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Fun to do's in Eagle River

by Eric Bushnell

I was looking for a pack raft online, so that my son and I can do some fly in float trips as he gets older.  I ran across this video of a couple of pack rafters on the South Fork of Eagle River.

What Do I see...

by Eric Bushnell

There seems to be more activity in the market right now.  I've noticed that there are more people visiting my website.  Homes are getting more showings.  And three homes I had listed are now under contract.  these sellers are very happy they listed their homes now before the busy summer months.

I'll be out this afternoon visiting with one seller and then showing a couple a home in Wasilla, they're considering purchasing.  There is optimism in the air.  Even Wall Street had a good day, stock market closed in positive territory today.

There is currently 94 homes available for sale in Eagle River; however 22 of those homes are under construction and not ready to move into at the moment.  That leaves 72 options.  Last February 26 homes sold, and then in March 80 homes came on the market, and in April/May 184 homes came on the market.  103 of those homes sold, but that a lot of competition. 

My advice is get started now.  You will most likely get the price you want for your home, if its clean and ready to sell.  Homes that don't shine will be sitting on the market in September.

Be ready, call me today for a free consultation.

Home Sales in 2013 Rise to Strongest Level in 7 Years

by National Association of REALTORS Magazine
Daily Real Estate News | Friday, January 24, 2014 The housing market has been experiencing a “healthy recovery” over the past two years, with home sales last year rising to the highest level since 2006, according to the National Association of REALTORS®' latest housing report. “Existing-home sales have risen nearly 20 percent since 2011, with job growth, record low mortgage interest rates, and a large pent-up demand driving the market,” says Lawrence Yun, NAR’s chief economist. “We lost some momentum toward the end of 2013 from disappointing job growth and limited inventory, but we ended with a year that was close to normal given the size of our population.”Existing-home sales rose 1 percent in December 2013 compared to November and reached a seasonally adjusted annual rate of 4.87 million.Existing-home sales for all of 2013 reached 5.02 million sales, 9.1 percent higher than 2012, and the largest rise since 2006 when sales were at 6.48 million at the close of the housing boom, NAR reports.  Home prices were also on the rise in 2013, up 11.5 percent over 2012, with a median existing-home price of $197,100 last year compared to $176,800 in 2012. It was the strongest gain in home prices in a year since 2005, when home prices rose 12.4 percent, NAR reports.NAR President Steve Brown says that with job growth expected this year, home sales should hold despite rising home prices and higher mortgage rates.“The only factors holding us back from a stronger recovery are the ongoing issues of restrictive mortgage credit and constrained inventory,” Brown says. “With strict new mortgage rules in place, we will be monitoring the lending environment to ensure that financially qualified buyers can access the credit they need to purchase a home.”Housing Recovery Regional SnapshotHere’s a look at how existing-home sales fared in December and for the year across the country:Northeast: Existing-home sales fell 1.5 percent in December but remain 3.2 percent higher than December 2012. Median price: $239,300, up 3.6 percent from year ago levelsMidwest: Existing-home sales dropped 4.3 percent in December and are 0.9 percent below year ago levels. Median price: $150,700, 7 percent higher than December 2012.South: Existing-home sales rose 3 percent in December and are 4.6 percent higher than December 2012. Median price: $173,200, up 8.9 percent from a year ago.West: Existing-home sales increased 4.8 percent, but are 10.7 percent below a year ago. Median price: $285,000, up 16.0 percent from December 2012.By REALTOR® Magazine Daily News

2013 Real Estate Forecast

by Eric Bushnell

Turbulence on the horizon…

Today is January 18th, 2013, what will 2013 bring? Many people are saying that 2013 will be a great year. I believe that we will good times and slow times in the coming year. 2012 saw growth in the number of homes sold in the Anchorage and Eagle River markets. The Mat-Su Valley was closer to flat, with gains in some areas and losses in other. Most will agree that the average home value increased between 1.5-3.5%.

At a recent Chugiak/Eagle River Chamber of Commerce luncheon, Mark Edwards, Economist for Northrim Bank spoke on the economy. Tax reform and government spending are issues here in Alaska as well as Washington DC. He also explained that many new businesses are started with funding taken from the equity one has in their home. So if values are increasing, we may see more new businesses that will lead to job creation.

As we move through the year I believe inflation and interest rates will drive the ebb and flows of the housing market. Currently here in Alaska we have limited supply of homes on the market. Unless values increase 5-6% many home owner may not be able to sell their homes without taking a small loss. So for the first half of 2013 I believe the new construction market will do well. As prices rise in 2013 more homes should come on the market, leading to a saturation point in the 3rd Quarter.

If interest rates rise, buyers will have less buying power. If inflation occurs in any significant amount then new home prices will also rise above the reach of many buyers. Looking at all this information it is my opinion, and let me emphasis this, my opinion, the market will see good growth in value of homes below $350,000. However buyers in this range will get less for the amount they spend as the year progresses. The best deals will be in the spring.

Higher end homes with smart owners will bring their homes to the market slightly below the retail value and sell quickly, while those trying to take advantage of rising prices that attempt to sell for full retail will sit on the market. If interest rates rise, we will see downward pressure on the higher priced homes.

So fasten your seatbelts. Get your home ready to put on the market before the federal government starts messing with interest rates and taxes. I can create a market evaluation for your home and give you advice on when would be the best time to sell your home.

Call me at 907-360-7471 or click this link Market Analysis.

Eagle River Tree Lighting-Singing and Hot Cookies

by Eric Bushnell

Friday November 30th, join the Bushnell Real Estate Team at Eagle Rivers Town Square Park for the annual tree lighting ceremony.  We will be handing out "Warm cookies" straight out of the oven.  Come by and say hello, Santa will be there with his reindeer.

Elementary choirs and royalty will start singing around 5:45pm. There will be a warming tent that the Chamber will put up and two burn barrels that the city will have to help keep warm. If you are freezing... don't forget that at the "Hot cookies" that Eric Bushnell/Eva Loken are giving out as well as the  RE/MAX table, they will be giving away "hot hands glove warmers."  And finally, please dress warm... Standing and visiting at 18 degrees can be a chilly experience!   

Santa will arrive with reindeer escorted by a torch lit processional and enter Town Square from the back of the park. It will be chaos at that point. He will come up and light the tree with the Bear Paw Pageant royalty. Santa will be available after for kids who need to give him suggestions along with the reindeer who will be available for petting.


The last choir sings at 7:30 and should be done by 7:45.

Spring break up!

by Eric Bushnell

Spring is fast approaching and the temperatures are starting to rise.  The snow piles are beginning to shrink and the sun is up till 9 pm.  I love this time of year because the promise that summer is fast approaching.

But, it is ugly out there.  The once brillantly sparkling snow piles are now dirty brown piles of dirt and snow slowly melting, putting water on the road ways and encasing my car in brown muck.  I make multiple trips to the store for window washer fluid.

In the coming months many organizations will be putting clean up projects together.  Eagle River Rotary will be doing a road clean up project in April, and another clean up day at the Eagle River Nature Center sometime in early May.  Now is a great time to get out in the community and meet your neighbors while picking up the trash that magically appears as the snow piles melt.

Help keep Alaska beautiful, find a project and pitch in.

 

EAGLE RIVER COMMUNITY COUNCIL

by Eric Bushnell

EAGLE RIVER COMMUNITY COUNCIL

13135 Old Glenn Hwy., Suite 200

EAGLE RIVER, ALASKA 99577

AGENDA

Thursday, March 17, 2011

12001 Business Blvd., Room 170 conference room

(Next to the Eagle River Library)

Call to order

– 7 PM

Guest Speakers

Bill Johnson with Anchorage Tomorrow – upcoming bonds  MOA Assembly update (Ossiander/Starr)

Assembly/Legislative Updates

Legislative update (Sen. Dyson & Giessel and Rep. Fairclough & Sadler)

New Business:

Open

 Old Business:

Membership drive to increase participation and fill vacant positions st Wed. at 6:30pm, same room.

Reports:

Meeting Minutes: Brian Fay

Treasurer: Michael Foster (acting) $258.75

Parks & Rec. (3 yrs): Brian Fay (May 2012)

Road Board (3 yrs): Michael Melielo (June 2013)

Adjournment

It's time to get our economy producing!

by Eric Bushnell

It's time to get our economy producing!  This was the message at the CER Chamber of Commerce meeting today.  "Make Alaska Competitive" Coalition was the main speaker and the forum was sponsored by BP.

The message was that Alaska had increased taxes by so much in 2007 that Alaska was no longer a place to develop.  Based on the information they provided it appears that they're correct.  One excerpt from their handout reads as follows:

  • We a NOT competitive compared to other areas
    • When oil prices are $100 a barrel, the total marginal government take in Alaska is 82 percent.  In Alberta, it's 55 percent.  In the Gulf of Mexico it's 43 percent.  Alaska is simply not competitive under ACES. (source: Roger Marks)

I have a really hard time with these numbers, but no one gives all the information, so I have included a copy of the tax rate:

The formula for the total tax rate, including the base rate and progressivity is:

0.25 + ((Net per barrel value - $30) X .004)

ACES also contains a 20% tax credit for capital costs, with potential greater credits for exploration depending on location. For example, let's assume the following:

  • 100 barrels sold on the US West Coast
  • ANS West Coast price of $50
  • Transportation cost (pipeline and marine shipping) of $5
  • Upstream (exploration, development, production) costs of $20: $10 capital and $10 operating
  • No royalties (for simplification)

The net value of the oil would be:

100 X ($50 — $5 — $20) = $2,500

The per barrel net value would be:

 $2,500 / 100 = $25/bbl

Since this is less than $30/bbl there is no progressivity and only the base tax rate would apply. Thus the tax before credits would be:

.25 X $2,500 = $625

The capital credits would be:

.20 X $10 = $200

The tax net of credits would be:

$625 - $200 = $425

Now let's say the price of oil goes up to $70.

The net value of the oil would be:

100 X ($70 — $5 — $20) = $4,500

The per barrel net value would be:

$4,500 / 100 = $45/bbl

Since this is more than $30/bbl there would be a progressivity surcharge. The surcharge would be:

($45 — $30) X .004 = .06

Thus 6% would be added to the base tax rate of 25% for a total tax rate of 31%. Thus the tax .31 X $4,500 = $1,395

The capital credits would be: 

.20 X $10 = $200

The tax net of credits would be:

$1,395 - $200 = $1,195

Now if you can understand all this I am very proud of you.  What I do understand is that as the price of a barrel of oil goes up, so does the tax rate.  Only it is not prorated like our income taxes.  Alaska gave the oil companies a great rate and even a free pass for many years and oil production has dwindled.  Now prices are finely high enough that they can really make money.

Alaska needs a fair share of this wealth, but what is fair.  Talk to your politicians about what you think is fair.  I am no going to say how to fix this, but I do think it is broken.  Don't misunderstand me though. I think that Alaska should get more then we did before, but maybe not all of it.

 

A Fresh Look!

by Eric Bushnell

A Fresh Look

The snow is falling today and it reminded me that Mother Nature has a way of making everything beautiful.  As the winter drags on the landscape is drab and gray.  Well thanks to Mother Nature, last night it started snowing, and 'Whallah', everything white and pristine again.

Some days we wish life was like that.  When you are selling your home this is an important lesson.  Your home needs a fresh look!  Don't get me wrong your house is beautiful, but face it you live in it everyday.  I realize you clean up after your self, but when was the last time you dusted, washed the wall corners leading to the kids room, cleaned the light shades, and the most important back-splash behind the stove?

These things seem like no brainers, however when you're selling your home they may get overlooked.  I know you clean them when you have a party.  My wife loves our home when we have a party, as everything gets cleaned and decluttered.  The home sparkles, although I may not be able to find everything I'm looking for the next couple of days.

The fresh snow reminds me that the one most important thing you can do in selling a home is to paint it.  Give it a fresh look.  Do it right, tape things correctly, take your time, put on multiple coats. 

Do it Right! Just like Mother Nature would!

Where does the time go?

by Eric Bushnell

Where does the time go?  I wonder this as I fly through week after week.  Earlier this summer I injured myself having fun, playing softball I tore my Achilles tendon. Back in June I had surgery and thought that it would be forever before I was better.  Now 12 weeks later I almost recovered and was able to skate once again (please don't tell my Physical Therapist).

The school year has started and all the activities that go along with it.  This last weekend was the AHBA Parade of Homes, and the weather was beautiful.  Lots of couples and families out looking at the new homes.  Everyone was in a great mood and looked like they were enjoying themselves.

As I write this blog I am reminded that you need to write down the things you need to do.  Writing appointments in your calendar seems like a no-brainer; but what about other events?  Do you put these non appointment events into you calendar?  With smart phone you can virtually remind yourself about anything.  I asked my Othopedic doctor to e-mail me the appointments so that I could just move them into my calendar.  It is so important to put everything in so that you don't miss something important.

This also frees up the mind to not stress over trying to remember every little detail.  I owe this little tidbit of advice to my wife.  She always tells me to just write it down, then I can come back to it later.  BTW she's really smart.

Time's flying again so I need to go, until next time. 

Take care of yourself and keep you schedule straight.

Displaying blog entries 1-10 of 11

Contact Information

Lee Realty, LLC
Lee Realty, LLC.
5050 Dunbar Drive #F
Wasilla AK 99654
Office: 907-376-0119
Fax: (907) 376-4039

 

 

 

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