colorado

Today I will take a break form “Bailoutgate” and turn my attention to the Colorado Ballot issues. Before I
make a few comments, I will briefly describe each of the 13 (thirteen??!!) proposed amendments and 4 referendums.

• Amendment 46 - an anti-discrimination measure

• Amendment 47 - stipulates that an employer cannot require an employee to belong or pay dues to a labor union

• Amendment 48 - requires that the term “person” be applied at the moment of fertilization

• Amendment 49 - addresses payroll deductions form government employees

• Amendment 50 - Allows increased stakes at Colorado casinos, with the increase in tax revenue funding community colleges

• Amendment 51- somehow increases the state budget limit to fund development disabilities

• Amendment 52 - requires that 1/2 of of severance tax revenues go to a transportation construction trust fund

• Amendment 53 - extends the potential of a business’s criminal liability to that business’s executives

• Amendment 54 - limits campaign contributions for contractors holding government contracts

• Amendment 55 - creates “just cause” conditions as a requirement for an employee’s dismissal by by the employer

• Amendment 56 - establishes at 20 the maximum number of employee’s that can be employed without the employee providing health insurance
• Amendment 57 - requires an employer to provide a safe workplace
• Amendment 58 - increases the severance tax on oil and gas ($321 million)
• Amendment 59 - requires that any excess state funds be delivered to K-12 education

Referendum L - requires that an elector be 21 years of age to serve in the Colorado general assembly

Referendum M - addresses obsolete defininitions of land value

Referendum N - eliminates outdated provisions of the Colorado constitution

Referendum O - increases the number of signatures required to initiate an amendment to the Colorado constitution

WOW! That is a bunch of stuff. All of those references were loosely paraphrased from a (5) page notice in the Denver Post on Sunday, September 21. By loosely, I did nothing more than try to describe in very simple terms the just of each amendment or referendum. To actually read and attempt to understand every proposal absorbed over 2 hours of my time. I consider myself at least in possession of average literacy, and I quite frankly did not completely understand over 1/2 of the material presented. Many Amendments conflict with one another. I am given to understand that these conflicts are deliberate, presented by organizations with opposing agenda.

At the risk of offending many well meaning people, the voters in Colorado should reject every proposal on this years ballot, and then demand a constitutional convention. The Colorado constitution is a mess, rife with conflicting provisions that limit taxes on the one hand and demand taxes on the other. The constitution is littered with provisions that should reside in the statutes. While the electorate should most certainly have the ability to challenge and amend the Colorado constitution, it should certainly be more difficult than is presently true.

If we continue to dilute and obfuscate the principal governing document for Colorado, we will make Colorado a very undesirable place to live. Of course a voting population that has become self absorbed with personal benefit probably deserves no more than a failed government.

Written by Larry D. McGee, Denver Realtor - Visit Website Sphere: Related Content

The Denver Post ran an interesting feature article on Sunday, August 17. The feature with the byline of Margaret Jackson, discussed just what kind of buyer was snapping up the low priced foreclosures in Metro Denver. Turns out it is real estate investors, not the fix-and-flip bunch, but the serious folk that buy for long term hold. I have had extensive conversations with Margaret over the past year concerning the impending onset of this good news phenomenon, and I am most pleased that she wrote a well researched piece on this subject. The fact that long term hold investors are buying cheap is a strong indication that they expect to sell high. All of those unfortunate families that have lost out to foreclosure have to live somewhere, and after living in a house, it’s tough to go back to an apartment. The fantastic thing is, these properties are cash flowing. How can that be?

Well, it is actually pretty easy. The various financial institutions that have been foreclosing on homes find themselves with a bit of an excess of inventory. This excess of inventory is forcing values down to a point that it makes sense for the investor to buy such properties and rent them to people that have lost out to foreclosure. Investors are buying with cash, or making considerable down payments to obtain acceptable financing.

It is the market at work (albeit the bloody side of the market), with a little help from various levels of government. And a caution, before everyone rushes out to cash in on foreclosures, this is a long term investment strategy, probably 4-5 years. Those savvy investors who buy cheap and rent the houses for 4 years or so will fix an improve as necessary, and sell into a much busier market down the road.

This is an exceedingly complicated story that will take many blogs to fully explain, so stay tuned. In the meantime, thanks Margaret. Investors buying for long term hold is great news for the Denver area market.

Written by Larry D. McGee, Denver Realtor - Visit Website Sphere: Related Content

Saturday evenings dinner choice was Leo’s Cafe & Bar in Lone Tree. This well appointed eatery is located on

Park Meadows Drive in Lone Tree’s Entertainment District. Open for breakfast, lunch and dinner Monday through Saturday, and until mid-afternoon on Sunday, Kristal and I were early enough to avoid the dinner rush. The Margarita was generous and well done, and Kristal was pleased with her Mojita. Her Calamari was pronounced first rate, and I enjoyed a well prepared Philly Cheesesteak.

There is an extensive menu for every meal, with entries running $8 to $15, and appetizers in the $6 range.

After dinner we chatted with Tracey, the restaurant manager, and she informed us that the owners, Leo and Lisa, are residents of Lone Tree. We look forward to meeting them both, and are pleased to have found a good locally owned restaurant just 5 minutes from home.

Leo’s Cafe and Bar

9234 Park Meadows Drive #100

303-649-9200

Written by Larry D. McGee, Denver Realtor - Visit Website Sphere: Related Content

Most people seeing a tornado for the first tend to stand still and stare at the awesome power of nature.

Something like a deer caught in the headlights of an oncoming car. The second time most people see a tornado, they run for shelter, because they remember the mess made from their first experience. In Colorado, it’s been 20 years since the real estate industry weathered a difficult market. Most people in the industry today, Realtors, lenders and title insurers all are still staring at the market like a deer in the headlights. Those of us that have that second time around experience need to lead the industry forward.It’s time to move on. It is too late to seek shelter, and it really is time to get moving again. While the capital markets are still recovering and mortgage loans are certainly not easy, they are not impossible either. The FHA is now heavily funded, so Realtors should find a lender that gets FHA, and start selling houses using FHA financing. The entire industry needs to get on the phone and start talking to people about buying. It’s hard work, fraught with rejection and MUST be done. NOW! Smile, get your attitude arranged, get over that hang-dog look, and get to work. To the frightened and lethargic public reader of this blog, if you need a home, go buy one. The reasons to buy a home are still the same as they always were: security, empowerment,a hedge against inflation (not an ATM machine), a secure place to raise a family, and a tax shelter.

I did a quick survey of a thousand homes purchased in July in the Denver area with a sold price between $100,000 and $200,000. 14% were purchased using cash. ( I expanded an earlier effort of 100 homes.) I believe it is reasonable to assume that the cash buyer in that price range in the Denver market place is an investor; buying low with an expectation of selling high for a sizable profit in 3 to 5 years. If savvy investors get it, why isn’t it true for the average Joe that needs a home?

With home builders on the sidelines for the near future, the previously owned home inventory will begin to appreciate in value as competition enters the market. Even today, many bank owned homes in good condition are receiving multiple offers.

Today, in the United States, there are over a million Realtors. If each Realtor begins a relentless effort to show potential buyers how to buy now and win, we can change the attitude and move the economy forward.

Or, we can stand still watching the oncoming tornado (or headlights) and get run over. Seems like simple choice.

Read more on this topic:

Housing’s Perfect Storm (part 1)

The Upside of a Foreclosure Market

Written by Larry D. McGee, Denver Realtor - Visit Website Sphere: Related Content