‘Magnify'

Your Commercial Buying Power

‘Free Service'

Did you know that when you buy a commercial building that your interests cannot be fully and legally represented unless you have an agreement with a buyer's agent?  Using a buyer's agent does not cost you anything; they will represent you alone and can assist you in all negotiations.  In a typical scenario, a consumer buys a commercial building from a sales agent that is listing that building and does not use a buyer's agent to represent them.  The buyer usually is told by the listing sales agent that they can assist them in finalizing the sales contract and the buyer feels as though they are represented.  However, in this example, the buyer is not and cannot be represented at all by the listing sales agent.  By law, this sales agent is representing the seller and cannot truly represent the buyer at all.  In this sales example, which is very common, the listing sales agent must act as a neutral agent to both parties.  So, in effect, neither party is fully represented or protected in this transaction.  This is why it is very important for a commercial buyer to be fully and solely represented by using a buyer's agent. 

A commercial buyer can use any real estate agent as a buyer's agent, but it is strongly recommended that you consider using a specialist buyer's agent.  A specialist buyer's agent has extensive construction experience and inspection expertise that allows them to identify and find a buyer the best quality, most energy efficient building at the best price.  Specialist buyer's agents are considered the experts in commercial buying because they know much more about construction and building features than any other sales agent. 

A specialist buyer's agent with construction and inspection expertise offers specialized services to a buyer that standard sales agents may not offer.  Some of these specialized buyer's services include:           

• A thorough building inspection walkthrough inside and out to possibly identify items or issues that  may need to be repaired or replaced
• Assist the buyer in price and features negotiations
• Assist the buyer in obtaining city inspection and survey reports for review
• Assist the buyer in obtaining the best financing
• Assist the buyer in recommending important inspections such as mold, termite, structural and mechanical

Remember, when you are ready to purchase your next commercial building, strongly consider partnering with a specialist buyer's agent who will fully represent and protect your buying interests and assist you in finding your next commercial property

Keith Worrel

Specialist Buyer's Agent

Advantage Consulting, LLC

(913)940-0395

 

Offer to Give Free "Real Estate Wisdom" Workshops

to Consumers & KC Companies

I am a specialist real estate consultant mostly in Johnson County, KS.  I was a custom homebuilder and home inspector for eight years which allowed me to acquire extensive real estate and construction experience.  

I am sharing with you some exciting new ideas I have for offering free onsite residential/commercial real estate advice/workshops to consumers and to companies in Kansas City.  I have been thinking about some new unique methods and ways to offer free ongoing consumer tips/advice either through onsite workshops and/or handouts regarding residential/commercial real estate topics and issues.  I am looking to work with organizations to offer these free tips/advice workshops and/or handouts to consumers and to possibly answer questions from consumers regarding real estate sales and building maintenance/energy issues. 

Kansas City is a truly unique city as to the building standards, materials used and building techniques.  It seems that businesses and homeowners are always looking for and needing valuable information about their buildings and real estate issues that can inform them in purchasing, building or maintaining their businesses and homes.  These new consumer real estate workshops/handouts can fill this need and could become a model for other organizations to offer their associates real estate advice/tips that can increase their business and home values and prepare them to make informed real estate decisions.  

When I was building fulltime, I offered free building seminars for consumers.  These free seminars helped educate and inform consumers and gave them opportunities to ask any questions they may have had about homes or real estate issues.  The attendees said they enjoyed them very much and received great value from them.  I was thinking that there is a much greater opportunity for organizations to offer free ongoing onsite workshops and handouts to a larger number of consumers giving free advice and tips dealing with home and real estate issues. 

By providing these free consumer real estate advice/workshops, consumers will be more informed and very appreciative of receiving free ongoing valuable real estate information that directly improves, maintains and affects their most valuable assets.  

Let me know if you and your organization would be interested in working together in offering these free unique, valuable real estate advice/workshops.  I would love to meet with your organization to come up with these free new unique workshops/handouts that will offer the most applicable consumer real estate and building tips/advice.

Thank you,

Keith Worrel

Advantage Consulting, LLC

Cell: (913)940-0395

Office: (913)780-9663

kcbuyersagent.net

 

 

Considering Buying a Home?

- Protect Your Buying Interests - 

Did you know that when you buy a home that your interests cannot be fully and legally represented unless you have an agreement with a buyer's agent.  Using a buyer's agent does not cost you anything, they will represent you alone and can assist you in all negotiations.  In a typical scenario, a consumer buys a home from a sales agent that is listing that home and does not use a buyer's agent to represent them.  The homebuyer usually is told by the listing sales agent that they can assist them in finalizing the sales contract and the homebuyer feels as though they are represented.  However, in this example, the homebuyer is not and cannot be represented at all by the listing sales agent.  By law, this sales agent is representing the seller and cannot truly represent the buyer at all.  In this sales example, which is very common, the listing sales agent must act as a neutral agent to both parties.  So, in effect, neither party is fully represented or protected in this transaction.  This is why it is very important for a homebuyer to be fully and solely represented by using a buyer's agent. 

A homebuyer can use any real estate agent as a buyer's agent, but it is strongly recommended that you consider using a specialist buyer's agent.  A specialist buyer's agent has extensive construction experience and home inspection expertise that allows them to identify and find a homebuyer the best quality, most energy efficient home at the best price.  Specialist buyer's agents are considered the experts in home buying because they know their products better than any other sales agent. 

A specialist buyer's agent with construction and inspection expertise offers specialized services to a homebuyer that standard sales agents may not offer.  Some of these specialized buyer's services include:

• A thorough home inspection walkthrough inside and out to possibly identify items or issues that may need to be repaired or replaced
• Assist the homebuyer in price and features negotiations
• Assist the homebuyer in obtaining city inspection and survey reports for review 
• Assist the homebuyer in obtaining the best financing
• Assist the homebuyer in recommending important inspections such as mold, termite, structural and mechanical

Remember, when you are ready to purchase your next home, strongly consider partnering with a specialist buyer's agent who will fully represent and protect your buying interests and assist you in finding your dream home.

Keith Worrel

Specialist Buyer's Agent

(913)940-0395

www.kcbuyersagent.net

As we continue in overviewing the new home building process, the next step is to have an engineer create a plot plan that is used to eventually stake the home on the lot.  Once the home plan is chosen, the engineer will draw the home dimensions onto the plot plan and also show the lot boundaries and dimensions.  This document is very detailed and will show drainage swales, easements and all minimum setback dimensions. 

This plot plan document along with the sewer permit will be a part of the application for a building permit from the local city or county codes department. 

Below, please see an example plot plan and its features.

Keith Worrel, KC Construction Specialist Agent

kcconstructionagent.com

 

In a typical new home or remodeling contract, the homeowner is given a set price from the general contractor for the entire project. If the homeowner agrees, from that point on it's up to the contractor to hire subcontractors, ensure the work is completed to their client's satisfaction and pay each subcontractor for all the work performed.

Although this is standard operating industry procedure, ‘Cost Plus Pricing' is an innovative and unique contract that is a great alternative for the homeowner.

Keith Worrel, owner of Advantage Construction & Consulting, says that ‘Cost Plus Pricing' really gives homeowners more of an opportunity to be involved, informed, flexible and much more protected throughout the building or remodeling process.  "This is a whole different avenue in building or remodeling," Worrel explains, "where the homeowner has much more control over every specific aspect of the job."

A custom homebuilder in primarily Johnson and Miami Counties for the past seven years--now specializing as a construction real estate agent and consulting on remodeling jobs for kitchens, basement finishing, siding and windows--Worrel explains that the typical process is for a general contractor to meet with the homeowner, find out what they want and give them a total cost, sans a specific cost breakdown of each job aspect. The homeowner then pays the contractor either a high percentage of the total cost or the full amount up-front, and the work begins.

However, if, for some reason, any of the subcontractors are not paid in full by the general contractor, the homeowner could be responsible for ultimate payment to the subcontractors or the subcontractors could put a lien on their home.

Worrel is quick to point out that he is not disparaging or disagreeing with other builders or remodelers who work in the traditional pricing fashion. "That's just how the construction business has traditionally done contracts, and still does, for the great majority of construction projects.

However, the ‘Cost Plus Pricing' concept means it's the cost of the house or remodel job, plus a consulting fee (usually 15-18% of the total project cost), and all costs and fees are agreed upon upfront.  "The difference is that because all subcontractor costs and supplier costs are disclosed, the homeowner is aware of who's getting paid and how much. There are no hidden costs or fees. This creates more of a comfort and trust level between the homeowner and contractor/consultant, because the labor and material costs are known."

Another important benefit of ‘Cost Plus Pricing' for homeowners is that by paying the subcontractors and suppliers directly-the drywaller, lumber company, plumber, etc.--they only pay for services completed to date, and can ensure that all aspects of the project are paid in full. "This means that the homeowner doesn't have to pay for tasks not yet completed," Worrel explains. Worrel also protects homeowners by using only subcontractors that will provide proof of liability insurance for each construction project.

Worrel has experienced great success when applying this concept to his new home and remodeling projects. In fact, all of his clients in his Olathe neighborhood where he built most of the homes chose the ‘Cost Plus Pricing.'

Alternatively, ‘Cost Plus Pricing' gives homeowners a great deal of flexibility within the process. "I bid out the project the way it is if we hired all the work," he said. "The homeowner can then look at the cost estimate, and say for painting we bid "X amount," they can say, ‘I want to do it myself.' Or if, for example, their brother-in-law is a painter...fine with me."  "I break it down so they can see the costs. But ultimately, it's their house and their call. And, it usually eliminates a lot of miscommunication issues."

Worrel also contends that in today's real estate market place, people buy "pizzazz" and the lowest estimated cost, possibly without all of the necessary and important details. However, they rarely ask questions about the foundation, framing techniques and quality, material types and sizes, insulation and so on. Yet these are some of the most important aspects of any project, and details that will sustain the integrity and beauty of the home for years to come.

"I do quality work and offer unique and flexible services. I want to be very fair upfront, let homeowners feel confident and more protected by not paying too much ahead, have more involvement and hopefully get what they really want."

For more information about Advantage Construction & Consulting and ‘Cost Plus Pricing', contact Keith Worrel at (913) 780-9663. Advantage Construction & Consulting is a member of the Kansas City Better Business Bureau.

Fast Facts

Company:      Advantage Construction & Consulting

Services:       Construction sales agent and home remodeling with ‘Cost Plus Pricing'.

Contact:       Keith Worrel at (913) 780-9663 or kworrel@sbcglobal.net

 

This is usually the first step in the new home-building or room addition process.  The homeowner either finds an existing homeplan or meets with an architect to design a true custom home plan or room addition. 

For new home-building, the homeowner could find a stock homeplan for sale from many different sources.  There are many companies that offer these stock home plans for a very reasonable fee of around $1,200.00.  You can search the internet for these companies or the homeowner could contact local architects to see if they offer stock plans for sale.  Even though you can save some money by buying a stock plan, the possible drawback in buying a stock plan is you very rarely find the perfect home plan that has all of your requirements. 

If the homeowner designs a custom plan, this will typically be an iterative process.  It may take 3-5 meetings with the homeowner and architect to get the plan just right.  But it is very important to make sure all the homeowners' requirements are identified and documented.  The typical cost of a custom home plan is around $1.50 a sq. ft. of total home square footage. 

One other note, most cities now require room addition and home plans to be stamped by a structural engineer.  This stamp will confirm that the home is designed to meet all minimum structural requirements of the national building codes. 

I hope this information is helpful.  The next step will be the lot plot plan and lot surveying.

Keith Worrel, KC Construction Agent

I am very new to the internet blogging world.  I recently created my first blog stating that I will over a period of time blog on different steps in building a new home and overviewing the home building process.  Well, I just received my first comment back about my first blog.  Much to my surprise the comment was about me as a custom home builder and how many liens/suits I had been involved in.  

Because of this comment, I now have another real estate topic to write about.  I want all homeowners in Kansas to know that at any time, anyone can file a lien on their home or any other home for any amount of money.  This lien will stay on the property title insurance for a period of one year or until the person who filed the lien tries to collect the lien amount in court. 

When I began building custom homes in Johnson County, KS, I was quite trusting of clients, realtors and sub-contractors.  I have pretty much lived by the rule that when you agree to do something, you follow through with that agreement per the terms.  Well, shortly after I began building, I found out that a sub-contractor in Johnson County, KS can file a lien against a home at any time and for any amount of money, whenever they want to.  Sometimes sub-contractors will file a lien against a home they were working on even before their work was completed just to have a backup plan if they do not receive payment for their total bill.  Sometimes sub-contractors or realtors will file a lien against a builder or homeowner to try to receive more money for work they performed than the amount of what was agreed to in a contract. 

Needless to say, when this first happened to me as a custom home builder, I was shocked.  All the time I built custom homes, developed sub-divisions, performed whole house inspections, I always treated people openly and honestly.  When a handful of liens were filed against me as a builder over seven years, I very much felt as though I was taken advantage of by a faulty court system in Kansas.  But after talking with other real estate professionals, they all said that's just the way the system is in Kansas, we just have to live with it.   

In summary, just be aware that anyone can simply go to a Kansas County Courthouse and file a lien for any amount against any other homeowner.  Do not be alarmed or feel that you are at fault.  Ultimately, almost all liens filed this way are canceled after one year because the filing party will not attempt to collect the lien amount because they truly do not have any grounds for collecting the amount in the first place. 

I hope this information was helpful for homeowners in Kansas.  I would be interested to hear from other homeowners in other states as to how their states handle liens.

Keith Worrel, KC Construction Specialist Agent

 

 

 

 

When I was building custom homes in Johnson County, KS, I developed a home-building presentation and facilitated 5 new home-building seminars to consumers.  The attendees seemed to very much enjoy the information they received.  Now that I am a full-time construction specialist real estate agent, I feel it may be of value to provide to consumers fairly detailed new home construction information in my blog over a few months period of time.  I am planning to present the construction steps in pretty much the order that they would be completed when building a new home.  I will also try to blog on other important construction/real estate topics like: energy features/tips and R-values; exterior siding options; framing lumber quality and sizing and concrete features/tips.