Tag Archives: North Salem Luxury Homes

Pending Sales of U.S. Existing Homes Drop for Fifth Month | North Salem Real Estate

The number of contracts Americans signed to buy previously-owned homes unexpectedly fell in October for a fifth consecutive month amid higher borrowing costs that are denting the real-estate recovery.

The gauge of pending home sales decreased 0.6 percent after a 4.6 percent drop in September, the National Association of Realtors said today in Washington. The median projection in a Bloomberg survey of economists called for a 1 percent gain in the index from the month before.

Higher mortgage rates and price increases driven by a tighter supply of homes for sale may be keeping some prospective buyers out of the real-estate arena. Further gains in hiring and confidence would help boost the housing-market recovery as well as the U.S. economic expansion.

“When mortgage rates went up, people got spooked and rushed into the market to seal deals,” Patrick Newport, an economist at IHS Global Insight in Lexington, Massachusetts, said before the report. “The numbers that we’re seeing for pending home sales are payback for the stronger numbers earlier this year.”

Estimates in the Bloomberg survey of 39 economists for pending home sales ranged from a decline of 2.5 percent to an advance of 3.5 percent.

The NAR’s report showed purchases decreased 2.2 percent from the year prior on an unadjusted basis.

The pending sales index was 102.1 on a seasonally-adjusted basis, the lowest this year. A reading of 100 corresponds to the average level of contract activity in 2001, or “historically healthy” home-buying traffic, according to the NAR.

Facing Headwinds

“We could rebound a bit from this level, but still face the headwinds of limited inventory and falling affordability conditions,” the group’s chief economist Lawrence Yun said in a statement. “Job creation and a slight dialing down from current stringent mortgage underwriting standards going into 2014 can help offset the headwind factors.”

Two of four regions showed a decrease from the September figures, led by a 4.1 percent slump in the West. Pending sales also declined in the South and rose in the Northeast and Midwest.

Existing-home sales are expected to reach about 5.1 million this year and be little changed in 2014, the group said. Purchases weakened in October to a 5.12 million annual rate, the fewest since June, the NAR reported last week. About 4.7 million previously-owned homes were sold in 2012.

 

 

 

http://www.bloomberg.com/news/2013-11-25/

What to Do in Winter to grow your garden | North Salem Real Estate

What are you growing in your garden this winter? This is not a trick  question. When you work an organic food garden in ways that bring out the best  in your site, your soil and your plants, winter is an interesting and useful  stretch of time. In most regions, you can enjoy spinach, Brussels sprouts,  sunchokes, kale, carrots, parsnips and other cold-hardy crops all through the  winter. Gardening is a very rewarding hobby however, it can take up a lot of time. If you find it difficult to keep up with your house work and garden don’t settle! Give Maid2Match cleaning in Toowoomba a call so you can focus on your garden.

To help you brush up on your cold-season gardening skills, let’s tick through  the simplest, most sustainable ways to address the three main winter gardening  tasks:

  • growing cold-hardy edibles
  • using compost, cover crops and mulch to radically improve soil  quality
  • enhancing habitats for hard-working beneficial insects and wildlife

No matter where you live, you can make use of climate-appropriate techniques  to bring spinach, kale, chicories and other hardy vegetables through the winter  (see Grow Great Salads Year Round, August/September 2006). You  will need an attached greenhouse in Zones 2 to 4, but in Zones 5 to 7 you can  get by with a tunnel covered with one layer each of row cover and plastic (the  plastic comes off easily for ventilation). Support the tunnel with an arch of  heavy-gauge wire fencing to make sure it can stand up to accumulated ice and  snow, like a green igloo.

Protect Fall Crops

If you have carrots in the ground, take this tip from Eliot Coleman, author  of Four-Season Harvest. In early winter enclose the carrots in  a cold frame, and sprinkle an inch of compost over the tops of the plants. Add  enough straw to fill the frame and close the top. Pull carrots as you need them,  and be prepared to be amazed at their sweet flavor — what Coleman calls “carrot  nirvana.” Parsnips need no protection to make it through winter, but a thick  mulch (or a garbage bag stuffed with leaves) makes it easier to find them and  keeps the soil from freezing. In any climate, early winter is the best time to  harvest Brussels sprouts and sunchokes, both of which benefit from exposure to  freezing temperatures.

Mulched soil doesn’t wash away in heavy rain, but the biggest advantage of  winter mulch is that it moderates soil temperatures, slowing the speed at which  the soil freezes, thaws and freezes again. Because water expands as it freezes,  shallow roots are often torn and pushed upward — a natural phenomenon called  heaving. Winter mulches reduce heaving around winter crops, decrease compaction  from heavy rain or hail, and enrich the soil with organic matter as they  decompose. They also look nice.

Fall-planted garlic, shallots and perennial onions are priority crops for a  4-inch winter mulch of hay, straw, chopped leaves or another locally abundant  material. Mulch kale, too, but wait until after the first week of steady  sub-freezing weather to protect the latent flower buds of strawberries with a  4-inch mulch of hay, pine needles or shredded leaves. Shroud the bases of  marginally hardy herbs such as rosemary with a 12-inch-deep pyramid of mulch to  protect the dormant buds closest to the ground. If you’re really pushing your  luck by growing figs or other plants that cannot tolerate frozen roots, surround  them with a tomato cage and stuff it full of straw or chopped leaves. Use this  technique to safeguard the graft union and basal buds of modern roses, too.

Once you’ve done what you can to maximize the productivity of hardy plants,  either gather up dead plants and surrounding mulch and compost them or turn the  residue into the soil. This will reduce pests such as squash bugs and harlequin  bugs, which overwinter as adults in plant debris, as do Mexican bean beetles and  some other pests. Old mulches can harbor cabbageworm pupae, but these and other  pests seldom survive winter in the wild world of a compost heap or when mixed  into biologically active soil. To be on the safe side, you can create a special  compost heap for plants that often harbor pests or diseases and seed-bearing  weeds.

In spring, after the heap has shrunk to a manageable size, mix in a  high-nitrogen material such as manure, grass clippings, alfalfa meal or cheap  dry dog food (mostly corn and soybean meal) to heat the heap to 130 degrees — the temperature needed to neutralize potential troublemakers.

With this housekeeping detail behind you, think about what next year’s garden  will demand of the soil. Sketch out a plan for where you will plant your  favorite crops in spring and summer, and tailor your winter soil care practices  to suit the needs of each plot’s future residents.

In areas to be planted with peas, potatoes, salad greens and other early  spring crops, cultivate the soil, dig in some compost, and allow birds to peck  through the soil to collect cutworms, tomato hornworm pupae and other insects  for a week or two. Then rake the bed or row into shape and mulch it with a  material that will be easy to rake off in early spring: year-old leaves or  weathered hay, for example. Spring planting delays due to soggy soil will be a  thing of the past.

In the space you will use in early summer for sweet corn, tomatoes and other  demanding warm-weather crops, you may still have time to sow a winter cover crop  such as hairy vetch, Austrian winter peas or crimson clover (see 8 Strategies for Better Garden Soil, June/July 2007). Cover  crops make use of winter solar energy, energize the soil food web as their roots  release carbohydrates down below and amass large amounts of organic matter. The  deep roots of hardy grain cover crops such as cereal rye will spend the winter  hammering their way into compacted subsoil, and nitrogen-fixing cover crops can  jump-start soil improvement in new garden beds and save time in spring.

For example, if you get a good stand of hairy vetch growing in fall, simply  cut the plants down in mid-spring (or pen your chickens on the bed), allow the  foliage to dry into a mat and plant tomatoes right into the mulch.

For all those “to be determined” spots, you can enrich the soil and prevent  winter erosion by tucking beds in with compost, mulch or a hybrid of the method  I call “comforter composting.” Piles of organic matter in any configuration will  turn the soil’s surface into a compost factory. Several 3-inch layers of dead  plants, chopped leaves, spoiled hay and other mulch materials will compost  themselves when placed atop unemployed soil.

If you would rather make a mountain of compost from autumn’s haul of yard and  garden waste, why not locate the pile in a place where it will travel across  cultivated soil as you turn it every few weeks? A “walking heap” leaves a trail  of organic matter in its wake, and nutrients that leach from the pile at various  stopping points go straight into the soil.

 

 

 

Read more: http://www.motherearthnews.com/print.aspx?id={47CA80E5-BB0D-4C64-9EFE-B9229485DC6A}#ixzz2kivlNLvr

The Grove’s Demolished Du Pont Estate Was Buried In Poison | North Salem Real Estate

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The end of Baymere, the lavish 33-room midcentury modern estate of Willis Du Pont in Coconut Grove that was listed on the market for $22 million, was sad and quick. After surveyors determined the property to be absolutely soaked with toxic waste—it was built on as much as 100,000 tons of toxic soil carted over from the “Old Smokey” incinerator over in the West Grove—the house sold for $11.4 million and was demolished. Perhaps it was appropriate for an heir to chemical fortune, Willis Du Pont, to build his house above a toxic wasteland in 1964. The current owners, who might be heirs to a Venezuelan oil fortune, demolished the house and apparently plan to build five luxury residences on impermeable surfaces and new top fill that should cap the contaminated soil, rendering it safe. · Live Like A Du Pont In The 1960s, In This $22M Grove Estate [Curbed Miami] · Du Pont Mansion In Coconut Grove Is Buried In Poison [Miami New Times]

Bill Gates’ custom-built home in Medina, Washington | North Salem NY Homes

Software tycoon Bill Gates turns 58 today. Because he’s the world’s second-richest person (topped only by Carlos Slim, according to Forbes), you might expect him to have some pretty impressive living arrangements — and guess what, you’d be right.

 

He built his 66,000-square-foot main residence on Lake Washington in Medina, Washington, over the course of several years. It was assessed this year (and the three years before that) at $120.6 million, down from a 2008 high of $150 million.

Some time ago, U.S. News & World Report ran a fairly extensive article plus slideshow (with renderings, not photos) about the home. But Gates — who was originally quite voluble about the home — hasn’t talked much about it since. Among its unique features:

• A 2,100-square-foot library has secret bookcases and a dome with oculus. The ceiling is engraved with a quote. “He had come a long way to this blue lawn,” it reads, “and his dream must have seemed so close that he could hardly fail to grasp it.” It’s from “The Great Gatsby.”

• It has a pool with a “fossil motif” floor. You can swim under a glass wall to emerge near a terrace outside.

• Only about 20 percent of the home is family living space, including four bedrooms and nanny quarters. Much of the rest of the square footage is given over to a reception hall, offices, conference facilities, a computer room and other gathering spaces.

• The compound has seven bedrooms and 24 bathrooms — and six kitchens, presumably because the home hosts receptions and conferences.

• It has a “trampoline room” whose ceiling is 20 feet up.

• “Miles of communication cable, largely fiber optic, run throughout the house,” U.S. News reported, “linking computer servers powered by the Windows NT operating system. In each room, touch-sensitive pads control lighting, music, and climate. Visitors will wear small electronic pins, which will let the computers know who and where they are. Lights and other settings will adjust automatically. Floors throughout the house (and the driveway) are heated.”

• Much of the home is nestled into the hillside and underground. According to the architects: “A sod-covered guesthouse is sited at the highest point of the property. Invisible on approach and entered between two concrete walls, the building is choreographed to give a sense of moving through the earth to discover the distant lake and mountains.”

But our favorite discovery of all when researching this post? You can own Bill Gates’ home too! Just download the paper toy version at PaperToys.com.

A virtual tour of the home:

Las Vegas home prices continue steady rise, surprising experts | North Salem Homes

Despite an expected slowdown, Las Vegas housing prices keep going up.

The median price of a previously owned single-family home sold in Southern Nevada last month was $180,000, up 35 percent from $133,000 a year earlier, according to a new report from the Greater Las Vegas Association of Realtors.

Sales prices have now climbed 17 of the past 18 months after bottoming out in January 2012, at $118,000. According to research firm CoreLogic, Nevada home prices are the fastest-rising in the country.

“We keep expecting these price increases to slow down at some point, but it hasn’t happened yet,” GLVAR President Dave Tina said.

He’s not the only one to predict that Las Vegas’ housing market will cool off. Home values are expected to grow 9 percent by June 2014 after soaring 29 percent over the past year, the second-fastest rate among major metro areas, according to Zillow.

The surge has been fueled in large part by cash investors who buy cheap houses in bulk to turn into rentals, crimping the inventory of homes for sale. Availability also has been limited by homeowners who refuse to sell or can’t sell because they’re underwater or stuck in foreclosure processing delays.

Analysts say the valley is not mired in another housing bubble, as prices and values simply are rising from historic lows. Some experts, however, say the valley could be on the cusp of another false housing boom.

Yale University economist Robert Shiller, co-founder of the closely watched S&P/Case-Shiller Home Price Index, said in late June that Las Vegas is one of several cities at risk of a bubble

 

 

read more…

 

http://www.vegasinc.com/news/2013/aug/08/nevada-home-prices-continue-steady-rise-surprising/

 

Mortgage Rate Rise Drives Sales | North Salem Real Estate

Pending home sales rose in May to the highest level since late 2006, possibly driven by buyer fears that mortgage rates will rise further.

The Pending Home Sales Index from the National Association of Realtors, based on contract signings, increased 6.7 percent to 112.3 in May from a downwardly revised 105.2 in April, and is 12.1 percent above May 2012 when it was 100.2; the data reflect contracts but not closings.

Contract activity is at the strongest pace since December 2006 when it reached 112.8; pending sales have been above year-ago levels for the past 25 months.

Existing-home sales are projected to increase 8.5 to 9.0 percent, reaching about 5.07 million in 2013, the highest in seven years; it would be slightly above the 5.03 million total recorded in 2007.

The PHSI in the Northeast was unchanged at 92.3 in May but is 14.3 percent above a year ago. In the Midwest the index jumped 10.2 percent to 115.5 in May and is 22.2 percent higher than May 2012. Pending home sales in the South rose 2.8 percent to an index of 121.8 in May and are 12.3 percent above a year ago. The index in the West jumped 16.0 percent in May to 109.7, but with limited inventory is only 1.1 percent above May 2012.

 

RealEstateEconomyWatch.com » Mortgage Rate Rise Drives Sales » Print.

Prepare for new Medicare taxes in 2013 | North Salem NY Real Estate

With President Obama’s victory at the polls, it is now abundantly clear that Obamacare is here to stay. So far, we’ve experienced only the easy parts of the massive health care law, but starting in 2013, the hard parts will begin to take effect. In particular, two additional Medicare taxes will kick in. These tax increases will affect only high-income taxpayers: married couples with adjusted gross incomes over $250,000, and singles with AGIs over $200,000.

This is a tiny percentage of the population — only about 4 percent of all taxpayers earn more than $200,000. However, the one-third of taxpayers who itemize could be affected by the more restrictive limits on deducting medical expenses.

Increased Medicare taxes for high-income workers

Everyone who works — whether a business owner or an employee — is required to pay Social Security and Medicare taxes. Employees pay one-half of these taxes through payroll deductions; the employer must pony up the other half and send the entire payment to the Internal Revenue Service. Business owners must pay all of these taxes themselves. These taxes consist of a 12.4 percent Social Security tax up to an annual income limit, and a 2.9 percent Medicare tax on all wage or net self-employment income.

Starting in 2013, the 2.9 percent Medicare tax will go up by 0.9 percent. However, this increase will apply only to married taxpayers with wage or self-employment income of $250,000 and single taxpayers with income of $200,000. Only the amount over these thresholds is subject to the additional 0.9 percent tax.

Thus, for example, a self-employed single person with net self-employment income of $300,000 would pay a 2.9 percent Medicare tax on the first $200,000 and a 3.8 percent tax on the remaining $100,000. If a single employee has wage income of $300,000, the employer would withhold a 1.45 percent Medicare tax up to the $200,000 threshold and 2.35 percent after that.

Employees will have to pay the entire increase out of their own pockets. Thus, employers will continue to pay a 1.45 percent Medicare tax on their employees’ wages. Employees will continue to pay 1.45 percent until their wages reach the $200,000 or $250,000 ceiling. Then they will pay the additional 2.35 percent.

If you’re a high-income taxpayer, you may wish to earn as much money as possible in 2012, rather than in 2013, when it will be taxed at higher rates.

New Medicare tax on investment income

Starting in 2013, high-income taxpayers will be subject to a brand-new Medicare tax on their “unearned income.” A 3.8 percent Medicare contributions tax will be imposed on the lesser of (1) the taxpayer’s net investment income, or (2) any excess of modified adjusted gross income over $200,000 ($250,000 for married taxpayers filing jointly).

Thus, all single taxpayers with MAGI over $200,000 and married taxpayers with MAGI over $250,000 will be subject to this tax. This is a small proportion of the population, but a significant one for the real estate industry.

The tax applies only to investment income. This includes:

  • gross income from interest, dividends, annuities, royalties and rents other than those derived from an active business;
  • the net gain earned from the sale or other disposition of investment and other nonbusiness property; and
  • any other gain from a passive trade or business.

This includes just about any income not derived from an active business or from employee compensation.

Example: Sue and Sam, a married couple filing jointly, have a MAGI of $300,000 in 2013, which includes $100,000 of net investment income. Their MAGI is $50,000 over the $250,000 threshold, thus they must pay the 3.8 percent tax on $50,000 of their investment income. This results in a $1,900 tax.

This new tax applies to rental income, except for rentals owned by real estate professionals. So, starting in 2013, real estate professionals who earn profits from rentals will have a substantial tax advantage over everyone else. For details, see “How the new Medicare tax applies to rentals.”

Reduced personal deduction for medical expenses

All taxpayers are entitled to a personal income tax deduction for medical and dental expenses for themselves and their dependents. Eligible expenses include both health insurance premiums and out-of-pocket expenses not covered by insurance. However, there are two significant limitations on the deduction, which make it virtually useless (unusable) for most taxpayers.

However, to take the personal deduction, you must (1) itemize your deductions on IRS Schedule A, and (2) only deduct the portion of your medical expenses that exceeds an adjusted gross income threshold. For many years, the threshold has been 7.5 percent of AGI. Starting in 2013, the threshold for the itemized medical expense deduction goes up to 10 percent of AGI. However, people 65 or older will be exempt from the increase until 2017.

Example: In 2013, Sue and Sam have an AGI of $100,000 in 2013 and $30,000 in uninsured medical expenses. They may deduct only the portion of their expenses that exceeds 10 percent of their $100,000 AGI: $10,000. Thus, they may deduct only $20,000 of their expenses.

Because of this tax change, it’s advisable to pay as many medical expenses as possible in 2012, rather than waiting until 2013. See “Deducting health expenses will become more difficult in 2013.”