NC Foothills Real Estate Blog

Moving to the Country

Raine Carraway — Tue, 19 Feb 2013 08:09:38 -0800

The Grit recently published an article on being a good neighbor in the country that is a good read for those looking to move to a rural area.

I thought I'd share it because it rings try for a lot of the more rural communities I've lived in and it may help people moving from larger cities fit in.

You can read it at the link below.

9 tips for How to Be a Good Neighbor - thegrit.com

The views expressed in this blog are those of the author of the post, Raine Carraway, and of the comment posters respectively, and do not represent the views, policies, or opinions of any company or brokerage firm I am or have been affiliated with, any Association of Realtors, or any other person or entity other than the original author. Blogs may be reposted, with attribution and a link back to the original post, or "re-blogged" via ActiveRain.

It's Realtor Not "Real-I-tor"

Raine Carraway — Thu, 10 Jan 2013 15:27:11 -0800

This came across my facebook feed & I had to share it here:

How Much Do You "Censor" Yourself On Social Media?

Raine Carraway — Mon, 25 Jun 2012 07:49:41 -0700

I think most of us have heard the advice to never say anything you wouldn't want repeated or printed on the front of your local newspaper, and that goes double online where things seem to be archived forever.

In a business setting, I have heard that extended to say that you should never write, post, or email something that you wouldn't want all your clients and/or your boss or broker to see.

That makes a lot of sense, but I wonder how it plays out and how it effects people now that social media like Facebook has created a lot of overlap in many people's online social and business circles.

The example that brought this to mind is something that happened recently. My husband came home and told me a coworker was going to call me and wanted me to refer him to a new agent, since I'm not working with clients right now. I thought this was a little strange until I got the got and the backstory - they are selling there home and had been listed with a broker from a small local firm for a couple months, then got a message from their son containing copies of some of her facebook comments on local news stories and decided they were no longer comfortable working with her because they found her views and way of stating them offensive.

Being the nosy person that I sometimes am, I looked up some of the posts and could see where they would be offended. My first thought was "well, that's sometimes what you get for mixing business and politics", but then I realized that she may see facbook as more of a place to connect with friends and family than a business tool and probably did not intend for her clients to read the political comments (on local news stories, not her own wall). I also realized I'm guilty of posting political and religious messages on my own page, although I try to be respectful because my friends run the gamut from very liberal to very conservative.

My question for those of you who use facebook is how much do you "censor" yourself or think about how it could affect your business before posting your opinions on things and how to you balance the social part of the network with the business aspects? Do you "friend" clients on your personal page or only your business page and, if not, do you use privacy settings to filter what can be seen or just leave it all public and not worry about what others may think?

Twitter Gets A Face Lift!

Raine Carraway — Thu, 07 Jun 2012 00:29:06 -0700

If you use Twitter, you may have noticed their new logo.

They have changed the shape of the familiar bird as a part of their logo & identity update and, with the new logo, comes a new set of rules.

This will most likely be disregarded by many people but, for website and social media users and designers who want to play by the copyright rules, they are important to know.

Most simply, Twitter wants their brand to be represented by the new logo, and the new logo only. They do not authorize any modifications of the size or color, or any animations or additions to the logo.

They also ask that people not use any of the older logos, or any other visual marks, to link to their brand, or to individual Twitter accounts. This includes the "chiclet" style, shown to the left, the "Twitter" logo-text with the bubble letters, and earlier customized versions of the Twitter bird and/or logo.

The Twitter Trademark & Content Display Policy on their website gives full details.

Twitter will probably not be making a big deal out of this for small individual sites, but they have gone after some larger companies for mis-use of their branding in the past and, if nothing else, updating now will keep your website and social meida pages looking freash and up-to-date as people transition over to the new logo.

Now, if you'll excuse me, I have several pages to update.

Veering Off In Another Direction

Raine Carraway — Thu, 08 Mar 2012 14:31:10 -0800

I've not posted much on ActiveRain in the past few months because I wasn't sure where I fit in.

I'm not working in real estate now, but I'm not totally out of the picture either.

The past two years have meant a lot of changes in my life and changes in my family, and my husband and I decided it was best for me to work from home for a while and focus on taking care of our baby. I wasn't able to give my full attention to both him and my clients at the same time, so I felt the most responsible thing to do was to take time off until I had a childcare arrangement I was comfortable with, so that my clients would have my full attention during my working hours.

This ended up meaning that I've spent close to two years working from home doing freelance writing, SEO copywriting, and a bit of web and graphic design but not actually working as a broker. With my background, I have ended up working for several brokers and firms as a content writer and web designer. This has helped me keep up with real estate news and trends, but my focus has been more and more on the technology side of things.

I'll be going back to college soon and taking some classes in web technology, advertising, and graphic design, which will help my freelance business now and will be useful to me when I get back to being a broker. Instead of staying so quiet over here, since I'm not "in the trenches" on the buying and selling end, I am going to start blogging more about the intersection of real estate and technology, trends, and ways to make the most of your website and online presence.

Photograph: © Copyright Bob Embleton and licensed for reuse under this Creative Commons Licence.

What Men & Women Love In a Home - via Trulia

Raine Carraway — Tue, 14 Feb 2012 21:06:59 -0800

Can True Hyper-Local Content Be Written By Somebody Miles Away?

Raine Carraway — Mon, 16 Jan 2012 18:01:43 -0800

During my time off from working as an agent, I've been doing a lot of freelance work.

One thing that has confused me has been the numbers of real estate agents hiring writers and bloggers from across the country, and sometimes across the globe, to write content for them. I have done articles for agents in states I've only visitied a few times, and in a couple I've never been to.

This wasn't that hard when writing content based on services offered, copy for home websites, and things like that, but it felt lacking when I was writing about their local area. Sure, there is all sorts of information online about any town or neighborhood you can imagine, but it still seems to me like the agent would have had a better chance to add new information by posting themself or finding somebody local to post for them.

Now, I see that there is a national company offering "hyperlocal" websites for agent. You fill in your neighborhood, tick a few boxes, and it generates a site with local content. The compnay promotes it as local information with "no writing required", but again it seems like relying on only aggregated data defeats the whole purpose of a hyperlocal site.

What do you think?

Can an article or site produced by someody outside the are be considered truly local, or is the whole point of a hyperlocal site the added value that comes from having a person who knows the area giving there input on specific things?

"Don't Settle" - Steve Jobs on Work

Raine Carraway — Thu, 06 Oct 2011 23:18:32 -0700

A friend of mine posted the following quote on Facebook after the news of Steve Job's death became public:

Your work is going to fill a large part of your life, and the only way to be truly satisfied is to do what you believe is great work. And the only way to do great work is to love what you do. If you haven’t found it yet, keep looking. Don’t settle. As with all matters of the heart, you’ll know when you find it. And, like any great relationship, it just gets better and better as the years roll on. So keep looking until you find it. Don’t settle.”
– Steve Jobs

It reminded me of how lucky I truly am to have found not just one, but two jobs in my lifetime that I love and find truly satisfying. One of these is real estate & the other is being a stay-at-home mom and homemaker.

I look forward to the time when I go back to work in real estate full-time, but I am also enjoying every day I have here at home with my precious son who is growing up so fast.

Now That's What I Call A Playhouse!

Raine Carraway — Sun, 24 Jul 2011 17:38:15 -0700

With low interest rates and lots of foreclosures on the markets, there are many sellers out there looking for fixer-uppers in the $50,000 range, and finding such homes.

On the other side of the scale, there are families paying up to $50,000 for a playhouse for their children.

Here are a few photos of a few of of the more extravagent playhouses on the market, with options including media rooms, sunrooms, built-in bookcases, kitchens with running water, indoor & outdoor lighting, and optional wireless communication systems to call back to the main house:

The playhouses above are available from La Petit Maison.

For families who really want to go all-out, there are swingsets, tree houses, and play forts that are just as impressive, with costs also being in the thousands. Some homeowners have turned to play structure designers like Barbara Butler to design fanciful playhouses, treehouses and forts.

A few of her designs are below:

While these are pretty extravagant, I think they are awesome. One caveat for homebuyers though - they are considered personal property in many places, so make sure you have it included in the contract if you are buying a home with a play structure that your child just has to have.

May I Be Completely Honest With You?

Raine Carraway — Mon, 23 May 2011 22:34:18 -0700

One question I ask potential home sellers in Lenoir, Morganton, and Hickory, NC is if I can be honest with them during the listing presentation. This is a nicer way of saying "do you want me to tell you the truth, or just what I think you want to hear?".

There are some people who have homes on the market with major problems, and I have to wonder if anybody has even let them know what is wrong or why it may be a problem. There is a thin line, and nobody wants to insult any homeowner, but it is important for any seller to know about potential problems and to know what they may be able to do to address those problems.

Sometimes, the homeowner may be so used to the way things are, they don't see an issue. Or they may be really enamored with their lime green shag carpeting, wicker ceiling, purple and gold foil wallpaper, or Precious Moments™ wall mural and not understand how much of a turn-off things like these can be to potential buyers. (Yes, these are rather extreme examples, but all are ones I've either seen in homes for sale or in MLS photos from other areas).

None of us like to hear negative comments about our homes but, as your agent, part of my responsibility is to alert you to any potential problems with the sale, and to suggest ways to fix them or lessen the impact. The good thing is that most of these are easy to solve. The most common problems with a home itself are datedness or extreme decor, clutter and dirt, and smells. All of these are easy to address, but you must know there is a problem first.

Most buyers do not care for wallpaper, unusual colors, borders, or fixtures that are linked to homes from previous decades, but this can be fixed by repainting and sometimes changing a few fixtures. Removing clutter helps open up a space and gives the impression that is is well-maintained. You're moving anyway, so look at sorting and storing belongings as a head-start on that. Cleaning should be self-explanatory, but it is easy to overlook exterior cleaning, faucets and trim, baseboards, etc if you are used to letting them go.

Smells can vary - sometimes they can be solved by having the carpets cleaned, painting, and keeping the pets outside more often, or by cleaning a disposal unit or other problem area, while others may require help from a professional cleaner. Musty or moldy smells can be solved by cleaning the affected area well with bleach or an agent made for such a job, installing a dehumidifier to stop further growth, and painting over the affected areas with a mold and mildew resistant paint.

There are so many small things that can be really off-putting to buyers, yet fixed with a few days', or a few hours' worth of work. This can make your home sell faster and for more money or, in a buyer's market like today, make the difference between your home selling or just sitting there. However, you must have an agent who is willing to tell you the hard truths and not just the good stuff, and you should be prepared to listen and implement their advice, rather than get offended by their suggestions.

Some Amazing Photos of Homemade Levees in Missisippi

Raine Carraway — Fri, 20 May 2011 04:10:12 -0700

With catastrophic flooding along the Mississippi River, a few homeowners have taken things into their own hands and build some amazing levees to protect their homes, farms, and businesses.

I wish I could share the images here, but they are copyrighted, so I will direct you to the Daily Mail article which seems to be the source of the photos, which show several homes and farm along the Yazoo River near Vicksburg, MS.

These pictures show the impact that one person can have with a little determination and a lot of dirt, and the lengths that some people will go to to protect their homes and land.

Of couse, they also show the massive destruction the area has suffered, and is still suffering as flood waters continue to rise in rural areas in hopes of diverting flood waters away from major cities like New Orleans and Baton Rouge.

To donate or volunteer to help, please visit the

Mississippi Disaster Recovery Fund

Get Up to a $2000 per Year Tax Credit on Your Mortgage in North Carolina

Raine Carraway — Wed, 18 May 2011 16:27:37 -0700

While the well-publicized First Time Homebuyer's Tax Credit of 2010 has long expired, many home buyers in North Carolina are still eligible for a tax credit of up to $2,000 per year.

This is possible because of the Mortgage Credit Certificate, a program offered through the North Carolina Housing Finance Agency (NCHFA), that allows eligible buyers to deduct up to 30% of their mortgage interest from federal income taxes.

What is a Mortgage Credit Certificate and How Does It Work?

A Mortgage Credit Certificate (MCC) is a federal tax credit to assist home buyers with moderate and low incomes.

All home owners can claim mortgage interest as an itemized deduction on their taxes, but the MCC is a credit rather than a deduction. This means it will reduce most people's tax liability further, and can be used to adjust your W-4 withholding for an immediate increase in take-home pay (up to around $166 per month if they are eligible for the full $200 credit).

Qualified buyers can claim 30% of the interest they pay on your mortgage as a credit on their federal income taxes, up to $2,000 per year. This means that a buyer who claims the full amount and remains in the home for 10 years could save $20,000 in federal taxes.

Like all other homeowners, buyers who claim this credit are also eligible to claim the remaining 70% of their mortgage interest as a tax deduction.

Who Qualifies for an MCC?

To qualify for the Mortgage Credit Certificate, you must:

Be a First Time Home Buyer

You must not have owned a home in the last 3 years, usually defined as not having claimed any mortgage interest on your tax return during this time.

Purchase A Primary Residence

You must be buying the home for you to live in, not as an investment property or as a secondary or vacation home.

Earn at or Below the Maximum Qualifying Income

Income limits are defined by area and county. In North Carolin, they range from $66,000 in most rural areas up to $88,000 for a 3-person household in certain Metro areas. Household income is defined as the “gross income of the mortgagor and any other person expected to live in the residence who is 18 years of age or older.”

Purchase a Home at or Below the Sales Price Limit

The sales price of the home is capped at $210,000 for existing homes and $220,000 for new construction.

The terms of the mortgage for qualified loans are determined by the lender, not by the NCHFA.

The loan may be FHA, VA, USDA, or conventional and requires lender approval. Once it is approved, the mortgage underwriter will submit your loan to the NCHFA in order to obtain the Mortgage Credit Certificate.

To protect againt fraud, the home buyer's W-2 must match their income tax return and income disclosure and the seller is required to sign an affidavit about the sale and to acknowledge and confirm the sale price of the home.

This program is subject to local approval and availability of funds, and may not be approved if all of the monies for your area have been used.

To learn more about the Mortgage Credit Ceritificate, contact your preferred mortgage lender or see the North Carolina Housing Finance Agency (NCHFA) website for details on the program and a list of cooperating lenders.

When do I need a Building Permit?

Raine Carraway — Mon, 16 May 2011 06:03:31 -0700

(This is a continuation of "Why Should I Care About Building Permits?", so please read that first if you have found your way here through another link.)

Building permit requirements vary by state and even by city and county, so please keep in mind that this post is geared toward homeowners in North Carolina, and laws will differ for those living in other states.

You need a building permit to:

◘ Build, re-construct, alter, move, remove or demolish any building (with some exceptions for small storage sheds, according to their size), including constructing, adding onto, or altering any external or load-bearing structures on an existing building.

This includes adding onto, changing, or repairing any exterior wall or other load bearing wall, floor joists and footings, replacing any wood in a roof (including plywood, beams, and rafters), replacing one type of shingles or roof covering with another (asbestos shingles to fiberglass shingles or metal roofing), adding new shingles over existing roofing material, and building a deck or porch.

◘ Install, expand, extend, or repair any plumbing system (there are certain exceptions to plumbing permits for replacing a hot water heater, but both require a licensed contractor to install them, because of requirements for inspection and a leak test on the piping for gas heaters and for the electrical work on electric water heaters).

◘ Install, replace, add to, or change the design and components of a heating and cooling system (swapping an electric furnace for gas, , re-routing duct work, or adding duct work to heat and cool an additional room, for example), and for any repair costing more than $5,000.

◘ Install, extend, alter, or repair any electrical wiring, device, appliance, or equipment. The few exceptions to this (repairing or replacing an outlet or light switch) still require that the work be performed by a licensed electrician, in the same location, and operate on the same or less power than the previous fixture. This includes installing light fixtures, hard-wired outdoor or carport lighting, ceiling fans, and attic fans.

◘ Have any construction, alterations, repairs, or additions done on a commercial or rental property. Also, if you are a landlord or property owner, you must have the work done by a licensed professional, not yourself.

You do not need a building permit to :

◘ Do any project in a single-family residence or farm building costing less than $5000, unless the work adds to, replaces, or changes load-bearing structures, plumbing, heating, air conditioning, or electrical wiring, devices, appliances, or equipment; uses materials not allowed by the NC Uniform Residential Building Code, repairs a load-bearing structure, or adds roofing materials.

◘ Add interior walls or add an opening or doorway to a non load-bearing interior wall.

◘ Install, replace, or repair siding on a home.

◘ To replace existing pluming piping or fixtures with like fixtures (replacing a sink, toilet, or appliance), so long as the water supply lines and the trap in the drain line are not altered.

◘ Repair or replace most heating and air conditioning equipment and components, so long as the design or type of system is not changed.

◘ Replace an existing light switch or receptacle with one of the same voltage and the same or lower amperage, so long as the work is done by a licensed electrician and in compliance with State Building Code and State Electrical Code.

◘ Add an outdoor storage shed or other "accessory building", in some jurisdictions, so long as it is not wired for electricity, and does not exceed maximum size limits (12 ft in any dimension for many NC counties).

If you are not sure whether or not you may need a building permit, the best thing to do is to find out from the source. Call your city or county inspection department, or the inspections division of your local planning department, and they will tell you which permits you may need, if any. It is much better to check in advance than to have to pay a fine for a retroactive permit, or tear down the work you have done because it is out of compliance.

Some jurisdictions are very strict, and may even have additional requirements to be met, while others are lax and may allow certain repairs without a permit, but it is always better to find out what your local inspector requires rather than to get caught partway through a project and find out you needed a permit, or need to change something in order to keep it.

Why Should I Care About Building Permits?

Raine Carraway — Mon, 16 May 2011 06:02:53 -0700

It is surprising how many homes in the Lenoir, Morganton, and Hickory area have had electrical and plumbing work done, and whole rooms added, without a building permit.

In fact, there is one home which has been sitting abandoned, uninhabitable, and unable to be sold as a residence for decades, on a main road near Catawba Valley Medical Center. The reason it's unlivable - the owner neglected to obtain a building permit, so he cannot recieve a certificate of occupancy, and cannot have power and utilities connected to the house.

Many times, the owners may not have known one was needed, or considered them a waste of money, so I hope this will help people to understand when they are needed and why they are important.

Two common misbeliefs are that building permits are only for new construction, and only for contractors and builders. In fact, they are necessary for many projects on existing homes, and are still required even if the homeowner is doing the work themself.

Building permits are important for many reasons:

◘ They protect the homeowner's safety by insuring that the work is safe and up to code.

◘ They protect the value of the home by recording any additional square footage, and by preventing problems that can occur with sales where work has been performed out of code.

◘ They protect the homeowner in case of a fire or other problem in the addition. If a home is damaged or destroyed and problem occurs as a result of electrical or plumbing work without a permit, or in an un-permitted addition to the home, then the insurance company can refuse coverage for the claim.

◘ They are the law. Violating North Carolina law by not obtaining a building permit when one is needed is a Class 1 misdemeanor.

So, when might a building permit be necessary? :

In North Carolina, building permits are regulated by NCGS (North Carolina General Statutes) 153Aa-357 (for Counties) and 160a-417 (for cities). You can read either of these laws by clicking on the numbers in the previous sentence, but many people are still confused by them, so I will try to list some of the most common times when a permit will be needed and some of the most common exceptions.

In general, a building permit is necessary for any work affecting a load-bearing structure (exterior, and load-bearing walls, joist and flooring supports, roof and roof supports, and decking), plumbing, electrical work, heating and air conditioning, and anything else with costs exceeding $5,000.

(For more specific information on when a building permit is required in North Carolina, please see the second part of this article, "When Do I Need A Building Permit?").

Why Generation Y Will Not Be Buying Us Out of the Housing Crisis

Raine Carraway — Thu, 21 Apr 2011 01:17:35 -0700

The Housing Downturn: the Result of a Generation Gap?

A recent report by the NAR has been used to blame part of the housing crisis on age demographics. According to this theory the housing market slowed down all of a sudden because the drop in the birth rate after 1973 created a sudden shortage of first-time buyers around 2006, when the housing began slowing rapidly in many areas.

According to this theory, the problem is just that there are not enough buyers coming of age to purchase the existing housing inventory. The supposed good news is that, during the downturn, the average age of first--time home buyers has dropped back down to 30, and the next generation is coming of now in time to buy. “Generation Y”’ is larger than the previous generation, due to birth rates starting and continuing to rise after 1980, so there will be more buyers coming of age as they are just beginning to reach their 30s.

So, Isn't It Time for Them To Start Buying and Fix the Market?

The problem is that this hope for Generation Y to jump in and start buying its way through the housing inventory may be unfounded. Even though numbers of first-time buyers were up in 2009 and 2010, many of these buyers were buying vacant foreclosure properties. This foreclosure buying does not really stimulate the market, because there are no owners to move up the “property ladder” into a new home (I am assuming that the vast majority of homeowners who were foreclosed upon were not able to secure a new mortgage, and are now renting or living with family or friends).

Another problem is that this generation is starting out strapped for cash. There have been many news reports and “exposés” on college student students and credit card debt, and laws have even been passed which are supposed to protect students from themselves. One thing that the media remains silent on, however, is student loan debt. In June 2010, student loan debt surpassed credit card debt for the first time in history. As of this writing, US student loan debt is approximately $905.5 billion, while credit card debt is $800.5 billion.

Even while reports were all over the media about the US's rising economic troubles, the government, financial advisers, and school counselors were encouraging students to take out higher and higher loans. The cost of a college education rose 400% from 1982 to the present day, but most people still view borrowing to finance and education as "good debt" and the easily availability of loans, coupled with promises of a higher paying job at graduation, led many students to view them as "easy money"'.

How Bad Is Student Loan Debt Among Generation Y?

Consumers seem to be wizening up about credit cards and reducing or eliminating those debts, but student loan debt continues to grow, and will likely be a bigger issue for this rising generation than for “Generation X” and those who proceeded it. The reason for this is that more students are going to college than ever before, and are relying heavily on loans, with no real plans for repaying them other than “graduate and get a job”. What many are finding now is that, if they can get a job, the student loan payments may eat up 30% or more of their salary; many students have to move back in with their parents just to make ends meet.

One study found that 75% of college graduates with student loan debt said that the loan payments have prevented them from buying a home or a car. Approximately 20% of all student loans are in default, which destroys a credit rating, and an additional 23% of borrowers are keeping default and delinquency at bay by using deferment or forbearance to postpone loan payments, at the cost of higher interest and longer loan terms. With student loans taking up to 25 years to repay, being almost impossible to discharge in a bankruptcy, and even able to keep a graduate from renewing their professional license, this seems to indicate a potentially long-lasting problem.

So, What Does This Have To Do With the Housing Market?

Any increase in the numbers of potential buyers in this generation may be offset by the student loan debt which has damaged many of their credit histories and drastically reduced their ability to buy. I have seen it happen with both friends and clients already – they are in their 20s or 30s, ready and willing to buy a home, but unable to get approved for a mortgage because their student loan debt takes up too much of their income or because they have already missed payments on the loan and damaged their credit.

I may be proven wrong over the next 5-10 years, but my prediction is that many of the generation that some are hoping will buy us out of the housing slump are simply unable to buy.

At least for the foreseeable future, it seems more likely that this generation will be more for moving back home with their parents and then becoming long-term renters than for creating a boom of young homeowners.

All images used by permission: renjith krishnan, Ambro, scottchan, & graur razvan ionut / FreeDigitalPhotos.net

You Can't See What You Can't See! Get A Pre-drywall Inspection!

Raine Carraway — Sun, 17 Apr 2011 23:42:13 -0700

Home inspections are so important before buying, but some people assume, or are told, that they are unnecessary for new homes.

Actually, inspections are very important for new construction, and there are 3 inspections that should be done:

1) a foundation inspection to be sure it will be strong, level, and dry

2) a framing or pre-drywall inspection to check the framing itself as well as the HVAC ductwork, electrical, plumbing, other other systems hidden behing the walls

3) a final inspection of the completed home, to make sure everything is up to code, installed properly, and that there are no issues with drainage, air leakage, etc

This post from home inspector Jay Markanich shows just one problem that would have been missed were it not for an inspection before the dryall was installed.

Via Jay Markanich (Jay Markanich Real Estate Inspections, LLC):

Should you get a pre-drywall inspection on new construction?

YOU CAN'T SEE WHAT YOU CAN'T SEE! GET A PRE-DRYWALL INSPECTION!

The drywall was to go up that afternoon. At the last minute someone found MY ACTIVERAIN BLOGS on pre-drywall inspections. After reading some she was convinced she should get one.

Smart girl!

One teensy thing found was that a hole was cut to run a flexible HVAC duct and put a register in the master bedroom above.

The problem was, running it to this side would have put the register right in front of the sliding glass door to a third-level balcony.

Deciding against that, they decided to go out the other side. That duct is clearly visible in this picture.

BUT SO IS THE HOLE THEY CUT TO RUN THE OTHER DUCT! THEY SIMPLY LEFT THE HOLE!

The supervisor told my client that he had the drywall company scheduled to install drywall that afternoon. And for him to change that schedule, his words, "that inspector needs to find something really important."

This hole not only would have delightfully heated and air conditioned the ceiling space above the mid-level hall and stairwell, but would have dramatically reduced the air flow to the master bedroom! She would have had to live with it because they would never have figured it out.

I told her that when she brings this up with the supervisor, he would say he knew about it all along and it was already on his list. I also told her that it needed to be repaired with sheet metal screwed to the duct and sealed with aluminum tape. AND THAT SHE SHOULD GET A PHOTO OF THE REPAIR TAKEN FROM THE VERY SPOT THIS PHOTO WAS TAKEN FROM!

I can just see them spreading duct tape all over this to "seal" the hole!

My recommendation: my client had been told many times that she did not need a pre-drywall inspection. That the construction supervisor was in her house every day checking EVERYTHING that was being done. That the County would be doing "many inspections." She was told that so many times she almost bought it. Until her nagging feeling got the best of her and she called me. We did this very early in the morning. When she called she needed an inspection right away. Really early was the only slot I could give her! So we made it happen.

I'm glad she did! So is she.

DON'T EVER BUY THE LINE THAT IT IS A NEW HOME AND INSPECTIONS ARE NOT NECESSARY!

Jay Markanich Real Estate Inspections, LLC

Based in Bristow, serving all of Northern Virginia

www.jaymarinspect.com

Children In the Office? I'm For It, If You Can Make It Work.

Raine Carraway — Fri, 15 Apr 2011 16:40:11 -0700

Looking for advice on getting back into the real estate business after having a child, I stumbled upon a thread on a well known mom's message board. On this thread, a young woman was considering getting her real estate license and asking other moms who were agents how they balanced work and family and if they every had their children at the office or along for appointments.

Several mothers replied that they were, or had been, in real estate, and most either worked from home with their children present at least part-time or took their children to the office with them some or most of the time. There were a few who had childcare arrangements for their office time and showings, but even most of them said they had brought their children to work with them in case of emergencies or last minute obligations.

The one response that surprised me, and in some ways sparked this post, was from an agent who seemed very antagonistic towards mothers who let their children be seen around their business in any circumstance. She seemed rather proud of herself for having a large family and keeping them unseen and unheard by her clients and co-workers, and referred back to an ActiveRain post with "hundreds of comments & 95% agreeing that bringing your children to work in unprofessional". Looking up her name, I found the post she referred to (which only had 55 comments aside from her own, with about 30% agreeing that we should never bring children to work). What shocked me was the amount of vitriol directed by this woman at anyone who would dare bring their child to an office or appointment or who would consider starting a career without the luxury of a trusted an affordable childcare provider already in place.

Her response to those who mentioned the expense or hassle of child care was that they should find a way to pay for it, get a 9-5 job, or just find someone they could drop the children off with on short notice. If you are a single mom, or do not live near family who are able and willing to care for your children, then you will know how hard that can be in the real world. With the tough economy and dramatic drop in real estate business for many of us, I would expect that there are a lot of agents right now who have trouble justifying the expense of a full-time daycare or nanny, or who simply prefer to have their children with them since they now how more time during the day.

This attitude also overlooks how hard it is to find someone trustworthy to take care of your children while you are away. In the past months, a nearby daycare was shut down when police found a meth lab operating there, several were closed or investigated for sexual abuse, and friends have pulled two children from care because of health concerns (one's daughter was taken to the emergency room and she was not contact, another's son needed surgery because a daycare worked ripped his foreskin during a diaper change because she disregarded the instructions on how to care for an intact boy). Even without things like this in the news, some of us look at the statistics that say 1 on 4 girls and 1 in 5 boys will be sexually abused during childhood and choose not to leave our children with people we don't know or trust.

While some people still argue that having children at work in not professional, maybe this is an aspect of business culture that needs changing. As women gain even more of a share in the economy and workforce, and seek to balance their families and careers, I think that all sorts of companies will find room in their "culture" for employees who chose to keep their children with them and still display professionalism and competence at work. With several government offices now allowing children at work, and groups such at Babies At Work advocating for more baby- and child-friendly workplaces in all industries, it seems like a great time to change the culture that says work and family should always be kept separate. About 29% of US companies now allow children or babies at work with their parents, and 38% of companies will make an exception and allow children in case of an emergency.

I do think that bringing your child to work calls for balance, and that you must keep the wants and needs of your clients and co-workers in mind. This may not work as well in an open office or cubicle environment, where there is little room and noise and distractions carry, but a private office or a shared office with another mom can work out great. At my first company, there were 2 moms who shared an office with a play area they had set up for their children - they both had their children at work during the day, and were able to trade babysitting duties most of the time for client meetings, showings, and other appointments.

In a company where most agents are not so family-friendly, or find a child to be a distraction, then it may be better for an agent who plans to bring their child to work often to either work from home on those days or find another office where her fellow agents will not be offended or distracted by it.

This also all depends on the child's behavior and stage of life. Most people really wouldn't mind a sleeping baby or a child who colors of plays quietly in a corner or at a side desk but, when you mention children in an office, the picture that comes to mind for many people is a horde of yelling, crying brats running amok and touching everything. If your child cries a lot, throws tantrums, or is generally loud, then you shouldn't try to have them at the office or with clients until those behaviors have passed or are under control.

If you can work with your child on being quiet and respecting other people's space and possessions (don't touch and don't go into other offices or cubicles), and can focus on both work and your child's needs, then I totally support bringing them along. Just be sure you're not alienating clients or upsetting your co-workers by doing so. For keeping your children "with" you, a baby sling or wrap or pack type carrier is great for babies and toddlers, as is a playpen or gated off play area in your office. For slightly older children, as horrible as they look, those baby "leash"/tether things may be just what you need if you plan to take them along on a showing or preview. (But not a Broker's open! - Seriously, want to get some evil looks? Show up at a broker's open house with kids in tow and let them graze the refreshment table like a buffet while several other agents are there trying to look around.)

Also keep in mind that you need to know your child's triggers, and be willing to adjust for them or even go home if something's not working. If they are sick, teething, or cranky, it would be a good day to find a sitter or ask your spouse or a trusted sitter to watch them. In the same vein, if you know they will be cranky if they miss their 2pm nap, or do not have a snack at a certain time, then mark their schedule on your calendar and make sure your needs are met so you don't deal with a "meltdown" from a tired, hungry, child. (I've found that nap time makes a great window of quiet time to return calls and do prospecting by telephone.

Would You Turn Your Home Into A Billboard In Exchange For “Free” Mortgage Payments?

Raine Carraway — Mon, 11 Apr 2011 16:30:28 -0700

This photo comes from mobile advertising website Adzookie.

In exchange for allowing them to paint your house as one giant eyesore billboard, they will pay your mortgage each month as long as the house remains painted, from 3 months up to a year. They will paint everything except the roof, windows, and awnings, in bright colors including their website name/logo and social media icons, and will repaint it back to the original colors after the end of the agreement.

The company’s founder and CEO, Romeo Mendoza, says that he sees the plan as a way to help spread the word about his company while helping homeowners as well. Most of those applying for the program are facing financial difficulties, with many approaching foreclosure or strapped for cash due to medical expenses.

The person agreeing must own the home. It can’t be rented or leased, and I assume this won’t fly in most, if any, homeowner’s associations or in areas with by-laws restricting bright paint colors. Still, it could be a way to save some money for those with trouble paying the mortgage, or a profitable way to annoy your neighbors.

If you’re interested, you can apply at Adzookie’s “Paint My House” page. Competition may be stiff though, as the company has received thousands of applications already, since launching the website offer last Tuesday. The original plan was to paint only 10 houses but, due to the large amount of interest and help from other advertisers, Mendoza now says he plans to paint 100 houses as billboards, with plans to extend the promotion if it attracts enough interest in the site.

Personal Note : Still "Out of the Game" for a While

Raine Carraway — Wed, 04 Aug 2010 07:03:01 -0700

In case anybody comes across this blog right now, I am not currently working in real estate. I am keeping it up, and continuing to check on on ActiveRain, becaue I will be going back into business eventually.

For now, I have decided to stay at home with my baby. I didn't feel like I was able to devote enough attention to both him and my clients while working with him at the office, or working from home, and I don't consider daycare an option right now for my family. I will be in touch with former clients and associates once I go back to work, and I'll be sure to post it here.

I just can't stand to leave this little cutie for very long right now:

Daily Affirmations

Raine Carraway — Thu, 27 May 2010 15:08:36 -0700

So many business coaching books and programs advise starting the day with daily affirmations. A lot of people find this silly, and have trouble being enthusiastic about it, because we aren't used to talking ourselves up. This little girl gives a great example of how to do it right:

Introducing Robert Matthew Butler

Raine Carraway — Sat, 22 May 2010 18:04:09 -0700

I cut back a lot on real estate activity during the last few months, because of health concerns and then the birth of my baby and getting settled in with him, but I will be going back to more "full time" type hours next week.

When I return to the office, I'll be bringing my new "assistant" with me. Here is a picture of him at his "desk":

This is my son, Robbie.

He was born on Thursday, March 25 at 5:47pm at Caldwell Memorial Hospital, weighed 10 lb 3 oz, and was 22 inches long. He's 2 months old now, over 14 pounds, and ready to go help mama sell some homes! :)

Senate Bill 3217 Limits Seller Financing

Raine Carraway — Mon, 17 May 2010 13:18:03 -0700

Senate Bill 3217, the "Restoring American Financial Stability Act of 2010" has been introduced by U.S. Senator Christopher Dodd, a Connecticut Democrat, and is scheduled to hit the floor of the US Senate on Friday, where it will be eligible to be voted on after 72 hours. (Click here for the full text of the bill - over 1400 pages)

While the bill mainly deals with regulating large financial institutions and is supposed to end bailouts, it also includes a provision that would limit seller financing by only allowing property owners to provide seller financing to buyers once every three years. While this won't affect most residential transactions, it could severely limit small real estate investors by treating them like larger financial firms. Many of these investors rely on owner financing to get buyers into their properties, and now would be required to be licensed as a loan originator before they would be allowed to finance more than one home every 36 months. Most small investors do not have the time and money to waste on the licensing process, since they are primarily interested in selling their properties, not in making loans.

Seller financing is especially important to lower income and first time home buyers, who may have trouble obtaining regular loans to to credit and financial issues, or who may be looking at mobile homes that will not qualify for bank financing. Many of these people have been able to purchase a home through and investor with owner financing, then move on once they were in better financial shape, and placing limits on the investors who provide most of the seller financed homes to buyers will keep many of these people from being able to buy, preventing them from owning a home.

Whether you support or oppose the other provisions of this bill, it is important that you contact your local Senators and ask that they either oppose the bill or remove the language that would kill off the seller finance market. If enough people speak up, at least that part could be changed before the bill is able to find a co-sponsor and possibly be voted into law.

Industry leaders feel that the worst is behind us.

Raine Carraway — Mon, 10 May 2010 21:22:20 -0700

Via Ian Morris (Market Leader, Inc.):

I spent a few days in Dallas this week for the 2010 Gathering of Eagles, a conference for the nation's largest real estate brokerage companies put on by Real Trends each year. While our industry has more conferences than most of us can attend, I always find the Gathering to be an excellent event and a good way to get a pulse for the state of the real estate industry. Some quick takeaways:

·         State of the Market - the tone of this year's event was decidedly more positive than last year's. While I don't think many leaders are expecting a robust market any time soon, most feel that the worst is behind us. Brokerage companies see the current environment as an opportunity to differentiate themselves and seem more willing to invest (albeit cautiously) to take market share.

·         Network Level Innovation - There was an interesting panel featuring the leaders of the leading real estate franchisors and networks. I heard good commentary from all of the participants but was particularly engaged by Pam O'Connor, CEO of The Leading Real Estate Companies of the World, and Mark Willis, CEO of Keller Williams. Both leaders clearly articulated the ways in which they differentiate what they do from other franchise organizations.   It's easy to see why both companies have continued to be successful in even the most challenging of environments.

·         Lead Generation - More and more attention continues to be paid to lead generation, and all aspects of the who, what, where, and how to be successful at it. In the "boom", many companies seemed to take a ‘who needs it' approach to the space, but now it's clear that the brokers and the networks know they need to create compelling lead generation strategies if they are going to effectively compete for consumers and for agents.

There were many other excellent talks as well. Steve Murray, CEO of Real Trends and host of the event, as always, provided valuable insights about where Real Trends sees the market heading over the next few years. This insight is a big part of why so many leaders make their way to the event every year. Rich Barton, CEO of Zillow, did a great job of engaging the audience with his take on what's to come, and the important role that the iPad and technologies like it will play in the future.

And speaking of Rich, it sounds like he and I both hit a few tennis balls with the same pro at the hotel. I didn't know Rich was a tennis player until the pro mentioned that another guy from Seattle had just been out on the court, and that the two of us should play when we get back to the Seattle area. When I asked how I would do against Rich, he just kept saying "too close to call, but it would be a great battle". So what do you say Rich - Can I interest you in an online real estate tennis match? Perhaps we could even make it interesting - for charity, of course.

Underwater & Sinking Fast...The Myth Behind The Reality of Strategic Defaults!

Raine Carraway — Mon, 10 May 2010 21:22:10 -0700

Via Lola Audu~Audu Real Estate~Grand Rapids, MI Real Estate:

The year was 2005. The call was from a struggling homeowner who needed to sell their home. However, there was one significant barrier. They had mortgaged their property for more than they could sell it for. Hard luck had resulted in a job loss and they were faced with the stark prospect of making a difficult decision.

The term 'short sale' was not a term that most people were aware of in our area at the time. The negotiation with two banks took several months, but the process finally concluded with a resolution that enabled the home to be conveyed to another party and one which stopped the financial bloodletting which had depleted my clients. While, not a perfect outcome...it was likely the best given the circumstances.

Five years later, short sales are a part of the nation's popular lexicon. Last nights' segment on the 60 Minutes news broadcast chronicles a rapidly spreading viral movement known as strategic defaulting. Strategic default refers to the decision to walk away from a home which you CAN afford because the home is now worth far less than the mortgage note. It's considered by some, to be an ECONOMIC decision or an investment alternative of sorts.

However, what was most troubling to me in watching the segment is one myth which underlies much of the reporting on this issue at the present time.  Strategic Defaults are NOT always the decision of a homeowner. As a real estate broker who has negotiated short sales for nearly half of the past decade, I have witnessed a remarkable SHIFT in the process of negotiation with some banking entities recently. Sometimes, the instruction to miss payments can come from an unlikely source!

Most notably, within the past 3 months, we have witnessed some banks giving EXPLICIT written directions to some mortgage holders to DEFAULT on their payments in order to be considered a 'qualified applicant' for a short sale.  The home owner is faced with the threat that the file will be closed or denied UNLESS the borrower strategically defaults on their mortgage payment. We have witnessed this even in cases the homeowner has suffered a JOB LOSS and/or JOB TRANSFERS.

Which raises the question...Is it possible that while many struggling homeowners are trying to do what is right and negotiate with the banks, there is a bizarre movement to FORCE them to damage their credit and walk away from their homes by a Strategic Default?  This approach is peculiar on a number of fronts, as statistics indicate that there is significantly LESS damage economically from the negotiation of a short sale for the community AND the mortgage investor.

The 60 minute segment indicated that 7 MILLION homes have payments which are in arrears. I wonder how many of these homes are behind on their payments because they have been INSTRUCTED to do so by the mortgage servicer holding the note?

At some point we will awaken from this nightmare. I am concerned that we will discover that much of the chaos has been our own horrific creation...borne of a myopic view of society which forced short term gains at the expense of the reality of long term consequences.

underwater shot courtesy of Stig Nygaard on flickr

Lola Audu, is the Designated Broker & Owner of Audu Real Estate.  Our company specializes in helping people buy and sell homes in the greater Grand Rapids, West Michigan area. We've had the privilege of helping hundreds of clients succeed in their goals of purchasing and selling property including demonstrated success in the negotiation of Short Sale Transactions. You can contact us via e-mail @ info@auduhomes.com or by phone at 616-791-0511.

Doesn't Under Contract Mean Sold?

Raine Carraway — Mon, 10 May 2010 21:21:33 -0700

Via Doug Rogers (Century 21 Millennium):

Once an offer is accepted most sellers breath a sign of relief. After sometimes months of marketing, their wait is over! Or is it?? When my sellers sign that buy/sell agreement I let them hug, cry, scream, etc... then we have "the talk". Let's look at what can go wrong between signing that contract and closing.

1) The Home Inspection--Sooo mr seller, did you know air conditions are supposed to blow COLD air?? That's probably going to need fixing. A listing of mine that went under contract last week needs a new roof due to a recent hail storm. Let this list get too long, and expect the buyers to bail. Even if you offer to fix everything.

2) Loan Preapproval-I LOVE 1-800 numbers! Who doesn't like saving money on long distance calls?? But get nervous if your folks are preapproved with some out of state lender. While not always the case, typically this is trouble.

3) Loss of Income-The economy is still hurting in most parts of the country. Think the bank is going to lend a jobless person 250k?

4) Title Issues--So Aunt Bertha gave you the house two days before dying? I have seen title issues delay closings to a point that buyers simply move on.

5) Appraisals--Kudos for getting top dollar from the buyer. But the bank will send "their guy" out to give an assessment of the true value. Think those buyers with the 100% financing have the cash to pay the difference? Do You? Don't worry, most agents will gladly forgo their commission to make it work. Look over there, A unicorn!!

6) Bonehead Buyer Choices During Escrow--I had my personal home in escrow about four years back. Two weeks before closing the buyer bought an Acura! Guess what happened to her debt ratios???

Under contract is something to celebrate. Go ahead and let out a cheer. But let me get back to work. You see agents earn our money these days guiding homes through the escrow minefield.