Dear Josh:

We own our home in Upcountry Maui. A while back, we told our neighbors to feel free to trim any branches from the trees located on our property (branches that encroached onto their property). Instead, they came onto our property (while we weren’t home) and cut down the trees they “didn’t like.” The trees were on our side of the fence, which clearly demarcates the property line, according to our survey. What are our options?

- A Concerned Resident.

Complex situations can arise along shared property lines. In a perfect world, all neighborly exchanges would echo the congenial charm of “Leave it To Beaver,” but a negative encounter with the person next door can quickly escalate to an unpleasant (and un-neighborly) situation. Boundary disputes involving trees, hedges, fences and obstructed views do occur, even on Maui. What should you do if such a conflict arises?

To start, I’m not a lawyer; therefore these are my best suggestions and do not constitute legal advice. First, attempt to talk out the issue. I know this isn’t always possible, but it’s worth trying–if you can set your emotions aside to find a mutually beneficial solution. Communication may not solve the problem, though.

Given the description of your neighbor’s actions (removing trees they “didn’t like”), this could be considered an illegal action–one that is rooted in state law. If the trees in question were “boundary trees” (planted on the boundary line itself), they cannot be removed without mutual agreement. If the encroaching tree’s roots or branches pose an imminent danger (or, “actual harm”) to the adjacent property, your neighbor may require you to (or offer to help you) cut down the offending limbs.

However, he or she is not–unless they have express permission–permitted to trespass on your property. And in Hawai’i, if an individual deliberately destroys or damages a tree on your property, it is possible to recover actual damages (i.e., the cost of the tree or the cost to replace the tree).

Do you have a similar question about owning Maui real estate or buying a home on Maui? If so, I’m ready to answer it. Email me at Josh@JoshJerman.com or visit www.facebook.com/askjosh.

__________________

Josh Jerman is a REALTOR/Broker with The Wailea Group LLC, located in The Shops at Wailea at 3750 Wailea Alanui Drive, Ste. 5EW. He serves on the Realtors Association of Maui (RAM) Board of Directors, RAM Education Committee and the Hawai’i Association of Realtors’ Finance Committee. To “Ask Josh,” send your questions to Josh@JoshJerman.com or visit www.facebook.com/askjosh.

“What are our options if a neighbor comes on our property and cuts down the trees they don’t like?” is a post from: JoshJerman.com

WAILEA – Real estate broker Josh Jerman of The Wailea Group LLC is offering the Josh Jerman Maui Nui Scholarship to college-bound Maui County students.

This year, the program will award three high school seniors with scholarships of $1,000 each, based on their plans to contribute to Maui County’s work force after graduation. To qualify, students must be Maui County residents, be enrolled in a full-time program at an accredited four-year college or university for the 2012-13 academic year and demonstrate financial need.

The application deadline is Feb. 20. For application materials, visit JoshJermanFoundation.org or inquire with school counselors.

Link to the www.mauinews.com community annoucement here http://bit.ly/ukIvky

“The Maui News” reports that Maui real estate broker Josh Jerman offers scholarships is a post from: JoshJerman.com

Five reasons to consider (or reconsider) buying a home on Maui.

The Joy of Homeownership is a post from: JoshJerman.com

It’s an awkward situation: Your property has been listed for sale, and your agent has just arrived on the front porch with some interested buyers—only to find your tenants lounging on the sofa, eating spaghetti and watching television.

This scenario is far from uncommon; in fact, legions of sellers have experienced the challenge of showing a tenant-occupied home to prospective buyers. Of course, there are some advantages to having an occupied property, and better yet, it can be a selling point, as it gives buyers an idea of how it feels to live there—but only if it looks presentable.

But there can also be some considerable disadvantages. For instance, you will have little to no control over the condition of your home (i.e., staging and cleanliness), and allowing strangers to wander through bedrooms and peek in closets is certain to be an inconvenience for even the most gracious tenant.

And if your tenants are unhappy about your decision to sell, there could be some effort to sabotage the homebuying process—evidenced by an unkempt yard or dirty dishes piled up in the sink.

If you plan on showing a tenant-occupied property to prospective buyers, here are a few ways to mitigate any potential discomfort:

• Review the terms of your lease agreement and familiarize yourself with Hawai‘i’s Landlord-Tenant Code.
• Sit down with your tenant(s) and discuss the logistics of the situation. Let them know that they are part of the process, and you need their help.
• Determine the parameters. Does the tenant feel comfortable with a lockbox on the door? Or, would they prefer the home be shown “by appointment only?”
• Explain that you are required to give them 48 hours notice before showing the property; however, by providing some incentives (for example, a gift certificate for lunch or movie tickets), your tenant may agree to shorter notice.
• Request that they keep the property “staged” and clean, and if possible, offer to hire a house cleaner to ease the burden on your tenant.

The common denominator here is an open and honest conversation. By doing so, you’re more likely to reach a mutually beneficial situation—and ensure a smoother homebuying experience.

For more information about Hawai‘i’s Landlord-Tenant laws, visit http://hawaii.gov/dcca/ocp/landlord_tenant/ or http://portal.hud.gov:80/hudportal/HUD?src=/states/hawaii/renting/tenantrights.

Josh Jerman is a REALTOR/Broker with The Wailea Group, LLC, located in The Shops at Wailea at 3750 Wailea Alanui Drive, Suite 5EW. He serves on the Realtors Association of Maui (RAM) Board of Directors, RAM Education Committee and the Hawai‘i Association of Realtors’ Finance Committee. To “Ask Josh,” send your questions to Josh@JoshJerman.com or call (808) 283-2222.

No Vacancy… What should I do if I have a tenant-occupied home for sale? is a post from: JoshJerman.com

Short sale. It’s a buzzword in today’s real estate market—and for good reason. To make a long story, well, short, here’s the lowdown on selling short in Maui’s housing market.

Short sales have become commonplace for cash-strapped homeowners who are upside-down or “underwater” on their mortgages. To avoid foreclosure, bankruptcy or a severely damaged credit rating, many distressed homeowners opt to keep their heads above water via a short sale, in which the net proceeds from the sale of a property are insufficient to cover the sellers’ mortgage obligations and closing costs (such as property and conveyance taxes, and real estate commissions), yet the sellers’ lender or lenders, agree to accept less than the amount owed and pay customary sellers’ closing costs.

If you think these opportunities only occur in the low- to mid-range market, think again. Luxury homes are not immune to foreclosure, and short sale listings for properties—some in the multimillion-dollar price range—are currently available in sought-after neighborhoods in areas such as Wailea, Mākena, Kapalua and Kula.

I have represented sellers in short sale transactions for several years, and at one point in time, short sales developed a bad rap—the approval process was frequently prolonged to the point of frustration, and lenders would often sidestep short sales, despite the more costly possibility of foreclosure.

Well, I have some good news: this has changed. Across the nation, lenders have grown more receptive to short sales, with many streamlining the process and others offering programs that not only forgive sellers’ debts, but also cover relocation costs. As for the bigger picture—how a short sale will affect you in the long-term—here’s some advice: a “short” payoff of your mortgage loan could very well result in some tax consequences. To determine if (or to what extent) there will be any tax ramifications, you should discuss your situation with a tax professional. Similarly, before making any decisions, sellers should obtain legal advice from a real estate attorney to assess the potential implications of a short sale transaction in Hawai‘i.

Short sales mean different things to buyers and sellers—but it can be a smooth and painless process if it is handled properly. Therefore, I recommend that sellers use a sophisticated realtor and broker with a proven track record of closing luxury short sales.

If you are searching for your dream home, you’re in luck. With a growing inventory of luxury home short sales on Maui, it’s very likely you’ll find some incredible deals. But don’t wait too long.

Josh Jerman is a REALTOR/broker with The Wailea Group, LLC, located in The Shops at Wailea at 3750 Wailea Alanui Drive, Suite 5EW. He serves on the Realtors Association of Maui (RAM) Board of Directors, RAM Education Committee and the Hawai‘i Association of Realtors’ Finance Committee. To “Ask Josh,” send your questions to Josh@JoshJerman.com or call (808) 283-2222.

Short Sale: A Proactive Solution, What should I do if I’m in the position of selling short? is a post from: JoshJerman.com

In today’s real estate market, “going green” isn’t just a trend—it’s a selling point. With energy costs and eco-consciousness on the rise, it should come as no surprise that environmentally friendly homes stand out from the rest and increasingly, sell faster than the rest.

And there’s a good reason why. According to a recent survey conducted by the U.S. Green Building Council (USGBC) and McGraw-Hill Construction, “Lower energy costs, healthier living and improved indoor and outdoor environments are increasingly demanded by and available to homebuyers at all income levels.”

This presents a unique advantage for sellers, as green homes offer the appealing prospect of instant energy savings to buyers—not to mention, an opportunity to reduce their environmental footprint. “Being able to afford your utility bill is as important as being able to pay your mortgage,” said USGBC Senior Vice President Michelle Moore. “Green homes are shining through as the bright spot in an otherwise gloomy housing market.”

But, what should you do if your home isn’t a desirable shade of green? It may be a good idea to consider implementing green components to create added value and enhance the potential resale value of your home.

And when it comes to green remodeling, there are several options to choose from.

Simple improvements include swapping out regular light bulbs for compact fluorescents (CFLs) or opting for low- or no-VOC (volatile organic compounds) paints to refresh the interior—and indoor air quality—of your home.

I’d also suggest replacing old carpets to eliminate allergens and toxins, taking a second look at insulation to ensure all cracks and leaks are sealed, and upgrading older appliances to new ENERGY STAR-certified products. In addition, you can increase energy efficiency in your home by installing a programmable thermostat, tankless water heaters, motion sensors and other electronic controls to regulate household devices in an energy efficient manner.

For those who may be contemplating large-scale green remodeling, I’d advise exploring the benefits of installing a rooftop solar system. Yes, it may be a considerable investment, but it’s one that’s guaranteed to pay for itself in the long-term (particularly if you take advantage of any tax incentives available).

Yet, before you sit down to write your green remodeling “to do” list, I suggest you first consult with a qualified professional, as an energy audit may best determine the most appropriate plan of action for your property.

No matter what you decide, it’s safe to say that “going green” will improve your chances of selling your home in today’s market. And best of all? You’ll be helping to save the planet in the process.

Josh Jerman is a REALTOR/broker with The Wailea Group, LLC, located in The Shops at Wailea at 3750 Wailea Alanui Drive, Suite 5EW. He serves on the Realtors Association of Maui (RAM) Board of Directors and the Hawai‘i Association of Realtors’ Finance Committee. To “Ask Josh,” send your questions to Josh@JoshJerman.com or call (808) 283-2222.

Buying Green… Will an eco-friendly home sell more quickly in this market? is a post from: JoshJerman.com

It’s the so-called “diamond in the rough,” or the “deal of the year.” Foreclosures are a distressing reality for some—but also a sought-after opportunity for many potential homebuyers.

As foreclosure rates continue to rise, homebuyers find themselves in a position to buy desirable properties for less than market value.

Most foreclosures result from a homeowner’s inability to make payments—often due to loss of employment, mounting debt or other financial hardships. It’s a gloomy situation for sure; one that every homeowner hopes to avoid. But for first-time and experienced homebuyers, foreclosures present some unique advantages.

For one, distressed sellers are typically eager to engage in a quick transaction, which can result in a more affordable price—one that is a fraction of the original market value. In addition, when purchasing a foreclosure, buyers can use regular mortgage financing and request a home inspection within a period of standard due diligence. This is the case when buying a property that has foreclosed, referred to as a REO (real estate owned), as opposed to the more common “cash sale,” which occurs at auction.

Yet, while foreclosures may be rampant across Maui, many prospective buyers don’t know how to access comprehensive listings of these properties. If this seems to be a mystifying process, don’t worry. But, it’s more accessible than many realize.

To find a listing of foreclosures, check out the classifieds section of The Maui News or The Honolulu Star-Advertiser. You can also find listings online at www.USA-foreclosure.com or www.realtrytrac.com. These sites offer a wealth of information, including listings, trending data, statistics and photographs.

If you are feeling proactive—and have an afternoon to spare—foreclosures are regularly auctioned off to the highest bidder on the steps of the Maui County courthouse at 12 p.m. throughout the week. As a general rule of thumb, qualified bidders must show proof of funds and have a down payment equaling 10 percent of the sale price.

According to Realty Trac, there were nearly 200 new foreclosures in Maui County last month. Before browsing, the site cautions, “You need to find out as much as you can about the estimated market value of the property, how much is owed on the property and if the owner has any other liens against the property.” Keep in mind, you are purchasing a foreclosed property as is. As always, I recommend that you consult with a trusted real estate professional to ensure a smooth process.

Josh Jerman is a REALTOR/broker with The Wailea Group, LLC, located in The Shops at Wailea at 3750 Wailea Alanui Drive, Suite 5EW. He serves on the Realtors Association of Maui (RAM) Board of Directors and the Hawai‘i Association of Realtors’ Finance Committee. To “Ask Josh,” send your questions to Josh@JoshJerman.com or call (808) 283-2222.

Paradise Found… Where can I find foreclosures? is a post from: JoshJerman.com

Help Wanted: seeking a motivated self-starter with exceptional customer service skills who is willing to invest time, energy and effort in order to achieve success, and who cares about Maui County.

Does this sound like you? If so, you may want to consider a career in real estate.

Simply put, real estate agents are typically independent contractors who work on a commission basis. That being said, depending on the market (and other variables, in some cases), real estate can be a lucrative and rewarding profession, offering the perks of running your own business and assisting people with what is quite often the largest financial transaction of their lives.

Arguably, in real estate, your income is a direct reflection of effort made—and to be successful in this field, effort is non-negotiable. It’s a good fit for me—but it’s not for everyone.

If you’re interested in becoming a real estate agent or broker, keep in mind that the job entails working long hours, building your own clientele, covering business expenses, marketing your services—and at times, exercising an infinite amount of patience. And of course, you’ll need to know the ins and outs of expert negotiation and handling real estate transactions. But if you’re willing to work hard and genuinely care about your clients’ success, you’ll discover a gratifying career.

To become a real estate agent or broker in the State of Hawai‘i, you will need to pass the state’s real estate licensing exam. In order to take the state exam, though, you must attend 60 hours of an accredited real estate training program and earn a certificate of completion (you’ll have to pass a final exam with a score of at least 70 percent). Pre-licensing courses on Maui are offered throughout the year and include the Carol Ball School of Real Estate offered through the VITEC program at UH Maui College, All Islands Real Estate School, the Seiler School of Real Estate and the Hawai‘i Academy of Real Estate.

Josh Jerman is a REALTOR/broker with The Wailea Group, LLC, located in The Shops at Wailea at 3750 Wailea Alanui Drive, Suite 5EW. He serves on the Realtors Association of Maui (RAM) Board of Directors and the Hawai‘i Association of Realtors’ Finance Committee. To “Ask Josh,” visit http://www.facebook.com/askjosh or call (808) 283-2222.

‘Real’ Opportunities… How do I get started in real estate? is a post from: JoshJerman.com

It’s no secret that the real estate market was hit hard by the turbulence of the economic downturn, with a torrent of foreclosures and buyers reluctant to brave a storm of uncertainty.

But it appears that Maui’s housing market has an extra “spring” in its step this season, evidenced by a slight uptick in residential sales last month.

According to residential sales figures released by the Realtors Association of Maui (RAM) in its Maui March 2011 Sales Statistics report, last month alone, 88 single-family homes were sold on Maui. Not bad, compared to a total of 72 sold the previous year. In addition, 124 condominium units sold in March, holding steady to sales data from last year.

And as for the first quarter of 2011 (Jan. 1 to March 31), the outlook is promising, a sign of good things to come. In its recent report, RAM noted average sale prices for single-family homes have begun to nudge forward during the first quarter of the year, rising 1 percent to $681,682 ($672,575 in 2010). However, median sale prices have dipped slightly during this first quarter—from $469,500 in 2010 to $450,000 in 2011. As for condominium units sold between January and March of this year, average sale prices were up $289,000, compared to $197,545 during the first quarter of the previous year.

Now, what does the big picture look like? In the first few months of 2011, RAM reported that residential unit sales had risen by 14 percent, with a 16 percent increase in total dollar volume sales. For condominium units, sales increased by 5 percent this quarter, with a slight decline in total dollar volume.

And certain areas of Maui are bouncing back more quickly, with the greatest number of home sales taking place in Central Maui, Kula-‘Ulupalakua-Kaneho and Kā‘anapali, and condominium sales taking the lead in Kīhei, Kā‘anapali and Nāpili.

This incremental rebound of Maui’s housing market can be attributed to a boost in buyer-showing activity, more first-time homebuyer programs and incentives, as well as proactive sellers who are regaining traction in a bolstered real estate market. Whatever the reason, the numbers speak for themselves. And if you aren’t a numbers person, just know that Maui’s housing market is gaining momentum.

So, what does this mean for you? Whether you are a buyer or a seller, this is the time—and the season—to spring into action.

Josh Jerman is a REALTOR/broker with The Wailea Group, LLC, located in The Shops at Wailea at 3750 Wailea Alanui Drive, Suite 5EW. He serves on the Realtors Association of Maui (RAM) Board of Directors and the Hawai‘i Association of Realtors’ Finance Committee. To “Ask Josh,” visit http://www.facebook.com/askjosh or call (808) 283-2222.

Spring Forward… What’s selling in today’s market? is a post from: JoshJerman.com

Earlier this month, Governor Neil Abercrombie signed a groundbreaking piece of legislation, Senate Bill 651, a measure intended to help homeowners who are in foreclosure or at risk of foreclosure. The new law, called Act 48, includes several provisions to assist homeowners facing non-judicial foreclosure, but its most distinctive feature is the Mortgage Foreclosure Dispute Resolution Program (MFDRP). Maui homeowners eligible for FDRP will be given an opportunity to (quite literally) sit down with their mortgage representative to discuss a resolution—arguably a better scenario than corresponding via an endless stream of phone calls or notices typed on company letterhead.

I’m hopeful that Act 48 will deliver results to distressed homeowners seeking loan modifications, especially those who have wholeheartedly attempted to work with their lenders, but have been given the runaround. Not to mention, more families will be able to keep their homes and move forward with their lives.

This is good news. But it’s not the only avenue you can take. In fact, there are ways to avoid defaulting on a loan and possibly even prevent the foreclosure process before it even begins. If you are having difficulty making mortgage payments or want to avoid potential mortgage troubles altogether, information is your best defense. Thankfully, there are many foreclosure counseling and loan modification services available to you, and most are free of charge. Here are a few of them:

• Foreclosure Avoidance Counseling: The name says it all. You can find a list of local counseling agencies at www.hud.gov.
• Home Affordable Foreclosure Alternatives Program (HAFA): Available until December 31, 2012, this federal program offers incentives in connection with a short sale or a deed-in-lieu of foreclosure (DIL) used to avoid foreclosure on a loan eligible for modification. Visit www.MakingHomeAffordable.gov to learn more.
• Legal Assistance: These free services, (like those offered by the Legal Aid Society of Hawai‘i and U.S. Department of Justice Pro Bono Program), provide legal assistance in the areas of real estate, foreclosure and other Hawai‘i laws.
• Emergency Homeowners’ Loan Program (EHLP): Offered by the state Department of Housing and Urban Development (HUD), the program provides mortgage payment relief those “experiencing a drop in income of at least 15 percent directly resulting from involuntary unemployment or underemployment due to adverse economic conditions and/or a medical emergency.” Visit www.hud.gov for more information.

If you’d like to learn more about Act 48 and the Mortgage Foreclosure Dispute Resolution Program, visit the Department of Commerce and Consumer Affairs’ Website at www.hawaii.gov/dcca or call (808) 586-7582 or (808) 586-2760.

Josh Jerman is a REALTOR/broker with The Wailea Group, LLC, located in The Shops at Wailea at 3750 Wailea Alanui Drive, Suite 5EW. He serves on the Realtors Association of Maui (RAM) Board of Directors and the Hawai‘i Association of Realtors’ Finance Committee. To “Ask Josh,” visit http://www.facebook.com/askjosh or call (808) 283-2222.

Be Forewarned—Not Foreclosed… How can I save myself from foreclosure? is a post from: JoshJerman.com