Kristen Leep's Blog

It's Good to Live in a Home With Soul

Kristen Leep (The Real Estate Company) — Mon, 28 Aug 2006 21:08:03 -0700

I bought a new house about a year ago, and just moved into it about 3 months ago. I wasn't really looking to move from my old house, but I knew this house was unique. I am the 4th owner of this architcet-designed (Evans Woollen III) home which was built in 1958 and featured in the book "99 Historic Homes of Indiana". The first owners lived here for 8 years. The second owners lived here for 37 years and raised their family here and the third owner never moved in. I am the fourth owner.

Last week the mother of the family that raised her kids here (the husband has passed) stopped by to check on the house while she was in town and introduced herself. I gave her a big hug and she told me she was so glad that someone that appreciated the house was living here. I would've invited her in, but I was on my way out the door.

The next day her daughter stopped by with her 3 kids as I was on my way out the door to a reinspection (they have questionable timing) to show her kids the house she grew up in. I politely explained that I was on my way out, and I gave her my card and told me to give me a heads up next time she was coming to town and I would have her family over. The kids checked out the property and thought it was really neat to see how excited they were to see the house their mom was born in.

I know that I have a responsibility in this house to keep the architect's vision alive, as well as the vision of the family that lived here for 37 years and made all additions and changes with the help of the original architect.

You can take your 3,000 square foot CP Morgan home in the 'burbs for $119K. I'll take a home with soul and good memories any day,

Always Have the Last Word

Kristen Leep (The Real Estate Company) — Mon, 28 Aug 2006 20:58:45 -0700

I don't remember where I read it, but I think it is really wise.

"Never let the communication end at your desk."

So, basically, if someone sends you a lowball offer, always counter. If someone asks you a question, be sure that you communicate the answer back to them. Always be the last one who has "spoken". That way if something happens, it's not on you. You know you tried. You know you were reasonable. You know you made the effort. Get the ball out of your court- volley it back.

It's a really simple thing to implement if you don't do it already.

Why I hate Internet Explorer (inspired by Joel)

Kristen Leep (The Real Estate Company) — Thu, 24 Aug 2006 15:12:24 -0700

I saw Joel's entry about Point2 and I could not agree more. As a Mac user and as a user of several alternative browsers, I am often frustrated with the proprietary software needed to use several real estate tools. As more people start to use different operating systems and gravitate away from the security issue laden Internet Explorer, I find it to be really irresponsible for services to require the use of a specific browser.

Currently, I have a Sony VAIO laptop that I have to use to access ZipForms and, luckily, I am now able to connect to my MLS using a virtual Citrix connection provided by my MLS. I hope to have a new Intel Mac Book at the beginning of next year, and hope to get rid of my VAIO. I am not a productive person when using a PC. My fiance actually does PC tech support at a local university, and I don't click on weird links from people I don't know, go to spammy, browser-hijacking sites, and I still end up with weird issues.

I evaluated Point2 and Agent Xsites. Both require the use of Internet Explorer to edit your site. Even worse, I used Firefox on a PC to view my demo Xsite and it looked completely wonky.

I just see it as lazy to make someone use proprietary software to access your site. Sites should be built for usability across all platforms- for the end user and for the business buying the service. There are enough crosss-platform programming languages that there is no need to make these sites proprietary. Plus, as more people shift away from the Winows world and towards less problem-laden operating systems (mainly because they haven't been targeted), where does that leave the customers?

I have been a Apple/Mac user for 20 years though, so I am used to having to compensate and I have had to become ambidextrous when it comes to my operating system knowledge. In fact, I think it's part of what has made me who I am- very adaptable.

I just wish that programmers would get a little less lazy and think about the usability and the future of their software. Latching onto a browser that is losing market share due to its usability and security issues seems very irresponsible and without long-term thought.

How do you get two people to agree?

Kristen Leep (The Real Estate Company) — Wed, 23 Aug 2006 23:53:06 -0700

I often work with couples buying a home in Indianapolis- mostly because my sphere is at that age where they are getting married or buying a home with their partner. The hardest thing to do is to get them to compromise on what they want. I often will ask each of them separately what they want in a home. Things that make both lists definitely make our list of needs. The couples can usually agree on things like the number of bedrooms, number of bathrooms, basement, garage, etc. But I always seem to run into problems when it comes to the architectural style or condition of a house. Usually one of them likes "new" stuff and the other is into "older" style. So, we have problems going into some houses and deciding if it's the right one.

The last buyers I worked with in Fountain Square just could not come to an agreement on what they wanted in a home. I knew they wanted 3 BRs and at least 1.5BA a garage and a basement and appliances included, but she liked a newer kitchen and hardwoods and he cared more about price. We ended up finding a home to fit, but the condition was less move-in ready than they were hoping for. They were definitely becoming forced to make a decisio, as their lease was coming up for renewal or termination.

Do you have a magic trick for getting people on the same page? I always tell them that it's something they ahve to discuss because it will impact their relationship or marriage. I can't do the deciding for them. So, tell me your techniques for getting two decision-makers to come to an agreement.

Charitable Acts

Kristen Leep (The Real Estate Company) — Wed, 23 Aug 2006 23:00:15 -0700

My father is a very Christian businessman. He's a car dealer and he donates 10% of his profits to charity each month, to various community services and organizations. It's in the budget that way, and has been from the day the first profits came in. Now, some people would look at that and think, "Why would I give 10% away?" At the end of each month, he asks the CFO, "What's the tithe?" To him it's better to hear what he's investing in the community than to hear what he's making. Now obviously, he can do a rough calculation in his head to know that if he multiplies the tithe by 9, he has his profits. He knows exactly what is going back to the community every month and knows that because of that 10% going out into the community, he is able to reap 9 times that (and more, really).

I'm a huge believer in karma. I totally believe that we put energy into the universe that resonates back our way. What a good way to invest in your karma- and your community! I see my charitable giving as a necessary part of my business expenses.

I Will Do a Jig if This One Closes

Kristen Leep (The Real Estate Company) — Wed, 23 Aug 2006 00:23:21 -0700

So, in the last transaction I closed, I learned more than a few important lessons. On the same transaction in Fountain Square I described in my last post, I spent a lot of time putting myself in the shoes of the listing agent and the seller. The day before closing the listing agent told me, "I will do a jig if this one closes." While I could share her sentiment, I was really PO'd that she used the owrd "if" the day before closing. I let that roll off my back, and after getting off the phone I thought about what I would have done in her situation with her seller.

I think a pre-inspection would have helped this situation greatly. I am a big fan of pre-inspections, especially in this buyer's market (which has been the case in Indianapolis for years in most areas, unlike some of your areas that are just now transitioning to buyer's markets). It helps the listing stand out in a crowded field of homes to choose from, and also assures the buyer of the condition of the house. It assists the seller in that the repairs can start being done on their terms, by a qualified contractor of their choosing- plus they have more time to get a variety of estimates on the work and have more time to wait for the right contractor. It also gives the seller an idea of the scope of the work that the buyer may likely request and to help decide how to market the house.

It's hard to say what would have happened if the seller in Fountain Square had done a pre-inspection. Obviously, they would have had to disclose any defects found in the pre-inspection. Had they had a pre-inspection, they would have known that the cost of repairs was going to be about 5% of the purchase price, an amount that would potentially make buyers walk away. The seller then could have chosen to market the property as-is, at a lower price, to a smaller field of buyers who would be interested. However, without the pre-inspection, the seller has the chance that the buyer will choose a brick-kicking crappy inspector and many of these issues won't be caught.

I have thought about this and decided that if it were my seller, I would have recommended a pre-inspection. Aafter getting the inspection report and seeing that the cost of repairs would likely equal 5% or more of the purchase price, I would have recommended selling the property as-is and providing a copy of the pre-inspection.

Are you using pre-inspections and how? What would you have done in this situation as the listing agent?

Inspection Woes

Kristen Leep (The Real Estate Company) — Tue, 22 Aug 2006 23:43:00 -0700

I recently had a transactionwhere I represented the buyers in Fountain Square in Indianapolis where the seller was in a tough financial situation and we agreed to a purchase price that was basically equal to his mortgage payoff. Then we got to inspections. That is where the real fun started. We agreed to put off closing for 3 weeks so that the repairs could get done, and the buyers could get everything they were asking for done by from what we understood some qualified friends that would be helping him out. Basically by the time the repairs would be done, he would be bringing money to the closing table, which he was already close to with the purchase price.

The closing was a week out and I called the listing agent to see when we could schedule the reinspection. She told me the repairs would be done last Wednesday, so we scheduled the reinspection for Thursday morning. Neither I, nor the buyers were able to make it to the reinspection, but we trusted the inspector and knew he would do us right. He called me after the reinspection and told me that nothing was done and he couldn't check the plumbing issues since the water had been totally shut off. He also said the the contractor was there and replacing the window with the broken sash. Well, I called the listing agent and she was dumbfounded, and I went to the property to find that indeed, nothing had been completed and the window that was supposed to be repaired had been replaced in the biggest hackjob I had ever seen. I always carry my digital camera so I snapped tons of pics of the incomplete items and emailed them to her when I got home. Here are my favorites:

The mold on the baseboard of the closet behind the bathroom- I have never seen mold grow so thick!

The replacement window that looked like someone traded a case of beer to a hobo to do the job

She forwarded them to the seller and he immediately decided to fire the contractor (who didn't have anything done that he was supposed to except the window) and decided to get an estimate from a dfferent contractor- the day of closing. After speaking with my broker, we decided that the best course of action was to write up a purchase amendment that held the money in escrow until my buyers got a reinspection after the new contractors had finished the repairs and they released the money to the contractor for the completed work. The new contractor starts tomorrow and I will be visiting the home to make sure all repairs are done to our specs, especially the mold remediation.

Lessons learned:

1.) Always carry my digital camera with charged battery and memory card- a good way to go through life anyway. Especially important in Real Estate, where the graininess of your camera phone just won't cut it when documenting defects.

2.) Always get a reinspection