Archive for the 'Housing' Category

Colorado Homeowners and Swelling Soil: Help is Here

Many

Colorado homeowners and homebuyers are aware of the problems caused by swelling soil, also known as bentonite.  Bentonite can cause all kinds of problems in

Colorado properties, from issues with the basement and foundation, to “roller coaster roads” (bumpy, uneven roads) in the neighborhoods.  Swelling soil is therefore a concern for many homeowners and homebuyers.

In the Denver Post’s “Real Estate Notes” for January 26th, Margaret Jackson noted the publication of a booklet that can help keep homeowners and homebuyers informed: the second edition of “A Guide to Swelling Soil for Colorado Homebuyers and Homeowners,” put together by the Colorado Geological Survey.  The booklet is 76 pages long and contains information on construction, maintenance, and landscaping.

I can remember in the 1980s when the effects of bentonite on

Colorado real estate became well known.  Bumpy, cracked roads got worse and worse until the city was able to do a major overhaul to correct the problem.  Some concerned homeowners even went so far as to dig out and replace as much of the soil as possible around their foundations, in the hopes of eliminating the risk of damage to their homes.

If you own or are looking into buying

Colorado real estate, it is in your best interests to know the signs of swelling soil and what you’ll need to do to protect your home.  Interested homeowners and homebuyers can buy the Colorado Geological Survey’s booklet for only $7

online.

 

Article by Logan Chierotti

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Colorado Homeowners Benefit at Tax Time

The holidays have passed, and a new year has begun – which means that tax time is right around the corner.  If you are a Colorado homeowner, this is also the time of year when owning your own home really pays off.

 

There are a number of tax advantages and tax breaks for homeowners.  For example, if you own your own home you can:

 

  1. Deduct the interest you pay on the mortgage for your primary place of residence.  This means a sizeable tax deduction, particularly in the early years of your mortgage, when your payments are applied primarily to the interest, rather than the principle (the amount you borrowed to buy your home).  The amount of interest you pay throughout the year is used to lower your taxable income on that year’s returns, in turn lowering the amount you pay in taxes.  For example, during the first few years of a $200,000 home loan, you might be able to lower your taxable income by as much as $14,000.

 

  1. Deduct the interest you pay on the mortgage for your second home.  The home loan interest deduction doesn’t apply to just your primary place of residence: You can also deduct the interest paid on a second home, or a vacation home.  In places like Colorado, where many mountain towns and popular ski resorts boast thriving second home markets, this deduction is a big deal for homeowners.

 

  1. Deduct the real estate taxes you pay on your home(s).  Every year, homeowners are required to pay property taxes on their homes.  Just like the interest paid on your loan, these taxes can be deducted on your tax return every year, lowering your taxable income.

 

Taking these deductions will require you to itemize, which will make your tax returns a little more complicated.  However, as a homeowner your itemized deductions will most likely end up being far more than the standard deduction, making it well worth your while to do so.  For a couple of sample scenarios, please see this article on AllLaw.com: The Tax Benefits of Home Owenrship.

 

If you are like most people, you probably see doing your taxes as an unfortunate chore, at best.  Owning a home turns tax time into a more satisfying experience, because you get to see how much money you’ve actually saved by owning your own home.

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5 Things Homeowners Can Do for the Environment

Sunday, October 15th was Blog Action Day.  The goal was for bloggers worldwide to post about the environment.

 
Just because Blog Action Day is over, however, doesn’t mean we should stop talking about the environment.  Here are five simple but effective things homeowners can do to make their lives more earth-friendly.

 

#1: Recycle.  It used to be that recycling was a luxury only the wealthiest homeowners can afford.  Not so anymore.  Recycling has become much more affordable, and there are a number of different services (and levels of service) to choose from.  Alternatively, many communities provide recycling dumpsters where you can drop off your recyclables, usually at no charge.

 

#2: Convert to electronic billing.  Many credit card companies, lenders, phone providers, and other businesses now offer electronic billing.  Instead of getting paper statements, you will get an email statement or an email reminder to check your current statement online.  You can usually pay online too, which saves paper on not only statements, but also on unnecessary checks and envelopes.

 
#3: Landscape to use less water.  You may have already seen the Denver Water signs around town: the “Use Only What You Need” campaign.  Frequently these signs are displayed on residential properties, where homeowners have landscaped with water conservation in mind, choosing rock beds, mulch, and low-maintenance shrubs over thirsty gardens.

 
Whether or not you want that square, orange sign displayed in your yard, the goal behind the campaign is noteworthy: Use less water on superfluous things such as landscaping, so that we have more (and longer-lasting) water for the things that really matter.

 
#4: Use less water inside the house, too.  Conserving water doesn’t have to be limited to the Great Outdoors.  Inside the house, you can use less water in a number of ways: Wait to do laundry or run the dishwasher until you have a full load, turn the water off while you are brushing your teeth or handwashing the dishes, and put a time limit on your showers.  Conserving water will benefit not only Mother Earth, but your bank account, too!

 
#5: Buy energy-conserving appliances.  I’m not saying you should run right out and spend thousands of dollars on new appliances.  However, appliances do need replaced periodically.  Most appliances can be found in energy-friendly varieties for about the same price.  Front-loading washing machines have also become popular, as they use considerably less water than the traditional top-loading kind.

 
As homeowners, we are in a unique position: We have control over things such as the kinds of landscaping we do and the types of appliances we buy.  We also have greater access to opportunities such as recycling, which can be difficult to get service for renters – particularly those living in apartments.

 
Doing things for the environment doesn’t have to be time-consuming or costly.  Simply making a few lifestyle changes, such as those listed above, can go a long ways toward preserving the environment for future generations.

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