Disclosed are a field effect transistor structure and a method of forming the structure. A gate stack is formed on the wafer above a designated channel region. Spacer material is deposited and anisotropically etched until just prior to exposing any horizontal surfaces of the wafer or gate stack, thereby leaving relatively thin horizontal portions of spacer material on the wafer surface and relatively thick vertical portions of spacer material on the gate sidewalls. The remaining spacer material is selectively and isotropically etched just until the horizontal portions of spacer material are completely removed, thereby leaving only the vertical portions of the spacer material on the gate sidewalls. This selective isotropic etch removes the horizontal portions of spacer material without damaging the wafer surface. Raised epitaxial source/drain regions can be formed on the undamaged wafer surface adjacent to the gate sidewall spacers in order to tailor source/drain resistance values.