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CONTENTS
Message From GAR
Departments 4
Message from the President
Market Report Market Snapshot
8
Feature
10
Go Solar It’s time to use our Guam
Market Update Market Update
16
Home Finance Home Equity Line of Credit
16
From the Experts The Journey
August 2013 • Vol. 6 • No. 08 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
|Display Advertising| Jennifer Santos
18
How to D.I.Y. Weekend DIY Ideas: 7 Projects That Will Cool Your House This Summer
|Traffic/Circulation Manager| Josie Redmond
|Production Manager| Mark S. Burke
|Graphics & Layout| 20
Curb Appeal
Mark S. Burke Edwin E. Valencia
Garage Doors Know What to Look For
22
One Last Thing Prorations
25
Who Ya Gonna Call?
27
Classifieds
28
Closing Guam Association of REALTORS® Headline
2013 President, Guam Association of REALTORS®
FINANCING MADE THAT MUCH EASIER
heat to our advantage.
12
By Clare Delgado
|Editorial Contributors| Faye Varias Creative Services Marissa Borja W. Nicholas Captain Clare Delgado Rain Embuscado Anthony R. Godwin Peggy Araullo Llagas Sara Pangelinan Arlene Taitague Taitingfong Kim Anderson Young
Owning a home nowadays is much easier than you think. Local banks and lenders offer various loan programs suited to fit your needs, whether it be a no down, low down or low interest loans, they have the right loan just for you. Additionally, local developers are filling the needs of our people by providing affordable housing to those who qualify. What once were home prices considered too high for some residents is now within reach. Recently, the U.S. Department of Agriculture announced that homes in Dededo are now eligible under the Rural Development loan program. This is great news for our residents! This now offers a wider variety and a larger inventory selection for buyers who are looking to purchase homes under the RD loan program. We should be able to see a greater activity of home purchases under RD. Contacting an agent who is a REALTOR® will arm you with the tools to get you started on buying your dream home. Whether it is a VA loan, RD loan or conventional, REALTORS® are equipped with knowledge to supply you with the correct information to get you started and be with you every step of the way. Remember REALTORS® subscribe to a strict Code of Ethics that dictates how we deal professionally with you and all others. With that in mind, you’ll be assured that from start to finish, your interests and your funds will be protected. Ask if your agent is a REALTOR®. GUAM ASSOCIATION OF REALTORS®
Cover Photo by Mark S. Burke
The Voice for Real Estate on Guam
CasaGuam is Published by:
Suite 236A Julale Center 424 West O'Brien Drive, Hagatna, Guam 96910 Office: (671) 477-4271 • Fax: (671) 477-4275
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
Market Snapshot January 1, 2013 to July 21, 2013 Total Listings in MLS* . . . . . . . . . . 1,995 (as of July 21, 2013) Average Home Price . . . . . . . . . . . . . . . . . . . . . . . . . . . $245,828 Single Family Home Days on Market . . . . . . . . . . . . . . . . . 170 Average Condo Price . . . . . . . . . . . . . . . . . . . . . . . . . . $182,013 Condo/Townhome Days on Market. . . . . . . . . . . . . . . . . . . 144 Market Type. . . . . . . . . . . . . . . . . . Buyer’s (& Renter’s) Market
Market/MLS Highlights! There were four homes sold/closed above $400,000 during the June 1, 2013 through July 21, 2013 period with the top sale being a home along Ocean View Drive in Asan that closed for $580,000, or approximately $204.00 per sq foot, after being on the market for 84 days. During the same period a unit at the Agana Bay Condominium along the beach fetched $413,000, or approximately $290.00 per sq foot, after being on the market for 73 days. Forty three (43) homes and condominiums exchanged hands during this period. There have been 582 condominiums/apartment/townhouse units rented and 370 single family homes rented year-to-date through July 21. The village of Tamuning had the highest reported average sold price for single family homes of $525,143 for the same period. The top village for unit sales was Dededo with 57 single family homes sold so far this year.
GUAM REAL ESTATE NEWS! The Big News In The Big Village… Rural Development (RD) backed loans are now available for buyers in the village of Dededo. What does this mean? 100% financing IS BACK for qualified buyers in the village of Dededo. Expect sales volumes and probably average sale prices to increase in this area. Low Interest Rates… Bank interest rates remain very attractive. Time to head to your lender and get pre-qualified/pre-approved for a loan. Know your financing power before you start your hunt for homes. FREE Money to Help With The Down Payment. There is now more $$$ available through the Guam Housing Corporation grants up to $10,000 to help with closing costs for home purchases to qualified buyers. REALTORS Are Creating More Home Owners On Guam! REALTORS have helped over 200 of our island residents purchase a home or condominium property so far this year. Thank you to our REALTORS for making home ownership happen right here on Guam! 4 CasaGuam August 2013
PROPERTY CHOICES! There were over 1,000 homes and condominiums/townhomes on the market for sale as of July 21st in nearly all price ranges, styles and locations. From starter homes to million dollar plus mansions… there’s a home for nearly every budget.
ADVICE TO BUYERS. The signals to buy are everywhere… more choices! Low interest rates! Help with closing costs & down payments. These are the ideal conditions to make a home purchase. Will these conditions last forever? No. Supply and demand affects everything… including the purchase of a home. Interest rates on mortgages in Guam are based on the financial markets in the US. As the US financial markets improve, interest rates will most likely start to rise. As demand for real estate increases sellers are less likely to provide concessions and credits to buyers. As the number of properties available for sale decreases then the usual market response is an increase in prices. Property choices, low interest rates, help with closing costs and down payments… it’s an ideal time to buy!
FINDING PROPERTIES. Perhaps 90% of buyers and tenants start their search on the Internet. Nearly all real estate websites on Guam feature all properties from all real estate companies through the Guam MLS. Websites such as www.guamhome.com even allow you to create favorite folders, save searches and track properties that meet your requirements. When you are ready to make a move, we are here to help. All data in this article is from the *Guam Multiple Listing Service (MLS) for the period stated.
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Market Repor t
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Feature
With what seems like ever increasing power rates, it doesn’t really matter who you are or how much money you earn. The increases are bound to make you think twice about your power consumption. So what’s the solution?
8 CasaGuam August 2013
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Feature
Go Solar It’s time to use our Guam heat to our advantage. By Marissa Borja
Well, for those in the market to go solar, the technology is ready and available in Guam and it’s bounch to catch on soon enough. With it, you can practically get your bill down to zero, it’s pollution free, there are no moving parts—just clean, renewable energy. In one of the past episodes of Pacific Home & Garden, we learned that the technology includes a meter, inverter, and the panels. A glance at the meter revealed it was spinning backwards! This is because the sun is producing more power for the home that it is consuming. This excess power causes it to move counterclockwise. The brain of the operation is the inverter. What happens is the power comes from the roof in a direct current. It enters through what looks like a pipe leading to the inverter. The inverter then reaches out and reads GPA—gets its frequency, voltage and cycles—and whet it matches GPA, it has an automatic switch that kicks in and starts producing the same power as GPA. There are plenty of safety features too to make sure it never feeds back against GPA should it ever go down: it only operates if GPA has an active grid against which it can work. Next, there are panels which are secured to your roof. Anchored into the concrete with stainless steel bolds and high strength hypoxi, the panels themselves can withstand winds over 175 miles per hour so no
need to worry about losing your investment to a typhoon. The bonus with the panels is that because of their size and dimension, they actually provide shade to the rood so it cuts down on heat entering into your home. Anyone who’s ever had to pressure wash—or waterblast—their roofs know how hot it can get up there so this is definitely an added benefit. I know what you’re thinking—cost. Well, all good things come at a price and this is no different. So you will certainly pay a pretty penny. But this is a long term investment that with undoubtedly be worth your money. With the increasing consumer prices you might as well consider investing now so later down the line, you’ll be saving while others are still spending. Plus, the system is guaranteed to produce power at the same rate 25 years from now so rest assure that your investment will not deteriorate. For those who have the financial means to afford it, I say it’s a no brainer. Be grateful for the heat and let that scorching Guam sun pay for your power bill. Since 2007, seasoned television personality Marissa Borja (Pacific Home & Garden and My Home with Marissa Borja) has been working to fill Guam's home and garden niche with stories, products and services that locals will find beneficial and relative to their lifestyle. She enjoys the creative outlet that writing and television offer in order to balance out her busy personal life as a wife and full-time mother of five.
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On The Cover
Best Value on Guam
C
ome experience the warmth and beauty of Guam while you enjoy spacious accommodations, luxurious amenities, and picturesque views. Set inTumon Bay, just minutes from the international airport and the downtown. The Verona Resort and Spa on the laidback westside of the island and provides a perfect retreat for your business, leisure, and family vacation travel.
Just Right
DAILY RATES FROM $95/NIGHT MONTHLY RATES FROM $1,980/MO
V E R O N A R E S O R T
PLEASE CALL 646-8888, OR COME DIRECTLY TO THE HOTEL FOR SHOWING.
10 CasaGuam August 2013
&
S P A
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Market Update
Market Update By W. Nicholas Captain The relatively soft landing that Guam’s real estate market has experienced following a series of recent economic and natural disasters ( Japan’s triple disasters and the derailment of the military Guam build-up) continues through mid-2013 will total annualized sales volume of $266.6 million, reflecting an approximately 15 percent decline from recent years, but down a whopping 61 percent from the recent peak in 2007. The total annualized transaction volume through mid-2013 reflects 1,044 islandwide real estate sales, relatively stable compared to 2012 and 2011. Captain Real Estate reports that the 2013 median price of a single family residence however, declined by 12 percent from 2012, to $190,000, the lowest level since 2007. The 2013 median price of a condominium unit declined by 15 percent from 2012 to $128,000. Although median sale prices declined in 2013, transaction activity has increased with the volume of 2013 single family residential units increasing at an annualized rate of 14 percent, and condominium unit sales increasing by 5 percent compared with 2012. There were 12 real estate transactions that closed at prices above $1 million through mid-2013, including K&D Guam’s 30 acre former federal excess land to L&K Engineering at an indicated price of $10 million, reflecting a healthy $83 per square meter for a massive landholding adjacent to the Ukudu Workforce Housing property. Philippine billionaire Lucio Tan’s hot domestic business, as well as local success has fueled an aggressive Tumon expansion program with three $2 million land deals on top of the $20.5 million Tumon Box acquisition via Ino Corporation’s lenders. During the first half of the year, IP&E Holdings, Sandcastle and Precision Systems were all involved in $1+ million purchases. New benchmark prices were set in Guam’s upscale gated communities including a $746,000 executive home and a $618,000 cliffline house lot at Talo Verde Estates in Tamuning. At Pago Bay Resort, an executive house lot sold at nearly $250,000, well over $250 per square meter.
hold, the population reduction alone would reflect an overall need for 3,000 less housing units. Guam housing experts should study the sad example of American Samoa, where we recently completed multiple property studies for a major lending institution. The locals were upset because they didn’t qualify for the Low Income Housing Tax Credit (LITHC) program, so the US government gave the equivalent in a grant to be distributed on a 10 equity/90 percent grant (free money from Uncle Sam) basis by the Development Bank. The grant program, hailed by many as realizing the dream of affordable housing, devastated the local housing market. Soon after the disaster, Bank of Hawaii announced they were closing operations in American Samoa, shuttering a deep history, including funding and occupying the most opulent commercial building in the American Territory.
HOUSING CRISIS? The danger of a housing market crisis over the next few years is increasing. Captain Real Estate is urging Guam housing market participants and key government officials to rethink current plans and shift directions in order to avoid a government-fueled housing crisis, one that threatens to destroy hard earned homeowner equity that has accrued, in some cases significantly, between 2005 and 2010. The Guam Housing Study that suggested the 3,000 affordable housing units needed, a figure later adopted by GHURA, was conducted when market conditions were vastly different. For example, the previously assumed Guam population was about 170,000. But the US Census figure is 158,000. If the US Census figure is also reasonably accurate of 3.9 individuals per house-
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Housing issues are complex, especially with demand projections, and the need for affordable housing is worth updating the Guam Housing Study based on changes in population estimates, the collapse in economic activity that was generated by the optimism and speculation associated with what was once a $20+ billion military build-up, but is now a consistent $0 in military construction authorized by Congress. Interest rates are going up already. The LIHTC program alone will supply excess supply in low income housing over time. If the local government continues to pursue an irrationally high target based on erroneous data (the housing study didn’t even considering historic residential sales activity), the combination of excess supply and higher interest rates will negatively impact local housing market conditions.
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Home Finance
Headline By Marie Fe Regis-Malaca
A
Home Equity Line of Credit (HELOC) may seem a bit complicated because of the variety of choices available, but it can be a great option for some homeowners. “Home Equity” is the equity or net value of your home. The equity is determined by taking the actual value of the home and subtracting any outstanding mortgage balance.
A Home Equity Line of Credit (HELOC) is a line of credit that has similarities with a credit card. It is an established line of credit available for your use when you need it. While a credit card is often used as a system of payment, a HELOC allows you to use a check for payment to a vendor or individual including yourself. In most cases the HELOC allows for higher line amounts than a credit card since it is secured by a mortgage on your property. Also, interest rates are often much lower for a HELOC than conventional unsecured credit cards. In most cases these lines offer flexible rate options and possible tax-deductible interest (please consult a tax advisor). What are the benefits of having a HELOC? • Convenience: You have a line of credit available to use any time during the draw term. Draw terms may vary from one financial institution to another. • Low variable interest rate: Along with a low variable interest rate there may also be an attractive introductory rate, or the option of fixing your rate whenever you want. • Interest paid on a HELOC may be tax deductible: Please consult a tax advisor regarding tax benefits. A HELOC can be used for a variety of needs. Some use the line of credit to renovate their homes, purchase investment properties, consolidate debt, or pay for college expenses. It offers you the flexibility to do what you want, when you want. What to look out for? As with other lines of credit, there are fees associated with Home Equity Lines of Credit. Similar to a mortgage, home equity lines may require an appraisal report to get the current appraised value. Appraisal reports can vary in scope and usually depend on the dollar amount and conditions set forth by the lending institution. In addition, as home equity lines use the property as collateral, government recording fees are also assessed, along with title insurance. Financial institutions may require you to have home and typhoon insurance. Banks may also assess certain fees such as documentation fees or annual fees. Feel free to shop around and ask about the various fees assessed on a HELOC. Some may wonder, why not just opt for a conventional cash-out refinance mortgage? Conventional mortgages are great, but these types of loans have fixed terms and a one-time draw that you take at time of closing. Should you have a need to borrow again, you would need to repeat the same mortgage loan process. We welcome you to stop by any one of our Bank of Hawaii branches to learn more about a Home Equity Line of Credit or call 479-3822 for more information. CasaGuam.com 15
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From the Experts
The Journey By Sarah Pangelinan his article is geared towards First-Time Homeowners to give you a basic idea as to what to expect when you decide to go thru the Journey of achieving the "Guamanian Homeownership Dream". And for others who already own their home, hopefully it will bring back fond memories of your Journey which I am sure included a lot of mixed emotions.
T
were working with and provide them with a completed application and all applicable documents needed to process your loan. You will be receiving several disclosures after you submit your application. Do not hesitate to contact your Loan Officer if you have any questions. Processing time various with each Lender, however, providing all document the Lender had requested, will avoid any additional delays.
Listed below are basic steps that you may encounter when trying to secure your Dream Home.
Fourth Step: You have been informed by your Loan Officer that your loan has been approved, Escrow has been notified that the loan is ready to close - What next?
First step: What do you qualify for? What is your monthly payments? Can I afford a mortgage payment? Does the Lender require a down payment? Questions, questions, and a lot more questions. It is in your best interest before looking at any property to visit any of the financial institutions on Guam to verify what you may qualify for and what available mortgage program will best suit you and yours family's needs. Be prepared, bring your most recent paystubs or other supporting income documents and have a breakdown of your monthly obligations and balances too. Don't forget to check with your Lender if there are any down payment or closing cost assistance program available out there that may assist you in purchasing your home. Second step: You have selected a Realtor (and this is an IMPORTANT step in the right direction) to assist you with the purchasing of your first home. Your Realtor will walk you through many residences on Guam that fits your criteria and will hopefully help you discover your dream home. Once you have selected the perfect home, your Realtor will represent you in the negotiations and preparation of the Sales Contract. Your Realtor will walk you through several pages of terms and conditions and will be more than happy to "hold your hand" during this process. Take your time, read everything, and ask questions. Your Realtor is there to make the process as easy as possible. Once the Seller and you (the Buyer) have signed off on the Sales Contract based on terms and conditions acceptable to all; guess what, you have completed a big step in your Journey of securing your first home. Your Realtor will provide your sales contract to the Escrow Company (that you have selected) to close your transaction. The Escrow Company will begin the process of researching the property at Department of Land Management and Real Property Tax Division and will prepare a Commitment to Insure (title report) for your review. Third Step: Secure financing - head right back to the Lender that you 16 CasaGuam August 2013
The Escrow Officer will prepare numerous documents that they will go over with you. Take your time, read, ask questions, and understand what you are signing. After you have signed off on all the escrow documents (affidavits, sale escrow instruction, deed, settlement statement, etc) in addition, to your Lender's loan documents (note, mortgage, truth-inlending disclosures, etc.), your Escrow Officer will send the appropriate documents down to Department of Land Management to record and make it publically known that you are the owner of the property and file your mortgage against the property. Congratulations, you just lost the title of being a "first time homeowner". One thing more, Pacific American Title will always encourage, that you purchase an Owner’s Title Insurance Policy. The premium is a one-time payment that will give you peace of mind that your investment is protected! This Journey will fill you with different emotions - anxieties, excitement, and even frustration - it is all normal. Everyone's Journey in acquiring the Guamanian Homeownership Dream will be different, trust and work with your Realtor, your Lender, and the Escrow Company you have chosen to ensure that you achieve your dream. We are all here to help you. Pacific American Title looks forward in being a part of your Journey in achieving the Guamanian Homeownership Dream.
For more information on Escrow Services, please feel free to call me or one of The Closing Professionals at Pacific American Title at (671) 648-7232 or email us at spangelinan@pamericantitle.com or patico@pamericantitle.com.
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H o w t o D . I . Y.
Weekend DIY Ideas: 7 Projects That Will Cool Your House This Summer By Rain Embuscado Summer is the perfect opportunity for some of our favorite activities: enjoying the outdoors, relaxing by the beach and wearing flip-flops. To ensure that this hot season is as pleasant as possible, take some time this weekend to do these easy DIYs which will help cool your house down. From installing shades that block out a lot of the sun's heat to cleaning out your air conditioner, these tips are sure to help. Caulk Your Windows Drafts are every homeowner's greatest enemy, regardless of the season. In the summer, cracks invite heat indoors and let the cold air from our A/C's out. To resolve this issue, you'll first need to check where they're coming from. You can do this by guiding a candle around the perimeter of the window frame. Then, remove any old caulking in order to make room for the installation of new waterproof filler. Clean Your A/C's Air Filter Avoid spending an exorbitant amount of money repairing or purchasing a new air conditioner by addressing a simple issue: cleaning out your air filter. This little trick, which only costs $5 or less, ensures that your A/C unit continues to run smoothly throughout the summer. If you don't know how to clean your air conditioner's filter, head over to DIY Network's easy tutorial. Install A Ceiling Fan A ceiling fan does wonders for circulation and regulating temperature levels. Though this is typically a project best left for electricians, it's not impossible to work on it yourself. But before you start this project, be sure to turn off all of the electricity in the room and put on some rubber gloves just for good measure. To learn how to pull this DIY project off, swing on over to This Old House for easy, step-by-step instructions for non-experts. Install Blinds A simple shade can block out a great deal of the sun's heat from entering your home. To install an indoor blinds, you'll first need to measure the width of your window so you can buy the appropriate mount. Then, drill the brackets into the wall using a level to ensure that both ends are even. Finally, place the head rail into the brackets and allow the blinds to drop completely to determine if you need to remove excess slats from the bottom. Plant Shade Trees Around the House If you're a homeowner who plans on settling into your house for the long haul, you might want to consider planting shade trees around the house. But while it's ideal to have their canopy of branches handy during the summer season, we know that trees don't grow overnight. Luckily, This Old House has a round up of trees that grow exceptionally fast (though are apparently weaker than their slow-maturing counterparts.) So if you've got a few years to spare, go on and check them out. Change Your Beddings This may seem like a minor detail, but the difference you'll feel will after swapping out your sheets will make you thankful you did. Heavier sheets and fabrics insulate heat, which makes it hard for us to sleep without feeling major
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discomfort. Natural fibers like Egyptian cotton, conversely, allow for better circulation. Seal Up Air Conditioner Ducts If you've used your air conditioner for a couple of years, chances are that you've got some loose ducts -- which make the process of cooling your home much longer. And according to eHow, unaddressed loose ducts can be the cause of up to 20 percent of an air conditioner's inefficiency. So thoroughly inspect them, and if you've discovered that they are in fact loose, check out eHow's tutorial to amend the problem. www.huffingtonpost.com
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Curb Appeal
Garage Doors Know what to look for
By Arlene Taitague Taitingfong
N
ot all garage doors are made equal! And garage doors are a big investment. They add style to your home and curb appeal. If you plan to upgrade your home with a new garage door, or if you plan to purchase a home with a garage, note that the style, color and condition of the door has a big impact on your home’s overall appearance. Also think about what other uses you will be using the garage for aside from parking your car. Will you also use the garage as a workshop, utility room or play area? Below is a list of things you will need to consider or look for when shopping for garage doors or looking at new houses with garages which I pulled off of Lowe’s website.
• Short-raised panels also lend depth to the door. They are excellent additions to Victorian-style homes with intricately detailed trim, the symmetrical facades of colonial-style homes or the strong architectural lines of a Tudor home.
1.Garage Door Size. Garage doors are available to fit virtually any opening. Take measurements and see what can be customized for you. You may have a garage that can accommodate only one door. Or maybe two. Accuracy counts and if you are unsure of the size you need, have a professional assist you. 2.Garage Door Styles. Since garage doors make up a large portion of your home's exterior, the style you choose should complement the rest of your home's exterior. Windows and window panels are one way to add style and your own personal touch to a garage door. Double-paned windows allow natural light in but keep extreme seasonal temperatures out.
• Painted panels add more pizzazz to plain, raised panels when the sloped portion of the panel is painted in a contrasting color.
Another way is panel design. There are four main panel designs to choose from: • Flush panels are flat, slightly textured panels that can be used to complement the surrounding wall area without drawing too much attention to the door itself.
• Long-raised panels give depth and distinction to the door, while adding to the home's overall appearance. 20 CasaGuam August 2013
3. Garage Door Construction Most garage doors are either wood or steel. Wood garage doors offer a wide variety of options. You can find anything from standard, raised-panel designs to doors that mimic the ornate styles commonly used on the carriage houses of the 18th and 19th centuries. Wood doors are also available in several species, either paint or stain grade. But since we live on Guam, maybe wood may not be a good choice unless its been treated. Steel garage doors are usually more economical than wood doors and are the most common type of garage door. Most
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Curb Appeal manufacturers offer several colors out of the box. You can also paint the door to match your home. There are three distinct types of steel doors to choose from:
look to have energy efficiency, the garage door is sometimes missed. Here are some tips for choosing the right garage door for “additional living area” purposes.
1. Single-Layer Garage Doors Single-layer doors are stamped from a single sheet of galvanized steel. These are usually the most economical of all steel doors.
• Good insulating qualities. Look for a door with an R-value of at least 3 in moderate to temperate climates. In harsher climates, go up to an R-value of 10.
2. Double-Layer Garage Doors Double-layer steel doors have a galvanized steel skin on the outside with a thick layer of either polystyrene or polyurethane as a backer. The backer provides soundproofing and additional insulating value to the door.
• Weather seals between the sections. The seal may be designed into the mating surfaces of the panels, or it may be in the form of gasket material that compresses when the door is closed. • A bottom seal / threshold. If the door doesn't come with a bottom seal standard, you can always add one to keep drafts and rain out. Guam has a few companies listed in the Guam Phone Book. Check under “garage doors” and give those companies a call. I’m sure they will be able to customize a quality product for you and your home.
3. Triple-Layer Garage Doors Triple-layer doors are constructed of the same materials as double-layer doors with the addition of a galvanized skin on the inside to protect the polystyrene / polyurethane from damage. The additional layer of steel makes triple-layer doors the strongest, most secure and most soundproof of all garage doors. These are also available with thicker insulation for greater R-value (a measure of thermal resistance). 4. U.S. Standard vs. Non-U.S. Standard. In a recent discussion with a colleague, I found out that many of the homes may not have garages that are U.S. standard. Some new homeowners are finding out that after 6 – 8 months, the mechanical mechanisms are showing signs of rust and operation of the garage doors are faltering. It would be best to look at U.S. Standard materials. It may cost a little more, but the quality and durability are worth the price. 5.Garage Function: Workshop or Living Areas More and more homeowners are using their garages as extensions of their living space: as children's play areas, workshops, hobby areas, laundry rooms and more. As the activity in the garage increases, so does the need to maintain a constant, comfortable temperature in this space. Of all the areas in our homes that we CasaGuam.com 21
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One Last Thing
Prorations By Kim Anderson Young rorating means to divide, distribute or assess a cost proportionately between the buyer and seller. Just about every real estate transaction will include settlement items that are subject to proration.
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The most commonly prorated item is real property taxes. On Guam, property taxes are assessed in arrears, so our 2013 property taxes will be coming due and payable next February (first installment) and April (second installment). If you purchase a house on December 15th, 2013, the seller will give you a credit for the property taxes from January 1, 2013 through December 15, 2013, so that when the tax bill arrives, you will have the funds to pay it. If you are purchasing a condominium or planned unit development that has a homeowners association, common area fees is another item that will need to be prorated. Homeowners association (HOA) fees can be quite complex to prorate as they might include a number of prorations within prorations – for example, the HOA may pay water charges for the entire project and invoice the unit owners a month later; they may have elected to paint the building or upgrade the pool or generator to be paid by special assessment to each of the unit owners.
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Rents are another commonly prorated item. If you are purchasing a property that currently has a tenant paying rent, you are entitled to the rent paid during the time that you own the property. Say you close on December 15th, but the tenant paid the rent on the first of the month to the seller. Your settlement statement will show 16 days (December 16 – 31) of rent as an expense to the seller and as a credit to the buyer. The security deposit will likewise be shown as an expense to the seller and a credit to the buyer, but it is not a prorated item because when the tenant moves out, the buyer will be responsible for returning the entire security deposit to the tenant. Large commercial transactions have their own sets of prorated items such as insurance policies, utilities, maintenance contracts, and earned event deposits (such as a deposit for a wedding handled by a hotel). Accounting for the real estate transaction is a major function of the escrow company, and the professional escrow officers at Security Title can explain options available to ensure your transaction accounting is fair and accurate! 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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W h o Ya G o n n a C a l l ?
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Classifieds Commercial Rentals Dededo 106 East Sta. Barbara, Dededo 4bed/1 ba corner house, fenced, and gated. Centrally located close to church, school and malls. Asking $1,200/mo. Call MYRNA @ 4880144
Harmon Ct. Townhome. 3BD/2BA. Sec. 8 OK. $1,200/month. Call 637-7165/ 689-3333/688-0887.
Residential Sales
Tamuning
Barrigada
Talofofo
Large 4BR/2Ba 1800sqft. House Only 248,000 637-7165 / 688-0887 / 689-3333
Exec.2 Storey/Very Spacious For Sale by Owner. Growing in a great location beside Cost-U-Less Tamuning and Guam Premium Outlet. Great lifestyle and community environment with 5 bd/3ba corner lot; nice sized bd on 1st and 2nd flr; master suite w/ jacuzzi spa tub; quality granite staircases; red hardwood railings; crown molding all over the house with open spacious kitchen. Dream home and a good investment! Call/LvMsg 727-6456
Ipan Talofofo. Just footsteps away from Pacific Ocean beach, gigantic 3BD/2BA home awaits you. Family room with more than 400sf. $2200/month. Call 687-6900.
Ordot-Chalan Pago Tamuning Commercial space for rent. Approx 850 sq ft., video store or retail business. Asking $850/mo. Please call ANGIE @ 727-2228
Residential Rentals Asan Nimitz Hill. 2BD apartment including ocean view. $950/mo. Modern upgraded, all ceramic tiled, typhoon shutters. Available approximately 6/19/13. Call 687-6900.
Barrigada 2b/1b, near Subway with water $830/mo. Please call 637-7165 / 688-0887 / 689-3333
Dededo 1Bd / 2BD /3Bd located near schools/church/store and just front of park across St. Barbara Church S/F S8/Mil OK Call/LvMsg 727-6456 Ester Garden: Large 2BD/2BA. Very nice. 1,000 SqFt, $800/month. Call 637-7165/688-0887/689-7700.
Dai Ichi Condo. 3BD/1BA, Pool, Sec 8 OK, by O/A. $1,250. Call 637-7165/688-0887 Sunrise D Condo. Large 2BD/2BA. Pool. Very nice. 1,000 SqFt. $1,000/month. Call 637-7165/688-0887/689-7700. Tumon 2bd /1 ba, view, near beach, ex. condition, fully furnished. $1350. Call 637-7165/688-0887/689-7700/689-3333. San Vitores Terrace Condo: 3bd/2ba, 3rd floor unit with oceanview, upgraded unit with new carpets, pool, security and basic cable TV. $1800. Call Coral Sea Realty 649-6088 San Vitores Terrace Condo-2bd/1ba, 3bd/2ba – walking distance to beach, rest/bars, church. Asking $950 $1800/mo. CSR- PB 649-6088
Tumon Tumon Horizon Condo: 2bd/2ba, 5th floor, water incl., pool, security $950.00 CSR- PB 649-6088
Yigo Paradise Estates. 4BD/3BA, Exc. Condition, Fenced. $2,450. Call 637-7165 689-3333/688-0887.
Harmon 3BD/2.5BA Townhouse. Pool. Security. Tennis Court. $1,900/month. Call 637-7165/688-0887/689-7700 Large 4BD/2.5BA. Single home. Pool. Security. Tennis Court. $2,450/month. Call 637-7165/688-0887/689-7700.
Single Home. Excellent Condition. 3BD/2BA. Large yard. Good Location. $1,400/month or for sale $200K. Call 637-7165/688-0887/689-7700. Executive 2-story house with a great view, fully fenced and a quiet area. 5bd/3ba w/ 2 huge balconies. SS appliances, wash/dry, 2-car garage. Huge storage shed, a must see, Military OK! $3500/mo. Call Joe @ 483-3333!
Dededo Multi-Family House/Good Investment located front of Dededo Mayor's Office/Park & Library Great Neighborhood / Gated/ Corner Lot/Serious Buyers Only! FOR SALE BY OWNER. Call/LvMsg 727-6456 Villa Rosario Condo: 3bd 2ba Excellent Condition, Pool, Tennis Court, Play Ground. Good Location $160,000.00 Call 637-7165/688-0887 Las Palmas Ph3. 3rd Floor. Large 3BD/2.5BA/2Den. Pool. Excellent Condition. $255,000. Call 637-7165 689-3333/688-0887. Pacific Gardens. 1st Floor. Pool. Security. 1BD/1BA. $47,000. Call 637-7165 689-7700/688-0887/689-3333.
Jonestown. 3bd/2ba. Large Yard. Fenced. $320,000 or $1,350 for rent. Call 637-7165/689-7700/689-3333 Tumon Heights. 4BD/2BA. Oceanview, Corner Unit, Large Living Room, Patio, 100% Back up Generator/Water, Exc. Condition. Only $355,000 Call 637-7165/688-0887
Tumon Tumon View Condo. 2bd 1ba. Near beach. $110,000. Call 637-7165/688-0887/689-3333 Lily Village Tumon Condo. Nice. 3BDM 2BA Fully Renovated. $2,000/mo.
Yigo
For Sale By Owner Summer Palace Estates Located close to Cost-U-Less in Harmon 4Bd/2.5Ba 2100 Sq. Ft. Home located in a secured gated community with swimming pool, tennis court, and playground. New granite countertop and tile floor throughout with typhoon shutters. $440,000.00 Please call 777-0951
Executive 2-story house with a great view, fully fenced and a quiet area. 5bd/3ba w/ 2 huge balconies. SS appliances, wash/dry, 2-car garage. Huge storage shed, a must see! $425K Sale. Call Joe @ 483-3333!
Ordot-Chalan Pago
Chalan Pago
Chalan Pago 2bed1bath SFD for sale. 1169sq.m lot Asking $119k. Call Karen 988-1883
1,387 SqMtrs, Good Location, 5 min. drive from Agana. Only $46,000. Serious Inquiries. Call 637-7165/688-0887
Sinajana
Chalan Pago LAND FOR SALE Wow! What a view you have to take a look at this large lot. Come see and fall in love! Only $210K. Call Century 21 Commonwealth Realty @ 649-2121.
Large, villa style home. 5bd/3ba. Completely remodeled. Private and beautifully landscaped. Asking: $579K. (Priced below appraised value.) Call 489-3285. Large 4BR/3Ba 2755sqft w/1600sqft covered deck/porch. Detached util & gen. room. Walled/Gated & beautifully landscaped. $592K. Call Michael@ 487-4111
Land for Sale
Dededo Dededo Lot with a fabulous view overlooking the city. Great potential for future development. $400K. Call HANA @ 777-3660
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Closing
Message from the Executive Officer AIDS Disclosure and Other Stigmas – Part 2 Editor’s Note: Due to an editorial error, last month’s article repeated the same information as “Part 1” of this article that was published in our June issue. We apologize for the error and are publishing the correct information in this month’s message. - CG
lthough federal law provide guidelines for handling AIDS disclosures, there are still grey areas surrounding disclosures of other stigmas. When a property defect is physical, disclosure is mandatory in most states. When the defect is an emotional stigma, however, disclosure becomes dependent on materiality. The following guidelines are designed to help a listing agent, when faced with information regarding a potential stigma, determine whether or not a stigma is material to a particular real estate transaction.
A
STEP #1 Determine whether the information is fact or fiction. Investigate the sources of the information, e.g., check newspaper accounts, talk to neighbors, etc. Separate rumor from reality. If the stigma is based on rumor and not on fact, you are under no obligation to disclose. If, on the other hand, the stigma turns out to be factual, e.g. there was in fact a murder, you should proceed to the next step.
If, at this point in the analysis, the answer is yes to either question, you have concluded that the stigma is a material fact which should be disclosed. STEP #4 Discuss disclosure with the sellers. Go back and talk to the sellers about what you have determined. Walk them through your analysis and show them why this particular factor may make a difference in the sale of their property. If the sellers agree to disclose the stigma, make the disclosure judiciously. It is not necessary to disclose information about a stigma to those who simply express interest in the property. The best time to disclose is at the contract proposal stage. Present the subject as one more relevant piece of information about the property and use simple non-threatening language. If the sellers disagree and refuse to disclose what you have determined to be a material factor regarding the property, you will need to give up the listing. Because the sellers are your clients, you cannot disclose information that they have specified should remain confidential without violating one of the duties inherent in your agency relationship with them. However, you may also be in violation of the basic duty to disclose material factors that affect the value or desirability of the property. The best way to handle this dilemma is to give up the listing.
STEP #2 Check state laws. Many states have enacted laws that generally apply to AIDS, homicides, or suicides, and provide that the stigma is not a material CONCLUSION factor which needs to be disclosed. Remember, property stigmas are emotional issues that need to be If a state does not have a specific law governing disclosure of stigmas, handled carefully. To reduce the legal risks in this area, it is essential that there may be other laws, such as privacy laws, that influence or affect real estate agents: disclosure decisions. State statutes vary widely, however, so it is essential (1) understand the issues associated with stigmatized property, that an agent be familiar with the laws of his state. (2) know pertinent federal and state laws, and If there is a law governing disclosure, it will probably state that you (3) know how to evaluate facts and make informed decisions about have no duty to disclose. Because there is no disclosure obligation, disclosure. investigation into the issue ends here. If there is no law governing disclosure, proceed to Step #3. -National Association of REALTORSSTEP #3 The Guam Association of REALTORS® shall remain your leading Determine materiality. To analyze the materiality of a stigma, you should ask yourself this advocate for promoting and protecting homeownership on Guam. Ask question: would knowing about the stigma affect the willingness of most if your agent is a REALTOR®. Visit our websites at www.guamrealtors.com and people to buy the property or reduce the amount of money they would www.guamhousingprograms.com. pay for the property? Most stigmatized property cases involve stigmas that are less For More Information Contact: sensational than say a multiple-murder. Less sensational stigmas may or Peggy Araullo Llagas, Executive Officer may not impact on the market value of the property. However, it is your Guam Association of REALTORS® job to make an analysis of what a reasonable person would do with this Suite 236A Julale Center information. Would a reasonable person be willing to buy the property 424 West O'Brien Drive, Hagatna, Guam 96910 Tel: (671) 477-4271 • Fax: (671) 477-4275 knowing about the stigma? Or, would a reasonable person pay less for Mobile: (671) 689-4271 • www.guamrealtors.com the property knowing about the stigma? 28 CasaGuam August 2013
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We speak Russian, Farsi, Chinese, Korean, Japanese, Filipino, and Chamorro facebook.com/Century21CommonwealthRealty
RENTALS Bonita Villa, MongMong-Toto-Maite - 2Br/2.5Ba - $1,200 - #13-2188 Beverly Palms Condo, Tamuning - 3Br/2Ba - $1,500 - #13-2197 Las Palmas Ph I, Dededo - 3Br/2.5Ba - $1,950 - #13-2200
Dededo $200K 3Br/2.5Ba #13-2201
Tumon $359K 3Br/2Ba #13-2466
Ordot-Chln Pago $90K 2Br/2Ba #13-2600
Tamuning $658K 5Br/4Ba #13-1166
Yigo $375K 3Br/2.5Ba #13-2388
Mangilao $335K 4Br/4Ba #13-2473
Dededo $178K 3Br/2Ba #13-2502
Ordot-Chln Pago $250K 5Br/2Ba #13-2505
Yona $160K 5Br/2Ba #13-2524
Mangilao $240K 4Br/2Ba #13-2550
Mangilao $360K 3Br/2.5Ba #13-2576
Dededo $160K 2Br/1Ba #13-2595
Yigo $230K 4Br/3Ba #12-1355
Dededo $385K 4Br/3Ba #13-2683
Mangilao $234,900 4Br/3.5Ba #13-2668
Mangilao $39K 2Br/1Ba #13-882
Mangilao $395K 4Br/3Ba #13-1156
Ordot-Chln Pago $699K 5Br/4.5Ba #13-1770
Tamuning $323K 4Br/2.5Ba #13-627
Mangilao $73K 2Br/1.5Ba #12-3915
Mangilao $89K 2Br/1Ba #12-3209
Tamuning $158K 1Br/1Ba #12-3890
Yigo $195K 3Br/2Ba #12-3202
Dededo $240K 3Br/2Ba #13-440
Barrigada $750K Commercial - #13-2353
Ordot-Chl Pago Multi-Family #13-2506
Holiday Tower Condo, Sinajana - 3Br/3Ba - $2,450 - #13-2287 Holiday Tower Condo, Sinajana - 3Br/3Ba - $2,200 - #13-2288
Lagoon Condo, Tamuning - 2Br/2Ba - $3,800 - #13-2382 Tumon View Condo Ph I, Tumon - 2Br/1Ba - $900 - #13-2384 Blue Pacific Lattice, Tumon - 3Br/2Ba - $2,200 - #13-2462 Pia Marine Condo, Tamuning - 2Br/2Ba - $1,500 - #13-2556 Perez Acres, Yigo - 4Br/2Ba - $2,350 - #13-2592 Yona Home - 3Br/3Ba - $2,500 - #13-2358 Santa Rita Home - 3Br/2Ba - $2,000 - #13-2379 Yigo Home - 3Br/2.5Ba - $2,450 - #13-2389 Ordot-Chln Pago Home - 3Br/2.5Ba - $2,200 - #13-2516 MongMong-Toto-Maite Condo - 3Br/2.5Ba - $2,205 - #13-2635
Homes & Condos
Tamuning Condo - 3Br/2Ba - $1,200 - #13-2369
Pomika Apts, Tamuning - 2Br/2Ba - $1,000 - #13-2638 Dededo Home - 4Br/2Ba - $2,200 - #12-4292 MongMong-Toto-Maite Condo - 3Br/1Ba - $950 - #13-1363 Perez Acres, Yigo - 3Br/2Ba - $2,400 - #13-1989 Yigo Home - 3Br/1Ba - $1,275 - #13-1734 Scharf St., Piti - 2Br/2Ba - $750 - #13-563 Perez Acres, Yigo - 3Br/2Ba - $1,700 - #12-2847 San Roque St., Dededo - 3Br/2Ba - $1,700 - #13-2110 Jonestown, Tamuning - 3Br/2.5Ba - $2,800 - #13-626 Ordot-Chln Pago Commercial Space - 1,100SqFt - $1,200 - #13-2672
LAND 2 Asan Lots - 7,984sm - $650,000 - #09-1983 Talofofo Lot - 929sm - $53,700 - #13-1803 Talofofo Lot - 990sm - $59,900 - #13-358
Commercial & Multi-Family
Talofofo Lot - 991sm - $59,900 - #13-359 Yigo Lot - 1,853sm - $65,000 - #10-1038 Inarajan Lot - 5,130sm - $125,000 - #11-3108 Rt. 4, Yona - 2,992sm - $314,160 - #13-1908 Rt. 3, Dededo - 10,2012sm - $1,020,100 - #13-917
Yigo $172K Multi-Family #13-1491
Tamuning $650K Commercial #13-1488
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