Since 1990, every new wood stove for sale in the Unites States is approved by the EPA, and produces a mere trickle of smoke (2-5 grams per hour) and very little ash. This amounts to a 33 percent increase in fuel efficiency over the old potbelly stoves, and a 90 percent decrease in emissions. This means that advanced wood burning stoves burn a lot less wood and are simultaneously kinder to the planet.
"Don't wood stoves put pollutants into the atmosphere just like other heating sources--gas, oil, or coal?" When fossil fuels are extracted from the earth and consumed, they release carbon dioxide into the environment. There is substantial costs involved in extracting and producing these fuels, and once they're burned, they're gone for good.
As a fuel source, wood is different on several counts. Trees, like all other green plants, take carbon dioxide out of the atmosphere and convert it to fiber in order to grow. When trees die, and wood decomposes, this CO2 is released back into the air. But in this case, it is a natural cycle, since all trees eventually die. The same thing is true when wood is burned. Making the wood-burning cycle sustainable is the fact that wood is a renewable source of fuel.
"Are wood stoves good for the environment?" The answer, when you compare stoves to other heating methods, is yes. Today's stoves are fuel efficient: they produce more heat with less wood, keeping emissions to a minimum by meeting strict EPA standards. Best of all, perhaps, they don't deprive the earth of non-renewable fossil fuels.
So, call to mind that rusty, black iron stove you saw in a Western movie, a vacation lodge, or at your grandparents. Then prepare yourself for an updated picture as you explore the world of modern wood stoves. Environmentally speaking, today's stoves are very green.
See the full article by AJ Vanderhorstat at American Chronicle.com
“The best place to be during the 2010 Winter Games for Olympic enthusiasts who want to do more than just watch!
Enjoy a Washington State Olympic experience– Methow Valley Style! Experience the Olympic activities of Nordic skiing, ice skating, hockey, biathlon, alpine skiing and snowboarding - all while being surrounded by the Winter Olympic Spirit.”
The goal of the festival is to offer locals and visitors alike a chance to feel genuine Olympic excitement without the cost or stress of traveling to the event itself in Vancouver B.C.
Participatory and spectator events are scheduled daily during the two week extravaganza- some traditional, like the 30K timed freestyle ski race from Mazama to Winthrop, some less traditional- like the snowshoe softball tournament, doggie dash, or cattle roping on skis.
Try your hand at the biathlon or watch your children get free cross country ski and ice skating lessons. From fireworks to torchlight skiing, Olympic events on the big screen at a pub to snow shoe wildlife tours- there is something for all ages, interests, and fitness levels during the two week Methow Valley Olympic Festival.
Come visit us and get fired up about the Olympics like you never have before. For a complete event’s calendar, visit the Methow Valley Sports Trail Association website.
If you would like information about properties when you are in town, give me a call or e-mail me. I’d love to catch up.
• lot / land - 
MLS® $99,900 - Priced Right
Pine Forest, Winthrop - Central location with easy access to Methow Valley recreation. Enjoy wide open sunny views of rolling hills, pine trees, and snow capped peaks. Power in road and a community water system gives you a jump start on building. Adjoins a greenbelt to the south offering view protection of the peaks to the south east. Short distance to a residents only entrance to the Sun Mountain Trail system. Walking distance to National Forest bordering two sides of the Pine Forest development. Walking distance to snow shoe trails and Lake Patterson access trail.
Property information
Rarely Rented
HOMEOWNER: Uses ski cabin primarily for own purposes and only rents it out for a week in December.
TAX IMPLICATIONS: This is the most straightforward scenario. If a vacation house is rented out for less than 15 days each year, the rental income does not have to be reported. While the house can still qualify for the mortgage interest, property tax deductions and write offs for casualty and theft losses, in this tax category, a property owner cannot deduct any other expenses associated with operating and maintaining the house.
Frequently Rented, but Rarely Used by the Owner
HOMEOWNER: Visits a riverfront house for just a single prime week in August, while the rest of the summer and fall the house sees plenty of foot traffic from renters.
TAX IMPLICATIONS : Since the property is rented out for 15 days or more, that rental income will have to be reported. But these homeowners are now qualified to deduct expenses associated with maintaining the house and marketing it to renters. Everything from utilities, cable television, commissions paid to a property manager and insurance may be deducted. The cost of basic home repairs, like fixing a broken window, may be deducted, and larger home improvements, anything that “extends the life of the house,” said Greg Rosica, a partner at Ernst & Young, may also be depreciated over several years.
The I.R.S. sets the usage bar at 14 days or 10 percent of the number of days a property was leased out at fair market value as the maximum amount of time at which a property owner may take a loss. Say that $25,000 in annual rental income meant $30,000 in home maintenance, improvements and other expenses, a homeowner may take a $5,000 loss on that property.
But for homeowners making more than $150,000, “They are not going to be able to write it off because they make too much money,” said Dave Bergman, a certified financial planner in Marina del Rey, Calif. Instead the loss goes into what the I.R.S. dictates as a “suspended loss,” Mr. Bergman said. However, once the rental property starts turning a profit, a homeownermay take advantage of the losses incurred years ago. “It’s a deferred tax benefit,” he said.
If a homeowner makes a profit on the property with its sale, but has been depreciating the house, that homeowner should expect a 25 percent tax bill, regardless of whether they have been taking a loss on the property or not. It is the I.R.S.’s way of saying, Mr. Bergman said, “this was your business renting out real estate, you were depreciating the business because of abuse and wear and tear on the property and now you have made a profit on the sale, so we are going to tax you at a higher rate.”
Frequently Rented and Used by the Owner
HOMEOWNER: Rents out a mountain cabin for three months of the year but uses it the entire month of January.
TAX IMPLICATIONS: The property owner will have to report the rental income and may deduct the expenses associated with operating the house as a rental, but because it was used for more than 14 days, the I.R.S. does not allow the property owner to write off more than the value of the annual rental income. In short, that homeowner cannot take a loss on the property.
But not all of the days a property owner spends at the house have to count toward personal use.
“If you are there for a week and for six of those days you are going to fix up the property, then those days don’t count as personal use,” Mr. Rosica said.
Not only can those days spent working on the house and meeting with local property managers not count as personal use, but travel expenses to the property, from filling up the gas tank to airline tickets, can qualify as deductible expenses. “The trip to China to buy Oriental rugs to furnish the house might get called in to question,” said Mark Luscombe, a principle analyst at CCH, a tax information firm.
The best advice for property owners is to keep good records. “If you want to qualify it for rental activity, keep a log that lays out how many days you were there so you can say, ‘here is the Home Depot receipt for the hot water heater and here is a list that lays out what I did each day in terms of repairs,’ ” Mr. Bergman said. “Keep anything that can help to substantiate your trip there.”
And find a good accountant.
If your grown children are thinking of taking advantage of the best buyers’ market in years, perhaps you are considering assisting them. There are several reasons why now is a great time to help your child realize his or her dream of homeownership:
Home Buyer Tax Credits
First-time home buyers are eligible for up to an $8,000 tax credit. Current home owners may be eligible for a tax credit up to $6,500. The IRS has issued new regulations saying that under certain circumstances, even if a parent co-signs on the home loan, the buyer can collect the credit.
Low Interest Rates
We continue to see historically low interest rates. While the Fed has pledged to keep them as low as possible, it is inevitable that rates will creep up over the next several months. Low interest rates give you and your child greater purchasing power. When interest rates go up a percentage point or two, purchasing power is decreased by as much as $100,000.
Great Selection of Homes
As 2010 gets underway, pent up inventory will enter the market, creating a wider selection of affordable homes to choose from.
No Tax Consequences for You
Under current tax law, an individual can gift up to $13,000 each year to any individual with no taxable consequences to anyone. If you and your spouse gift to your child and his or her spouse, that gift can total $52,000—a sizeable down payment.
For more information about helping your child become a homeowner, please contact me anytime.
I am often asked the question- how long does it take to build? The answer is, of course, it depends. But here are some factors to consider.
Things that take time before you start building. These should be completed in the fall/winter before you plan to break ground:
1. Do you have home plans already or do you need to consult with an architect? Architects need to make at least one site visit to marry your home plans with the topography and views. Plans can take 1 to 3 months to complete.
2. Have you interviewed builders? Having a strong relationship with your general contractor is important even if you can be on site every day and crucial if you can only visit every two or three weeks during the process. Sometimes the builder you want already has a project lined up. If you want to break ground in the spring you need to be interviewing a full year out.
3. Have you established your lending source? Construction loans can take months to line up.
The ground thaws in April in the Methow Valley. You will not be able to start construction until then unless you dug and poured the foundation for your home the proceeding fall.
Depending on the complexity of your home and the size of the crew building your home, you might be able to move in before the year ends. Due to the relaxed nature of construction crew time lines in the Methow Valley, you will most likely have an insulated home with a functioning heating system that needs the finishing touches worked on throughout the winter.
Nine months to a year from ground breaking to completion is a good projection- but don’t forget to factor in the six months to a year you need to talk to your architect, secure lending, and find/ schedule your project with your builder.
What’s the best way to overshoot your timeline and your budget? By committing to do a step of the building yourself! Unless you are a professional contractor, having your builder’s crew or subcontractors wait for you to finish your piece of the puzzle is a sure delay. With new construction, delays mean money. You will have plenty of opportunity to work on your home after it’s built!
A 1031 exchange, otherwise known as a tax deferred exchange is a simple strategy and method for selling one property, that's qualified, and then proceeding with an acquisition of another property (also qualified) within a specific time frame.
The logistics and process of selling a property and then buying another property are practically identical to any standardized sale and buying situation, a "1031 exchange" is unique because the entire transaction is treated as an exchange and not just as a simple sale. It is this difference between "exchanging" and not simply buying and selling which, in the end, allows the taxpayer(s) to qualify for a deferred gain treatment.
So to say it in simple terms, sales are taxable with the IRS and 1031 exchanges are not.
I would be happy to refer you to a 1031 exchange specialist if you would like to explore the profit keeping possibilities of this program.
A Western Paradise
• 2,586 sq. ft., 2 bath, 2 bdrm 2 story - 
MLS® $589,000 - Get More for Your Money
Carlton, Okanogan County - Mountain valley views and end of the road seclusion surrounds you in this energy efficient home. Wrap around decks, hot tub, 40 acres of Alfalfa fields, 10 cord woodshed, high producing well, spring fed year round stocked trout pond, wired for going off grid- these are just a few of the unique features of this 2 bed 2 bath 2500+sf home. Live in comfort while you remodel this one of a kind home at your own pace. Close to national forest, you can hike or horseride from your property. All farming equipment needed for haying negotiable. Training corral with stable and 2 acre fenced grazing area ready for your horses today.
Property information
If you are going to live in the Methow Valley, you will most likely need a well to provide your water. Domestic wells in the valley are usually 6 inches in diameter, range in depth from 50 to 650 feet, and draw anywhere from .5 (lowest allowable for building permit)to over 80 gallons per minute. Some wells are built for single family use, others are designed for entire communities.
Water is drawn from the well using an electrical submersible pump. High yielding wells often provide water directly into your household plumbing. Lower producing wells or wells that are to be used for irrigation as well as domestic use will often feed a pressurized holding tank or cistern. These can be located in or outside of your residence, above or below ground. Your household plumbing would then connect directly to these storage facilities.
You can expect to pay anywhere from five to fifteen thousand dollars to install a new well, depending on the depth of the aquafer you will be tapping into.
If you have specific questions about your well or the potential for a well on your land, I would be happy to refer you to a number of qualified Methow Valley well drillers.
Raw Land Loans are meant to facilitate the purchase of wholly undeveloped pieces of property. They differ from vacant land loans on a number of points.
A Closer Look at Raw Land Loans
Raw land is generally defined as property that does not have any improvements on it whatsoever. This means it will not have such things as utility lines in place. It might not even have easy access to them. This type of land may not be reachable via paved roads.
Obtaining financing for raw land can be quite difficult because the prospect is risky for lenders. Since borrowers will face a lot of work in developing the land, their stake may not be as high. Seller financing or a cash offer are often your only viable options for purchasing raw land.
The Vacant Land Distinction
Vacant land loans are different in that they are meant to facilitate funding on properties that do have access to utilities or may already have improvements in place. Obtaining funding for vacant lots can still be a difficult process, but it is generally easier than dealing with the purchase of raw land.
When the desire to buy pristine property is in place, raw land loans might be required. Partially improved lots will generally be funded through vacant land loans.
Utilities Made Clearer
The proximity to power is usually self explanatory and a septic system can be installed most anywhere the soil perks. WATER is increasingly the determining factor in a loan being issued or not. Many banks are now requiring that land currently have access to water before they will lend. This can mean a city system, a community, shared, or private well.
I help clients purchasing in the Methow Valley explore their land lending options all the time- both locally and in Western Washington. I can help you too.
You may have land, even large acreage. You may have pumps and pipes, a well, stream, ditch or even a river running through your property.... but do you have a water right?
If there are signs of past irrigation on your property then chances are there was once an irrigation right associated with your land. However, if there is a five year gap in irrigation or water use on your property, these rights could be subject to relinquishment.
Recognizing the complexity and challenge of understanding Washington water law and to help you navigate the legalese, the Washington Rivers Conservancy (WRC) has recently published a 32 page booklet titled "Landowner's Guide to Washington Water Rights."
The guide describes the basics of water rights, how to change or transfer a water right, and how water rights are valued and traded in a market like system.
If you would like a copy of this locally produced publication, drop me an e-mail or give me a call.
Furnishings Included & 1 Year Warranty!
• 1,394 sq. ft., 2 bath, 3 bdrm 2 story - MLS® $229,000 - REDUCED!
Winthrop, Okanogan County - This home is priced to move! 20 to 50 thousand dollars below identical units, this condo comes fully furnished and includes a 1 year home warranty. Minutes from downtown Winthrop with easy year round access, this four season condo will have you enjoying the best of country living without the hassle of road or yard maintenance. Two minutes from the closest trail head - you will be practically skiing or biking out of your front door. Every single door from original construction has been replaced throughout with solid wood doors. Original vinyl blinds have been replaced with solid wood blinds giving a terrific refined feel the instant you walk in the door. Comes with all appliances and a stacked washer and dryer. You can start living the dream of a Methow Getaway today!
Property information
Ready to Build Now
• lot / land - MLS® $58,000 - Priced to Sell
Lost River, Winthrop - This .5 acre mountain lot at the base of the Cascade Mountains is your stepping stone to adventure. Ready to build today with power in road, community water line to property and access to community sewer. A rare Lost River combination of grassy meadow and tucked in privacy. Partial mountain views and an easy access building site are yours in this competatively priced lot. Owners are willing to finance.
Property information
Ready to Build
• lot / land - MLS® $69,000 - Incredible Mazama Bargain
Mazama, Okanogan County - The rare Mazama bargain. 1 level wooded acre located at the Mazama Junction off of Davelaar. Firs and ponderosas shield the property from road noise and summer heat. Well on site, power in road, this property is ready to build and priced to sell.
Property information
Golf Course View
• lot / land - MLS® $109,000 - Priced to Sell!
Pateros, Okanogan County - Views of the 6th fairway at the popular Alta Lake Golf Course are yours at 20 to 40 thousand off list. Located in the scenic Cascade foot hills, this property is your full or part time base camp for outdoor adventure. Step out your door to play golf or take a 20 minutes drive to Chelan for shopping, wine tasting and refined nightlife. The North Cascades are at your doorstep for hiking, biking, hunting. Like fishing? Alta Lake, Lake Chelan, Methow and Columbia Rivers are minutes away.
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