New Photos of our Sustainable Design House

We toured our sustainable design home at 1020 Kent Street a few days ago. The more visible sustainable and energy efficient elements are now being installed as the home is completed. We were there as the light fixtures went up and the carpet went down. Here are some photos from our visit:

Here's a view through the back door into the house. Bedrooms to the left, kitchen and living room to the right. You can see through to the front door. The concrete stained floors look great, although they are covered with paper to protect them as construction is completed.

The bedrooms all feature Flor Fedora carpet tiles. The tiles are partially made of recycled materials, can be easily arranged into alternate patterns, are low VOC, and don't trap dirt like traditional carpets. Here in the master bedroom, we did taupe tiles with a brick colored border. The 2 additional bedrooms are solid taupe.

The light fixtures have a modern feel and are equipped with energy saving compact florescent bulbs.

The back porch will be a great place for cookouts and hanging out. It opens to a cleared area and a brick planter.

The driveway form is complete and ready for concrete. We want to preserve as much permeable surface as possible, to prevent drainage and erosion issues. Most of the driveway will be two concrete strips with a strip of grass between. At the top and bottom of the driveway are concrete crosswalks, allowing access to the front and rear doors.
1020 Kent Street, Durham, NC - For Sale $120,000 - http://www.self-help.org/homes-for-sale

For Sale in Durham - NC Sustainable Design Competition Winner

Self-Help is nearing completion of our sustainable design house at 1020 Kent Street. This home has really challenged us to think about how we create energy efficient, affordable homes. Aside from the fact that we've come out with a great house, we've also learned some things that we will be carrying forward into our future new construction.

I've posted some photos below, along with a list of sustainable design features. The interior is starting to take shape, and I hope to have lots of pictures soon. I think the interior will turn our to be very modern and stylish, in addition to being energy efficient. The cabinets and countertops went into the kitchen this week, and we'll also be putting in glass shelves for the kitchen. The kitchen will be a real centerpiece when combined with the stained concrete flooring in the living areas and the open design of the home.

Here's a short list of our sustainable design features:

• Location on a 0.11 acre infill lot in an urban neighborhood, with existing infrastructure and utilities. The location provides easy access to public transit, shops and services, and recreational and employment opportunities.
• A space-efficient 1180 square foot plan with 3 bedrooms, 2 baths and an open layout.
• Exterior walls that use 2 x 6 framing insulated with open cell sprayed foam insulation. The sprayed foam insulation will also be used in the ceiling, resulting in an air tight and highly insulated building envelope.
• ENERGY STAR qualified shingles that reflect sunlight, in order to reduce the cooling load.
• Passive solar design elements, including numerous south-facing windows, a generous roof overhang and a vegetated shade screen.
• ENERGY STAR certified 7/8" thick insulated LoE2 glass windows filled with argon gas.
• Extremely energy efficient 15.0 SEER-rated heat pump system.
• ENERGY STAR certified dishwasher, refrigerator, range hood, bathroom exhaust fans, and ceiling fans. Also, fluorescent and compact fluorescent bulbs will be featured in many rooms.
• Water conserving features such as low-flow faucets, drought-resistant landscaping, and a 55-gallon rain barrel.
• Vanguard MANABLOC manifold plumbing system to provide water quickly and efficiently, reducing water use and water heating costs.
• Indoor air quality improvements through the use of zero volatile organic compound (VOC) interior paint, low VOC exterior paint, well-planned moisture management and fresh air exchange, and a carbon monoxide detector.
• Stained concrete flooring in the main living spaces and tile flooring in the bathrooms for durability and improved indoor air quality.
• Universal design elements such as a wheelchair accessible entrance ramp and ADA compliant doorways, hallways and rooms.
• Recycling center built into the kitchen.
• Salvaged, reclaimed brick used to build garden planter, porch border and steps.
• Certification that the home meets or exceeds ENERGY STAR standards for energy efficiency, and SystemVision standards for comfort, durability, energy efficiency, health, and safety.
• A SystemVision guarantee that the heating and cooling portion of the homeowner's monthly utility bills will not exceed approximately $30 per month.

Besides the sustainability factor, the other great thing about this house is that it's priced at $120,000. We can also recommend state and city loan programs that significantly reduce the monthly mortgage payment.

Here are some pictures of the house. These are a few weeks old - the builders have been working so hard on site that it's a challenge to get in and take new pictures. That's a good thing, as they plan to finish the home in the next few weeks.

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Durham Event Calendar

This week, the American Dance Festival is in full swing as it celebrates its 75th anniversary. There are also several events for Father's Day, including an interesting looking luau at The Melting Pot.

See all of this week's events

Use the searchable event calendar

Location, Location, Location….Again

Two articles at the Wall Street Journal Online illustrate, once again, why the three rules of real estate are location, location, location. Holman W. Jenkins, Jr. writes an interesting op-ed on why the proposed mortgage bailout working its way through Congress will not actually solve the foreclosure problem.

Mr. Jenkins theorizes that the foreclosure crisis was created by speculation on the “drive ‘til you qualify” method of home buying. Most of the foreclosures in this country are concentrated in just a few areas, with the biggest grouping running from Sacramento to Las Vegas and Phoenix. His idea is that speculators bought up homes in developments on current or planned major commuter routes. As prices closer to urban centers continued to rise, buyers would continue to move further from these centers in search of affordable real estate, thereby driving up prices in these exurbs and providing a tidy return on investment.

A lot of these developments are oceans of cookie cutter development, with little recreation, infrastructure, lifestyle, or sense of place. These days, even bargain hunters aren’t looking to buy something with no inherent value. An investor that knows their property has very little value isn’t going to jump through hoops to continue paying the lender, even if they get a better deal on the mortgage.

Should Mr. Jenkins’ prognostication hold true, we’ll have a bigger problem on our hands. What in the world do you do with thousands of deserted and deteriorating homes sitting out in the middle of nowhere?

On the other end of the spectrum, Jeff D. Opdyke reports that major downtowns are weathering the storm much better. He offers a quick dissection of markets in Chicago, New York, Boston, San Francisco, and Los Angeles. The overall assessment of the markets? Slower than a couple of years ago, sure, but not abandoned in a field. High end real estate continues to rise ($10 million for a San Francisco condo, anyone?). The very best downtown locations are strong, but if you’re on the wrong street, or worse yet, more than a few steps from downtown in a surrounding neighborhood, it’s touch and go. Again, not perfect, but not mired in foreclosures either.

Both of these articles got me thinking about how the market is playing out in Durham right now. While we don’t have anyone commuting for hours just to afford a home, Durham has become even more about location recently when it comes to home sales. Our city has morphed over the past couple of decades into a new geographic identity. Rather than having one central geographic point where commerce, entertainment, and community all mesh, we have several. The downtown/Duke corridor, the Southpoint area, and RTP all feed different parts of our collective soul, and each has developed a sense of place that has supported home values.

The neighborhoods around Duke and downtown (especially those providing equal access to both) are continuing to hold value. But I also draw a conclusion from Mr. Opdyke’s piece – there’s downtown, and then there’s downtown. The west side of downtown, encompassing West Village and Brightleaf, and extending to Duke’s East Campus, is our version of downtown Chicago’s Gold Coast. A great example of how the real estate market has developed is the Bullington Warehouse condominium on N. Duke Street. It was developed in the 1980’s, before construction prices went through the roof. It’s no frills construction has enjoyed gradual upfit over time by condo owners, meaning that a pretty nice condo can still be had for under $300,000 – and the seller can actually turn a profit. You can eat, drink, and be merry to your heart’s content just by crossing the street. Or marvel at an office of the largest advertising firm in the world. Or walk by the building holding one of the largest Porsche collections in the country. Bullington Warehouse condos are selling fast and for at or near asking price. West Village is almost always completely leased up at higher than market rents. In short, this is downtown Durham’s location.

A twin corridor is taking shape on the east side of downtown, traveling roughly along Mangum Street. As Kevin Davis reports on Bull City Rising, the area is taking shape, albeit at a slower pace than was expected a couple of years ago. It appears to have the makings of a location, with some great new restaurants, the opening of the Durham Performing Arts Center, and planned residential development. If the Wall Street Journal musings hold, it will it need to mature naturally over the years as the Brightleaf area has done, developing its roots and sense of place, and proving its value to the community. Forcing development to fill some ethereal “need” won’t do it (sure, we can sell you an affordable condo – you know, people in Manhattan would kill to get their hands on 600 square feet for $200,000!).

The second market driver in Durham is the Southpoint area. Since opening in the early part of the decade, The Streets at Southpoint mall has served as a hub for residential and commercial development in the southern part of the county. This year, this area has been one of the two most active real estate markets in Durham, according to the Triangle Multiple Listing Service. While downtown has grown and evolved over many years into its current incarnation, Southpoint was a seemingly overnight sensation based on a different theory of location. The mall was built in a prime but underutilized location – it sits just off a major Triangle thoroughfare, I-40. This highway and its offshoots will eventually connect you to almost everywhere in the Triangle and points beyond.

As a marketing assistant for Belk during Southpoint’s grand opening, I got the full tour and story. Apparently, the developers had looked at downtown Durham and its history. They knew that downtown had once been home to the best department stores and restaurants in town, with crowds filling the streets for holiday shopping and nights on the town. They wanted to bring that feeling to the Southpoint area, and designed a retail destination that incorporated some of the feel and look of Durham’s tobacco town heritage. Their idea created a location in southern Durham, one not quite matched by the more generic Triangle Town Center (music will ensue if you click this link) built around the same time in Raleigh. TTC has all the stores, but not the sense of place that Southpoint has.

The up and coming corridor is the Hwy 70/98 area leading into Research Triangle Park. RTP is a major driver of employment for the entire Triangle. Its zoning has always made residential development (and public transportation) there a non-starter. As commuting to RTP from Wake County becomes more onerous, people are looking at the Durham County side of the line, and developers have taken notice. Once Brier Creek settled in, bringing restaurants, entertainment, and grocery stores, the sense of place was developed for Durham to RTP commuters.

This corridor is the other most active real estate market in Durham this year. The east part of Durham bordering Wake County is anticipated to be the fastest growing Durham submarket over the next decade.

So here in Durham we have a truly diverse, multi-node city. One hub founded on history. One founded on history removed to a new location (and with The Cheesecake Factory!). One founded on the draw of jobs and shopping in another county – go figure.

Historic Cleveland-Holloway Neighborhood Home Tour

The Cleveland-Holloway neighborhood just east of downtown Durham is hosting a home tour this Saturday, May 17. The tour starts at 1pm at 406 Oakwood Avenue, a 1920's Craftsman bungalow currently being renovated.

The cost is free, although a $5 donation to the neighborhood is greatly appreciated. For more information about the tour and available home in the Cleveland-Holloway area, visit http://chhomes.blogspot.com.

The neighborhood also garnered a cover on this week's Independent Weekly. See the article here.

Directions: From downtown, go 1 block east on Holloway. Just past the library, take a left on Queen Street and then a right on Ottawa. Go one block to Oakwood Avenue.

First Quarter Market Trends

TMLS has released the market trends report for the first quarter of 2008. Here are the highlights for Durham County:

• Job growth continues, although it has slowed throughout the Triangle. From Feb. '06 through Feb. '07, job growth was 3.1%. From Feb. '07 through Feb. '08, the growth fell to 1.2%. This slowdown tells the tale of the Triangle housing market better than just about any other measure. Our real estate market has traditionally been fueled by people relocating to the area for work or school. When there are fewer jobs being created, there are fewer reasons for people to come here.
• Inventory is up, sale prices are down. Inventory has increased by 6%, and sale prices are down 5%. The average sale price in the first quarter was $194,400.
• Property is still appreciating. This is probably the biggest bright spot. While many areas of the country are seeing property values collapse, we are still seeing overall appreciation. The average appreciation for resale housing in Durham County was 4.22%. Appreciation can vary widely by neighborhood. Based on MLS data, Duke Park saw the best run, with an average per year appreciation of 13.72%. Duke Forest and Hope Valley rounded out the top three. At the bottom of the positive scale was Eno Trace, with .85% average appreciation. The MLS list was comprised of about 30 neighborhoods. There are obviously more neighborhoods than that in Durham, and I’m very curious about the rest of the list – are we looking at negative appreciation in some neighborhoods not listed in the report?
• Pending sales are off. There is now lots to choose from, but buyers are not taking the plunge. Pending sales are off 22%, and closed sales are down 21%. Durham County fared slightly better than the rest of the Triangle, where pending sales and closed sales were down 27% and 24%, respectively.
  The right homes are selling. Combined with the appreciation we’re seeing, the homes that sell are selling faster than they were last year – 87 days on the market compared with 94 days for the same period last year.

Top 10 Selling Developments

1. Woodcroft
2. Hope Valley Farms
3. Grove Park
4. Keystone Crossing
5. Parkwood
6. Duke Forest
7. Grandale
8. Hope Valley
9. Stratford Lakes
10. American Village

Top Appreciating Subdivisions

1. Duke Park
2. Duke Forest
3. Hope Valley
4. Finley Forest
5. Falconbridge
6. Downing Creek
7. Woodlake
8. Chancellors Ridge
9. Parkwood
10. Wyndcross

Durham Community Land Trustees

One of our favorite clients is the Durham Community Land Trustees (DCLT). For the past twenty years, they have been building homes that are affordable to the majority of Durham residents. That's no small feat, given that their target area is neighborhoods near Duke University, where real estate prices have increased faster than prices in other areas of Durham. I think it's worth it to revisit why the land trust model has a place in our market, especially given the number of first time home buyers that are now losing their homes in this tough real estate climate.

DCLT's goal is to provide permanently affordable home buying opportunities to first time home buyers. However, their approach encompasses more than just providing a home. They educate and support buyers, and eventually provide a path for buyers to move up to a market price home.

DCLT home buyers attend home buyer education courses before purchasing their home. These courses prepare buyers, letting them know what to expect from their real estate agent, lender, and others involved in the process. They also receive opportunities to work with counselors to create a monthly budget, handle credit issues, and understand how much they can afford to spend on a home.


Perhaps the most important part of the DCLT mission is protecting buyers from predatory loans. Over the past year, we have watched the dream of homeownership turn into a nightmare for many first time home buyers. Because they didn't have the education and support they needed when buying a home, they ended up with adjustable rate mortgages, and other loans with high interest rates and fees. DCLT works closely with a group of preferred lenders, and even has a loan pool offered through the state of North Carolina. These loans are low interest (and in some cases no interest), and are designed to ensure that buyers are getting a leg up with an affordable mortgage. Buyers have the peace of mind that comes with a quality home, and a chance to save money that might have otherwise gone to pay a larger mortgage.

DCLT has also committed to energy efficient and environmentally friendly building practices. Many buyers are never told about the hidden costs of homeownership, such as higher utility bills and home maintenance costs. These items can add hundreds of dollars to the cost of owning a home over the course of a year. DCLT uses low maintenance materials and energy efficient standards wherever possible and even offers an energy use guarantee - heating and cooling bills can be as low as $26 a month. Upgraded insulation, solar water heaters, and semi-permeable driveway designs are all examples of methods used by DCLT to create homes that are good for homeowners and good for the environment.

While DCLT provides opportunities for home buyers, it also wants to provide stability for the neighborhood. More homeowners means better looking and better maintained homes, more involvement in neighborhood associations, and more stable home values. Like many other community builders, DCLT asks buyers to give something back in return for the chance to buy a quality home at a low price. To keep their home affordable, buyers agree to pass along some of their equity to the next buyer, keeping the home affordable over time.

As we recover from the hangover of the easy money mortgage market, it's a good idea to get back to the basics. The dream of homeownership is founded on the security of having a place for family and a chance to improve your finances by saving money. Organizations like Durham Community Land Trustees offer buyers the chance to take part in this dream.

Take a look at current DCLT homes for sale:

http://www.907exum.com/

http://www.1513chapelhillroad.com/

Coming Soon - Cameron Place - a neighborhood of new, energy efficient homes near Duke University

Triangle Modernist Houses Mini-Tour

Our listing at 3443 Rugby Road is the first stop on the Triangle Modernist Houses Mini-Tour. The home was designed by Brian Shawcroft and built in 1963 for Bruce and Nancy Wardropper. Deborah Kargl purchased it in 2006, and has completed an extensive renovation of this beautiful home.

The tour is on May 17, with tours of three homes. Shuttle service is available. Register for the tour here, and learn more about 3443 Rugby Road at http://www.3443rugby.com/.

More Rugby Pics:

Durham Public Schools Video Newsletter

Durham Public Schools now produces a video newsletter for parents. I'm not sure if this is new. I never noticed it before, but it seems like a good idea. Check it out here.

New Listing - The Ringside Building

We've just listed 308 W. Main Street in downtown Durham. Many are familiar with this building as the home of Durham landmark Ringside. The building is 5500 square feet and is listed at $500,000. Great location in the heart of downtown at Five Points. Huge windows, high ceilings, wonderful history.

For questions or to request a private showing:

THeyward@MaverickPartners.com

919-491-7014