Archives of real estate blog entries for December 6, 2006

Featured blog posts


Where Did it Go? The 1% Rule!! - 10:55 PM
The 1% rule.  There are various 1% rules.  As a matter of fact, going through the blogs on AR just this evening, I spotted a blog discussing a different 1% rule.  The one I'm talking about involves investment property.  SIMPLY PUT - the monthly rent is equal to at least 1% of the purchase price of the property.  BASIC EXAMPLE - you buy a home for $100,000 and the monthly rent is $1000.
I would like to think that this was the dominant rule in Real Estate Investing prior to the latest boom (likely driven by historically low interest rates).  More specifically, … (26 comments)

YO...K an' A! - 09:43 PM
Lets take a mental road trip away from Chicago for a few moments and travel back thirty years to the intersection of Kensington and Allegheny Avenues in the north Philadelphia neighborhood of Kensington. A guy I knew from college lived there and when we went home for Thanksgiving break the autumn semester of my first freshman year (don't ask) the first thing he screamed into the cold, fishy air when we stepped off the elevated platform and into the ghetto was YO...K an' A! ... one fist raised to the sky and the other clenching the strap of his worn army … (15 comments)

Sherman and Broker Bryant mount up for battle! - 03:57 PM
I woke up today in such a good mood. My Seller, mentioned in my last post, received his money late yesterday afternoon and I had a pretty light schedule today. Then I read my E-mails only to find that our MFRMLS rules have just been changed and the rules relating to Range Pricing have effectively been altered enough to make this technique worthless. Now folks, if you have read my posts, you know that Range Pricing is what I do. I have used this technique on all of my listings for 12 years and have been very successful with it.
Below is … (91 comments)

One More Mistake and I'll....... - 03:26 PM
I have been working with the same title company for a few years.  The guy that owns the company is a good friend.  There have been little mix ups from time to time....no, that's not right....on most files.  I have tried to just let it go.  I caught them before it was too late.  No harm done.
Today's little mix up was that the buyer was paying the commission on top of the purchase price, according to the HUD.  The HUD had been sent to my attorney, the lender and the lenders attorney, plus me.
I have been prospecting the attorney that had … (25 comments)

WE REAP WHAT WE SOW. - 01:36 PM
It appears that Michigan has rolled over to the FTC and will permit FSBO listings in the MLS.   Eileen Landau brings us the latest.  MiRealSource Succumbs To FTC Pressure. Back in the "good old days", when we saw a FSBO sign, we drove right by.  Back in the "good old days", FSBOs relied on the newspaper or yard signs to sell their homes.  They rarely succeeded and eventually listed the home and got it sold.  Things were good.  Now, with the competition for listings, due, no doubt to the proliferation of licensees, one out of every 230 persons in the U.S., … (14 comments)

Make It Personal: No, There's No Template To Follow - 01:17 PM
I am new to the blogging world. I guess you could call me a "late blogger." But I've been reading other blogs for a good long time. I know what I like when I see it. Apparently, what I like is not unique to me. There are some common elements to a successful blog that apparently lots of people are attracted to. The one element that is common among all the myriad of different styles of writing and topics for discussion is this, the ones that allow us to see into their personal life, the ones who have found a voice … (52 comments)

How to write a blog that generates leads - 09:28 AM
You’ve probably heard of Dale Carnegie’s now famous book, How to win friends and influence people, well, that is exactly what you need to do on your blog. You need to win buyers and influence sellers. Consider your blog a tool to market YOU. In order to influence people into contacting you and feeling compelled to use your service over every other real estate agent in your area, you must establish 3 things:
you are like them(people like people they can relate to)
you understand them(people like people that uniquely understand their problem)
you are an expert in your field and can solve their problem(people trust … (48 comments)

Real Estate Virtual Assistants: The Ultimate Guide PART 2......Creating a Virtual Action Plan Before You Delegate! - 03:38 PM
 
  
 
 
 
 
 
Guide Part 1~ In this guide I posted some basic tips about the dynamics that VAs strive to achieve in their relationships with Real Estate Professionals. (REPs) I was pleased to see Jeff Belonger add his comments. He asked why I hadn't put in more details of the actual administrative and personal support tasks that we offer. I hope this can bridge that gap! Enjoy!
 
When it comes to deciding to delegate parts of your business to another person, a partner, not only is it important to to know what qualities you would like … (27 comments)

We are the 1% Rule! - 07:11 PM
A comment made on my blog this morning let me to Ben McConnell and Jackie Huba's blog this morning and the elucidation of the 1% rule which I feel is well demonstrated by the ActiveRain community. For those who have not heard of the 1% rule (I hadn't heard about it until this afternoon) it is as follows:
The 1% Rule: Roughly 1% of your site visitors will create content within a democratized community.   
Essentially this means that for a given online social network, 1%of the visitors will stop to creat a profiles. The extention to the 1% rule is the 10% … (7 comments)

No Leads in the Blogosphere? - 06:46 PM
Jim Cronin of the Real Estate Tomato published an interview today with Greg Swann of Bloodhound Realty.  Greg is a frequent contributor to his own BloodhoundBlog.  I have visited both of these blogs on a daily basis and and enjoy them very much.  The interview titled, "Straight from the Hound's Mouth" is certainly an interesting read.
Here's what really got me thinking.  Jim asked Greg, "If you were to recommend one blogging strategy for new real estate bloggers, what would it be?" 
Greg's response was, "Depends on the objective. If you want leads, don't weblog."  I also got the impression that Greg … (43 comments)

How to Avoid The Dark Side of Real Estate - 07:27 PM
It is no secret, I have struggled the past two years with finding my niche as a Realtor.  Especially going out and being a solo agent after being part of one of the most successful team's on the Island, State and even country for one of the big Real Estate franchises.   I had no idea that the company you are with could have such an impact on your career.  Or the fact that the team I worked on prepared me well for the business of Real Estate, yet in the context of a well run and managed team.  Not for the … (68 comments)


Blog posts


Straight From The Hound's Mouth - 02:29 PM
Greg Swann's voice reverberates through the real estate blogosphere, come have a look inside his mouth.
I asked Greg for this interview not just because his writing style is pure prose, nor because I knew his responses would be most polished, but because I feel that he has a great understanding of what he is doing, with every effort.  It is that understanding that I wanted him to share with my audience, aiming to bring some clarity on how his rise to popularity in the real estate blogosphere has come to be.
To read the full article and interview of one … (7 comments)

Would you believe this really happened... - 09:07 AM
Last evening my cell rang with a call from a "Credit Repair Company ".  I didn't get the company name but the caller mentioned that they are in business to help me get more business by working with loan applicants with credit challenges!  I asked how they might help and among the items he listed was " removing bad scores" and  " adding positive ratings".  Those phrases caught my attention as being somewhat of a red flag.  I asked him to give me some specific examples of how they could do these things.  His answer was that they would challenge any … (1 comments)

Arlington Heights closed sales - What do the numbers tell us? - 04:02 PM
Below are the closed transactions for 2005 and 11 months of 2006 for Arlington Heights, IL per the mls. As you can see there has been a 10% drop in closings for the current year. This number is only part of the truth in my opinion. Less homeowners are selling by owner which has increased the number of recorded sales in the mls for 2006. This means the numbers actually look better then they really are.
Also 2006 started off as a great year with 27 more units closed by the end of March then in 2005, that's a 34% increase. After … (5 comments)

Joint Escrow Instructions - 08:05 PM
 
A few years back, when California Association of Realtors (C.A.R.) made a major overhaul of their standard form purchase contract, the form became a "Purchase Agreement and Joint Escrow Instructions".  I thought (and still do) this was a great idea.  If the purchase document  also serves as escrow instructions, it eliminates the problem of an unintentional conflict between "boiler plate" verbiage in the purchase contract and "boiler plate" verbiage in the escrow instructions.
Most escrow companies copy the C.A.R. contract, add their own three or four pages of instructions, and that's that.  There are a few hold-outs, though:  Escrow companies that have decided NOT to … (2 comments)

How to Avoid The Dark Side of Real Estate - 07:27 PM
It is no secret, I have struggled the past two years with finding my niche as a Realtor.  Especially going out and being a solo agent after being part of one of the most successful team's on the Island, State and even country for one of the big Real Estate franchises.   I had no idea that the company you are with could have such an impact on your career.  Or the fact that the team I worked on prepared me well for the business of Real Estate, yet in the context of a well run and managed team.  Not for the … (68 comments)

Attention Newcomers to Active Rain..... - 10:13 PM
Okay, all you newbies to Active Rain, this post is for you!
I'm sure if you have been on this site for at least a couple of months you have been reading all the numerous posts about Confusion both in Groups and general navigating of Active Rain.
The owners of Active Rain are attempting to put out guides on all these things, and in the process of doing this, they are soliciting comments for ideas.
The community of Active Rain are all posting blogs also soliciting comments for ideas.
So my question to you as a NEWCOMER is what do you think?
What would have been … (46 comments)

A Simple Tip..May save you some Time! - 11:36 PM
 
Has this ever happened to you?   
You get all involved writing a comment of some length to someone's very interesting post. You hit the submit button and for some unknown reason... your comment is GONE!
You've spent a fair amount of time composing and summarizing their excellent words of wisdom. Oh, darn, can I capture those words again or do I just say "nice post" and move on to the next blog?  Uh uh! No way!
There is such a simple solution:
Before you submit;  <Ctrl A> is select all.  <Ctrl C> is copy, and <Ctrl V> is paste.. They will be there for you.
Nothing … (20 comments)

Sherman and Broker Bryant mount up for battle! - 03:57 PM
I woke up today in such a good mood. My Seller, mentioned in my last post, received his money late yesterday afternoon and I had a pretty light schedule today. Then I read my E-mails only to find that our MFRMLS rules have just been changed and the rules relating to Range Pricing have effectively been altered enough to make this technique worthless. Now folks, if you have read my posts, you know that Range Pricing is what I do. I have used this technique on all of my listings for 12 years and have been very successful with it.
Below is … (91 comments)

Boat Parade Update - 12:30 AM
Tonight I met up with my dad to help put up more lights and can we say "Christmas Vacation"? There are about 5000 thousand lights on the boat with a 10 foot Christmas tree on the bow. We were testing everything out so we don't blow any breakers and the generator can keep up with all the power draws.
Last year, minutes before the parade and competition, the boat was blowing breakers and we couldn't figure out why. Dad went into the engine room to locate the problem. While down there though he noticed the bildge was filling up with water and … (3 comments)

Seattle Seahawks and week 14 - 02:27 PM
This week the Seahawks continue to their road trip in Arizona. Coming off a big win against the Devenver Broncos last Sunday night they need to maintain pose and not get over inflated. In my post Seahawks beat Broncos 23-20 I discussed the details of the game if you like a recap but the main highlights where the Hawks didn't play in the first half and then dominated the second.
Arizona is going to be a challenge now that Leinhart is gaining his moment. He is going to become a very great quarter back IMO. To win this game the Seahawks will … (2 comments)

10 things to NOT do - 09:19 PM
I just got home from our annual state association leadership conference.
As usualy it was an interesting meeting full of new stuff, goals for 2007, strategic planning, and a couple of committee meeting along with 1 super speaker.
Here's a list of the 10 most common things Tennessee real estate licensees have been sued for lately. A good "10 things to NOT do" list. ;-)
Failure to disclose defects; i.e. leaky roof, building structure, wet basements, etc.Failure to disclose termites, pests, vermin, and damage caused by those critters.Misrepresentation of square footage or boundry disputes including easement and encroachments.Mistakes in the contract, advertisements, … (6 comments)

Botnets and Other "Silent Epidemics" - 11:54 AM
I just received an email newsletter, from one of the webmaster-targeted promotion services, that you automatically receive if you do any web registration online, such as submitting your site to a search engine.  I'm receiving copies of mailings for every email address I ever used to register a site.  It reaches spam proportions... but I digress.  The articles do have occassional information that are of interest to me, so I allow a few to get past my email filters. The most recent one I received contained an article, entitled "The Silent Epidemic of Botnets", attempting to heighten awarenes and spread the alarm about how insidious and widespread the … (5 comments)

Submission Criteria Clarification - 08:45 PM
I'm in the process of tightening up some of the criteria for submissions to the Commerical Real Estate Group to insure that we stay focused as a group.It has caused me to re-evaluate my own previous submissions, whereupon I discovered a prior post of my own that did not fit into the "strictly commercial criteria" and was forced to remove it -- even though I thought it was a great article and it could be useful to anyone, including commercial brokers.Please make sure that any posts you submit are related directly to or discussing some aspect of commercial real estate.  If you have submitted prior posts, … (3 comments)

Military Resources Available Online - 10:48 PM
Here are resources available online to military personal and their families. Military Resources - Links of interest to military personnel in all branches and more!   Military SpecificRelocationPersonnel/RecordsNeighborhoods / CommunitiesSchoolsHealthcareRecreationGovernment DataGeneral Interest / GlobalAdditional Military Related Blog Articles: Military Please feel free to add to the list.  If you are expecting a transfer to or from a military installation in the Southern New Jersey area, including military personnel, governmental and civilian employees connected with military installations in the South Jersey area, please consider our services if you will need to sell your home and/or to buy a home.   Click here to Contact Us And please visit: South Jersey … (4 comments)

Where Did it Go? The 1% Rule!! - 10:55 PM
The 1% rule.  There are various 1% rules.  As a matter of fact, going through the blogs on AR just this evening, I spotted a blog discussing a different 1% rule.  The one I'm talking about involves investment property.  SIMPLY PUT - the monthly rent is equal to at least 1% of the purchase price of the property.  BASIC EXAMPLE - you buy a home for $100,000 and the monthly rent is $1000.
I would like to think that this was the dominant rule in Real Estate Investing prior to the latest boom (likely driven by historically low interest rates).  More specifically, … (26 comments)

The Intimidation Factor...Step Outside Your Comfort Zone... - 10:17 AM
As some of you might know from reading my posts, much of my area is surrounded by higher end homes.  At first this used to intimidate me (and it still does to an extent).  I don't know whether it's the people, the homes themselves or the thought that these people could buy and sell me a million times over (not literally, of course).  Call it self-esteem, or whatnot, but it took an agent I worked with to say something that has stuck with me ever since..
"THERE'S NO DIFFERENCE IN SELLING A MILLION DOLLAR HOUSE THAN A $100,000 HOUSE"
Of course, you might … (2 comments)

Homeowners Warranties... Are they a good thing? - 07:31 AM
What about Homeowners Warranties?
When negotiating a deal I suggest to my buyers to ask for a Home Owners Warranty from the sellers.  It's sense of security for the buyers.
In return I always suggest to my sellers to offer a homeowners warranty to buyers, again it creates a sense of security.
But I also tell my buyers about a personal experience I'd had when purchasing a home with a homeowner's warranty. One of the first things I suggest they do when they get into their new home is call a good heating and air conditioning company and have them service the furnace and air conditioner.
When my … (3 comments)

Happy Holidays - 09:08 PM
I finally had the time this evening to get the 15 boxes of holiday decorations out of the attic.... whew what a chore.  But each time I do it, it's like the holidays all over again!  Opening boxes of trinkets, decorations, SANTAS etc. that all have a special meaning to me!!
I'd like to take this opportunity to wish each and everyone of you the Happiest Holiday Season EVER!!
Enjoy your family and friends and all those that you are close to!!
May you all be blessed with some precious memories!
… (5 comments)

Disclosures in Financing 13 - 02:40 PM
Disclosures Required by California Law
It is federal policy to ensure fair housing by prohibiting discrimination based on race, color, religion, sex, national origin, marital status, age , or physical disabilities in connection with the sale, rental, construction, or financing of housing. Many state laws are passed to supplement federal legislation.
The Holden Act which is formally known as the Housing Financial Discrimination Act of 1977 prohibits the discriminatory practice known as Redlining. Redlining is an illegal lending policy of denying real estate loans on properties in older, changing urban areas. Usually in these urban areas there is a high concentration of … (1 comments)

Disclosures in Financing 14 - 03:14 PM
Holden Act of 1977 (Continued)
The Holden act effectivley encourages increased lending in neighborhoods where, in the past, financing has been ulitmatley unavailable.The major goal of the Holden Act is to ensure and increase the supply of safe and decent housing for creditworthy borrowers and to prevent long term neighboorhood decay. To ensure that prospective borrowers are aware of their rights under this federal legislation, lenders must notify all applicants of the provisions of the Holden Act at the time of their loan Application.
Lender Compensation Disclosure
 The Lender Compensation Disclosure also known as the Commisioner`s Regulation 2904 requires that all real estate licensees must disclose to … (0 comments)

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