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SAN LUIS VALLEY
PROGRESS
2018 Real Estate
February 14, 2018 719-852-3531 835 First Ave. Monte Vista, Colo.
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Real Estate Progress
Wednesday, February 14, 2018
Affordable housing improvements made in Alamosa
ALAMOSA — Some of the most vulnerable residents in the San Luis Valley now have a warmer and safer refuge, thanks to $63,000 in renovations managed by Energy Outreach Colorado at an Alamosa affordable housing complex. The Casa Grande Apartments is home to low-income elderly, disabled and recently homeless residents. EOC managed the installation of energy-efficient equipment and health and safety measures in the eight-unit property that is significantly lowering energy costs while improving the building’s health and safety. The apartments are “some of the most affordable units in the Valley, which is great for our homeless population to recover and work toward sustainability,” said Joe Rhyne, case manager at La Puente, one of the largest assistance organizations in the San Luis Valley. The private owner of the one-story apartment building works with La Puente to help clients in its emergency shelter or living on the streets transition into affordable and stable housing. Improvements at the 1970s-era building included attic insulation, high-efficiency lighting, double-pane windows, steel exterior doors, bath exhaust fans, a highefficiency boiler and pipe insulation, lowflow water fixtures and new refrigerators. Annual energy cost savings are projected at about $4,500, which will help maintain affordable rents for residents struggling to become self-reliant. Energy Outreach Colorado contracted with the San Luis Valley office of the Energy Resource Center to install the improvements. Federal funding was provided through the Colorado Energy Office. In total, EOC has managed projects at six existing multi-family housing properties in Colorado over the past year to improve 420 affordable housing units. “Energy Outreach Colorado’s work is focused on ensuring that Coloradans can afford energy for their homes, and a critical part of that is to preserve and improve the critically-needed affordable housing in our state,” said Ashley Feiertag, EOC’s director of state programs.
Free energy improvements offered to SLV residents SAN LUIS VALLEY— Energy Outreach Colorado (EOC) is reminding residents in the San Luis Valley that free home energy improvements are available through Colorado’s Affordable Residential Energy (CARE) program that is managed by EOC. In the San Luis Valley, CARE is a partnership between Xcel Energy and the Energy Resource Center. CARE experts installed free storm windows and other energy-efficient improvements to increase comfort and safety as well as costs. Residents can also enroll as a free income-qualifying subscriber to a newly built solar energy project that generates energy through a concentrated garden of panels. The San Luis Valley solar garden was developed by Clean Energy Collective, based in Louisville, CO. Five percent of all subscribers in the six-county region are reserved for qualified, low-income subscribers at no cost. The energy produced by the garden is sold to Xcel Energy. To learn more about CARE and the community solar garden, contact Jenna Harmon in the EOC office at jharmon@energyoutreach.org or call 303-226-7064.
Courtesy photos
Casa Grande’s original boiler was replaced by the new, high efficiency boiler. homes. About Energy Outreach Colorado Established in 1989, Energy Outreach Energy Outreach Colorado raises funds to works with partner assistance organizations, help low-income Coloradans afford home vendors and subcontractors across the state energy and remain warm and safe in their to provide energy bill payment assistance,
emergency home furnace repair, weatherization services, energy efficiency grants for affordable housing and nonprofit facilities, energy education, and advocacy on behalf of low-income energy consumers.
Programs available to avoid foreclosure BY LYNDSIE FERRELL SAN LUIS VALLEY— With the rising economy in the San Luis Valley, there is an increasing market for buying a home and with that, the risk of foreclosure. Many who have found themselves in a bind, have sought out the help of governmentbased programs that are geared towards avoiding foreclosures for first time home buyer, buyers who have lost their jobs and home owners who have found their homes decreasing in value. These programs are available to anyone who meets the qualifications. Many of the government-based programs caution people seeking assistance against fraudulent companies that advertise foreclosure aid; oftentimes these companies take money and end up putting people in a tighter bind. It is always best to research any company prior to signing an agreement or contract. Companies that promise a quick fix or low interest loans often are too good to be true. As of January 2018, the Rio Grande County Treasurer’s office is reporting a total of 11 foreclosures for the year and Alamosa County is reporting 18. These documents are public and can be viewed on their websites. Many of the homes listed on the documents are in the process of foreclosures and are for sale by the banks that carried the home loans. There are two programs available to people seeking help that have been proven to be successful. The first is through the HUD program and may
be familiar to some. The Making Home Affordable (MHA) program is a government-based program that helps people who want out of their home loans without having to go through foreclosure. According to the description, “The MHA Program is a broad strategy to help homeowners avoid foreclosure, stabilize the country’s housing market and improve the nation’s economy. Homeowners can lower their monthly mortgage payments and get into more stable loans at today’s low rates. And for those that home ownership is no longer affordable or desirable, the program can provide a way out, which avoids foreclosure. Additionally, in an effort to be responsive to the needs of today’s homeowners, there are also options for unemployed homeowners and homeowners who owe more than their homes are worth.” Another program available focuses on people who wish to lower their monthly mortgage rates. “Home Affordable Modification Program (HAMP): HAMP lowers your monthly mortgage payment to 31 percent of your verified monthly gross (pre-tax) income to make your payments more affordable. The typical HAMP modification results in a 40 percent drop in a monthly mortgage payment. Eighteen percent of HAMP homeowners reduce their payments by $1,000 or more.” Additionally, for those that are looking to purchase a home for the first time, they can seek help through the United States Department of Agriculture (USDA), which offers several dif-
ferent types of programs geared towards helping communities like the San Luis Valley. Everything from business services to economic development, the USDA is one of the leading departments driven towards helping rural communities succeed. The USDA offers well over 50 financial assistant programs that keep rural communities afloat during difficult times. One of the programs that is used here in the Valley is the single-family home loan program for rural communities. The USDA considers any community with a population of 20,000 or less as a rural community and will help families that qualify for no money down, move into a new, safe home. The program is built in a way that is almost guaranteed to help the family be successful in buying their first home. The process in which the USDA is able to offer the program is quite simple. The department looks for lenders who are willing to hold a basic home loan for a slightly longer period of time allowing the payments to be significantly less than the ones offered through other banking and financial options. Loan specialists with the USDA worked with potential clients to not only build a sustainable budget for their financial future, but also advice on what they can do to work on their credit and financial history. For more information or a list of programs available, visit www.hud.gov/topics/avoiding_foreclosure.com
What is the tiny house movement? The tiny house movement has transformed the way many people look at housing and how it can help them downsize not only their residences, but also their lives. Living small has been embraced as an ecofriendly way to cut costs and simplify life. According to the tiny house resource The Tiny Life, the typical American home is 2,600 square feet, while the typical tiny house is between 100 and 400 square feet. Many tiny homes are smaller than the average urban apartment. Proponents of the small house movement say that living the tiny life isn’t really a sacrifice, but a way to experience a simpler, fuller life that frees them from expensive mortgage payments and unnecessary clutter. One of the advantages of tiny house living
is that buyers are often able to buy their homes (whether stationary or mobile) outright, eliminating the need to finance their purchases. Tiny homes also boast much lower utility bills than more traditional homes. Outfitting tiny homes with wood-burning appliances can keep heating costs to a minimum. In some instances, tiny homes are completely off the grid. According to the resource Living Big in a Tiny House, the tiny house movement is eco-friendly. Small homes create much smaller carbon footprints than large homes. In addition, the resources needed to build and sustain such homes pales in comparison to those needed to build and maintain more traditional homes. Furthermore, with less interior space, residents of tiny homes are less likely to acquire items they don’t necessarily
need, reducing clutter and saving money. The following statistics, courtesy of The Tiny Life, paint a picture of the tiny home lifestyle: • Sixty-eight percent of tiny house people have no mortgage, and 78 percent own their home. • The average cost to build a tiny house is $23,000 for do-it-yourselfers. • Eighty-nine percent of tiny house dwellers have less credit card debt than the average person. • Tiny house owners earn an average of $42,038 each year. • Many tiny home owners are age 50 or older. Those interested in the tiny house lifestyle can find many companies that now specialize in these dwellings. Empty-nesters looking to downsize may find tiny homes are an affordable way to simplify their lives. TF17C558
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Real Estate Progress
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South Fork Heights receives facelift BY LYNDSIE FERRELL
SOUTH FORK— When Brandi Wilson moved to the Del Norte area with her husband and son from the Front Range, she had planned on being a stay at home mom until she noticed that a local income based apartment complex in South Fork was looking for a management team and she decided to give the opportunity a try. Now, Wilson has watched the complex turn from a shabby, worn down structure into something beautiful that residents can take pride in, the GardenWalk of South Fork. “I always wanted to help people which was why I was in health care before we moved here and then when I saw the ad in the paper for a management position at South Fork Heights and knew that I could help people there too,� said Wilson. Wilson began her position at the apartment complex in March and in August the eight-building facility began undergoing a complete renovation. “It took the owners three years to come up with the funding and we began renovations in August. ,� explained Wilson. A company called Belmont Management purchased the property three years ago with hopes of receiving funding from HUD Housing to help with a remodel project. Over the course of the three-year wait, the buildings fell into disrepair and tenants found themselves in less than appropriate conditions. The long wait was over in the spring of this year, when they were notified that the entire facility would receive enough funding to completely remodel every unit, refurbish sidewalks and parking lots, add in a new playground and community building as well as new laundry facilities and landscaping. “It has been amazing to be a part of this project and to be able to offer affordable housing to people who live in this story book town. We live in such a beautiful place and now this apartment complex will reflect the rest of this picturesque town,� said Wilson. The entire project was federally funded through the HUD program, bringing the income-based apartments up to code and ADA compliant. The project that started in August required the current residents to move to the front four buildings on the property while the back four units were completely gutted and remodeled. Each of the one, two and three-bedroom units received wood flooring, ceiling fans, forced central heat, new fixtures throughout the units and new appliances in the kitchens and bathrooms. Then the project moved outdoors where siding and outdoor fixtures were replaced. The back parking lot has been completely repaved and the sidewalks around the back units are brand new. In addition to the remodel and paving projects, the funding will also allow for new landscaping in the spring and a new community building that will house a small library, public computer and family event space. The outdoor area behind the complex to the east will have a picnic area complete with a pergola and barbeque pit. “We are going to continue fundraising for the additional four cement pads around the other units so that each one can have a picnic area of their own,� said Wilson. The apartment building is always accepting qualifying applicants that meet specific income requirements. For more information, please contact Wilson at 873-5513.
Photos by Lyndsie Ferrell
South Fork Heights began renovations of the entire apartment complex in August. The remodeled units were completely gutted to make room for new flooring, fixtures and appliances for tenants. There are one, two and three bedroom units available for qualifying individuals. The project will be complete in early summer of this year.
Right: New manager Brandi Wilson came to the complex last March and has been there throughout the entire remodel process.
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Real Estate Progress
Wednesday, February 14, 2018
High Valley Manor, staff win prestigious awards BY CHELSEA MCNERNEY-MARTINEZ
MONTE VISTA—At the 18th Annual Rural Development Multi-Family Housing conference held last May, the High Valley Manor in Monte Vista defeated over 130 other multi-family complexes in the state to win several awards. High Valley Manor, a complex under the San Luis Valley Housing Coalition, won the 2016 USDA Colorado Multi Family Property of the Year; 2016 Family Site Manager of the Year went to Shawna James, and 2016 Family Maintenance Person of the Year went to Luther Waldroupe. James has been High Valley Manor’s manager for seven years. This is the second time that she has won the site manager of the year, the first time in 2010 and she was nominated last year as well. San Luis Valley Housing Coalition Executive Director Dawn Melgares praised James’ hard work: “Shawna does a great job of making this feel like home, not low-income housing.” James stated that in addition to her usual duties she puts together barbecues, holiday dinners and other activities for the building’s residents. She also organizes their community garden and decorates the flowerbeds, keeping the grounds looking vibrant regardless of the season. “This is a home,” stated James, “We live in an apartment Luther Waldroupe was named the 2016 All of the High Valley Manor’s prestigious awards are displayed. building. Just because this is low-income hous- Family Maintenance Person of the Year. ing doesn’t mean it’s not a nice home. We’re not ashamed to say we live at High Valley.” Jessica Martin, MFH loan specialist with Rural Development, also stated of James, “In the heart of this complex is the site manager who has struggled through the ups and downs, however she has continued to keep a positive attitude and move forward for the benefit of the tenants.” Martin also provided some of the tenants’ comments about James in her nomination, including “She is a wonderful manager; she goes beyond to help others.” “She does have a whole lot of patience and understanding. This goes beyond just the business end of managing operations.” Waldroupe has been with High Valley Manor for over three years. James stated that he “goes above and beyond for tenants…he will do anything he can do within the allowable regulations.” Some of the manor’s tenants added remarks like “He is amazing; this man works really hard and he does everything with quality.” “I would be very sad if he wasn’t working here; I adore him. He is friendly, funny, kind and a hard worker.” Martin added that Waldroupe is “a true professional.” The 33-unit complex has undergone several changes in the last several months. The second and third floors now have laundry rooms and the building has new boilers, hot water heaters, energy efficient lighting in the common areas, a repaved parking lot and a new pond. The pond was an unplanned improvement that occurred when repaving the parking lot, as it helps remove the standing water. New windows and doors have been added where needed to improve some of the unit’s heat retention and circulation. “One of the biggest compliments about the renovation that we have received is when tenants told us that they had to turn their heat down in February, because one of the biggest problems had been how cold the building was,” James joked. The ADA apartments have recently been completely remodeled, costing nearly $70,000 each. They now have roll-in showers with removable benches, new flooring, new windows, new doors, new ADA appliances and other major changes. “By upgrading a lot of our equipment we can help make our costs and our tenants’ costs lower,” Melgares stated. “We will continue to do more upgrades and look at more funding and grants as we need to,” Melgares said positively. She added “This award isn’t possible without not only the staff but the volunteer board of directors, the staff of Rural Development and the Division of Housing.” Some of the renovations are shown at the ADA apartments in High Valley Manor.
Courtesy photos
Steps to take before an appraiser’s visit Homeowners unfamiliar with the appraisal process might not know if there is anything they can do to make the process go more smoothly. While certain variables involved in the appraisal process, such as location of the home and the value of surrounding homes, are beyond homeowners’ control, the Appraisal Institute recommends homeowners take the following steps before an appraiser visits their home. • Clean the house. A dirty home that is full of clutter will not make the best
impression on appraisers. Dirty homes may be vulnerable to insect infestations that can lead to structural problems with the home. While a dirty home is not necessarily an indicator of infestations or a reflection of a home’s value, a clean home will create a stronger first impression with the appraiser. • Make any necessary repairs ahead of the appointment. Homeowners who have been putting off repairs should make them before the appraiser arrives. Homes with repairs that still need to be made will
likely be valued less than similar homes with no such repair issues. Though repairs can be costly, investing in home repairs will likely increase both the appraisal and resale value of the home. • Obtain all necessary documents before the appraiser arrives. Homeowners who have certain documentation at the ready can speed up the appraisal process. Such documentation may include a survey of the house and property; a deed or title report; a recent tax bill; if applicable, a list of items to be sold with
the house; purchase history of the home; and the original plans and specifications of the home. • Inform the appraiser about recent improvements. Homeowners can inform appraisers about any recent improvements to the home and the cost of those improvements. The value of home improvements with regard to a home’s appraisal value vary depending on a host of variables, but having such information at the ready can help appraisers make the most informed appraisal possible. SH172759
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Affordable housing planned near Alamosa B Y R UTH H EIDE ALAMOSA — In the summer of 2017 the Alamosa City Council approved a plat providing 48 more affordable home sites in Montaña Azul Estates on south Craft Drive. The city planning commission had also recommended approval. Alamosa Public Works Director Pat Steenburg reminded the council that the city’s comprehensive plan identified the need for more affordable housing, and applicant Colorado Rural Housing and Development Corporation (CRHDC) would not be asking for more home sites if it did not believe it could fill them. CRHDC Program Director Scott Wilson said the self-help program, through which these homes will be constructed, helps meet the affordable housing crisis that exists in the area, state and nation. This program in Alamosa is responsible for constructing 12-14 affordable homes each year, he said. Al Gold, who has been with CRHDC for many years, added that during the more than 30 years the program has operated in the San Luis Valley, it has been responsible for constructing more than 250 homes in Alamosa alone and contributing more than $38 million to the local economy. CRHDC has taken vacant land and put it on the tax rolls, Gold added. “It’s not a hand out, it’s a hand up we are providing,” Gold said. Homeowners contribute more than 1,100 hours towards constructing the homes in their group through “sweat equity,” he added. “They have a loan. They pay for it,” he said. “We are very pleased to have this program here in Alamosa and across the San Luis Valley,” Gold said. Councilman Charles Griego commended CRHDC and Al Gold specifically for taking an area of town that had been a dumping site for trash and debris and cleaning it up for home sites so folks could realize the dream of homeownership. He said one thing the area lacks, however, is a park for the children. He suggested using drainage areas for park space. City Manager Heather Brooks said Griego’s comment was very much in line with the comprehensive plan update, which pointed out that while Alamosa has a fair number of parks for a city this size, one area that is lacking park space is this one. City staff hopes to include a park for this area in capital improvement funding, she added. She said since the storm drainage is dedicated to the city, the city owns that property. City staff members are trying to figure a creative way to use that space for drainage and recreational space. “I think that tool is in place,” Steenburg said. “It just hasn’t been used in the past.” Previous Alamosa Mayor Josef Lucero said a recreational area for the children in the neighborhood would be important. Addressing a concern about the number of homes planned for the lots, Steenburg said when this subdivision was initially approved in 2003, it created a commercial business zone north of Tremont and residential high south of Tremont. Residential high is the least restrictive residential zoning and permits single-family homes (which is what is proposed), townhomes and multi-unit dwellings. Steenburg said the proposed lot sizes for this phase average 8,400 square feet, more than meeting the 7,000 square feet required in the city ordinance. Other towns allow smaller lot sizes: Salida, 5,600 square feet; La Junta, 6,000 square feet; and Gunnison 6,500 square feet. Pagosa Springs’ requirement is 7,500 square feet. Councilman (at the time) Michael Stefano said he knew families who had been involved in building these homes,
Photo by Ruth Heide
Another house is taking shape in Montaña Azul Estates on south Craft Drive in Alamosa. In July the Alamosa city council approved a plat for additional affordable housing units.
and it was exciting to see them become homeowners. He agreed with Griego that recreational space is needed in this area. Councilor Kristina Daniel said she appreciated the affordable housing created in Alamosa. “I am really excited about the potential for this project,” she said.
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Real Estate Progress
Wednesday, February 14, 2018
Photo by Teresa L. Benns
This type of structure could drive down the property values of those living adjacent to the property.
Marijuana’s impact on SLV real estate B Y T ERESA L. B ENNS SAN LUIS VALLEY — Those reading the glossy magazines that invite tourists and potential property owners to the San Luis Valley 15 years ago were regaled with the importance of preserving the environment, protecting the Valley’s water and wildlife, working to preserve the natural beauty and unique culture of the region and basically keeping the Valley as untouched by historically non-compliant influences as possible. Residents treasured the Valley as a hidden jewel and a place of unequaled spiritual significance. No county beat the drum more loudly in this regard than Saguache County. But today this county is the second largest rural county cultivating marijuana in the state, with a total of 40 potential grows, something that seems out of place culturally and historically to many locals. At the insistence of longtime residents and property owners, Saguache County recently placed a four-month moratorium on further marijuana applications in order to re-evaluate and adjust current regulations. During the public meeting that preceded the moratorium, some legal marijuana growers objected that their grows and retail stores could only increase the value of properties in the area. This article will
attempt to evaluate the pros and cons of this issue. Do home prices and property values increase in pot friendly areas? Answers are mixed on this question. Some studies credit the recent housing boom in Denver to increasing home values there by six percent. (http://dankrell.com/blog/2017/11/17/ marijuanas-high-home-values/ ). This comes out of the Annual Meeting of the Allied Social Sciences Associations held by the American Economic Association. (Cheng, Mayer and Mayer: The Effect of Legalizing Retail Marijuana on Housing Values: Evidence from Colorado; working paper, 2016). But the Valley has not yet seen a real estate boom even though several towns sport both medical and retail marijuana stores and grows, not to mention the many acreages devoted to cultivation. Large cities, however, are a different animal. And cultivation versus retail sales would not seem to be as attractive as retail shops. However, “Home prices tend to be higher in the roughly 60 Colorado cities and towns where cannabis is legal than the more than 200 where it’s not,” the article linked below reports.
Migration The second link below explains that people relocating to take up offers of marijuana-related employment could well increase the housing demand. This includes entrepreneurs, those seeking jobs, as well as those wishing to use marijuana. In this largely rural area, those coming for jobs would probably need to buy homes or rely on housing provided by growers, as rentals are not easy to find in the Valley. Home prices here are generally much lower than in Denver and pay for cultivation positions tend to be much higher than the average local wage. Those cultivation operations that become a permanent fixture here could result in attracting staff who would live here permanently, versus seasonally, as seems to be the case today. Drawbacks An article at http://www.heraldtribune. com/news/20171026/budding-blend-realestate-and-marijuana explains how neighborhoods where grow houses are located tend to lose value, owing to the proximity of the strong odor, lights and noise from fans and generators, if these are indeed an issue. Certainly they have become an issue according to statements given to Saguache County Commissioners by adjacent landowners. The value of buildings used to grow
marijuana remaining on properties that no longer are used for production also could be a problem, at least in residential areas. The smell permeates walls of the structure and is almost impossible to remove. Mold is another possibility that can be difficult to address. Also, in operations where cannabis oil is extracted, fire and explosion have been known to occur. It is not known how much the mold and odor problems would affect greenhouses used to grow cannabis, which is usually the case with local grows. One web article points out that typically people are not “keen” on living next to operations associated with the marijuana industry and adjacent properties tend to lose value. And the tendency in this area for seasonal growers and workers to occupy unsightly “settlements” along local highways is not conducive to attracting new residents to the area. The true impact of cannabis cultivation on real estate in the Valley remains unknown at this time, as operations are still struggling to establish themselves and some counties and municipalities are blocking retail sales as well as cultivation. But according to information available at this time, there is both the potential both for increased real estate sales as well as a decline in property values.
Homelessness increases in Colorado COLORADO— Homelessness crept up in Colorado according to the latest national estimate by the U.S. Department of Housing and Urban Development (HUD). While overall homelessness increased, HUD’s 2017 Annual Homeless Assessment Report to Congress found that the number of persons in families with children experiencing homelessness declined 17.8 percent in Colorado since 2016 and by 57.4 since 2010. Veteran homelessness in Colorado declined 8.7 percent from 2016 and 18.1 percent from 2010. Local communities reported 10,940 persons experienced homelessness on a single night in 2017, an increase of 3.7 percent since last year. “In many high-cost areas of our country, especially along the West Coast, the severe shortage of affordable housing is manifesting itself on our streets,” said HUD Secretary Ben Carson. “With rents rising faster than incomes, we need to bring
everybody to the table to produce more affordable housing and ease the pressure that is forcing too many of our neighbors into our shelters and onto our streets. This is not a federal problem—it’s everybody’s problem.” “The lack of affordable housing in the Rocky Mountain Region has meant that more people are experiencing homelessness,” said HUD Rocky Mountain Deputy Regional Administrator Eric Cobb. “It is more important than ever that we work together to create and maintain affordable housing to ensure that the families, veterans, and youth of our communities have quality places to live.” HUD’s national estimate is based upon data reported by approximately 3,000 cities and counties across the nation. Every year on a single night in January, planning agencies called ‘Continuums of Care” and tens of thousands of volunteers seek to identify
the number of individuals and families living in emergency shelters, transitional housing programs and in unsheltered settings. These one-night ‘snapshot’ counts, as well as full-year counts and data from other sources (U.S. Housing Survey, Department of Education), are crucial in understanding the scope of homelessness and measuring progress toward reducing it. Key National Findings of HUD’s 2017 Annual Homeless Assessment Report: On a single night in January 2017, state and local planning agencies (Continuums of Care) in Colorado reported: 10,940 people were homeless representing an overall 3.7 percent increase from 2016 and a 29.3 percent decrease since 2010. The data indicates a 3.8 percent decline in overall homelessness in the Metro Denver area. Most homeless persons (7,081) were lo-
cated in emergency shelters or transitional housing programs while total 3,859 persons were unsheltered. The number of families with children experiencing homelessness declined 17.8 percent since 2016 and 57.4 percent since 2010. Veteran homelessness decreased 8.7 percent (or 103 persons) since January 2016. Since 2010, Veteran homelessness in Colorado declined 18.1 percent. On a single night in January 2017, 1,078 Veterans were experiencing homelessness. The number of unaccompanied homeless youth and children in 2017 is estimated to be 763. This year, HUD and local communities launched a more intense effort to more accurately account for this important, difficult to count population. HUD will treat 2017 as a baseline year for purposes of tracking progress toward reducing youth homelessness.
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Real Estate Progress
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Photo by Sylvia Lobato
A new Habitat for Humanity home is underway on Edison Avenue in Alamosa. Behind it on Ross, two homes have recently been occupied by happy families.
Home ownership easier with two self-help programs
SAN LUIS VALLEY — San Luis Valley residents can help themselves to a new home with two available programs. Colorado Rural Housing Development Corporation (CRHDC) has helped more than 1,700 families build their homes in 30 different counties through its mutual self-help program, which allows new home buyers to take an active role in the construction of their own homes. In this program, participants contribute significant “sweat equity” towards the construction of their home, bringing down development costs and producing a more affordable home. Each family contributes a minimum of 30 hours of labor per week towards the homes for approximately six to eight months. Sonia Chacon, a first time home-owner participant, said: “I think the Mutual Self-Help home program is a great program for people like me. When I first began the home buying process I felt so helpless because I didn’t realize how much was involved. It’s great to be
and nowhere could that be more evident than in the homes built by Habitat for Humanity. Habitat for Humanity is a nonprofit, ecumenical Christian housing ministry building simple, decent homes in partnership with those in need of affordable housing. Families qualify based on their need for decent housing, willingness to partner with Habitat, and their ability to pay the 0 percent interest mortgage. Interested families can contact the organization with any questions. The San Luis Valley Habitat for Humanity began in 1994, and has served nearly 20 families and households in the Valley, including Saguache. As most recent census data indicates, the San Luis Valley is one of the most economically challenged regions in Colorado. Therefore there is a big need of decent, affordable housing. Most of the Habitat homes are built with Habitat for Humanity It’s said that home is where the heart is, adobe bricks and make use of passive solar
able to work with the CRHDC staff and also be around other families. I’m excited for a place to call my own and not have to waste money any more on renting.” The mutual self-help program provides stable foundations for families, neighborhoods and communities. They are currently seeking interested homeowners in Alamosa to participate in this program. For more information, contact Robert Villagomez at 719-589-1680, ext. 11. The programs offered by CRHDC provide technical assistance in the various aspects of developing agricultural housing, from the pre-application phase through construction, including rent-up and management. This assistance is available to private and public nonprofit organizations in the central and western regions of the U.S.
heating. These responsible building techniques help make housing truly affordable with lower energy bills. The Habitat Vision is a world where everyone has a decent place to live. Habitat invites people from all walks of life to join in the mission to eliminate poverty housing worldwide. The nonprofit unite people around the concept of “putting God’s love into action” along with others from all faiths or with no faith convictions who are interested in helping those in need of improved shelter. And as they head continue in the New Year, the nonprofit’s resolution is to begin building two houses per year, about double the rate they are currently building. Also offered is the Habitat ReStore, which offers gently used and donated items, with all proceeds going to the housing programs. Phone the store at 719-589-8688 or the main office at 589-8678.
Simple ways to help cut mortgage costs Monthly mortgage payments are the biggest single expense for many homeowners. So it’s understandable why plenty of homeowners would love to trim those costs. A host of factors determine how much homeowners pay for their mortgages each month. The cost of the home, the amount of the initial down payment and property taxes, which are often folded into monthly payments, will factor heavily into the cost of home ownership. While homeowners may feel as though there’s little wiggle room to cut the costs of their mortgages, there are several ways to do just that and potentially trim years from the life of a home loan. • Make bi-weekly payments. Making bi-weekly instead of once-a-month payments can save homeowners substantial amounts of money. A year’s worth of once-a-month payments equates to 12 payments per year. But homeowners who pay on a bi-weekly basis will make 26 half payments, or 13 full payments, per year. That extra annual payment can be applied directly to the principal, dramatically reducing how much homeowners pay in interest over the life of their loans. • Stop paying PMI. Homeowners whose initial
down payments are less than 20 percent of the sale price will have to pay private mortgage insurance, or PMI. But once the balances on such mortgages falls below 80 percent, homeowners can cancel such insurance. Homeowners may also be able to stop paying PMI by having their homes reappraised. • Refinance the loan. Refinancing a loan also can save homeowners substantial amounts of money each month. Homeowners are typically eligible for lower interest rates when refinancing their loans, meaning they will pay less in interest each month. However, refinancing is not free, so homeowners should first check the going home interest rates and examine their credit scores to see if the interest rate they’re likely to get upon refinancing will save them money. The cost of refinancing might be more than homeowners can save. • Request a tax reassessment. Real estate values increase and decrease, and homeowners who feel their homes have decreased in value can request that their homes be reassessed. Homeowners whose homes are assessed at a value lower than the current value can expect to pay less each month in taxes. MM17C555
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Real Estate Progress
Wednesday, February 14, 2018
SLV Housing Coalition strives to help Valley with home needs
SAN LUIS VALLEY—The San Luis Valley Housing Coalition (SLVHC) is a non-profit organization that has been helping households around the Valley find and maintain affordable housing since 1993, celebrating 25 years in 2018. Two housing properties with rent assistance are offered; these include the High Valley Manor apartment complex in Monte Vista for low-moderate income households and the Casita de la Luna apartment complex in Alamosa for the elderly and/or disabled. Two loan programs are offered as well, which help households purchase or maintain a home. SLVHC’s mission is to provide safe and affordable housing to low-moderate income community members by finding the right program that fits their needs. The SLV Housing Coalition has the opportunity to offer nine Down Payment Assistance Loans, six Rehabilitation Assistance Loans and three Emergency Rehab Loans to households across the Valley. These programs come from grants received in 2017-2018 from DOLA, through the Colorado Department of Housing Department out of Denver. They are set up to help low to moderate income households with a low interest loan on their home. When borrowers make the monthly loan payment those funds are than used to fund new loans each year, along with the grant funds, to new households. Both of these programs are set up to help families, which meet the program income guidelines, obtain and/or maintain
affordable and safe housing. The rehabilitation loan, also known as REHAB, is a program that both the Alamosa County Commissioners and the SLV Housing Coalition are sponsoring. The rehabilitation loans allow a homeowner, who lives in the home as a primary residence; repair a home back to HUD health and safety standards. This can be anything from a new roof, windows, plumbing, floors, and more. Once pre-approved the SLV Housing Coalition will send an inspector to the home to help determine what repairs the home needs and help find a contract to complete the repairs. New this year is the opportunity so provide three Emergency Rehab loans for households that own a mobile home in a trailer park. The terms are different but SLVHC is happy to be able to help this underserved section of our community. The Down Payment Assistance loans, also known as DPA, can help a homebuyer with up to one half of the down payment needs from their traditional funding through a lending institution plus reasonable closing fees. The homebuyer chooses the lending institution; they can be either local or national, and the home they wish to purchase. Once a home buyer has secured traditional financing and signed a contract on a home SLV Housing Coalition can then possibly help with down payment needs. The SLV Housing Coalition works hand in hand with the borrowers lending institution to make the dream of home ownership come true. Together with your lending institution we can help make the
dream of homeownership a reality. The San Luis Valley Housing Coalition is here to help community members around the San Luis Valley with their home needs in any way possible. All of the programs offered have income limits and other requirements so if interested, please contact the office at 587-9807 or admin@slvhc.com
for more information. The coalition is also looking for members from all six counties to serve on the board of directors. “We look forward to working with the community members to find or maintain affordable housing within the six counties of the Valley for another 25 years,” said Dawn Melgares, executive director.
Growing trends in today’s home construction
Although the heydays of the real estate boom of the early 2000s have not quite returned, things look positive. In the United States, 1,226,000 new homes were built in 2016, according to data from Consumer Reports. That was the most since 2007. Resales also have been more promising. The National Association of Realtors® says the median number of days a home was on the market in April 2017 reached a new low of 29 days. However, low supply levels did stanch existing home sales somewhat. By mid-2017, the market was a seller’s market, with more people in the market for homes than properties available. But sales during that time were still outpacing sales figures from a year prior. In fact, in May 2017, home sales in Canada increased to their highest level in more than five years, according to the Canadian MLS® Systems. Low interest rates on mortgages and more confidence in the economy has driven many people to make improvements to their existing homes. As is typical, the things homeowners are looking for in 2017 have evolved from years past. The following are some trends that are helping to steer the real estate market further. • Smaller homes: Home sizes in the United States steadily increased for decades, eventually leading to an average of 2,453 square feet in 2014, according to U.S. Census figures. However, Realtor.com reported in 2015 that new construction homes have already begun to shrink by 40 square feet. There seems to be a slight trend toward more modest homes as people consider affordability and maintenance on larger properties. The National Association of Home Builders states buyers are now looking for smaller, more livable homes with flexible floor plans, energy-efficient appliances and plenty of storage space. • Matte finishes: Stainless steel and luster have been popular for years. However, the next big thing is matte finishes on faucets, appliances and even in countertops. These less flashy finishes are prized for their warmth and elegance. While some high-end models with matte finishes have been available for several
years, even less expensive models are now available. • Smarter technology: Many homeowners are embracing smart technology throughout their homes, but it’s not just lights that turn on with voice command or more efficient thermostats. Innovative technology includes toilets that can autonomously stay clean and sanitized, refrigerators equipped with cameras so homeowners can see the contents inside and indoor food
recyclers that can turn food waste into fertilizer. Staying abreast of the ever-changing trends in home improvement and real estate can help consumers make the best choices with regard to buying and building their homes. FH178268 Houses are shrinking, selling faster and getting smarter upgrades according to industry statistics. Courtesy photo