CT Real Estate Today - December 2022 Edition

By Bob DeCosmo

Advocate For Property Owner Rights

As 2022 draws to a close we can look back at what transpired this year for housing. We saw both home values and apartment rents reach all-time highs. We saw the Legislature mandate that cities with a population of over 25,000 create Fair Rent Commissions. We also saw most cities and towns preform their required property revaluations.

While tenant advocates are begging for rent control, property owners have no such relief to contain their escalating operating expenses. Recently Eversource Energy announced a huge increase in its rate for its customers, increased property tax bills are forthcoming and insurance costs are also skyrocketing.

Property values for multi-family dwelling increased in the city of New Britain by 81% and the irony is the valuation was done when the market was at its highest. Recently it was revealed that the average mortgage amount was $340,000 in February but has fallen to $305,000 by September meaning property owners will be taxed at a value that is inflated and no longer accurate.

While utility and insurance cost increases leave property owners little room for relief in 2023, property tax assessments can be appealed. Each city has an annual window to file an appeal, usually the window is between February 1 and February 20th to allow its property owners to appeal their assessment to the Board of Tax Appeals.

Owners need to look carefully at the property card listed on their city Assessors website to make sure they are not being taxed on items like an extra bathroom, or a detached garage that may have been demolished previously. Because these are statistical revaluations the condition of the property comes into play. So, if your property is only in “Fair Condition” and needs work, that may be the basis of getting your assessment lowered.

CTPOA will be hosting both in-person events in January as well as a statewide webinar to educate owners on the tax appeals process. Rental property owners only make about $9.00 per $100.00 in rent as profit so every penny that is saved counts.

To all, I wish you a very happy and safe Holiday Season and I’m looking forward to the New Year

State Legislature Extends Gas Tax Suspension

From cbia.com

Connecticut lawmakers Nov. 28 extended the suspension of the state’s 25 cents per gallon gas tax after the legislature was called into special session by Gov. Ned Lamont.

Originally scheduled to expire Nov. 30, 2022, the state’s tax on retail gasoline sales was suspended in April as gas prices hit record highs amid soaring inflation.

Lawmakers extended the suspension until Dec. 31, with the tax then reinstated in five cent monthly increments until it hits 25 cents a gallon on May 1, 2023.

The Senate unanimously approved the

bill 33-0 after the House passed it on a 134-7 vote.

The suspension of the full 25 cents-per -gallon tax costs the state an estimated $30 million monthly.

Like the measure approved in March, the legislation does not impact taxes on propane, natural gas, or diesel sales.

Retail prices for regular gasoline were around $4.30 per gallon April 1 when the suspension began, hitting a high of $4.98 a gallon in mid-June.

AAA reported an average price of $3.65 per gallon in Connecticut Nov. 28, 10 cents higher than the national average.

Free Bus Service, Home Heating Assistance

With the state’s free bus service program also set expire Nov. 30, lawmakers extended that program deep into next year with a $10.8 million allocation to the Department of Transportation.

This increases the current allocation from $8.1 million to $18.9 million.

The legislature also allocated $30 million to the Department of Social Services for the Home Heating Energy Assistance Supplemental Reserve.

The Connecticut Energy Assistance Program, the beneficiary of these funds, provides home heating assistance between $250 to $600 depending on income level, household size, and whether there is a vulnerable

member in the household.

The benefits are usually paid directly to the utility company or fuel supplier.

Pandemic Pay Program

The budget implementer bill from last session included an ambitious state program to provide up to $1,000 each to essential workers who worked during the height of the pandemic.

While $30 million was originally allocated to the program, more than 150,000 applications were approved.

Legislators approved an additional $45 million in funding for the program and changed eligibility requirements.

Eligible essential workers making $50,000 or less annually will receive $1,000 payments, with payments proportionally reduced for higher income earners.

How Will Rising Interest Rates Impact the Housing Market in

2023?

By: Stephanie Weaver, from fox10phoenix.com

During the height of the COVID 19 pandemic, the Federal Reserve kept interest rates historically low, and this meant a home buyer could borrow money at an incredibly low rate.

Now, experts say the housing market looks completely different compared to the last two years of extraordinary performance, causing house hunters to grapple with suddenly high rates, rising home prices and a tight supply of properties on the market.

"It has completely changed," Lawrence Yun, chief economist at the National Association of Realtors (NAR), told FOX Television Stations. "The mortgage rates have more than doubled and it’s limiting the homebuyers’ ability to take out a mortgage."

The feds recently announced another aggressive rate hike the third consecutive increase of three-quarters of a percentage point and the sixth rate hike this year alone.

It’s a streak that has made mortgages and other consumer loans increasingly expensive and heightened the risk of a recession.

"Interest rates have increased at the fastest rate in four decades and they are at 20 year highs. As a result, the interest rate sensitive sectors of the economy such as housing, autos, appliances, furniture, etc. have materially declined," Sam Khater, vice president and chief economist of Freddie Mac's Economic and Housing Research Division, told FOX.

The average rate on a 30-year fixed mortgage which was just 3.14% a year ago surpassed 7% late last month, mortgage buyer Freddie Mac reported, the first time in two decades.

According to new data released Friday by the NAR, the monthly mortgage payment on a typical existing single-family home with a 20% down payment was $1,840 up 50% year over year.

And, consequently, the mortgage rate, which is the lifeblood of most home purchases, has quickly reduced the pull of eligible buyers.

"It’s certainly having its impact on the housing market, there’s no question about that," Jon Grauman, a founder and agent at the Grauman Rosenfeld Group in Beverly Hills, California told FOX.

Grauman and other experts note the rise in rates has also reduced the number of home sales on the market.

According to the NAR, sales of previously occupied U.S. homes fell in September for the eighth month in a row, matching the pre pandemic sales pace from 10 years ago.

But even though the number of sales has decreased as mortgage rates have

surged, experts say home prices are still rising or holding steady in many parts of the United States.

"A lot of people think interest rates are going up so housing prices are going to fall off a cliff. That’s actually not what’s happening," Grauman explained.

The difference this time around, Grauman notes, is a supply and demand issue.

Sellers are less motivated to sell in an economy with higher interest rates, so with so few properties on the market, experts say this is helping push home prices higher, even in a slowing market.

"Even though there are less transactions happening, we haven’t really seen much of a dip in home values, and frankly, I don’t anticipate that we are going to," Grauman continued.

But as the market transitions, most experts agree that the strength of the housing market in 2023 will depend on next year’s mortgage rates.

If mortgage rates begin to decline next year, Yun believes we will see an increase in homebuyers who want to get back into the market. But, if mortgage rates continue to remain elevated, this

will lead to more sluggish market conditions and slowing sales.

Khater’s sentiment is similar noting if the economy falters in 2023 due to the higher rate environment, this will weaken the housing market even more.

"Changes in interest rates have long and variable lagged impacts on the housing market. The housing market has still not felt the full impact of the most recent increases in rates during the last couple of months, so I expect home sales and home prices to remain weak throughout 2023," Khater continued.

One thing that may not change much in 2023 is the U.S.‘s rising home prices due to the economy’s limited supply of inventory. New data shows single family existing home sales prices grew in nearly every measured metro area 181 of 185 in the

third quarter of 2022, the NAR revealed Friday. The national median single family existing home price climbed 8.6% from a year ago to $398,500.

"Right now, I think the market is still trying to find its footing - it’s literally shifting beneath our feet," Grauman said, adding, "What people have been waiting on is this, sort of, wave of new inventory to help balance the market, and I hate to be the bearer of bad news, it’s not coming."

CTPOA would like to thank this years Holiday Party Sponsors for making the event possible!

Cesar L. Sousa, Real Estate Attorney

Attorney Sousa has been practicing law with FM&S since 2004. He graduated from The University of Connecticut with a B.A. in Economics and a B.S. in Education. Attorney Sousa then continued his studies attending law school at Roger Williams University in Bristol. He focuses his practices in personal injury, real estate law, workers' compensation, and criminal matters. Phone: (203) 583 8299 Website: Click here!

Dawn Cabral, Broker/Owner, GRI, SRES

Dawn Cabral became a licensed Realtor in 1998 after having a successful career in outside national sales. She obtained her Brokers license and opened West View Properties LLC in 2003. Dawn grew the agency to the leading Real Estate Agency in Watertown and surrounding areas in a short time.If you are looking for a Realtor with great negotiating skills and knowledge of the local market, please contact Dawn. She and her team can assist you in your next real estate transaction. You won’t be disappointed!

Phone: (203) 228 7564 Website: Click here!

Terri Philibert, ServiceMaster Restore

Terri has been in the insurance industry since the age of sixteen. Her career started out as a workers’ compensation adjuster and life care planning coordinator for municipalities throughout the State of Connecticut. She has been a partner in ServiceMaster Restore for the past three years, during which time she has completed IICRC training in water damage, odor control, and applied structural drying, as well as certification as an antimicrobial technician.

Phone: (860) 735 4704 Website: Click here!

Venoal M. Fountain, Jr., Partner at Hirsch, Levy & Fountain, LLC

Attorney Fountain graduated from Sacred Heart University with a degree in Business Administration and an Associate’s Degree in Paralegal Studies. Attorney Fountain earned a J.D. from the University of Massachusetts School of Law Dartmouth. Hirsch, Levy & Fountain exclusively handles summary process eviction cases in the Bridgeport and Norwalk Housing Courts, and other Housing Courts statewide. As a local firm in Fairfield, we would welcome the opportunity to assist you with your housing matters.

Phone: (203) 336-3144 Website: Click here!

Marion Szarzynski, HomeBridge Mortgage Loan Originator

Marion Szarzynski is a Connecticut native who thoroughly understands the area’s growing and diverse real estate market. She has more than 25 years of experience in the mortgage industry, including work in sales, operations and management. At HomeBridge, Marion works to find the right mortgage product to suit each client’s unique situation. Her commitment to providing superior customer service, combined with excellent problem solving skills, makes the difference in potential borrowers becoming home owners.

Phone: (203) 768-5098 Website: Click here!

Brenda Tate, Real Estate Photography

Brenda is a Professional Photographer and content creator based out of Watertown, CT. She specializes in headshots, real estate photography and even has a drone to showcase your properties. Work with Brenda today!

Phone: (860) 631-7622 Website: Click here!

TenantTracks, Tenant Screening

Screening tenants is ESSENTIAL. TenantTracks provides more information and uses the highest quality data. Our reports are affordably priced and help you make better leasing decisions. Southern New England's Most Comprehensive Tenant Screening Report Available Know Who You Are Renting To!

Phone: (888) 610 4710 Website: Click here!

Home Insurance Outlook for 2023

By: Les Masterson, with forbes.com

Inflation and extreme weather are expected to deliver another blow to home insurance costs in 2023.

The last two years saw home insurance cost hikes. The average home insurance rate increased by 9% in 2021, which eclipsed the 7% average rate hike the previous year, according to the Insurance Information Institute. Homeowners should expect more of the same in 2023.

Here are homeowners insurance trends that we can expect in the coming year.

Inflation Leads to Higher Home Insurance Claim Costs and Rates

The Consumer Price Index increased by 7.7% over the 12 month period that ended in October 2022. Earlier in the year, the

index grew a whopping 9.1% in the 12 months that ended in June. That jump was the largest increase in 40 years. These inflationary costs are leading to higher home insurance claim costs and squeezing home insurers. Inflation directly influences home insurance rates because “the bulk of policyholder premium is spent repairing and restoring property,” says Tom Larsen, associate vice president of hazard & risk management at CoreLogic.

Cost increases in building materials and labor accelerated in 2022, which will lead to higher home insurance costs in 2023, says George Hosfield, senior director and general manager for home insurance at LexisNexis Risk Solutions.

“

As we look at 2023, you’re going to continue to see upward pressure of insurance premiums largely driven by inflationary costs,” Hosfield says.

Supply Chain Concerns Remain

Supply chain issues caused disruptions during the height of the Covid-19 pandemic in 2020 as lockdowns, labor shortages and distribution bottlenecks caused empty shelves and Americans scurrying for basic items like paper towels.

Those issues for basic necessities are largely in the past, but supply chain problems remain for building materials. These supply chain issues are leading to more expensive construction costs, home insurance claims and, as a result, home insurance rates.

Increased replacement cost value for homes is the primary home insurance rate driver in 2022 and should continue into 2023, says Mark Friedlander, a spokesperson for the Information Information Institute. He adds that replacement value costs are increasing at double the U.S. inflation rate.

“

The higher replacement cost is a result of supply chain disruption and spikes in construction materials and labor. This has been a growing trend throughout the pandemic,” observes Friedlander.

Extreme Weather Drives Risk

Extreme weather, including hurricanes,

freezes and wildfires, has led to higher home insurance quotes and caused multiple insurers to go out of business or drop policies in high risk areas.

A recent LexisNexis Risk Solutions report found that home insurance claims cost increased by 7% in 2021, partly because of extreme weather related claims.

The report found that weather related insurance claims for water damage increased by 329% between 2020 and 2021, and catastrophic claims rose by 222%. Louisiana and Texas had the biggest home insurance losses, while Colorado and Nebraska saw the highest average loss costs over the past seven years.

Louisiana had two Category 4 hurricanes—Laura in 2020 and Ida in 2021 that led to more than 800,000 property claims, resulting in $22 billion in insured losses. Friedlander says those losses led to “turmoil in the state’s home insurance market.”

Hurricane Ian decimated parts of Florida in 2022 and gave another wallop to the Florida home insurance market. Friedlander says the Insurance Information Institute estimates insured losses may top $60 billion, making it the second largest insured loss event in U.S. history, behind only Hurricane Katrina in

2005. These losses will result in higher home insurance rates in Florida and Gulf Coast states in 2023, says Friedlander. More than 75% of Florida residents live in coastal communities. Friedlander says there are similar population trends in other coastal states along the eastern seaboard, putting them more at risk of weather related home insurance claims.

It’s not just hurricanes causing home insurance problems. Freezes in Texas, wildfires in California and tornadoes and storms in the midwest have led to billions of dollars of home insurance claims. Larsen says 2022 weather-related losses might not affect home insurance rates in those areas until 2023 since it takes a year for home insurance companies to implement new rates.

“Insurers of Last Resort” Stretched

Multiple factors have caused problems for

home insurance companies, which have sought hefty rate hikes. Insurers have to file their rate increases with state insurance departments and seek approval.

“If an insurance company can’t get the rate that they think will make them solvent, they won’t write new policies,” says Hosfield. Multiple insurers have closed, stopped selling new policies or fled high-risk states. This trend has caused millions of policyholders to turn to their state’s home insurer of last resort.

In Louisiana, weather related claims led 11 small regional insurers to fail. Another 12 insurers left the state and more than 50 others aren’t writing new business in hurricane-prone areas. The state-run insurer of last resort, Louisiana Citizens Property Insurance Corp., has seen its policyholders triple since January 2021, says Friedlander.

To offset those costs, Louisiana regulators recently approved a staggering 63% average home insurance rate hike for Louisiana Citizens Property Insurance’s 114,000 home policyholders. The rate increase is effective Jan. 1 2023, and won’t affect current Citizens policyholders until they renew their policies after that date. Friedlander says private home insurance companies may follow with their own substantial rate increases.

Florida’s state run insurer of last resort, Citizens Property Insurance Corp., saw its policyholders grow to over 1 million members, after multiple home insurance companies went out of business or stopped selling policies in the Sunshine State.

Florida’s problems aren’t only weather related. Roof replacement claim fraud schemes and excessive litigation against insurers caused instability in the home insurance market. Nearly 80% of all property claim lawsuits in the U.S. were filed in Florida last year. Friedlander says no other state had more than 3,600 property claim lawsuits in 2021, including California, which has nearly twice the population size of Florida.

The Insurance Information Institute predicts Hurricane Ian litigation expenses to potentially reach $20 billion, which could

further strain small, regional insurers that may fail.

Florida allowed its state run insurer of last resort, Citizens, to increase home insurance rates by an average of 6.4% in 2022, which was below what Citizens requested (11%). Friedlander warns that the lower average increase may cause Citizens Property Insurance to struggle, especially since Citizens is expected to balloon to 1.5 million policyholders in 2023.

“

The company’s risk exposure continues to increase because of the turbulent private market and the lack of options for consumers,” Friedlander says.

Beyond Gulf Coast states, California’s FAIR plans (Fair Access to Insurance Requirements), which is a consolidation of insurers that provide safety net policies, has also increased its policyholders. The California Department of Insurance said FAIR Plan policies rose by 49,049 policies in 2020 to a new high of 241,466 policies in 2021.

Fewer insurers selling policies and more homeowners relying on safety net home insurance policies isn’t a good combination for policyholders.

“

Fewer options for policyholders is generally acquainted with increasing rates,” says Larsen

11 Ways to Get Your Rental Properties Ready for Winter

By: Kurt Jacobson, from propertyware.com

Since extreme winter temperatures and winds can take a major toll on buildings in cold weather regions, it is important that property managers take the necessary steps to winterize rental properties before the first snowfall of the season. Doing this will ensure that you will have to spend less time and money on plumbing, roofing, and other repairs come spring.

If you need a little help getting started, have a look at our list of the top things to do to get your rental properties ready for winter.

1. Leave the Heat On

Remind your tenants to maintain a minimum temperature of 55 degrees Fahrenheit when they go on vacation. This will prevent the pipes from freezing and bursting due to the cold temperatures.

2. Inspect Your HVAC Systems

Inspect the heating and air-conditioning

systems in your units to make sure they are running efficiently. Arrange for the filters to be replaced if necessary.

3. Watch Your Pipes

Completely drain out the outdoor pipes and sprinkler/fountain systems to ensure they don’t freeze in sub-zero temperatures. As an added precaution, winterize exterior plumbing and pipes in unheated parts of the property or common areas such as clubhouses by covering them with inexpensive foam pipe insulation.

4. Look for Cracks

It's important to inspect the edges of doors and windows and the exterior walls of your properties for gaps or cracks through which heat loss can occur. Replace caulking or sealant as needed.

5. Inspect the Roof

Check the roof and chimney for broken or cracked shingles that can come loose during a storm. Since blocked gutters can cause snow dams and ceiling leaks on warmer days, make sure that the gutters and downspouts are completely clear and free of dirt and debris. You can also hire a qualified roofing contractor to perform a complete check of the roofing and do necessary repairs.

6. Prepare for Snow and Ice Removal

If you have contracted snow and ice removal to a vendor, confirm that your contract is current and valid. Now is also the time to call and shop around for rates if you were unsatisfied with their performance last year.

If you have your own personnel to handle snow removal, make sure you have all essential supplies such as salts, shovels and properly functioning snow blowers on hand. Don’t wait until bad weather comes knocking to take action!

7. Prevent Falling Branches

Check for any weak tree branches (or trees!) that can fall due to high winds or snow accumulation and cause property damage, or worse, injure your tenants.

8. Clean Your Chimneys

If your property has wood-burning fireplaces, hire a professional chimney sweep to clean them and inspect them for any sign of

damage or obstruction.

9. Test Alarms and Detectors

If maintenance of the smoke alarms and carbon monoxide detectors in the property is your responsibility as per the lease agreement, now would be a good time to test the devices and replace the batteries.

10. Check Vacant Properties

Conduct periodic inspections of vacant properties throughout the winter. If you are responsible for taking care of a vacation home that will be empty for the season, you may want to completely turn off the water supply, drain the pipes and toilets, and put non toxic antifreeze in the toilet bowls.

11. Don't Forget Your Rental Office

Remember to make sure that your on-site rental office and common areas such as clubhouses are also equipped to deal with the winter weather.

Of course, this is only a basic list of things that you need to do to get your rental properties ready for winter. Depending on the age, location and condition of the properties under your care, there may be other steps you need to take to prepare for the coming cold weather.

Tips on Handling High Inflation

By: Rick Munster, from fcaa.org

By now, you’ve probably noticed that inflation is all over the news, television, social media, and the internet. If you’ve recently purchased just about anything, you’ve surely noticed the effect of prices rising drastically. According to the U.S Bureau of Labor Statistics, following a 7.9% increase from February 2021 to February 2022, the Consumer Price Index gained 8.5% for the year ended March 2022. The Inflation of 8.5% in March was the greatest in 12 months since December 1981.

Inflation is most commonly caused by a supply or demand imbalance. As the world continues to encounter activities that produce supply or demand imbalances, inflation will continue. While consumers have no control over the pricing of the goods they want and need, here are inflation tips to help you reduce costs, save money, and meet

your financial obligation to withstand the greater inflation period.

1. Reduce Your Expenses

If inflation appears to be overpowering your budget, try cutting out unnecessary costs. Reviewing all of your bills is a good place to start. Once you’ve gathered all of your bills, you can decide which ones you can cut down or even eliminate to save money.

The following are examples of bills that could be eliminated or reduced: • Gas • Groceries • Phone

Internet

Utility and energy

Car insurance

• Home insurance

• Gym membership

• Delivery membership

• Streaming services

• Credit card interest

• And more

You can save money on your phone bill by switching to prepaid service plans or lower cost plans instead of pricey unlimited data plans. You may be able to save a significant amount of money by reviewing your insurance coverage and getting greater coverage for less.

You can save money on groceries by purchasing only what you need, resulting in fewer purchases. Meal preparation is an easy method to improve your grocery shopping skills. Examine your schedule and plan which meals you’re going to have for each day, then have the recipes on hand. After that, only buy the ingredients you need to make those specific meals (plus some snacks, if needed).

You can save money on your utility and energy costs by turning off the computer if not in use. You can run the dishwasher only when there is a full load. Hang the clothes instead of using the dryer. If not in use, turn off the lights. Instead of using the air

conditioner, open the windows for fresh air. Personal sacrifices can also assist you in dealing with inflation. You can work out in your apartment instead of paying for a gym membership. Reduce your daily coffee consumption or make your own at home. Try reducing your smoking or vaping habits. Extend the time between haircut appointments, dates, outings, and other activities. Use public transit a couple of times a week to save money on gas.

2.

Continue to Invest

When you witness rising interest rates, a sinking stock market, or rising inflation, it’s natural to question your decisions. However, to deal with ups and downs, a robust broad investment plan should be established from the outset. The rate of inflation is significant because it represents the investment’s real worth and spending power.

To retain your purchasing power over the long run, you should determine the correct assets for your investments by considering your:

• Income

• Expenses

• Risk tolerance

• Time horizon

Companies that can boost their prices naturally during inflationary periods are among the finest stocks to own during inflation. One example is commodity resource corporations. During instances of inflation, commodities have pricing power that you can benefit from if you invest. Examples of commodities are:

• Oil

• Gas

• Natural gas

• Wheat

• Metals

• Lumber

These commodities will allow you to have a mixed asset portfolio to hedge and fight against inflation while also balancing the effects of other assets that are more sensitive to overall market volatility. In contrast to the price of a computer, which is

subject to manufacturer and distributor pricing modifications, these things’ prices tend to rise.

3. Boost Your Earnings

Increasing your source of income is one approach to combat inflation. With so many price increases on practically everything, your income should rise to keep up with inflation.

It can be difficult to improve your income overnight, but there are several options you can do to boost your earnings.

• Ask for a raise

• Start a side business

• Ask to work from home

• Get a second Job

The most straightforward strategy to boost your income is to ask for a raise. You can also ask to work from home to save money

on gas or commuting. You can ask if you can be flexible; work from home and report to the office only if necessary.

You can also start a business outside of your job. You can make money from your hobbies. Photography is a lucrative business. You can cook and sell. You can sell your catch if you go fishing or hunting. Consider upcycling and selling items if you have an eye for design or are the crafty sort. Getting a flexible side hustle outside of your full time job is also an excellent way to increase your earnings. You can sell insurance, teach kids online, and conduct freelance work like online jobs or dog walking for hire, babysitting, and other things.

4. Pay off Any Variable Debt

Pay off any variable debt as soon as you can; make it a priority. As the pricing of almost everything is rising, it can be tempting to get a loan or use credit cards to cover your bills. However, taking on debt can strain your budget. Over time, variable debts may become even more costly and difficult to repay, especially with the high inflation rate.

These variable debts include:

• Credit cards

• Lines of credit

• Personal loans

• Variable-rate mortgages

5. Explore Savings Bonds

Those who are debt-free and have extra money sitting should consider looking into investment options that are both safe and guaranteed to keep up with inflation. Savings bonds are debt instruments issued by the United States government. Because they are backed by the US government’s full faith and credit, US savings bonds are regarded as one of the safest investments. Individuals can buy up to $10,000 in Series I savings bonds per calendar year, and you can invest another $5,000 with your tax refund.

Bottom Line

With the current high rate of inflation, everyone is having a difficult time. Because inflation affects everyone, we should keep our options open and adapt and do whatever we can to deal with it. Our inflation tips can help you; just stick to your strategies and be consistent with them, and you’ll get through this inflation.

13 Winter Energy Saving Tips

From: justenergy.com

Your heating and cooling system is the biggest energy hog in your home, accounting for almost half your total energy costs.[1] The money you spend on utilities rises dramatically in the summer and winter months when temperature control sees the highest use. Winter can be especially problematic, as heating costs are a matter of survival. Fortunately, there are a few simple ways you can reduce your heating costs and save money on your utility bill while still staying toasty in the winter.

1. Let the Sun in During the Day

There’s a reason the family cat likes to nap in sunbeams the sun is a fantastic source of free heat. By opening your curtains and blinds during the daytime, you take advantage of the greenhouse effect and allow the sun to naturally heat your home.

2. But Close the Curtains at Night

Unfortunately, windows can also be a source of

heat loss, as they are not as well insulated as your walls. Close your curtains and blinds when the sun goes down to prevent cold chills from cooling your home. Consider purchasing insulated curtains to maximize the energy efficiency of your windows.

3. Eliminate Air Leaks and Drafts

Air sealing your home is simple, effective, and relatively inexpensive. Caulking and weatherstripping will usually pay for themselves in energy savings within a year. Use caulk for cracks and openings between stationary objects like door and window frames. You can use weatherstripping around anything that moves, like the door itself or window sashes.

External Doors

Doors are a major trouble spot for drafts. If you have a drafty door, check the weather stripping and seals around the door frame. Replace any damaged or missing weather stripping and

apply new caulk to any broken seals.

Windows

Windows, especially in older homes, are a major source of drafts and heat loss. Insulate your windows in winter by sealing the frame with clear plastic cling wrap. Window film is cheap, easy to apply, easy to remove in spring, and can be found at any home improvement store or online. It will only cost a few bucks to insulate every window in your home, but the savings on your heating bill will be big.

Attic and Basement

Check your attic and basement thoroughly when searching for air leaks, as these floors hide the worst air leaks. Use foam or caulk to seal the small cracks. For larger holes, you may need to install or replace insulation.

Unexpected Heat Leaks

Doors and windows are obvious sources of drafts, but there a few more you may not think of. Cold air can leak into your house through electrical outlets, light fixtures, AC units, and gaps in your insulation.

A lit fireplace is a great way to warm up in winter, but it can allow cold air in when not in use. Keep your damper closed whenever you aren’t using your fireplace. If you never use your fireplace, plug and seal the chimney flue.

4. Close Doors and Vents in Unused Rooms

Have a guest room you don’t use unless the in laws are in town? A storage room? Maybe the kids are away at college. Whatever the reason, if you have a room in your house that people rarely enter, you’re wasting valuable energy heating it in the wintertime. Close off all vents in the room and shut all doors. This will prevent you from paying to heat uninhabited space.

5.StayWarmWithClothesandBlankets

It’s much more cost effective to warm your body than your house. Keep the thermostat low and compensate by wearing a nice sweater and warm socks around the house. Stay toasty at night under a thick blanket, comforter, or duvet.

If you’re concerned about keeping your pets warm, consider buying a doggie sweater for your pooch. Sweaters are not recommended for cats. Not only do cats hate clothing, but they also seem to have a natural ability to find the warmest spot in the house anyway.

6. Reset Your Water Heater Thermostat

After heating and cooling systems, water heaters are the second highest source of energy usage in the home. It takes a lot of energy to heat water, and most people have the thermostat on their water heater set way too high.

Your water heater heats water to a set temperature, then maintains that temperature 24/7. That means that your water heater just cycles on and off, continually reheating water to that temperature, whether you use it or not.

Just setting the temperature on your water heater a few degrees cooler can save you a couple dollars on your energy bills. Unless you’re in the habit of taking showers at skinscalding temperatures, you likely won’t even notice the difference.

7. Keep the Air Circulating

Everyone knows that ceiling fans are a great way to stay cool in the summer, but did you know that they can also help keep you warm in

winter?

Normally, ceiling fans rotate counterclockwise, pushing air down and producing a slight wind chill effect, allowing you to feel cooler. However, most ceiling fans have a reverse switch that will enable them to turn clockwise, producing an updraft and moving the warm air that collects near your ceiling down into the rest of the room.

8. Use Space Heaters

If you only need to heat a small area, try using a space heater. Electric space heaters are a very energy efficient way to stay warm because there is no heat loss through ducts or combustion. Space heaters are excellent for heating closed off areas that you only occupy for shorter periods, like your garage or that bathroom that’s always colder than every other room in the house for some reason. However, when it comes to heating your entire house, space heaters are less efficient than a natural gas furnace or a heat pump.

9. Choose LED Lights for Your Home and Decorations

If you’re planning an elaborate Christmas light show this holiday season, consider using LED lights. LED lights are the most energy-efficient lighting option currently available. They use 75% less energy than standard incandescent lights and last 25 times longer. You’ll have to spend a little more up front, but LEDs are so durable and long lasting that your grandchildren could be using the very same string of lights 40 Christmases from now. They use so little electricity that 25 strings of holiday LEDs can be connected end to end without overloading a standard wall socket.

10. After Using the Oven, Leave the Door Ajar

Heating your home entirely with your oven would be an impractical waste of energy. However, if you’re using it anyway, there’s no sense in letting that heat go to waste. After taking dinner out of the oven, leave the door cracked open and allow that extra heat to escape and warm your kitchen.

11. Lower the Temperature in Your Home

Lowering the temperature in your home by just a couple degrees can result in significant long term savings. Turn your thermostat down to the lowest temperature you find comfortable.

According to the U.S. Department of Energy, you can save 10% on your energy bill just by turning your thermostat down 10 to 15 degrees for eight hours a day.[3] Turn down your thermostat when no one is home and when everyone is asleep. You’ll stay toasty warm under your thick blankets while saving money.

13. Get a Smart Thermostat

Even better, consider purchasing a smart thermostat. A smart thermostat is a Wi Fi enabled device that automatically adjusts temperature settings in your home for peak energy efficiency. These devices learn your habits and preferences and establish a schedule that automatically adjusts to energy saving temperatures when you are asleep or away.

12.

Turn the Thermostat Down When You Go to Sleep

Some states and local city governments incentivize installing a smart thermostat with rebates, so be sure to run a search on rebates or other perks available in your area to help you save on a new device. Your energy provider might offer exclusive discounts on smart thermostats, so check with them as well.

8 Important Legal Tips for Landlords and Property Owners

By: Liran Koren, from luxurypropertycare.com

Lawsuits are everywhere and they can happen to anyone — including you.

Rental properties are a lucrative investment but they come with the risk of litigation. Aside from making sure that your property is “rent ready”, you should also make sure that you’re prepared to defend yourself in case you’re facing legal action.

Below, let’s take a look at eight things you can do to prevent nasty lawsuits:

#1 Keep Records of Everything

And by everything, we mean everything. As a property owner, you should keep records of rent receipts, work orders, eviction notices, and more. Proper documentation can protect you when you’re faced with legal issues. To avoid pointing fingers, you should hold on to pertinent documents that may be considered as

evidence.

This includes all landlord-tenant communication including emails, text messages, call logs, and the like. Whenever you’re discussing important matters with your tenant (e.g. late rental payment fees, eviction, etc.), it’s best to stick to written modes of communication.

#2 Understand Data Privacy Laws

Although the US doesn’t have federal level data privacy laws unlike the UK’s General Data Protection Regulation (GDPR), the US does have state-level statutes such as the Californian Consumer Privacy Act (CCPA) and the Hawaii Consumer Privacy Protection Act (SB 418). These laws provide consumers with greater control over their personal data, such as their names, addresses, phone numbers, and more.

The state of Florida does not yet have laws governing data privacy, but there have been talks about introducing a law that is similar to the CCPA.

Data privacy laws apply to all landlords and property managers that collect personal information from their tenants. This includes the information found in the rental application.

#3 Require Renters Insurance

A property owner’s typical landlord insurance won’t cover the costs of replacing the tenant’s belongings in the event that they get destroyed or stolen. It also won’t cover the tenant’s medical expenses should they get injured on the property.

To protect yourself from lawsuits, consider requiring your renters to obtain renters insurance. Not only does it protect your tenant’s personal property, but it also guards you in the event that your tenant decides to sue.

Keep in mind that including this clause in the rental agreement may be prohibited in certain states. Be sure to check with your property manager to ensure that your requirements are within the law.

#4 Don’t Enter the Unit Without Notice

You may own the rental property, but the moment that it is rented out, you lose the ability to walk inside the home whenever you

want. Tenants have the right to utilize their rented space without the interference of their landlord. This is called the right to the “quiet enjoyment” of their home. As a general rule, you may enter the property only when the tenant has given you permission.

There are, however, exceptions to the rule. You may enter the rental unit without notifying your tenant when:

• There is an emergency (e.g. gas leak, fire, flood)

• The is reasonable cause to believe that the tenant has abandoned the property

• The tenant has been absent from the property for an “extended absence”

#5 Require a Security Deposit

A security deposit is a fee that a tenant has to pay on top of the first month’s rent. It is a refundable amount that the tenant can get back when they move out. Its purpose is to protect you, the landlord, in the event that the tenant damages the property or fails to satisfy their financial obligations (e.g. rent payments and utilities).

The law does not require landlords to collect a security deposit from their tenants, however, it would be in your best interest to do so. If you decide to require a security deposit, keep in mind that some states have set a cap on the maximum amount that you can collect.

#6 Keep Your Security Deposit in a Separate Account

Landlord tenant laws vary by state when it comes to where the security deposit should be stored. Generally, you shouldn’t store your tenant’s security deposit in your personal bank account since it yields interest.

In Florida, you should keep your tenant’s security deposit as a surety bond, in a dedicated bank account, or a non interest yielding bank account. It’s worth mentioning that security deposits stored in an interest yielding bank account must be returned to the tenant along with the accrued interest.

#7 Follow the Fair Housing Act

As a landlord, you should know the Fair Housing Act (FHA) by heart. The FHA protects “protected classes” by prohibiting discriminatory acts in housing, such as:

• Refusing to rent the property due to race, religion, national origin, etc.

• Having preferences regarding the type of tenant/s (e.g. “whites only” and “families only”

• Failing to provide the same services, amenities, etc. to tenants of protected classes

If a prospective tenant sues you for discrimination and if the Department of Housing and Urban Development (HUD) investigates the claim, you may want to consult an attorney. The penalty for first time offenders can be as high as $16,000 excluding attorney’s fees, damages, etc.

#8 File Your Taxes Accurately

Filing your taxes is a skill you need to master if you’re planning on becoming a landlord. If you intentionally submit a false report of your annual income or claim unfounded tax deductions, you may soon be getting a visit from the Internal Revenue Service (IRS).

However, if you made an innocent mistake, you should file an amended tax return as soon as possible. You shouldn’t let the period for filing lapse.

Remember, if you purposely attempted to evade your taxes, you may face a maximum fine of $100,000. It’s best to hire a property management company that has its own team of attorneys and accountants to ensure that you don’t violate the law.

Terri Philibert

ServiceMaster Restore

Title: Owner Hometown: New Haven County

Terri has been in the insurance industry since the age of sixteen. Her career started out as a workers’ compensation adjuster and life care planning coordinator for municipalities throughout the State of Connecticut. She has been a partner in

for the past three years, during which time she has completed IICRC training in water damage, odor control, and applied structural drying, as well as certification as an antimicrobial technician.

Terri can honestly say she gets up every day and loves what she does. She believes that Serge is a great partner and together they succeed in restoring peace to families who need it most. In her spare time, Terri enjoys spending time with her family, her horses, and volunteering.

ServiceMaster Restore

ServiceMaster Cleaning & Restoration by Cleaning Masters

ServiceMaster is a licensed and insured water damage service provider. We provide services to clean and restore all types of damage while working with your insurance claims representative. The services we offer include, but are not limited to water damage, fire damage, mold, and puffback. We help to protect and maintain residential, commercial, and industrial properties by utilizing our trained technicians and high-quality equipment. We specialize in restoration services for residential and commercial properties damaged by water, fire or mold. We manage a 24hr emergency response operation.

Phone: 203-442-4444

Sample Criteria for Accepting or Rejecting a Rental Applicant

By: Paul Jenney, Compliance Officer with

This is not intended to Replace Legal Advice, we suggest you consult your own attorney when creating your tenant selection criteria

1. All information on the application is correct; any factual errors are an automatic rejection.

2. The application is signed and dated and has authorized the property owner to conduct a background check.

3. Any criminal record of drug dealing, drug trafficking, manufacture, or distribution are an automatic rejection.

4. Any record of prostitution, illegal gambling, or any other crime that would violate State laws regarding illegal use of a rental property are an automatic rejection.

TenantTracks

5. Any records of criminal activity that that property owner would deem puts the property, its owner or other residents at risk, including, but not limited to, sex offences, violations of the US Patriot Act covered by the Office of Foreign Asset Control or other international judicial authorities, arson, domestic violence, any other crimes of violence, weapons violations, etc. Criminal records may be reported indefinitely under the FACTA update of 2003.

6. Eviction History. How long ago is acceptable? How many evictions? The reason for the eviction? The FCRA only allows TenantTracks to report eviction records for seven (7) years. (Create your own policy and stick with it)

7. Landlord History. TenantTracks may only report information obtained from owners and management companies for seven (7) years including notices to quit, noise issues, cash for keys, etc. How many? How recent?...again; (Create your own policy and stick with it)

7a. Landlord References. If they are a career renter, I would ask for the last three at minimal, and then call the second two. They have nothing to lose by giving the truth, but grill them about the information, last addresses they gave on that application (might be hiding something), and did they pay the rent on time/in full/how many late payments, any problems. This may seem like “Landlording 101”, but this is helpful information on how they will perform as your tenants.

8. If your property is carpeted, do they own a vacuum cleaner? It's a strange criterion, but you want to protect your investment so it IS a fair question to ask.

9. Credit History. What is the minimum Vantage Score to be accepted? This will vary by property. We recommend that the criteria is signed and dated and can be updated as market conditions change e.g.

the rental market tanks and you lower your score requirement to attract more potential renters (and accept more risk) and vice versa, if you get more applicants, you raise the score requirement.

9a. If you are accredited to receive a full credit report, then how many thirty (30), sixty (60), ninety (90) day late-payments do you allow? How many collection accounts? How many charged off accounts (unpaid debt)

10. IF employed, how long should they have been there? Can you independently confirm this? I recommend calling the HR Department and faxing/emailing a release to provide you with the information, as an alternative you can ask for a copy of the applicant’s last tax return, if not employed, ask for proof of income. Have a potential tenant you need screened? Visit tenanttracks.com for all your tenant screening needs!

Know Who You Are Renting To!

Events & Meetings & Networking

Connecticut Property Owners Alliance

(CTPOA)

Next Meeting: Dec. 8th

Time: 6:00 PM 10:00 PM

Where: La Bella Vista 380 Farmwood Road Waterbury, CT 06704 Contact: 800 369 6153

About: CTPOA and its sponsors invite you to a Holiday Party at the magnificent "La Bella Vista' Banquet Hall located at 380 Farmwood Road in Waterbury. December 8th from 6 to 10 pm. Don't miss out on good food, great fun and awesome networking as we celebrate the Holiday Season. Register here!

Connecticut Real Estate Investors Association

(CTREIA)

Next Meeting: Dec. 12th

Time: 5:45 PM 9:00 PM

Where: Sheraton Rocky Hill 100 Capital Blvd. Rocky Hill, CT 06067 Contact: 860 265 4414 About: Join us for The CTREIA Holiday Dinner and Year End Awards.

This is going to be a great night of food, fun and networking. Our keynote speaker is Senior Economist Steve Andrews who will be giving us insights as to interest rates and predicting what the Fed will be doing. Register here!

Connecticut Estate Investors Association

(CTREIA)

Next Meeting: Dec. 13th

Time: 6:00 PM 9:00 PM

Where: CTREIA Training 415 Silas Dean Hwy. Suite Wethersfield, CT 06109 Contact: 860 265 4414

About: Opportunity is everywhere across the estate market, here in CT. this CTREIA Workshop your journey. Whether you're interested estate as a side hustle are wanting to finally leave corporate rat race, CTREIA proven Coaching Program give you the knowledge to become a real estate investor. This is your first Register here!

Real Investors Association

(CTREIA)

13th PM Training Center Suite 304 A 06109 4414 real CT. Attend Workshop to begin interested in real or you leave the CTREIA’s Program will knowledge and tools estate first step!

Greater Hartford Association of Realtors (GHAR)

Next Meeting: Dec. 15th

Time: 5:00 PM 7:00 PM

Where: GHAR Lobby 430 New Park Ave Hartford, CT 06110 Contact: 860 561 1800

About: Let's close out the year and celebrate with prosecco, raffle prizes, and a beautiful poinsettia! The $25 registration fee includes drinks, light appetizers, a poinsettia, a visit with Santa, and a great time! This fundraiser will support Brooks Token Group. Register here!

The NEI Real Estate Investor Meetup (words)

Next Meeting: Dec. 15th

Time: 5:30 PM 8:30 PM

Where: Belvedere Café 82 Broad Street New Britain, CT 06053 Contact: 203 915 3803

About: Join us for a year in review with some of the 2022 NEI guest speakers. Our past guests will be coming back to share what they learned in 2022 and some of their predictions & advice for 2023

There will be an event fee of $27/per person. Included in this fee will be a Polish buffet. Register here!

Greater Bridgeport Board of Realtors (GBBR)

Next Meeting: Dec. 21st

Time: 5:00 PM 7:30 PM

Where: Tashua Knolls 40 Tashua Knolls Ln. Trumbull, CT 06611 Contact: 203 880 5661

About: The GBBR is Holding a Cocktail Party “Jingle & Mingle” on Wednesday, December 21, 2022 at Tashua Knolls Golf Course in Trumbull from 5:00 pm to 7:30 pm.

Cost is $20.00 per person. Call to Register: 203-8805661

Support the CTPOA Vendors!

Name Contact Service

BestWay Mortgage, Brandon Parenti

Phone: (203) 441 4059 Website: Click here! Mortgages & Loans (Professional Services)

Pro Property Management

Phone: (203) 909 6333 Website: Click here! Property Management Services (Professional Services)

The Law Office of Yona Gregory

Phone: (860) 443 9662 Website: Click here!

The Brodrick Law Firm Phone: (203) 758 8822 Website: Click here!

TenantTracks

Phone: (888) 610 4710 Website: Click here!

Attorney / Evictions (Professional Services)

Attorney / R.E. Closings (Professional Services)

Tenant Screening (Professional Services)

Tammy Enquist Canfield: Comparion Insurance Agency

ServiceMaster

Phone: (203) 695 3893 Website: Click here! Insurance (Professional Services)

Phone: (860) 735 4704

Website: Click here! Restoration (Maintenance & Tradesmen)

Rentdrop

Email: support@rentdrop.io Website: Click here!

Rent Collection (Professional Services)

Premier Real Estate Investment Group

Cesar L. Sousa, Real Estate Attorney

Phone: (860) 335 0681 Real Estate Multi Family (Professional Services)

Phone: (203) 583 8299 Website: Click here! Attorney / Personal Injury (Professional Services)

PosiGen Phone: (866) 767 4436 Website: Click here! Solar Panels/Green Energy (Maintenance & Tradesmen)

Pet Screening Website: Click here! Tenant Screening (Professional Services)

Nick Minicucci: New England Residential Finance, LLC

Landlord Collection Agency

Phone: (203) 509 2717 Website: Click here! Mortgages & Loans (Professional Services)

Phone: (800) 369 6153 Website: Click here! Collection Agency (Professional Services)

Junk Bear Phone: (860) 378 2801 Website: Click here! Rubbish & Hauling (Maintenance & Tradesmen)

First World Mortgage: Jesus A. Carrero

The Miranda Team Home Inspections

Phone: (203) 715 0961 Website: Click here! Mortgages & Loans (Professional Services)

Phone: (203) 490 7855 Website: Click here! Home Inspections (Professional Services)

Support the CTPOA Vendors!

Name Contact Service

Marion Szarzynski, HomeBridge Mortgage Loan Originator

Brenda Tate, Photographer

Phone: (203) 768 5098 Website: Click here! Mortgages & Loans (Professional Services)

Phone: (860) 631-7622 Website: Click here! Real Estate Photography (Professional Services)

Jeff Zappone, Loan Officer at CrossCountry Mortgage

Dawn Cabral, Broker/ Owner, GRI, SRES at West View Properties LLC

Dana M Guiliano

Phone: (203) 592-3602 Website: Click here! Mortgages & Loans (Professional Services)

Phone: (203) 228 7564

Website: Click here! Real Estate Residential (Professional Services)

Phone: (203) 419-5857 Attorney / Evictions (Professional Services)

Venoal M. Fountain, Jr., Partner at Hirsch, Levy & Fountain, LLC

Phone: (203) 336-3144 Website: Click here! Attorney / Evictions (Professional Services)

About Us

Advocates For Property Owners

Why The Property Owners Alliance Was Formed