500 to $200,000 in 2017. Overall, residential median price reflects $225,430. The reported HUD Median Income for 2017 reflects $56,300 and increased by 3 percent from 2016 at $54,400. At this median price, Guam’s affordability index at 4.0 is considered moderately unaffordable and this is the challenge that a prospective homeowner will experience. We definitely would not want to have a Honolulu housing situation, where the index is at 9.4, severely unaffordable, causing the exodus of local population to more affordable places. Hawaii attracts buyers from all over the world and the local buyers have to compete with the best of the best from all over the world with money to spare. Lack of affordable new supply has already hit the prospective buyer hard. Then there is the curious case of AirBnb. Although reportedly there is no license yet issued due to lack of staff, over 300+ rentals are available in Guam if you go to the AirBnb website. Considering the rising cost of homes and rising interest rates, the affordability window is closing for those with lower income, forcing them to rent rather than buy. Apartment occupancy levels have been increasing over the past two years resulting in upward pressure on rent levels, which have been rising island wide over the past two years. This will likely result in an affordable housing crisis in the coming months unless the foreign labor problem for non-military development is resolved soon, allowing developers to build new housing supply. More statistics from Cornerstone Valuation Guam, Inc. database are included as follows.
2017 Top 5 Median Prices
2017 Bottom 5 Median Prices
Municipality
Median Price
Municipality
Median Price
Piti
$367,000
Inarajan
$122,750
Tamuning
$358,500
Agat
$140,000
Talofofo
$299,000
Merizo
$181,500
Umatac
$281,000
Santa Rita
$195,000
Barrigada
$277,720
Agana Heights
$197,000
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Feature
A Book Whose Timeless Concepts Have Finally Come Of Age By Jeffrey Tomas Marchesseault
ow This Dusty Old Tome Got Me Thinking About Wider Applications For A Tried And True Form Of Responsible Real Estate Ownership
[GUAM] - Even 45 years later, it’s easy to see how David Clurman’s groundbreaking 1973 book, The Business Condominium: A New Form of Business Property Ownership, must’ve made waves by helping business owners think creatively about effective ways to save costs and reinvest capital at a time when the national economy was in recession. Clurman introduced curious readers to the notion that condos weren’t just for residential applications anymore, that undivided interest in common areas and shared equipment and facilities provided an effective means of cutting expenditures and creating synergy among complimentary businesses. The savvy, cutting-edge ideas he laid out included condo regimes for “medical, dental, and science buildings,” “industrial parks and complexes,” shopping centers, even cemeteries, parking garages, and “landmark and restorations areas.” Clurman also introduced “a new concept” he called “the sale condoback,” offering “smaller mortgage obligations,” “flexibility for sale of property,” and “opportunities for appreciation,” as well as key tax advantages. The idea was for an owner of improved real property to sell it, with the caveat that the original landlord would be granted a deed for a smaller portion of the property for his or her individual or business use, so an ownership interest might be retained, but more efficiently. 8 CasaGuam
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A MILLENNIAL SHIFT In the Millennial Age, the AirBnB generation is changing the game all over again. It is my observation that Millennials generally value unique experiences and building trustworthy relationships in an increasingly interconnected world demanding public accountability. And they naturally embrace this culture more than they value the “roughing it” mindset of the WWII Generation or the “looking out for number one” ethos of the Me Generation, who rose to glittering glory a decade after Clurman’s Business Condo book was published. As the rising Millennial wave matures and its influence spreads like digital wildfire, its consumers are fundamentally shifting the way real estate is valued, used, and managed. Brands and personal prestige may matter, but they generally matter less than shared experiences and the common good. That’s why shopping malls are being converted into food halls and entertainment complexes with shallower inventories of consumer goods in-store. Millennials want to socialize, achieve, and have fun together. They can shop online when they’re home alone.
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Feature SAY ALOHA TO ORCHARD-FIELD CONDOS! Speaking of achieving together—how ‘bout down on the farm? These days the State of Hawaii’s condominium laws provide for a number of successful condo applications, including farm plots – which shocked me, but then struck me as clever. Because what boutique farmer wouldn’t want to benefit from the advantages of planting among likeminded agriculturalists, who needn’t worry about rising land leases and repairing irrigation systems to grow their pumpkins, corn, and avocados?
http://ohanafarmparcels.com/#parcels
Located near the Dole Plantation Visitor Center in Oahu, Ohana Farm Parcels is a case in point. “Fee simple farm ownership in Hawaii. No more leasing or renting the land you farm at constantly increasing rates.” Ohanafarmparcels.com touts its “Farmland Agribusiness Ownership” mantra as a call to farmers, and even agribusiness investors, who want to concentrate more on crop rotation and less on the business headaches of ‘going it alone’ in an evermore interconnected and interdependent world. AT HOME IN GUAM As a real estate broker, Realtor, and property manager in Guam, I’ve enjoyed the privilege of seeing some of the ideas that Clurman was introducing nationally four and a half decades ago either applied or contemplated locally over the better part of the past decade here on island. But in Guam, as elsewhere, the most common application of the condo concept remains residential, usually within an apartment tower or converted hotel. And however dated the property regimes and bylaws may be, my experience is that most local condo boards and property managers are adamant about remaining within the spirit of the legal framework used to set up a condominium community’s rules and operational standards. These days horizontal property regimes and condo regimes are familiar to experienced property managers who are used to sifting through tabbed and dog-eared copies of these “bibles” of the common area realm while adhering to the dictums of
covenants, conditions, and restrictions laid out in equally worn declarations. These are the guides they comb through in preparing for homeowners’ association meetings and citing such “property scripture” chapter and verse, to settle questions about house rules or resolve disputes amongst landlords, tenants, and managers. In reviewing old trends and condo documents on island, it seems apparent enough that Guam’s residential condo regimes became increasingly more popular after the publication of Clurman’s text about business condos. And some of these condos have offered tenants and landlords the convenience of mixed-use applications, with a smattering of businesses operating amongst residential apartments within the same regimes, if not within planned unit developments. FRESH FOOD FOR THOUGHT Considering Guam’s decades-long tradition of successful residential management and profitable multifamily condominium ownership, now may be an opportune time for local and regional developers to begin capitalizing on rising trends again. Short-term rentals for cost-conscious experiential travelers, office condos for businesses who prefer efficiency ownership to owning ‘the whole plant,’ parceling vacant lands for green energy solutions, aquaculture, mariculture, horticulture, and farm-to-table: these are concepts whose features, advantages, and benefits have come of age in an era that is increasingly committed to personal, social, and environmental responsibility—as well as to shared experiences and best outcomes for all concerned.
About the Author: Jeffrey Tomas Marchesseault [MAR-shesso] is a licensed real estate Associate Broker and REALTOR with Alliance Realty, LLC, on Guam. He is also a seasoned property manager and has more than 32 years of experience in broadcasting and multimedia. Feel free to contact Jeff at +1 (671) 483-1162 or mediamaxguam@gmail.com. Thank you! CasaGuam.com 9
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On The Cover
Chalan Pago Million Dollar Home Stunning Brand New Home nestled one block from Pago Bay Beach, with panoramic ocean view. Showcasing 4 Bedrooms & 4.5 Bathrooms with 3065 sf living area and 2-Car Garages with 536.8sf. An absolute chef ’s dream, the kitchen is complete with a full Thermodor Professional appliance package with built-in oven and microwave, professional hood, built-in refrigerator, dishwasher. Custom floor to ceiling cabinetry, pantry, full subway glass tile backsplash, classic farm sink with professional grade faucet, and natural granite countertops with built-in wine cooler. Rooftop Patio with large Jacuzzi, enjoy that ocean breeze while immersed inside the hot tub. You do not have to go to a spa to enjoy the sauna. Built-in Sauna Room inside Master Bathroom… So much more, you must come in to see!! Call: 647-0888 or email: guamrentals@yahoo.com.
CALL FOR C CA CAL F A FO SHOWING S SH SHO SHOW SHOWI SHOWIN AND A FOR AN F FO MORE INFO! M MO MOR I IN INF INFO 10 CasaGuam
April 2018
Buying • Selling • Leasing Property Management & Development CALL C CA CAL US U FOR F ALL FO A YOUR AL Y YO YOU REAL R RE REA ESTATE E ES EST ESTA ESTAT NEEDS! N NE NEE NEED NEEDS (671) ( (6 (67 (671 647-0888 6 64 647 647647-0 647-08 647-088 315 South Marine Corps Drive, Suite 201 Tamuning, GU 96913 • www.ellensrealtyguam.com
El Wilkinson Elle Ell Ellen W Wi Wil Wilk Wilki Wilkin Wilkins Wilkinso Principal P Pr Pri Prin Princ Princi Princip Principa Broker B Br Bro Brok Broke 688-0118 6 68 688 688688-0 688-01 688-011
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Real Estate Spotlight
Assuming Mortgages By Kim Anderson Young
E
Even though most mortgages contain what is called a “due on sale” clause which states that a mortgage cannot be assumed by a new buyer, it is not uncommon for parties to take over payments when purchasing real estate. Contracts of Sale, seller financing and wrap around mortgages are all examples of creative financing in which the existing loan is assumed without the knowledge of the lender. While not in compliance with the terms of the loan, assumptions are not rare. In most cases the lender does not have any idea that the loan has been assumed and as long as the payments are made, no red flag is raised. Before it starts to appear that I am advocating assuming another persons mortgage (I don’t!); let me say that there are a number of good reasons that mortgages prohibit assumption, for example: • Lender cannot confirm that the new buyer qualifies to repay the loan. • Lender loses the opportunity to adjust interest rates to current market levels. While assuming a sellers mortgage may seem like a simple and straightforward way to quickly close the sale of a property, the ramifications can be disastrous to both the buyer and the seller.
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• If the buyer fails to make the mortgage payments in a timely manner or if the loan goes into foreclosure, the sellers credit score is affected since they are still responsible for the loan. • If the seller wishes to purchase another property, the existing loan still shows as a debt for which they are responsible. • If the bank discovers that a loan has been assumed they can immediately call the note due and payable, and the buyer will need to quickly seek alternative financing. Other mortgages allow for the mortgage to be assumed, but only with the lenders consent. In order for the lender to consent, they process the buyer as if they were applying for a new loan (to determine if they qualify to repay). If the lender approves the assumption, an assumption of mortgage document is signed by the new borrower and recorded as required under the mortgage. At this point the debt is removed from the original borrowers credit and our buyers and sellers are in compliance with the terms of the loan. About the Author: Kim Anderson Young, president of Security Title, has over 30 years of experience in the real estate industry. Contact her at kim@securitytitle.net or 647-8100.
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Profile
"ON AIR" TO "ON LAND" Q & A with Jeffrey Marchesseault - Emily L.G. Untalan and Jeffrey Marchesseault
I
If you've lived in Guam or the CNMI awhile, you may remember Jeff Marchesseault [MAR-shesso] from his days as a television news anchorman and radio personality. Although he still occasionally produces news segments for international networks when they cover breaking stories on Guam, more and more of the content he generates these days focuses on a career he began developing seven years ago as a real estate agent. As a seasoned property manager in several categories, Jeff serves as Associate Broker and Realtor with Alliance Realty, LLC. This month's profile focuses on Jeff 's evolving career in real estate. How did you get into this business? I was part of a team that had created and operated a regional multimedia broadcast group between Guam and the Philippines. When we closed down, one of the investmententities asked if I’d ever considered real estate as a career. They offered me a co-management job in property management and to pay for my real estate sales agent training. I was named marketing director of the company and after a much-needed vacation and several months on my new job, I enrolled in Mo Cotton’s National Institute of Continuing Education, “the N.I.C.E. School,” where I pursued the sales agent’s night course. Not long after passing my exams, I was licensed and selling real estate on the side while working full-time with DNA, INC.’s property management offices at the DNA Building in Hagåtña. While fulfilling the mandatory two years as a licensed agent, I had already made the personal decision to pursue my broker’s license because I wanted to be more competent on the job. At DNA, I was helping manage an inventory of properties that included residential, office/commercial, retail, and raw land, so I figured the more I knew, the more use I would be to the company, tenants, contacts, and clients. I really wanted to know what I was doing and talking about. Because DNA is not a real estate sales agency, I sold property for a couple of different sales firms before finally settling at Alliance Realty, LLC – where I hang my associate broker’s license today. Has anyone helped you in your decision to become a REALTOR®, or was there an experience that inspired you to get
into this field? I owe a great debt of gratitude to the Lujan family, who owns the DNA Building and DNA Plaza, as well as homes, apartment buildings, and various lands throughout the island. After I’d spent decades in multimedia, they gave me a soft landing, a fresh perspective and a new start. I learned a great deal working with that company. We parted ways in January, and now I’m pursuing sales, fulltime. 14 CasaGuam
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Jeffrey Marchesseault ASSOCIATE BROKER • REALTOR® PROPERTY MANAGER ALLIANCE REALTY, LLC
How long have you been in this field? All of my life, indirectly. Real estate is the foundation of all business. But I’ve been at it as a professional practitioner for more than seven years now. As a university student, I spent spring breaks, Christmas breaks, and summers working grounds and maintenance at The Knoll, the townhouse complex where my Mom was living at the time, just off 38th Street by the Museum of Art and historical Crown Hill Cemetery in Indianapolis. What did you do before becoming a real estate professional? I was a radio and television broadcaster. That’s what attracted me to the archipelago. After I responded to an ad in the back of Broadcasting and Cable Magazine and told my workmate, Kevin Walsh, about the opportunity, Lee and Joan Holmes flew out to Indy to interview and hire both of us. I became an investigative reporter for Saipan Cable TV in 1993. By the first week of December of that year, I was living in the CNMI and have remained in the Marianas ever since. I married a lovely Guam girl right after New Year’s in 2003 and together we’re raising two beautiful Chammoale children.
Profile continued on page 26
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From the Experts
What Value Does A Title Insurance Company Have
By Kim Anderson Young
Unless you are involved in a real estate transaction, you may not have experience working with a title insurance company. Please let me break down our value into five easy steps: Purify land title systems. Title examiners find gaps, errors and omissions in the recorded public records. Once identified, we work with owners to correct the situation. One simple but common example; a previous owner’s mortgage may not have been released when it was paid off. Our escrow officers will contact the previous lender and request a release, which we record and clear the public record. Establish the status of the title. Our title searchers create a “chain of title” by searching land management records for any document that involving the subject property. This will surely contain deeds and mortgages; many also contain leases, easements and judgments by the court. This chain is a chronological list of how the property came to be owned by the current owner and what other interests such as leases or mortgages may currently affect the property. Accounting for the Real Estate Transaction. As an independent third party to a real estate transaction, we follow the contract between the buyer and seller, as well as instructions from the lender to ensure the money is distributed as intended by the parties. We ensure that lenders, surveyors, appraisers, Realtors and other contributors to the transaction are fully paid. We search real property tax records and if necessary, pay any outstanding taxes so that the buyer acquires the property without any surprise expenses popping up later. Handle Transaction Management. Escrow officers daily track down payoffs and releases. They juggle collection of executed deeds, mortgages, affidavits and settlement statements. An escrow officer is also tasked with collecting and clearing funds from sources such as the buyer, the lender and when applicable, 1031 tax deferred exchange facilitators. They work closely with the Realtors and lenders to deal with issues that inevitably arise and work to ensure the transaction closes in a timely manner. We insure what we do. Then we back up our work with a title insurance policy that guarantees your ownership of the property! Rest assured that your favorite REALTOR regularly works with title and escrow companies to ensure a professional closing. Make that escrow company SECURITY TITLE and treat yourself to customer service that will surpass your expectations!
U
About the Author: Kim Anderson Young, president of Security Title, has over 30 years of experience in the real estate industry. Contact her at kim@securitytitle.net or 647-8100. 16 CasaGuam
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H o w t o D . I . Y.
How to Build a Portable Free Standing Decorative Faux Fireplace
By Engineer Your Space via Hometalk.com
We live on a tropical island so why DIY a fireplace? Don’t worry this one isn’t real! But, for those days and nights during our so-called “winter” season, you’ll appreciate having an artificial fireplace in your home. The site of this fireplace, although imitated, will give you a feeling of warmth and coziness, the same way an aquarium gives you a sense of calm and serenity. Isabella LaRue of Engineer Your Space makes this diy project look easy so let’s get started! :) Emily L.G. Untalan
W
So excited to share my favorite project of all time: a DIY faux fireplace! I've always dreamed of having a fireplace but my rental apartment doesn't have one. I was determined to change that and I finally did it! I'm absolutely in love with it and it's amazing how it completely transformed my living room - it's like I moved to a new apartment! ***Do keep in mind that this project is for decorative purposes only and is not to be used as a heater***
I started by building 4 supports using the 2"x3", using a speed square to make sure that every corner is at 90 degrees.
Time: 2 Days Cost: $65 Difficulty: Medium • Materials • 2"x3" (1"x12") • 1/4" thick plywood (4'x8') (material cost doesn't include mantel or tile) This is what my apartment looked like when I moved in - very boring and zero character.
I used 2"x3" (but you could also use 2"x4") , 1"x12" pine boards (but you could also use plywood) and 1/4" thick plywood. 18 CasaGuam
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Then I made the firebox by attaching the 1"x12" pieces that make the sides of the firebox to 2 of the supports and then attaching the top and bottom. Then I attached the 1"x12" piece that make the base, attached the remaining 2 supports at each end and then I attached the 1"x12" to the top of the supports.
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H o w t o D . I . Y. This is the structure of the fireplace surround before I attached plywood to it. You can easily customize the dimensions to suite your space.
I covered the structure with 1/4" thick plywood and painted the firebox with black chalk paint. This entire structure only cost $65 to build and then can be customized with any mantel, finish and fake fire log insert.
I wanted my fireplace to have a modern yet soft beachy look so I decided to cover the surround with easy to install peel and stick Smart Tiles that have a beautiful stone finish. They are easy to cut with a utility knife and ruler and there's no grouting so there's no mess! And it also made tiling around the corners much easier than having to cut real tile.
After tiling, I installed a mantel that I made with 1"x2"s, 1x"4"s and plywood that I had on hand. It was a bit of a frankenstein but once I installed it and painted it, it gave the desired effect of having a nice thick mantel. I added a mantle. Then the final piece of the puzzle to make this look like a fireplace is an electrical log insert that has surprisingly real looking flame!
*** I only use it as a decor item and NEVER use the heater function as it is not recommended in this type of application *** And voila! My dream of having a fireplace has come true! It has truly changed the entire look of my living room and apartment and since this is essentially like a piece of furniture, I'll be able to take it with me when I move out! This was a really fun project to build and I made this video of the building process showing all the steps in more detail. Hope you enjoyed this project as much as I did!
Cite Source: Isabelle LaRue is part MacGyver, part Martha, and is the creator, host and producer of Engineer Your Space, an award winning DIY home design show inspiring renters to decorate their rental apartments like they own it!
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Your World, Our Island
UOG’s Green Army Protects Our Environment
By Eric M. Palacios
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On March 13, the University of Guam celebrated its 50th Charter Day at its Mangilao campus, and welcomed hundreds of island residents and elementary, middle and high school students. There were dozens of vendors, small-business owners and artisans also in attendance, each offering a diverse menu, specialty dish or craft item for event-goers. The smell of barbecue wafted through the air, as did many other aromatics that invited visitors to find where they were coming from. On one side of the campus were various governmental displays and informational booths, to include the Guam Environmental Protection Agency's Pesticides Enforcement Program. At another part of the campus, superintendent Frank Troy and his crew whipped up a tasty spread of local dishes that filled many a stomach. If this brief scene-setting narrative gave you an idea of the amount of eating, enjoyment and activities that took place, then I hope that you can visualize the amount of trash, food waste and recyclables that was generated throughout the day. Thankfully, the students who make up the university's Green Army were also out in numbers, along with student volunteers, and they gleefully manned the many disposal stations with waste-specific bins for everyone's convenience. It wasn't the first time that the Green Army has hunkered down at an event. In fact, they are a presence at just about every UOG event that I've attended over the last several years. At one particular Green Army station, seniors Maia Reyes and Raylene Manley, and sophomore Adam Francisco, encouraged passersby to try out their game of waste segregation. Former Senator Tony Ada gave it a shot and shoveled and raked his way to a cold bottle of water. “It's wonderful to see our young adults take an active role in protecting our environment,” said Ada, shortly after taking a sip of his liquid reward. “Every effort that our community makes to divert waste from going to the landfill, or recyclable product that gets shipped off-island, is a victory. We only have so much space left in Layon to dispose of the waste that our community generates. For this and other reasons, it is important that we do our part as individual members of this community to reduce, reuse, recycle and repurpose.” 20 CasaGuam
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UOG Green Army members, from left: Maia Reyes, Raylene Manley (secretary) and Adam Francisco man one of the many Green Army stations on March 13, 2018.
In addition to Manley (who serves as one of the club secretaries), Reyes and Francisco, the student organization is comprised of: • Christina Oh, president • Karen Bacalia, vice president • Joseph Casila, treasurer • Giordan Kho, secretary “I am excited about the progress that we are making as a community in terms of increasing our overall recycling rate,” added Lt. Governor Ray Tenorio, a proud UOG alumnus. “And thanks to the fine young adults that I've seen at this and other community events, I am even more excited about the capable hands that will pick up the important task of protecting our paradise for generations to come.” About the Author: Eric M. Palacios is the former administrator of Guam Environmental Protection Agency. He currently serves as Governor Eddie Calvo’s special assistant for Infrastructure, Invasive Species, Environment & Natural Resources.
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Curb Appeal
Statement of Energy Benefits of Solar Control Window Films International Window Film Association (IWFA)
Window Film Not Only Delivers Curb Appeal to Homes But SAVINGS to Households There are three basic energy benefits from the installation of solar control window films on existing windows in buildings. The level of each benefit may vary by climactic zone in the United States, but even at minimal levels, there are significant contributions to total energy conservation and/or demand side energy management.
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The three benefits are: (1) Lowering the Solar Heat Gain Coefficient of the window or door on which the film is installed, (2) Reducing the Summer Peak Demand of the window or door, and (3) Lowering the U-value of the window or door on whivch the film is installed. The first benefit of lowering the Solar Heat Gain Coefficient (SHGC) has the greatest year-round benefit in cooling-dominated climates where air conditioning is used a majority of the calendar year. The SHGC of clear glass is 1.00 and the addition of a medium density window film, can improve the SHGC to 0.45 or better, thus yielding a 55% reduction in the heat gain through
Photo courtesy of East/North Island Tinting
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the glass. Extending this to an entire window of the variety installed over the last two decades (clear single pane window or clear dual pane insulating window), we get an improvement from the non-filmed single pane window's SHGC of 0.88 to that with film installed on the same window of 0.26-0.50 (dependent on type of film selected), yielding a 43%-70% reduction in heat gain through the entire window system. The same improvement for the non-filmed dual pane window's SHGC of 0. 70 with film installed results in a SHGC of 0.36-0.55, yielding a 21 %-49% reduction in heat gain through the entire window system. It is obvious from the examples of the first benefit described above that the use of solar control window films can greatly reduce the maximum demand on the supply of electricity during peak summer periods. Although this benefit is greatest in southern climates, it has now become a national issue. As air conditioning has become more and more prevalent generally and increased in use in more northern climates, reduction and/or control of summer peak demand has become more necessary. Using the same examples above, if there were an area in which the majority of homes have clear single pane windows, and in which only ten percent of the homes were to utilize solar control window films, there would be a reduction of total summer peak demand in that entire area of 4%-7%. Likewise, if the area had clear dual pane windows, the reduction would still be 3%-6%. Whether to utilize this benefit of window film, however, cannot be generalized as
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Curb Appeal the location of a building, the amounts of glass in each compass direction, time of day use patterns, and the relative costs of total heating costs compared to total cooling costs all need to be considered on an individual building basis. Clear single pane glass is a poor insulator, with a U-value of 1.11. Standard solar control films have U-values from 0.90-1.02 yielding insulation improvements of a single pane of glass alone of 8%-19%. Some solar control films are made in winterized versions which have U-values of 0.61-0.70, or improvements in the range of 37%-45%. Because the film contributes to an improvement in U-value of only the single layer of glass on which it is installed, this particular benefit contributes more highly to energy reductions on single pane windows than on dual pane windows. The newest, most energy efficient types of windows have some solar control (lowered SHGC) and extremely good insulation properties (very low U-values), so the addition of solar control films will yield only an SHGC improvement and add little, if any, improvement in U-value. However, there will be little, if any, demand for film to be applied to these recently installed newer type windows. Both trade associations representing the window film industry manufacturers measure and publish their data according to ASTM test methods and ASHRAE fundamentals and last year adopted NFRC (National Fenestration Rating Council) testing procedures for determination of U-value, visible light transmittance, and Solar Heat Gain Coefficient. In July, 2006, the NFRC gave final
approval for the process for window films to become NFRC-certified, so there is third-party validation of window film specifications by the same body which certifies windows and doors and skylights.
Photo courtesy of East/North Island Tinting
Cite Source: Joe Roberto and Tom Roberto of East/North Island Tinting in partnership with International Window Film Association (IWFA). www.islandtintingguam.com • www.iwfa.com Photo courtesy of East/North Island Tinting
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Weather Ready Nation
Tsunamis on Guam: Are We Tsunami Proof or Tsunami Ready? By Marcus Aydle , NWS Meteorologist
My life radically changed 10 years ago when, in pursuit of a career in meteorology, I le my home in North Carolina to move to the Marshall Islands. I grew up near the Atlan c Coast and was used to being near water, but living on an island not much larger than the Guam Interna onal Airport property, and barely 6 feet above water was...unnerving. My rst thought was TSUNAMI! Where would I go? What would I do? How would I escape? Fast-forward a couple years and I am now on Guam with the Na onal Weather Service. I’ve had the opportunity to train and work closely with folks from the Paci c Tsunami Warning Center and the Interna onal Tsunami Informa on Center. I’ve learned a lot about tsunamis: genera on mechanisms, their characteris cs, types of tsunamis and the warning process for the west Paci c. I’ve also learned of a number of local myths about tsunamis on Guam. Most tsunamis are generated by shallow underwater earthquakes. Others are generated by large underwater landslides; and very rarely by volcanoes and meteorites.
Unlike the typical waves you see at the beach that have wavelengths of up to a couple hundred feet crest-to-crest and a period of 8-15 seconds, tsunamis have very long wavelengths of 50 to 250 miles crest-to-crest and periods of 5 to 75 minutes. In other words, if you were watching a tsunami wave approach, you would not be able to see the next wave. Keep in mind, a tsunami event is usually a series of waves; the rst wave may not be the largest. When dealing with tsunamis, we categorize them by their genera on loca on and whether or not they are destruc ve: A Local Tsunami is a tsunami that is generated within 60 miles of a loca on with a wave arrival me less than 30 min. Source: Marianas Trench. A Regional Tsunami is a tsunami that is generated between 61 and 1500 mi from a loca on with a wave arrival me of 31 min to 3 hrs. Sources: E. Philippines, SE Japan A Distant Tsunami (Tele-Tsunami) is a tsunami that is generated more than 1500 miles from a loca on; wave arrival me is 24 CasaGuam April 2018
more than 3 hrs. Sources: E. Japan, Russia, Alaska, S. America. A Destruc ve Tsunami is a tsunami that causes widespread destruc on and is generally comprised of waves 3 feet or more above high de levels. A Non-Destruc ve Tsunami is a tsunami that does not cause major impacts/destruc on and generally has waves less than 3 feet above high de levels. If there is a tsunami threat for Guam, the Paci c Tsunami Warning Center in Pearl Harbor, HI, issues the following tsunami statements: Tsunami Bullen: A statement that indicates an event, usually an earthquake, has occurred, and indicates whether or not a destruc ve tsunami could have been generated. Tsunami Watch: A message issued when a poten ally destruc ve tsunami is within 6 hours of a speci c loca on. Tsunami Advisory: A message issued when a tsunami is within 3 hours of a speci c loca on and is expected to be less than 3 feet. Could cause strong currents. Tsunami Warning: A message issued when a poten ally destruc ve tsunami is within 3 hours of a speci c loca on and is expected to produce waves 3 feet or greater. We’ve been fortunate to not experience a devasta ng tsunami as seen in Japan in 2011, but we are not tsunami proof. You’ve likely heard the myths that the reef protects us, or that the Marianas Trench will “eat the wave.” Even if we don’t see a large, devasta ng wave, a small tsunami can generate strong currents as was the case in Apra Harbor and Pago Bay in March 2011. Remember, Guam is not tsunami proof, but we can be tsunami ready! Visit weather.gov/tsunamisafety for more informa on.
CasaGuam, a dba of Yellow Pages Ink and PTI Paci ca, Inc., is an Ambassador of the Weather-Ready Na on. In partnership with the Na onal Weather Service, CasaGuam will reserve this space to help disseminate important informa on on weather safety and preparedness to our community. Preparedness is key! If your organiza on would like to join the Weather-Ready Na on, contact Marcus at Marcus.Aydle @noaa.gov. Follow the NWS on Facebook at US Na onal Weather Service Guam, or @NWSGuam, and on the web at www.weather.gov/guam. If you would like to sponsor this page, give CasaGuam a call at 4723495 or email Emily at euntalan@yellowpagesink.com or editor@yellowpagesink.com.
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W h o Ya G o n n a C a l l ?
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Profile Continued om page 14 What do you enjoy about being an associate broker, Realtor, and property manager? I relish the challenge of solving property problems for my satisfied tenants, clients, and customers. And I love learning from people who know more than I do. How has becoming a real estate professional helped with your livelihood? I’ve been in property management full-time since I started in real estate professionally. And working in several different sub-sectors of the local leasing market has given me a dynamic view of trends driving local and regional economics. I’ve been selling property on the side for the past seven years, thereby supplementing my income. Now I’m transitioning to full-time sales and it’s truly refreshing! I have an extensive background in media sales, so identifying and fulfilling people’s needs through relationship building is second nature for me. What advice would you give to a new real estate professional, or anyone interested in getting into the field? Like love, real estate is “a many splendored thing.” Consider your personality type and your past experiences. What work or hobbies have you enjoyed most in life? If you savor crunching numbers but prefer staying in the office, maybe you should consider bookkeeping or accounting in a property management office. If you enjoy being on the go, connecting with new people, and providing competent services, consider enrolling in a month-long real estate sales agent’s course and take the exam at UOG. Get your feet wet in sales. Decide what level of risk you can stomach. If you prefer the security of steady income, consider becoming a leasing agent for a corporation or home office with plenty of property holdings. And if you crave the satisfaction of making your own way in the competitive sales market, interview a few principal brokers, ask yourself what you want to accomplish by certain dates and benchmarks, hold a vision in your mind of where you want to be “when,” set goals, and go for it! Because the Realtor-guided sales system is so detail-oriented and accountable, and because it challenges you to discipline yourself through inertia and dry spells, there’s a steep learning curve at play. Identify willing mentors, start with more comfortable territory and expand from there. Maybe begin as a buyer’s agent and work your way up to building a pool of listings from clients whose trust you earn along the way. Or learn the ropes in military housing and make that your daily bread.
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Whatever real estate organization you join, seek out blank spaces and paint your own canvass. Be hungry to learn! There’s a lot of “white space” out there. Get competent and fill it in! You’re a masterpiece in the making! I’d be duly impressed by the first agent to build a profitable, hyper-efficient system for meeting the needs of Guam’s lower-income housing market, especially Section 8 voucher recipients. And always, always remember the Golden Rule! Be as ethical as you know how to be. The Guam Association of Realtors will guide you. A reputation for trustworthiness and fairness is everything in life and in business. And you sleep better at night if you aren’t always looking over your shoulder. What do you like about CasaGuam Magazine? How do you use it? What’s not to love? Every month, you guys bang out some of the most mission-critical information property pros need to know in order to be successful at their crafts—and from a variety of perspectives, including agents, brokers, title and escrow officers, landlords, managers, appraisers, and even journalists. What do you like to do when you are not working, i.e. hobbies, reading, etc.? I’m an inveterate reader and a habitual writer. And I greatly value the interplay of sharing perspectives, advice, and life lessons with talented young people, as well as trusted colleagues in business, politics, and broadcast/multimedia. I’m a natural publicist and still serve in that role for a handful of associates. I want to get back to singing and playing guitar more. Haven’t really done much of that in too many years! Where do you see yourself in 5 or 10 years? Combing the beach, sailing the Seven Seas, adventuringseeking through snow-covered mountains, and traveling the world with my family, because we can! Mr. Marchesseault, we thank you for your years of contribution to our island community!! From radio and television broadcasting to your amazing writing and, even more, your willingness to help families and business owners find property to fit their needs, respectively. We wish you the best in all your aspirations!!
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Closing
Message from the President Christopher Felix 2018 President Guam Association of REALTORS®
Hi Again, Hard to believe it is already April and tax time again. It seems I just got thru paying for 2016 and now 2017 is due! This month Casa’s theme is about Condominiums and how they are now homes for many people and not just investment for people renting them. More and more people are buying condominiums to live in and make them their home or make into an office where they run their businesses out of. Some of the reasons are the security they offer, the extra amenities they offer, the lower prices they have, more modern interiors have as well as the lower cost of repairs and maintenance, and better locations. Some condominium complexes offer security services, guards or gated entrances. This gives the residence more protection for their family and possessions. This can become very important for owners who have to travel a lot and have to leave their families to take care of themselves while they are away. Most large complexes have swimming pools, tennis courts, BBQ areas and extra parking for parties and guests. This can be a lot of fun for families that like the outdoor living and enjoy these amenities but can’t afford to have it in a house. Most condominiums sell for much lower prices per square foot than houses. This is because construction costs for condominium complexes are cheaper per square foot as the units share the same walls, ceilings and floors. Also there are usually more units per acre so there is a lot of savings in land costs per unit. A lot of houses on Guam are well over 20 – 30 years old while condominiums are usually a younger than that and have more modern construction styles such as modern bathrooms or kitchens as well as more modern electrical and plumbing systems. Usually the repairs and maintenance of condominiums are cheaper overall than maintaining a house. The common area expenses such as trash removal, insurance and exterior repairs and maintenance are shared and spread to all the homeowners. Usually this leads to less expensive costs overall. Because condominiums have more units per acre than houses most developers can afford to buy land in better areas closer to the beaches or areas that are in more demand like Tamuning or Tumon. This offers owners better locations and living closer to major shopping area, restaurants and beaches. Of course there are also some negatives to condominium living such as being forced to obey house rules and regulations you may not like or being very close to noisy neighbors or people you may not like. You must look at the good and bad points and decide for yourself if condominium living is right for you. Good Luck! - Chris
GUAM ASSOCIATION OF REALTORS® The Voice for Real Estate on Guam Suite 236A Julale Center 424 West O'Brien Drive, Hagatna, Guam 96910 Office: (671) 477-4271 • Fax: (671) 477-4275 28 CasaGuam
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Message from the Chief Executive Officer and Government Affairs Director Peggy Araullo Llagas Guam Association of REALTORS®
FAIR HOUSING FOR ALL The National Association of REALTORS® and Guam Association of REALTORS® firmly believe in equal opportunity in housing. No person of this country should have the right to rent or purchase shelter of choice abridged because of race, color, religion, sex, handicap, familial status, national origin, sexual orientation, or gender identity. Furthermore, these rights should not be limited because of existing or desired ethnic, racial, or religious proportions in any defined area. 1789: Private Property Rights The Fifth Amendment to the Constitution of the United States protects property rights. Slaves were considered property and had no property rights. Women were not included among those with property rights and military conquest, legislation and court decisions often denied these rights to native Americans of African, Asian, and Latin American decent. 1866: The Civil Rights Act of 1866 Following the Civil War, the Fourteenth Amendment to the Constitution of the United States declares that all persons born in the United States are citizens and the Civil Rights Act of 1866 provides that all citizens have the same rights to real property as do white citizens. Court cases, immigration laws and racially defined zoning denied those rights. 1917: Racial Zoning Outlawed The Supreme Court of the United States voids zoning based on race. Property owners, real estate interests and local governments then employ deed restrictions based on race and religion to support segregated housing and deny housing based on race, national origin and religion. In 1938 the Women’s Council of REALTORS® was formed and in 1947 African American real estate brokers, many of whom were not allowed to be REALTORS®, formed the National Association of Real Estate Brokers with a fair housing mission. 1948: Restrictive Deed Covenants Not Enforceable The Supreme Court of the United States ends court enforcement of deed restrictions based on race, religion and national origin. A growing fair housing movement passes the first fair housing laws in New York City and Colorado in the 1950’s. As the Fair Housing movement grows, the Rev. Dr. Martin Luther King, Jr, joins the Chicago Freedom Movement in 1966 to call for fair housing across the country. 1968: Fair Housing Act The Kerner Commission, studying the civil disorders and causes of riots in US Cities in 1967, wrote that “Our nation is moving toward two societies, one black, one white—separate and unequal.” On April 4, 1968, Dr. Martin Luther King, Jr. was assassinated. President Johnson signed the Fair Housing Act into law on April 11, 1968. The Act states “It is the policy of the United States to provide, within constitutional limitations, for fair housing throughout the United States.” The 1968 Fair Housing Act prohibited discrimination based on race, color, religion and national origin. In 1974, the Fair Housing Act was amended to prohibit discrimination based on sex. 1975: Voluntary Affirmative Marketing Agreement NAR adopts an agreement with HUD to promote fair housing, educate members regarding their rights and obligations under the Fair Housing Act, develop and recommend fair housing procedures for members and participate in community based fair housing activities. In 1985, NAR supported government funding of testing of fair housing complaints and in 1988, supported expanding the Fair Housing Act to prohibit discrimination based on familial status and handicap or disability. In 2016 NAR resolved to seek changes in the Fair Housing Act to prohibit discrimination based on sexual orientation and gender identity. - National Association of REALTORS® -
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