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February, 2010 - Newsletter for the Maui Market
Aloha & welcome to 2010! Here is your eNewsletter for the Maui Market from Jim Foster and visit the web site when you have time www.JamesBFoster.com
Hot Buys for February, 2010 - Hololani A503 (totally remodeled) 2 bd 2 ba ocean front concrete bldg $$739,000; Kaanapali Plantation 2 bd 2 ba unit quiet & private $675,000; Kaanapali Royal G201 $770,000 (totally remodeled) 1,534 square feet concrete air conditioned; Kahana Reef 1 bedroom on ocean, 611 square feet concrete building $439,000; Kahana Sunset 2 bedroom unit 952 square feet $795,000; Kapalua Golf Villas 2 bedroom unit 1,440 square feet $550,000; Mahana right on the beach, 1 bedroom unit 820 square feet $855,000, 2 bedroom unit (total remodel) $1,945,000; Maui Eldorado with private cabana on Kaanapali Beach, studio $249,000 (LH); Pikake right on the beach, 1 bedroom 1 bath $$449,000; Valley Isle Resort right on the beach, spectacular view from the 11th floor, corner unit $675,000.
For a complete list of REOs and Short Sales in West Maui or the entire island send email request to Jim@JamesBFoster.com
If you want a current list of REOs or Short Sales or would like to be notified daily of new listings or price changes that are REOs or Short Sales call me on my toll free number 1-888-661-7994 or email me at Jim@JamesBFoster.com
If you specifically are interested in a Short Sale or REO, you can now search on my web site www.JamesBFoster.com the Short Sales & REOs on Maui in the MLS. Email me and I will email you back the instructions on how do to do the search. There are a substantial number of Short Sales and REO properties for sale in the Maui Realtors Association Multiple Listing Service (MLS) and the number is increasing and if you would like to have a list or are interested in these types of properties send an email to Jim@JamesBFoster.com
New IDX Search Features - on www.JamesBFoster.com Search properties and you can search for Short Sales, REOs, by location and other categories. If you would like directions on how to use email me Jim@JamesBFoster.com and I will email instructions.
Make sure you check out the Useful Internet Sites and Real Estate Tips at the end of this newsletter.
Don't forget! We provide a free Automatic E-mail Notification Service that goes out to recipients whenever a new listing becomes available for a particular condominium complex. Each of these notifications includes a link to view the details of the brand new listing in the MLS. We DO NOT SHARE YOUR EMAIL ADDRESS or your contact information with anyone. To subscribe to our Automatic E-mail Notification Service, please send Won an email at Won@JamesBFoster.com with your first and last name, your email address, and the condominium property you wish to be notified of.
Maui Real Estate – Information that follows is from the Realtors Association of Maui. Maui County real estate finished 2009 as it began, in the doldrums. The number of condominiums sold rose a little, while the number of houses sold declined a lot. But condo prices fell sharply, while single-family prices dropped 14 percent - not bad compared with many locales on the Mainland. Terry Tolman, chief staff executive of the Realtors Association of Maui, said the market "seems to be getting its footing," since the amount of inventory on hand is declining. The word decline is relative, however. There are enough houses available to satisfy current buyer appetite for the next 11 months and enough condos to sate them for a year and a half. Tolman cautioned when releasing the 2009 Multiple Listing Service summary, that inventory includes a lot of short sales and bank-owned properties, which are usually more trouble to get rid of, unless the sellers are willing to slash prices. Tolman always includes a suggestion to owners (and the agents who advise them) in his monthly reports: Don't put your property out if you are "just fishing." This month, he made the suggestion more like a stern warning: "Clear the marketplace for those who really have to sell."
With dozens of foreclosure notices being advertised each week, there are many who have to sell. For those who did have to sell a single-family house last year, the average price achieved was $713,946 (with a range from $2.5 million at Wailea and $2.2 million at Kapalua to $431,452 in Makawao-Olinda-Haliimaile).
In 2008, the average was $830,578, and at the end of 2007 it was $920,807, so the average price of a house on Maui has declined by more than $200,000 in two years. For condos, the average last year was $719,993 (with a range from $1.8 million on Lanai and $1.5 million in Wailea-Makena to $207,210 in Central Maui). In 2008, the average was $920,468, and at the end of 2007 it was $816,867, so the price of a condo has fluctuated but dropped on average $100,000 over two years.
Median prices, which mark where half the sales were for more, half for less, help exclude the effects of rare sales of very expensive houses (which do not always show up in the MLS anyway), revealed smaller but still large declines over the past two years.
The median single-family price last year was $498,106 (with a range from $2.3 million at Kapalua to $471,500 in Pukalani and $371,250 in Central Maui; and much lower medians on Lanai and Molokai). In 2008, the median price was $577,774, and at the end of 2007 it was $630,069, so the median has fallen about $160,000 in two years.
The median condo price last year was $450,000 (with a range from $1.9 million on Lanai and $1.3 million in Wailea-Makena to $190,000 in Central Maui). In 2008, the median was $550,000, and at the end of 2007 it also was $550,000, so the median has dropped $100,000 over two years.
Even after the declines, Maui County housing is still very high compared with national averages. According to the National Association of Realtors, the average single-family price in November (the latest survey) was $172,600, and for condos and cooperatives, $178,000. That's a decline of $48,000 for both houses and condos over two years.
The market has not bottomed out yet but we are getting close Prices are continuing to be impacted by short sales and REOs coming on the market. This is impacting property that is listed but we also see escrows that are being cancelled and appraisals coming in lower than what units are in escrow for.
Pro-Active Sellers are getting their properties appraised, inspected and surveyed in advance to encourage knowledgeable offers from realistic Buyers. Doing this can prevent unanticipated escrow fallout. Unrealistic Sellers continue to be ignored by the market and miss current opportunities that later become woefully apparent. They may even end up in a Short Sale or Foreclosure situation that could have been avoided.
For Buyers, continued low interest rates and Newly Extended first time/move-up homebuyer incentives provide plenty of options for Buyers who qualify. Buyers should get Pre-Approved so they can shop in confidence (fewer last minute disappointments due to non-funding loans).
More "short-sales" and foreclosures are happening in the marketplace, yet they can be less of a bargain than they seem, requiring more hurdles to leap and more time (often 4-6 months) to close, if at all. Be prepared, but BE REALISTIC.
First-Time Home Buyers – This is your opportunity to purchase. Don’t let it pass you by. First-Time Home Buyers should attend workshops, get familiar with the process, get
qualified/approved, do your homework to get your own home. Many current owners never thought they would be able to own until they attended a workshop, discovered they could, and are glad they did. This low point in the market is buyer’s rare chance, so they should not delay.
To view the year end 2007, 2008, 2009 & year to date 2010 Sales Statistics go to http://www.jamesbfoster.com/condosales.php and click on Maui MLS Statistics 2007, 2008 and 2009.
The West Maui real estate market continues to favor Buyers with Sellers willing to negotiate their prices. We are either at the bottom or will be in the next three to six months. Once the bottom is achieved prices will likely remain at that level for six to nine months before changing direction. Buyers in the market currently, for the most part, are looking for deals or the lowest prices. We are seeing improvement in the number of showings and increased bookings for vacation rental. The current inventory of West Maui condominiums for sale is now at 643 (at 2/1/10) and on the same month in 2009 it was 757. Properties are requiring more time to sell such as five to six months and Buyers have a much larger inventory of properties for sale to choose from. If you’re curious about current trends in Maui real estate and where the market is headed, the answer is - it depends on Location - it depends on if it is condominium or single-family residential - it depends on whether you look at volume, average or median prices. In the current Maui real estate market, the for sale inventory continues to increase and prices are typically flat or have decreased.
Condominiums for Sale
2007 - In the West Maui real estate market, at the beginning of January, 2007 there were 410 condominiums listed for sale with the total value of $372,238,031.00; February, 2007 - 431 condos with the total value of $393,681,669.00; March, 2007 - 458 condos with the total value of $420,941,268.00; April, 2007 - 479 condos with the total value of $429,708,159.00; May, 2007 - 472 condos with the total value of $424,095,260.00; June, 2007 - 455 condos with the total value of $415,187,129.00; July, 2007 - 475 condos with the total value of $432,797,008.00; August, 2007 - 469 condos with the total value of $420,479,301.00; September, 2007 - 474 condos with the total value of $430,914,408.00; October, 2007 - 471 condos with the total value of $423,631,002.00; November, 2007 - 466 condos with the total value of $416,008,907.00; and December, 2007 - 485 condos with the total value of $421,080,117.00. The average number of condominiums for sale on West Maui for 2007 was 462 and the average total value was $416,730,118.25.
2008 - At the beginning of January, 2008 there were 511 condominiums listed for sale with the total value of $445,656,447.00; February, 2008 there were 559 condos with the total value of $500,946,603.00; March, 2008 - 595 condos with the total value of $529,779,322.00; April, 2008 - 647 condos with the total value of $606,635,687.00; May, 2008 - 634 condos with the total value of $583,391,821.00; June, 2008 - 644 condos with the total value of $590,736,279.00; July, 2008 - 680 condos with the total value of $662,919,268.00; August, 2008 - 703 condos with the total value of $693,069,348.00; September, 2008 - 693 condos with the total value of $654,411,079.00; October, 2008 - 673 condos with the total value of $620,032,454.00; November, 2008 - 715 condos with the total value of $652,379,032.00; and December, 2008 - 729 condos with the total value of $660,335,998.00. The average number of condominiums for sale on West Maui for 2008 was 648 and the average total value was $604,191,111.50.
2009 - At the beginning of January, 2009 there were 742 condominiums listed for sale with the total value of $693,143,047.00; February, 2009 there were 757 Condos with the total value of $709,234,346; March, 2009 there were 787 Condos with the total value of $681,864,289; April, 2009 there were 805 Condos with the total value of $693,368,793; May, 2009 there were 717 Condos with the total value of $629,812,465; June, 2009 there were 691 Condos with the total value of $591,075,527; July, 2009 there were 692 Condos with the total value of $588,385,017; August, 2009 there were 682 Condos with the total value of $575,359,815; September, 2009 there were 662 Condos with the total value of $540,291,317; in October, 2009 there were 662 Condos with the total value of $527,367,912; in November, 2009 there were 636 Condos with the total value of $486,410,609; and in December, 2009 there are 629 Condos with the total value of $495,645,642. The average number of condominiums for sale on West Maui for 2009 is 705 and the average total value is $600,996,564.92.
2010 - At the beginning of January, 2009 there were 608 condominiums listed for sale with the total value of $511,345,892; and in February, 2010 there are 643 Condos with the total value of $519,749,801.00.
The condominium for sale inventory since July, 2005 has been as low as 165 and was up to 805 in April, 2009 with the currently inventory of 643 on February 1, 2010.
Condominium Sales
2006 - The total condominium sales on West Maui during the month of January, 2006 there were 42 sales and the total value was $28,574,643.00; February, 2006, there were 48 sales with total value of $32,995,078.00; March, 2006 - 40 sales with total value of $32,199,584.00; April, 2006 - 43 sales with total value of $41,898,525.00; May, 2006 - 51 sales with total value of $39,644,886.00; June, 2006 - 40 sales with total value of $32,533,500.00; July, 2006 - 30 sales with total value of $26,212,000.00; August, 2006 - 28 sales with total value of $31,885,500.00; September, 2006 - 30 sales with total value of $24,770,000.00; October, 2006 - 29 sales with total value of $23,359,299.00; November, 2006 - 22 sales with total value of $13,414,600.00; and December, 2006 there were 30 sales with total value of $23,169,999.00. For 2006, the monthly average sales were 36 sales per month with the average sales value of $29,221,467.83 per month.
2007 - The total condominium sales for West Maui during the month of January, 2007 there were 37 sales and the total value was $33,091,000.00; February, 2007 there were 26 sales with total value of $16,330,000.00; March, 2007 - 32 sales with total value of $24,121,000.00; April, 2007 - 27 sales with total value of $16,766,000.00; May, 2007 - 28 sales with total value of $30,774,929.00; June, 2007 - 28 sales with total value of $18,917,000.00; July, 2007 - 21 sales with total value of $13,314,200.00; August, 2007 - 32 sales with total value of $33,258,999.00; September, 2007 - 23 sales with total value of $24,701,900.00; October, 2007 - 42 sales with total value of $28,159,900.00, however this included a packaged sale of 19 units at Aina Nalu in Lahaina; November, 2007 - 15 sales with total value of $15,930,000.00; and December, 2007 there were 13 sales with total value of $13,335,500.00. For 2007, the Month of December saw the lowest number of sales in 2007. The monthly average sales were 27 sales per month with the average sales value of $22,391,702.33 per month.
2008 - The total condominium sales for West Maui during the month of January, 2008 there were 20 sales and the total value was $16,184,800.00; February, 2008 there were 20 sales and the total value was $14,414,584.00; March, 2008 - 26 sales and the total value was $20,079,000.00; April 2008 - 28 sales and the total value was $20,488,500.00; May 2008 - 22 sales and the total value was $20,055,000; June 2008 - 14 sales and the total value was $11,957,000; July 2008 - 10 sales and the total value was $6,955,999; August 2008 - 13 sales and the total value was $8,055,000; September 2008 - 12 sales and the total value was $6,707,122; October 2008 - 12 sales and the total value was $8,042,500; November 2008 - 10 sales and the total value was $8,444,000; and December 2008 there were 6 sales and the total value was $6,265,000. For 2008, the average monthly sales were 16 sales per month with the average sales value of $12,304,042.08 per month.
Condominium Sales in 2009 - The total condominium sales for West Maui during the month of January, 2009 there were 76 sales and the total value was $95,573,286.00; February, 2009 there were 54 sales and the total value was $68,795,841.00; March, 2009 there were 37 sales and the total value was $32,979,595.00; April, 2009 there were 23 sales and the total value was $13,142,872.00; May, 2009 there were 11 sales and the total value was $8,879,500.00; June, 2009 there were 18 sales and the total value was $12,530,000.00; July, 2009 there were 28 sales and the total value was $30,196,900.00; August, 2009 there were 25 sales and the total value was $17,891,397.00; September, 2009 there were 14 sales and the total value was $5,684,550.00; October, 2009 there were 23 sales and the total value was $14,202,856.00; November, 2009 there were 19 sales and the total value was $9,850,550.00; and December, 2009 there were 35 sales and the total value was $39,598,000.00. For 2009, the average monthly sales were 30 sales per month with the average sales value of $29,110,445.58 per month.
Condominium Sales in 2010 - The total condominium sales for West Maui during the month of January, 2010 there were 30 sales and the total value was $20,706,950.00
We have gone in to the Maui MLS database and pulled information for 2000 through 2008. In 2000 - 654 condominium units sold in the West Maui area for a total value of $209,064,010; in 2001 - 605 condominium units sold for a total value of $271,681,337; in 2002 - 730 condominiums sold for a total value of $240,178,915; in 2003 - 737 condominiums sold for a total value of $319,748,466; In 2004 - 700 condominiums sold for a total value of $375,033,467; in 2005 - 682 condominiums for a total value of $408,582,315; in 2006 - 435 condominiums for a total value of $351,782,614; in 2007 - 327 condominiums for a total value of $271,290,428; in 2008, - 193 condominium units sold for a total value of $147,648,505; and in 2009, - 363 condominium units sold in the West Maui area for a total sales value of $349,325,347.00.
If you would like to view the most current sales statistics for Maui or West Maui Condominiums, you can go to my web site www.JamesBFoster.com and click on Condo Sales in the upper left corner of the home page or go to www.JamesBFoster.com/condosales.php
Mortgage Rates as of February 3, 2010 - from First Hawaiian Mortgage - Rates: Houses & Condos Full docs: 4.875% 30yr fixed 1.500pts (5.090 APR) 5.000% 30yr fixed .750pts (5.148 APR) 5.125% 30yr fixed -0- pts (5.207 APR) Stated Income - No longer available: Interest Only To $625,500: 5.875% 30 yr fixed (10/20)1.000pts (6.036 APR) Interest Only to $1M: 5.875% 30 yr fixed(10/20) .750 pt (5.945 APR) Condotels 6.125% 30 yr fixed 1.25pts (6.312 APR) (Points include origination fee)
Mortgage Rates as of January 1, 2010 - from First Hawaiian Mortgage - Rates: Houses & Condos Full docs: 5.125% 30yr fixed 1.625pts (5.354 APR) 5.250% 30yr fixed .500pts (5.378 APR) 5..375% 30yr fixed -0- pts (5.458 APR) Stated Income - No longer available: Interest Only To $625,500: 6.125% 30 yr fixed (10/20)1.500pts (6.035 APR) Interest Only to $1M: 6.000% 30 yr fixed(10/20) 1.000pt (6.079 APR) Condotels 6.500% 30 yr fixed 1.00pts (6.687APR) (Points include origination fee)
Mortgage Rates for week of December 1, 2009 - from First Hawaiian Mortgage - Rates: Houses & Condos Full docs: 4.500% 30yr fixed 1.875pts (4.743 APR) 4.750% 30yr fixed 1.000 pts (4.918 APR) 5.000% 30yr fixed -0- pts (5.081 APR) Stated Income - No longer available: Interest Only To $625,500: 5.375% 30 yr fixed (10/20)1.000pts (5.530 APR) Interest Only to $1M: 5.500% 30 yr fixed(10/20) 1.000pt (5.589 APR) Condotels 5.875% 30 yr fixed 1.500 pts (6.079 APR) (Points include origination fee)
Mortgage Rates for week of November 1, 2009 - from First Hawaiian Mortgage - Rates: Houses & Condos Full docs: 4.750% 30yr fixed 1.625pts (4.974 APR) 5.000% 30yr fixed .50 pts (5.126 APR) 5.250% 30yr fixed -0- pts (5.332 APR) Stated Income - No longer available: Interest Only To $625,500: 5.500% 30 yr fixed (10/20)1.50 pts (5.698 APR) Interest Only to $1M: 5.750% 30 yr fixed(10/20) 1.500 pt (5.898 APR) Condotels 6.000% 30 yr fixed 2.125 pts (6.291 APR) (Points include origination fee)
Some recent and past news about what is going on in Maui & Hawaii
Weather - As I am writing this newsletter today, February 6, 2010, it is about 80 degrees and sunny and a beautiful Maui day and the temperature over the next three to four days is expected to be in the 80 to 83 degree range . Evenings are much cooler in the 72 to 75 degree range, making sleeping very comfortable with the windows open. Maui weather is as near to perfection as you can get.
Medical Facilities on Maui - The new organization that is proceeding with Dr. Ron Kwon’s dream of a new hospital in Kihei is www.MalulaniFoundation.org To stay informed of what is transpiring with future approvals for either the Kihei or West Maui hospital, you can send me an email and request to be added to the newsletter list to my email at Jim@JameBFoster.com The Malulani Foundation, a non-profit 501(C)3, received approval from the IRS in a letter dated December 28, 2009 and is exempt from Federal Income Tax and is now qualified to receive tax deductible bequests, devises, transfers or gifts under section 2055, 2106 or 2522 of the IRC.
Chase N Rainbows Real Estate - Vacation Rental Management and Bookings for Travel Information - Take Full Advantage of Low Fares! They're making it more affordable to get to Maui! Most travel is for last minute dates (the end of February into March) but if you're tired of the rain and cold you can get away now! Call us (877.647.9575) to check availability and book today. We can place any condo on a courtesy hold while you firm up your flights. Direct flights from these cities into Maui (OGG) on Hawaiian Airlines: San Francisco - $164; Oakland - $164; Seattle - $155; Phoenix - $234; Portland - $149. Direct Flights from these cities into Maui (OGG) on Alaska Airlines: San Jose - $169; Sacramento - $189; Remember to check for low fares and use the fare finders at Kayak.com & Vacapedia.com. Sign up for e-mail reminders with Travelocity and Priceline too! www.ChaseNRainbows.com Sign up for Monthly Newsletter.
Lahaina By-Pass Progress – The Department of Transportation for the state of Hawaii is accepting bids for the Lahaina Bypass Project, Phase 1B-1. This section will span 1.7 miles from Lahainaluna Rd, connecting to the ongoing work on Phase 1A and south to Hokiokio Place at an estimated cost of $50 million, funded 80 percent by federal dollars.
Work began in mid-December 2008. Hawaiian Dredging teamed with the consulting firm Wilson Okamoto Corp. on this $48 million design-build project. To alleviate congestion in West Maui, the four-lane bypass highway is proposed from Launiupoko to Honokowai.
Lahainaluna High School Stadium is Proceeding – The Redo project is estimated to cost $10 million to $11 million. Sue Cooley has donated $2 million thus far and has pledged another $1 million for spring 2010. Sue and her late husband Ed, who spend time each year at Kapalua became so impressed with the endearing culture of Lahainaluna, the oldest public school in the U.S. west of the Rockies, that she bestowed the Lahainaluna High School Foundation with $3 million to begin the project that will bring a state-of-the-art athletic and special events facility to the West Side high school. The facility will also serve the needs of the elementary and intermediate schools and the community at large.
Stock Investor of ML&P taking over Kapalua Farms – Stock investor Pierre Omidyar, who invested in Maui Land & Pineapple Co. stock when the company was being pushed in a greener direction, is now supporting a for-profit/charitable combination, Ulupono Sustainable Agriculture Development LLC, a subsidiary of the Ulupono Initiative, that is taking over ML&P's Kapalua Farms, one of the largest organic farms in the state. This means that ML&P will be completely out of agriculture. Warren Haruki, chairman and interim chief executive officer of ML&P, said, "We are pleased to partner with Ulupono Sustainable Agriculture Development as they assume operations of Kapalua Farms. Our desire was to find an operational partner that would be able to continue organic farming operations and to maintain Kapalua Farms as a community resource, employer and provider."Robin Campaniano, a general partner of Ulupono Initiative, said, "We also plan to maintain the farm as a resource to the community by expanding its community gardens, continuing to provide educational opportunities for local schools, such as Lahainaluna High School and Maui Preparatory Academy, and partnering with the universities to do innovative research and crop development."
West Maui Flood Control Project Begins – Work has started on the long overdue West Maui flood control project. The first phase of the project includes the installation of a runoff outlet at Waianukole consisting of two 28-by-10-foot culverts, a sediment basin and a drainage channel up to Hoikeike Place. Kiewit Construction was awarded the $6.3 million contract for Phase I of the five-phase project. Construction begins after 25 years when planning began. Once complete, the improved drainage system is expected to prevent the severe flooding that has repeatedly damaged properties in low-lying parts of Lahaina town. When complete, the project will divert floodwaters from the West Maui Mountains around portions of Lahainaluna Road, Luakini Street and the Wainee area of Lahaina town, moving it through channels and basins to collect sediment before releasing it into the ocean.
Intrawest Holdings Company to be sold at auction February 19, 2010 - Intrawest Holdings, part of the Canadian company developing the Honua Kai resort at North Beach is scheduled to be sold at auction on February 19, 2010. Intrawest also owns the Whistler, British Columbia, resort that will be the site of the Winter Olympics downhill skiing competition on that date. A notice of public auction was published in The Wall Street Journal which stated that all the limited liability company membership interests in Intrawest Holdings would be sold, and it said these memberships would carry with them indirect ownership or equity interests in more than a dozen resorts. Honua Kai was not listed among them, although it is part of Intrawest ULC of Vancouver. Intrawest's owner, Fortress Investment Group, failed to make a $524 million payment on $1.4 billion it borrowed to purchase the Canadian company in 2006. Intrawest was then a golf course and ski resort operator, and Maui was one of the first warm-weather locations where it wanted to expand. Its $750 million Honua Kai beachfront resort is open although not yet completely finished.
Pineapple Production Is Not Finished On Maui - The partners of Haliimaile Pineapple Co. will take over 1,000 acres and will be licensed to grow the patented Maui Gold variety of the fruit, under an agreement with Maui Land & Pineapple Co. Haliimaile Pineapple Company brings new hope for a new year by immediately saving 65 agricultural jobs, with an expectation of adding more in the future. The local investors took over part of Maui Pine's plantation operations almost without missing a beat. Maui Pine's last harvest was Dec. 23. Parent company Maui Land & Pineapple announced earlier this year it would shut down the business because of continuous, large losses.
BJ ‘s Pizza on Front has a New Name - After 15 years in business, Jerry Kunitomo is separating from the BJ’s Chicago Pizzeria corporation and launching Lahaina Pizza Company at the same Front Street location. They opened BJ’s Chicago Pizzeria in June 1994 — the same week as Planet Hollywood and Hula Grill launched in West Maui — upstairs at 730 Front St., the former home of the legendary Blue Max club. Jerry is proud to be working in Lahaina and looks forward to the future. Jerry believes it is a privilege to be a part of the Lahaina heritage.
Attorney in Lahaina - Gary Robert resides in West Maui and has been providing legal services here for over 30 years in Lahaina. His office is located at 808 Wainee Street, Suite 201, Lahaina, Maui, Hawaii 96761. To contact Gary - Tel: 808-667-7741
Fax: 808-667-7550 Email grlaw@hawaiiantel.net Web site www.garyrobertlaw.com
Business Law - Corporations, Partnerships, LLCs & Contracts.
Real Estate Law - Conveyances, Mortgages, Foreclosures, Landlord - Tenant, Partitions, Associations, Wills, Trusts, Probate, Family Law and Divorce.
Remodeling or Upgrading condominium or house - It is critical to have a licensed contractor and subcontractors with excellent references and experience working with Maui properties if you will be Remodeling or Upgrading a condominium or house Should you need assistance or referrals for a property you own or need an estimate for property you are contemplating purchasing, all Jim Foster on his toll free number 1-888-661-7994 or send him an email to Jim@JamesBFoster.com and we can provide names and contact information as we have contact information for several reputable contractors for both remodeling and new construction.
My wife decided it is time to remodel our kitchen and she has been coordinating the material selection, layout and negotiations with the sub-contractors and material suppliers. The person who is working with her directly on the kitchen remodel is very well organized, a creative problem solver, has a very positive persona, exceptional skills in a variety of crafts and is focused on maintaining a tight time schedule and keeping budgetary constraints. If you own property in the West Maui area and need a skilled person to work with you on a remodel in the future, send me an email or call me and I will provide you with contact information.
Installation of Home Entertainment Systems - If you are looking for an experienced company for Home Theater Systems, Whole House Sound Systems, Telephone & Computer Network Wiring, HD TV Specialist/Blu Ray, Complete Color Calibration System and Universal Remote Control Systems and much more - contact Jason Vizthum with Integral Technologies in Lahaina. Phone is 1-866-420-3013 and Cell is 808-214-4212. Licensed, excellent referrals and a West Maui resident. www.integraltechmaui.com Email for Jason integraltech@hawaii.rr.com
Real Estate & Financial Planning Tips:
Tax Assessors Office & Tax Appeals - Do not wait until you receive your new assessments to obtain current market information in your market area. Be proactive and have you information available. Here are the important dates sequentially but the most important is the deadline to file an appeal is April 9th so look for those tax assessments that are mailed out by the county around March 15, 2010 and be ready:
December 31 - Deadline for filing exemption claims and ownership documents which affect the tax year and Deadline for filing circuit breaker applications
January 1 - Assessments set for use during next tax year
March 15 - Assessment notices mailed
April 9 - Deadline for filing tax appeals
May 1 - Certified assessment roll to County Council
June 20 - Tax Rate set by County Council
July 1 - Tax Year Commences
July 20 - First half year tax bills mailed
August 20 - First half year tax payments due
September 1 - Deadline for filing agriculture dedication petitions
January 20 - Second half year tax bills mailed
February 20 - Second half year tax payments
http://www.mauipropertytax.com/Main/Home.aspx Web Site Assessor’s Office & Department.
For heirs who inherit property and are interested in selling real estate property they inherited often think they are subject to the Federal Capital Gains Tax and Hawaii Real Property Tax Act (HARPTA). As they received a new "stepped-up basis," which is the market value on the date of the decedent's death (or valuation date used by the deceased's estate), the heirs can sell the inherited property immediately with no capital gains tax to pay. The reason is the heir receives a new "stepped-up basis" of the property market value on the date of death (or alternate valuation used by the deceased's estate). However, if a dying person deeds real estate as a gift, the donee takes over the donor's usually low adjusted cost basis and does not receive the major benefits of a new stepped-up basis on the date of death. There generally is no need to hurry and sell inherited real estate as you will have a new stepped-up basis for the property. You will owe capital gains tax only on the increased net sales price above the stepped-up basis.
For those of you who are not certain how you are currently holding title or if you are holding title correctly according to your future estate needs might email me and I can send you an article about the forms of ownership: Tenancy By The Severalty; Tenancy In Common; Joint Tenancy; Tenancy By The Entirety. If you are not sure about how you are holding title I can check for you, just email me the address of the property, Unit number if a condominium, project name and your name and I will check and email you the data. I can also check the date you purchased and the original purchase price for you if you would like.
If you have not reviewed the standard real estate contract used in Hawaii I can email you a blank copy to review at your leisure, just send me an email and I will send it as an ADOBE pdf attachment.
I recently had two clients who needed to add people on title and it was done with a Quit Claim Deed and the cost was approximately $250.00. It is a fairly simple process and is typically used when a father and mother want to add a son or daughter or others to the title or transferring ownership from a married couple to a living trust or etc. We can coordinate that for you if you need assistance with it.
We receive calls on a regular basis and provide letters of Market Value at the time of death to assist in the Probate process for owners of Hawaii real estate. It is always unfortunate when estate planning has not been done and the tax liability has to be dealt with in a short period of time.
Take the time to review with your current financial plans and also estate plans with your advisors. If you do not have trusted advisors ask friends and business associates for recommendations because in the long run it may be the best investment you will make.
In past newsletters, I have mentioned that the easiest way to minimize the tax impact when selling is to do a tax deferred exchange. If you have questions about tax deferred exchanges give us a call. If you are considering selling your property in Hawaii, a tax deferred exchange will exempt you from the 5% HARPTA withholding and also the Federal Capital Gains Tax. Planning in advance for the disposition or acquisition of assets is always a wise decision. Another invaluable tool for sellers in doing a tax deferred exchange is having the option of using tenant-in-common (TICs) for qualifying for replacement properties.
We have assisted sellers (for sale by owners) who had buyers but needed someone to facilitate the sale and guide them through the process and assure them they were asking a current market value price for their properties.
Many property owners who currently own underperforming assets can sell those assets and take advantage of tax deferred exchanges, turning an underperforming asset such as land into an income producing asset. If you are contemplating selling highly appreciated real estate during 2010 and would like for us to provide an analysis of how to best structure your transaction, please call me or send me an email if you would like additional information at 808-661-7994 or email Jim@JamesBFoster.com
Useful Internet Sites
http://henrikfalck.com/languageanalyzer Ever seen something written in an unknown language -- a language that you can't even identify? You'd like to use one of those great on line translating programs - but how can you do that without knowing the language you're trying to translate? This free web-based online language identifier does the trick. Simply paste a bit of the text into the box provided and it analyzes and identifies the language.
www.costtodrive.com So you're going to Grandma's for the weekend. Ever wonder what it will cost to drive there and back in your new buggy? These folks have created a neat site to help you quickly and easily discover how much it costs to drive anywhere in the US. This fun and useful site will give you the approximate cost for driving any route you choose,
www.filetolink.com We're always looking for ways to e-mail large files without getting cut off by cranky e-mail providers. As we're sure you have discovered e-mail folks set a cap on the size of files we can send - and when we exceed that cap they get nasty and bounce those great photos we tried to send to Grandpa. This great place lets you upload files as large as 2 gigabytes -- and there is no need to register or sign up. You simply upload your file and your link is instantly ready to email to your friends and colleagues. You can upload as many files as you want. Your files remain accessible for as long as they are being used and can be download an unlimited number of times.
www.komando.com For those of you who enjoy or use the internet on a regular basis or use your computer frequently, here is a web site that is a great source of information relative to computers, software and the internet - Kim Komando also does a radio talk show that is syndicated in most states, including Hawaii and is broadcast here on Saturday morning, 990 AM at around 6:30 AM. If you would like to listen go to the web site and check the schedule.
www.gotomeeting.com Easy Online Meeting, anytime and anywhere. Use GoToMeeting to present, demonstrate and meet all you want for one low flat fee. To discover how to use this service to this web site. Excellent time saver!
http://video.pbs.org If you are a fan of the Public Broadcasting System (PBS) (or want to be) then this is a very worthwhile place to visit. Frontline -- Masterpiece Theater -Nova -- American Masters -- this great place has full length videos at your fingertips - on demand! You can watch your favorite shows and catch any episodes you may have missed -- all on your schedule. You can also send your favorites to friends and post them to social networks. There is no cost but if you are not a member of your local PBS affiliate you should become one as it is the highest quality of entertainment and a bargain price.
Kindest Regards, Jim Foster
Chase 'N Rainbows Real Estate, Inc.
Toll Free 888-661-7994
Direct Line 808-661-7994
Cell 808-870-5858
Fax 808-667-2957
Real Estate for Sale www.JamesBFoster.com
Vacation Rental www.ChaseNRainbows.com
Email Jim@JamesBFoster.com
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