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CONTENTS
Let ter from the Editor
Departments 4
Letter from the Editor
Market Report The 2014 Guam Residential Rental Market Activity
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10
Feature Simple Steps to Home Ownership For the 1st Time Homebuyer
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Real Estate Spotlight 2014 Real Property Taxes
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Profile Masoud Teimoury Home Inspector Has Ocular Point of View
April 2015 • Vol. 8 • No. 4 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 ] Arlene Taitague Taitingfong
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From the Experts Land Surveys Provide Important Information for Home Buyers and Sellers
[ Display Advertising ] Evelyn Trinidad
[ Traffic/Circulation Manager ] Carol Aperocho
[ Production Manager ] 18
How to D.I.Y. Pre-Qualifying vs. Pre-Approval. Know the Difference.
Mark S. Burke
[ Graphics & Layout ] Mark S. Burke Edwin E. Valencia
[ Website Development ] 22
Curb Appeal General Home Inspection Checklist
25
Who Ya Gonna Call?
26
Classifieds
28
Closing Guam Association of REALTORS®
Mark S. Burke Edwin E. Valencia
[ Editorial Contributors Dennis Balagtas Sandy Gould-Yow Siska Hutapea Mary Joy Sotic Arlene Taitague Taitingfong Kim Anderson Young Cover Photo: Mark S. Burke
Arlene Taitague Taitingfong
Spring is here! I’ve always equated Springtime to new beginnings, which is why our April issue focuses on first time homebuyers. Ah, the excitement of finally getting your first new home! It can bring feelings of exhilaration and excitement, while at the same time, bring feelings of anxiousness and hesitation. Relax. This issue will cover information on what programs are available for first time homebuyers to information on property taxes. This month’s Feature has Sandy Gould-Yow guiding you step-by-step on what a homebuyer needs to do on their journey to home ownership. Her article will help you understand the process of home buying. Not sure what the difference is between being pre-qualified and being pre-approved for a loan? Check out DIY and know it before you start your house hunting adventure. Our Profile this month is Masoud Teimoury, P.E. and Principal of Masoud & Company. Read how he looks at real estate as a home inspector and learn how you can look at property as he does. Dennis Balagtas and Mary Joy Sotic share how important it is to buyers and seller to have land surveyed. It can help you on your path to buying a home in From The Experts. Siska Hutapea gives us the Market Report for residential rental activity in 2014. Kim Young covers the latest in property taxes and payment schedules in Real Estate Spotlight. Peggy Llagas address ways to successfully manage independent contractor relationships and Ryan J. De Guzman shares how service from a GAR Realtor® puts you in reliable hands. We also like to hear about what you think of our magazine or if there are suggestions for topics. You can write to us at editor@yellowpagesink.com. Next month, we will look at “What’s New!” in home trends. Until then, keep safe and happy!
CasaGuam is Published by:
Arlene Taitague Taitingfong
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
The 2014 Guam Residential Rental Market Activity nvestors’ interest in Guam real estate has been up and down in recent decades. Rental market is a sizeable market in Guam. Census 2010 reflects that 49.7 percent of occupied housing units in Guam are renter occupied. Most recently, off island investors are coming back to Guam. Interestingly, the motivation is based mostly on capital preservation. As with other type of investments, keeping close attention to cash flow will assist an investor in keeping up with capital preservation. Nothing can drain capital more than a non-performing real estate investment as physical, functional and market deteriorations can quickly happen. Residential rental markets in Guam are characterized by three submarkets: the subsidized Section 8, the subsidized military, and the local tenants. Each submarket has set market rates, unique design/amenities preference and location preference. An owner would be wise to make the decision on which submarket to cater because of these differences. There really is no in-between market. Due to competition in the market, regular upgrades to the residential units are important. Units that are not upgraded will sit in the market for a while. An empty unit is not only not producing income, but it will also increase expenses. It is wise to invest and upgrade to avoid vacancy loss. However, the level of upgrade will be determined by the submarket to choose. Over spending in upgrades are not going to guaranty return if the location is not desirable for a certain submarket.
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There are a few things a landlord can do to ensure good cash flow. As noted, upgrades are important. Paying attention to expenses is another important aspect of owning rental property. For example, including utility charges in the rent is not a very wise decision. If you must do so, putting a cap is advised. Reviewing insurance premiums regularly is also advised. A summary of the single family dwelling and condominium/townhouse /apartment rental activity in 2014 is included on following tables. Note that large apartment owners do not typically list their units on MLS and are not included in these statistics. As shown on the table, the top five municipalities for Single Family Dwelling unsurprisingly, are Dededo, Yigo, Tamuning, Barrigada and Mangilao. Note that the average monthly rent ranges from $1,200 to $2,734. Tamuning has the highest average monthly rent, followed by Piti, Asan, Tumon and Santa Rita. These municipalities, in addition to Yigo, are popular for military subsidized rental.
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Market Repor t
2014 Average Monthly Rent
Information compiled from records of the Guam Multiple Listing Service (MLS). CasaGuam.com 5
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Feature
Simple Steps To Home Ownership For the 1st Time Homebuyer By Sandy Gould–Yow
ost people have no idea how to start the process of searching for and buying a home, so don't feel like you're the last person to know what to do. The key is to take your time and ask questions (lots of them), and know that there are many others in the same position. You hear people talking all the time about their experience in purchasing a home, or the great interest rate they locked into, or about the appraisal, the home inspector, the surveyor, the loan officer, or the real estate agent. The conversation can sound as if another language is being spoken. Even though it may sound Greek to you, you will soon learn the jargon of real estate. Let me guide you step-by-step through the process.
FIND OUT WHAT YOU QUALIFY FOR Go to the mortgage department of a few banks to find out what you qualify for. This amount could be slightly different from bank to bank, and doesn't cost you anything. Many people make the mistake of shopping for a house first, then find out that they don't qualify for what they want, or are qualified for much more than they thought. Find out now so that there are no surprises later.
SHOP FOR A LENDER Ask several financial institutions about their various loan programs. Lenders typically have several. Take notes, and again, ask questions. Mortgage loans are often paid back over 15 or 30-year periods, and the interest you pay on the 15 year loan will be less than the 30 year loan. Put this into real numbers. For example: If you're 40 years old now, the loan will be paid off when your 55 using the 15 year loan. With the 30-year loan, you'll pay it off at 70 years old. Many people still select the 30-year loan because the monthly payments are smaller. Ask yourself if you will own the house till it is paid off. The average homeowner holds onto a home for 5-7 years, yet on Guam, this is likely longer since many live in family compounds, or choose to pass the real estate on to their children.
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Banks on Guam often will loan 80% of the appraised value of a home. If the home appraises at $200,000, the bank will loan you $160,000, and you will have to come up with $40,000 cash. That's a lot of money, and that doesn't include other fees which you will have to pay (we'll get to that later).
FIRST TIME HOME BUYER PACKAGES The bank may also have special programs for first time buyers that offer a better “loan-to-value” ratio. This means if the house appraises for $200,000, rather than borrowing 80% and coming up with a 20% cash down payment, you may be able to finance a larger portion of the $200,000, therefore coming up with less cash down. There are programs which offer 90% and even 95% financing. Talk to the banks about these different programs. There are even government programs that can offer as much as 100% financing, or assistance with the down payment or closing costs.
CLOSING COSTS These fees differ from bank to bank and they can be substantial. They include items such as your application fee, appraisal fee, prepaid interest, document preparation fees, and an assortment of other fees. In most cases, these have to be paid up front, but for veterans applying for a VA loan, these fees may be added to the loan under certain circumstances. Only certain banks offer VA loans. Whether VA or not, the banks can give you a break down of what costs you can anticipate.
THE SEARCH BEGINS For many people, the actual job of house hunting is dreadful. For others, it is pleasant, and even an enjoyable task. You can ease this
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Feature process by spending some time selecting a real estate agent who is a REALTOR®, who you feel comfortable with. A good REALTOR® will spend time getting to know exactly what you are looking for. They may ask questions like where do you work? What are your passions like working on cars, kayaking, gardening, etc? Do you like yard work? Do you cook? Do you need lots of storage? Do you want a carport or garage? Do you want split unit or central air conditioning? Do you prefer city or country, one story or two, fenced, pitched roof, sub-division or village living, etc, etc, etc. All these types of questions will be helpful in locating you a home, so think through what is important to you. While looking, remember that finding a house that has all your requirements is not likely. It would be a good idea to identify those features which you won't sacrifice, and then compromise on the others. For instance, if you want a garage, you may settle for a carport knowing that you can later enclose it.
PURCHASE OFFER/CONTRACT Once you locate a home that you want to buy, you will need to make the seller a written offer. This document states the price you are offering to pay for the house, and the conditions. For example, if you offer $200,000, the offer is subject to you getting a loan, inspection of the house, and having the property surveyed. Customarily, there is a deposit made with this offer called an earnest money deposit. This is to demonstrate your level of interest and sincerity. Typically, this amount is part of the purchase price. You may also want the seller to get the land surveyed, along with few items that need to be fixed or taken care of with the home, or you may not want the seller to do anything at all. This is where you look to your REALTOR® for guidance.
This purchase document is your offer, but once the seller signs it, it becomes your contract with the seller. This contract is the basis of all that matters. It is yours and the seller’s contract on the home.
ESCROW PERIOD In your contract, there is an agreed upon time line for you to get your loan and finalize your purchase of the home. This is commonly a 30 to 90 days time period. This is the time you have to apply to your bank, submit their required documentation, have the house appraised, and meet all other bank requirements. Also during this time, your REALTOR® will open an escrow account for you and the seller at a title company. You will also deposit the earnest money into this account. The funds will be held at the title company until your time to complete the entire purchase.
TITLE COMPANY The contract and deposit amount are put into an account by a title company. This title company will research the property to see if there are any liens, judgements, or other encumbrances on the property. This report should indicate what the legal description is, who the current property owners are, what property taxes are due or unpaid, and other information. Again, have your REALTOR® look this over to see if there is anything unusual that may need addressing. It is important for you and the bank that the title be clear of any claims of interest or other encumbrances.
ALONG THE WAY While the bank and the title company do their work, you and the seller are doing work as well. Your contract may have called for inspections, surveys, pest reports, or repairs. During this escrow period, you and the seller may be busy tending to these other contractual obligations. When each of these hurdles have been cleared, it is important that both parties sign off that the work was completed. Each of the stated contractual provisions is a condition of your contract and should be methodically addressed.
ALMOST “HOME”! Once the bank is done and ready to close and you and the seller have completed the items as per the contract - and all has been accepted by each party - you are ready to close. Your bank and title company will work with you to schedule a time to sign all your paper work...and there is a lot of paper work to sign! You'll probably need about 2-3 hours to execute all of the bank and title company documents. While signing, if you have questions, ask them. Once all documents have been signed, the title company will record your new ownership of the home with the Department of Land Management. Typically, this is when the keys are released to you and you are given access to your new home. Each buyer and seller, each home, each contract and circumstances are different. The information provided is a general overview of what can or is likely to take place.
About the Author Sandy Gould-Yow is the Principal Broker for Today’s Realty. She has over 25 years of experience in real estate. For any questions, you are welcome to contact her at 687-6006 or sandy.yow@guamhome.com.
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On The Cover
Agana Heights: Executive Home
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XECUTIVE HOME: 2 story, 5-bedroom/3-bathroom home located in the village of Agana Heights. The house is approximately 2,700sqft in living area with a two car garage, covered porch and a covered patio with an outdoor kitchen sink for hosting parties. The second floor has a huge open terrace above the garage, which is accessible through three of the bedrooms. The terrace is a great place to enjoy the early morning breeze and the beautiful valley and sunset views toward the end of the day. The exterior has stone trimming around the front of the house and slate flooring at the entrance of the front porch. The property has a perimeter fence with a remote entry gate. The interior of the house has large porcelain floor tiles throughout, custom kitchen cabinets with granite counter top, beautiful plumbing and electrical fixtures throughout, solid wood interior doors with matching color door jambs, tempered glass windows and much more. The house is located within minutes from the Agana Shopping Center, Naval hospital, schools, community center, mom & pop stores, gas stations and other conveniences.
EXECUTIVE HOME: $675K Spacious 2 Story home 5-Br/ 3-Ba in Agana Heights.
MLS 15-436
Call for a Showing 10 CasaGuam April 2015
More great listings at www.GUAMLISTINGS.COM
Call Kishin 777-3728 or 482-6252
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Real Estate Spotlight
2014 Real Property Taxes By Kim Anderson Young here are big changes happening this year with Guam’s real property taxes! During 2014, the entire island was appraised based on property values in 2013. The new appraised values have been entered into the databases at the Department of Revenue and Taxation, but bugs are still being worked out. In past years property taxes were due February 20 for the first installment and April 20 for the second installment.
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Now, due to the immensely time consuming job of re-evaluating property, inputting the data and getting the information distributed to the public, we are a little behind on the 2014 Tax Assessment due dates (as amended) for the tax year 2014 which are as follows: • January 23, 2015 - Last date to file an application for property tax exemption or tax credits • February 2, 2015 - 2014 Preliminary Roll distribution to each Mayor’s Office • February 16 to March 16, 2015 - Filing period for Tax Appeals for 2014 • March 31, 2015 - Last date to certify the 2014 Assessment Roll • April 20, 2015 - 1st installment payment due date for 2014 (or if electing to pay in full) • May 20, 2015 - 2nd installment payment due date for 2014 (balance due) • June 8, 2015 - Publication of the 2014 Delinquent List Due to the enormous nature of re-evaluation, there are bound to be issues on some properties. When your tax notice arrives, check it closely, not only the appraised value, but also for accuracy in lot numbers, ownership names, and mailing addresses. The contact information for the people who can help address any issues are: • Appraisal branch: 671.635.1895 john.terlaje@revtax.guam.gov • Assessment branch: 671.635.1763 katrina.hodges@revtax.guam.gov 12 CasaGuam April 2015
• Administrator: 671.635.1897 benedict.atoigue@revtax.guam.gov Our property taxes pay for our roads, our schools and our public safety. While we can see progress being made, it is important that funds are available to continue to improve and maintain our precious island home. Our friends at Rev & Tax are working hard to implement the new assessment, so please be kind to them! 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
Home Inspector Has Ocular Point of View
By Arlene Taitague Taitingfong
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“Things are often not what they appear to be. - Anonymous ”. That’s kind of what a home inspector deals with when having to do a home inspection. Masoud Teimoury performs home and commercial inspections for clients, from buyers to financial institutions. Being a home inspector is one of the many hats (and skills) that Teimoury possesses. It requires a keen eye and helps if you have some background in building design, building construction, building code, environmental issues and then some. Teimoury arrived on Guam in 1990 and started his business, Masoud & Company, in 1994. It was when he bought his first home in 1992, that he realized that although the construction was new, the home still had many issues that needed to be addressed. Even after the tasks were completed before the final closing of the transaction, he found other issues with the home later. “Sometimes you cannot see the deficiencies until after you have moved in,” expressed Teimoury. He knew then that a home inspector was something that was needed on Guam, and at the time, there were not many qualified to assess homes in this fashion. “The nature of an initial home inspection is ocular,” says Teimoury, explaining that performing a home inspection is not just ticking off boxes on a checklist. It requires a more in-depth look at the home and the site as each property is unique. Aside from the obvious outside visuals such as yard, landscaping, sidewalks, swimming pools, driveways, retaining walls, and the like, a good home inspection involves other features of the property such as proper elevations providing appropriate drainage away from the house; is there evidence of standing water; When looking at the house itself, items related to the structural system, means of building access (entrances and exits), electrical, plumbing, air conditioning, safety, and roof are inspected. He added, “It usually takes about two to three hours (depending on the size of the property) to inspect a home. It is an involved process.” If you are planning to go house hunting, Teimoury advises that you should start looking at the property outside and work your way in to the home. “You need to look at the site (yard) from a civil engineering point of view.” Here are a few important pointers of an inspection next time you view a home. Check the building elevation with respect to the access road. Check for cross-site drainage. Most importantly hire a competent home inspector. “You really get your money’s worth when it comes to hiring an inspector. They point out issues that can be addressed, before you purchase your home.” One might wonder what it takes to become a home inspector. You will need a few skills under your belt. Having many years of 14 CasaGuam April 2015
Masoud Teimoury OWNER MASOUD & COMPANY
experience is a plus, according to Teimoury. “Because every situation is different and it is sometimes difficult to determine causes of apparent deficiencies while performing an ocular inspection, you need to have depth in your experience and skills.” He added that knowledge of Guam’s adopted building codes, local soil conditions, along with having a great design experience, knowledge of Guam’s zoning laws, and Guam construction practices are quite important. Teimoury keeps busy with his business. Home inspection is only one of the services his company offers. Additionally, Masoud & Company offers services such as environmental mitigation, construction, planning, and more. When he does have spare time, which is rare, he likes to spend it with his family.
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From the Experts
Land Surveys Provide Important Information for Home Buyers and Sellers By Dennis Balagtas and Mary Joy Sotic land survey is a key component when buying or selling property. It provides necessary information such as the true size of your lot, structures on the lot and your boundaries. It discloses any land survey problems such as encroachments and setback issues. Most lending institutions require a land survey on the lot before a loan is issued. In fact, most banks will refuse to issue a loan if there are land survey problems on a lot. For real estate investors and families looking to divide their properties for their children, the land survey provides information that can help them proceed with their project or help them decide if a property is viable for their needs. A land survey is critical to making sure you know as much as possible towards your purchase of a property. Just as a home inspector inspects the house, a land surveyor inspects the land when performing a land survey. A land survey is essentially a technical report on the land. To make the best use and gain the most information out of your land survey, these action items are highly recommended:
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1. Hire a professional land surveyor. For people looking to subdivide property or looking to construct houses, or make improvements to the land, consider talking to the professional land surveyor before the purchase of a property. This can help avoid numerous issues such as properties that are unable to be subdivided, properties with no access, or properties where too many houses have been built. Make sure the surveyor is licensed. A non-licensed surveyor can create more problems for your property and solving these problems could take years to resolve. 2. Require a survey sketch be performed on the property. The sketch should show the setbacks of the property, buildings, fences, walls, and other items that might activate setback issues and encroachments into the property by others. 3. Examine what property corners were found. Make note of which corners were found and used to establish the boundary of the property. Take pictures of the property corners themselves to help you remember where they are located. Place fence posts right next to the property corner to help you find them again. 4. Make sure that the survey has been updated or done within the last year. Make sure the survey is recent and shows the current state of the property. 16 CasaGuam April 2015
A land survey should show, at a minimum, existing structures, boundaries, measurements of setbacks, lot size, and found corners. See example:
A land survey can help answer your questions on what you want to do with your property. Will building an extension on the property create a setback issue? Does the property have enough area to support being divided into two? How large of a property is needed in order to give the children their own house? Where exactly do I build my fence? These and other questions can be answered by the land survey. Your land survey is a key part of ownership of your property and this information can help protect your property and avoid issues with your neighbors or others. For any land transaction, you should arm yourself with as much information as you can get so you will know what you are buying or selling. The land survey is your tool to obtain this information. Make sure you contact a licensed land surveyor to perform your land survey. A list of the professional land surveyors can be obtained from the Board of Professional Engineers, Architects, and Land Surveyors at www.guam-peals.org. About the Author Dennis Balagtas, P.L.S. #75 has over 20 years of experience as a land surveyor and is Vice-President of Prudencio R. Balagtas & Associates, Inc. which has been in business since 1987. Mary Joy Sotic has a dual BS/BA degree in Electrical/Electronic Engineering and an MBA. Dennis Balagtas and Mary Joy Sotic are co-founders of Guam Surveyor, LLC.
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H o w To D . I . Y.
Pre-Qualifying vs. Pre-Approval. Know the Difference.
By Arlene Taitague Taitingfong
re you ready to get a home of your own? This is one of life’s most expensive purchases anyone will make in their lifetime. The first step is realizing there is a difference between what you would like to get and what you can afford to get. Although this is not our usual DIY subject, it does fall under the category of how YOU can initiate the home ownership process on your own.
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Before searching for your home, you need to do a few things beforehand to ensure that the journey to home ownership is a smooth path. Without preparation, you may get the mistaken notion that if a lender pre-qualifies you for a mortgage amount, it means that you have been pre-approved for a home loan. This is NOT the case and there is a big difference between these two terms. Here is how they differ. Pre-qualification refers to how much home you can get based on your income. It is the initial step in the mortgage process. Basically, the lender will look at your financial picture using your income, debt and asset information. Loan pre-qualification does NOT include an analysis of your credit report or an in-depth look at your ability to purchase a home. This step, however, allows you to discuss with your lender, mortgage options. They, in turn, will be able to recommend the type of mortgage best suited for you. The second step is to see how much loan you can get pre-approved for. This involves the lender getting your credit score, plus doing an extensive check on your financial background. Not only will the lender be able to identify the specific mortgage amount for you, you will get a better idea on the interest rate you will be charged on your loan. In some cases, you might even be able to lock in at a specific rate. You will also receive a conditional commitment in writing for the exact loan amount. This will enable you to look for a home at or below the price level. In turn, you will have the advantage when dealing with a potential seller. Completing both steps before you start house hunting removes the guess work of how much you can afford and eliminates looking at properties that are beyond your means. This might even mean being able to move quicker on that perfect place. It also lets the seller know that your offer is serious, especially in a competitive market. The final step in the home loan process is called a loan commitment. This is issued by the lender when it has approved you AND the house in question. It is a lending institution's promise to enter into a loan agreement with a specific entity within a certain period of time. 18 CasaGuam April 2015
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Curb Appeal
General Home Inspection Checklist
By Arlene Taitingfong
Although the list above may seem simple, the home inspection itself can take several hours. A good home inspector will take each of the elements above, and delve deeper into detail to create a thorough home inspection report. After completion, the buyer should review the report and ask questions if there is something that they might not understand. The report can be used as a tool to negotiate with the seller either the price of the home, or the handling and completion of certain issues before continuing on to the next phase of the home buying process. If you require a home inspection, please contact a home inspector who is qualified and experienced. Please note that no house is perfect — not even the new ones!
ne of the provisions you may see on a contract between the homebuyer and the seller is having a home inspection performed. The home inspection report shows data about the structure and the property. Below is a general list of what a home inspector will look for when doing an inspection.
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• Exterior evaluation including grading, storm drainage and disposal, soil erosion, and slope stability • Structural assessment to include any deficiencies related to beams, columns and bearing walls • Plumbing includes water and sewer systems to include the pressure and flow of water and determination of any potential leaks • Air conditioning and appliances and their proper operation • Systems, controls, and components including timers, energy saving panels, fire and carbon monoxide detection devices, and overall electrical panel • Electrical and emergency power generation includes the testing of wiring, condition of the generator, switch gears, lighting, and power receptacles • Building and site safety to include means of access/exit • Garage and related components including roll up doors and related controls • Environmental assessment includes testing for lead-based paint, asbestos containing materials, and Radon gas that are provided upon request only. 22 CasaGuam April 2015
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W h o Ya G o n n a C a l l ?
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Classifieds Commercial Rentals
MongMong-Toto-Maite
Yigo
Ordot-Chalan Pago
Dededo
Economical studio unit. Completely
Single Home. Excellent Condition. 3BD/2BA. Large yard. Good location. $1,400/month or for sale $200K. Call 637-7165/688-0887/689-7700.
Chalan Pago 2bed 1bath SFD for sale. 1169sq.m lot Asking $119K. Call Karen 988-1883
renovated. All ceramic tiles, new cabinets, 106 East Sta. Barbara, Dededo 4bed/1 ba
new split A/C, typhoon shutters & double
corner house, fenced, and gated. Centrally
paned windows. Call Deanna @ 688-2855.
located close to church, school & malls. $1,200/mnth. Call MYRNA @ 488-0144
Piti
Ordot-Chalan Pago
MILITARY APPROVED! 1 & 3 BR Close to Port, Naval Station, Polaris, Park and Beach. Ocean Breeze Apts. Max two tenants. $650 unfurnished. (Price does not include utilities) (Right across the beach!) Call 649-8265 or 727-8265
Commercial space for rent. Approx 850 sq ft., video store or retail business. Asking $850/mo. Please call ANGIE @ 727-2228
Talofofo 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!
Residential Sales Barrigada
Two homes for sale! House 1: Full concrete, 2 bed, 1 bath House 2: Semi-concrete, 2 bed, 1 bath Asking $94K for both. Call owner at 727-4985 Two 2BD hse. 1 Full Concrete & 1 semi concrete in one lot. $96K. Negotiable. Call 727-4985.
Residential Rentals Talofofo Agat
Large 4BR/2Ba 1800sqft. House Only 248,000 637-7165 / 688-0887 / 689-3333
Ipan home less than one mile away from 1 & 3 BR in Agat. Ocean View! Renovated. Near Base, Stores, and Schools. Call 649-8265 or 727-8265
Asan
the beach and golf courses. 2 story, for more information.
Tamuning
Nimitz Hill, 2BD apartment including Sunrise D Condo. Large 2BD/2BA. Pool. ocean view. $950/mo. Modern upgraded, all ceramic tiled, typhoon shutters. Call 687-6900
Multi-Family House/Good Investment located front of Dededo Mayor’s Office/Park & Library Greath Neighborhood / Gated/ Corner Lot/Serious Buyers Only! FOR SALE BY OWNER. Call/LvMsg 727-6456
Very nice. 1,000 SqFt. $1,000/month. Call 637-7165/688-0887/689-7700. NEWLY BUILT TAMUNING VILLA HOME
Barrigada 3BD/2BA, 2 carport, fully fenced, basic 2b/1b, near Subway with water $830/mo. Please call 637-7165 / 688-0887 / 689-3333
Dededo
4BD/3BA plus studio. Call 707-6923/4
appliances included (split AC, ref, stove, washer, dryer, heater, drain disposal) $2,500/mo. Call 727-7670 or 988-7671
Harmon
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
San Vitores Terrace Condo-2bd/1ba, 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. Harmon Ct. Townhouse. 3BD/2BA. Sec. 8 OK. $1,200/month. Call 637-7165 689-3333/688-0887
3bd/2ba - walking distance to beach, rest/bars, church. Asking $950 -
Pacific Gardens. 1st Floor. Pool. Security. 1BD/1BA. $47,000. Call 637-7165 689-7700/688-0887/689-3333.
Tamuning Exec. 2 Story/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 5bd/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 For Sale $195K Fee Simple. 3BD/2BA Tamuning Condominium Low Common Area Fee @ $50/month. Call Jo 488-4563.
Tumon Tumon View Condo. 2bd 1ba. Near beach. $110,000. Call 637-7165/688-0887/689-333 Lily Village Tumon Condo. Nice. 3BDM 2BA Fully Renovated. $2,000/mo.
$1800/mo. CSR- PB 649-6088
Tumon Blue Pacific Lattice Condo. 2bd/1ba. Backup generator, securted entry, pool, mailbox, room A/C units, stove/oven, refrigerator. Call Deanna @ 688-2855.
For Sale By Owner Summer Palace Estates Located close to Cost-U-Less in Harmon 4Bd/2.5Ba 2100 Sq. Ft. Secured gated community/swimming pool, tennis court, & playground. New granite countertop and tile floor throughout / typhoon shutters. $440,000.00 Please call 777-0951
Land for Sale Yigo 5,545 SQ/MTR Off Rt 1, past Hillside Markiet. Water/power on site, paved access. $300K-negotiable Call 988-7671 or 727-7670
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Closing
Message from the President Ryan DeGuzman 2015 President
Message from the Executive Officer and Government Affairs Director Peggy Araullo Llagas Guam Association of REALTORS®
Guam Association of REALTORS®
Service Sets Us Apart About 92% of all buyers start looking for a home online, according to a survey conducted by the National Association of Realtors®. Did you know there is a right approach and a wrong approach to the process? Please allow me to explain. Let’s start with the wrong one, or a.k.a. “the Shotgun Approach”, which many first time home buyers mistakenly do: • Shop indiscriminately online (There is no established budget) • Play “Ring-around-the-Realtor®” (There is no relationship or connection established with one agent; probably does not realize that agents and Realtors® have access to the same inventory on the Multiple Listing Service) Here’s a better way to get started with a “Strategic Approach”: • First, contact a real estate licensee. You can discuss your situation in depth with them. Realtors® offer consultation and professional advice without any strings attached. • Next, meet with local mortgage lenders to get “Pre-Qualified” or “Pre Approved” for a loan program. They will help you determine an amount that is practical and realistic for you. Service is what sets Realtors® apart from other real estate agents who are not members of the National Association of Realtors® or the Guam Association of Realtors®. Here’s why: • Realtors® love what they do and are passionate about it. • Realtors® provide valuable, accurate, current and cutting edge information to give clients clarity in making the best possible decision. • Realtors® constantly are communicating with their clients, giving them updates so they are not wondering what’s going on. • Realtors® provide support and many years of experience so the client can rest assured, knowing everything will work out for the better. Ask someone you trust to refer you to a Realtor® who can help. About 87% of all buyers get referred (NAR Survey). Do it right and you won’t go wrong. Buying a home may be the biggest investment you’ll ever make. Service is a key element to your success. Don’t you want to feel fantastic before, during, and after the process? Buying a home for the first time? Make your move today. The Guam Association of Realtors® has over 400 members who can sincerely, successfully - and less stressfully - serve you. Let’s get started! “The journey of a thousand miles begins with one step” – Lao Tzu. Ryan J. De Guzman GAR President "Love, care and serve!"
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 April 2015
Ten Ways to Successfully Manage Your Independent Contractor Relationships The relationship between brokers and real estate salespeople is unique. This fact has been widely codified in applicable federal and state laws, including many state unemployment insurance and worker’s compensation statutes. Under federal law, the Internal Revenue Code specifically carves out real estate salespeople from the definition of employee, provided the IRS’ three-factor test is met. Brokers should be aware that compliance with the IRS three-factor test does not necessarily exempt real estate salespeople from a state’s definition of employee. Approaches to this issue vary greatly by state, and emerging case law is continuing to shape the liabilities brokers may face when classifying their sales agents. In states where a specific test for properly classifying real estate salespeople as independent contractors has been adopted in a particular statute, brokers should ensure compliance with the applicable test. If no specific test has been adopted, brokers should at a minimum keep in mind the ten tips outlined below.
Ten Tips for Managing Independent Contractor Relationships with Your Sales Agents 1. Have written independent contractor agreements with your real estate sales people. 2. Don’t ever refer to real estate salespeople as employees of the broker in any broker written materials or otherwise. 3. Avoid paying for any job-related training or continuing education. 4. Pay your real estate salespeople on a commission-only basis; avoid paying them at regular fixed intervals. 5. Don’t require your real estate salespeople to report to the broker’s office on certain days or at certain times in order to perform general office adminis trative duties, such as answering phones. 6. Allow your real estate salespeople to work where, when and how they deem best. 7. Maintain control of broker-employed administrative support. Avoid allowing your real estate salespeople to exercise any authority over the hiring, firing or supervising of such staff. 8. Make attendance at monthly staff or training meetings voluntary. 9. Allow real estate salespeople to choose and purchase equipment, as necessary, to perform their jobs, such as computers or iPads. 10. Issue your real estate salespeople 1099s, rather than W-2s. Do not withhold any federal or state income taxes (including estimated taxes), social security, Medicare or any other applicable federal or state taxes.
-National Association of REALTORS®The Guam Association of REALTORS® shall remain your leading advocate for promoting and protecting homeownership on Guam. Ask if your agent is a REALTOR®. Visit our website at www.guamrealtors.com.
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