Real Estate Snippets

Cancelled Listings

My mind is off on a tangent.  Maybe it's an uprising.   Maybe the frustration level has reached its breaking point.  Maybe the straw on the proverbial camel's back has been placed and the camel's back is broken? Maybe it's not really a trend at all, just a fluke.

Regardless of whether it's a trend or fluke, it's unusual to request showings and get a response saying the agent is cancelling the listing.  One agent's response to me regarding the cancellation was that the lender/owner of the property has not given a response to her 18 phone calls and 3 offers that were submitted for lender approval three months ago.  She's unwilling to work with someone who is unwilling to work with her in return!  (I think I agree with that one!).  Two other bank owned listings in my tour of 10 were also canceled by the agent.  It's hard not to combine these cancellations with comments over the water cooler:  "That lender is so frustrating.  They still haven't made a decision and the offers have been in for 4 months."  "Don't the mortgage companies know this is a good offer?  What are they waiting for?"  "I'm never going to list a short sale again."  "The lender got an appraisal for $190,000 on this house and it will be lucky to sell for $125!", etc.

Is it possible that these St. Paul real estate agents have had enough of the stalling?  Is it possible the amount of work put into a short sale is being weighed against the reduced commission the lender requires?  Is it possible they're following through on their threats never to list a short sale again?  The lenders , and buyers, need not worry because there are always agents willing to take up the slack.  The short sales will continue to be listed for sale.  From my perspective, though, my mind can't help but wonder why so many cancellations from one small tour.

Busy Real Estate Business

It's been one of those weeks.  My desk isn't quite as bad as the picture, but my brain probably is.  I'm thankful for the business.   Two years ago, there wasn't any real estate business.  Work is good, but this week was piled with it.  The problem is compounded by the week being a day short.

So what did I accomplish this week?  Nothing but what is normal for every St. Paul real estate agent:

1. Create three comparable market analyses.
2. Take pictures of two properties for pre-listing information
3. Process a new listing and get it on the market.  Install lock box.  Make copies of seller's disclosure.  Create brochure.  Order sign install.  Set up listing with appointment scheduling company.
4. Attend a buyer's inspection.
5. Negotiate a buyer's offer.
6. Create 3 virtual tours with photos
7. Follow-up with new prospects explaining the home buying process.
8. Follow-up with client on property that closed 2 weeks ago.
9. Tenant management at my rental property including 2 middle of the night calls for overflowed toilet.
10. Process paperwork to convey copies to title company, lender, and my office.
11. Deliver copies of purchase agreement and earnest money check to listing company.
12. Attend a house warming for clients who purchased their home in February.
13. Set up auto e-mail searches for new home buyers.
14. Attempt to pin down a short sale lender so they accept my buyer's offer.
15. Order a truth in housing for another listing.
16. Order a city inspection for a rehab project.
17. Attend office technology training.
18. Write blog posts.
19. Dig in the garden
20. Rub the dog's belly.
21. Rescue my Webkinz from dying of neglect!

Maybe there's a reason why I'm so tired tonight!

In Memory of the Protectors

Geese are fascinating creatures if one ignores the great green logs they leave in the grass for unsuspecting travelers to step in.  They fly in formation when they migrate, each following in the draft of the one that goes before.  When the leader tires of breaking through the wind for the others, s/he falls behind and another takes the lead.  When one of the flock is tired, sick or injured and leaves the sky entirely, two others join the injured one until s/he recovers or dies.  The ones who have stayed to console then return to the air flying in formation once again to help one another survive the long trek to fairer climes.

The picture above reminded me of another attribute of geese that we can all respect.  They are family oriented being loyal to their mate until death and ever watchful of their goslings.  The little furry feather fluffs can constantly forage for food while the adult watches protectively over them. 

Somehow, for me, this protective quality of the adults and the peacefulness of the grazing little ones connected with Memorial Day.  I am thankful for those who fought before my time for a country of freedom and a place in which we can live and work peacefully.  I am thankful for the genius minds that created our governing documents and those who lost everything so we could live out their dream.  Even today, the protectors are ever watchful of our freedom.  Their sacrifice is great and they deserve our tribute.  My thanks go out to those who have and continue to serve our country in this brave manner.

Real Estate Continuing Education Meanderings

Minnesota real estate agents are required to complete 15 hours of continuing education every year for their license renewal.  In addition, every two years agents must complete an hour each of agency and fair housing.  Every four years St. Paul real estate agents must take 4 hours of ethics.  It's impossible to be in real estate and not be exposed to agency, fair housing, or ethics.  My personal theory is that agency, fair housing, and ethics cannot be taught.  I believe that right treatment of other people comes from deep within as a heart response rather than a head response.  I do believe the laws can be taught so one who wants to act rightly can conform to the law, but the desire to act rightly still comes from within.

Having opined about what is taught, it's interesting to note little statements that were made in my St. Paul continuing ed class this week.

1. REALTORS® (members of the real estate trade organization National Association of REALTORS®) have the lowest average income of any licensed profession in Minnesota.  (I would have liked to see the source for this statement as I know "teachers and preachers" are pretty low on the continuum, too.)
2. Real estate is the career of last choice for many.  (Again, what is the source for this statement?  Do I fall into this category because I had to break down my own stereotypes about real estate agents before I would practice real estate?)
3. A professional is anyone who has done the job well and performed as promised.  Now this I can agree with.  I consider the person who cleans the toilet or digs a ditch well, and as promised, to be as much of a professional as a doctor.  I often think of this when viewing pictures of my house being slid down into a 10 foot hole by a "simple truck driver"!  I think not!  That person had expertise and skill not many would even venture to learn!
4. The most respected profession is medical doctors.
5. There were 35,000 licensed agents in 2006, 28, 000 in 2007, and expected to dwindle to 22,000 at the end of 2008.  It seems real estate is not the place for the weak of heart or for gold seekers.
6. Minnesota has only 3 industries with fiduciary responsibility:  attorneys, real estate brokers, and mortgage brokers.
7. Fiduciary responsibility is the highest level of service that can be given to another person.  The "agent" (read attorney, real estate agent, or mortgage broker) acts in the best interests of the principal (the client) and acts on their behalf to perform the legal instructions given by the principal to the agent.  Principals make the decisions, not the agent!

Fiduciary responsibility (item 7) is why I'm in real estate in St. Paul.  I take pride in being a "professional" (item 4) real estate agent, but item 7 defines my purpose.  I am not a salesman trying to convince a customer to do something they don't want to do.  I LIKE looking out for my client's best interests!  I LIKE using my experience and training to give my client an edge!  I LIKE trying to find that perfect home and then negotiating that perfect price!  I LIKE the challenge of following through on the principal's legal instructions.  I LIKE keeping confidential info confidential!  Yep, fiduciary responsibility is my big WHY for real estate.

Art Work?

I wonder if the person who painted the graffiti in the first picture will grow up to be an artist like the one who created the second and third pictures.  Clicking on the photos will enlarge them.

Dayton's Bluff Vacant Home Tour

Without a doubt, the St. Paul Dayton's Bluff neighborhood registered vacant building home tour was a success.  More than 100 people toured the homes on Saturday and the count was not final for Sunday's tour at the time that I left.  From the home owner's perspective, the tour may not have been a success, because I didn't see any purchase agreements being written, but that doesn't mean they won't be! 

There were a couple reasons I chose to do the tour even though as a licensed real estate agent in St. Paul, I could easily have set up "previews" to go through the homes myself.  First, it was important to support this neighborhood attempt at moving homes off of the registered vacant building list.  When the people who toured the homes tell others how nice some of the buildings were, it will encourage buyers to check out the vacant homes as well.  Secondly, I was curious as to how St. Paul REALTORS were involved in the tour. 

There was no disappointment on my part.  Whereas some of the nicer condemned homes were chosen for the tour, the goal of showing what was available for a reasonable price was reached.  Not a lot of disclosure was made regarding the ramifications of being on the registered vacant building list.  Only one house talked about the cost of fixing the property so it would no longer be condemned.  For those with savvy, buying a house for less than $70,000 and adding $30,000 for fix-up isn't a bad deal.

My second goal of "spying" on my colleagues marketing ploy was met as well.  There was NO hard sell from any of the agents.  Not all of the houses had an agent in them.  Some houses were only "guarded" by active neighbors.  The most marketing I saw was a stack of cards on a card table.  I was impressed.

The crowd was composed of some amateur rehabbers and others that were just curious.  The crowd included my husband who left a house asking me if I thought it would be worth our while to buy that house for a rental!  This coming from the man who tried desperately to prevent us from buying our first rental property many years ago!  His auditor mind was doing numbers as we walked.  "How much do you think . . . ?"  Aaack!  I have created a monster!!!! 

Tax Day 2008

It was my first experience with delivering taxes in downtown St. Paul.  The only other time I've been unfortunate enough to mail taxes after closing time was in Minneapolis.  That evening was truly an event as we lined up by the downtown post office at 11:00 PM.  Literally, there was a line like rush hour passing the mail bins slowly in front of the post office. 

The post office in downtown St. Paul had it figured out yesterday.  There were employees with fluorescent vests and big rolling mail bins a block north of the regular boxes and additional employees on both sides of the street in front of the post office so those going both east and west could avail themselves of curbside service from your friendly mail carrier.  The employees actually stepped into the street and reached across passenger seats to get those tax returns from the filer!  What a service! 

The traffic didn't stop long enough to get a focused picture.  It was quite a system to observe.  My real question is which bin did my taxes go in?

A New (or Is It Old) View on Finances

There's an entertaining little book being read recently.  It's not your ordinary book, but a collection of parable like stories from the richest man in the city of Babylon, at one time the richest city on earth.  "The Richest Man in Babylon" can be easily read in one sitting or picked up like a Reader's Digest to read a bit at a time, but it is full of wisdom and good advice about finances.  This sage advice is very relevant for our time when the economy seems topsy turvy and consumers are nervously realizing how precarious their financial situation is. 

The decision to suggest "The Richest Man in Babylon" to my readers was affirmed while reading Sam Glover's Caveat Emptor.   Sam asks, "What Would You Do If You Lost Your Job?"  That question was right in my face when my husband experienced two lay-offs in the last 4 years.  Thankfully, we had learned SOME of the rules of gold taught by "The Richest Man in Babylon".  Sam Glover touched on two in his blog post.  To discover the rest, check out the "little" book. 

George S. Clason authored "The Richest Man In Babylon" published by BNPublishing.  I've finished it and still don't know if the book was transcribed from original tablets found in archaeological digs from Babylon (I'm guessing not) or if that tale is part of the fantasy of the entire book.  Nevertheless, in the book the king of Babylon recognized that too many of his people were poor and hired the richest man in Babylon to teach how to become rich.  (Well, duh!) 

Arkad, loyal subject of the king and the richest Babylonian started his lesson:

"The first storehouse of my treasure was a well-worn purse.  I loathed its useless emptiness.  I wanted it to be round and full, clinking with the sound of gold.  Therefore, I sought every remedy for a lean purse.  I found seven . . ."

If you're struggling with how to get out of debt or how to save a down payment for a house, I highly recommend "The Richest Man in Babylon".  The seven remedies for a lean purse are simple to hear, take commitment to apply, but can produce wealth for those who forebear!

Happy Easter

 

Real Estate Clients

Sometimes my St. Paul real estate clients don't reveal themselves until after they've purchased a house.  It's fascinating to discover the hidden talents behind seemingly normal people who behave themselves quite nicely while shopping for houses from my car.  Such is the case with the gentleman in the picture.

The closing was last summer on his house.  The buyers joked about a practice room for the "boys", but it seemed to be just a joke.  Unbeknownst to me, the band Chosen Robot was the "boys" and their practicing was serious rather than a joke. 

Tonight I was privileged to attend a Chosen Robot concert at Station 4, a club at 4th and Sibley in lowertown St. Paul.  As the clubbers would say, clubs are not "my scene", but Chosen Robot did not disappoint me.  It was a delightful evening watching my "normal" (normal is only a cycle on the washing machine) client in a persona that surprised and entertained me for the evening.

Just imagine what I would miss if I had a desk job!