Bring it on! I am ready!

We need the snow! Many businesses depend on real winter weather. The snowmobile dealers, cross- country ski shops, and sporting good stores, are getting busier as well as the towing companies and body shops! Muskegon Lake is getting frozen over and we will soon have people flocking to the waterfront in Norton Shores and North Muskegon to get out on the ice and catch some nice fish. Of course, Whitehall and Montague will have their fair share of shantys out on White Lake as well. Of course, the Winter Sports Complex at the Stae Park is really hopping now!

Not only is the winter weather good for these businesses, it is also good for my garden. Snowflakes bring nitrogen down and helps replenish this valuable nutrient. Come to think of it, it is almost time to start planning my garden and starting some tomatoe plants!

The snow and cold also bolsters my confidence in the head of steam our local economy is gaining. Homes in West Michigan are continuing to sell even though the roads are sloppy or icy. Buyers are still looking at homes and sellers are still putting their homes on the market. Nice homes, priced right, do not last long. Buyers have to be on their toes to catch them before they are gone. Banks are still supplying us with some REO properties they have foreclosed on but not as many as in recent years. Less inventory helps to stabilize prices and this is good for everyone as well. There are plenty of short-sale properties to chose from if you want a real deal and can afford to wait for an extended time.

Be sure to stay warm! Keep your hands warm and get ready for a Hot selling season come Spring!

If you are one of those sellers setting on the fence waiting for prices to climb before you sell, don't wait too long!

Prices have always went up and down and I believe we are at the bottom and beginning the long slow climb out of this lousy economy in Michigan. I don't think it will be anything fast but I have witnessed a 3% climb over the past year in residential real estate here in West Michigan.

Not only are prices stabilizing, Interest rates can hardly go any lower and most likely will begin to climb as well. The difference between a 5.5% loan and a 4% loan on $200,000. is about $180. a month and over $65,000. over the life of a 30 year loan. Now is the time to get on the band wagon before the prices are climbing along with the interest rates!

Many think homes are setting on the market forever getting stale. This is no longer the case with decent, well priced homes. The nice homes, priced right do not languish on the market needing a buyer. The respectable homes that are priced correctly are selling rather quickly. The rough homes that are not priced according ly do hang around for too long waiting for a buyer, who, most likely these days, will be an investor and will snatch it up with a low-ball offer.

Here is a link to a search for homes in North Muskegon and Norton Shores.   http://tinyurl.com/6lncncv

Let me know how I can help.

Back in September CoreLogic posted a report telling of a decline in Shadow Inventory (distress properties that are in danger of being, or in the process of being foreclosed). They went on to explain that this is keeping home prices down. Don't tell anyone but it doesn't seem to be holding the prices down in West Michigan.

The total number of sales in Muskegon County during the first nine months of 2010 was 1447 with a slight decline to 1432 sales in the same period in 2011

The average sale price in Muskegon County in the first nine months of 2010 was $80,799. with an average of 89 Days On Market.

The average sale price in Muskegon County in the first 9 months of 2011 was $83,522. with an average of 93 Days On Market. This is more than a 3% gain.

The good news is that prices are continuing to climb. The average sale price from Sept. 1/2011 to Oct. 12/2011 is $93,441. which is a $15,000. gain over last year at the same time.

With interest rates at an all time low, inventory of homes for sale is not what it used to be and soon we will hear two words we have not heard in a long time, "Seller's Market."

Here is a link to see the average homes on the market in Muskegon County. http://preview.tinyurl.com/   I realize not everyone needs the average home. Give me a call or a text and I would be happy to set up a search for that home that truly fits your needs.

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I believe Realtors must be the most optimistic people on earth, especially here in West Michigan.

My grandpa sold real estate in Muskegon back in the '30s and '40s. My dad sold real estate and was one of the top producers in Muskegon County back in the '70s and '80s. I waited to get into the business until it was taking a nose dive and I really enjoy this business but at times it can be quite discouraging and I begin to wonder. But then the next day dawns and with it a good prospect or two show up and business looks good again. They may be looking for a waterfront home on Lake Michigan, Bear Lake or in Whitehall or Montague. They may want some hunting land in Newaygo or Oceana County. They may be looking for a nice home in North Muskegon or a small parcel of ground in Twin Lake. They may be looking for, or ready to list a piece of commercial or industrial real estate. It doesn't mater what their need is. They give me a smile on my face and I am ready to Sell! Sell! Sell!

Looking back I realize that many of these "Good Prospects" never pan out to much, and in fact, many times they are a total waste of time, energy and gas. Do I feel sorry for myself? Do I complain because I did not get paid? Do I get turned off on the business over it? No. I continue on with a smile on my face and I am ready for the next deal that comes my way. I may not be paid in dollars and cents but I certainly have my commission!

I couldn't believe it when I heard his say that.
Does it even make sense?
Are there that many people invested in oil that it would be healthy for everyone else to dig deep to get to work, school, and stay home during vacations?

I find the phone rings more when the prices are lower. Real Estate all over West Michigan moves better when the price of fuel is lower. People come from all over to enjoy our fabulous beaches and rivers. Waterfront is a large draw for tourism. We have some of the best beaches on Earth!

In Muskegon, Norton Shore and the White Lake area around Montague and Whitehall the Commercial & Industrial market seems to move better when gas prices are reasonable. We need more businesses creating more jobs. Not rich people putting mopre away.

Have I missed something? It just makes sense that there will be more cash flowing throughout the economy if we are not pouring it all in our tanks.

and thousands of transactions are killed each year using the same weapon!

I stole this from a trainer I am working with. Paul goes on to say, "Why sell a house with Blah, Blah, when you could sell it with Blah." In other words, say as little as possible, and listen.

I have always tried to be attentive when taking a class but another instructor actually "Demonstrated" listening skills in a way that I could comprehend it. Gwyn illustrated the process by holding her hand behind and above her head as a parrot would perch and explained that the "Parrot" needs to repeat to me everything that is said. The "Parrot" needs to continually repeat everything and I have learned that this keeps my mind from wandering and has gone a long ways in helping to improve my listening skills.

Listening is a skill that needs to be practiced. It is more than standing there attentively, it is actually hearing and absorbing the conversation. Yes, listening well is more than one party talking and the other hearing. It is a conversation between people. In order to listen well, I try to nod my head and give other body language that conveys the fact that I hear them and am understanding what they are saying, not just hearing them.

Commenting is also part of good listening skills. Agreeing or disagreeing is part of it but asking good questions is also an important part of listening. Restating their position is helpful as well. I may restate a phrase they just said so they may confirm that I do understand what they said, or correct me if I am not quite on track.

A good indication that someone is not listening is if they are interrupting. When someone is interrupting it shows that they have not been listening at all but have been formulating a response to something stated a while back. This is something that I work on regularly. I catch myself considering interrupting every once in a while and I have to pause, relax, and listen. It is a challenge at times but well worth it.

Arguing is another way to lose credibility. If someone tells me they want to buy an REO property that has been foreclosed I don't flood them with information trying to convince them that many sellers have acknowledged the market and are priced to compete with bank owned homes. I strive to show them that some homes, with an real, live seller are actually priced reasonable may not be as cheap up front but may be in a lot better condition and a better deal in the long run.

A friend from grade school was usually quite. When someone asked why he was so quite, Robert explained that if he listened he would learn what I knew and when he added that to what he knew, he was twice as smart. I always liked that response and tend to keep my mouth shut when I don't have something important to say most of the time.

I have learned that I make better use of my time by asking good questions and listening to the replies. People know what they want and do not need me to tell them.

I look forward to your comments. I am listening!

How can I be late on my house payment?

Last year, like a lot of home owners in Muskegon County, and all over West Michigan, I received a notice that my property taxes had been lowered. Cedar Creek Township realizes that property values have declined and they must have decided acknowlege this.

I also had a power boat and I sold it last fall. The insurance on the boat was a rider on my home owners policy. As soon as I sold the boat I canceled the insurance and figured this would decrease my escrow account for my taxes and insurance by a reasonable amount.

Early in January I received a letter from my lending institution stating that my payment amount would increase by only a little over $10. NOW WAIT ONE MINUTE! How can this be? My property taxes were less and my home owners insurance is less but you decide to charge me MORE?!!! This just doesn't seem right.

Since Cindy and I both sell real estate it is a challenge from time to time to make ends meet. Making our house payment takes top priority but sometimes there just is not enough money to go around. Yesterday we received a check in the mail for an amount more than one months mortgage payment. Apparently the escrow account had too much money in it.

I hear all the time that lenders are trying to work with home owners to reduce the number of REO (Real Estate Owned, aka, Bank Owned homes). Why do they make it more difficult to make the payments instead of being honest and only billing for the amount they need? Is this some new Christmas Gift program they have designed?

This brings up several questions:
Did I receive interest on my money? Am I due to be reimbursed late fees I paid? Can I send in 12% less on my payments now and be current?

 This just doesn't make sense and is one more example of how inept the lenders are. No wonder banks are in trouble. This is nothing new though. I suspect something is not right every time I pulled up to an ATM machine. It asked me to enter the amount I want in dollars and cents, but will only spit out cash in $10. increments! And then it is also labled with braile! My Grandpa was blind. I am so thankful I never saw him pull up to an ATM!

I believe it was Zig Ziglar that stated: "If you help enough people get what they want, you will get what you want." I like that philosiphy and that works for me! This is especially important when helping people who are in trouble with their homes. I can't imagine how people expect people to shell out money for help when obviously they are already short money. With that in mind, I will try to help you understand your options so you can decide what works best for you.

Many people with perfectly good credit have lost their job and have seen their income reduced to a fraction of what it was. Once this happens house payments get more difficult to make and pretty soon the lender is calling to try to get the payments. This usually adds to the stress and seldom helps. Obviously if the homeowner had the money, they would make the payment!

First let me clarify some terms.

• Borrower - Usually the Home Owner
• Bank - Most likely you went to a local bank when you borrowed the money to purchase the house.
• Lender - Many times it is Fannie Mae, Freddie Mac or Ginnie Mae. Most likely it is one of these businesses that hold the note. That is the loan that secures the mortgage on the home.
• Mortgage - The note that secures the loan.
• Note - The mortgage that secures the loan.
• Foreclosure - This is a process by which a lender may take possession of a house when the payments have not been made.
• Bank Owned - A house that has been foreclosed.
• REO - Real Estate Owned - Bank owned homes are REO.
• NOD - Notice Of Default - Sent out usually when a loan is more than 90 days past due.
• Loan Modifications - The lender may modify the loan. Reduce interest, Reduce Payments, Reduce Principle, Refinance, Extend the loan to cover amount in arrears.
• Arrears - The amount the payments are behind.
• Upside down - Under Water - The Note or Mortgage is more than the house will sell for.
• Equity - The amount the note or Mortgage is less than what the house is worth.
• Sheriff Sale - An auction where the property is offered at auction to the highest bidder. The lender may bid the full amount of the note.
• Redemption Period - A period in which the home owner can pay the amount bid at the auction and redeem the property. In Michigan it is 6 months. If it is 3 acres or more, it is 12 months.
• Short-Sale - Selling a house for less than is owed on it. This needs approval from the lender and it usually takes several months. This is a better alternative than being foreclosed upon.

Next I will post the steps and some possible solutions.

Have a good day!

Looking for some West Michigan real estate market facts?

Here is a graph showing the number of single family home sales in Muskegon County from 2005 through 2009.

In 2005 we sold 2353 homes. 2006 was the high point when we sold 2626 homes.

2007 we were down to 2139 homes but in 2008 we sold only 1892 homes.

In 2009 we were climbing again when we sold 1974 homes.

Below is a graph showing the Average Sale Price of Single Family Homes in Muskegon County that sold through a Realtor from 2005 through 2009.

In 2005 the average sale price was $112,343. It slipped to $108,470. in 2006 and slipped even more in 2007 to $102,682. It plummeted almost $30,000. from the second quarter of 2008 through the first quarter of 2009 when hit a low of $63,784. and ended up 2009 with an average sale price of $82,086. This is mostly due to the flood of bank owned foreclosed properties flooding the market but also sellers realizing they have to price their home right to get it sold.

 Waterfront and luxury homes were not as affected and actually have been quite strong.

I will post data on that in the near future.

It didn't take me long to learn what I feel is the most important single word in the real estate business. I have been in the business less than 4 years butI am always listening. I listen to agents rejoice when they finally get a deal closed. I listen when they lose a deal, and I listen when they just want to quit. I listen a little when someone is bemoaning the latest bad news prediction, and I listen a little when they are crying about the economy.

In all of my listening I have picked up one word that is always applicable and I will never forget it. It doesn't matter if I just closed a deal that was a piece of cake, or if it was the worst short sale in history. It doesn't matter if I just landed a listing that I have worked on for a year and a half, or I had to walk away from an over priced listing. It doesn't  matter if I just had a listing pulled so they could afford to sell it on their own and bring less money to the closing. It doesn't matter if they want to work with someone else. You ask, What is this word that always applies?

NEXT! 

-- 
Brent Link, CRS, e-PRO REALTOR
Coldwell Banker Woodland Schmidt 
Office (231)737-4004  Fax (866)334-2775  Cell (231)206-2772  
Mailto:Brent@LinkRealtor.com
http://LinkRealtor.com
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