THE BYBEE – HOWELL HOUSE

Location: 13901 NW Howell Park Road, Sauvie Island, Oregon. Call 621-3344 or the Oregon Historical Society at 222-1741 for Summer Hours
Architectural Style: Greek Revival, also called Classic Revival
Builder: James F. Bybee
Date Built: 1856

Owner: James Bybee built this house in the Classic Revival style that was popular in the early and middle 1800s. He was a colonel and horse breeder from Kentucky who crossed the plains in a covered wagon to settle in Oregon with his wife, Julia. James Bybee was an early pioneer who, like others during the 1800s, made his fortune during the California “gold rush.” He claimed 642 acres on Sauvie Island under the Donation Land Claim Act of 1850. This law gave each pioneer who settled in Oregon before December 1, 1851, 320 acres of land (a couple received 640 acres). After achieving financial success, Bybee became involved with his new Oregon community by being appointed one of the first Multnomah County Commissioners. He kept his love for horses alive by building several racetracks in the area. After living in the house a few years, James Bybee sold it to a farming couple, Dr. Benjamin and Elizabeth Howell, and their three sons. Two of the Howell sons became prominent Northwest botanists, and one, Thomas, wrote a reference book called Flora Of Northwest America. The third son became a distinguished farmer. When the Howells left in 1961, Multnomah County purchased seventy-five acres of the land for a park and game reserve. Eventually, the Oregon Historical Society (OHS) purchased the house and carefully renovated it. The OHS paid special attention to keeping all renovations true to the house’s historical integrity, and they planted gardens that contain a collection of native Oregon flora. It is now open to the public and is well worth a visit.
ANECDOTES: Greek Revival architecture originated in the temple architecture of ancient Greece, witch was based on a post-lintel system of construction. The Bybee-Howell Hose has Tuscan-inspired columns with full cornice and entablature, a rectangular plan, symmetrical facade with a central entrance. During the first half of the 1800s, Americans embraced the formally organized concepts that originated in classical Greek art and architecture during the fourth and fifth centuries B.C. This resulted in a proliferation of early Greek architecture, sculpture, and furniture.

It was morning, and the air smelled fresh and cool as I made my way towards a beautifully proportioned white sculpture called the Bybee-Howell House. It looked over the swamps and fields of Sauvie Island like a Greek goddess resting upon a high knoll. She was wrapped with the greens, yellows, and purple of Oregon grape, lilac, and ancient fruit trees. This goddess presented herself with the formal grace intended by the architectural form. It must have given them a sense of order and peace within the untamed and rugged new land to which they had migrated. It is a proud structure, confident of its worldliness, and embraced within the golden proportions of nature itself. This goddess of Greek temple architecture demanded to be portrayed, so, of course, I drew her.

Alice Cotton of Artemis Illustration is a published author, notable speaker, and accomplished illustration artist. Learn more about the architectural styles in the Northwest by reading her book, When Buildings Speak. Gain a broader appreciation of historical architecture and a deeper understanding of the impact of preserving these works of art by taking Alice’s classes. She offers a unique learning experience for 4th through 6th grade students where she combines art and math at Village Home, a resource for home school students, and the Saturday Academy during the summer. Alice also offers customized art for advertising your business, and home portraits.]]> Thu, 17 Apr 2008 10:29:00 -0700 http://portlandrealestate.com/real_estate_info/The_Bybee-Howell_House http://portlandrealestate.com/real_estate_info/Private_Financing_Opportunities_Available_Now Private Financing Opportunities Available Now– Use your Savings, or your IRA to invest at rates of 10%-12% today.
April 10th, 2008 12:16 PM

As the changes within the mortgage industry continue, we see an increased opportunity for private investors to lend on real estate deals. We are looking for individuals who want to earn a higher return on their current savings or IRA funds. WE HAVE DEALS RIGHT NOW, READY TO BE FUNDED.

All of our projects are solid, LOW LOAN TO VALUE (generally under 70%), projects in the local area. The terms on these loans generally consist of short term loans, secured with a first position lien (Mortgage and Deed of Trust) with interest rates in the 10-12% range.

We currently have first position loan’s that need immediate funding in the $25,000 – $5,000,000 Range.

Individuals who decide to lend privately tend to continue to lend over and over again, as the rate of return can far exceed the returns offered by banks in CD’s and Money Market accounts.

Below, is an example of a current lending need. Please call me at 360-606-5223 if you would like more details, or if you have questions regarding lending money privately.

Project Location: Long Beach, Wa

Project Type: Land Acquisition and construction of a 3 bedroom, 2 bath home (65% Loan To Value)

Loan Amount: $32,000 for land construction, $114,000 for construction costs (Construction loan is already approved, and a loan for land only can be accepted. Buyer will pay 2 points and 12% interest for a land only loan for a term not to exceed 3 months).

Loan To Value: Land valued as is at $45,000 (Current Appraisal on hand) Completed Project valued at $230,000 per full appraisal. Buyer has already paid for septic design, drainage plan, clearing permit and building permit, adding additional value to the land.

Notes: The construction loan that is ready to be funded is awaiting the final building permit. The lender will not fund the complete construction loan without the permit in hand ( a new requirement). The seller does not want to extend the sale of the lot by another 6 weeks (permit has been applied for and the county is currently 6-8 weeks out in issuing). The buyer is willing to pay a high interest rate of 12% to a private investor who will fund the lot loan until the construction loan pays that loan off in 8-10 weeks. Alternatively, the borrower is willing to pay a rate of 10% on the entire construction loan, if a private lender would prefer to lend on the entire project. The buyer has spent around $6,000 on this project to date. This means the buyer has almost 20% of the land purchase price invested already.

Other projects are available.

If you would like more information on private real estate investing, below are links to some articles I have found that I think will help you.

http://www.bizjournals.com/seattle/stories/2007/06/18/focus8.html

http://www.iraresource.com/articles/article0595

As a mortgage professional and real estate investor in the Pacific Northwest, Travis Wolfe has been active in the real estate community since 1997. He provides residential and commercial real estate loans, as well as real estate investment coaching. He can be contacted by phone at (503) 367-1109 or (360) 606-5223 and online at www.whitewolfemortgage.com .

WhiteWolfe Mortgage is a branch of Axia Financial, LLC. Travis Wolfe 510-LO-38773

Travis Wolfe operates WhiteWolfe Mortgage in Portland, Oregon. As a local mortgage professional and real estate investor, he has been active in the real estate community since 1997. He provides residential and commercial real estate loans, as well as providing aid to persons facing foreclosure. He can be contacted at (503)367-1109.]]> Thu, 17 Apr 2008 12:31:00 -0700 http://portlandrealestate.com/real_estate_info/Private_Financing_Opportunities_Available_Now http://portlandrealestate.com/real_estate_info/Intro_to_Delayed_Exchanges INTRO TO DELAYED EXCHANGES

“THE BENEFITS OF §1031 TAX DEFERRED EXCHANGES “

EXCHANGES ARE A POWERFUL TAX STRATEGY

Tax deferred exchanges have been a part of the tax code since 1921 and are one of the last significant tax advantages remaining for real estate investors. One of the key advantages of a §1031 exchange is the ability to dispose of a property without incurring a capital gain tax liability, thereby allowing the earning power of the deferred taxes to work for the benefit of the investor (called an “Exchanger”) instead of the government. In essence, it can be considered an interest-free loan from the IRS.

BASIC TAX EXCHANGE REQUIREMENTS

The IRS allows up to a maximum of 180 calendar days between the sale of the relinquished property and the purchase of the replacement property. Within the 180 day “exchange period,” the investor must also properly identify suitable replacement properties within 45 calendar days of closing on the sale of the relinquished property. There are a number of requirements which need to be met to qualify for tax deferral under the tax code:

Requirement #1: Both the “relinquished” and “replacement” properties must be held for investment or used in a business. The IRS uses the term “like-kind” to describe the type of properties that qualify. Any property held for investment can be exchanged for any other “like-kind” property held for investment. This definition covers a vast variety of developed and undeveloped real estate. Properties which are clearly not like-kind are an investor’s primary residence or property “held for sale.”

The relinquished and replacement properties need not have identical functions (i.e. both be residential rentals or commercial strip centers). The key issue is that the Exchanger can substantiate that both properties were “held for investment.”

Requirement #2: The IRS requires an investor to identify the replacement property(s) within 45 days from closing on the sale of a relinquished property. The 45 day Identification Period begins on the closing date, and the replacement property(s) must be properly identified in a letter signed by the Exchanger. Exchangers have a number of ways to properly identify properties. They may identify up to three replacement properties without regard to their total fair market value (Three Property Rule). Alternatively, they can identify an unlimited number of replacement properties, if the total fair market value of all properties is not more than twice the value of the property sold (200% Rule). An Exchanger can not meet either of these rules if they acquire 95%of the aggregate fair market value of all identified replacement properties.

Requirement #3: Close on the replacement property by the earliest of either: 180 calendar days after closing on the sale of the relinquished property or the due date for filing the tax return for the year in which the relinquished property was sold (unless an automatic filing-extension has been obtained). Example: If an Exchanger closes on the relinquished property on December 27, the exchange period will end on April 15 (assuming this is the due date for their tax return). In this case, they would have to close on the replacement property (or file the appropriate extension) by April 15. Exchangers may choose to close both transactions within a shorter period of time, thereby avoiding the potential hardship of the 45/180 day time limits.

Requirement #4: The most common exchange format, the delayed exchange, requires investors to work with an IRS-approved middleman called a “Qualified Intermediary.” The Qualified Intermediary documents the exchange by preparing the necessary paperwork (Exchange Agreement and other documents), holding proceeds on behalf of the Exchanger, and structuring the sale of the relinquished property and purchase of the replacement property.

Note: To defer all capital gain taxes, an Exchanger must buy a property or properties of equal or greater value (net of closing costs), reinvesting all net proceeds from the sale of the relinquished property. Any funds not reinvested, or any reduction in debt liabilities not made up for with additional cash from the Exchanger, is considered “boot” and is taxable. Example: Stewart sells his duplex, which he held for investment, for $160,000. A hundred calendar days later he closes on a different duplex, which he will hold for investment, for $110,000. Stewart receives the $50,000 in excess funds for his child’s education. Stewart must pay capital gain taxes on $50,000. (In this example, Stewart chose to take some money out of his exchange and pay the capital gain taxes.)

WHEN ARE CAPITAL GAIN TAXES PAID?

Maybe never. Many investors mistakenly believe they will “have to pay the taxes sometime” so they might as well just sell. Quite often, this is a bad investment decision. The tax on an exchange is deferred into the future and is only recognized when an investor actually sells the property for cash instead of performing an exchange. Investors can continue to exchange properties as often and for as long as they wish, thus moving up to better investments and putting off the taxes for many years.

To learn more:

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Visit API’s website at www.apiexchange.com.

Contributed by Asset Preservation, Inc. They offer security you can bank on since 1990.]]> Thu, 17 Apr 2008 12:39:00 -0700 http://portlandrealestate.com/real_estate_info/Intro_to_Delayed_Exchanges http://portlandrealestate.com/real_estate_info/Exchange_Terminology EXCHANGE TERMINOLOGY

“UNDERSTANDING COMMON EXCHANGE TERMINOLOGY”

To many real estate investors, the buzz words often used to describe different aspects of a tax deferred exchange can be confusing. For example, doesn’t something with two ‘downlegs’ and three ‘uplegs’ sound a lot more like a lopsided creature than an exchange transaction? Reflected below are brief descriptions of commonly used exchange terminology:

ACTUAL RECEIPT: Physical possession of proceeds.

BOOT: “Non like-kind” property received; “Boot” is taxable to the extent there is a capital gain.

CASH BOOT: Any proceeds actually or constructively received by the Exchanger.

CONSTRUCTIVE RECEIPT: Although an investor does not have actual possession of the proceeds, they are legally entitled to the proceeds in some manner such as having the money held by an entity considered as their agent or by someone having a fiduciary relationship with them. This creates a taxable event.

DIRECT DEEDING: Transfer of title directly from the Exchanger to Buyer and from the Seller to Exchanger after all necessary exchange documents have been executed.

EXCHANGER: Entity or taxpayer performing an exchange.

EXCHANGE AGREEMENT: The written agreement defining the transfer of the relinquished property, the subsequent receipt of the replacement property, and the restrictions on the exchange proceeds during the exchange period.

EXCHANGE PERIOD: The period of time in which replacement property must be received by the Exchanger; Ends on the earlier of 180 calendar days after the relinquished property closing or the due date for the Exchanger’s tax return (If the 180th day falls after the due date of the Exchanger’s tax return, an extension may be filed to receive the full 180 day exchange period.)

IDENTIFICATION PERIOD: A maximum of 45 calendar days from the relinquished property closing to properly identify potential replacement property(s).

LIKE-KIND PROPERTY: Any property used for productive use in trade or business or held for investment; Both the relinquished and replacement properties must be considered “like-kind” to qualify for tax deferral.

MORTGAGE BOOT: This occurs when the Exchanger does not acquire debt that is equal to or greater than the debt that was paid off on the relinquished property sale; Referred to as “debt relief”. This creates a taxable event.

QUALIFIED INTERMEDIARY: The entity who facilitates the exchange; Defined as follows: (1) Not a related party (i.e. agent, attorney, broker, etc.) (2) Receives a fee (3) Receives the relinquished property from the Exchanger and sells to the buyer (4) Purchases the replacement property from the seller and transfers it to the Exchanger; Asset Preservation, Inc. (API) is a “Qualified Intermediary.”

RELINQUISHED PROPERTY: Property given up by the Exchanger; Also referred to as the sale, exchange, ‘downleg’ or ‘Phase I’ property.

REPLACEMENT PROPERTY: Property received by the Exchanger: Also referred to as the purchase, target, ‘upleg’ or ‘Phase II’ property.

Contributed by Asset Preservation, Inc. They offer security you can bank on since 1990.]]> Thu, 17 Apr 2008 12:46:00 -0700 http://portlandrealestate.com/real_estate_info/Exchange_Terminology http://portlandrealestate.com/real_estate_information/I_have_500_to_spend_on_repairs_before_listing_my_house_which_repairs_are_the_most_cost_effective Question – I have $500 to spend on repairs before listing my house, which repairs are the most cost effective?

Answer – Whenever spending money on your home for resale, you need to ask yourself, what will give me the biggest return for my investment?

Curb appeal will get people in the door. Investing small amounts to touch up trim paint and putting a new pot of flowers by the front door can really pay off.

Also having carpets professionally cleaned is always recommended. It not only makes the house look more appealing but also freshens the scent of your home, something that often goes overlooked.

As for what repairs you need to do, try walking through your home with the eyes of a prospective buyer. Anything that jumps out at you as “broken” such as sagging gutters or windows with broken seals are red flags to buyers and need to be attended to. Also something you might not think of, replace any burned out light bulbs and even consider replacing them with new bulbs that are brighter than the ones you currently have – light and bright sells houses.

If you would like to get a fresh pair of eyes to take a look at your property I would be happy to come and take a look and give you my professional opinion on how your hard earned money can best be spent.