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Shared Wells, Are They Legal In Idaho?

September 20, 2023 By Tayson Rockefeller Leave a Comment

I’m going to call this a “read at your own risk” article based on limited knowledge of the subject, but I also feel the need to provide the data as it is so much different than what we have historically understood. The topic? Shared Wells.

Historically, multiple property owners have (or maybe thought they had) the ability to share one well with multiple homes. There is/was always a limit as to the number of homes which the Department of Environmental Quality would be involved for water monitoring. A separate entity that controls water in the State of Idaho, The Idaho Department of Water Resources (IDWR) position on shared wells was that most of the water would be returned to the aquifer, and a shared well between multiple homes was really no different than each home having an individual well as long as the usage did not exceed the state’s limitation for water usage for domestic water for each parcel without water rights, 13,000 gallons per day including up to 1/2 acre of landscaping.

Recently, however, an amended Snake River Basin moratorium for issuance of new water rights has created some challenges when it comes to shared well systems. A byproduct was (I assume inadvertently) prohibiting new water rights for shared wells. Since one parcel would be sharing a well with other unrelated parcels, legally, that apparently requires an additional water right with minimum CFS (Cubic Feet per Second) or diversion rate requirement to provide sufficient water to the additional homes. Since new water rights are not being issued, technically, in order to legally have a shared well, these owners would need to find an additional groundwater right that meets the CFS requirements or find a way to mitigate water from other areas, essentially by drying up other acreage.

Historically, many communities and municipalities have been able to share wells, but that would require municipal or domestic water rights. Since water rights are so valuable in Idaho, new developments with shared well systems that are not a part of an existing system or municipal system may become challenging, and that unfortunately trickles down to small systems including one to three homes sharing wells for the purpose of efficiency.

Stay tuned on this topic and (of course) do your own research on this contentious matter.

My data and source for this article was my interpretation of a conversation with an employee at the Idaho Department of Water Resources on September 20th, 2023.

Deferred Maintenance and its Impact on Value

June 8, 2023 By Tayson Rockefeller Leave a Comment

Homeownership comes with maintenance. In fact, it can oftentimes be one of the key driving factors for one to consider selling a home, particularly in an area subject to second homes, as well as the high maintenance aspects of Teton Valley. From snow removal to home staining and constant deck refinishing, it isn’t always easy.

In past articles I have identified home upgrades that can help with resale value, but one of my most recent articles on the subject was way back in 2015. The cost of remodeling, additions and even maintenance was significantly lower back then. As a result, my (current) advice is typically to sell as-is without major upgrades because the return on investment can be so hard to achieve. In some events, I provide this same advice even for deferred maintenance, because the availability of contractors can be so limited that one might miss an opportune sale window by waiting for contractors.

Because of this, I can’t stress the importance of ongoing maintenance (and repairs) enough. Throughout my career in real estate I have witnessed so many circumstances where a seller concession was so much more than the collective maintenance would have been. The same goes for repairs. A small shower glass leak that continually pools water eventually finds its way to the subfloor, creates mold, requires tile replacement, etc. While this seems obvious, what we tend to forget about is the additional cost of a sales concession to satisfy a concerned buyer. We usually can’t remedy a bathroom overhaul during a contract period. As a result, buyers look for concessions in excess of the cost of repair, which honestly makes sense. They assume the liability of the repair, the risk of unseen damage, the organization and completion of the task and the inconvenience of it all until completed. There was a time through 2021 where sellers didn’t need to make concessions in order to finalize the sale, but the market has shifted, even if it hasn’t been as much with respect to values.

In addition to the concession needed to satisfy a buyer that is so often in excess of the cost of maintenance repair, the other obvious benefit of regular home maintenance and repair is how well a home shows during its time as a real estate listing. It’s amazing how much sooner offers are received, how much more buyers are willing to negotiate, and how fewer days on market accumulate with well-maintained homes in good order. While feng shui and declutter is important, the feeling of a well-maintained home is hard to beat.

With the above said, below is a list of home maintenance items I often see overlooked.

Staining!
Nearly every home inspection report comes back with siding maintenance either desperately needed, or recommended. It’s easy to put this one off, year by year – particularly when you contact the local staining company of your choice each Spring, just to learn that they are booked through Fall. Make your appointments in the Winter, and get on the schedule early. The frequency of home staining can vary dramatically. I stain my full wraparound deck every other year, but only need to stain the exterior of my home about every 10 years. My home is mostly shaded, but receives heavy snow load on the decks that I clear after every storm with a snow blower. The lack of direct sunlight and wind-driven moisture provide shelter for my house, but most homes in Teton Valley are subject to high UV sunlight (something we sometimes miss) and wind that both drives moisture and dries siding. Stains with high transparency tend to need more frequent maintenance whereas opaque stains or paints usually don’t need refinishing quite as often. There’s a big argument between oil and water-based stains, but I’m not getting into that with this article. At any rate, once siding loses its protection layer, it doesn’t take long for warping, cupping, cracking and the loosening of fasteners to occur, only adding to the cost of the deferred maintenance.

Decks and Deck Railings
Same comments, above.

Roofs/Ice Dams
There’s no better time to take care of ice dams than in the Summer months when you can stand on your roof! You can read a recent article HERE.

Stone, Metal, Flashing
Stone or brick falling away from chimneys and homes are usually doing so for a reason. Finding the source of a water leak, bad flashing, etc. can save a major overhaul down the line.

Windows
Window seals often fail, and getting glass replaced can take months to find contractors, order glass and install. Waiting until you have a contract on your home puts you in the precarious position I described at the outset of the article. On a related side note, removing window screens during the Winter months is a great way to add longevity to them.

Driveway Sealing and Sidewalks
Sealing concrete is becoming ever more important with Idaho salting roads for Winter safety. This chemical compound rides with your car in the wheel wells and undercarriage, and melts away on your concrete drive creating “spalling”. Simply sealing concrete can help you avoid costly repairs. While asphalt tends to be more resilient in this area, it also requires sealing. Settling concrete walks are also relatively common in the area. Many foam injection companies have moved into the region, offering concrete leveling without the jackhammer. Leveling and sealing sidewalks so that you aren’t worrying about concessions (and trip hazards) down the line is an easy repair and offers great peace of mind.

Hardwood Floors
Hardwood floor refinishing is another one of those services that can vastly improve value, but it requires scheduling far in advance of listing your home for sale.

Lawn & Sprinkler Maintenance
If you’ve ever noticed those hard water deposits on a few of your windows or the white “arcs” on the side of your house, a simple sprinkler adjustment can easily remedy the problem and save thousands in repairs. Similarly, weeding and grounds maintenance is a whole lot easier before it gets out of control.

Rodent and Pest Control
I’ve touched on this and past articles, but rodents and pests can wreak havoc on homes. Field mice can cause significant issues relative to home systems, particularly insulation in crawl spaces. Carpenter ants can do nearly as much damage as termites (which we generally don’t have) in this area, particularly with timber or log homes. Getting a handle on pest control at the outset is a must.

HVAC / Plumbing
Other overlooked maintenance items include furnace filters, house ventilation filters, dryer vent cleaning, electric heater register cleaning, water filtration replacement, HRV filter cleaning and more. If you aren’t capable or interested in maintaining these items, have it noted every time these home systems are serviced by a professional. If you are, a dry erase marker on your HVAC duct is a great indicator as to the last time all of these home systems were serviced. Buyers asking for concessions for these types of services (if they are not obviously maintained) is common.

Tile, Stone and Grout Sealing
Most tile does not require sealing, but stone and granite countertops as well as grout lines usually do. Most stone fabricators will tell you that the initial sealant on granite countertops is good for anywhere from 5 to 10 years, and grout can be sealed more frequently, even as much as annually depending on traffic patterns and use. This isn’t a fun task, but it’s something to consider.

General Cleaning
Easy to forget surfaces such as the tops of cabinets and window tracks are much easier to keep clean if they are cleaned frequently. No, I don’t clean my window tracks every year, but I try to do it every other year if I can.

Each home is different, and each home requires a unique maintenance procedure. Keeping a notepad along with your other house service manuals and getting a feel for your investment can not only save costly repairs down the line, but also pay back in dividends when it comes time to sell.

Fields and Fields… of Fields

April 10, 2023 By Tayson Rockefeller Leave a Comment

No, I’m not talking about all of the so-called empty subdivisions better known as “fields”. Today, I am talking about form fields.

When a real estate agent gets a new listing the agent usually enters the listing data into the local MLS which includes all of the property information, uploads photos and documents, then clicks the magical submit button which syndicates the listings to various marketing platforms like Trulia, Zillow, and brokerage websites like TetonValleyRealty.com. When a consumer views a listing on one of these various marketing platforms, they can see the data entered by the real estate agent. The data is usually entered into predefined fields within the agent’s MLS software.

Most local agents spent quite a bit of time and entering these listings to make sure that we are not misrepresenting the data displayed to the public. Almost all of the form fields require some sort of input before the listing can be submitted. If an agent doesn’t know the answer (or in some events think they know the answer), this data is sometimes inadvertently misrepresented. I would like to think I know my way around local real estate, but even I have been guilty of this.

Because of this, there are many circumstances when I find myself arguing with a prospective Buyer about certain amenities that a property does, or does not have. Some of these are obvious, such as the view. If the listing says it has a Teton view when it in fact does not, it’s a pretty easy argument. Some, however, take a bit more time to research. I have seen listings state that water systems are available when they are not, and vice versa. These amenities (or lack of amenities) can have a significant impact on the perceived value of the property.

In the event of an advertisement error or misrepresentation, what recourse would a Buyer or Seller have? The answer (in my opinion, and depending on the situation) is; not much. Not only does the MLS and most of the advertising platforms have a disclaimer with respect to information being “reliable, but not guaranteed”, but the real estate purchase forms also have statements advising a buyer to perform their own home inspections and verify issues related to the home, including the square footage.

Sellers
My advice to Sellers in these situations is simple, closely review the data entered by your real estate agent to verify its accuracy.

Buyers
My advice to Buyers would be to query your agent and perform your own inspections to the best of your ability, and watch out for things that might be too good to be true. Most agents (particularly local agents) will not only normally have a sense as to the overall accuracy, but will also know what resources and contacts to provide for this research. I mentioned water systems above because it’s an easy box to check or not to check with respect to an available public water system or connections. Other common errors include miscalculating square footage, homeowners association dues, whether or not short-term rentals are allowed, if propane tanks are leased or owned, the allowance of horses, and connectivity for hi-speed internet.

It’s also important to remember that some things are negotiable. If a listing says that the furnishings are included, but your agent does not include the furnishings or a bill of sale for the furnishings in the offer, you may be left without them. The same goes for appliances, and other personal property.

2022 Year End Market Report

April 3, 2023 By Tayson Rockefeller Leave a Comment

“What are you going to do with all that money?” – and – “It’s a great time to be a real estate agent, eh?”

The past years’ standard introductory comment didn’t really bother me very much. It’s our job to make the process look easy, but the job does come with sacrifices. Sure, times can be great, but they can change fast. Not only do we have to prepare our customers and clients, but also ourselves. At any rate, it has been bitter sweet – kind of a double edged sword. I’ve always felt that I couldn’t have Teton Valley to myself, but change is tough.

2023 has been met with a continuation of the same challenges of late. It may not be a great time to be a real estate agent, but that doesn’t mean an unhealthy market. We seem to have weeded out the sellers with “make me move” prices, those aren’t realistic anymore. Prices in general are down, but certainly still above pre-pandemic levels and I think that’s probably here to stay. Buyers are waiting to see if interest rates come down, if prices come down, if the market changes. The question is; who caves first? With the market picking up over the last couple of weeks, early indications are pointing to buyers. Buyers do seem to have more control than we’ve seen over the past couple of years both in price negotiations and inspection negotiations, but I’m not sure if it’s a buyer’s market or seller’s market. It’s just a neutral market. Buyers still want in, but a lot of sellers don’t really want out. With inflation slowing things down, everybody seems pretty content, even me.

All right, now that we’ve had some fun, let’s look at the data. It may seem slow, but the numbers might surprise you:

RESIDENTIAL
Teton Valley & Alta
2019 – 289 sales
Avg sales price: $456,043
Median price: $390,000
Days on market: 186
2020 – 406 sales
Avg sales price: $610,953
Median price: $486,379
Days on market: 147
2021 – 370 sales
Avg sales price: $915,978
Median price: $660,811.50
Days on market: 90
2022 – 299 sales
Avg sales price: $1,013,331
Median price: $766,000
Days on market: 102
LAND
Teton Valley & Alta
2019 – 281 sales
Avg sales price: $132,820
Median price: $70,000
Days on market: 355
2020 – 677 sales
Avg sales price: $121,489
Median price: $85,000
Days on market: 280
2021 – 742 sales
Avg sales price: $240,438
Median price: $160,000
Days on market: 157
2022 – 421 sales
Avg sales price: $326,259
Median price: $200,000
Days on market: 136

***Source: Teton Board of Realtors

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