You Are Never Really Prepared to be Unemployed

This week Eastman Kodak filed for Chapter 11 Bankruptcy.  It was not a shocker, as their turmoil has been reported widely for a long time.  But, there is something revealing about the event to make it news worthy.  Eastman Kodak, started in 1878 by George Eastman, was an icon of American ingenuity.  The idea of taking a strip of cellulose, coating it with a photo sensitive material and providing photography to the everyday masses, made Kodak a Dow 30 stock for many decades.

My Kodak Moment

I had been with Eastman Kodak for over 15 years when I received a call from my manager requesting I meet with him in October of 2000.  Not an unusual event.  As we sat across from each other, Kevin began to tear up.  Kodak was going through it's ninth round of layoffs since I had joined them and I was aware of what was about to happen.  

"Rick, this is difficult, but our division is laying off 180 employees for budget purposes."  One hundred and eighty represented about a third of our division.  How did I win a seat on the bus out the door?  My salary, travel and expenses.  As a Regional Marketing Director, my travel and expenses alone were about a $1,000 a week.

But, This Blog is About What To and What Not to Do When You Are Unemployed

The first thing you have to get over is the shock.  It was not a shock to be told I was unemployed, but it was a shock to be unemployed.  There is a difference.  When I was told my number was up, I was not totally surprised since lay offs and been an ongoing event.  But, told on a Friday and getting up Monday with nowhere to go was when reality set in.  Especially when you love what you were doing.

• Tip One - Don't hide your head in the sand.  Go online and find a checklist of activities to find a new job.
• Tip Two - Face the Budget.  You have so much money and you have no idea how long you will be on the search.
• Tip Three - Pay attention to your housing.

So Does the world, or World Wide Web, need another web site?

Not likely, but I do and for that fact my local community does.  The new web site is totally dedicated to short sale and education about the risks of allowing a house to go to foreclosure.

The housing crisis has not abated in Florida and is still one of the most distressed areas in the country.  The Seven Myths of Short Sales continue to linger.

There is a ton of free information on this site as well as a new blog that will keep current information on short sale information.

This site is part of the Certified Distressed Property Expert (CDPE) platform.

And, everybody reading this can help me help others.  In order for this site to be found, I am asking for some Search Engine Optimization (SEO) assistance by simply clicking this link:  

www.redbaronshortsaleace.com

Thanks for helping me and I hope this will benefit others.

Remember in the movie "Pretty Woman," the shopping scene?  One of the great lines was ... "Big mistake, big, huge."  If you don't remember, Vivian Ward (Julia Roberts), the street lady hired by Edward Lewis (Richard Gere), had been run out of a fancy clothier on Rodeo Drive, in Hollywood, in a very rude way.  The next day Edward took Vivian shopping to a different clothing shop and spent an "obscene amount of money."  We catch up with Vivian after she left the shop with her new goods.

Big Mistake, Big, Huge from Rick Frissell on Vimeo.

Often I hear people say "I am going to just let the house go back to the bank, my credit is ruined anyway."  Big mistake, big ... huge!"

A foreclosure leaves open the possibility of a deficiency judgement.  Maybe a "huge" deficiency judgement."  Let's take a look at this short video on deficiency judgement:

Learn more about foreclosure and other options from the Red Baron Short Sale Ace.

There was a time when short sales existed and nobody had ever heard of them.  The reason was that it was rare that someone could owe more on their mortgage than the house is worth.

A client of mine bought a house in 2008.  He was aware that home values could continue to erode, but he was not concerned because this was the house that he and his wife wanted and were going to stay.  But, three years later he is presented with a divorce request.

He told me that as his high credit score, with the "perfect marriage" were about to evaporate, he began to sort of disappear in the office as far as socializing, in fear of someone asking what was going on with him.

Then one day, he called me and told me that the "water cooler" talk was about short sales.  Everyone was teaching each other about how the short sale process worked.  The more he opened up, the more people he found that were in the same situation.  But, he also said that there were many misunderstanding about short sales.

The video below titled "what is a short sale" is short and to the point.  And it is a better explanation than the one at the water cooler!

You will find more free information about short sales and the short sale process on my web site www.redbaronshortsaleace.com.

Notice in the headline title the word "will" and not "could" is used. The probability is that it will!

As a real estate agent in the Tampa area market, I frequently hear prospects or clients use the "Z" word, Zestimate.  When Zestimates arrived in 2006, I would have squirmed a bit.  "Well, if the computer says your house is worth that much, my CMA (Comparative Market Analysis) must be wrong.  My visit to your house, Mr. Prospect, the analysis I did of your upgrades and the adjustment I made for the double wide trailer behind your property must be wrong.  Let's go with what your computer has told you."

There is nothing new I can add about the risk of AVM's (Automated Value Modals) that has not been blogged before.  Nothing except, maybe the public is starting to get it.  An article in the Wall Street Journal entitled "How to Figure the Fuzzy Math of Internet Home Values" illustrates the frustration homeowners and buyers experience with AVM's.

The article mentions the issue of a 20%, plus or minus "confidence" score, as the AVM disclaimer.  What the article missed is a visual example.  Everyone can do the math, but in case one does not and it is not illustrated, we miss the dramatic possibilities.  So, here is how it works:

                                                AVM Estimate:      $200,000

                                                20% error factor:   $ 40,000

                                                Accuracy range:   $160,000 to $240,000

Now, I ask you ... would you make a buying or selling decision of a "guesstimate" with an $80,000 spread?

CMA's are free!  Let me say that again.  CMA's are free!!  Before you decide the selling price you can expect, invite an agent to your house and discuss the ways to prepare and market your house at a price that is realistic.

A similar blog you might enjoy:

"Finding the Right Agent Does Not Have to be a Game of Cat and Mouse!

The Dreaded Phone Call

The phone rings, I answer "Hello, this is the Red Baron Realtor ...." I can hear the defense in their voice as they speak. "Eh, Hi, eh yes, eh I am looking at one of your yard signs."

Red Baron: "Yes sure, which one are you in front of?

Caller: Hesitation, as if an answer will reveal way too much information.

Caller Thinking: Must give that info if I want to ask a question.

"Well, I am over on 123 Main Street." Now with a quicker pace to not give any time for the agent to start a sales pitch on the house. "I wanted to know how many bedrooms it has?"

Real question: "How much is it selling for?

Red Baron: "It is a four bedroom."

Caller: "How many square feet?"

Real question: "How much is it selling for?"

Red Baron: "It is 1580 square feet."

Caller: "Well, how much is it selling for?" Ah, the real question!

Red Baron: $165,000."

Caller, afraid they have been on the phone too long and it is probably being traced, hurriedly responds "Okay, that is all I wanted to know, thanks." CLICK.

Finding A Good Agent Will Make Your Real Estate Life Easier

There are a lot of people that take on one the biggest financial decisions they will make in their lives believing they can do it all by themselves on the internet. Well, maybe that is true. So, how much money does the buyer save? Not a penny! Agents are not paid by the buyer, but by the seller. So is there a risk to passing up this free service? Well, how about negotiation? How about house history such as sink holes or Chinese drywall. How about announced price drops of a house viewed, but was too expensive at the time?

Which is the right agent for you?

This is a great time to get the record straight. The "Dreaded Phone Call" exists because of a fear of being sold. Do NOT begin a relationship with an agent afraid all they are is a sales person that is out to get your name on the dotted line. Rather, adjust your thinking that you are hiring them the same way you would any professional. Here are three suggestions that will make your home shopping a less pressured event.

1. Check their resume. Do you have a name of someone or a local broker? Enter their name in a Google search and see how many different links come up from their name. You want an agent that is active on the internet and you want to read their blogs to get to know them and what they are all about. Have they published articles and do they show knowledge and dedication to their trade? You don't need an agent that is simply going to drive you around an open front doors for you.
2. Meet and interview them. So you found someone that has a lot of experience. Are they the right one for you? Does everybody mesh together? Are they willing to work for you as your hired consultant or are they in fact only interested in "selling you something."
3. Define the mutual expectations. What is the agents response time on phone calls and emails. Find out so you can hold them to it. How available is the agent for showings? This is important to know for both the agent and the buyer. A good agent is not going to be available if you call and say you are in front of a house and can they come by and show it to you. Determine, mutually, the best way to work together.

A good agent would likely guide you through steps two and three. If being interviewed and putting a plan together that meets your needs is foreign or not important to them, you might want to keep shopping ... not for a house, but for a good agent.

Enjoy the contry while close to Fishhawk Ranch in Lithia, FL!

This historic home has been remodeled and is ready for someone to enjoy.  Keep ... or get a horse and still take the children to the Fishhawk sports complex for soccer or lacrosse. 

This house in on 1.8 acres of land, but two adjoining lots are available for purchase as well with a total of 5 acres available.  The house will be completed soon, but an interested buyer can still add some options and colors at this time.

Please click the banner below for a video and information:

Luxury condo located at Hidden River in Tampa, FL.  This unit is located on the third floor with a panaromic view of a conservation area and the treasures of seeing wildlife.  Yet, it is only 2.8 miles from the campus of University of South Florida and close to I 75.  Rest assured with the gated community and while enjoying the pool jacuzzi and club house.  Or work up a sweat in the fitness center or sauna.  In to shopping?  Find great deals and treasures at any one of three malls within a 10 minute drive at either The Shops at Winegrass, Westfield Brandon or University Mall.

Cleck Address below for details: