Each day I receive headlines from around the world (isn’t the internet wonderful?) with regard to real estate activity. Some headlines are bullish, others maybe bull. Some parts of the Country – and the world – are up, others are down. Among the latest; “Impatient Buyers Target Homes Before They Go on Sale” and another shouts, “Housing Ends Slide but Faces a Long Bottom”, still another touts, “March Pending Home Sales Rise, Market Recovering”.

All of these stories contain positive news about real estate recovery. I have to remind myself that this is an election year and good news is good for the economy and good for candidates wanting re-election. Harder to find perhaps are the headlines that promote reality. Of the examples above, at least one points out that the climb out of the down real estate market may be a long one.

Locally, our market reflects the same truths; while one market segment may be well above another in activity, most areas have experienced a decline in prices. These “price adjustments” have affected some areas of our market more than others. Many areas within our geography refuse, or are unable to make the adjustments and therefore, the activity in these neighborhoods remains low.

No one can argue that the simple reality of supply and demand dictates prices on all commodities and real estate is no different. Since the stand still market in the Fall of 2008 we have seen prices fall. Driven in part at least by foreclosures, neighborhoods and business districts have seen their equity evaporate as a lower priced, foreclosure property establishes the new, fair market value, of the neighboring properties.

It does appear though that we are bouncing around the bottom and have been for some months. Historically low interest rates have encouraged buyers to participate, but they have had the luxury of sitting back, waiting for properties in their chosen area to come available in their price range.

These bargain hunters now are facing the same competition that helped fuel the price increases of 2004-2007 – investors. With lackluster performance in the financial markets and with the low cost of borrowing, even those investors who are not flush with cash are able to buy properties which they can then rent, or lease, to those in need of a place to live, or a cheaper, better location for their businesses.

Each foreclosure displaces a family or business who, with the burden of high payments off their back, is now a viable tenant for a willing landlord. The reality is, that people all need shelter. If due to badly affected credit you switch from landlord to tenant, there is money to be made by another landlord providing that shelter.

The good news for the real estate market is that need drives activity. When the need is for cheaper rentals, cheaper buildings provide opportunity for those able to buy at bargain prices. This ultimately consumes the inventory of bargain priced real estate to a level where supply runs out before demand subsides, allowing prices to rise.

Certainly, given our unemployment rate, there are not yet the number of players eligible to quickly exhaust our inventory, but these times will pass. We can finally see that the real estate market is returning to normal. I for one, don’t want to say I missed the opportunities that exist today, probably for the first time in my life. At least I have never seen interest rates so low and would not have anticipated them lasting this long. That creates an opportunity to get a low payment, even if the property dips a bit more in value.

Like many of you, I don’t feel that opportunity is passed, but I am watching more carefully these days as I see the activity increase. Not all the news is good, real estate wise, but judging from the activity locally, things are getting better. Believe it.

Unemployment is down, but wait, it’s only down in some sectors and then it’s back up again. Real estate is moving and showing appreciation in average sales prices. But that was before the latest report that shows housing down.

Gas prices are up – then down – then back up again and now receding. Or are they? Who can predict the economic future in this volatile economic climate. Certainly not me. The best analysis I have seen is that it is a sawtooth economy. Up, down, up down, up down like the teeth on your grandfather’s old woodworking saw.

So much uncertainty exists that even those of us who study carefully the economic trends in an attempt to serve those who turn to us for answers are often left wondering. Now, with the latest news that Medicare and Social Security are quickly running out of money, it would be easy to acquiesce and say, “well, I don’t intend to be around that long.” That doesn’t solve the problem, or even address it for that matter.

I’m reminded of the time not so long ago when neither of these program existed. Before income taxes, which were quickly followed by social security taxes, then Medicare and Medicaid – how did we care for our elderly and infirm?

Mostly, I think, they were dependent upon their extended families and the real estate they left to their children, if any, or that they sold to others who helped them with enough funds to retire and care for themselves.

After World War II the Government made loans available to our returning Veterans so that they could buy homes for zero down. This was a modest reward for the sacrifices they made in defense of our country – in fact for the World. Through ownership in real estate they accumulated long term wealth. Certainly this did not come without improving their real estate and caring for it as they did their families, but as time progressed they accumulated an appreciation in their largest asset that many of them, still today, relied upon for income in their golden years.

Now we read that home ownership is not as important to the twenty to forty year old crowd. Who can blame them? After the train wreck of 2008- 2011 it is prudent to be cautious. What these people may be missing though, is the opportunity of a lifetime. Never in my life have I seen sustained interest rates at or below four percent. These are the kinds of interest rates our WWII veterans were able to take advantage of and many amassed fortunes by buying another and then another, property as their lot improved.

Now, many of our veterans of that era are moving into retirement communities. Some through Medicare but many are picking and choosing their resort style homes because they invested wisely and bought low, sold high. Even at today’s prices many of our seasoned citizens will reap a tidy profit on their homes. Fifty years ago, many paid under $20,000 for homes that today are worth $200,000 or more.

Their grandchildren may be well served to take some advice from an elder relative who didn’t have a plan to retire on Social Security or to be cared for through Medicare. These people always had a plan; Life is what you make it and real estate is about as sound an investment as you can make.

Cowboy philosopher, Will Rogers had it right when he said, “Buy real estate. They ain’t makin’ anymore of it.” Although with recent reports of asteroid mining, maybe there’s more than we thought.

What a wonderful world.

These figures show a drop in sales of foreclosed homes as a percentage of our total sales. Down from half our sales at this time last year to 45 percent of sales now. This is for the category, “all residential” so includes everything from manufactured homes on leased lots to luxury homes and yes, we have seen luxury home foreclosure sales as well. No one was exempt from the recession.

Another sign of improvement is the movement in the market. Last year at this time we were lagging behind 2010, even though at year’s end we had exceeded that prior year’s performance. It appears that, as of today, we are dead on track with 2010 year to date and should this trend continue, will have no trouble exceeding last year’s overall numbers.

As it stands right now – and these numbers are preliminary – homes in the Coeur d’Alene Dalton area are emerging most quickly from the doldrums of the past several years. Our figures reflect a 16 percent increase in average price over the same period in 2011 with an increase of 13 percentage points in total number of sales. In 2011 by this time we had sold 171 Coeur d’Alene and Dalton neighborhood homes while this year we have sold 193. At this early date this number could be greater as all data input may not have been completed at the time of publication.

1. Post Falls is holding its own and for the first time in recent memory, we can report no losses or gains that area. We sold 135 homes last year in that area by April’s end and exactly the same number (135) were reported as of this date in 2012. Prices remain flat there with an average of $149,497 for a single family home on its own lot.

The number of sales in Hayden fell slightly but their average price improved by 6% to $212,231 when compared to last April’s average.

Our neighbors to the north continue to struggle to fight their way out of the recession. Sales are down in number for the Rathdrum, Twin Lakes, Hauser area with an average price that is 15 percent less than last year at this same time.

The Silver Valley agents have been a little busier this year showing a 13 percent increase in number of homes sold, yet their average price continues to lag, showing this year’s average 12 percent below last year.

Bonner and Boundary Counties continue their improvement with with an average price increase of seven percent while production is up by eight.

When we look at the entire MLS area of reporting, which includes parts of Eastern Washington, we are encouraged to see that overall, we have experienced a 7.8 percent increase in sales activity and an 11 percent increase in total dollar volume sold. You may recall that last year, although sales for the year increased, our dollar volume actually fell by 1.1 percent.

Sales of waterfront homes YTD appear brisk with performance at 61 percent higher than last year, no doubt driven by the discounts found there with the average price at 74 percent of last year’s average.

Commercial and investment property sales reported to the MLS so far show that 2011 is a stand out for the last three years, exceeding the performance of 2010 and 2012 through April. Our commercial agents too are reporting more activity however, so there is cause for some optimism as business gets moving again.

Competition is brisk for low end properties. Realtors attending the first ever Realtor Technology Camp at the Coeur d’Alene Resort this past week reported being very busy, with one commenting, “It feels like 2004.” According to the National Association of Realtors this trend is consistent in most parts of the country. Housing affordability is at record highs, due to falling home values and mortgage rates hovering near record lows. More buyers are taking notice and jumping off the sidelines. And mixed with sinking inventories of homes listed for sale, the competition is getting more fierce. Investors are snapping up bargain prices, often in all-cash deals, which means greater competition for traditional home buyers too.

“Rents are going up, and as long as there are properties at the level where investors can get the positive cash flow, they will continue to invest,” says Jed Smith, managing director of quantitative research for the National Association of Realtors. Smith adds that first-time home buyers, in particular, may find increased competition from investors in trying to snag some of the best deals on the market.

Recent surveys have shown that buying a home nowadays is more affordable than renting. As such, more renters are finding home ownership more enticing. The signs are already starting to show: About 59.5 percent of tenants recently surveyed say they intend to renew their leases this year, which is the lowest rate since early 2009, according to a study by Kingsley Associates.

We notified you a month ago that FHA rates were going up. Fannie Mae, Freddie Mac, and the Federal Housing Administration recently have raised their loan fees, which means home buyers can expect to pay a little more for their mortgage this spring. “Those who don’t have credit scores in the high 600s to low 700s may be forced to go the FHA route,” says Ed Conarchy, a mortgage planner at Cherry Creek Mortgage. “And they will be stuck with the higher fees.”

Buyers with smaller down payments can expect to pay more for FHA mortgage insurance premiums, which have risen to 1.75 percent of the loan total. Bankrate.com cites an example illustrating the higher fees: A borrower who takes out a $200,000 FHA loan will likely have to pay about $3,500 for mortgage insurance upfront. Prior to the increase taking effect, borrowers would pay about $2,000 for that same loan amount.

Borrowers with higher mortgages can expect higher fees too. The FHA announced that in June it will increase its annual insurance for mortgages more than $625,500. “A borrower who lives in a high-cost area and takes out the maximum $729,750 (which is the FHA limit for high-cost areas) will pay $912 each month in mortgage insurance alone,” Bankrate.com reports.

Even so, this past week saw mortgage rates hovering near historic lows. Fixed-rate mortgages dropped slightly, nearing their average all-time lows and helping to lift home buyers’ purchasing power, Freddie Mac reports in its weekly mortgage market survey.

For every week but one this year, the 30-year fixed-rate mortgage, the most popular choice among home buyers, has been below 4 percent. A Friday check of the IHFA.org website shows the rate for government guaranteed loans still at 3.75 so housing remains more affordable than ever. With brisk sales in the lower price categories though, we risk absorbing inventory and creating a housing shortage in that segment should unemployment decline.

Of note; Last year we successfully argued against transfer fees and were able to affect new legislation in the state that prohibits those fees from being attached to a property. For those of you unaware, these fees have been charged in other states and attempts made here, that assess a transfer fee to sell your property within a particular subdivision. In states where they have not been prevented, a transfer fee is attached to the lot where you build your home. This lot then, is re-assessed a fee each time it is sold and is for the sole benefit of the developer. Considering that historically homes resell every five years or so, the developer would collect a fee on each sale or transfer of the property. Now, that cannot happen legally in Idaho.

This year in the legislative session we were able to influence a bill that protects those of you who may be living in a subdivision or operating a business created under a Conditional Use Permit. In January, the Idaho Supreme Court handed down a ruling that these permits were largely issued improperly and therefore were null and void. This ruling subjected hundreds of users of these permits obtained since 1975 to liability. New applicants would have to fit strictly within language of existing ordinances or the ordinances would have to be rewritten. Every local jurisdiction would have had to undertake the monumental task of rewriting land use planning ordinances stalling new business development in the process.

IAR worked with a number of business groups, land use attorneys, county and city representatives to pass HB 691 which will allow the process to continue to function as it already has, and includes an emergency clause retroactively applying to all existing Conditional Use Permits. This will save taxpayers a undetermined fortune in staff wages by avoiding rewrites of these codes.

Once again, we were able to muster support to reject legislation brought by Shirley Ringo, the Democrat Representative from Moscow, that would have added a sales tax to services currently exempt from those taxes. This is a fight we are used to since it is brought up before each session annually. Not only would this tax apply to real estate commissions, which we already pay income tax on, but would also apply to construction labor, and construction services which would ultimately result in an increase in the price of home purchases through sales taxes added to each stage of construction.

Also this year, IAR worked with a group called buildidaho.org to provide relief for developers whose property taxes would increase when infrastructure was added to developing land. Typically, a county will assess each individual lot, sold or not, when a developer adds sewer and water lines and roads to a subdivision. Under the resulting legislation, HB 519, these site improvements will be classified as business inventory. The land would then remain taxed at the platted value until lots are sold or building begins. This keeps the costs down for developers and ultimately for those who purchase those lots or the homes built upon them. This will also encourage developers to avoid delaying their infrastructure investments so that lots are ready to build when the market dictates, narrowing delay time for construction. This bill is retroactive to January 1, 2012, but developers must hurry to apply for exemptions for this year.

Not only are Realtors actively conspicuous when we help you buy or sell property – we are inconspicuously active as we lobby to protect you from higher taxes in those transactions. Next month as estimated 15,000 Realtors will be very conspicuous as we rally at the Washington Monument to draw attention to the value of home ownership in this Country and the importance of more government cooperation to aid our recovery.

One would think that this news would help with the current housing market. Sure, we are seeing more activity, albeit for lower priced homes, but our government’s intervention always has an effect. Last week too, the Federal Housing Authority announced that it will not guarantee a loan for anyone with a credit dispute of $1,000 or more within the last two years. A hindrance perhaps.

Surely, no one wants to see a return of the “liar loan” days of the last decade. These loans only required a statement of earnings and no documentation of them to qualify for a loan, but $1,000 “in dispute”? FHA does allow for a payment plan to address these disputes and after three payments on the plan, may consider an application. I don’t know about you, but it seems I have something to dispute several times a year; a vendor who increases rates without notice on an anniversary date, an unauthorized charge on an auto-pay that has been requested canceled. Thankfully, I have had no medical issues but often hear of disputed charges on hospital and doctor’s bills with folks being charged twice for the same procedure or for procedures they didn’t endure. Not that there is anything nefarious about these occurrences, which is the point. One definition of “dispute” is; “To question the truth or validity of “. I guess, if you want to buy a home though and you qualify for an insured FHA loan, you better not have any “disputes” or your application will not be considered.

Well for Pete’s sake, no one wants deadbeats getting loans – we’ve already seen the results of that. I only take exception to the “disputed accounts” aspect. To me, an unpaid debt is distinctly different than a disputed one. It appears to me that this is more government grasping at straws to appear prudent.

People applying for loans now are under more scrutiny than at any time in recent history. If they have bad credit they shouldn’t get new credit, but if they have a dispute, they shouldn’t be blackmailed into a settlement, they should get resolution. Can you see the danger here? Because you are sticking to your principles and disputing a charge you cannot qualify for a loan you would otherwise qualify for. The options are clear, no house, or payoff the disputed amount. I don’t know about you but I am only paying what I owe and that will be determined after the dispute with the burden of proof on the accuser.

“We expect this revision will certainly kick some buyers out of the marketplace, and we’re in ongoing efforts to quantify how extreme the impact will be,” said Lisa Jackson, senior vice president of research at John Burns Real Estate Consulting, in a comment to “HousingWire”.

Jeremy Radack, a real estate attorney in Houston who assists with financing, estimated FHA originations may be reduced by 33 percent to 50 percent this year due to the new rule.
FHA says the rule is aimed at protecting the FHA’s emergency fund, which has fallen below the mandated amount Congress requires.

“We found that many borrowers with mortgage payment delinquencies had prior credit deficiencies including unpaid collections and unresolved disputed accounts prior to the approval of their loan,” the spokesman said. “This change was made to eliminate this layer of risk to FHA-insured loans and help protect our insurance fund.”
FHA is also increasing its insurance premiums, making it more difficult to qualify to borrow, to boost this reserve fund which has been diminishing due to recent declines in home values.

So, Bernanke announces the Fed has completed its quantitative easing only to see interest rates rise. Then he steps in and says unemployment remains a concern and that the Fed remains prepared to boost the economy with “continued accommodative policies.” (read, “quantitative easing”). Interest rates retreated on the heels of this comment.

Again, I don’t think that people with bad credit should get loans, government insured or not, but it would seem to me that less government intervention, not more, would straighten us out a lot faster than our current approach to policy making. It would be a good argument to state that those policies created the crisis in the first place.

Some areas fared better than others with Coeur d’Alene and Dalton showing an increase in average price of twelve percent over last year and a three percent increase in the number of sales. In fact, prices are up in the three largest panhandle cities with Hayden and Post Falls showing price improvement even though activity fell slightly in both towns so far this year-to-date. North Kootenai County showed a dramatic drop while Southern Kootenai County showed significant improvement. As we often state; a few sales makes a big difference in these small communities so we don’t see any cause for alarm or celebration there.

Throughout Kootenai County we see an average decrease in the number of sales of four percent (11 sales) but our prices appear to be improving a bit with the average in the County up six percent from last year. Again, the trend for your neighborhood may be different so ask your Realtor for the facts.

Our neighbors in the Silver Valley are pleased to see a dramatic increase in activity over last year at this time. Sales there were up thirty two percent over last year albeit at an average price that is five percent lower. Bonner/Boundary Counties continue to support that we may be seeing a return of second home buyers. Their sales exceed last years performance so far by twenty eight percent with a nine percent increase in average price. Benewah County saw an increase in activity too, posting a fourteen percent improvement over last years sales but some low end sales brought down their average price by thirteen percent.

Add in our Washington counties and their average prices and activity bring our average for the entire MLS, single family homes to a four percent gain in number of sales and a four percent increase in average price. We like these numbers because collectively they provide a truer picture of our market.

Sales of distressed properties are up slightly from last year too, but not at the rate predicted by some of the “shadow inventory” doomsayers. The increase in number of sales we are seeing is bound to apply to those properties as well and in fact, those sales increases at just over three percent are less than the four percent enjoyed by the market as a whole. As those properties continue to attract bargain hunter buyers and investors, a scarcity will develop which will strengthen prices in all sectors.

The activity differs by property type of course. Single family homes on their own lots make up the bulk of our figures but we saw a surge in homes on acreage this year-to-date. Sales of this type increased by sixty one percent although their average price was down by eleven percent at $241,522.

Activity in condo sales dropped from last year at this time, perhaps due to the average price improvement of twenty percent over this time last year. The market responded differently to waterfront properties with sales activity increasing by thirty two percent likely due to a thirty percent decline in the average price. We suspect that this activity too, is due in part to second home buyers anxious to get in before the inevitable price adjustment due to supply and demand.

Manufactured homes in parks attracted more buyers too, with prices ten percent below last year as did manufactured homes on acreage, up in numbers and down in price.

Coeur d’Alene has been noticed on a national level too with the recent announcement by the National Association of Home Builders that Coeur d’Alene is one of the top 101 markets where home values are improving.

As always, your Realtor has the data that will help you decide what to do in your neighborhood. Stay tuned, it looks like we are on the way up.

One Federal Program administered by the Department of Housing and Urban Development is intended to revitalize the hardest hit neighborhoods by providing rehabilitation loans to purchase houses, condominiums and town homes that may have difficulty competing in the resale market due to their state of disrepair. These same properties drag down values as they create a blight on the neighborhoods where they reside.

Unlike the traditional Federal Housing loans, these 203k eligible homes do not have to survive an inspection for livability and may be used in some cases to do a renovation from the foundation up, or even to move an existing home to a new location. This program provides a loan to help purchase the property and funds to conduct the renovation that results in a livable home. The loan cannot be used for a property that contains more than four units but, there can be several units financed under this program provided each building undergoing renovation contains no more than four units. Under these guidelines it is possible for home owners to renovate projects then, one unit at a time.

Sounds O.K., right? Homebuyers get to buy low and get repairs financed so they can live in a nice home and we reduce inventory while cleaning up neighborhoods. There is a problem here though. Even though our government recently encouraged Fannie and Freddie to offer bulk sales of foreclosed properties for investors to add to the rental pool, investors are not eligible for 203k loans.

Currently, an investor can buy several homes with FHA financing, but they cannot use the 203k program to refurbish homes and revitalize neighborhoods. It is no secret that housing has aided our recovery from several recessions. Why, if government wants to encourage revitalization of neighborhoods and the housing market, would they not make these loans available to investors who would sell the homes to families, rather than encourage a glut of rentals?

Arguably, making blocks of foreclosed homes to investors could harm the economy in a couple of ways. I do have a dog in the hunt. These bulk sales could eliminate Realtors from the mix meaning the loss of millions of dollars of commissions which we use to house ourselves and buy the goods and services we put into our communities and to stimulate our local economies. Investors buying bulk properties directly from Government Sponsored Entities could do so without Realtor services pocketing the difference while making millions on rental income from discounted properties.

Small scale, local investors, like my own mother who relies on rental income to fund her retirement, certainly cannot buy in bulk leaving these properties for larger investors who are likely to take their profits outside the communities in which they buy.

The release of bulk sales to create rentals may make sense in some markets, but with around six percent rental vacancies currently in our area it hardly seems prudent. These new rentals could create a glut which would put the landlords of existing rental properties in tentative financial positions. Although one could argue that the government is not directly competing in the rental market, they feasibly could flood the market leaving our current, local landlords with vacant properties.

A better option would seem to be opening the 203k loan program to investors.

You see the developer had intended to build a 9,000 square foot four story building on the site of the old Youth Ranch thrift store that was most recently a discount grocer. Early in the process they invited input from members of the midtown community and it appears they had pretty good buy in to the condominium and commercial suite project. Nice, friendly homeowners would add to and diversify the population of midtown. Storeowners and business professionals would settle in, spend money and drive the economy.

But then the market changed. 2008 brought a rapid decline in sales of real estate with condominiums among the hardest hit categories. No one in their right mind would add to the glut of condos on the market and hope to make a profit. So, having purchased the land the developer changed course.

According to their website; “The Housing Company is a non-profit organization whose primary purpose is to preserve Idaho’s existing affordable housing stock, facilitate development of new housing in under-served areas of the state, and provide quality professional property management for 27 affordable properties located throughout the state.

“Our mission is to help our residents achieve individual and family goals and to foster community pride by providing and managing apartment communities which offer affordable rents and desirable living conditions.”

Unfortunately though, the change of intended use, from condominiums to affordable apartments was not presented to the community in the same spirit as the condo project, hence the opposition. Left to rumors and misconceptions that “Section eight” style government subsidized apartments were soon to be planted in their midst, a few midtown residents began to organize in opposition to this new project. The Housing Company does operate several Section eight projects but argues that the one proposed in midtown is not of that type. It’s difficult though, to stop a moving train and the momentum built by the activists of midtown already has a good head of steam.

Some of the commentary at this community meeting offered the argument that, once again, The Housing Company had missed the boat because, with the addition of new apartments to local inventory, the need for that type of housing had changed too. One landlord illustrated the vacancy rates and cost of construction and concluded that the per unit cost for these apartments was over $180,000. Adding more commercial space to a market struggling to recover also does not make sense, he opined.

Then why on earth would someone build in a market that appears well served with existing inventory? Tax credits. Created by Congress in 2000, the tax credit program is aimed at drawing private development dollars into struggling neighborhoods. These credits are provided to companies or investors who agree to help fund revitalization projects. The investment funds can be used in a variety of ways, including being offered as below-market-rate loans to commercial and residential developers for work in targeted areas. For their financial contributions, investors get a 39 percent federal tax credit over seven years.

How much is that in dollars? Over eight million for this midtown development described by one attendee as “an eyesore”. The vision shared by the developer is one of an appealing four story building with nicely lit signs of fictional businesses on its face. Not so appealing when it’s in your backyard in historic midtown Coeur d’Alene, said many.

As the clock ticked on I slipped away quietly having concluded that this issue will not soon go away. It seems that, had the developer laid out their new plan as soon as they created it their road would be less rocky. Waiting to address the reality of the changed project until opposition had reached a head was not good communication. Clearly, the good folks in midtown seem prepared to do their best to see that it never gets off the ground.

“SUBJECT: FY 2013 Building Permit Fee Adjustment Proposal
Dear Mr. Peck:
“First, we would like to commend you for sharing the Proposed Building Permit Fee
Adjustment. This demonstrates a higher level of early disclosure concerning changes
that impact the community which we sincerely appreciate.
“Second, we would like to give you feedback from our REALTOR® membership stating
our strong opposition to such a severe change in fees. An increase of 5 times the fee
currently in place for an office review and doubling the fee for a field visit are hardly
defensible in these tough economic times. This comes on the heels of a recent increase
in FY 2011.
“Nearly 60% of home sales through our multiple listing service (MLS) have been under
$150,000 which reflects the hardship experienced in our local market. The argument
that these costs will be readily absorbed by homeowners and new home buyers given
these uncertain economic times are cumbersome at best. The size of the increase doesn’t
seem appropriate, especially at this point in time.
“We stand against this proposed fee adjustment and strongly encourage a second look.
Recognizing your vital role in protecting the environment, we would argue that your
use of one health district in the state as a standard to justify increases flies against
the logic that all districts have the same issues. Five districts in the state have not seen
the need to make similar adjustments. Given the limited real estate activity in our current
environment it would seem that incentives are in order to get back on track. Instead, we
appear to be penalizing the producers. Please reconsider your proposed increases and
choose to play a positive role in the development of our Panhandle.”

We all believe that control of our environmental issues is important to our quality of life and believe that our area’s waterways and aquifer should be protected. This increase in fees however is difficult for us to justify. Therefore, we felt it appropriate to come to the defense of all property owners who face increasing costs and regulation when attempting to build. A public hearing on the proposed fee increases will be held on April 26h at 12:30 at the Board of Health meeting at Panhandle’s Hayden office.

The County’s Comprehensive Plan also may create some challenges to building and could create new obstacles to land development. Your Realtors are monitoring these proposed changes to the Uniform Land Use Code being proposed now by Kootenai County staff. We will be meeting with them regarding those changes early next month and will be reporting on that outcome as well. As an association, our members from throughout the panhandle are dedicated to protecting your private property rights and your right to do as you please with your property as long as it does not interfere with your neighbors right to enjoy theirs. Anything damaging to our environment and the lifestyle we enjoy here certainly needs to be prevented. We are not in favor of over developing or harming the place we live, but are in favor of the right to utilize our individual properties in ways that benefit their owners.

We are about far more than buying and selling real estate.