August 2010
LOVE YOUR RIDE? Biltmore Hillside Villas 3008 Sq. Ft.| 3 Bed | 3 Bath $889,000 Come experience this exceptionally beautiful three-bedroom home with a separate Casita within one of the best locations in the Valley. The single-story property features a gorgeous and inviting open floor plan. Travertine and granite throughout the home. Great backyard with heated pebble-tech pool and spa, built-in gas BBQ and fire pit. Enjoy the spacious three-car garage, and cul de sac lot backing to Phoenix Mountain Preserve. Fantastic views of Piestawa Peak and downtown Phoenix round out this special home. Call David Reimold at 602.571.0680 or Phil Tibi at 602.692.0780 to schedule a private showing or to obtain more info.
There’s an Auto Club Just for You!
1031 Exchange to a Primary Residence
Is it Legal?
An Irresistible Appetizer Morton’s Bleu Cheese Dip
Houston’s All information is deemed reliable but not guaranteed. Statistics represent single-family and patio homes. Information gathered from ARMLS. If your home is currently listed, this is not a solicitation for that listing.
Produced by Desert Lifestyle Publishing • 480.460.0996 • www.DesertLifestyle.net
Real Estate Report
Rolls Royce Owners’ Club – Texas Region rroctexas.com Membership is open to all individuals with an interest in any Rolls-Royce or Bentley motorcar. They offer insights into the history of the cars, technical advice, and provide outings and events designed to provide the opportunity for the use and enjoyment of the automobiles. Specialty events include the upcoming All British Car Show, and regularly scheduled driving tours featuring well-planned travel routes, special destinations and dining pleasures.
Featuring Morton’s Downtown • 713.659.3700 Galleria • 713.629.1946 mortons.com
WARM BLEU-CHEESE DIP INGREDIENTS: 8 slices hickory-smoked bacon, diced 2 cloves garlic, minced 8 ounces cream cheese, softened 1/4 cup heavy cream 4 ounces crumbled bleu cheese 2 tablespoons chopped fresh chives 2 tablespoons chopped almonds Crackers, sliced baguette, or trimmed fresh vegetables, for serving METHOD: • Preheat the oven to 350°F. • In a nonstick skillet, cook the bacon over medium-high heat for about 8 minutes or until nearly crisp. Drain the bacon and wipe the skillet dry. • Return the bacon to the pan, add the garlic, and cook over medium heat for about 3 minutes longer or until the bacon is crisp. Take care the garlic does not burn. Drain on paper towels. • In the bowl of an electric mixer fitted with the paddle attachment, beat the cream cheese until smooth. Add the cream and beat well to mix. Fold in the bacon, garlic, bleu cheese, and chives. • Transfer to a 2-cup baking dish, top evenly with the almonds, and bake for about 30 minutes or until heated through. • Serve with crackers, baguette slices, or vegetables.
In 1909, Henry Ford introduced the Model T, and so began America’s love affair with the automobile. By the 1970s, driving your first car was a right of passage into adulthood and the American car was a symbol of freedom and patriotism. But times have changed. With the advent of personal technology, popular culture expert Peter Latham of the University of Iowa suggests that cars are no longer the cultural icons they used to be. Today’s youth are more “like walking cyborgs with all these things (iPods, wireless cell phones) attached to them,” he says. “Cars have become functional. They are not statements anymore. Electronics are.” But there are still those who revere their ride, treating it with love and care like a family pet. For those who still relish automotive freedom – from classic cars, like the Mustang, to luxury vehicles, such as the Bentley – the call of the open road still beckons. So where do you find these like-minded enthusiasts? Auto clubs! Auto clubs tend to focus on a specific make or model of car, as the list of local auto clubs here illustrates. Membership in a specialty auto club opens the door to a whole new world of automotive culture, where you can gather with others who love their rides as much as you do to trade stories, share good times and possibly swap a wrench or two. Here is a short selection of automotive clubs available in the Houston area:
Ferrari Club of America – Houston Chapter fca-houston.org Calling all Ferrari lovers! Join up with other enthusiasts with a love and appreciation for the automobile. Ferrari ownership is not a requirement – simply an admiration of them is. Members socialize at monthly brunches held at area restaurants, attend car shows, embark on chapter drives – there’s even bowling events! Camaraderie and auto appreciation come together. DeLorean Owners of Texas txdmc.org The philosophy of the club is that the DeLorean should be driven and enjoyed. Consisting of owners and devotees that live in and around central and southeast Texas, the club plans events such as parades, rallies and tech events that bring the cars out into the public eye. Jaguar Club of Houston jcoh.cc Jaguar Club of Houston, affiliated with Jaguar Clubs of North America (JCNA), gathers jaguar owners and admirers to promote safe and skillful driving, as well as the preservation of Jaguar automobiles. Monthly meetings and other special events are enjoyed by members.
Mercedes-Benz Club of America mbca.org/Houston The Houston chapter has hundreds of Mercedes-Benz owners and enthusiasts as members. Chartered in 1976, this local club has organized various events ranging from social gatherings to technical sessions, driving events, autocrosses and car shows. Lamborghini Club America – Houston Chapter lamborghiniclubtexas.com Like most other car clubs, this club enjoys sharing information about exotic vehicles, including such lovelies as Ferrari, Maserati, Pantera, Alfa Romeo, FIAT and Lancia in addition to Lamborghinis. Members can attend various car club events and weekend road-trips, as well as casual get-togethers and “quick-runs.” Corinthian Vintage Auto Racing Club corinthianvintagerace.com Speedsters unite! If admiring and appreciating isn’t enough for you, this club takes “thrilling” to new heights. The club’s purpose is to support its members and organize races in which classic racers can strut their stuff. Upcoming events include the Fall Driver’s School and Races at Texas World Speedway which includes a three-day school and a full schedule of racing. Space City T’s Spacecityts.org The Space City T’s Club is the Houston chapter of The Model T Ford Club of America. With
planned events such as regular driving tours, ice cream socials and the like, it’s a family-oriented group. This fall, the club holds its 33rd annual Texas T Party – a four-day tour including a jaunt down Route 66, and the Cadillac Ranch. Texas Land Cruiser Club – Houston tlcc-houston.org This auto club was created as a friendly environment where like-minded Cruiser Heads and other Toyota 4x4 owners could gather for the purpose of enjoying off-road outings and camping trips. The club strives to protect our country’s natural resources as it explores the remote and inaccessible areas of Texas and surrounding states. The club is also active in keeping trails open and nature conservation.
Don’t see your favorite ride included here? There are thousands of auto clubs around the world, and many more right here in Texas. To find one that suits you, visit these websites: Classic Chassis Car Club of Houston (cccc-houston.org/clubs) provides a list of car clubs based in Houston, many of which have links to their websites. Car Clubs World Wide (carclubs.com) provides a list of automobile makes and models, helping you narrow your search for clubs that way. You also have the option of searching by club, country, city or state. Motor Addicts (motoraddicts.com) provides a wealth of information for car lovers. Click into their Community section to find an auto club near you. Antique Automobile Club of America (aaca. org) focuses primarily on vehicles that are at least 25 years old. Their website includes a list of clubs throughout the United States, as well as a few other countries.
1031 Exchange into Your Dream Home As most real estate investors are aware, the IRS Code 1031 allows for the exchange of investment property to defer the capital gain tax and preserve their equity. In lieu of an actual “sale,” the 1031 exchange allows you to relinquish and acquire property through the use of a third party intermediary. A Qualified Intermediary is a professional that specializes in real estate exchanges. When exchanging property, there are several guidelines and restrictions that must be met, one of which is that the property you’re exchanging must be classified as an investment. Your personal residence or personal-use property, such as a second home, does not qualify. Likewise, the property you are acquiring must also be an investment property. However, there is great news for property owners that want to exchange their investment properties for a personal residence! In fact, many investors hold multiple properties and have earned quite a bit of equity. It’s those property owners that might be thrilled to learn that they can finally exchange those for the home of their dreams! While you cannot exchange from an investment property into a primary or personal use property, an investor can exchange into a property that they can then
As an added benefit, they can sell their former primary residence and use their Home Gain Exclusion (up to $500,000 for a married couple) to pay off the loan on their “dream home.” Beginning the 1031 exchange process is simple. Inform your Realtor that you want to
Movies at the Museum The Museum of Fine Arts, throughout August 713.639.6826 | mfah.org Tired of the typical summer blockbusters in the theaters? They may not have popcorn and m&m’s but the Museum of Fine Arts is screening a wide list of movies ranging from popular children’s flicks, documentaries and foreign films. There is something for everyone with a showing of Mary Poppins for the kids and back-by-popular-demand Alamar. Restaurant Week Local Restaurants, August 1st – 21st houstonrestaurantweek.com Indulge at some of your favorite local restaurant hot spots during this fabulous event. Enjoy a delicious dinner featuring a three-course meal for only $35 per person with $5 going to the Houston Food Bank. A new addition to this year’s event is the two-course lunch for only $20 per person. Some great restaurants who have participated in the past include Morton’s Steak House, McCormick and Schmick’s and Soma Sushi. Sushi 101 Central Market, August 4th 713.993.9860 | centralmarket.com Have you ever attempted to make sushi at home without success? Learn the ins and outs of sushi preparation from masterfully skilled Executive Sushi Chef Chris Nemoto. Nemoto will teach you his insider tricks as well as favorite recipes such as the Philadelphia Roll and Tuna Tataki. You are sure to impress at your next dinner party! Murder Mystery Dinner Messina Hof Winery and Resort, August 13th 979.778.9463 | messinahof.com Who doesn’t love a great mystery? The scene unfolds at a Golden Globes star-studded after party with plenty of secrets and drama pointing in the direction of the killer. Afterwards enjoy an A-List, three-course meal including delicious roasted red snapper as the main course.
convert into their primary residence. Known as Revenue Procedure 2008-16, the IRS has made this process simple, easy and perfectly legal! As you can imagine, the IRS has created some rules and restrictions. Here is a simple explanation of how it works: 1. Property owner sells their investment property and buys a primary residence through a 1031 exchange. 2. After the exchange, the property must be rented for at least 14 days during each of the two years after the exchange. There is no guideline that states that it can’t be rented to trusted friends. Family members, however, do not qualify. 3. For the first two years, the property owner can not reside in it for more than 14 days each year. 4. After that, the property is theirs to use as they like!
AUGUST 2010
do a 1031 exchange. They will make sure the correct language is in the contract. When you open escrow, give your Qualified Intermediary a call. Your Realtor should be able to recommend a good source. The QI will coordinate with escrow and make sure the exchange agreement is in place prior to close of escrow. Understanding the tax benefits available to real estate investors gives a new understanding of how powerful real estate holdings can be in your wealth portfolio. For more information and details on building your real estate portfolio, contact your Realtor.
Jack Johnson Cynthia Woods Mitchell Pavilion, August 18th 281.363.3300 | woodlandscenter.org Revel in Jack Johnson’s laid-back melodies during his latest tour, To the Sea. Johnson will entertain the crowd with new hits as well as old favorites. As always, 100% of the concert’s profits will go to charity. Opening acts include ALO and G. Love. Houston Astros vs. St. Louis Cardinals Minute Maid Park, August 30 - September 1st 713.259.8000 | houston.astros.mlb.com Root, root, root for our home team as they battle it out against the St. Louis Cardinals during this three-day series. Afterwards grab a bite at Minute Maid Park’s latest restaurant FiveSeven Grille.
Rolls Royce Owners’ Club – Texas Region rroctexas.com Membership is open to all individuals with an interest in any Rolls-Royce or Bentley motorcar. They offer insights into the history of the cars, technical advice, and provide outings and events designed to provide the opportunity for the use and enjoyment of the automobiles. Specialty events include the upcoming All British Car Show, and regularly scheduled driving tours featuring well-planned travel routes, special destinations and dining pleasures.
Featuring Morton’s Downtown • 713.659.3700 Galleria • 713.629.1946 mortons.com
WARM BLEU-CHEESE DIP INGREDIENTS: 8 slices hickory-smoked bacon, diced 2 cloves garlic, minced 8 ounces cream cheese, softened 1/4 cup heavy cream 4 ounces crumbled bleu cheese 2 tablespoons chopped fresh chives 2 tablespoons chopped almonds Crackers, sliced baguette, or trimmed fresh vegetables, for serving METHOD: • Preheat the oven to 350°F. • In a nonstick skillet, cook the bacon over medium-high heat for about 8 minutes or until nearly crisp. Drain the bacon and wipe the skillet dry. • Return the bacon to the pan, add the garlic, and cook over medium heat for about 3 minutes longer or until the bacon is crisp. Take care the garlic does not burn. Drain on paper towels. • In the bowl of an electric mixer fitted with the paddle attachment, beat the cream cheese until smooth. Add the cream and beat well to mix. Fold in the bacon, garlic, bleu cheese, and chives. • Transfer to a 2-cup baking dish, top evenly with the almonds, and bake for about 30 minutes or until heated through. • Serve with crackers, baguette slices, or vegetables.
In 1909, Henry Ford introduced the Model T, and so began America’s love affair with the automobile. By the 1970s, driving your first car was a right of passage into adulthood and the American car was a symbol of freedom and patriotism. But times have changed. With the advent of personal technology, popular culture expert Peter Latham of the University of Iowa suggests that cars are no longer the cultural icons they used to be. Today’s youth are more “like walking cyborgs with all these things (iPods, wireless cell phones) attached to them,” he says. “Cars have become functional. They are not statements anymore. Electronics are.” But there are still those who revere their ride, treating it with love and care like a family pet. For those who still relish automotive freedom – from classic cars, like the Mustang, to luxury vehicles, such as the Bentley – the call of the open road still beckons. So where do you find these like-minded enthusiasts? Auto clubs! Auto clubs tend to focus on a specific make or model of car, as the list of local auto clubs here illustrates. Membership in a specialty auto club opens the door to a whole new world of automotive culture, where you can gather with others who love their rides as much as you do to trade stories, share good times and possibly swap a wrench or two. Here is a short selection of automotive clubs available in the Houston area:
Ferrari Club of America – Houston Chapter fca-houston.org Calling all Ferrari lovers! Join up with other enthusiasts with a love and appreciation for the automobile. Ferrari ownership is not a requirement – simply an admiration of them is. Members socialize at monthly brunches held at area restaurants, attend car shows, embark on chapter drives – there’s even bowling events! Camaraderie and auto appreciation come together. DeLorean Owners of Texas txdmc.org The philosophy of the club is that the DeLorean should be driven and enjoyed. Consisting of owners and devotees that live in and around central and southeast Texas, the club plans events such as parades, rallies and tech events that bring the cars out into the public eye. Jaguar Club of Houston jcoh.cc Jaguar Club of Houston, affiliated with Jaguar Clubs of North America (JCNA), gathers jaguar owners and admirers to promote safe and skillful driving, as well as the preservation of Jaguar automobiles. Monthly meetings and other special events are enjoyed by members.
Mercedes-Benz Club of America mbca.org/Houston The Houston chapter has hundreds of Mercedes-Benz owners and enthusiasts as members. Chartered in 1976, this local club has organized various events ranging from social gatherings to technical sessions, driving events, autocrosses and car shows. Lamborghini Club America – Houston Chapter lamborghiniclubtexas.com Like most other car clubs, this club enjoys sharing information about exotic vehicles, including such lovelies as Ferrari, Maserati, Pantera, Alfa Romeo, FIAT and Lancia in addition to Lamborghinis. Members can attend various car club events and weekend road-trips, as well as casual get-togethers and “quick-runs.” Corinthian Vintage Auto Racing Club corinthianvintagerace.com Speedsters unite! If admiring and appreciating isn’t enough for you, this club takes “thrilling” to new heights. The club’s purpose is to support its members and organize races in which classic racers can strut their stuff. Upcoming events include the Fall Driver’s School and Races at Texas World Speedway which includes a three-day school and a full schedule of racing. Space City T’s Spacecityts.org The Space City T’s Club is the Houston chapter of The Model T Ford Club of America. With
planned events such as regular driving tours, ice cream socials and the like, it’s a family-oriented group. This fall, the club holds its 33rd annual Texas T Party – a four-day tour including a jaunt down Route 66, and the Cadillac Ranch. Texas Land Cruiser Club – Houston tlcc-houston.org This auto club was created as a friendly environment where like-minded Cruiser Heads and other Toyota 4x4 owners could gather for the purpose of enjoying off-road outings and camping trips. The club strives to protect our country’s natural resources as it explores the remote and inaccessible areas of Texas and surrounding states. The club is also active in keeping trails open and nature conservation.
Don’t see your favorite ride included here? There are thousands of auto clubs around the world, and many more right here in Texas. To find one that suits you, visit these websites: Classic Chassis Car Club of Houston (cccc-houston.org/clubs) provides a list of car clubs based in Houston, many of which have links to their websites. Car Clubs World Wide (carclubs.com) provides a list of automobile makes and models, helping you narrow your search for clubs that way. You also have the option of searching by club, country, city or state. Motor Addicts (motoraddicts.com) provides a wealth of information for car lovers. Click into their Community section to find an auto club near you. Antique Automobile Club of America (aaca. org) focuses primarily on vehicles that are at least 25 years old. Their website includes a list of clubs throughout the United States, as well as a few other countries.
1031 Exchange into Your Dream Home As most real estate investors are aware, the IRS Code 1031 allows for the exchange of investment property to defer the capital gain tax and preserve their equity. In lieu of an actual “sale,” the 1031 exchange allows you to relinquish and acquire property through the use of a third party intermediary. A Qualified Intermediary is a professional that specializes in real estate exchanges. When exchanging property, there are several guidelines and restrictions that must be met, one of which is that the property you’re exchanging must be classified as an investment. Your personal residence or personal-use property, such as a second home, does not qualify. Likewise, the property you are acquiring must also be an investment property. However, there is great news for property owners that want to exchange their investment properties for a personal residence! In fact, many investors hold multiple properties and have earned quite a bit of equity. It’s those property owners that might be thrilled to learn that they can finally exchange those for the home of their dreams! While you cannot exchange from an investment property into a primary or personal use property, an investor can exchange into a property that they can then
As an added benefit, they can sell their former primary residence and use their Home Gain Exclusion (up to $500,000 for a married couple) to pay off the loan on their “dream home.” Beginning the 1031 exchange process is simple. Inform your Realtor that you want to
Movies at the Museum The Museum of Fine Arts, throughout August 713.639.6826 | mfah.org Tired of the typical summer blockbusters in the theaters? They may not have popcorn and m&m’s but the Museum of Fine Arts is screening a wide list of movies ranging from popular children’s flicks, documentaries and foreign films. There is something for everyone with a showing of Mary Poppins for the kids and back-by-popular-demand Alamar. Restaurant Week Local Restaurants, August 1st – 21st houstonrestaurantweek.com Indulge at some of your favorite local restaurant hot spots during this fabulous event. Enjoy a delicious dinner featuring a three-course meal for only $35 per person with $5 going to the Houston Food Bank. A new addition to this year’s event is the two-course lunch for only $20 per person. Some great restaurants who have participated in the past include Morton’s Steak House, McCormick and Schmick’s and Soma Sushi. Sushi 101 Central Market, August 4th 713.993.9860 | centralmarket.com Have you ever attempted to make sushi at home without success? Learn the ins and outs of sushi preparation from masterfully skilled Executive Sushi Chef Chris Nemoto. Nemoto will teach you his insider tricks as well as favorite recipes such as the Philadelphia Roll and Tuna Tataki. You are sure to impress at your next dinner party! Murder Mystery Dinner Messina Hof Winery and Resort, August 13th 979.778.9463 | messinahof.com Who doesn’t love a great mystery? The scene unfolds at a Golden Globes star-studded after party with plenty of secrets and drama pointing in the direction of the killer. Afterwards enjoy an A-List, three-course meal including delicious roasted red snapper as the main course.
convert into their primary residence. Known as Revenue Procedure 2008-16, the IRS has made this process simple, easy and perfectly legal! As you can imagine, the IRS has created some rules and restrictions. Here is a simple explanation of how it works: 1. Property owner sells their investment property and buys a primary residence through a 1031 exchange. 2. After the exchange, the property must be rented for at least 14 days during each of the two years after the exchange. There is no guideline that states that it can’t be rented to trusted friends. Family members, however, do not qualify. 3. For the first two years, the property owner can not reside in it for more than 14 days each year. 4. After that, the property is theirs to use as they like!
AUGUST 2010
do a 1031 exchange. They will make sure the correct language is in the contract. When you open escrow, give your Qualified Intermediary a call. Your Realtor should be able to recommend a good source. The QI will coordinate with escrow and make sure the exchange agreement is in place prior to close of escrow. Understanding the tax benefits available to real estate investors gives a new understanding of how powerful real estate holdings can be in your wealth portfolio. For more information and details on building your real estate portfolio, contact your Realtor.
Jack Johnson Cynthia Woods Mitchell Pavilion, August 18th 281.363.3300 | woodlandscenter.org Revel in Jack Johnson’s laid-back melodies during his latest tour, To the Sea. Johnson will entertain the crowd with new hits as well as old favorites. As always, 100% of the concert’s profits will go to charity. Opening acts include ALO and G. Love. Houston Astros vs. St. Louis Cardinals Minute Maid Park, August 30 - September 1st 713.259.8000 | houston.astros.mlb.com Root, root, root for our home team as they battle it out against the St. Louis Cardinals during this three-day series. Afterwards grab a bite at Minute Maid Park’s latest restaurant FiveSeven Grille.