RESULTS: Are Properties in Your Market Getting Multiple Offers and Snatched Up?

I will confess that I was hoping to get a bigger response, but I am grateful for the responses I did get.

I put the following call out to Realtors®:

Are properties in your market getting multiple offers and snatched up?

The response was 8 yes (66%) and 4 no (33%). In addition, I received responses on my profile page on FACEBOOK as follows:

• yup! there are at least 4 offers per property
• Not in Charlotte..yet! please send your good fortune our way!
• Yep, especially short sales. I have one now that has 8 offers on it.
• The retail level is returning & competing with the wholesale short sale prices...
• Yes I just had multiple offers on my listing in Des Moines
• only if they are bank owed.
• multiple offers seem to be going in the 250k-350k range as the market is picking up by the day.

Thus, it seems to be looking up for some of us. I don't know what I can attribute it to. I can only speculate. However, hopefully, we are on the way back to business as usual, and it will spread to those areas and locales that are harder hit in the near future.

HACKERS ON FACEBOOK

In the past few days, HACKERS have been out there causing mischief on FACEBOOK.

You get a notification like the following:

So and so just reported your profile as it is in violation of Terms and Conditions! Click for Details


The first time it happened to me, I could not believe it. When I clicked, I could not get to the page and was worried that I would lose my page and all of my FACEBOOK FRIENDS. I know enough people, who have lost their accounts for requesting too many friends too soon or posting too many links or sending too many like messages. So, I wrote to one of the developers on FACEBOOK, but I have not had a response yet.

I removed the friend it came from. I could not have imagined what I did to offend this woman. The only things I had sent out were from my blog and only to those of you who had signed up to be a "reader/fan" of my blog on NetworkedBlogs.

Last night, however, I received another. This time when I clicked through. It said that my "profile picture" was inappropriate as were my comments. I looked at the friend that it came from and just knew that this man did not send a complaint. I have had little contact with him and knew that he had better things to do with his time! Then, another friend wrote to me and said that he got a notice that I had reported him. I received another one this morning and wrote to the friend to tell her about the message.

I posted on my STATUS:

Lauren is SAYING TO THE HACKERS who are saying she is reporting friends for violations of use - I HOPE YOU ARE HAVING A GRAND TIME! And, oh yeah... get a life too.

I want all of you to know that I am not reporting you. And I now, realize that you are not reporting me. There are bored, little people out there that should put their powers to good, who are just getting a big "Ha!Ha!" out of getting other people upset.

Last year, they were sending videos from your account to your friends. That caper seemed to be cured. This little prank is a little more malicious, but hopefully, FACEBOOK will figure it out and get it rectified sooner than later.

Buyers, The Importance of Getting Pre-Approved for a Mortgage at Present

A lot of Realtors® want you to be pre-approved before they start showing you properties, because they want to make sure that you are a viable candidate to buy a house. Some people, however, are offended that a Realtor® may require this pre-approval, but it is understandable, because they work for free until a deal closes. If they show you houses for two days straight, and you cannot qualify for a mortgage, then it is two days without pay for that person.

But there are other reasons to want to be pre-approved these days. First, the credit requirements are getting tougher. Therefore, it may take a few months to get items on the credit report straightened out or removed. And it will take those months before you can get a pre-approval, and even think about putting an offer in on a house.

Next, what I am finding is that houses are, in the past couple of weeks, selling very quickly. At least, they are selling quickly in the market in which I work. A man asked me at the beginning of the week to set up appointments for today to see four houses. Two of them sold by Tuesday. A third one sold today. On Wednesday, I picked out two more properties for him to see. One of those also sold. Therefore, when it is time to go out and look, you should have your finances ready so that when you find the house you really like, you can make an offer immediately, and it won't slip past you.

There is also a third reason, which is a combination of the above, and the First Time Home Buyer Tax Credit. If you need to buy before December 1, 2009 to get the $8,000 tax credit, and you need three months to straighten out your credit, and a month to look for a house, and two months to get to the settlement table, you could be looking at a six month period from start to finish. Of course it could be shorter, but it would be better to start, at least, with the financial end so that does not hold you up when you are ready to put an offer in on a house, or prevent you from taking advantage of the $8000 First Time Home Buyer Tax Credit, because you miss the deadline.

Are Properties in Your Market Getting Multiple Offers and Snatched Up?

I watch the news like everyone else... and hear what they are saying about the housing market... but......... over and over again, good houses are getting snatched up in my market quickly. Yes, they are either decent properties with the right price, or ones that are just priced correctly. Either way, I am finding them to be competitive. It is good news for sellers here.

I don't mind showing a prospective buyer without a pre-approval properties at least once, but I am very hesitant to do it now, because if they really like the property, and their paper work is not lined up, and the property goes under contract then every other property thereafter will be a disappointment or a compromise. Thus, I am really encouraging people to get their finances straight, before they go out and look, so that when they see "the property", they can jump on it! It seems, there is no time to waste. And with the tax credit out there for a first time home buyers, it is a really good time to take the leap and buy.

To the other Realtors® out there, I am asking the questions and taking a poll.... Are properties in your market getting multiple offers and snatched up? The poll appears on the right side on the home page of the blog. The poll will be up for two days. Thanks!

Field of Dreams

Of course, the passage I am going to quote has nothing to do with my blog! Something I was reading tonight brought this passage to mind. I have always loved the movie, Field of Dreams, and loved this part....

"Ray, people will come, Ray. They'll come to Iowa for reasons they can't even fathom. They'll turn up your driveway, not knowing for sure why they're doing it. They'll arrive at your door as innocent as children, longing for the past. "Of course, we won't mind if you have a look around," you'll say. "It's only twenty dollars per person." They'll pass over the money without even thinking about it; for it is money they have and peace they lack.

And they'll walk out to the bleachers, and sit in shirt-sleeves on a perfect afternoon. They'll find they have reserved seats somewhere along one of the baselines, where they sat when they were children and cheered their heroes. And they'll watch the game, and it'll be as if they'd dipped themselves in magic waters. The memories will be so thick, they'll have to brush them away from their faces.

People will come, Ray."

Almost Forgot!

I want to thank all of you, who contributed your words and ideas on the pricing topic!

PRICING for SELLERS

It was not my intent, but most of my articles have been geared to buyers or investors. This post, however, I specifically wanted to gear towards sellers. It is a sensitive subject, but pricing a property, which I am listing, is more important than any marketing I can do, or any service I can provide as a Realtor®/Listing Agent.

Yes, I can do outrageous marketing, but if the property isn't priced correctly, it won't show much, and it won't sell. The bells, whistles, photos, web marketing, print marketing, and videos won't really help anything. It is a difficult sometimes to explain this fact. I can present every comparable property, and still not penetrate what someone's idea of the price of their property should be.

I am talking on this subject with a broad brush, because there are those sellers, who are exceptions to this idea, and who are very realistic. Sometimes, there are those who need an upward adjustment, because they have not been paying attention to where housing prices have gone. However, the difficulty, is not with these properties and sellers, but with the over priced listings/properties and sellers.

So, looking for advice from other Realtors®, I put the word out on FACEBOOK and asked what they say to sellers, when the sellers are unrealistic about pricing their properties. I thought it might be helpful to hear opinions and statements from other Realtors®, in different places in the country, both for myself and for people either selling their property or thinking about selling their property. I received various responses, but they all shared a similar idea, expressed in different ways, and perhaps, hitting different points, as follows:

• Terri Gilgour of Keller Williams Realty, Blue Springs, MO said, "We put the ball in their court and make them figure out how important it is to actually sell it."
• Marcile Warren Sims of Oracle Real Estate LLC, Mobile, AL said, "Let them know that they have to get an appraisal once the offer comes in and it may not appraise and then there will be problems. If they still insist, ask them to have an appraisal done before listing it and that may answer their questions."
• Al Perry of Century 21 Advantage Gold, Philadelphia, PA said, "Given the other options on the market, would you buy your house at this price if you were a buyer?"
• Jude Birch of RE/MAX International, Louisville, KY said, "...RE/MAX Regional Awards this week with David Knox on pricing - he was his usual upbeat self but attacked the changing dreadful market both of us face. He took us through the SELL or STAY thinking he uses all the time...."
• Brian Bundesen, Ann Arbor, Michigan said, "Obviously, you have to be armed with the comparables. You need to be clear as to how an Appraiser will look at the property. Explain that even if you find a buyer willing to pay the sellers price, the house is unlikely to appraise at that price, and the buyer will be unable to secure financing. Then ask the seller what they would do if they were the lender faced with those facts."
• Eric Bouler, New Orleans, LA said, "You are basically unrealistic in your price. It's like selling a 50 cent coke on a cold day for a buck. You will get few buyers. You are hiring me to be an honest broker for you."
• Todd Holloway, Michigan City, IN said, "The question is do they want to sell now? Or are they waiting to realize a preconceive number? If that is the case can you afford to hold on?"

Thus, if there is someone, out there, reading this post, who is thinking about selling their property, what am I and these other Realtors® saying to you? To start, Al Perry is asking if you would pay "your price" for "your property". I think that that is a great questions. Would you? What is your answer? What would you pay for your property?

The other questions and statements are just as relevant. They hit a pretty simple theme:

• How are the comparable properties priced? And what is their condition compared to your property's condition?
  
• Do you want to sell or stay?
• Can you afford not to sell?
• Are you willing to take the risk, if you are lucky enough to get your property under contract, that the property will not appraise?

All of us, Realtors®, want to sell property; that is what we do for a living. If it does not sell, we don't make a living. However, we want to sell it for the best price. It is in our self interest to get the best price as well as your best interest. Therefore, if you are thinking of selling, and seem to disagree with your Realtor®, call another Realtor®, and have them do a CMA (comparable market analysis) for you. If the second or third Realtor®, tells you the same thing, then chances are the price in your head is in excess of where the property should sell. If you still doubt what you are being told, then do what Marcile Warren Sims above suggested, and get an appraisal.

Thank You! And Pricing a Property

I just want to take this opportunity to thank all of my FACEBOOK friends for following Bricks, Mortar and Cheesesteaks. Overnight, I have had a great response, and lots of comments on the NetworkedBlogs page. Thank you all!

Over the weekend, I would like to take the opportunity to write a post on PRICING A PROPERTY. Since, the majority of my readers are other Realtors, I am putting the question to you: What do you tell a seller when you think they are being unrealistic about the price they want to put on their property?


I look forward to your responses!

And again, thank you!

First-Time Home Buyer Tax Credit

Here is what you need to know:

1. Who is eligible? First time home buyers with modified adjusted gross income of $75,000 or less to qualify for the full credit and $150,000 for married couples, who along with their spouse have not owned a principal residence in the past three years.
   
2. When does the purchase need to be made? The home must be purchased on or after January 1, 2009 and before December 1, 2009.
   
3. What is the definition of a "First Time Home Buyer"? Someone who hasn't owned a principal residence for three years before buying a house. Owning a vacation home would not count against you. However, if your spouse owned a principal residence in the past three years, you would not qualify.
   
4. What type of purchase is the tax credit good for? A Principal Residence.
   
5. How much is the tax credit? It is 10% of the purchase price, which is capped at $8,000.
   
6. Does it have to be repaid? This Tax credit does not have to be repaid unless you sell your house in the first three years.

If you can qualify based on the above answers, it is a terrific time to buy. If there is any question in your mind about your qualification, call your tax professional for advice.

GOING GREEN

"Green" and "Organic" are words, which you hear quite often these days. I have been wanting to research and write something on the topic of a "GREEN" house or home, but have not had the time to do the research I felt necessary to get to the place I needed to be to write such a post.

A lot of what I have come across is someone trying to sell me something and not just good advice.
Today, however, I was given a gift, and was sent such an article, which I am going to link you to. It is entitled GOING GREEN WITHOUT GOING BROKE! from Safe and Sound Home Inspections. I hope there is a helpful hint here that makes a difference in your pocketbook.

Home Inspections & Home Inspectors

Tonight, I listened to Frank Wible's Real Estate Show on WNJC 1360 AM, Real Estate News Radio. He dealt with the subject of the HOME INSPECTION. I have written about home inspections here before in this blog, and I am sure I will write about it over and over and over again. The guest on the show was Brian Connelly, the owner of Safe and Sound Home Inspections, whom I have had a good experience with on two recent occasions.

The result of the first inspection, with Brian, was for my client to pull out of the contract and re-coup his deposit money. The second inspection resulted in renegotiating the contract and moving forward.

There were several topics that were of interest to me. I may be using the words: "First" and "next", but may actually have them out of sequential order. First, they discussed whether your Realtor should go to the inspection with you or not. I can answer this question. Unless, it is impossible, I like to be there. I have never missed one. In fact, I have attended more than a couple without the client, when the client could not make it. On the show, there was not agreement on the answer to this question. In all fairness, they had valid points on each side of the debate. The answer, for me, however, is that I will be there as long it is humanly possible.

There are several reasons I like to be there. Primarily, I like to get a read on how serious any issue might be. I feel like I may not get that same read from a report. I think it benefits my clients in negotiations for me to know first hand what the issues look like. Also, I want to make sure that estimates will be given for corrections needed. The estimates given for the corrections provide a better ability to negotiate some kind of agreement post inspection with the seller.

Further, I want to be at the inspection to see "how" the home inspector is relating to my client. I have had good experiences and bad experiences on this front. I had one home inspector only point out what was wrong with the property. He really upset my client. It was a beautiful home, and he forgot to mention anything good about it. The house was beautifully finished, and very high end. None of the problems, the home inspector found, were out of the ordinary or shocking. Everything was correctable, and would be able to be dealt with on some equitable basis with the listing agent and seller. But the delivery was such that it really frightened my buyer.

I have worked with one inspector more than a few times, who sits my client down at the end of the inspection and goes through the serious problems he has found, and then follows with everything good and promising about the property. I like this process, because it makes my client face the problems and reality, and then get back to what they loved enough about the house to want to make it their home in the first place.

They also discussed what a buyer should expect from the seller as a result of the home inspection. The answer to this question, in my view is very, very complicated, and I was going to address it tonight, but think now, that I will leave it for another time, because it is a complicated issue at many levels.

I will say, however, there are times when an issue is serious enough, and what I mean by that is "expensive enough to correct" that it does not make sense for the buyer to go through with the deal. What you need to make sure of is that your Realtor includes an inspection contingency in your offer for both home and wood infestation, and perhaps other inspections like Radon, Water, etc.. This offer, when signed and fully executed, will become your Agreement of Sale or Sales Contract. If you prepare your offer with these contingencies, you will be able to re-coup your deposit money if the inspections report something that is too expensive to cure.

Also, make sure when hiring a home inspector that the home inspector is willing to take the risk of giving estimates. Some inspectors are too concerned with the liability associated with giving estimates that they don't or won't give them. If they are not going to give you estimates, pick up the phone and call someone else.

The Very Basics of Social Networking - FACEBOOK

I know this blog is "off topic" for what this blog is entitled, however, I have been getting contacted a lot lately on issues surrounding Social Networking and what to do with a FACEBOOK account. I am probably going to ask more questions here than answer questions.

Social networking is nothing new. The only thing new is the fact that you can do it so easily sitting at your desk and looking at the computer. You no longer have to join organizations, clubs, etc., and go out and take the time to meet people in person. You can now do it all from the comfort of your desk or phone. I think, however, you must give some equality and the same consideration to what you are trying to achieve on the web to what you would do in person.

First, why are you on the web? Why are you on FACEBOOK? What are you looking to get out of it? I am assuming that if you are reading this entry, you are not merely socializing. If you are, my advice to you would be completely different than what is to follow.

Second, the photo... THE PROFILE PICTURE... please, please, please..... put up your photo. If you are trying to connect with people, it is far more effective to have a photo than not. People want to feel like they can connect and know you. It goes back to the old cliche, "a picture is worth a 1000 words". The photo stays in people's memories. When they see a message from you, that photo pops up in their minds. You become a face they know and with whom they feel comfortable. A generic silhouette just does not convey the same thing.

Third, what does your PROFILE PICTURE say? I see all types of photos on FACEBOOK. Some are fun. Some are serious. Some are clearly inappropriate. What are you trying to say? This goes back to the first set of questions. Why are you on FACEBOOK? If you are on FACEBOOK trying to promote yourself as a serious professional, is a shot in a bikini the most appropriate? (I suppose it depends on what you are trying to say, but.... )By the same token, and I know some people will not like this comment, if you are trying to promote yourself as a serious professional, is a shot in a bar, with your children, with the love of your life the best profile picture? There is plenty of room for these pictures in the photo tab to tell a story about yourself, and that is probably the best place for those photos. Let the picture talk about you. How would you dress if you went to a professional organization for a luncheon? I am not saying that it is the way you have to present yourself, but I think you must give it some consideration when picking the photo.

A FACEBOOK friend of mine actually had a profile picture, when we first met, of the back of his head. It was very funny. It caught my attention, and I knew that this would be someone I liked. Thus, I am saying to consider what the photo says, but it is more complicated than putting on a suit and going to Sears portrait gallery for a picture. The formal portrait works for some people, but not everyone. Humor can be as effective as a well taken portrait to get you noticed. You are marketing yourself. Remember that fact.

Then there are a few other things I would like to address: the wall, the email address, the information tab, and manners.

The wall.... be courteous to your friends. I have seen things like pictures posted on peoples' walls that are basically pornographic. I remember seeing one, where the woman, who was a Realtor, had a FACEBOOK friend post a pornographic picture on her wall. Even though I did not know this woman personally, it went against everything else she was presenting about herself. Don't do this kind of thing to your FACEBOOK friends. If you do, expect a complaint and to be deleted and possibly lose your account.

Also, on the wall. Some people will not allow anyone to post anything on their wall..... mmm.... I am not sure I understand this move. You are here trying to connect with people, right? Well, that goes against the "idea" of connecting. Only you can put up things on your wall. Is it just an advertisement? Perhaps someone can answer this question for me.

On the other hand, don't post spam on other people's walls. Don't post your website links, etc.. There are other ways to promote yourself through private messages, fan pages, invites, advertisements, etc.. It is poor form, and personally, I delete your entry immediately. If it is a link to something of mutual interest, etc., that is different.

Email addresses. You should collect them. You should post an email address. FACEBOOK will not allow you to export email addresses, so it takes some effort to collect them. There is a reason you are trying to connect with these people, so keep track of them. I am finding, however, that if someone is not willing to post an email address, I am reluctant to keep them as a friend. I look at their information and try to see what they are trying to sell me. If it is "all a sales pitch", then they will probably go, and be deleted. They are not trying to network with me, they are only trying to sell me. Personally, I am not interested in having this friend.

The information tab. Wow, people are all over the place with this tab. Some people have essentially no information and some people have a biography. I will not guess, which one is correct. What I will say, however, is that if you are using FACEBOOK as a business networking tool, do you really need to list your marital status, your religion and your political views? If it is somewhat connected to what you are doing, then I would say okay. But if it isn't relevant to your business, isn't saying your are there for "networking" enough? I have friends, which are turned off by religious and political statements, and will delete you just because you post these things. You probably would not mention marital status, religion or politics if someone came into your place of business, so why would you post it here? I do know others, however, where it is relevant. They may work with their spouse and want you to connect to the spouse too. They may be politically active and want you to connect with them on that basis. Even religion may be the connection, but give it good consideration. Don't casually give away this information about yourself.

Birthdays are another item that some people delete. I would leave them in. And for the simple reason that it is another chance to connect. Your name pops up on your birthday. People check birthdays and sometimes the date is something meaningful for them. It is just another opportunity to connect. It is another opportunity for you to come to people's minds.

The last item, which I will write about more in the future is manners and etiquette. If you make a connection, there should be a thank you or acknowledgement of that fact. If someone writes to you, respond. Of course, if they are sending you advertisements, applications, etc., do not feel you have to participate in any of these things. But if it is something personal, you should respond. If they are instant messaging you, I would say that you do not have to respond. People cannot demand that you are automatically available, because they are. However, it would be nice to acknowledge in a private message that you were sorry that you missed their instant message.

I want to assure everyone reading this entry that I have made many, many mistakes in this venue. However, I am sharing here what I have learned. And have more to share.

The last thing to remember is to check your FACEBOOK at least in the morning and in the evening. Keep current on what you are doing, or what is the point of doing it at all?