Document 189573

Morning News • Sunday, February 2, 1997— 7F
The following building permits
uere issued by the city of Savannah
for the week ending Jan 24
projects of more than $25,000. list
ed by address, applicant, contractor,
use and appraised value.
• mv.i Oneechee Road. Hoy L
Tyler, same, new commercial, $27,000
Places to lean more
about home-equity
conversion programs:
• 270-274 Ham Court, Mark One.
Mark One Construction, residential.
fihaUiaitt County
• 807-811 Hitch Drive. Mark One.
• 80 Village Drive. Robert Burk. Mark One Construction, residential,
jo$ier Electric Company, mobile $161,063.35
home, $31,000
• 812-818 Knox Court. Bldg 8H.
• 18 Village Drive, Joey Shellman. Mark One, Mark One Construction,
same, mobile home, $44,509
residential. $221356.48
• 4 Lake St.. McAllaster and
• 813-819 Knox Court Bldg 9H.
Alfpciates, CJL Hall Construction, Mark One. Mark One Construction,
new commercial. $901,000
residential. $221,356.48
• 785 King George Blvd., the
• 271-277 Ham Court Mark One.
Adams Group. Adams Construction Mark One Construction, residential.
Co.. commercial addition. $40,000
• Brevard Court, Steve Thompson.
• Chatham Parkway and U.S. 17,
New Foundations Homebuilders, Brian Haggerty/Adams Group,
new residential. $8&500
Adams Construction, business,
• 800 Quacco Road, Oespina Ell. $500,000
Aladdin Electric Company, mobile
• Savannah International Airport
home. $49500
J. Turner, J.t. Turner Construction
• 840 Wilmington Island Road, Co.. dead storage, $546,939
Glenn C Wood. Myrick Marine
• 801-805 Bldg 1A Hitch Drive.
Construction, residential dock. Mark One, Mark One Construction,
residential, $187,152.40
• 5 Prestbury Lane. Ed and Jo
• 1915 E. Victory Drive. Ted
Ann Borton. CA. Griffin. Inc.. new Herbert, same, assembly, $65300
residential. $250,000
• 5110 Waters Ave.. Al S. Bacon.
• 114 RunneV Road. Hallmark D.L Moore Inc., business. $80,000
Homes of Savannah Inc., Hallmark
• 2705 Gregory St., Kurt Oelschifr
Homes, new residential. $61,191
same, business/greenhouse. $150,000
• 8720 Ferguson Ave.. Mac and.
5354 Reynolds St.. Vernon
Renee Newell, Old Masters, new res- Purcell, Candler Hospital, business.
idential. $157287
• 114 Goette Trail. Ricky Duffy,
• Old Savannah Airport Terminal
E.C. Johns Construction, new resi- Bldg.. Richard Stack, Hudgins & Co.,
dential. $145,000
Inc.. business. $6332
AARP has a Home
Equity Information
Center that provides
information packets
that include a 45page booklet. "HomeMade Money," and a
list of reverse
mortgage lenders.
Address: 601E.
Street, N.W..
Washington, D.C..
20049. Phone: (202)
nonprofit consumer
group publishes the
free brochure,
"Retirement on the
House," and "Your
Retirement Nest Egg:
A Consumer Guide to
the New Reverse
Mortgages," which
costs $24.95.
Address: 7373147th
St. W., Suite 115.
Apple valley, Minru
55124. Phone: (800)
How tofund retirement with your home
cash to the original homeowner
A tax deferred annuity bought with
to use >our home to help fund the down payment provides income once
mortgage payments cease. Those 55 or
Loans against older get a one-time tax exclusion of up
the equity in a ho**, which usually don t to $125,000 in capital gains.
• Deferral Payment Loans. Low or no
have to be repaid until the owner dies or
interest loans available in some states
sells the property
. usually age 62 or older. and communities to qualifying elderly
residents for home repairs and improveaap sum cash or month
The h i owner typically ments or k) pay property taxes. The loans
will nVnu owe man than the value of the don't have to be repaid until the* homeowner dies, moves or sells the home.
-be forced to leave
. Transactions
• Home Equity Loans. Second mortsold, usually to rela- gages that provide cash in lump sums or
tives, and rented bark, freeing incomes installments, which can help handle
like property taxes large, sudden debts like medical bills or
pay off higher-interest debt.
Tlehnjurt down pajmiint and the difA key advantage is that the interest is
• rent and the buyers usually fully tax deductible, but homesupplies additional owners put their homes at risk if they
Continued from page 6F
hoateowpeomeision as
approach retireuncertainty- about Ike future of Social Security
aad other u m i n i i t f entitlements
"They're a lot ante comfortable with
said Belling of the baby boon gentke oldest of whoa turned 50 last
will turn
check prices, but when she arrived, a
receptionist insisted she talk to the
Continued from page 6F
"Were just tracking inflation,"
Palmadesso explained. "Oh. I never
knew.' the manager replied.
The day's last stop: a service station.'You want to know about a minivan this time?" the manager volunteered.
"The same thing." Palmadesso
said. "The price of an alternator.
Standard. 90 amps. For a 1991
Chrysler Caravan. Three liter."
The manager.grabbed a phone
with a grubby hand and called his
parts supplier.
Palmadesso tallied the price:
$190.40 for the rebuilt alternator,
$56.50 for labor and $1235 for the
shop charge.
"They haven't changed their
prices." he said.
"Not a penny." she replied, and
snapped another price sheet into
her binder to send to Washington.
economic health.
One criticism of the current system is that it doesn't reflect the consumer practice of substituting items
— buying hot dogs rather than hamburgers when ground beef is too
high, for example.
Factoring in this buying practice
could push the CPI down by as much
as a quarter of a percentage point.
For now. the Bureau of Labor
Statistics' commissioner. Katharine
Abraham, says that's the only way
the CPI could be changed and still
be a timely index.
Despite the monthly ritual, many
Americans have never heard of the
Palmadesso had clearance from a
department store's headquarters .to
Mae). The agency's
public information
office has free
brochures, inducing,
"Money From Home:
A Consumer's Guide
to Home Equity
Mortgages," and
"The Home Keeper. It
Pays to Keep You in
Your Home." Address:
3900 Wisconsin A v e
Washington, D.C.,
20016. Phone: (800)
The agency has a
housing counselor'
referral line: (800)
widely publicized home
strategy is the reverse
Mrs. McChire obtained
about th
RMs work much like a standard ntortbarkward. With standard
equity in a property rises as
the loan balance falls, while in reverse
equity falls as the balance
ire also a bit higher
d Mortgages.
Many types of RMs are offered prhrateh; or through government-sponsored programs like the Federal National
Mortgage Association, or Fannie Mae.
and the Department of Housing and
Urban Deretopmrnt. The Federal
Housing Administration backs several
kinds of BMs under its Hone Equity
Conversion Mortgage program, available
to liugli fMailj home and condominium
oier 62 years of age. Private
hare other age require»far certain plans. Some mortgages
. are also guaranteed by annuities.
Borrowers receive either a lamp sum
or monthly payments in exchange for giv• or aH of the equity in their
Should they t h e longer than their
life expectancy, they'll never owe more
than the value of the home or be forced to
leave. (Of course, the lender comes out
ahead if they die sooner than their life
That's something that appealed to Mrs.
McClure. of San Diego, who says she
plans to stay indefinitely in her $175,000
three bedroom town house, enjoying the
pool, hot tub and other amenities offered
in her development.
"If I hadn't had the extra income I
wouldn't be living in this house." said
Mrs. McClure. who receives $344 a month
in exchange for promising up to 80 percent of the town house's equity to her
lender. Financial Freedom Senior
Funding in Irvine. Calif. She retains ownership as long as she lives in the home.
Elderly homeowners also can supplement their income and remain in their
homes through lesser-known home saleleasebacks. The homeowner sells the
property, often to a family member, and
rents it back. Typically, the seller has a
lifetime right to live in the home.
"We're seeing more multi generational
housing." said Peter G. Miller, a
Washington. D.C.. housing expert and
author of "The Mortgage Hunter." noting
that in some instances two families will
share the same house after the transaction is completed.
Income is freed for the retiree, who no
longer has to make repairs or pay property taxes and insurance on the home.
The down payment and the difference
between the buyer's mortgage payments
and the rent provides regular income for
the retiree. The down payment often is
used to purchase a tax-deferred annuity
that provides income once the mortgage
payments cease.
Those 55 or older can take advantage
of the one-time federal income exclusion
can't repay Some seniors ina\ not meet
income qualifying guidelines
• Home Sale. A good way to raise cash
and slash costs The profit from the sale
can be used to buy a smaller, less expensive home 'and invested in annuities,
bonds, certificates of deposit and mutual
funds, which can generate regular
income. The capital gains exemption can
apply here. too.
• Home Rental. A good way to supplement income and retain ownership.
Homeowners can either rent out the
entire property and invest the income in
a second, more affordable home, or rent
out a portion and continue living in the
Homeowners can gain companionship
and possible help*wiih repairs and maintenance if a deal with the tenants can be
of up to $12&000 in capital gains on the
While the big advantage is that the
property can be kept within a family,
there are potential drawbacks. The interest portion of the mortgage payments is
considered taxable' income, unlike
reverse mortgages, where the income is a
loan and not subject to taxes. Also,
income from the sale could jeopardise a
sellers eligibility- for Medicaid coverage
or nursing home care, experts say.
Similar plans include: life estate sales,
in which owners sell a home at a discounted price that reflects the right to
live in the house indefinitely, and charitable gift sales, in which owners transfer
title to a charitable group in exchange
for income and the right to stay in the
home for a lifetime.
Sometimes, the main obstacles for
seniors remaining in a home can be costly repairs and high property taxes. That's
where deferred payment loans, or DPLs.
can come in handy.
Low or no-interest loans are available
in some states and communities to qualifying elderly residents for home
improvements or to pay taxes. The loans
don't have to be repaid until the homeowner dies, moves or sells the property-.
The property tax deferral programs
are available in 16 states. Most charge
interest of between 6 percent and 8 percent and place a lien on a home until the
loan is repaid.
While staying in a home may seem like
the safest most desirable choice, careful
consideration must be given to its practicality.
it's just isn't always economically
viable." said Miller. "Sometimes the best
choice may be to move to a place that's
. less expensive and more (physically)
"Flexible work.arrangements have been available to
federal government workers since 1978., It is high
time that the workers in the private sector of this
.country enjoy the same benefits."
Continued from page 6F
the federal labor law.)
"Flexible work arrangements
have been available to federal government workers since 1978."
Ashcroft said. "It is high time that
the workers in the private sector of
this country enjoy the same benefits." The provisions in Ashcroft's
bill would only apply if the employer
and employee agreed. The bill
•Allow* employees to choose timeand-a-half comp time instead of
overtime pay. Unused hours would
be cashed out after the end of the
year, for the same money employees
would have received if they had
taken overtime pay.
..ft Allow employees and employers
to,,,schedule any combination of
hours within a two-week. 80-hour
period — instead of the traditional
4iVhour week. Employees could vary
sorting times, lunch breaks and
quitting times — or work more than
eight hours a day in exchange for a
day off. About half of federal workers are now on flexible schedules.
• Allow employees to request
extra work hours in a given week so
that later on they could accommodate a medical visit, school activity
or some other personal priority. That
way. workers could avoid loss of pay.
The AFL-CIO's Taylor said
Ashcroft's bill "totally destroys the
concept of the 40-hour work week."
Taylor acknowledged flexible sched
i •*<••• i
Son. John
uling seems to work for federal
employees, but she said government
service differs from private industry.
"You don't have the profit motive
driving employers to squeeze the
last dollar out of employees." she
said. With powerful allies like Sen.
Edward Kennedy. D-Mass.. labor
may be able to block any legislation.
Republicans, business groups, and
some independent consultants on
work and family say labor's concerns
are overblown. The GOP bills would
make flexibility an option, not a
requirement. There are penalties for
employers who commit abuses.
"We cannot not make this law
because of the 5 percent of employers who might abuse it," said Seitel
of Work & Family Connection.
A few private companies now use
Bechtel, the giant international construction company. But they must go
to great lengths not to violate the 40hour week established in the Fair
Labor Standards Act. It usually
means scheduling the official start of
the work week in the middle of the
day on Fridays.
Glenette Alston works for Bechtel
in San Francisco, setting up and running corporate training programs.
Because of flexible scheduling, she
is able to take every other Friday off:
Instead of a 45-minute one-way commute, she can take her two stxthgraders to school in the morning, and
pick them up in the afternooa.
Sometimes she volunteers at the
"For me the most important thing
is that I'm not an absent parent.' she
said. To get every other Friday off.
she works one week of nine-huar
days. then three nine-hour days and
one eight-hour day the following
"Sure. I have a nine-hour work
day." said Alston. "But I know when
I'm working those nine hours that I
have that other Friday coming. I
have friends at other companies who
have to work ever}- Friday; and they
envy the fact that I hive two Fridays
a month off."
Tim Green, a senior personnel
manager for Bechtel, said the extra
legal work required beeps moat companies from setting up flexible
schedules. "If this legislation is
passed, you wont have to go thrangh
a huge administrative burden to put
something like this in place." he
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following companiesfor choosing
the Savannah Park of Commerce
Dean Witter, one of the nation's largest financial services
firms, has an opening for an Account Executive Trainee.
You'll receive personal attention and constant support
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Please fax resume with salary history in confidence to:
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O1997 Dean Witter Reynolds, Inc.
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tl 4 * p.m.
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Suite 421
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r-ti. i i , 1W7.
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ptoMt caR Britn I
A P R O J E C T OI" PI \ I i i ' l ' M i M A S S O r i ATI'S, INc
Chatham Parkway and 1-16
Contact KM1 Commercial • 236-4646
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