From a real “Car Guy” out in Los Angeles, CA.

        SO…you took FEDZILLA up on its offer of $4500. dollars
to trade in your old “Clunker” (interesting choice of words)?  Well,
let’s see who got the best of that “deal”… 

If you traded in a clunker worth $3500, you got $4500 off for an
apparent “savings” of $1000.  You could have gotten $3,500 if you had
just traded the car in.  So you really are $1,000 ahead (depending on
your clunker’s value) at this point.  Not too bad…  

However, you WILL have to pay taxes on the $4500 come April 15th
(something that no auto dealer will tell you).  If you are in the 30%
tax bracket, you will pay $1350 on that $4500. 

  So, rather than save $1000, you will actually pay an extra $350. to the
feds.  In addition, you traded in a car that was most likely paid for.
Now you have 4 or 5 years of payments on a car that you did not need,
trading in a “clunker” that was costing you less to run than the
payments that you will now be making. Even if you save $1,000. dollars a
year in gas due to better mileage, you’re still gonna be in the red for
five years….hello?  

But wait, it gets even better:  you also got ripped off by the dealer.
For example, the month before the “cash for clunkers” program started,
every dealer here in LA was selling the Ford Focus with all the goodies
including A/C, auto transmission, power windows, etc for $12,500.
because competition was stiff due to poor sales from the stalled
economy.

When “cash for clunkers” came along, they stopped discounting them  and
instead sold them at the list price of $15,500.  So, you paid $3000 more
than you would have the month before.  Honda, Toyota , and Kia played
the same list price game that Ford and Chevy did.  Now let’s do the
math… 

You traded in a car worth:   $3500

You got a discount of:         $4500

                                           ———

Net so far                           +$1000

But you have to pay:            $1350 in taxes on the $4500

                                               ——–

Net so far:                          -$350  (that’s minus…in the red)

And you paid:                     $3000 more than the car was selling
for the month before

                                             ———-  

Net  Loss:                          -$3350  

We could also add in the additional taxes (sales tax, state tax, dealer
prep, etc.) on the extra $3000 that you paid for the car, along with the
Five years of interest on the car loan; but let’s just stop here while
you kick yourself.  Suffice it to say that those costs will be much
higher than any savings you get from “better mileage”.  

So who actually made out on the deal?  FEDZILLA collected taxes on the
car along with taxes on the $4500 they “gave” you.  The car dealers made
an extra $3000 or more on every car they sold along with the kickbacks
from the manufacturers and the loan companies.  Manufacturers got to
dump lots of cars they could not give away the month before.  Lots of
good or repairable used cars got taken off the market, crushed and sold
as scrap metal to (ready for this?) CHINA!  (Look it up…) And the poor
consumer got saddled with even more debt that they cannot afford. 

FEDZILLA’S merry men (who promised that people making less than
$250,000. would pay “not one red cent more in taxes”) will make millions
in new tax revenues after convincing Joe Consumer that he was getting
$4500 in “free” money from the “government” In fact, Joe was giving away
his $3500 car and paying an additional $3350 for the privilege.  Chicago
politics gone global…with an agenda.

If you find errors in this math, please let me know…being a simple
guy, I’m always willing to learn new things; and if you took “advantage”
of the Clunkers deal, I have some swamp land down in Florida that’s for
sale…

One final note, if you are not already ticked off. This program was designed by the Washington Morons as a way to boost the American Car makers and jump start the emonomy. Since the Feds did not limit the program to Domestic cars, Japan and Korea had an excellent month. Early figures I have seen show over 65% of program sales went to imports.

Way to go Washington! Our Tax $$$ being well spent!

Your Rights to Personalize Your Vehicle

ARTICLE ONE:You have the Right to buy high-quality, reliable aftermarket performance and specialty parts, accessories and styling options.

ARTICLE TWO:You have the Right to use high-quality aftermarket parts and know that your new car warranty claims will be honored. In fact, your vehicle dealer may not reject a warranty claim simply because an aftermarket product is present. A warranty denial under such circumstances may be proper only if an aftermarket part caused the failure being claimed.

ARTICLE THREE:You have the Right to install and use emissions-legal aftermarket performance parts without incurring hassles and onerous procedures during state vehicle emissions inspections.

ARTICLE FOUR:You have the Right to actively oppose any proposed (or existing) laws or regulations that will reduce your freedom to use aftermarket automotive parts and service or will curtail your ability to take part in the automotive hobbies of your choice.

ARTICLE FIVE:You have the Right to patronize independent retail stores and shops for vehicle parts and service. The U.S. aftermarket offers the world’s finest selection of performance and specialty parts, accessories and styling options. These aftermarket products satisfy the most discriminating customers seeking personalized vehicles for today’s lifestyle.

The foregoing message is brought to you by the Specialty Equipment Market Association (SEMA). If you would like our guidelines on what to do if your new car warranty is denied, check out the Warranty Denied? section of our web site.

By Al Tracy

About 2 months ago, our President Larry Barker and VP Steve Wingenfeld discovered that the Honda on Grand Ave. and N 57th Dr. was in fact the original Kaiser Dealership store in Glendale from 1953-57. All Kaiser stores nationwide were built with the same Art Deco look, with floor to ceiling glass showroom.

Larry and Steve went to the City of Glendale and found out that the building had just been purchased by the city for $1.2 million and was slated for demolition. They proposed converting the building into a non profit classic car museum and had lined up dozens of owners interested in showing and storing their vehicles in the building and paying a fee to do so. They also proposed to the city to build a meeting room in the building that would be available to rent to groups, with the bonus feature of museum tours.

The building was located at 57^th Dr. and Grand Ave. (US 60) and would make for an excellent entrance to old town city of Glendale from Grand. This museum would have brought in revenue to the city and would have been an excellent place to host car shows in conjunction with Glendale’s Downtown events. Larry and Steve were told by city staff that the building demo would be put on hold while the city reviewed the proposal. Before the proposal could be presented to the city council, the building was quickly demolished and is now a dirt lot, another eyesore for Glendale. It is too bad the city of Glendale could not take a couple of days to try and preserve a vital piece of history to the car community. The City lost out on a great source of revenue and pride for the people that live here. Instead, we just paid $1.2 million for another dirt lot. As the old song goes “paved Paradise and put up a parking lot.”

Another building in another city is now being looked at and that city is more receptive to the idea.

We LOVE our collector cars, don’t we? There’s nothing like the sense of pride in showing off your gleaming, perfectly restored piece of automotive goodness. Hopefully your spouse shares your passion, too. But what if she doesn’t? What if the kids think your car is cool, but they aren’t interested enough to help you change the oil, let alone hunt for parts, form a fender, or even wash it with loving care? That’s OK while you’re here to take care of your baby (the car, not your kids), but who will make sure that only the softest cloth diapers are used to polish the chrome when you’re gone? As you probably know, your pride and joy is considered personal property (again, the car, not the kids). Your name is on the title. Because the car has a title, it can’t simply be given away after your death – you have to make plans before your death regarding what you want to do with your car.Let’s say your wife and kids tolerate your passion but don’t share in it, and therefore probably don’t really understand it. You want them to benefit from your hard work, but maybe they don’t understand just how valuable your collector’s car restored to original factory condition really is.What do you do? Do you leave them the car? Do you sell it before you die? How do you know when you’re going to die? You don’t, and that’s the problem.You have many choices for your car, but you have to plan ahead. There’s a process you need to go  

New MVD Procedure for Collector Vehicles

Owners of collectable autos over 15 years old are now eligible to skip emission testing when registering their vehicles in Maricopa County.  No longer will the serious car collector, who drives his car only to club shows, events, and pleasure rides, have to worry about his vehicle passing an emission test.  Older cars were not designed to pass today’s emission standards and trying to pass had become expensive and owners had to alter the original design of their collector car.  The Arizona Automobile Hobbyist Counsel has worked hard on providing information that collectable car have very little effect on our air quality in Maricopa County and therefore not part of the problem.

The MVD is requiring the owner to provide proof that the vehicle is covered on a policy stating it is a collector vehicle. This means the owner must bring his full policy to the MVD or have his insurance agent submit proof directly to the MVD so the owner can register on-line.  I have received calls from some of my clients stating that they have been  turned away from the MVD because the policy did not specifically state the auto was a collectable car.  On Friday I spoke with the MVD and they have sent out memos to all locations and clerks, however at this time the MVD is only recognizing HAGERTY and JC TAYLOR as the only acceptable insurance carriers.  I have sent notification to the MVD for all of my Hagerty clients, if you do not have a local Hagerty Agent, I will be glad to help you with the process.  I encourage all collectors to contact their local agent so they can get their collectable car registered without any complications.

                                                               Steve Wingenfeld 
                                                               Hagerty Insurance
                                                                623.581.0374

OK, this is not about automotive real estate BUT this is some thing you need to know that may effect the way we all buy and sell homes.  Please stop and idle a few minutes and take the time to read the following.

This link will give you even more info.

http://www.protectourhomes.com/content/page/title/Get_The_Facts

Real Estate Transfer Tax:What is it and why you should know about it before you vote this fall.

A real estate transfer tax (RETT) is a state or local government imposed tax that is collected when you transfer ownership of our home, land or commercial real estate.

The Problems With a Real Estate Transfer Tax:

• It Burdens Our Real Estate Market Further
• Causes Double Taxation
• Damages Equity by Punishing the Homeowner

What is a Real Estate Transfer Tax?

A real estate transfer tax (RETT) is a state or local government imposed tax that is collected when you transfer ownership of your home, land or commercial real estate. Typically, once the tax is initiated, the rate can be increased by the state, county or city at any time.

Why are Transfer Taxes Proposed?

Too often, this form of taxation serves as a new source of revenue to balance a government’s bloated budget caused by overspending. Once this type of tax is put in place, not matter how low the tax rate is in the beginning, it always ends up being raised.

What are the Problems with a Transfer Tax

IT’S DOUBLE TAXATION!

Governments already collect taxes on your property based on the property’s value. This new tax would unfairly cause a second tax to impact your home or property.

DAMAGES YOUR EQUITY!

Since the tax is assessed against the total value including the amount you owe on your mortgage(s), the overall equity earned by the seller is decreased.

SLOWS AN ALREADY SLOW MARKET!

In the current slow market, a transfer tax would make it more difficult for people to buy or sell homes. Once a transfer tax is put in place, it can be raised at any time. This costs people buying or selling their homes even more money.

PUNISHES THE HOME OWNER!

A home is often the biggest and most important asset a person has in life. A transfer tax reduces the equity people have worked hard building. People already pay multiple taxes and fees on their homes. This tax will layer on one more significant closing cost you will have to pay.

IMPACTS LOWER INCOME THE MOST!

This tax imposes the higher tax burden on lower income households that typically spend a larger percentage of their income on their home.

Vote YES to PROTECT YOUR HOME on November 4^th!

Thanks for crusin by,

Denise Ham

Hello,

Hope everyone has had a wonderful and safe 4th of July celebrating the Birthday of the United States! We spent ours with our circle of car club friends. No, not driving our classic cars in this heat but hanging out in the pool deciding where we will go once the fall car season starts.  Enjoy what ever air condition place your in  and lets talk about another topic of what you should be looking at when considering an addition to your home and or garage or when purchasing a home and thinking of adding on space for parking for your passion.

The HOA (home owners association) and the Title Commitment or Title Report, the article below is from the Buyers Advisory from www.AARonline.com  Each one of these documents are important for you as a homeowner to read and understand before starting a project on your home. As a Buyer, you will receive a copy of the HOA and the Title Report when making an offer to purchase a home. Make sure you are reading and understanding what you can and can not do as far as adding onto the property. Follow up with the city/town also for their rules and regulation. Better to ask a million questions before you start spend any money.

Just because the property may have a large lot or you feel there is plenty of room to add on that parking for your passion does not mean that you can. There could be restriction to consider that will determine if you can such as a wash,  set backs, height restrictions, a land to building ratio, these plus may other items that may determine if you can or can not proceed.  So while you are enjoying your air condition space read, research and ask questions.

If purchasing a resale home in a condominium or planned community, the seller (if fewer than 50 units in the community) or the HOA (if there are 50 or more units) must provide the buyer with a disclosure containing a variety of information, including the principal contact for the association, assessments, the money held by the association as reserves and, if the statement is being furnished by the association, a statement as to whether the records of the association reflect any alterations or improvements to the unit that violate the declaration. See www.azleg.state.az.us/ars/33/01260.htm and www.azleg.state.az.us/ars/33/01806.htm for the laws detailing these requirements.

Hello!

This is a blog designed to bring to you information about real estate but geared towards the auto enthusiasts. What does that mean? My intention is to bring you information about what to consider when purchasing a home with a big garage and or adding onto an existing home/garage. Please understand that any of the information you will receive through this blog also requires you to take responsibility to check into your own city/town zoning, HOA (home owners association), CCR’S( covenants, conditions and restrictions) and local rules/regulation and of course consult a lawyer.

I would also like to hear your specific questions about real estate and thoughts on any and all of the topics that I speak about. With all that said lets start this first blog with:

Most but not all property owners have and or will receive a copy of the CCR’S and/or have a HOA (home owners association) documents when purchasing a home here in  Arizona. When thinking of adding onto an existing home and/or garage or building a new structure these documents are a few things that you should consider first. When looking to purchase a home and you need mulitple parking checking into your parking options to see if you must park all vehicles in the garage. OK, the garage is large enough for your four to five collector cars but can your every day vehical be parked in the driveway for extended length of time? Can you park a vehicle on the side yard? Must the park vehicle be registered? One of the first places to start is your CCR’S.

What about the CC&Rs?
CC&Rs are the governing documents that dictate how the homeowners association operates and what rules the owners must obey. So, you’ve decided to buy a condominium. Here are some facts you should know about homeowners association documents: 1. What are CC&Rs? The covenants, conditions and restrictions (CC&Rs) are the governing documents that dictate how the homeowners association operates and what rules the owners — and their tenants and guests — must obey. These legal documents might also be called the bylaws, the master deed, the houses rules or another name. These documents and rules are legally enforceable by the homeowners association, unless a specific provision conflicts with federal, state or local laws. 2. Suppose I don’t like the rules. Can they be changed?Most rules are easy to accept, but some may strike a nerve. Such issues as pets, parking spaces, recreational facilities and subleasing can prove quite controversial. The procedure for changing the rules should be explained in the governing documents. A majority vote or, in some cases, a super-majority, will be required. Changing existing rules is rarely easy. “Attendance is always a problem at [association] meetings,” warns Michael J. Wolfe, president of Midboro Management, Inc., a residential property management company in New York City. “There is always a group of people who care and show up and another group [of people] who do not care and say they are too busy. A lot of times, there isn’t enough attendance at a meeting to change a rule, even if 100 percent of the attendees [want to change it].”