On this date in history...
Great fire of London occurred in 1666.
1st US lighthouse was built in Boston in 1716.
Women's Right's Convention met in NYC in 1853.
Carnation processed its 1st can of evaporated milk in 1899.
William McKinley, the 25th US President was shot by anarchist Leon Czolgosz at the New York Buffalo Pan-American Exposition in New York in 1901. He died 8 days later on September 14th.
The Harlem Globetrotters were organized 1927.
All Jews over the age of 6 in German territories ordered to wear a star in 1941.
WINS NYC began playing rock n roll with Alan Freed Show in 1954.
Mortgages & Closings
The Federal Reserve issued its economic update yesterday. It reported that credit problems in the U.S. have impacted housing, but haven’t hurt the general economy. I don't see how this can be so. Now, granted, the only reason that I can see for them to report this is because they are not wishing to reduce the rate again at the Sept. 18th meeting as many have anticipated.
Additionally, look at all the layoffs in the mortgage industry. Just yesterday & today, there were over 3000 layoffs announced and this doesn't include all of the previous ones mentioned, including the firms that have either closed or been disbanned. Add on top of that all of the mortgage brokers out there that are either being laid off and can't even procur a loan for a client.
A mortgage broker that I deal with has said to me that loan programs are being eliminated daily. Additionally, it was noted in an AP news story that a third of home loans failed to close in August. According to the article it was noted that three years ago only 4% of loans failed to close.
By the way, this information was obtained from a survey of 1700 mortgage brokers. "The survey also found that nearly half of borrowers with adjustable rate mortgages were not able to refinance their loans." It was also noted that 2.5 million ARM mortgages are set to adjust to higher rates this year and a great deal of these loans will most likely be foreclosed on.
On another note, even though the house & senate want to try to ease the present crisis, there does not appear to be any agreeement on how to do this. You may have also read about banking regulators and The Fed urging loan service companies to work with defaulting borrowers, but these are only suggestions and nothing is mandatory.
So, yes, they say that the mortgage and housing debacle are not making an impact on the general economy. Maybe this is so from the current statistics that they are utilizing, but wait until the next ones are recorded. This has stretched way beyond just the industry itself. It is affecting people across the board.
There was an article in yesterday's USA Today about the majority of calls to company helplines are about finances and foreclosure. Also, it was stated that how this will definitely affect productivity, etc. So, let's get realistic. This is a widespread epidemic of sorts.
Til next time...Marc It Sold!
Showing posts with label buyer. Show all posts
Showing posts with label buyer. Show all posts
Thursday, September 6, 2007
Tuesday, September 4, 2007
Mortgages - Imagine That!!
On this date in history...
English astronomer Edmund Halley sees his namesake comet in 1682.
Robert Fulton began operating his steamboat in 1807.
General Robert E. Lee invaded the North with 50,000 Confederate troops in 1862.
George Eastman patented thefirst roll-film camera and registered the name "Kodak" in 1888.
1st transcontinental TV broadcast by President Harry S. Truman addressing the opening of Japanese Peace Treaty Conference in 1951.
Mark Spitz became the first athlete to win seven Olympic gold medals in the 1972 Summer Olympics in Munich, Germany.
Palestinians hijack KLM DC-9 to Cyprus in 1976.
Today is Newpaper Carrier Day - Barney Flaherty became the 1st newsboy (10 years old for the NY Sun) in 1933.
Mortgages
There are definitely mortgages to be had out there and some very good ones at that. You just won't be able to find the easy no documentation, low down payment & stated income mortgages of the past.
The reasoning is quite obvious. Goodness knows we've heard the news. And this is all understandably so. People need to properly qualify for mortgages. This is a major part of the breakdown of the mortgage industry. In the recent past, people with borderline credit were afforded mortgages. Some of these were low down payments; some ARM's in which they were only able to qualify at the initial rate not the fully indexed rate. This should have been common sense all along, but 20/20 hindsight does not prove anything. Hopefully, the lesson will be learned from this and we will not see a repeat of such.
Don't get me wrong, I am all for helping someone achieve homeownership. I consider that the crux of my job. I get such a thrill out of helping people achieve this goal - the supposed American Dream. But I can not in all good consciousness afford someone this fully knowing that they will probably have an issue repaying this debt and putting them in a position of possibly losing their investment, savings & home. The thought of that is abhorrent to me.
But there are some very good loan products out there. Yes, most of these are for people with good credit. But then this might be a wake up call for someone with marginal credit to try to work on improving that. This can be done, but let me warn you about credit counseling services. Firstly, the use of these usually ruins your credit to begin with. Secondly, what they are doing, you should be able to do yourself.
It's called discipline.
Til next time...Marc It Sold!
English astronomer Edmund Halley sees his namesake comet in 1682.
Robert Fulton began operating his steamboat in 1807.
General Robert E. Lee invaded the North with 50,000 Confederate troops in 1862.
George Eastman patented thefirst roll-film camera and registered the name "Kodak" in 1888.
1st transcontinental TV broadcast by President Harry S. Truman addressing the opening of Japanese Peace Treaty Conference in 1951.
Mark Spitz became the first athlete to win seven Olympic gold medals in the 1972 Summer Olympics in Munich, Germany.
Palestinians hijack KLM DC-9 to Cyprus in 1976.
Today is Newpaper Carrier Day - Barney Flaherty became the 1st newsboy (10 years old for the NY Sun) in 1933.
Mortgages
There are definitely mortgages to be had out there and some very good ones at that. You just won't be able to find the easy no documentation, low down payment & stated income mortgages of the past.
The reasoning is quite obvious. Goodness knows we've heard the news. And this is all understandably so. People need to properly qualify for mortgages. This is a major part of the breakdown of the mortgage industry. In the recent past, people with borderline credit were afforded mortgages. Some of these were low down payments; some ARM's in which they were only able to qualify at the initial rate not the fully indexed rate. This should have been common sense all along, but 20/20 hindsight does not prove anything. Hopefully, the lesson will be learned from this and we will not see a repeat of such.
Don't get me wrong, I am all for helping someone achieve homeownership. I consider that the crux of my job. I get such a thrill out of helping people achieve this goal - the supposed American Dream. But I can not in all good consciousness afford someone this fully knowing that they will probably have an issue repaying this debt and putting them in a position of possibly losing their investment, savings & home. The thought of that is abhorrent to me.
But there are some very good loan products out there. Yes, most of these are for people with good credit. But then this might be a wake up call for someone with marginal credit to try to work on improving that. This can be done, but let me warn you about credit counseling services. Firstly, the use of these usually ruins your credit to begin with. Secondly, what they are doing, you should be able to do yourself.
It's called discipline.
Til next time...Marc It Sold!
Saturday, September 1, 2007
The Mortgage Debacle, The Market & The Fallout!
Today on this date in history...
First federal tax was levied on tobacco in 1862.
Emma M. Nutt Day, she was the first woman telephone operator in 1878.
Labor Day was declared a U S national holiday by Congress in 1894.
World World II began when German troops invade Poland in 1939 at 5:30AM.
Lead in paint is declared illegal in 1977.
The Mortgage Debacle, The Market & The Fallout!
Several things have been in the news. Yesterday, I touched briefly on the possible expanded role of the FHA in helping people to be able to refinance before they lose their home to foreclosure. I think that this is a necessary step by the government to help people and especially our economy, but my concern comes down to part of the criteria.
To qualify, homeowners would have to prove they paid their loan on time before it reset to a higher rate and must have at least 3 percent equity in the home. That is fine and also the fact that Pres. Bush is asking Congress to raise the present loan limits. But part of the criteria for one of these loans is that to compensate for the added risk, the borrowers would have to pay higher premiums on the loans and also some of the closing costs. Right then and there you are going to eliminate a lot of people who might be in dire need of help. They are already tapped to the limit. If they can't afford their present loan, how might they afford one with a higher interest rate & possibly having to come up with some of the closing costs, nevermind 3% if they do not have enough equity.
I agree that help is needed, but have to be concerned about the repercussions of this. There was an article in USA today in which Peter Wallison of the American Enterprise Institute said, “If you’re going to help someone to refinance, you’re going to bail out the person who financed him in the first place.... This will only cause the problem to arise again.” Yes, this may be true and is a concern, but that all depends on how the government handles the whole situation.
Another major group of foreclosures is coming from the investor group. We've all heard about the investors trying to grab a piece of the pie/cake. Unfortunately, this cake didn't rise as anticipated. The numbers are quite large in comparison. Nevada leads the pack of investor defaults followed by Arizona, Florida & California. Yes, all four of these states have been in the news quite a bit due to the change in real estate market conditions. They all have had incredible growth, but with that growth also comes some fallout as we are seeing now.
It was recently noted that even though Florida has shown a year over year price decline of almost 1%; the overall 5 year stats show a price gain of over 95%. Granted, this bodes well for most of us. The people that are obviously being negatively affected at this point are the sellers, especially those who've purchased within the past two years; those with ARM's that are being adjusted to higher rated; those with 100% financing, which I've always tried to dissaude people from getting involved in; and, especially investors.
Now, there is another group of people that are feeling the brunt of all this, and that's renters. According to another article that I've recently read, rents are projected to rise about 4 percent this year and next. This is being affected on many levels. Many previous owners that are finding themselves in foreclosure are turning into renters again. Additionally, more renters are also renewing their leases because they can no longer qualify for mortgages.
The only good part of this, is that some landlords are renting for less than their present mortgage on their investment properties, basically looking to just cut their loses. These people are avoiding foreclosure by doing such and because they have the present ability to afford it as well.
Anyway, till next time...Marc It Sold!
First federal tax was levied on tobacco in 1862.
Emma M. Nutt Day, she was the first woman telephone operator in 1878.
Labor Day was declared a U S national holiday by Congress in 1894.
World World II began when German troops invade Poland in 1939 at 5:30AM.
Lead in paint is declared illegal in 1977.
The Mortgage Debacle, The Market & The Fallout!
Several things have been in the news. Yesterday, I touched briefly on the possible expanded role of the FHA in helping people to be able to refinance before they lose their home to foreclosure. I think that this is a necessary step by the government to help people and especially our economy, but my concern comes down to part of the criteria.
To qualify, homeowners would have to prove they paid their loan on time before it reset to a higher rate and must have at least 3 percent equity in the home. That is fine and also the fact that Pres. Bush is asking Congress to raise the present loan limits. But part of the criteria for one of these loans is that to compensate for the added risk, the borrowers would have to pay higher premiums on the loans and also some of the closing costs. Right then and there you are going to eliminate a lot of people who might be in dire need of help. They are already tapped to the limit. If they can't afford their present loan, how might they afford one with a higher interest rate & possibly having to come up with some of the closing costs, nevermind 3% if they do not have enough equity.
I agree that help is needed, but have to be concerned about the repercussions of this. There was an article in USA today in which Peter Wallison of the American Enterprise Institute said, “If you’re going to help someone to refinance, you’re going to bail out the person who financed him in the first place.... This will only cause the problem to arise again.” Yes, this may be true and is a concern, but that all depends on how the government handles the whole situation.
Another major group of foreclosures is coming from the investor group. We've all heard about the investors trying to grab a piece of the pie/cake. Unfortunately, this cake didn't rise as anticipated. The numbers are quite large in comparison. Nevada leads the pack of investor defaults followed by Arizona, Florida & California. Yes, all four of these states have been in the news quite a bit due to the change in real estate market conditions. They all have had incredible growth, but with that growth also comes some fallout as we are seeing now.
It was recently noted that even though Florida has shown a year over year price decline of almost 1%; the overall 5 year stats show a price gain of over 95%. Granted, this bodes well for most of us. The people that are obviously being negatively affected at this point are the sellers, especially those who've purchased within the past two years; those with ARM's that are being adjusted to higher rated; those with 100% financing, which I've always tried to dissaude people from getting involved in; and, especially investors.
Now, there is another group of people that are feeling the brunt of all this, and that's renters. According to another article that I've recently read, rents are projected to rise about 4 percent this year and next. This is being affected on many levels. Many previous owners that are finding themselves in foreclosure are turning into renters again. Additionally, more renters are also renewing their leases because they can no longer qualify for mortgages.
The only good part of this, is that some landlords are renting for less than their present mortgage on their investment properties, basically looking to just cut their loses. These people are avoiding foreclosure by doing such and because they have the present ability to afford it as well.
Anyway, till next time...Marc It Sold!
Thursday, August 30, 2007
Foreclosures
Today is National Toasted Marshmallow Day.
On this date in history....
William Penn left England to sail to New World in 1682.
Jack Dempsey wins middleweight title in 1st fight with boxing gloves in 1884.
Hubert Cecil Booth patents vacuum cleaner in 1901.
1st German plane bombs above Paris, 2 killed in 1914.
Gen MacArthur lands in Japan in 1945.
US Senate confirm Thurgood Marshall as 1st black justice in 1968.
Hurricane David, kills 1200 in Florida, Domincana & Dom Rep 8/30 - 9/13, 1979.
1st recorded occurrance-comet hits sun (energy=1 mil hydrogen bombs) in 1979.
Foreclosures
Yes, we've all been hearing about foreclosures and unfortunately, we are going to hear quite a bit more in the next couple of years to say the least. Just to give you an example, I get a weekly update from Freddie Mac as to their foreclosures available in my local area. I had not received one of these in basically a couple of years, but each week now I am religiously getting an email update and this list just keeps on growing and growing.
Not to pat myself on the back, but I guess I will and must say that I am proud of myself for never putting a sale before my clients best interest. I have never to my knowledge put a client into a situation where they could possibly lose their home because of changes in the environment.
I can even go as so far as stating that I would actually advise my clients of the risk of getting a something like a not only a 100% financing, but an adjustable-rate loan in addition. Not only could this be a bad decision, but we were not expecting rates to stay as low as they have. Granted, that's been accomplished due to the fact of other ensuing issues that have occurred.
I have always cautioned my clients to purchase within their comfort zone. Many would go to a Mortgage Broker who would tell them that they could afford x. Just because it says this on paper, can you really afford such? In most instances the answer is 'no' And, especially, when you take into account precarious loan situations.
It seems to have been the way of recent to buy as much home as you could afford. I don't know if was to better the Joneses or what. I've always stated that easiest way to hate your new home is to be living for it. If that is all you can afford and not having anything left for leisure activities, nevermind the essentials, then what was the purpose of purchasing that home?
I feel that it's an ethical and moral obligation that I have to my client. Maybe, I've lost some income due to this, but I'll tell you what - I sleep well at night!
Til tomorrow - Marc It Sold!
On this date in history....
William Penn left England to sail to New World in 1682.
Jack Dempsey wins middleweight title in 1st fight with boxing gloves in 1884.
Hubert Cecil Booth patents vacuum cleaner in 1901.
1st German plane bombs above Paris, 2 killed in 1914.
Gen MacArthur lands in Japan in 1945.
US Senate confirm Thurgood Marshall as 1st black justice in 1968.
Hurricane David, kills 1200 in Florida, Domincana & Dom Rep 8/30 - 9/13, 1979.
1st recorded occurrance-comet hits sun (energy=1 mil hydrogen bombs) in 1979.
Foreclosures
Yes, we've all been hearing about foreclosures and unfortunately, we are going to hear quite a bit more in the next couple of years to say the least. Just to give you an example, I get a weekly update from Freddie Mac as to their foreclosures available in my local area. I had not received one of these in basically a couple of years, but each week now I am religiously getting an email update and this list just keeps on growing and growing.
Not to pat myself on the back, but I guess I will and must say that I am proud of myself for never putting a sale before my clients best interest. I have never to my knowledge put a client into a situation where they could possibly lose their home because of changes in the environment.
I can even go as so far as stating that I would actually advise my clients of the risk of getting a something like a not only a 100% financing, but an adjustable-rate loan in addition. Not only could this be a bad decision, but we were not expecting rates to stay as low as they have. Granted, that's been accomplished due to the fact of other ensuing issues that have occurred.
I have always cautioned my clients to purchase within their comfort zone. Many would go to a Mortgage Broker who would tell them that they could afford x. Just because it says this on paper, can you really afford such? In most instances the answer is 'no' And, especially, when you take into account precarious loan situations.
It seems to have been the way of recent to buy as much home as you could afford. I don't know if was to better the Joneses or what. I've always stated that easiest way to hate your new home is to be living for it. If that is all you can afford and not having anything left for leisure activities, nevermind the essentials, then what was the purpose of purchasing that home?
I feel that it's an ethical and moral obligation that I have to my client. Maybe, I've lost some income due to this, but I'll tell you what - I sleep well at night!
Til tomorrow - Marc It Sold!
Wednesday, August 29, 2007
Cancellation Fees
Did you know that on this date in history...
Chop Suey was invented in 1896.
First Scout Camp Opened in 1934.
The Goodyear Tire Company was founded in 1898.
The Beatles performed their last public concert at Candlestick Park in San Francisco, 1966.
Ingrid Bergman was born on this date in 1915 & died on this day in 1982 from breast cancer.
Cancellation Fees
Now to cancellation fees. I have never charged a client a cancellation fee, nor have I ever entered it on a listing agreement. I've always felt that if the client and myself are not a good fit, than I am not going to hold them and their property hostage, nor will I be held at that same time if that may be the case.
Yes, I know the arguments that a realtor should be compensated for their work and costs. I can agree with this partially, but have to disagree on the whole. This is a part of the business. This is a part of being an independent contractor and salesperson. If you have a problem with this, than you might wish to reevaluate your decision to be a realtor. I know that a lot of people will totally disagree with me and feel that I am too harsh. But, I really feel that this is the reality of the business.
I could even possibly deal with a cancellation fee if was at least reasonable. But the new manager of the office in which I work and some higher management personnel are obviously on another planet. We are told to institute a $1500 cancellation fee. Let's be realistic, who the heck is going to sign a listing agreement with that policy? I'll tell you right now, that I surely wouldn't. This is whacked! I'll get back to my new manager shortly. Oh, by the way, did I mention the fact that when I spoke with my regional manager about this, because I did not think that this was the company's philosophy, I was informed that they never checked with the competition to see what they were doing and how much they were charging. I was totally blown away by this response. This is just a basic business principle - know who & what your competition is and what they are doing. Duh!!
One of my main reasons for never even thinking of instituting a cancellation policy, is that I feel that there has to be a matter of trust between my seller & myself. This is what I build. We have a relationship. To me being a realtor is basically that of building trust between my clients & myself. I am there to educate and lead them through the process to make sure that they make the right decisions for themselves. Aren't I supposed to be the professional?
Many of my sellers have become friends. In fact recently, I had a home that was just not selling and we took this home off of the market. These people have become such very dear friends. I care for them so very much as I know that they do for me.
So my new manager comes into the office. She is a very effervescent person. I do believe that she has a lot to offer. It appears that she does not have a lot of management experience, but sometimes that is a plus. Well, unfortunately, she also has two bad habits. Let me preface this by stating that she seems to be genuinely interested in helping. But, then again, her salary is surely corelated to the business that the office produces.
When she told us about the cancellation policy, it was just that. Not that it was talked about and this is the decision that her bosses came up with and that we will have to implement this. No, we were TOLD! Great management style - think we might just need a little bit of work here. Her other habit, which I understand drove her boss crazy during the interview process, is it is always 'I, I, I, or me, me, me.' Can you imagine how infuriating it is to hear this consistently.
Granted, I can only come the conclusion that she is probably egotistical to some degree and most likely also very insecure. Unfortunately, at present, I am dealing with a brother in the trauma center due to a motorcycle accident and twice in conversations with her, I came away with the feeling that she had to 'one-up' me with tales of woe that she has encountered.
Even through most of this and the fibs that we've encountered I have tried to just let it rest and go on, but this cancellation policy is so totally against my grain. I can't do this to people. I really do believe in the common good of all people. Yes, we know that there are others out there. But, let me ask you, why should the general good out there pay for that? I can't go through life looking for the evil in others and watching my back & being wary. I will give almost anyone a chance - a chance until they prove me wrong, then they won't get another chance.
I am not saying this is right or wrong, for it isn't. It is just the way that I tend to live my life. I would love to right more at this time, but am running late for I have to catch a plane.
See you here tomorrow again, when we'll do a little more on this date in history.
Til then - Marc It Sold!
Chop Suey was invented in 1896.
First Scout Camp Opened in 1934.
The Goodyear Tire Company was founded in 1898.
The Beatles performed their last public concert at Candlestick Park in San Francisco, 1966.
Ingrid Bergman was born on this date in 1915 & died on this day in 1982 from breast cancer.
Cancellation Fees
Now to cancellation fees. I have never charged a client a cancellation fee, nor have I ever entered it on a listing agreement. I've always felt that if the client and myself are not a good fit, than I am not going to hold them and their property hostage, nor will I be held at that same time if that may be the case.
Yes, I know the arguments that a realtor should be compensated for their work and costs. I can agree with this partially, but have to disagree on the whole. This is a part of the business. This is a part of being an independent contractor and salesperson. If you have a problem with this, than you might wish to reevaluate your decision to be a realtor. I know that a lot of people will totally disagree with me and feel that I am too harsh. But, I really feel that this is the reality of the business.
I could even possibly deal with a cancellation fee if was at least reasonable. But the new manager of the office in which I work and some higher management personnel are obviously on another planet. We are told to institute a $1500 cancellation fee. Let's be realistic, who the heck is going to sign a listing agreement with that policy? I'll tell you right now, that I surely wouldn't. This is whacked! I'll get back to my new manager shortly. Oh, by the way, did I mention the fact that when I spoke with my regional manager about this, because I did not think that this was the company's philosophy, I was informed that they never checked with the competition to see what they were doing and how much they were charging. I was totally blown away by this response. This is just a basic business principle - know who & what your competition is and what they are doing. Duh!!
One of my main reasons for never even thinking of instituting a cancellation policy, is that I feel that there has to be a matter of trust between my seller & myself. This is what I build. We have a relationship. To me being a realtor is basically that of building trust between my clients & myself. I am there to educate and lead them through the process to make sure that they make the right decisions for themselves. Aren't I supposed to be the professional?
Many of my sellers have become friends. In fact recently, I had a home that was just not selling and we took this home off of the market. These people have become such very dear friends. I care for them so very much as I know that they do for me.
So my new manager comes into the office. She is a very effervescent person. I do believe that she has a lot to offer. It appears that she does not have a lot of management experience, but sometimes that is a plus. Well, unfortunately, she also has two bad habits. Let me preface this by stating that she seems to be genuinely interested in helping. But, then again, her salary is surely corelated to the business that the office produces.
When she told us about the cancellation policy, it was just that. Not that it was talked about and this is the decision that her bosses came up with and that we will have to implement this. No, we were TOLD! Great management style - think we might just need a little bit of work here. Her other habit, which I understand drove her boss crazy during the interview process, is it is always 'I, I, I, or me, me, me.' Can you imagine how infuriating it is to hear this consistently.
Granted, I can only come the conclusion that she is probably egotistical to some degree and most likely also very insecure. Unfortunately, at present, I am dealing with a brother in the trauma center due to a motorcycle accident and twice in conversations with her, I came away with the feeling that she had to 'one-up' me with tales of woe that she has encountered.
Even through most of this and the fibs that we've encountered I have tried to just let it rest and go on, but this cancellation policy is so totally against my grain. I can't do this to people. I really do believe in the common good of all people. Yes, we know that there are others out there. But, let me ask you, why should the general good out there pay for that? I can't go through life looking for the evil in others and watching my back & being wary. I will give almost anyone a chance - a chance until they prove me wrong, then they won't get another chance.
I am not saying this is right or wrong, for it isn't. It is just the way that I tend to live my life. I would love to right more at this time, but am running late for I have to catch a plane.
See you here tomorrow again, when we'll do a little more on this date in history.
Til then - Marc It Sold!
Tuesday, August 28, 2007
The Market & some fun information...
Did you know that on this date in history....
St. Augustine, Florida was established in 1565. It is the oldest surviving European settlement in the United States.
Henry Hudson discovered the Delaware Bay in 1609.
Germany declares war on Romania and Italy declares war on Germany in 1916.
Today is Dream Day (Martin Luther King Jr. gave his famous "I Have a Dream" speech during civil rights rally at the Lincoln Memorial in Washington, D.C. in 1963.)
On another note, the mortgage debacle that we are all witnessing has definitely added to the real estate woes. Unfortunately, the number of available homes on the market is continually increasing. Granted, not at break-neck speeds, but increasing none the less. There are well over 9 months supply of inventory on the market and these numbers will rise as the builders are offering some great deals that are basically undercutting the pre-owned homes market.
Personally, I do have some listings, but have also turned away many as of late. It should be noted that I also sell new homes as well. You should never purchase real estate without some sort of representation on your side. You do not pay any more for a home if you utilize a realtor. Actually, in many instances you may pay less and get more for your money.
St. Augustine, Florida was established in 1565. It is the oldest surviving European settlement in the United States.
Henry Hudson discovered the Delaware Bay in 1609.
Germany declares war on Romania and Italy declares war on Germany in 1916.
Today is Dream Day (Martin Luther King Jr. gave his famous "I Have a Dream" speech during civil rights rally at the Lincoln Memorial in Washington, D.C. in 1963.)
On another note, the mortgage debacle that we are all witnessing has definitely added to the real estate woes. Unfortunately, the number of available homes on the market is continually increasing. Granted, not at break-neck speeds, but increasing none the less. There are well over 9 months supply of inventory on the market and these numbers will rise as the builders are offering some great deals that are basically undercutting the pre-owned homes market.
Personally, I do have some listings, but have also turned away many as of late. It should be noted that I also sell new homes as well. You should never purchase real estate without some sort of representation on your side. You do not pay any more for a home if you utilize a realtor. Actually, in many instances you may pay less and get more for your money.
Thursday, July 5, 2007
Buying and Selling in Today’s Market – Is It Right For Me?
We are all aware of what’s going on in today’s real estate marketplace. There is no way that you can escape the news. It’s all over on the radio, television and in print. So where do you stand?
Firstly, the situation is not going to change anytime soon. There are too many factors that have contributed to our present market. One of the greatest, that most people are not aware of, is that of the mortgage lending business. This has greatly contributed the our present set of circumstances.
A little history. A long time ago when someone took out a mortgage, they generally had a relationship with their lender, who more often than not was their banker. The banker knew of their ability to repay a loan and lent money on this criteria. The banker also kept and serviced that loan for the life of that particular mortgage.
Well, the industry changed greatly in the past twenty years. Now, the originating lenders take the mortgages that they’ve made and then bundle them up and sell them to investors. Thus, giving the original lender money to go back out and sell more mortgages. This is great in that it brings more available money back into the marketplace. The downside is that the original lender no longer has the risk of carrying that loan. So, therefore, criteria became quite lax for procuring loans.
This is why we are seeing so much trouble with the subprime market. Too many loans were made to people who could marginally afford a home. With interest rates rising so has many adjustable rate mortgages and this further pushed many more people into that group. They couldn’t afford the higher payments and especially with the addition or higher insurance rates & property taxes.
Because so many of these loans were heading towards default, that it why we are seeing a collapse in the subprime market. It used to be that you could find a loan for someone with credit scores of less than 580. Now, that the subprime market is drying up, it is difficult to find a loan for someone with a FICO score under 620.
This fueled a lot of the buying and selling that we saw over the past several years. This, in addition to the fact, that a lot of people as they saw the prices of real estate moving up so quickly wanted to get in on the action also. Unfortunately, a lot of these people should not have. Many used their available funds or even home equities in their primary residences to purchase second homes or rental properties. When they could no longer afford these properties, they tried to sell them, but found that they couldn’t at a profit.
Many also used the increased value of their homes as a sort of spending account. Since incomes were not increasing relative to the value of their property, they would take money out, utilizing home equities, and use this money to buy cars, trips, etc.
But, this had to stop and it did! We were finding more homes languishing on the market. The builders were still building at an expanded pace. Therefore, even more homes on the market. The statistics show that most of these builders made profits last year, but that is now changing. Many, if not most, have seen losses this year. Many builders have stopped building speculation homes.
The combination of all of the things that I’ve just written about has contributed to the glut of properties available for sale. And yes, has driven down the price of homes. If you purchased a home within the last two years, you will find it quite difficult to sell it now at a profit and in most cases breaking even, if you are lucky.
Yes, there are many more factors that have also contributed to our state of affairs, but this is to just give you a general overview. So, now to the title of this blog.
It is definitely a buyer’s market and will remain so for quite some time. Right now in the two counties that make up the majority of the Greater Orlando area, there are over 20K single-family homes, condos, townhomes & villas for sale. This, when in what might be considered a normal market, when there was much less than 1/3 of that number of available properties for sale.
Buyers have a wide selection of properties to look at & choose from. Never has it been greater & especially when you note that the builders are offering such great bargains. Some even $100K and more off of the selling price. Others offering discounts, closing incentives & even a Harley-Davidson in addition. I’ve recently seen a home that was almost 2000sf with a starting price of approximately $250K. And this home wasn’t in the boonies or even near to such, it was right in the metro area.
Now, to the sellers. Unfortunately, there are many that just have to sell. They have to move whether it be for a job transfer, familial reasons, health, etc. These people have no choice. What I’ve stated over and over for these people is that you have to show Price & Value. Your home has to be in tip-top shape. People do not want homes that they have to do work on. There are too many others out there & they will just go to the next one. People are not going to overpay for a property. And this is where it also comes in – sellers have to be realistic in their expectations and pricing. 2005 is a long time ago and has nothing to do with our present real estate market.
Some may read this and think that I am a pessimist. I am not by any means, or at least try not to be. I consider myself a realistic optimist. We are still selling homes, but granted, they are selling at levels that we saw in the late 1990’s and early 2000’s. There is over a 16-month supply of available homes on the market.
Real Estate is a great investment, but it has always been meant as a long-term investment. Not, the short-term one it was considered in the recent past. It is no longer the cash cow that we saw through the past several years. There is no real estate bubble that we are going to see burst. But at the same time, you are not going to see lenders utilizing the line-up & sign-up routine of the past for mortgages. The criteria for such has been tightened.
One of the things that quite concerns me is what is going to happen when Wall Street feels the effects of the subprime market. Are we going to be asked to bail them out as we have with property insurance companies, etc? I hope not, they took on the risk & that is where it should stay. It’s not the public’s responsibility to bail out all of these companies. We, as individuals, cannot afford that.
Just remember – Price & Value. If you can show that, you can sell your home.
Until next time – Marc It Sold!
Firstly, the situation is not going to change anytime soon. There are too many factors that have contributed to our present market. One of the greatest, that most people are not aware of, is that of the mortgage lending business. This has greatly contributed the our present set of circumstances.
A little history. A long time ago when someone took out a mortgage, they generally had a relationship with their lender, who more often than not was their banker. The banker knew of their ability to repay a loan and lent money on this criteria. The banker also kept and serviced that loan for the life of that particular mortgage.
Well, the industry changed greatly in the past twenty years. Now, the originating lenders take the mortgages that they’ve made and then bundle them up and sell them to investors. Thus, giving the original lender money to go back out and sell more mortgages. This is great in that it brings more available money back into the marketplace. The downside is that the original lender no longer has the risk of carrying that loan. So, therefore, criteria became quite lax for procuring loans.
This is why we are seeing so much trouble with the subprime market. Too many loans were made to people who could marginally afford a home. With interest rates rising so has many adjustable rate mortgages and this further pushed many more people into that group. They couldn’t afford the higher payments and especially with the addition or higher insurance rates & property taxes.
Because so many of these loans were heading towards default, that it why we are seeing a collapse in the subprime market. It used to be that you could find a loan for someone with credit scores of less than 580. Now, that the subprime market is drying up, it is difficult to find a loan for someone with a FICO score under 620.
This fueled a lot of the buying and selling that we saw over the past several years. This, in addition to the fact, that a lot of people as they saw the prices of real estate moving up so quickly wanted to get in on the action also. Unfortunately, a lot of these people should not have. Many used their available funds or even home equities in their primary residences to purchase second homes or rental properties. When they could no longer afford these properties, they tried to sell them, but found that they couldn’t at a profit.
Many also used the increased value of their homes as a sort of spending account. Since incomes were not increasing relative to the value of their property, they would take money out, utilizing home equities, and use this money to buy cars, trips, etc.
But, this had to stop and it did! We were finding more homes languishing on the market. The builders were still building at an expanded pace. Therefore, even more homes on the market. The statistics show that most of these builders made profits last year, but that is now changing. Many, if not most, have seen losses this year. Many builders have stopped building speculation homes.
The combination of all of the things that I’ve just written about has contributed to the glut of properties available for sale. And yes, has driven down the price of homes. If you purchased a home within the last two years, you will find it quite difficult to sell it now at a profit and in most cases breaking even, if you are lucky.
Yes, there are many more factors that have also contributed to our state of affairs, but this is to just give you a general overview. So, now to the title of this blog.
It is definitely a buyer’s market and will remain so for quite some time. Right now in the two counties that make up the majority of the Greater Orlando area, there are over 20K single-family homes, condos, townhomes & villas for sale. This, when in what might be considered a normal market, when there was much less than 1/3 of that number of available properties for sale.
Buyers have a wide selection of properties to look at & choose from. Never has it been greater & especially when you note that the builders are offering such great bargains. Some even $100K and more off of the selling price. Others offering discounts, closing incentives & even a Harley-Davidson in addition. I’ve recently seen a home that was almost 2000sf with a starting price of approximately $250K. And this home wasn’t in the boonies or even near to such, it was right in the metro area.
Now, to the sellers. Unfortunately, there are many that just have to sell. They have to move whether it be for a job transfer, familial reasons, health, etc. These people have no choice. What I’ve stated over and over for these people is that you have to show Price & Value. Your home has to be in tip-top shape. People do not want homes that they have to do work on. There are too many others out there & they will just go to the next one. People are not going to overpay for a property. And this is where it also comes in – sellers have to be realistic in their expectations and pricing. 2005 is a long time ago and has nothing to do with our present real estate market.
Some may read this and think that I am a pessimist. I am not by any means, or at least try not to be. I consider myself a realistic optimist. We are still selling homes, but granted, they are selling at levels that we saw in the late 1990’s and early 2000’s. There is over a 16-month supply of available homes on the market.
Real Estate is a great investment, but it has always been meant as a long-term investment. Not, the short-term one it was considered in the recent past. It is no longer the cash cow that we saw through the past several years. There is no real estate bubble that we are going to see burst. But at the same time, you are not going to see lenders utilizing the line-up & sign-up routine of the past for mortgages. The criteria for such has been tightened.
One of the things that quite concerns me is what is going to happen when Wall Street feels the effects of the subprime market. Are we going to be asked to bail them out as we have with property insurance companies, etc? I hope not, they took on the risk & that is where it should stay. It’s not the public’s responsibility to bail out all of these companies. We, as individuals, cannot afford that.
Just remember – Price & Value. If you can show that, you can sell your home.
Until next time – Marc It Sold!
Friday, June 22, 2007
Beach Blog
There are a couple of things that I’ve been noticing about the real estate market that I wish to relay to you. But, before I get to that there are some miscellaneous meanderings that I wish to write about.
The many of you that know me, are aware of the fact that I try not to be a braggart. Yes, we all tend to do it at some time or another in our life. This is only human nature. I try to make it a point to not do so for the simple fact that I do not wish to put others ill at ease. So with that said…
Here I am where it all started – that is my blogging. I’m on a vacation of sorts in Ft. Lauderdale. Actually right now, I’m sitting on the veranda of the Atlantic Hotel, right across from the beach, drinking a Pina Colada. Yummy, it is!!
It always amazes me at what life throws at us. Or, maybe, I should say at what paths our lives take us. I’ve said this before, and must reiterate that I consider myself a very lucky and fortunate person. Yes, I’ve had my ups and downs just like the rest of us. I doubt if there is anyone that can say otherwise about themselves. The degrees to which vary and we may not be able to see that from our standpoint, but that is just it – it’s from our standpoint and perspective.
I’ve been planning on coming down to Fort Lauderdale for many weeks. This week before I came down I took my little girl, Nicci (Chihuahua) to the vet. Unfortunately, she came home with me, but I had to bury her. To say that this has upset me is an understatement. But, I have to remember that she had almost 14 good years and she was such a good girl & companion. She was my baby!
But getting back to what I was saying earlier, things occur & sometimes you have to wonder. Maybe there’s a connection and maybe there isn’t, but since that fateful day with Nicci, my phone has basically been ringing off of the hook with buyers & sellers.
The reason that I mention this is because there were a couple of items in the newspaper today that I will get to shortly. Additionally, I was talking with an associate of mine & she said the same thing about the buyers all of a sudden coming out of the woodwork.
Now, don’t get me wrong, the market is going to take quite a while to readjust itself. There is no doubt about this. But this obviously bodes well with somewhat a shift in the climate.
I received an email today from ORRA, the local realtor association, stating that the median price homes in the local market went up in May. Thirty year mortgages dropped slightly this week from an eleven month high of last week. But they are still under 7%. The Florida legislature has finalized what they are planning to do with property taxes & I think that the governor is signing such. There was also an Associated Press article stating that “The U. S. economy should expand modestly in coming months as a healthy job market continues to trump weakness in housing prices…”
Again, I must reiterate, it will take quite a while for the market to even out, but it does seem as if there are finally some changes in sight. We can only hope so.
Until next time – Marc It Sold!
The many of you that know me, are aware of the fact that I try not to be a braggart. Yes, we all tend to do it at some time or another in our life. This is only human nature. I try to make it a point to not do so for the simple fact that I do not wish to put others ill at ease. So with that said…
Here I am where it all started – that is my blogging. I’m on a vacation of sorts in Ft. Lauderdale. Actually right now, I’m sitting on the veranda of the Atlantic Hotel, right across from the beach, drinking a Pina Colada. Yummy, it is!!
It always amazes me at what life throws at us. Or, maybe, I should say at what paths our lives take us. I’ve said this before, and must reiterate that I consider myself a very lucky and fortunate person. Yes, I’ve had my ups and downs just like the rest of us. I doubt if there is anyone that can say otherwise about themselves. The degrees to which vary and we may not be able to see that from our standpoint, but that is just it – it’s from our standpoint and perspective.
I’ve been planning on coming down to Fort Lauderdale for many weeks. This week before I came down I took my little girl, Nicci (Chihuahua) to the vet. Unfortunately, she came home with me, but I had to bury her. To say that this has upset me is an understatement. But, I have to remember that she had almost 14 good years and she was such a good girl & companion. She was my baby!
But getting back to what I was saying earlier, things occur & sometimes you have to wonder. Maybe there’s a connection and maybe there isn’t, but since that fateful day with Nicci, my phone has basically been ringing off of the hook with buyers & sellers.
The reason that I mention this is because there were a couple of items in the newspaper today that I will get to shortly. Additionally, I was talking with an associate of mine & she said the same thing about the buyers all of a sudden coming out of the woodwork.
Now, don’t get me wrong, the market is going to take quite a while to readjust itself. There is no doubt about this. But this obviously bodes well with somewhat a shift in the climate.
I received an email today from ORRA, the local realtor association, stating that the median price homes in the local market went up in May. Thirty year mortgages dropped slightly this week from an eleven month high of last week. But they are still under 7%. The Florida legislature has finalized what they are planning to do with property taxes & I think that the governor is signing such. There was also an Associated Press article stating that “The U. S. economy should expand modestly in coming months as a healthy job market continues to trump weakness in housing prices…”
Again, I must reiterate, it will take quite a while for the market to even out, but it does seem as if there are finally some changes in sight. We can only hope so.
Until next time – Marc It Sold!
Friday, May 11, 2007
Property Taxes – Our Nemesis! – con’t
I was actually planning on writing about our other nemesis – Homeowners Insurance, but today’s Orlando Sentinel had much ado about property taxes and Marco Rubio’s new plan.
It seems that State Rep. Rubio’s previous plan was too drastic for many in the Senate, if not the House, to swallow. As you may have read in my previous posts, I have been a strong opponent to his plan. His new plan just seems to be a rip off of the one I wrote about yesterday, the one that was proposed by David Simmons of Maitland.
Unfortunately, Rubio’s new plan again goes too far. He is proposing that we pay property taxes on only 20% of the first $300K of the assessed value; 30% for the next $700K; and, then 70% of any assessed value over $1M.
This equates to a home with an assessed value of $300K, would only have a taxable value of $60K. As good as this sounds & what it will mean to our pocketbooks, this is absolutely outrageous – totally ridiculous. I don’t know if this man is trying to just make a name for himself in the short-term or what. My mind is just boggled thinking of the repercussions from a move like this. Yes, I agree that we need property tax reform, but come on guys, let’s use our heads.
Can you imagine the catastrophic cuts that will have to occur on the city & county level if something like this passes. Granted, I agree that there needs to be some trimming & more accountability, but this is not the way to go about it. With cuts like this it has to affect our basic services, nevermind what it could do to education.
Yes, a tax cut will finally get rid of Save Our Homes & at least we are seeing some that might be more equitable. Yes, a tax cut will also allow some long-term homeowners to possibly move who otherwise may have felt trapped because they might have been hit with a huge tax increase.
If Rubio’s plan or something similar with drastic tax cuts comes to fruition, all we are going to see is an increase in taxes somewhere else. Again, this is absolutely ridiculous. And the fact of the matter is that we will most likely pay more in the long run.
Hmm, so what purpose does this really serve except for someone getting their name in lights. I hope that I am wrong about Mr. Rubio, but all the signs point otherwise.
I look forward to seeing a property tax cut – as a homeowner & as a realtor®. I don’t like what’s happened with property taxes. Tax relief will surely help fuel more housing transactions. I think that it would surely help turn around a market that we are seeing flounder. I know that it would surely bring more buyers out of the woodwork. But again, our lawmakers have to be realistic.
Until next time – Marc It Sold!
It seems that State Rep. Rubio’s previous plan was too drastic for many in the Senate, if not the House, to swallow. As you may have read in my previous posts, I have been a strong opponent to his plan. His new plan just seems to be a rip off of the one I wrote about yesterday, the one that was proposed by David Simmons of Maitland.
Unfortunately, Rubio’s new plan again goes too far. He is proposing that we pay property taxes on only 20% of the first $300K of the assessed value; 30% for the next $700K; and, then 70% of any assessed value over $1M.
This equates to a home with an assessed value of $300K, would only have a taxable value of $60K. As good as this sounds & what it will mean to our pocketbooks, this is absolutely outrageous – totally ridiculous. I don’t know if this man is trying to just make a name for himself in the short-term or what. My mind is just boggled thinking of the repercussions from a move like this. Yes, I agree that we need property tax reform, but come on guys, let’s use our heads.
Can you imagine the catastrophic cuts that will have to occur on the city & county level if something like this passes. Granted, I agree that there needs to be some trimming & more accountability, but this is not the way to go about it. With cuts like this it has to affect our basic services, nevermind what it could do to education.
Yes, a tax cut will finally get rid of Save Our Homes & at least we are seeing some that might be more equitable. Yes, a tax cut will also allow some long-term homeowners to possibly move who otherwise may have felt trapped because they might have been hit with a huge tax increase.
If Rubio’s plan or something similar with drastic tax cuts comes to fruition, all we are going to see is an increase in taxes somewhere else. Again, this is absolutely ridiculous. And the fact of the matter is that we will most likely pay more in the long run.
Hmm, so what purpose does this really serve except for someone getting their name in lights. I hope that I am wrong about Mr. Rubio, but all the signs point otherwise.
I look forward to seeing a property tax cut – as a homeowner & as a realtor®. I don’t like what’s happened with property taxes. Tax relief will surely help fuel more housing transactions. I think that it would surely help turn around a market that we are seeing flounder. I know that it would surely bring more buyers out of the woodwork. But again, our lawmakers have to be realistic.
Until next time – Marc It Sold!
Friday, March 30, 2007
Where are the Buyers?
I’m sure that many are asking the same question. I continually keep on hearing that the buyers are waiting for the market to settle down. Buyers are waiting for that killer deal. Buyers are waiting....
OK, so we’ve had a reality lesson for sellers. It’s time for a reality check for buyers. In the Central Florida area, as I am sure with many parts of the country, the real estate housing market has settled down. Yes, there is a great deal of inventory out there, but homes are being sold. Granted, not at as fast a clip as the past few years. But let’s get realistic, that was an anomaly. I doubt if we will see anything like that for a very long time to come.
Sellers seem to be somewhat more realistic in that they are pricing their homes accordingly. I don’t know what so many have in their minds that the market still needs to adjust. It did that last year and that was really finalized by the end of the year. Prices aren’t dropping. They shouldn’t. There are some great values out there. You can actually purchase a home now and walk in their with some equity. Not like what we saw in ’05. This is the way a normal market is supposed to operate.
Prices are not going to go down lower & the interest rates have remained quite low also. This is a great time to purchase a home. There is generally price and value built into these homes. If there isn’t, then move on to the next property. There are enough out there to choose from.
I know some are now blaming the sub-prime market, but then again, these are people that are just always looking for something to blame. Yes, the sub-prime market took a hit. Well, heck, they shouldn’t have issued so many risky, really risky loans. But, there is money out there for people with ‘B/C’ credit. It can be found.
Hello folks, the market has bottomed out. It’s as simple as that. It has turned the corner. I’m not just saying this because I would like some buyers. The stats prove this out as do some of the articles finally being put into print.
I just sold a couple of homes within 45 days in this market. No, they were not underpriced. But, we were able to show Price & Value & everyone walked away from the tables feeling like a winner.
Til next time – Marc It Sold!
OK, so we’ve had a reality lesson for sellers. It’s time for a reality check for buyers. In the Central Florida area, as I am sure with many parts of the country, the real estate housing market has settled down. Yes, there is a great deal of inventory out there, but homes are being sold. Granted, not at as fast a clip as the past few years. But let’s get realistic, that was an anomaly. I doubt if we will see anything like that for a very long time to come.
Sellers seem to be somewhat more realistic in that they are pricing their homes accordingly. I don’t know what so many have in their minds that the market still needs to adjust. It did that last year and that was really finalized by the end of the year. Prices aren’t dropping. They shouldn’t. There are some great values out there. You can actually purchase a home now and walk in their with some equity. Not like what we saw in ’05. This is the way a normal market is supposed to operate.
Prices are not going to go down lower & the interest rates have remained quite low also. This is a great time to purchase a home. There is generally price and value built into these homes. If there isn’t, then move on to the next property. There are enough out there to choose from.
I know some are now blaming the sub-prime market, but then again, these are people that are just always looking for something to blame. Yes, the sub-prime market took a hit. Well, heck, they shouldn’t have issued so many risky, really risky loans. But, there is money out there for people with ‘B/C’ credit. It can be found.
Hello folks, the market has bottomed out. It’s as simple as that. It has turned the corner. I’m not just saying this because I would like some buyers. The stats prove this out as do some of the articles finally being put into print.
I just sold a couple of homes within 45 days in this market. No, they were not underpriced. But, we were able to show Price & Value & everyone walked away from the tables feeling like a winner.
Til next time – Marc It Sold!
Monday, January 8, 2007
WOW - 2007 - con't
This started as just a comment, but has obviously ended up as much more. Just give me an inch...
Anyway, thanks for all the comments. In regard to the appreciation that Jennifer commented in from the last post, I agree with her. The reason for my stating a higher rate is because this has been typically true in the Greater Orlando market.
Orlando is a destination city & has continually bucked the national trend. Generally, while the nation has normally seen a 6-8% appreciation level, we in Orlando have encountered a typically 10-13% rate.
To make this a little clearer, Orlando was definitely behind in regard to the national median housing price. For many reasons in the past several years this has quickly been adjusted. Unfortunately, we are still mostly a service-oriented area. I won't get on my soapbox here about this rise continually locking more and more people out of purchasing homes.
The powers that be are definitely making efforts to try to change our being a more service-oriented industry market. They are doing so by alluring some high-tech companies to the area and obviously this includes much higher wages.
Another reason for our quick gain, is that many people move to this area from more expensive areas & have been willing to pay more for real estate.
In regard to the median housing price, the Greater Orlando area's median is $250K. Even though this figure see-sawed through 2006, it is still higher than 2005. Maybe not by much, but still more. Many markets cannot say this, unfortunately.
According to FAR (Florida Association of Realtors), "In Sarasota-Bradenton, for example, the median price went to $277,900 from $340,700 during the year-over-year period ended in October." WOW!
Until next time - Marc It Sold!
Anyway, thanks for all the comments. In regard to the appreciation that Jennifer commented in from the last post, I agree with her. The reason for my stating a higher rate is because this has been typically true in the Greater Orlando market.
Orlando is a destination city & has continually bucked the national trend. Generally, while the nation has normally seen a 6-8% appreciation level, we in Orlando have encountered a typically 10-13% rate.
To make this a little clearer, Orlando was definitely behind in regard to the national median housing price. For many reasons in the past several years this has quickly been adjusted. Unfortunately, we are still mostly a service-oriented area. I won't get on my soapbox here about this rise continually locking more and more people out of purchasing homes.
The powers that be are definitely making efforts to try to change our being a more service-oriented industry market. They are doing so by alluring some high-tech companies to the area and obviously this includes much higher wages.
Another reason for our quick gain, is that many people move to this area from more expensive areas & have been willing to pay more for real estate.
In regard to the median housing price, the Greater Orlando area's median is $250K. Even though this figure see-sawed through 2006, it is still higher than 2005. Maybe not by much, but still more. Many markets cannot say this, unfortunately.
According to FAR (Florida Association of Realtors), "In Sarasota-Bradenton, for example, the median price went to $277,900 from $340,700 during the year-over-year period ended in October." WOW!
Until next time - Marc It Sold!
Thursday, December 28, 2006
Selling Your Home With Pets
Let me begin by saying that I am a pet lover having had many over my lifetime & enjoying those of friends & family. Unfortunately, there are many people out there that are not pet lovers or at least not of many breeds.
Most of us would not think that this is a problem. But, there are many people that will not go into a home with pets that are 'on the loose.' Additionally, there are many people that will spend less time in a home that has pets that are not of their liking. Too many of us this is surprising and may even sound bizarre, but when you put it into perspective it is quite understandable.
So, therefore, we need to take many things into consideration when selling a home with a pet(s). Now, again as I've said, I love most pets. I will usually play with the pet & keep him/her occupied while my clients are viewing the home. This usually works for the pet as well as the prospective buyers. A lot of times, you will find buyers that have no issue with the pets. And, yes, we all know about those loveable, cute pets that just pull at your heartstrings just by looking at you. They can almost sell the home themselves.
But here are some things to possibly remember & some tips for all of us.
1. If it smells... That in itself is probably enough to be said. Sorry, but I've had cats & very rarely did my litter box smell. Guess what? I don't want to smell yours. Neither does anyone else. Clean that litter box & keep it clean or put it out of the way. But those are not the only smells. Most odors come from dander. You need to deodorize your home often & keep your pet bathed and groomed.
2. Stains. Clean them, there are many good products on the market for 'pet stains.' Clean that carpet before listing your home, or if it is that bad, then consider replacing them. Sorry, but smells, stains, etc. are not going to get you top dollar for your home, nevermind, the length of time on the market needed to sell a home in that condition especially when there are so many other available homes to purchase.
3. Keep Pets from Showings. If it is at all possible, take the pet for a walk while your home is being shown. It will make it a much more pleasant experience for the prospective buyer. Loud barking dogs are not always a pleasing sound & may actually scare potential buyers. This only limits your potential pool of buyers. As your realtor, we are constantly trying to increase this pool for you.
4. First Impressions. The old adage is so very true - First Impressions are Lasting Impressions. This not only includes smells & carpet stains, but also possible gnawed moldings, scratches doors & door jambs, holes in the backyard, poop in the backyard, etc. You obviously get the picture & so will the potential buyer that viewed a home like this. I don't care how pretty the home may be otherwise, it is the total picture that has to be taken into consideration. And, yes, first impressions do last & will most likely have the prospective buyer out of your house quickly if care is not taken to these details.
5. It's all about perception! If someone enters a home & it smells & there are stains on the flooring & scratched door jambs, etc. They should also wonder what else this home holds for them. I'm sorry if this seems harsh, but if I enter a home and see this, I do have to wonder what else hasn't been taken care of & kept up. This is only being realistic & I'm not being mean.
We love our pets & there is no reason that they should hinder a sale. Nor do they have to be responsible for lowering a realistic price on a home. It is our responsibility & this can be taken care of without a great deal of inconvenience to all.
Best Wishes & until next time... Marc It Sold!
Most of us would not think that this is a problem. But, there are many people that will not go into a home with pets that are 'on the loose.' Additionally, there are many people that will spend less time in a home that has pets that are not of their liking. Too many of us this is surprising and may even sound bizarre, but when you put it into perspective it is quite understandable.
So, therefore, we need to take many things into consideration when selling a home with a pet(s). Now, again as I've said, I love most pets. I will usually play with the pet & keep him/her occupied while my clients are viewing the home. This usually works for the pet as well as the prospective buyers. A lot of times, you will find buyers that have no issue with the pets. And, yes, we all know about those loveable, cute pets that just pull at your heartstrings just by looking at you. They can almost sell the home themselves.
But here are some things to possibly remember & some tips for all of us.
1. If it smells... That in itself is probably enough to be said. Sorry, but I've had cats & very rarely did my litter box smell. Guess what? I don't want to smell yours. Neither does anyone else. Clean that litter box & keep it clean or put it out of the way. But those are not the only smells. Most odors come from dander. You need to deodorize your home often & keep your pet bathed and groomed.
2. Stains. Clean them, there are many good products on the market for 'pet stains.' Clean that carpet before listing your home, or if it is that bad, then consider replacing them. Sorry, but smells, stains, etc. are not going to get you top dollar for your home, nevermind, the length of time on the market needed to sell a home in that condition especially when there are so many other available homes to purchase.
3. Keep Pets from Showings. If it is at all possible, take the pet for a walk while your home is being shown. It will make it a much more pleasant experience for the prospective buyer. Loud barking dogs are not always a pleasing sound & may actually scare potential buyers. This only limits your potential pool of buyers. As your realtor, we are constantly trying to increase this pool for you.
4. First Impressions. The old adage is so very true - First Impressions are Lasting Impressions. This not only includes smells & carpet stains, but also possible gnawed moldings, scratches doors & door jambs, holes in the backyard, poop in the backyard, etc. You obviously get the picture & so will the potential buyer that viewed a home like this. I don't care how pretty the home may be otherwise, it is the total picture that has to be taken into consideration. And, yes, first impressions do last & will most likely have the prospective buyer out of your house quickly if care is not taken to these details.
5. It's all about perception! If someone enters a home & it smells & there are stains on the flooring & scratched door jambs, etc. They should also wonder what else this home holds for them. I'm sorry if this seems harsh, but if I enter a home and see this, I do have to wonder what else hasn't been taken care of & kept up. This is only being realistic & I'm not being mean.
We love our pets & there is no reason that they should hinder a sale. Nor do they have to be responsible for lowering a realistic price on a home. It is our responsibility & this can be taken care of without a great deal of inconvenience to all.
Best Wishes & until next time... Marc It Sold!
Friday, October 20, 2006
FSBO’s – Where are They Now?
Last year, 13% of all homes sold went the For Sale By Owner (FSBO) route, according to the National Association of Realtor’s 2005 Profile of Home Buyers and Sellers (www.realtor.org/Research.nsf/files/2005HBSonlineHighlights.pdf/$FILE/2005HBSonlineHighlights.pdf) That figure will show a drastic decline when the 2006 figures are published. FSBO’s work great when we are in a seller’s market – but that was so last year.
Most FSBO’s go that route because they wish to save on the commission (nowadays I require a 7% commission). But I must admit that my marketing, as a realtor®, has also had to be altered. I have to offer a lot more to my clients. But that is for another story.
Studies have shown that you can get more in less time utilizing a Realtor®. A recent NAR Profile of Home Buyers & Sellers study showed that a realtor® can get 16% more for a typical For Sale By Owner home. Everything else being equal & you just do the math, why would anyone want to go the FSBO route, if you figure that they will average at least 9% (16 – 7) more utilizing a realtor®? I just don’t understand the logic; but then again, I think that too many people do not look at the whole picture & just one little aspect of it. So, who’s kidding whom?
Last year, you could put a sign in your yard & your home would sell within a reasonable amount of time. Nowadays, you need a proven marketing plan. And, utilizing a discount realtor®, who will typically just charge you a fee for putting your home in the local MLS (Multiple Listing Service) is not considered a ‘proven marketing plan’, nor should you expect your home to sell too quickly.
Presently in the Greater Orlando area, there are over 16K homes for sale and that’s just in two counties – Orange & Seminole. How can someone think that by just putting a sign in their yard that they are going to garner the attention necessary to sell their home with that much competition? And that does not even include a lot of the homes offered by new home builders that are not listed in the MLS.
A good marketing plan has many different aspects to it & includes advertising in different media. Even a realtor® who just puts a sign in the yard & places the listing in the MLS is not doing enough. You need to show Price & Value to sell a home these days. It’s not difficult, but you have to prove it & not just once. Because for a home to sell, it must first be sold to the selling realtor® before it can be sold to the buyer.
Leaving this all aside, there are still many reasons not to go the FSBO route.
Pricing your property to sell involves more than just comparing it with other houses that have recently sold. The uniqueness of each property and its own values are based on location, condition, financing, amenities and other market factors.¨
Advertising can be very expensive, especially if you continue for a sustained period of time. Additionally, your Realtor can market your home utilizing avenues that are not available to you; including, but not limited to, the Multiple Listing Service.
When prospects inquire about your property and you are tempted to enter into a purchase agreement, how can you protect yourself from non-productive involvement? A Realtor should pre-qualify prospects bringing you Qualified Buyers.
Are you willing to admit Strangers to your home? Accepting unescorted strangers can play havoc with your family life. A Realtor using an Electronic Lockbox can identify the realtor who brought prospects into your home and when.
Selling your home can be a time-consuming assignment. You are literally married to the property and the inconvenience can be overwhelming. You have stay close to the property or you may miss the one buyer you’re seeking.
Financing is very frequently the key to a successful housing transaction. Buyers without the right advice and information may not see their way clear to buy your home. Your Realtor is able to help your buyer structure the right financing to meet his objective and yours.
How do you solve prospect problems? Your best buyer may well be someone who already owns a home, and whose decision to buy another property is premised on selling their present one. Your Realtor can sometimes arrange interim financing or a guaranteed sales agreement executed on the existing property.
It is difficult to Negotiate your own position. A Realtor should be prepared to counsel both yourself and the potential buyer, so the differences can be bridged and a transaction successfully consummated.
Once you’ve agreed to sell, there’s the matter of clearing title, obtaining financing, arranging insurance, working with lawyers and other agencies. You can avoid costly mistakes by relying on professionals who control and safeguard your housing investment. Use a Realtor®.
Most FSBO’s go that route because they wish to save on the commission (nowadays I require a 7% commission). But I must admit that my marketing, as a realtor®, has also had to be altered. I have to offer a lot more to my clients. But that is for another story.
Studies have shown that you can get more in less time utilizing a Realtor®. A recent NAR Profile of Home Buyers & Sellers study showed that a realtor® can get 16% more for a typical For Sale By Owner home. Everything else being equal & you just do the math, why would anyone want to go the FSBO route, if you figure that they will average at least 9% (16 – 7) more utilizing a realtor®? I just don’t understand the logic; but then again, I think that too many people do not look at the whole picture & just one little aspect of it. So, who’s kidding whom?
Last year, you could put a sign in your yard & your home would sell within a reasonable amount of time. Nowadays, you need a proven marketing plan. And, utilizing a discount realtor®, who will typically just charge you a fee for putting your home in the local MLS (Multiple Listing Service) is not considered a ‘proven marketing plan’, nor should you expect your home to sell too quickly.
Presently in the Greater Orlando area, there are over 16K homes for sale and that’s just in two counties – Orange & Seminole. How can someone think that by just putting a sign in their yard that they are going to garner the attention necessary to sell their home with that much competition? And that does not even include a lot of the homes offered by new home builders that are not listed in the MLS.
A good marketing plan has many different aspects to it & includes advertising in different media. Even a realtor® who just puts a sign in the yard & places the listing in the MLS is not doing enough. You need to show Price & Value to sell a home these days. It’s not difficult, but you have to prove it & not just once. Because for a home to sell, it must first be sold to the selling realtor® before it can be sold to the buyer.
Leaving this all aside, there are still many reasons not to go the FSBO route.
Pricing your property to sell involves more than just comparing it with other houses that have recently sold. The uniqueness of each property and its own values are based on location, condition, financing, amenities and other market factors.¨
Advertising can be very expensive, especially if you continue for a sustained period of time. Additionally, your Realtor can market your home utilizing avenues that are not available to you; including, but not limited to, the Multiple Listing Service.
When prospects inquire about your property and you are tempted to enter into a purchase agreement, how can you protect yourself from non-productive involvement? A Realtor should pre-qualify prospects bringing you Qualified Buyers.
Are you willing to admit Strangers to your home? Accepting unescorted strangers can play havoc with your family life. A Realtor using an Electronic Lockbox can identify the realtor who brought prospects into your home and when.
Selling your home can be a time-consuming assignment. You are literally married to the property and the inconvenience can be overwhelming. You have stay close to the property or you may miss the one buyer you’re seeking.
Financing is very frequently the key to a successful housing transaction. Buyers without the right advice and information may not see their way clear to buy your home. Your Realtor is able to help your buyer structure the right financing to meet his objective and yours.
How do you solve prospect problems? Your best buyer may well be someone who already owns a home, and whose decision to buy another property is premised on selling their present one. Your Realtor can sometimes arrange interim financing or a guaranteed sales agreement executed on the existing property.
It is difficult to Negotiate your own position. A Realtor should be prepared to counsel both yourself and the potential buyer, so the differences can be bridged and a transaction successfully consummated.
Once you’ve agreed to sell, there’s the matter of clearing title, obtaining financing, arranging insurance, working with lawyers and other agencies. You can avoid costly mistakes by relying on professionals who control and safeguard your housing investment. Use a Realtor®.
Tuesday, September 26, 2006
The Housing Market, Clients & an Update
For quite a while I’ve been professing that to properly market someone’s home, we need to show Price & Value. With so much available inventory, you need to be able to stand out in the crowd, otherwise you can be easily overlooked. I still see listings that are wholly overpriced. These people are obviously being unrealistic in regard to the current market conditions - the summer of 2005 is long past!
An article released yesterday by NAR (the National Association of Realtorsâ) reiterates such:
“NAR President Thomas M. Stevens from Vienna, Va., said sellers need to price to current market conditions if they want to sell within a reasonable amount of time. ‘In some areas home sellers are not making sufficient adjustments in their listing price, so their homes are staying on the market and contributing to the build up in inventory.’”
(you can read this article in it’s entirety at http://www.realtor.org/PublicAffairsWeb.nsf/Pages/ehs_aug06_existing_home_sales_holding?OpenDocument)
We have just experienced five years of outstanding growth and the housing market now is going through a period of adjustment and heading towards a more balanced market. Rising mortgage rates, speculative investors pulling back and many first-time buyers being priced out of some markets during those years have contributed to the normalizing of the housing sector. They also note that 2006 is expected to be the third strongest sales year on record.
On another note, I listen to my clients. In this instance, a client asked me if it would be beneficial to place an info tube on the sign riders in front of her home. I had stopped doing this for many reasons and my first inclination is that it would not help procure a sale. Yet, after careful consideration, I do wish to add this because it might help with more interest since this home is the lowest priced home in the subdivision & that is explicitly advertised on the flyer.
I try to look at all issues from all angles. Sometimes you have to remove yourself & try to view the issue from the ‘outside looking in’ as a third-party to the situation so to speak.
Additionally, some people have asked me what happened to the home in the previous blog entry. Well, the deal has fallen apart. My client could have possibly lost over $23K from the builder that they were planning on purchasing from. We did nothing wrong in this situation; whereas the buyer did not disclose that they had a home to sell prior to purchasing this home. Nevertheless, we are hoping that the buyer will honor the contract & release the escrow to the seller. In the meantime, I am personally purchasing their home. I do not see any reason that they should be injured more than they presently are. This is a terrible situation, but thank goodness I am very lucky in that I have the ability to do this. Most realtors probably could not do this & it would be a very sticky situation in which there might be lawsuits, etc. involved.
Don’t hesitate to contact me with your questions & comments. Until next time - Marc It Sold!
An article released yesterday by NAR (the National Association of Realtorsâ) reiterates such:
“NAR President Thomas M. Stevens from Vienna, Va., said sellers need to price to current market conditions if they want to sell within a reasonable amount of time. ‘In some areas home sellers are not making sufficient adjustments in their listing price, so their homes are staying on the market and contributing to the build up in inventory.’”
(you can read this article in it’s entirety at http://www.realtor.org/PublicAffairsWeb.nsf/Pages/ehs_aug06_existing_home_sales_holding?OpenDocument)
We have just experienced five years of outstanding growth and the housing market now is going through a period of adjustment and heading towards a more balanced market. Rising mortgage rates, speculative investors pulling back and many first-time buyers being priced out of some markets during those years have contributed to the normalizing of the housing sector. They also note that 2006 is expected to be the third strongest sales year on record.
On another note, I listen to my clients. In this instance, a client asked me if it would be beneficial to place an info tube on the sign riders in front of her home. I had stopped doing this for many reasons and my first inclination is that it would not help procure a sale. Yet, after careful consideration, I do wish to add this because it might help with more interest since this home is the lowest priced home in the subdivision & that is explicitly advertised on the flyer.
I try to look at all issues from all angles. Sometimes you have to remove yourself & try to view the issue from the ‘outside looking in’ as a third-party to the situation so to speak.
Additionally, some people have asked me what happened to the home in the previous blog entry. Well, the deal has fallen apart. My client could have possibly lost over $23K from the builder that they were planning on purchasing from. We did nothing wrong in this situation; whereas the buyer did not disclose that they had a home to sell prior to purchasing this home. Nevertheless, we are hoping that the buyer will honor the contract & release the escrow to the seller. In the meantime, I am personally purchasing their home. I do not see any reason that they should be injured more than they presently are. This is a terrible situation, but thank goodness I am very lucky in that I have the ability to do this. Most realtors probably could not do this & it would be a very sticky situation in which there might be lawsuits, etc. involved.
Don’t hesitate to contact me with your questions & comments. Until next time - Marc It Sold!
Thursday, September 21, 2006
It's all about - ME!?!
I have a friend that always says that, supposedly somewhat jokingly, but we all know the truth. I have never been like that. Generally, have pretty much always tried to consider the other person & their feelings. Won’t deny, but sometimes to a fault.
Haven’t written much lately. I guess some might call this writer’s block. Also haven’t written much about myself, but I think that my persona has come through in my writing. I tend to be straight-forward & just thought that some of you would like more of an insight into me.
I am a very lucky man in that I love what I do. Being a Realtor® is a blast!! Yes, there are some difficult times in which I’ve wondered ‘what the hell am I doing here?’ But this usually only comes about in dealing with unprofessional people. All in all it is such a blast, such a rush, when you are able to help people achieve a goal – whether selling or buying. My Vision & Mission statements say it all. You can view those on my website at www.orlandohomes-4u.com/2006/vision.php.
Many of you who know me, know that I consider myself a very lucky man. I am not a very religious person. I am observant, usually in my own way & not through any structured organization per se. The reason I say this is because I find myself continually thanking G-d. Yes, there are people to be thanked also, especially my parents, because no matter what, they must have instilled some things in me. We are what we are taught.
My ramblings here may seem somewhat convoluted, but hopefully you will see where they all come together. My outlook on life & work is not that I wish to become rich, monetarily. I already consider myself very rich – emotionally & spiritually. My goal is to live comfortably & thank goodness I have achieved that. I have a nice home – modest by many people’s standards; I drive a couple of nice cars; have a great dog, Nicci; I’m healthy & I live well.
Yes, I do make a good living in real estate – I am good at what I do. In fact, very good, even to the point of being proficient. But, I will not profit on some else’s poor fortune. I can not intentionally hurt someone. I believe in being fair. Actually, I believe that in any transaction in which I am involved, that all of the parties need to come out that feeling like winners. A buyer feels that they have gotten a good deal; a seller feels that they have received a great price for their property.
In all my year’s in real estate, I have never had a deal fall apart. Unfortunately, I am experiencing that for the first time. The reason that this has never happened before is because I am a stickler for details. In the years that I’ve been in this business, I consistently hear realtors® talk about a deal that has fallen apart at the last minute. It’s always behooved me to understand how this can happen. But the reason being is that they were not on top of things. They either weren’t in contact with the mortgage broker, title company, etc. I always call them. I hate surprises. Or let me qualify that, I hate surprises like that when it comes to business. There is no reason for it. In the instance that I am presently dealing with, the buyer did not have a contingency clause that the sale was predicated on the sale of their home. Of course, being the sleuth that I am, I found this information out several weeks ago. At that time, I quizzed their mortgage broker at that time if this was the case & he assured me that it was not. Well ‘lo & behold, their deal is falling apart. But, thank goodness to the many professionals in this business, we may be able to salvage this deal for everyone, because otherwise so many people will be adversely affected. I have a major problem with that. I especially have a major problem with my seller being injured. I will go to great lengths to not allow that to occur.
As you can see, I get personally involved with my clients. I can’t just say to my client ‘Sorry, you’ll have to change your plans, life threw you a curve – too bad, deal with it.’ It is not just a deal to me. This is not just like buying a piece of clothing. This is a major investment, probably one of the biggest that most of us deal with & needs to be handled as such. I take it personally & it upsets me when something of this nature comes up. I have to try to look at every different avenue to get us to the final outcome that we were looking for in the first place.
OK, enough about real estate. As I’ve written I consider myself a very luck man. I am 52 years old & it seems each decade of my life has been better than the previous one. It amazes me how much I’ve learned and grown. It really amazes me on the things that I’ve realized about life & myself since turning 50. Believe me, I’ve done some very stupid things in my life. I’ve created strife for myself. I’ve also learned from my mistakes. I believe that life is a learning experience & you have to treat it as such. If you don’t learn from it, you will lose the lesson. There are too many people out there that just keep on going, but are not willing to learn or change. We know enough people in our lives that keep on making the same mistake, for lack of a better word, over & over again & are constantly complaining about it. We all have patterns – some good & some not so good. It is a matter or realizing this & changing those destructive patterns. Yes, it may be more easily said than done, but surely not impossible.
I am somewhat simplistic, in that everything can be broken down to it’s bare basic roots. We are the most intelligent being on this planet – that works both ways, for & against us. We tend to over think things. But to get to the root of the matter, I think try to simplify things. By taking away all of the extraneous matter, you can then delve into what the root of the problem at hand may be.
I am extremely blessed man in that I have a great support group of friends & family. Their care, concern & love for me, as well as me for them, is extraordinary. But I, as well in my business, tend to treat people the way I wish to be treated. I guess that this comes through. I am not one to be able to hide my feelings – I wear them on my sleeve.
We see so much negativity around us. I’ve learned that this can easily bring you down. There is no way to keep negativity totally out of your life, but it is how you tend to handle it & deal with it that makes a difference. I can easily allow negativity to bring me down & then allow such to progress into a depression. Been there – done that. That is not what I want out of life. It is very self-defeating. I must say at this point that I do not take any anti-depressants. Again, been there, done that in the past. The only medication that I take daily is a vitamin. I try to keep a positive attitude. Sometimes that is somewhat difficult, but it is a matter of how you look at things. What I learned is that your mental attitude and outlook on life is a matter of a healthy body, mind & soul. If you let one go, let’s say not taking care of your body, then the others will follow suit. They interact with each other. It all comes down to a matter of how you feel about yourself & what you want out of life. Life is so freakin’ Grand. Go for it! Take care of yourself, because you can not take care of someone else without taking care of yourself first. So, I guess it is all about ME!! Not really, but I think you get the point.
Thank you for indulging me here. Until next time – Marc It Sold!
Haven’t written much lately. I guess some might call this writer’s block. Also haven’t written much about myself, but I think that my persona has come through in my writing. I tend to be straight-forward & just thought that some of you would like more of an insight into me.
I am a very lucky man in that I love what I do. Being a Realtor® is a blast!! Yes, there are some difficult times in which I’ve wondered ‘what the hell am I doing here?’ But this usually only comes about in dealing with unprofessional people. All in all it is such a blast, such a rush, when you are able to help people achieve a goal – whether selling or buying. My Vision & Mission statements say it all. You can view those on my website at www.orlandohomes-4u.com/2006/vision.php.
Many of you who know me, know that I consider myself a very lucky man. I am not a very religious person. I am observant, usually in my own way & not through any structured organization per se. The reason I say this is because I find myself continually thanking G-d. Yes, there are people to be thanked also, especially my parents, because no matter what, they must have instilled some things in me. We are what we are taught.
My ramblings here may seem somewhat convoluted, but hopefully you will see where they all come together. My outlook on life & work is not that I wish to become rich, monetarily. I already consider myself very rich – emotionally & spiritually. My goal is to live comfortably & thank goodness I have achieved that. I have a nice home – modest by many people’s standards; I drive a couple of nice cars; have a great dog, Nicci; I’m healthy & I live well.
Yes, I do make a good living in real estate – I am good at what I do. In fact, very good, even to the point of being proficient. But, I will not profit on some else’s poor fortune. I can not intentionally hurt someone. I believe in being fair. Actually, I believe that in any transaction in which I am involved, that all of the parties need to come out that feeling like winners. A buyer feels that they have gotten a good deal; a seller feels that they have received a great price for their property.
In all my year’s in real estate, I have never had a deal fall apart. Unfortunately, I am experiencing that for the first time. The reason that this has never happened before is because I am a stickler for details. In the years that I’ve been in this business, I consistently hear realtors® talk about a deal that has fallen apart at the last minute. It’s always behooved me to understand how this can happen. But the reason being is that they were not on top of things. They either weren’t in contact with the mortgage broker, title company, etc. I always call them. I hate surprises. Or let me qualify that, I hate surprises like that when it comes to business. There is no reason for it. In the instance that I am presently dealing with, the buyer did not have a contingency clause that the sale was predicated on the sale of their home. Of course, being the sleuth that I am, I found this information out several weeks ago. At that time, I quizzed their mortgage broker at that time if this was the case & he assured me that it was not. Well ‘lo & behold, their deal is falling apart. But, thank goodness to the many professionals in this business, we may be able to salvage this deal for everyone, because otherwise so many people will be adversely affected. I have a major problem with that. I especially have a major problem with my seller being injured. I will go to great lengths to not allow that to occur.
As you can see, I get personally involved with my clients. I can’t just say to my client ‘Sorry, you’ll have to change your plans, life threw you a curve – too bad, deal with it.’ It is not just a deal to me. This is not just like buying a piece of clothing. This is a major investment, probably one of the biggest that most of us deal with & needs to be handled as such. I take it personally & it upsets me when something of this nature comes up. I have to try to look at every different avenue to get us to the final outcome that we were looking for in the first place.
OK, enough about real estate. As I’ve written I consider myself a very luck man. I am 52 years old & it seems each decade of my life has been better than the previous one. It amazes me how much I’ve learned and grown. It really amazes me on the things that I’ve realized about life & myself since turning 50. Believe me, I’ve done some very stupid things in my life. I’ve created strife for myself. I’ve also learned from my mistakes. I believe that life is a learning experience & you have to treat it as such. If you don’t learn from it, you will lose the lesson. There are too many people out there that just keep on going, but are not willing to learn or change. We know enough people in our lives that keep on making the same mistake, for lack of a better word, over & over again & are constantly complaining about it. We all have patterns – some good & some not so good. It is a matter or realizing this & changing those destructive patterns. Yes, it may be more easily said than done, but surely not impossible.
I am somewhat simplistic, in that everything can be broken down to it’s bare basic roots. We are the most intelligent being on this planet – that works both ways, for & against us. We tend to over think things. But to get to the root of the matter, I think try to simplify things. By taking away all of the extraneous matter, you can then delve into what the root of the problem at hand may be.
I am extremely blessed man in that I have a great support group of friends & family. Their care, concern & love for me, as well as me for them, is extraordinary. But I, as well in my business, tend to treat people the way I wish to be treated. I guess that this comes through. I am not one to be able to hide my feelings – I wear them on my sleeve.
We see so much negativity around us. I’ve learned that this can easily bring you down. There is no way to keep negativity totally out of your life, but it is how you tend to handle it & deal with it that makes a difference. I can easily allow negativity to bring me down & then allow such to progress into a depression. Been there – done that. That is not what I want out of life. It is very self-defeating. I must say at this point that I do not take any anti-depressants. Again, been there, done that in the past. The only medication that I take daily is a vitamin. I try to keep a positive attitude. Sometimes that is somewhat difficult, but it is a matter of how you look at things. What I learned is that your mental attitude and outlook on life is a matter of a healthy body, mind & soul. If you let one go, let’s say not taking care of your body, then the others will follow suit. They interact with each other. It all comes down to a matter of how you feel about yourself & what you want out of life. Life is so freakin’ Grand. Go for it! Take care of yourself, because you can not take care of someone else without taking care of yourself first. So, I guess it is all about ME!! Not really, but I think you get the point.
Thank you for indulging me here. Until next time – Marc It Sold!
Sunday, July 16, 2006
Is the Market Insane?
Wanted to Blog, but wasn't sure what to write & then I spoke with a friend & she was under the impression that the "Market is Insane!" I won't deny that I was taken aback by this. But from what we talked about, it seems that quite a few people think this.
Now, I know from talking with quite a few realtors that the impression is that buyers are waiting for prices to come down. I won't deny that I still see homes that are priced for the type of market that we saw last year. But, in general, it seems that people realize that they have to price their homes well to sell. With an inventory of over 15K available homes for sale in just Orange & Seminole county, sellers better price their homes well & possibly offer incentives if they wish their homes to sell.
But, now let's look at the other side of the coin. We are still selling near the same level of homes as was being sold last year. Many do not realize this, but that was a phenomenal year. We sold more homes than in previous recorded history. In fact, in March of this year, ORRA (Orlando Regional Realtor Association) noted that 2878 homes were sold & this compares to 2529 homes in March 2005.
This reverts back to what I've been saying in that we have a very healthy market in the Greater Orlando area. In fact, we've sold more homes in the first five months of 2006 than we did in 2005.
So, homes are selling. Even with the increase in interest rates. Homes that show well & are priced well - will sell, as long as they are marketed properly. I've said this before & even have read it recently, but we are in what most of us consider a 'normal' housing market. Granted, the median price has risen to its highest level at $252,990 (May 2006) with an average sales price of $311,119.
Homes are presently taking 74 days on the market & this will lengthen with time. Historically, we've seen worse & not all that long ago.
It just proves to me that people need to be educated to the facts. As with anything else, this does put things into their proper perspective.
I, myself, have always believed in education. That is why I've gone on and received my GRI (Graduate Realtor Institute) & still continue to read & try to improve myself. I also believe at the same time, that it is my job to educate you, the consumer. I believe that if I did not do so, I would be doing you a disservice. I am the Real Estate Professional. This is why you ask me for advice & hire me for my services. And, I wish to thank everyone for that!
Until next time - Marc It Sold!
Now, I know from talking with quite a few realtors that the impression is that buyers are waiting for prices to come down. I won't deny that I still see homes that are priced for the type of market that we saw last year. But, in general, it seems that people realize that they have to price their homes well to sell. With an inventory of over 15K available homes for sale in just Orange & Seminole county, sellers better price their homes well & possibly offer incentives if they wish their homes to sell.
But, now let's look at the other side of the coin. We are still selling near the same level of homes as was being sold last year. Many do not realize this, but that was a phenomenal year. We sold more homes than in previous recorded history. In fact, in March of this year, ORRA (Orlando Regional Realtor Association) noted that 2878 homes were sold & this compares to 2529 homes in March 2005.
This reverts back to what I've been saying in that we have a very healthy market in the Greater Orlando area. In fact, we've sold more homes in the first five months of 2006 than we did in 2005.
So, homes are selling. Even with the increase in interest rates. Homes that show well & are priced well - will sell, as long as they are marketed properly. I've said this before & even have read it recently, but we are in what most of us consider a 'normal' housing market. Granted, the median price has risen to its highest level at $252,990 (May 2006) with an average sales price of $311,119.
Homes are presently taking 74 days on the market & this will lengthen with time. Historically, we've seen worse & not all that long ago.
It just proves to me that people need to be educated to the facts. As with anything else, this does put things into their proper perspective.
I, myself, have always believed in education. That is why I've gone on and received my GRI (Graduate Realtor Institute) & still continue to read & try to improve myself. I also believe at the same time, that it is my job to educate you, the consumer. I believe that if I did not do so, I would be doing you a disservice. I am the Real Estate Professional. This is why you ask me for advice & hire me for my services. And, I wish to thank everyone for that!
Until next time - Marc It Sold!
Wednesday, July 5, 2006
Rates, FSBO's, Pre-foreclosure
It's been a while. There are several things that I wish to mention today. Firstly, I wish to apologize because we are still working on the links on our website. That problem will be remedied in the near future.
The Fed made another increase, as was expected. Of course, there are the concerns for inflation. Mortgage interests have been climbing. Presently, they are hovering around 7%. Yes, this is higher than we've been experiencing in the past several years. But, when you reflect upon it, you realize that this is not so bad. Eight years ago we were at this level and even 1% higher the previous year. And, who can forget the 80's. My Goodness!! So, when you put it into perspective, it's really a different story.
Now, granted, housing costs have risen substantially in that same period of time. Have wages increased as much? We know the answer there. Now, I'm not going to get on my soapbox. But, we continually each day lock more and more people out of the housing market. Condos are costing in the 100K's; a nice relatively reasonable 3/2 single-family home will run approximately the mid 200's.
Enough of that, but it is something that we do have to keep in mind. We should never forget, because that only leads to possibly losing the lesson.
Real Estate has returned to what it was normally. The market is very healthy. We are very lucky in the Greater Orlando area, because we are a destination city. We are also the #2 city in the nation for Conventions, even knocking Chicago out of that position.
But, there is a lot of competition out there. There are over 19,000 MLS listings available. This is going to be a difficult time for For Sale By Owners, unless they are willing to wait, what I would think would be, quite a while.
I’ve even noticed what seems to be more homes going into pre-foreclosure. The summer of ’05 is no longer. I’m not saying this for doom & gloom. But this is reality. In regard to pre-foreclosures, people should speak to their lenders before it is way too late. And by too late, I mean, when they are already starting the papers. It takes several months before a homeowner is served with a pre-foreclosure notice. If you are late with your payments, there are some lenders that will allow you to tack those onto the end of your loan period. Granted, this will definitely cost you, but what will losing your home cost you?
There are also other ways, but you must speak with your lender. You have to understand that the lender does not really wish to own your property. They are not making money on it. They make money from the payments that you send in each month. Anyway, enough for now.
Call me & I’ll be more than happy to discuss this and any other topics with you.
Until next time….Marc It Sold!
The Fed made another increase, as was expected. Of course, there are the concerns for inflation. Mortgage interests have been climbing. Presently, they are hovering around 7%. Yes, this is higher than we've been experiencing in the past several years. But, when you reflect upon it, you realize that this is not so bad. Eight years ago we were at this level and even 1% higher the previous year. And, who can forget the 80's. My Goodness!! So, when you put it into perspective, it's really a different story.
Now, granted, housing costs have risen substantially in that same period of time. Have wages increased as much? We know the answer there. Now, I'm not going to get on my soapbox. But, we continually each day lock more and more people out of the housing market. Condos are costing in the 100K's; a nice relatively reasonable 3/2 single-family home will run approximately the mid 200's.
Enough of that, but it is something that we do have to keep in mind. We should never forget, because that only leads to possibly losing the lesson.
Real Estate has returned to what it was normally. The market is very healthy. We are very lucky in the Greater Orlando area, because we are a destination city. We are also the #2 city in the nation for Conventions, even knocking Chicago out of that position.
But, there is a lot of competition out there. There are over 19,000 MLS listings available. This is going to be a difficult time for For Sale By Owners, unless they are willing to wait, what I would think would be, quite a while.
I’ve even noticed what seems to be more homes going into pre-foreclosure. The summer of ’05 is no longer. I’m not saying this for doom & gloom. But this is reality. In regard to pre-foreclosures, people should speak to their lenders before it is way too late. And by too late, I mean, when they are already starting the papers. It takes several months before a homeowner is served with a pre-foreclosure notice. If you are late with your payments, there are some lenders that will allow you to tack those onto the end of your loan period. Granted, this will definitely cost you, but what will losing your home cost you?
There are also other ways, but you must speak with your lender. You have to understand that the lender does not really wish to own your property. They are not making money on it. They make money from the payments that you send in each month. Anyway, enough for now.
Call me & I’ll be more than happy to discuss this and any other topics with you.
Until next time….Marc It Sold!
Friday, June 16, 2006
#'s of Homes on the Market
In answer to Vicki's comments - There are many more factors that come into play, but you are most suredly correct with your assumption.
Today (6/16), 20% of the available homes in Orange & Seminole counties have a build date of 2005 or later. I need to clarify this a little further. In several instances, I have come across the condo conversion that has the year built listed as 2005, which is quite erroneous. One of the other factors that has fueled what we are currently seeing in the market, is that early last year we had people seeing others making good profits in buying some new construction for resale.
These people saw this and decided, "Well if they can do it, why can't I?" Well unfortunately, a lot of people placed contracts on homes to be built, but most were not taking possession until at least 10 months later. The Market Changed!!
There is a large subdivision near where I live. Currently, there are 72 homes listed for sale, 30 of which were built in the last year and a half. WOW!! Not only are some of these people that bought homes for investments facing other investors for competition, but also owner occupied homes & the builders themselves. And this does not even take into account that only some of the builder's lots are listed for sale, they have many more in addition to this. We will touch more on this in a future blog.
Till next time - Marc It Sold!
Today (6/16), 20% of the available homes in Orange & Seminole counties have a build date of 2005 or later. I need to clarify this a little further. In several instances, I have come across the condo conversion that has the year built listed as 2005, which is quite erroneous. One of the other factors that has fueled what we are currently seeing in the market, is that early last year we had people seeing others making good profits in buying some new construction for resale.
These people saw this and decided, "Well if they can do it, why can't I?" Well unfortunately, a lot of people placed contracts on homes to be built, but most were not taking possession until at least 10 months later. The Market Changed!!
There is a large subdivision near where I live. Currently, there are 72 homes listed for sale, 30 of which were built in the last year and a half. WOW!! Not only are some of these people that bought homes for investments facing other investors for competition, but also owner occupied homes & the builders themselves. And this does not even take into account that only some of the builder's lots are listed for sale, they have many more in addition to this. We will touch more on this in a future blog.
Till next time - Marc It Sold!
Friday, June 2, 2006
Boost Your Home's Value Reasonably
Really wanted to discuss the previous post a little more, but felt that the tone of this blog might be taken the wrong way. There is so much information that I wish to impart upon you. Yet, at the same time, wish to make this a not only useful, but some lighthearted blog in nature. So, with that known, I am changing the direction a little today to tell you about several cheap ways in which you can update your home & also increase it's curb appeal.
Whether you’re getting ready to sell your home or want to spiff it up, inexpensively, for your own enjoyment, here are 10 things for you to consider.
1. Make your kitchen really cook! - The kitchen is still considered the heart of the home. Many buyers make a beeline to the kitchen when they view a home. For a few hundred dollars, you can replace the kitchen faucet, add new cabinet door handles & update old lighting fixtures.
2. Give appliances a facelift. If your appliances don’t match, order new doors or panels for them. Hint: many dishwasher panels are white on one side and black on the other.
3. Buff up the bath. Even simple things like a new toilet seat and a pedestal sink are pretty easy for someone to install & they make a big difference in the look of the bathroom. Consider replacing old, discolored bathroom flooring. If the tub or shower are looking dingy, consider re-grouting the tile.
4. Step up your storage. If you have cramped storage areas, adding do-it-yourself wire and laminate closet systems to bedrooms, pantries and entry closets. Your closets will be more functional while you’re living there & it will make your home look more customized to potential buyers.
5. Add a room. Yes, this can be expensive, but consider this, you have a 3 bedroom house with a den. If you add a closet to that room, you’ve now got a 4 bedroom home and that adds a lot of value. You can possibly add a custom closet system and drywall it in for less than 1500.
6. Check the 'innards.' It is well worth it to spend a few dollars & have a plumber & electrician look over your services to make sure that they are in good repair and running properly. When a home inspection is performed, these details will show the potential buyer that the home has been well cared for & can also influence the sales/purchase price.
7. Look Underfoot. Flooring is another detail that can quickly update a home and make it look cleaner. A professional carpet cleaning is an inexpensive investment, especially if your carpets are in good shape. Don't replace them unless they are really hideous.
8. Look Up. Consider replacing the lighting and/or ceiling fans. These can be done fairly reasonably with a wide array of inexpensive lighting fixtures and ceiling fans that are found at the local do-it-yourself stores.
9. Curb Appeal. What buyers see when they first drive by your home is very important. A nicely mowed lawn, fresh much, some nice (& possibly flowering plants) & a clean walkway make a great first impression.
10. The Front Door. A clean front door & possibly freshly painted makes a great impression as does new hardware. This is the first thing that potential buyers will see before entering your home.
Whether you’re getting ready to sell your home or want to spiff it up, inexpensively, for your own enjoyment, here are 10 things for you to consider.
1. Make your kitchen really cook! - The kitchen is still considered the heart of the home. Many buyers make a beeline to the kitchen when they view a home. For a few hundred dollars, you can replace the kitchen faucet, add new cabinet door handles & update old lighting fixtures.
2. Give appliances a facelift. If your appliances don’t match, order new doors or panels for them. Hint: many dishwasher panels are white on one side and black on the other.
3. Buff up the bath. Even simple things like a new toilet seat and a pedestal sink are pretty easy for someone to install & they make a big difference in the look of the bathroom. Consider replacing old, discolored bathroom flooring. If the tub or shower are looking dingy, consider re-grouting the tile.
4. Step up your storage. If you have cramped storage areas, adding do-it-yourself wire and laminate closet systems to bedrooms, pantries and entry closets. Your closets will be more functional while you’re living there & it will make your home look more customized to potential buyers.
5. Add a room. Yes, this can be expensive, but consider this, you have a 3 bedroom house with a den. If you add a closet to that room, you’ve now got a 4 bedroom home and that adds a lot of value. You can possibly add a custom closet system and drywall it in for less than 1500.
6. Check the 'innards.' It is well worth it to spend a few dollars & have a plumber & electrician look over your services to make sure that they are in good repair and running properly. When a home inspection is performed, these details will show the potential buyer that the home has been well cared for & can also influence the sales/purchase price.
7. Look Underfoot. Flooring is another detail that can quickly update a home and make it look cleaner. A professional carpet cleaning is an inexpensive investment, especially if your carpets are in good shape. Don't replace them unless they are really hideous.
8. Look Up. Consider replacing the lighting and/or ceiling fans. These can be done fairly reasonably with a wide array of inexpensive lighting fixtures and ceiling fans that are found at the local do-it-yourself stores.
9. Curb Appeal. What buyers see when they first drive by your home is very important. A nicely mowed lawn, fresh much, some nice (& possibly flowering plants) & a clean walkway make a great first impression.
10. The Front Door. A clean front door & possibly freshly painted makes a great impression as does new hardware. This is the first thing that potential buyers will see before entering your home.
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