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Archive for the 'Observations and Commentary' Category

Out and About for the Sebago Lakes Regions of Maine Oct. 6-12

Make a Pumpkin Pie, New Gloucester

Oct. 6, Thursday, 2pm and 7pm, The National Theatre Presents:  The Kitchen, Arnold Wesker’s extraordinary play premiered at the Royal Court in 1959 and has since been performed in over 30 countries.  The kitchen puts the workplace centre stage in a blackly funny and furious examination of life lived at breakneck speed, when work threatens to define who we are, $18/adults, $15/seniors, $10/students, Leura Hill Eastman Performing Arts Center, Bradley Street, Fryeburg.  FMI:  207-935-9232, www.fryeburgacademy.org.

Oct. 7, Friday, 8am-8pm, Time Immortal:  Recent Works by Virginia Valdes, opening reception, meet and greet the artist 5-8pm, live jazz keyboard by Mike Maurice, light refreshments, free, Frost Farm Gallery, 272 Pikes Hill, Norway.  FMI:  207-743-8041, www.frostfarmgallery.com.

Oct. 7, Friday, 8pm, doors open at 6pm, Peter Wolf, this legendary rocker’s latest album “Midnight Souvenirs” is one of the best albums I have heard in a long time.  His solo show backed by some of the best session musicians the East Coast has to offer, $45, see ‘by the ways,’ Stone Mountain Arts Center, 695 Dug Way Road, Brownfield.  FMI:  207-935-7292, www.stonemountainartscenter.com.

Oct. 8, Saturday, see site for times, Fall Festival, celebrate the end of summer with live music, a wine tasting, fashion show, craft fair, North American Wife Carrying Championship, trail race and many other activities, Sunday River, 15 South Ridge Road, Newry.  FMI:  207-824-3000, www.sundayriver.com.

Oct. 8, Saturday, 9-10:30am, Fall Stroll at Mayberry Hill Preserve, enjoy fall foliage on an easy walk through Mayberry Hill Preserve, walkers should bring sturdy shoes, water and snacks, meet at the trail head, free, Mayberry Hill Road, Casco.  FMI: 207-647-4352, www.mainelakeschamber.com.

Oct. 8, Saturday, 10am-1pm, Learn to Make a Pumpkin Pie, learn the secret to making delicious pumpkin pie with flaky crust from the master, Debbie Thurlow of Debbie’s pies, perfectly time class that will prepare you to be the star of the coming holiday season, includes lunch, recipe and a pie to take home, $45, Pineland Farms, 15 Farm View Drive, New Gloucester.  FMI:  207-688-4539, www.pinelandfarms.org.

Oct. 8, Saturday, 10am-12:30pm or 1:30pm-4pm, Nature Hike, a guided tour of Shaker fields, forests, Loon’s Point on Sabbathday Lake and the footbridge over Aurelia’s Cascade.  The guide is Carol Beyna, a trained naturalist with vast knowledge of the flora and fauna that are at Shaker Village, $5/adults, $2/children, free/6 and under, Sabbathday Lake Shaker Village, 707 Shaker Road, New Gloucester.  FMI:  207-926-4597, www.shaker.lib.me.us.

Spoken by Tom Ferent | Discussion: No Comments »

6 Reasons Why Buying a Maine Lakefront Vacation Rental Property is a Smart Investment

An online real estate investment article came to my attention recently that speaks to the many virtues of buying a vacation property and using it as a rental. While you may not agree with all of the points made here, you might pick up some information that you’ll find interesting – and even compelling. Here’s the article, published on October 22, 2010 by RISMEDIA:

“Lately, you’ve been thinking a lot about investing strategies. You have a small nest egg that needs to grow, but frankly you don’t trust the stock market. And while real estate has been somewhat of a rocky road in recent years, it’s still a solid long-term investment strategy—and clearly we’re in a buyer’s market. But you aren’t really interested in being a landlord. So what can you do?

Christine Karpinski has a suggestion: Purchase a vacation home and rent it out to travelers.

Vacation homes are almost always a good investment,” says Karpinski, director of Owner Community for HomeAway—one of the world’s leading vacation rental marketplaces—and author of How to Rent Vacation Properties by Owner, 2nd Edition: The Complete Guide to Buy, Manage, Furnish, Rent, Maintain and Advertise Your Vacation Rental Investment.

“First, if you’re looking for a good long-term investment, real estate tends to be a good bet,” she adds. “Second, vacation properties have the ability to pay for themselves, and owners often earn a profit in rental income. Third, the investment comes with the desirable perk of having a place at the beach or in the mountains to call your own. And finally, there has never been a better time to buy a vacation home—it’s like the planets have all lined up perfectly.”

If you are interested in purchasing a vacation home, Karpinski describes why there’s never been a better time to go vacation rental house hunting:

There have never been so many properties on the market. For potential home buyers, there is a silver lining to the slow economy and the housing crisis: Most vacation markets are chock-full of buying opportunities. Once you’ve pinpointed the vacation rental market that is right for you—The coast? The mountains? A ski resort area?—you will likely have a lot of properties to choose from.

Prices aren’t going to get much better. In fact, they’re the lowest they’ve been in five to ten years. If you’re pretty sure you want to buy a vacation home “someday,” you might want to quit procrastinating and pull the trigger, says Karpinski.

Interest rates are very favorable for purchasing. Today, mortgage interest rates are low. Bottom line: Take advantage of them while they last.

You have access to the best real estate professionals. Anyone connected to the housing market who managed to survive the housing crash had to be at the top of his or her game. That means the agents left standing today—including the ones you’ll be working with in your search for the perfect vacation home—are possibly the best of the best.

It’s never been easier to rent your vacation home. As mentioned earlier, vacation home rentals have never been more popular. More and more consumers are choosing to stay in cozy condos, cabins, and chalets instead of cramped, impersonal hotel rooms when they travel. And as market demand has surged, organizations have sprung up to help connect vacation homeowners with these potential renters.

If you buy now, you can be ready for the 2011 peak season. It’s true that the longer you wait to buy, the likelier it is that interest rates could rise. But there’s another reason not to procrastinate: If you buy now, you’ll have time to get your property ready for peak rental season. Experienced vacation homeowners often find that the rental fees generated during the twelve weeks between Memorial Day and Labor Day pay their mortgages for an entire year—and most inquiries come in between January and March.

“Even turnkey properties aren’t really turnkey,” notes Karpinski. “To get your property up to your standards, there will very likely be things you will want to spruce up. Rooms might need repainting. Decorating will need to be done. And the yard might need some work. Buying now will provide you with a cushion of time to get the home ready for your guests, take great photos for your property listing, and start marketing it to potential renters.”

Spoken by Jon Whitney | Discussion: 1 Comment »

Why Maine Lakefront Property is a Good Long Term Investment

Maine cottage on the shores of Brandy Pond in Naples, Maine

Back in 2003 I met with an elderly gentleman who purchased his lakefront camp (or what folks from Massachusetts call a “cottage”), back in 1962. He was a former IBM salesman – a pretty big deal in the 1960s.

He purchased his Sebago Lake summer home for $12,000. Now 41 years later he was selling. Although lovingly maintaining the home for 40 years, he had made no major repairs, improvements or expansion to the humble structure. We listed the home for $549,900 and it sold for $529,900.

I asked him what he thought of his investment. He told me that he enjoyed 40 fabulous Maine summers and, added jokingly, earned a half million for his trouble.

He described to me the history of his investment. He said that although the trend was always up, the path was cyclical or one of peaks and plateaus. The property would go through a 5-7 year period of rapid appreciation, what he called peaking, and then level off or plateau for 5-7 years. Then it would once again start a peaking cycle. The last peaking cycle was the period from 1998 to 2005. The present plateau cycle began in late July, 2005 and here we are, 5 years later in late April, 2010, probably closing in on the end of a plateau period.

You may be wondering why I would write about my experience with the IBMer, now, seven years later. Only to illustrate how markets move in cycles and that buyers and sellers sometimes need a longer view to keep a proper perspective.

This week I received a phone call from a buyer of lakefront property. He inquired why a new listing had disappeared from my website. I told him that it was under contract and no longer available.

He was stunned. He said he had been looking for just the right place for over 2 years and that the place was not only perfect but priced right. I asked him why he didn’t make an offer. He said that he felt there was no rush to do so and that if he waited the price might go down.

Folks, we may be nearing the end of a plateau. Lakefront buyers have had it great for the last five years but, as we know, all good things eventually come to an end. The end of the greatest buyers’ market we have seen in our lifetimes may be near.

So, dear lakefront buyers, if you see something that you like and it’s priced right, buy it.

By the way, the property that the buyer missed out on because he was waiting for the price to go down? It was on the market for a week and sold for cash at the asking price. True story.

Spoken by Jon Whitney | Discussion: No Comments »

Plenty of Useful, Free Information Available for Maine Lakefront Property Owners and Buyers

Keeping this pond clear and clean should be everyone’s goal

At Mr. Lakefront Keller Williams Real Estate we believe an educated and informed lakefront property owner or buyer is the first and best way to keep our wonderful Maine lakes and ponds clean and healthy. To support this position we make available, to anyone interested, a variety of free materials that inform, educate and entertain the lakefront owner/buyer, all at the click of a mouse.Go to our website at www.mrlakefront.net  and find on our home page many different tools to help you be a responsible lakefront property owner.

On the right hand column you can request a copy of the Maine Shoreland Zoning Handbook and the new Buffer Handbook. The Zoning Handbook will give you a comprehensive and understandable overview of the Maine Shoreland Zoning rules and regulations as well as many diagrams and examples of what is permitted in the shoreland zone. The Buffer Zone handbook offers hands-on information about creating a vegetative buffer in the shoreland zone to help control erosion and phosphorus-laden runoff.

Further down, order up a copy of the popular Lake Living magazine. We’ll send it to you free!

On the left hand side of our homepage you can sign up for three different weekly email newsletters which will keep you informed and in touch with Maine news, events, and market information.

The first, the Maine Lakes News Digest, provides you with news and information from around the state dealing with Maine lakes, outdoor recreation, and the environment. The Out and About events planner provides you with a weekly list of local entertainment and things to do in the lakes regions of Maine. Finally, the Maine lakefront listings Market Update keeps you abreast of any new lakefront listings, recent price reductions, featured properties, and market trends specific to Maine lakefront property.

Under the weekly newsletter offers, you’ll find the ability to access a drop down menu and read reviews about your favorite Maine lakes and ponds. We call it Lake Reviews. Just scroll down to the lake or pond you want to read more about, click on it, and be taken to an article that gives you lots of great information.

Finally, below the Lake Reviews box, you can click and order free copies of the State of Maine rules and regulations booklets for each of these outdoor activities: ATVing, Fishing, Hunting, Boating, and Snowmobiling. Any outdoor enthusiast recreating in Maine knows these guidebooks are indespensable – and necessary – to being a responsible outdoors person.

Well, there you have it! A collection of all kinds of interesting and informative material just waiting for you to click and enjoy for free. Why not start right now by going to www.mrlakefront.net !

Spoken by Jon Whitney | Discussion: No Comments »

Lovewell Pond in Fryeburg Home to Fishing, Boating, and Fighting

Lovewell Pond in Fryeburg with Mt. Tom in the background

History abounds on Fryeburg’s Lovewell Pond, in western Maine. Lovewell Pond was the site of a fight between native Americans and colonists in 1725, and a difference of opinion between the Nestle Corporation and town residents in more recent years.

The battle of Pigwacket (Pequawket), known as “Lovewell’s Fight,” took place on May 8, 1725, on the shores of Saco Pond. The pond was later renamed for Captain John Lovewell of Dunstable, who commanded a company of 46 colonists. Both Captain Lovewell and Chief Paugus lost their lives in this fight. “The Scalp Hunters: Abenaki Ambush at Lovewell Pond-1725” by Alfred E. Kayworth and Raymond G. Potvin provides an historical look at events leading up to this epic battle.

More recently, Nestle Corporation, which owns Poland Springs Bottling Company, and Fryeburg residents, including 90-something year old Howard Dearborn, who lives on Lovewell Pond, disagreed about groundwater extraction.

In January 2009, Normandeau Associates, Environmental Consultants of Bedford, New Hampshire, completed a report entitled, “Lovewell Pond Watershed Phosphorus Loading Analysis,” as part of a project titled, “Continuation of Wards Brook/Lovewell Pond Study.”

According to the report, the purpose of the project was “to develop a quantitative phosphorous budget for Lovewell Pond in an attempt to better evaluate the potential impact of groundwater withdrawals from the Wards Brook watershed on Lovewell Pond water quality.”

Conclusions reached were “that the potential near-term land use changes were not likely to result in major increases in total phosphorus in Lovewell Pond, but that continuing urbanization of the watershed in the long-term could result in significant increases in in-take phosphorus and consequently significant declines in water quality . . . The impact of groundwater withdrawal from the Wards Brook aquifer, in the volumes currently permitted, on total phosphorus concentrations in Lovewell Pond is expected to [be] slight and negative (i.e. reduced phosphorus), resulting in a slight improvement in water quality.”

This report is available on the Lovewell Pond Association Web site.

The Lovewell Pond Association is dedicated to caring for and preserving the pond. Among other things, members participate in the Voluntary Lake Monitoring Program (VLMP) to test a range of elements that indicate overall water quality. The VLMP works in conjunction with the Maine Department of Environmental Protection. Their testing indicates the water quality is slightly below average, based on measures of transparencies, total phosphorus and Chlorophyll-a.

Lovewell Pond covers 1,120 acres and has a maximum depth of 45 feet. The Maine Department of Inland Fisheries and Wildlife stocks it with brown trout. Other fish caught here include smallmouth bass, largemouth bass, white perch and chain pickerel. A state-owned boat ramp is located at the southern end of the pond—the entrance is across from the Eastern Slopes Regional Airport on Route 113.

To canoe here, you might want to rent from Saco River Canoe. It’s fun to canoe along the Saco from Walker’s Rip to the pond, a distance of 2 miles. After exploring the shoreline and paddling out to Loon Island to swim and enjoy the views of Mount Washington and the Presidential Range, listen for the flute-like song of the hermit thrush, before continuing from the Saco River outlet to Brownfield Bridge, 5.9 miles away.

FMI: www.lovewellpond.org, www.sacorivercanoe.com, www.maine.gov/dep, www.maine.gov/ifw.

Check out all the current lakefront properties for sale on Lovewell Pond by clicking on the box below:

Search for lakefront properties on Lovewell Pond

Spoken by Jon Whitney | Discussion: No Comments »

More Good Interest Rate News for Maine Lakefront Property Buyers

If you are entertaining the idea of purchasing a Maine lakefront property anytime soon, or have an interest in lakefront real estate in Maine and are wondering when a good time might be to get into the market, today just might be that time.

With all the activity surrounding the Thanksgiving holiday you may have missed this little headline:

Rates on 30-year fixed-rate mortgage hit all-time low -

15-year fixed-rate and 5-year ARM break records: Freddie Mac

Is there any doubt that this is a good time to be borrowing money? Mortgage interest rates are not only staying low, they’re inching lower! And it’s not just one product – it’s 30 year, 15 year and adjustable rate mortgages. Here’s the lead from the article posted by the Marketwatch new service on Wednesday, November 25th:

Rates on 30-year fixed-rate mortgages averaged 4.78% this week, matching an all-time low in Freddie Mac’s weekly survey of conforming mortgage rates, released Wednesday.

The mortgage averaged 4.83% last week and 5.97% a year ago. This week’s average matched a low set the week ending April 30.

“Interest rates for 30-year fixed-rate loans are currently 0.8 percentage points below this year’s peak set in mid-June, which shaves roughly $100 off the monthly payments on a $200,000 mortgage,” said Frank Nothaft, Freddie Mac chief economist, in a news release.

Fifteen-year fixed-rate mortgages averaged 4.29% for the week ending Nov. 25, a new low since Freddie Mac began tracking it in 1991. This week’s average is down from 4.32% last week and 5.74% a year ago.

The 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 4.18% this week, down from 4.25% last week and 5.86% a year ago. The ARM hasn’t been this low since Freddie Mac started tracking it in 2005.

And the 1-year Treasury-indexed ARM averaged 4.35%, unchanged from last week. The ARM averaged 5.18% a year ago. It hasn’t been lower since the week ending July 7, 2005, when it averaged 4.33%.

You can read the full article here.

And not only are these mortgage rates at record lows, but the Fed seems determined to keep its borrowing rate at next to nothing to encourage the economic recovery and that means low interest rates should continue on home owner lines-of-credit.

Only you and your financial advisor can determine whether or not you are in a position to borrow, but if you are, you can have confidence that the rate you’ll currently pay – even to purchase a second home, vacation property, or camp in Maine – is at, or near, its lowest point in many, many years.

Just more to be thankful for this Thanksgiving holiday!

Spoken by Jon Whitney | Discussion: No Comments »

Woods Pond Lakefront Property Owners and the LEA Keeping Milfoil Out

Woods Pond in Bridgton, Maine maintains good water quality while having sufficient size and depth for locals and visitors alike to enjoy multiple recreational activities. The combined efforts of local lakefront property owners and the Lakes Environmental Association have managed to keep the water quality and clarity good while keeping the dreaded invasive aquatic plant, milfoil, OUT!

Eurasian Milfoil was never meant to be found outside of freshwater fish tanks. It is not a culinary treat for our lake creatures. Once established, it propagates quickly, forms a dense mat below the surface and crowds out native aquatic plants. Thus fish, small marine animals, mammals and birds have a reduced food supply.

The matted plants also reduce the amount of wind reaching the water, which lowers the oxygen levels, giving algae a chance to grow. Here in the Lakes Region, the Lakes Environmental Association (LEA) works hard to harvest the plant, but the best way to control it is to prevent it from being introduced in the first place.

In 2002, the Woods Pond Foundation had the foresight to install a boat washing station for this very reason. Working in conjunction with LEA, they built a 50 x 15-foot platform of crushed gravel on land leased from South Bridgton resident, Reg Fadden.

According to Peter Lowell, Executive Director of LEA, “Crushed gravel will absorb water and sediment so it doesn’t wash into the Woods Pond outlet.”

A high-pressure hose is used by boat owners to spray their boats. This $5,000 project was the first built in Maine. Since then, other boat washing stations have been built in Bridgton and throughout the state.

To date, Woods Pond has remained free of milfoil. But it only takes one boat to bring it in, so residents and visitors need to remain diligent about checking their crafts.

Woods Pond provides a good habitat for warm water fish and is home to smallmouth bass, largemouth bass, white perch and chain pickerel. It is also regularly stocked with brown trout.

The water quality of Woods Pond is considered to be average and stable. This 462 acre pond has a maximum depth of 29 feet. The southern end is easily accessible from Route 117 and is home to the boat launch, boat washing station and town beach, where many area children take swim lessons each summer.

The pond is located about three miles southeast of the center of Bridgton and eight miles from Shawnee Peak ski area.

This long, narrow pond is a great place for fishing, kayaking, water skiing, sailing and enjoying beautiful sunrises and sunsets.

If you’d like to check out the current lakefront property for sale on Woods Pond just click on the box below:

Search for lakefront properties on Woods Pond in Bridgton

Spoken by Jon Whitney | Discussion: No Comments »

Extension of Homebuyer Tax Credit Signals Maine Lakefront Property Buyers to Keep in Close Touch with Market

Congress has just passed and, on Friday, the President has signed a bill that includes the homebuyer tax credit extension and expansion.

While this bill directly affects first time home buyers and, now, some current homeowners, and deals with primary residences, the broader view is that this bill will continue to support progress in the overall recovery of the housing market and help keep the economy moving forward.

For buyers interested in purchasing Maine lakefront real estate there is little direct impact, but the larger message is clear – there is strong sentiment on the federal level to do what it can to help the depressed housing market recover.

If the legislation has its intended affect, the residential real estate industry, across the board, will benefit and, with interest rates still hovering around their all time lows, inventory high, and prices correcting from their highs from a couple of years ago, now may be the time to consider purchasing a Maine lakefront property.

Here’s a summary of the legislation from the National Association of Realtors site:

Credit available for purchases before May 1, 2010. Prospective purchasers with binding contracts in place as of April 30, 2010 will be allowed an additional 60 days to complete the transaction.

Credit remains at $8,000 for first-time purchasers. No change to definition of first-time purchaser.

New $6,500 tax credit for repeat buyers who purchase between December 1, 2009 and May 1, 2010.

Repeat buyers must have lived in their homes consecutively for 5 of the previous 8 years.

Income limits are expanded to $125,000 on a single return and $225,000 on a joint return. Current law $20,000 phase-out retained.

New anti-fraud limitations are imposed.

You can also view a YouTube video here of a Seattle real estate agent giving a clear presentation of the newest changes instituted by the law just passed. Lastly, use this link to the National Association of Realtors  for a thorough explanation of the bill and its ramifications.

Spoken by Jon Whitney | Discussion: No Comments »

Attention Maine Lakefront Property Buyers! Touching the Bottom?

Tanquility on Saturday Pond in Otisfield

For potential buyers of Maine lakefront property, knowing where the bottom of this real estate market is could provide a helpful directive. If we’re at the bottom then now’s the time to find the right property and get out the checkbook.

A recent correspondence from a mortgage lender I know makes a pretty good case that maybe the bottom is here – and he’s not using his Magic 8 Ball to come to his conclusions. His numbers are similar to those I’ve seen from others in the industry and talk about national numbers and state numbers. If we extrapolate a little, we can apply the general positive movement in the larger market to our niche market – lakefront property in southern Maine. Here’s what he had to say:

“We are just starting to see the first glimmers of a bright future for the housing market and the overall economy. The data on the present $8,000 home buyer tax credit show that the credit has had its intended impact – sales have jumped in recent months to a projected 5.1 million for the year and inventory has been trimmed, thus stabilizing home prices noticeably. Congress is working on a number of bills to extend the buyer tax credit into 2010 and some of these bills would allow all homebuyers to benefit from the tax credit.

Locally, sales of single-family existing homes in Maine rose a strong 22.74 per cent in September 2009 over the same month in 2008. The median sale price of $167,000 was a decrease from last September’s number, but an increase from $162,000 from last month’s number. Also, home values in Cumberland County have increased slightly over last quarter by 0.8% to an average of $259,900, another good sign that we may have hit bottom.

Mortgage rates have stayed consistently in the low 5s. While the short term outlook is good, many industry professionals are expecting rates to increase in the spring.”

Our own anecdotal evidence shows more activity than usual for this time of year with many incremental price reductions on a variety of properties. I think there is a connection here. Granted, the high end of the lakefront market is still pretty much stagnant, but for the low to mid-range properties, “good value” hunters are out there – and properties are going under contract.

Dana Earls, of the Merrimack Mortgage Company in Portland provided me with the statistics and italicized comments. You can read more on their website at www.merrimackmortgage.net .

If you’d like to check out all the current lakefront listings in the state of Maine you need go no further than our Lakefront Locator. Just click and go!

Spoken by Jon Whitney | Discussion: No Comments »

The Fight Against Aquatic Invasives is Waged by Maine Lakefront Property Owners

Hydrilla, a newer invasive recently found in Maine waters

Aquatic invasive plant species are posing challenges to both government land and water management officials and local lake associations.  Both groups are fighting hard to hold the line against invasive species such as Euasian milfoil and hydrilla.

Invasive aquatic plants drive out native species, foul boat propellers, ruin fish habitat, and make lakefront shoreline areas unuseable for any type of recreation.

Informed lakefront property owners are the first line of defense. It is these folks who keep a sharp eye on the shoreline and report any suspicious looking aquatic weeds to either their local lake association or to the Maine State Bureau of Land and Water Quality.

The State Bureau maintains a very informative website that will tell readers such things as how to identify an invasive plant, how to report the finding of an invasive plant, provide information on courtesy boat inspections, give you an update on the recent chemical treatment of Salmon Lake in the Belgrade Lakes area to irradicate a recently discovered infestation, and also update you on the finding of hydrilla in both Pickerel Pond in Limerick and Damariscotta Lake in Jefferson. You can also download a pdf file of a map of Maine showing where infestations have been discovered. Please click here to go to that website.

The Lakes Environmental Association in Bridgton, Maine has recently published a report entitled “Milfoil Update 2009″ that covers a host of topics including the discovery of hydrilla in Damariscotta Lake, the use of a chemical herbicide in Salmon Lake, property owners on Lake Arrowhead and Balch Lake are banding together to fight invasives, an updated survey of York County for new infestations and a Q.&A. about the controversial use of chemical herbicides being used to fight aquatic invasive plants. Please click here to go to that very informative report.

Remember, information and observation are the first lines of defense against this menace to our beautiful lakes and ponds. If you are a lakefront property owner, or plan to be one, to be a good steward of the lake you must become familiar with these invasive species so that they someday will become a thing of the past.

Spoken by Jon Whitney | Discussion: 1 Comment »

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