Pay Dirt - Linda Cullen's Real Estate Blog

The tsunami of foreclosures is coming

Linda Cullen (Coldwell Banker) — Thu, 21 May 2009 13:39:54 -0500

Our bank foreclosure specialists had to attend a day-long meeting here in Palm Beach County, Florida yesterday. They have said that, due to moratoriums on foreclosures the past month or two, they've been a little shower than they were. They were told yesterday that the wave of foreclosures heading their way any minute now is unbelievably large. Get out your real estate life rafts!

Love today's drop in inventory statistics

Linda Cullen (Coldwell Banker) — Mon, 18 May 2009 16:32:40 -0500

I run some statistics each Monday. One of them is the inventory of housing units (all types - but they are mostly single family) in the Intracoastal section of West Palm Beach, Florida, Palm Beach County, south of Okeechobee Blvd. down to the town of Lake Worth and east of I-95.

This morning's total came at 435. I flipped back through my chart to this time last year and the number was ..... 538. That's a 19+% drop. "They" said we had a 5 year supply of inventory - and this would reduce it to four years - but there is always a supply of inventory; never ZERO. So, Hey, we are headed in the right direction!

Movement in my market!!!

Linda Cullen (Coldwell Banker) — Tue, 12 May 2009 10:10:51 -0500

South Florida, West Palm Beach .....most of 2007 I played with my cooking recipes .... most of 2008 I lived off rentals and withdrew from savings, withdrew, withdrew.... There were NO files in the "pending" section of my file drawer. Any agent who said (s)he was doing well was lying.

Suddenly I have two of my listings under contract, two buyer sales awaiting closing, another good offer coming in on another listing, and a rental listing almost rented. How wonderful!

The under $100,000 market in West Palm Beach, Florida

Linda Cullen (Coldwell Banker) — Sun, 10 May 2009 12:35:11 -0500

I've mentioned before that when any house under $100,000 comes up in my immediate area, I immediately go and see it - that way I can find the diamonds in the mess of the foreclosures and short sales to recommend quickly to buyers.

I've been doing this for one month - and taking stock today, I learn that HALF of what's out there has already gone under contract. The greatest percentage of those under contract are at the lower end of that group, but boy do they disappear quickly. You need a score card these days to keep tabs!

Are YOU on the FHA Watch List????? What IS that?!?

Linda Cullen (Coldwell Banker) — Fri, 08 May 2009 19:08:04 -0500

I have a listing. Selling agent has an FHA buyer. Contract signed. All okay. Loan in process. I get an e-mail.......

....from the loan processor to the selling agent who forwarded to ME ---- they want a copy of MY driver's license so that they can ascertain that I AM NOT ON THE FHA WATCH LIST!

The WHAT? 17 years in the business. Hadn't done FHA deals in years. Remember that I thought it unusual (but not much brain thought beyond that) that agents had to sign the FHA addendum to the contract......

WELL! Yes, I had to produce my driver's license to National City (the lender) here in South Florida, Palm Beach County, West Palm Beach ...... so that they could ascertain whether I have been involved in any previous fraudulent deals!

While it's momentarily off-putting --- it's ABOUT TIME SOMEONE STARTED CHECKING!!!!!!

The climb out of the real estate slump

Linda Cullen (Coldwell Banker) — Thu, 07 May 2009 08:36:39 -0500

This morning's Palm Beach Post released sales figures for Palm Beach County, Florida as being up 134% in the past month (from March 2009 to April 2009).

A lot of this increase can be attributed to bank-owned properties and short sales - but first time homebuyers are taking advantage of the well priced inventory. So: sales up, inventory dropping ..... those who say the market will still go lower here will shortly be saying that they SHOULD HAVE BOUGHT!

Postive thinking

Linda Cullen (Coldwell Banker) — Tue, 05 May 2009 20:24:31 -0500

It's hard to focus on the positive things that happened during the day. EVERYTHING can't be negative. If we focus on the negative, we defeat our own stamina.

Trust me, there IS something positive in every day. Take a deep breath; it will come to you. Capture that postive and tuck it into bed with you!

It's all about the CONTACTS you make

Linda Cullen (Coldwell Banker) — Sun, 03 May 2009 11:22:16 -0500

My broker is fond of saying that Real Estate is a contact sport - you've got to make contact(s). How right she is. And there are the old common denominators for contact: post cards to past clients, wearing your office name badge, being involved in your church/community/schools.

But here's a tip that's working very well for me: I'm writing a column for my local newspaper - a series of things Sellers can do to increase their chances of selling their home. You don't need to be a superior wordsmith - the newspaper folks will edit your material anyway. But newspapers are trying to sell papers, and giving tips on how to up the chances of a Seller in today's market isn't a bad thought! Send your newspaper this idea now! Suddenly you're read all over town!

Never too much information - create a library

Linda Cullen (Coldwell Banker) — Tue, 28 Apr 2009 19:02:36 -0500

I know we're all different, but having information at our fingertips is OOH so important. Yes, you say, I HAVE THAT - it's called the Internet!

Well, yes and no.

The Internet is fine if you're trying to research something of a global nature. But what about the fact that all REAL ESTATE IS LOCAL.

I started a filing cabinet (I could use three) years ago which my broker shakes her head at thinking it's going to (a) explode and/or (b) require me to ask for more space for a second. I keep files of City information (applications, permits, zoning.....information). I keep files of similar County information. When the newspaper publishes information on a project, a subdivision, an issue (roads, zoning, historic), I get out the scissors and make a folder. Some are overflowing their manilla container - but guess what - the keeper of information RULES. Can I tell you how many times a co-worker has said ..... "er.....Linda..... do you, by any chance have any information on....."? HA!

Have FUN in real estate!

Linda Cullen (Coldwell Banker) — Mon, 27 Apr 2009 16:52:12 -0500

I'm convinced that 45% of real estate is like being a teacher; 45% therepist. But that leftover 10% has just GOT to be filled with FUN. Learn to ask questions that get your customers talking about themselves. Find common ground through those conversations. Folks want to deal with real estate agents with whom they feel they have a connection.

Goodness me - finding ways to giggle and laugh makes the time go faster while you schlog through yet another home.

Tip: I bought an EASY BUTTON from Staples and keep it in my car in the armrest compartment. At opportune moments, I open it like I'm looking for a pen and ----- PRESS IT. Suddenly as the voice says from deep within: "THAT was easy!" - everyone is laughing.

Seller's Bottom Line

Linda Cullen (Coldwell Banker) — Fri, 24 Apr 2009 18:57:25 -0500

I'm amazed, now more than ever, about agents who go on a listing appointment and do NOT go through a mathematical scenario if their house sold for $xxx or $xxx. This is the most important tool that a lister can have. What is the check I will receive? What is the check I need to come to closing?

Even in the good times, more important now, a lot of agents are not giving Sellers this information. I just don't understand!

Have you been to your high school/college reunion???

Linda Cullen (Coldwell Banker) — Thu, 23 Apr 2009 19:06:08 -0500

Yeah, I know - I avoided it like the plague - until the stars and planets were aligned and an old high school friend talked me into it last summer. I had such a unbeLIEVable time. I laughed and danced ..... and danced ..... and saw high school compatriots I'd long forgotten - but we had such a fabulous time.

Do you know how many folks there are that have contacts, peripherally, that you wouldn't even begin to consider unless you keep in touch? Folks in your high school class, college class, other spheres often can be an excellent source of business. We all like to do business with someone with whom we feel we have a contact.

Don't over look it - put on your dancing shoes!

Real Estate agents "stealing" keys from lockboxes!

Linda Cullen (Coldwell Banker) — Wed, 22 Apr 2009 10:55:04 -0500

Now isn't THIS just special. I went to show a corporate/bank-owned property this morning and the lockbox is already open with the keys missing!

There are 4 agents in my office who do nothing but list foreclosed properties. They tell this unfortunate story: Another agent has a buyer for the foreclosed property. The selling agent knows that it takes time for the bank to respond. So ... the agent submitting the offer walks away with the keys so that no other agent can show the property. The same thing often happens with short sales. Can't only be happening in South Florida....

Hey - remember the Realtor Code of Ethics?!

Tips to help your Sellers increase their chances of selling

Linda Cullen (Coldwell Banker) — Tue, 21 Apr 2009 13:13:44 -0500

Often we find it difficult to tell Sellers the truth. But, delivered in a positive, caring way, it can be the best thing for everyone.

One of the very best tips I give to sellers is for them to drive away and be away a while and then come home. They need to look at the outside of their properties for the "curb appeal" factor. Do the lawn, bushes, trees, flowers need tending to? Tell them to be brutally honest with themselves. Does the front of the house look clean? If there are no flowers, is there an opportunity to put some burst of color? This sounds like Real Estate 101 - but our Sellers haven't taken this course. And what we see day-in-and-day- out, we overlook. Force them to open their eyes and look at their properties the way a buyer cruising down the street would.

Yet ANOTHER disclosure!

Linda Cullen (Coldwell Banker) — Mon, 20 Apr 2009 09:13:04 -0500

What's real estate life without yet another mandatory piece of paper and disclosure required. Recently it a new disclosure that the homeowner just make: CHINESE DRYWALL! Like this:

"Recent media reports indicate that there may be hazards associated with drywall imported from China which was installed in various homes in Florida, primarily during the building material shortages that began in 2004. Various reports have stated that some Chinese drywall products may cause the release of sulfur and other material which may pose health risks, and that these fumes may cause air-conditioning evaporator coils to corrode and fail, and pipes and wiring to deteriorate. Many of these reports are available on the internet should you choose to view them."

Additionally, faucets corroding is another give-away. This can't be just a Florida problem. Be alert.

Properties under $100,000

Linda Cullen (Coldwell Banker) — Sun, 19 Apr 2009 12:31:47 -0500

My new project.

With investors, in particular, looking for that killer deal ..... (killer price, sleeper of a property), it behooves me to become intimately familiar with what's out there so that I and my investor are positioned.

There WAS a time when buyers called about properties under $100,000 in Palm Beach County and we laughed at them.

Now in my farm market in West Palm Beach, Palm Beach County (south of Okeechobee, north of the Lake Worth line, east of I-95, west of Dixie) ..... there were 28 the other day.

I was determined to ferret out the nuggets for my investors. This means going to see each and every property under $100,000 in my immediate area. A high percentage are bank owned, another high percentage are short sales, and a few regular sales.

I'm mostly through my research, but will check the system once a week for new additions and get back in the car. Caveat: you'll probably want to go home and take a shower after your tour - don't wear your Sunday real estate best.

Your Florida / Pennsylvania Connection

Linda Cullen (Coldwell Banker) — Fri, 17 Apr 2009 10:31:01 -0500

In December I became a licensed Pennsylvania real estate agent and have affiliated with Prudential Hodrick Realty in Williamsport, PA. Of course I am still licensed in Florida with Coldwell Banker in West Palm Beach - Palm Beach County.

I have found this connection to be well worth the time. I have identified folks who own property in Palm Beach County yet live in the Lycoming County area in Pennsylvania. I have already, from that search, identified a customer who wishes to sell property in Florida - and who wants to work with someone with whom he feels a connection.

Likewise, I have found someone in Williamsport who wishes to purchase property in Palm Beach or Martin County, and again, wishes to work with someone who feels like a "connection."

Just another interesting example of searching for spheres out there with whom there are connections - if we just identify and utilize them.

What's real estate life without a little scam??

Linda Cullen (Coldwell Banker) — Thu, 16 Apr 2009 08:08:37 -0500

This is probably going on all over the country, but down here in Palm Beach County / West Palm Beach, Florida ... this is the latest due to the high foreclosure rates:

A homeowner about to lose their home and move out (and angry!) or a tenant about to be evicted (and angry!) is contacted by some new entrepreneurs using the preforeclosure lists in an innovative way. They contact the person living in the house and pay them for anything they can take: appliances, bathroom sinks, lighting fixtures, air conditioning equipment, kitchen cabinets, pool equipment and more.

A fact of our foreclosure times.

Flipping in today's market?!?!?

Linda Cullen (Coldwell Banker) — Wed, 15 Apr 2009 17:23:40 -0500

It's an interesting, and encouraging, sign of the times: when an investor can buy a property and be able to flip it almost immediately. Whether it's an approved short sale, a foreclosure, or a "regular" seller just wanting to get out and move on with his/her life.....suddenly we're back into an interesting market. I just closed a deal today in West Palm Beach, Palm Beach County that may result in a flip.

Remember: that purchaser may not accept a contract for sale for 90 days from closing if the next buyer is going to finance the purchase.

Perspective on Property Values

Linda Cullen (Coldwell Banker) — Mon, 13 Apr 2009 17:56:59 -0500

I used to keep a log, year to year, of average sales in Flamingo Park, West Palm Beach, Palm Beach County. For some reason I stopped in 2004. Perhaps it was my own way of saying to myself that property prices/values had gotten way too out of hand. What did it matter? Values were way above the clouds; you couldn't even see land down there.

I got back to the calculator the other day. While a lot of property values hit their peak in Palm Beach County in 2005, it was 2006 that Flamingo Park hit its top. And, of course, average sales prices for 2008 were 56% off those in 2006. Very bad news for those who bought at or near the peak.

But, more interesting and encouraging is this: Property values in Flamingo Park are up from 1998 to 2008 116%. For those of us who have lived there quite a while, but still have been afraid to hear the current statistics ---- this means that we've received a 11.6% per year, on average, appreciation. Where else do you get that but in a solid, dirt (not condo), stable (and historic) neighborhood?!

Easter Real Estate

Linda Cullen (Coldwell Banker) — Sat, 11 Apr 2009 16:27:51 -0500

The office is "officially" closed tomorrow for Easter Sunday. Hmmm.....I've got some work to catch up on - and there will be no one to answer the phones which will be put on "night line." Ha! You just never know who might want to talk about purchasing a home in West Palm Beach or Palm Beach County (or selling a home) on Easter Sunday. I think I'll just hop on over to the office, quick like a bunny, and turn that phone ON and see if there isn't some customer that I can help ..... or help another agent with showing instructions.

Some Agents Are Criminals

Linda Cullen (Coldwell Banker) — Thu, 09 Apr 2009 12:02:53 -0500

In today's market, it's a CRIME not to do everything we can to represent our sellers. Have YOU tried to show property just to be told by the listing agent things like, "I have to meet you and it's not convenient for me....."? Remember that we are hired to do everything legally possible to sent or rent a property. We need to be even more flexible than usual. We need to ask how fast we can run, how high we can jump -- and we need to do it with smiles on our faces.

We need to make certain that we answer our phones, listen to our messages, return our calls, make sure that our mailboxes are not full.

Many of the part-timers and inexperienced agents who entered the market at the height are gone. But those of us who are still standing need to do everything possible to ensure that we continue to stay in the business --- by giving excellent service.

Tropical Storm Fay - needed rain

Linda Cullen (Coldwell Banker) — Mon, 18 Aug 2008 14:47:24 -0500

Palm Beach County is mildly watchful as Tropical Storm Fay decides where she wants to visit in Florida. Only a very few on the east coast are putting up their hurricane shutters. It doesn't hurt to be prepared; no matter where you live (the snow belt, tornado alley, along the California earthquake faults), every good Girl and Boy Scout knows the importance of preparations.

So here we have batteries and bleach and extra non-perishable food supplies. One of my friends and neighbors parlayed one of our hurricanes into an opportunity to write a cookbook about creating great meals without any power - Storm Gourmet by Daphne Nikolopoulos - check it out; it's wonderful and it sells all of the country.

A creative sort we are here - we're exciting and always looking for a new way to make lemonade out of our wonderful lemons. Throw in a little citrus vodka - and VOILA, here in Palm Beach County we watch the Weather Channel with one eye and know that we're prepared!

TODAY'S GOOD REASON TO BUY A HOME in PALM BEACH COUNTY, FL

Linda Cullen (Coldwell Banker) — Sun, 17 Aug 2008 15:07:48 -0500

There are so many that it's difficult to decide which one to pick. But I'd been thinking about "fall" and the colors changing up in Pennsylvania and in Lycoming County ...... and when to call the airlines to book another visit..... and that led me to thinking about the fall and winter preparations up north ....now THERE is a LIST!

Take in the outdoor furniture - drain the pool - chop or buy firewood - put up all the storm shutters (two entirely different meanings for up THERE and down HERE....!)....and the list goes on So, here's the biggest reason today for buying a house and living in Palm Beach County (or elsewhere in South Florida) - we save all that energy for the couple of times we have to go inside to get a sweater!

YOUR REAL ESTATE AGENT OF CHOICE between Florida and Pennsylvania!

Linda Cullen (Coldwell Banker) — Sat, 16 Aug 2008 12:16:33 -0500

Well, very soon - because that's my plan. Of course there is the Pennsylvania pre-licensing course (I start tomorrow) and then the state test which I can take here in Florida. And then, I can help YOU find the perfect fall and winter home with the beautiful changing leaves, deer hunting, and nearby skiing. And I can help YOU find the perfect winter home where the palm trees sway and the balmy breezes waft under the blue sky.

And if you want to sell your home up north and live in Palm Beach County, or elsewhere in Florida full time - or, if you live in Florida but miss all your northern relatives too much and want to return to Pennsylvania, I will be able to help you with that too.

And.....if the gas exploration of the Marcellus shale comes to profitability up there and you're moving to Lycoming County, Pennsylvania for job reasons, I'll be able to help you to find the perfect home in or near my old home town, Williamsport, Pennsylvania.