New Black Hills Rate Increase is an Improvement

Great news for Black Hills homeowners; especially those with multiple residences! The South Dakota Public Utilities Commission has approved a settlement to increase electric rates to 6.4 percent. Ok, so think I’m crazy for calling that “great news?”

In December 2012, Black Hills Power, a subsidiary of Black Hills Corp., filed a request to increase rates by 9.94 percent which was implemented on an interim basis beginning June 16 2013. Since the approved increase is lower, rates billed to customers will be reduced on October 1 and all charges for service between June 16 and September 30 will be recalculated. Homeowners can expect to see bills credited with the refund starting in November, just in time for some holiday saving!

“Our customers depend on safe and reliable electric service,” said Vance Crocker, vice president of operations for Black Hills Power. “Since our last rate filing in 2009, we have invested more than $50 million to extend service to new customers, replace and upgrade our distribution and transmission systems, install advanced metering systems, and ensure environmental compliance.”

The 6.4% increase is expected to be a revenue increase of $8.8 million per year and is the result of an agreement involving Black Hills Power, PUC staff and other parties.

If you are ready to buy a vacation or investment property; or just have questions on if it’s the right choice for you – I’d love to talk with you. Our expertise in the Black Hills or Rapid City markets will ensure you a stress-free experience. Contact me, Jim Peterson, at (605) 574-4444 or email me to discuss how I can help you with all your real estate needs. My office is in the heart of Hill City and as a tourist spot, restrooms are hard to find – mine are always open for your convenience

Achieve Financial Success Before Buying Your First Hill City Home

If you have decided that buying a Hill City home is your next big purchase but feel that you have too much debt to buy a home, don’t despair. There is a way out of your burden of debt. Becoming and staying debt-free will put you in a better position to find the home of your dreams and be able to comfortably make your new mortgage payment. 

There are many financial coaches and systems out there to show you how to achieve success. Here are some steps to help get a handle on your debt, relaxing your financial stress and ways to streamline those extra costs that add up each month:                  

Say Goodbye to High Interest Credit ~ Paying your high interest credit cards off first will save you money in the long run. Take the time to give your credit card companies a call to find out if you may qualify for lower interest rates. If possible, consolidate all the balances onto a single card; ideally, the one with the lowest rate.

Keep Accounts Current and Credit Score Good ~ Check your credit score at least once a year to ensure your credit score is good. If you have a low score, you can start to repair it by paying your bills on time. If you already have balances that have gone to collections, call the debtor and make payment arrangements that fit into your budget. Some level of payment, no matter the amount, is better than nothing.

Don’t  be too quick to close those cards ~ Closing credit card accounts can damage your credit-to-debt ratio, which is one of the key factors in determining your credit score. Also, closing an account can erase any good payment history you may have had, decrease your available credit and increase your debt ratio.

Track your monthly spending ~ This one may be a real eye opener to you! Many of us don’t realize where our money goes each month. It’s important to stick to this and for one entire month, record every dollar you spend. Categorize your spending such as, “groceries”, “clothing”, “automobile”, and “dining out”. You may be pleasantly surprised that there is room to cut expenses. Your morning coffee fix at the local coffee shop or your impulse buys online can all be reduced once you admit there’s a problem!

For those inevitable expenses such as gift giving, buy small, inexpensive items you know you will need even if it’s months ahead. Buying things on clearance now to use at a later date can save you money.

Lower your bills by conserving energy ~ Lowering your monthly household bills by turning off lights in unoccupied rooms, washing clothes in cold water and wearing a sweatshirt if you get a chill instead of turning on the heater can add up yearly to a lot of money. Also, on yearly renewals of your car insurance, make sure you are paying the best possible rates available.

Cash & Carry ~ This may seem hard in today’s age, but stop charging and switch to “cash and carry”. It’s all too easy to whip out a credit or debit card to pay for something. Instead, only carry cash and keep those credit cards at home. You will find yourself being much more aware of what you’re spending when you have to part with that hard-earned cash.

Save and SAVE some more ~ So you have taken my advice from above, you’ve cut back on the splurges and impulse spending and saved on household bills by conserving. All this doesn’t do much good unless you now take that savings and SAVE IT! Decide how much you can save from each check, even if it’s just $50, and immediately put it into savings. Some banks will even do a transfer withdrawal bi-monthly from your checking to savings. Before you know it, you will have accumulated a nice bit of savings which you can invest or use to help pay off that debt.

Buying a Hill City home is one of the largest, but proudest, purchases you will ever make. Ensure that you are ready for that mortgage payment before you begin the buying process. Contact me, Jim Peterson, at (605) 574-4444 or email me to discuss how I can help you with all your real estate needs.

Our expertise in the Black Hills or Rapid City markets will ensure you a stress-free experience. My office is in the heart of Hill City and as a tourist spot, restrooms are hard to find – mine are always open for your convenience!

Black Hills Revving Up for Sturgis Motorcycle Rally

STURGIS  ~  Biker or not, chances are you’ve heard about the Sturgis Motorcycle Rally; an annual event that brings motorcycle enthusiasts, fans, exhibitors and onlookers to South Dakota.  The hum of the bikes can be heard for miles around the Black Hills area and marks the kickoff to the annual rally which this year is August 5-11 2013.

The city of Sturgis spends upwards of $1 million to host the six-day rally that brings hundreds of thousands of motorcycle enthusiasts to the city and surrounding Black Hills. It’s an experience of a lifetime where locals show you down-home hospitality and hundreds of visiting exhibitors can offer you anything and everything you’d want to dress up the bike or your body … did you know you can get matching tattoos on both your body and bike?

I know motorcycle enthusiasts of all walks and sizes that spend time getting the bikes together, trailers rented, and lodging set months, even years, in advance to ensure smooth travel to Sturgis. The diehards ride all the way to Sturgis while others travel with their bikes in tow to wait till arriving before revving up those engines.

Not a biker? There’s still great fun to be had at the Rally. The entertainment never stops, there’s great food and drink, and you’ll meet some great people from all around the world. The only thing you are required to bring is an open mind! Check out the events schedule to determine which events are a must-see.

If you are coming in for the fun, take some time to realize the beauty of South Dakota and the surrounding communities in and around Sturgis. Now is a great time to find an investment property in Deadwood, vacation home in Spearfish, or even a home in Sturgis itself. Our expertise in the Black Hills or Rapid City markets will ensure you a stress-free experience. Contact me, Jim Peterson, at (605) 574-4444 or email me to discuss how I can help you with all your real estate needs. My office is in the heart of Hill City and as a tourist spot, restrooms are hard to find – mine are always open for your convenience! Like me on Facebook for all upcoming events!

Commercial Real Estate Growing in Black Hills Region

The Black Hills, South Dakota area may be known for its millions of acres of beautiful forest, premier vacation spots and great towns such as Hill City or Rapid City, but commercial real estate is making an emergence as well. A recent article from Mortgage News Daily shows that many of the Black Hills area towns are making a comeback in population while prices are still low.

Commercial real estate in South Dakota is among the best priced real estate in the country. It certainly has the land available to be developed into affordable housing developments, retail complexes and industrial spaces. While many young adults seem to be flocking to more metropolitan areas of the country, studies have shown that young South Dakotans are staying true to their roots; many obtaining a higher education and moving to local cities gaining in population such as Sioux Falls and the Black Hills region.

With tourism bringing in over $2 billion a year in our area, there is great potential in reviving the lodging, restaurants, and retail stores already standing in tourists cities such as Deadwood, Hill City, and Sioux Falls. While prices are still low, now is a great time for new business owners to buy-in before prices begin to rise significantly.

There are also great incentives, including tax policies, for opening a business in the Black Hills area:

• No personal income tax levied on your business or employees.
• For smaller business owners, South Dakota does not have a state levied property tax.
• There are plenty of vacant lots already zoned to be developed into commercial real estate at reasonable prices.
• The Black Hills Region is a rapidly growing area; there will be a need for more lodging, restaurants and stores as the population grows.

If you are interested in looking to purchase commercial real estate in the Black Hills area, I can help! If you are ready to purchase a home in the Custer Area, look at investment land in Hot Springs, or a vacation home in Hill City, I’d love to talk with you.  Our expertise in the Black Hills or Rapid City markets will ensure you a stress-free experience. Contact me, Jim Peterson, at (605) 574-4444 or email me to discuss how I can help you with all your real estate needs. My office is in the heart of Hill City and as a tourist spot, restrooms are hard to find – mine are always open for your convenience!