This question has never been more relevant than this year. In the Spring of 2022 the US Forest Service started the largest Forest Fire recorded in NM History. This fire destroyed 432 homes and burned 530 Square miles. The December windstorm in Red River completely destroyed two homes and thousands of trees. Homeowners insurance obviously covers your home and belongings but what about the trees? Much of the value of your land could be due to the fact that it is covered in large beautiful trees and if they were to burn, the value of the land could be severely diminished. So are trees insurable?

I posed this question to Joseph Quintana with Farmers Insurance in Taos and the short answer is Yes and No. According to Quintana, if your trees are destroyed due to accidental fire, lightning, explosion, riot, aircraft or vehicle impact, vandalism or theft, then they are covered. If you lose your trees due to wind or hail, they are not covered. So how much is a tree worth? The loss will ultimately be determined by an adjuster, however, no individual tree can be valued over $750 and the total amount of loss cannot be greater than 5% of the value of the policy. So in other words, if your house is insured for $500,000 you could have a maximum claim of $25,000 for the loss of your trees.

Most policies have this coverage already built in, but if you are concerned, you should review your policy or give your agent a call. If you are in need of an agent or have additional insurance questions, you can always give Joseph Quintana a call at Farmers Insurance in Taos @ 575-758-4618

Real Estate questions? Feel free to contact me at any time.

Rob Swan, Qualifying Broker, Swan Realty 575-613-4243

Rob@SwanRealtyinc.com

New Mexico Septic regulations are a big deal and can definitely have an effect on the property you are looking at buying or selling.

If you are buying a house within the city limits and serviced by city sewer, you do not need to concern yourself with septic regs. If you are buying or selling outside of a municipality, here are some key points you should know:

New Mexico law states that all septic systems must be inspected prior to conveyance to a new owner. New Mexico septic regulations require you to have at least three fourths of an acre to install a conventional septic system. If you have an existing house that is on less than three fourths of an acre and it was previously permitted and it passes a state inspection, then you are good to go.

If the system does not pass an inspection then you will be required to bring it up to code which could include a simple repair or the complete abandonment of the system and the installation of a new system. If a new system is required and you have less than three fourths of an acre then you are most likely looking at installing a holding tank or an advanced treatment system. Every situation is unique and an assessment can be done by a licensed inspector in order to determine the best path forward. Another thing to consider is proximity to water. A septic system leach field cannot be installed within 100 ft of a stream or well, even if it’s the neighbors well so planning is key.

Septic inspections are generally done once a house that is for sale goes “Under Contract” if the septic system does not pass inspection then the cost of repairs becomes a negotiable item between buyer and seller. Regardless of what is negotiated, the legal owner of the property at 180 days from the date of the failed inspection is responsible for repairing the system. Even if the house does not end up selling the owner is still responsible to have it repaired or replaced. If the repairs or replacement have not been completed within 180 days, the house may be red tagged by the environmental department and occupancy would be prohibited until the repairs have been made.

If you are considering selling your home and would like more information, please do not hesitate

to contact me, I’m always happy to help.

Surveys come in many forms, the two most common in regard to property transfers are a Staked Boundary Survey and an Improved Location Report or more commonly known as an ILR.

When you are buying a house, the title company may request that you provide one of the above in order to issue a Title Insurance Policy. The type of survey the Title Company requires is dependent upon the requirement set by the title examiner. An ILR is the simplest and least expensive type of survey and will show the locations of the improvements on the property including existing buildings, fences, power lines, roads, and driveways. A Staked Boundary Survey is usually double the price or more depending upon complexity and will show all of the above along with the exact location of all corners. An ILR can only be used for Title Insurance purposes while a Staked Boundary Survey can be used to construct buildings, install fences etc..

So which one will the title company require? That depends, if the parcel is within an existing subdivision most likely they will only require an ILR. If the seller has an existing ILR from when they bought the property and no improvements have been made then the title company may accept the previous ILR with a seller's affidavit stating that no changes have been made during their time of ownership. If the seller has added on to their house, built a fence or moved the driveway then a new ILR will undoubtedly be required.

Staked Boundary Surveys are usually required in more rural areas that are not part of subdivisions and have more complex legal descriptions that include metes and bounds, however, this is not always the case, the title examiner will make the final determination. Regardless of the type of survey required, the point is to prove to the title company and possibly the lender that the parcel to be sold matches the legal description and the seller is not encroaching upon adjacent parcels or vice versa.

Here is a quick video explanation of different survey types.

If you have any questions in regard to surveys or any other real estate issues, please don’t hesitate to contact us.

Rob Swan Qualifying Broker 

Swan Realty 575-613-4243

The real estate market for the Questa area has seen an uptick in homes sold and the average price per sale. Year to date 2019 to 2020 saw an average sale price of $149,000 and year to date for the current year saw a 24% increase in the average sale price rise to $194,000. 

Property values are definitely on the move. We are seeing out of state buyers in the Questa area looking for vacation homes and also many people in search of primary residences away from the congestion of Taos. 

Questa definitely offers something that Taos nor Red River can offer in regards to affordability and larger parcels of land. Taos has become congested with ever increasing prices while Red River lacks large parcels of land due to the fact that there is little private land and is surrounded by National Forest. 

I have had properties come on the market and gone under contract within a week. I have also received full price offers from buyers who have never even been to Questa. Obviously I would never recommend someone buy a house they have never seen but it does go to show what a buying frenzy this market has turned into. 

Our office has received multiple inquiries about Questa and Cerro land and homes from many who have never been to the area. People are looking for changes in their lives and are looking toward Northern New Mexico for affordability and greater quality of life. With the Questa area offering a multitude of recreational opportunities and room to grow, I expect the trend to continue, although I do expect the frenzy to subside especially if interest rates rise. 

Rob Swan of Swan Realty & Chris Samples of KXDJ discuss How Red River staffs it’s Businesses & The current employee shortage.

How Red River staffs it's businesses

Rob Swan proprietor at Swan Realty interview with Chris Samples of KXDJ in Spearman Tx. discussing the upcoming legalization of Marijuana and how it may effect Red River.

Interview, New Marijuana legalization and how it may effect Red River Red River