DC & the Maryland Burbs Real Estate Blog

The Road Home

John MacArthur (ReMax) — Sat, 05 Dec 2009 23:07:03 -0600

And who says there aren't side benefits to this job ???

Photo by Lourdes Tudela

envelope please . . . and the answer is . . .

John MacArthur (ReMax) — Tue, 17 Nov 2009 20:32:31 -0600

Sometimes difficult questions have the simplest answers.

Click on the houses above to search for one of your own.

Olney, MD ... one of Maryland's best kept secrets . . . revealed

John MacArthur (ReMax) — Tue, 10 Nov 2009 08:46:41 -0600

This month our feature area is Olney, Maryland. Olney, Maryland is located about 20 miles north of Washington, DC. It remains one of the nicest neighborhoods in Montgomery County. Oh, Takoma Park residents can lay claim to being the most eclectic, but those that live and visit Olney know that "like a good neighbor, Olney is there".

There really isn't a "town center" in the Olney area. Various shopping centers located in and around the intersection of Georgia Avenue and Olney-Sandy Spring Road ( that is 97 & 108 to the locals) try to lay claim to being the focal point, but those that live and love the area know that it is spread out just a bit.

One of the true delights about this community is the diverse attractions that are nestled in spots very close to the main road cross section. It is a community made up of neighborhoods that loosely surround that Georgia Avenue and Olney-Sandy Spring intersection.

If you travel west on Route 108, past the shops and post office you will discover the playing fields of the Olney Boys and Girls Club. These fields are filled with children competing at different levels every season. In the fall, you can enjoy the delights of the "field of screams" (an annual fund raising and hair raising event that is open to the public).

Seasonal Family Fun

A trip north of the crossroads will take you to the Inn at Brookeville Farms. The Inn at Brookeville Farms is an excellent choice for an enchanting night out, a special occasion, or just a fun evening with family and friends. The restaurant menu features classic American cuisine with a variety of choices including the finest beef, fresh seafood, and succulent lamb along with local and regional specialties. An extensive wine list encompasses choices from the great vineyards in France to the best wines from California as well as selections from Australia to South Africa.

The ambiance of yesterday

The Inn at Brookeville Farms

Travelling east from the intersection of Georgia and 108 will lead you to the Olney Theatre Center. The Olney Theatre Center, once a home of "summer stock" has become a year round source of wonderful live productions. The Olney Theatre Center enjoys a rich tradition of over 60 years. The theater's founder, Steve Cochran, dreamed originally of opening a straw-hat theater in a relaxing country setting accessible to both Washington and Baltimore. On July 25, 1938, the theater opened its doors for the first time with a production of Ladislaus Bus-Fekete's "The Lady Has a Heart," which starred Elissa Landi of "movie fame." Early playbills dubbed the playhouse "The South's First Professional Summer Theatre" and over the years, some of the biggest names in theater and film.

Olney Theatre Center

Heading south from the intersection of Georgia Avenue and 108 will lead you to the Olney Golf Park. Golf enthusiast have found this facility one of the finest in the DC metro area. It is a fact that the staff will make sure that you have all the tools necessary to get in that important practice before your next round. They also have a fully stocked pro shop. The main reason this stop is high lighted has to do with their commitment to our troops. They run a program for disabled veterans and all of the pro's donate their time to offering those that have served instruction and encouragement. Their focus on giving back exemplifies the nature of community spirit that exists in every corner of this community.

Olney Golf Park

There are so many features of this community that they can not all be mentioned here. Local's know the delight of walking in to a local tavern or pub and having everyone know your name. Sherwood High School is supported by the community and fall friday evenings see the team play before a packed house. The local hospital has a summer event which is always a fun day.

If you are looking for a place to hang your hat, raise your family or retire comfortably, you really should take a look at this jewel, just 20 miles north of our Nation's Capital.

If you would like to know more about Olney, MD or any of the surrounding neighborhoods, give me a call at 301-509-5111. As always, you can search for properties by clicking ... here.

Know Your Forms - New RESPA Closing Documents On The Way!!!

John MacArthur (ReMax) — Wed, 04 Nov 2009 08:45:15 -0600

It is important that everyone understand that "business as usual" is long over. The new forms will be used. There are major changes in the way the process will unfold.

Via Gary Woltal - Associate Broker REALTOR® Dallas Ft. Worth (Keller Williams Realty):

Come January 1st, 2010, as a REALTOR or a consumer at the closing table things are about to change as far as the Good Faith Estimate (GFE) and Settlement Statement (HUD-1). Links below will allow you to print these out to familiarize yourself with them. Both now are three pages in length. The highlights:

Revised Good Faith Estimate (GFE)

GFE tolerances on settlement costs (1/8 point allowed to be in error)

Revised Settlement Statement (HUD-1)

Revised definitions for application, Good Faith Estimate, and Mortgage Broker

Additional definitions for changed circumstances, origination services, loan originator, prepayment penalty, third party, title service and tolerance

Elimination of 1% origination fee cap on FHA loans

RESPA (Real Estate Settlement Procedures Act) forms apply to federally insured or backed loans such as FHA/VA/Conventional and NOT cash deals. There is also a 30 day cure period to give lenders after closing the ability to meet the tolerance. The closing script is eliminated as it is contained in the revised HUD-1. Average charges can be used by service providers and is not limited to loan originators.

Bottom line is it looks like the new GFE and HUD-1 want the borrower to be as crystal clear on everything related to the loan. It looks like the fastest you could go from app to close is about three weeks. On page three of the new HUD-1 boxes compare GFE and HUD-1 costs. On page 3 of the GFE they clearly in the instructions state what charges CANNOT increase past the GFE, can increase up to 10%, and what charges can change. It is VERY clear. The only thing weird I saw on both the new HUD-1 and GFE is it never clearly says the PITI monthly payment but just principal, interest, and mortgage insurance in the loan terms.

It looks a lot different for most of us, but print yourself out a copy and take a look. January is NOT that far off.

Revised Good Faith Estimate (GFE)

Revised Settlement Statement (HUD-1)

With closings averaging 130 pieces of paperwork both the REALTOR and the consumer need to know about these documents ahead of time. One last tip for both groups in this area, be sure to show up at the table with a U.S. government issued ID with a picture and your signature. This is mandatory for identification purposes. Good luck and happy closings!!!

like a butterfly . . .

John MacArthur (ReMax) — Wed, 21 Oct 2009 02:07:14 -0500

The night air is turning cooler in the mid-atlantic region. The early autumn warm winds have turned cool as we move closer to Halloween. It is a great time to get outdoors and spend a little time with Mother Nature as she sheds her summer wardrobe and prepares us for the fall.

There is much to be learned from a walk in the park. It is the time of the year when mums strut their stuff. Each plant preening for just one more visit from the butterfly. Most of the butterflys have gone. A wiser man than I might know where they go. I just enjoy them

They don't seem to fly......no, they flit.........from here to there and back again. One day they are here and then....gone again.

I was just sitting on a rock, watching the last butterfly of the season. I thought .... one small creature creating so much beauty and grace as it moves through it's own life cycle.

I realized that love is like that butterfly. It shows up and dazzles you with beauty and grace. You sit in wonder. You enjoy every movement. Days can be spent pondering the ease with which it captures your spirit.

Then the fall comes, as it must. The butterfly is gone.

It was never yours anyway.

Butterflies, like love, are to be enjoyed for the moment. They should never be taken for granted. They should never be expected to more than they are............butterflies. Love is the same.

Don't despair.........fall will turn to winter and winter will turn to spring. Spring will bring flowers and if you are lucky, a butterfly again.

This too shall pass . . .

Fells Point or Canton . . . Take your pick and come home !

John MacArthur (ReMax) — Mon, 19 Oct 2009 14:01:01 -0500

This is the Inner Harbor in Baltimore

There was a time in the not so distant past when it was a very expensive place to live. Times have changed and homes are affordable in this area. The two hot spots are Fells Point and Canton.

Both neighborhoods are located close to the inner harbor. Both neighborhoods feature an urban lifestyle that has been attractive to young professionals. There are bars, restaurants, shops, galleries, boutiques and cafes. The homes are from another era, cute row homes that feature individual characteristics from days gone by.

Each season brings new experiences. As Autumn turns to Fall, the smell of burning leaves is mixed with the warm scent of bread cooking at the bakery. Winter brings the comfortable scent of wood burning from chimneys and pine roping that adorns storefronts. Spring arrives with fresh smell of flowers in bloom. Summer follows with the unmistakeable aroma of craps steaming.

If you are ready to take a trip to this little corner of the world, give me a call. Prices are now down to the low $100,000 range. Interest rates remain favorable and with or without the tax credit.......these homes are a steal.

I can be reached at 301-509-5111. If I don't answer, I might be enjoying the finest crabcakes this side of nivana, leave a message and I will get back to you.

Fells Point Area

Canton Area

100,000 .......I got a lot more than points along the way.....

John MacArthur (ReMax) — Sat, 17 Oct 2009 21:42:05 -0500

I have shared thoughts, struggles and victories. I have commented here and there and left a mark or two. I have been brilliant and dull. I have been on target and off base. In so many ways, this piece is me. It was never put to paper at it's inception. I was driving from Silver Spring, MD to Rochester, NY. A friend was sitting next to me. I asked her to write down the words. They just rolled in my head and out my mouth.

That never happened before and never happened again..that i can recall....

This is about blogging, life, friendship, etc. ........... when it was created...I was not aware of how deeply you could appreciate the look in someones eye........

When I first joined here.......I blabbered........I blogged....I learned............ I have grown as a person. In turn I grew as an agent. ...........I have stood at the top of a few hills and wallowed in a few valleys.

100,000 + points later, I can only say that for me............they barely tip the scale of the friends, knowledge and confidence I gained along the way. I share the following because it is what it is and I understand what I was saying so long ago.............thanks for the ride AR...

the look of your eye

look at me . . .

look in my eyes

see me . . .

i have no disguise

your vision is veiled

you're lost in your lies

look at me . . .

look in my eyes

i am who i am . . .

not what you see

stop what you're doing

open your eyes . . .

look at me

we see the same pictures

we know the artist's name

but the way that we read it

can never be the same

we're children of the universe

from a different place in time

seasoned by our journey

nurtured by our wine

enhanced by our gardens

and the fruit of our days

unable to reach each other

lost in ego's haze

and i live within Abelard

the pain of his desire

and i see you in Heloise

and the roar of her fire

and i understand their victory

beyond those days of sin

and i understand their passion

in a place they've never been

and i understand their sorrow

for all the joy once they shared

and i understand tomorrow

exists for those that dared

and i see myself in Romeo

reaching for your Juliet

laying in your garden

waiting for the sun to set

fore we'll find each other in nightime

when red lights share their flame

but my twilight lasts forever

poor Romeo's insane

so Juliet lays there steaming

creaming through her night

exhausted in her passion

though never losing sight

of the places she has drifted

and how she sailed the seas

all the sailors that she lifted

and brought them to their knees

but then again i find freedom

beyond your Hoover Dam

my power is the water

my weakness is the sand

fore should my keeper free me

i'll overflow your sin

you'll be cleansed from your gift-giving

you'll see me for who i am

you'll understand the universe

and your place in time

you'll understand that reaching out

can be your biggest crime

you'll have the power of my knowledge

that Cain has shared with me

you'll see that when you're holding on

you're shackled and never free

you'll claw to remove the blindfolds

and pray to regain your sight

you'll leave the sons of darkness

crying in their night

you'll stand waiting to be taken

knowing you've nothing to give

nakedly trying to offer

the life you want to live

but it's not the piece that's missing

that fails to make you complete

you must learn to share your nectar

life's blood can be so sweet

and when Rapunzel pricked her finger

spinning that golden thread

her spirit never died

it was just the things she said

and if i must be Prince Charming

i'll kiss your death away

you see . . . i love you

that's all i'm trying to say

and if these words shake you

and make you wonder why

sometimes deeper answers

are found in the look of your eye.

Maybe the blind can see . . .

John MacArthur (ReMax) — Tue, 13 Oct 2009 12:22:21 -0500

Old story........drunk man sitting by the curb....dog walks up and sits next to him..............dog says........boy, you sure look terrible. drunk and sitting on the curb in your underwear. .... man never lifts his head...just belches and mumbles........if you think I look bad, you should see it from my side of these bloodshot eyes.

Before humor became misogynistic and bawdy, this sort of story caused a chuckle. There is a great deal of truth in stories like this. We are all usually very guilty of seeing the world and everyone and everything in it from our own perspective. We are apt to claim.......how else can we see things.

Step back...........yes, you see things from your own perspective but don't you think that your current state of mind naturally limits your focus. Isn't it possible that your current place creates your immediate reaction and all the experiences locked away in your memory stay hidden?

Empathy is never immediate. By its very nature it is the opposite of the Darwinian need to survive. It calls on each of us to set aside our perception of right and wrong and what may or may not be fair or proper. It requires that we follow another old adage....

"before you judge a man, walk a mile in his shoes"

How many times have we sat at a listing appointment and been prepared and had all the data about market trends and recent sales. We have had a bag full of graphs. We have been prepared to refute all arguments about price. We have sat and carefully gone over the data.

Then the seller has calmly looked at us and said........"I think we can get more" or any other of the thousand responses that mean "I am not accepting what you have presented".

Stunned ! We scramble and re-do the highlights. We go through the salient points of the presentation. We have the facts and we reinforce our argument. We are the expert here!

Often, we either take the listing at the price the seller wants with hopes of reducing it when traffic does not exist and offers fail to appear. We slink off knowing that we are right and "By God, the market will prove it!"

Come on folks, that is not representation. It may take a bit more time, but effective representation requires that you gain some knowledge about the process from your client's perspective. Fiduciary responsibility is not another term for Agent knows best.

It may surprise you, but getting the listing is not the goal. Your goal is to listen and understand the situation from the client's perspective. You job is to grasp the situation from the client's viewpoint. When you fully understand their position, then and only then can you determine if you can provide a service that will be beneficial to them.

Each and every seller deserves your full attention. Your ethics require that you put their interest first. In a way, you are admonished to put on their shoes for a bit and understand. Then proceed.

Please don't get caught up in the "I don't do this for free" or the "I have to charge a certain fee to do my job.". There is nothing here that precludes your being paid for the service your perform. If a client can not pay you what you desire........walk away. Accepting a listing that is over priced and putting time and effort into a home that will not sell at that price is very much like working for free.

You earn money performing a service. Fact finding is where you determine the situation and see if you can be of assistance. If you slow down and truly empathize with customers........you will find you end up with more happy clients and closed transactions.

Take a clue from the blind.........learn to listen with all your senses. You will be better and the world will be better served.

Walking with Dinosaurs . . . . .

John MacArthur (ReMax) — Tue, 22 Sep 2009 16:28:53 -0500

Walking with Dinosaurs !

Last weekend, I had the opportunity to attend the travelling road show "Walking with Dinosaurs". I have to admit that I was thoroughly entertained. Robotics have come a long way. The eyes of the younger children in the crowd grew wide with amazement as life size replica's rolled onto the arena floor. The roar of T-Rex paralyzed young and old alike.

Driving home we discussed the era and how the dinosaurs were wiped out in an instant. The cataclysmic event of a gigantic meteor hitting the earth in the area of the gulf of Mexico created an after effect that ended life at it was know on the planet.

It happens. Many articles have been written using the dinosaur analogy. I have read many. They cast aspersions on those that still do business with napkins, scraps of paper and land lines. They scoff at those that still do business the same way today that it was done 20, 30 and 40 years ago. They miss the mark. They miss the important point. They overlook the obvious.

When the environment changes...

Dinosaurs Die

Now, to be sure, some things remain the same. Homes are staged, prepared for market and listed. Often, the agent will hold a broker's open. They use this to invite agents in to preview the home for their clients. In many markets, this tour takes place right after the Tuesday morning sales meeting.

Agents get in their caravan and drive around visiting these open houses. They then return to the office and pull out their roll-a-dex and proceed to call a few clients. They focus on those that may have a desire to see the home.

On a good day, the agent might speak with two or three clients.

and that my friend...is walking with dinosaurs.

The environment has changed. The telephone is a wonderful way of connecting with you current and past clients. Have you noticed.........it is not just a landline anymore. The telephone can be used to connect with your entire client base, with the flick of your finger.

Say hello to Twitter

This is a new tool available to anyone. It does not have to be used to share your every act. It does not have to be used to share your every idle thought. It is a way that you can let your entire client base know about that open house. It is a way you can share the information with everyone. It is just possible that your three, four, five or more calls never reached the right target. With twitter, you can reach them all.

Say hello to Facebook

This is a new tool available to anyone. It does not have to be used to share you high school pictures. It does not have to be used to share notes to friends. It is a way that you can let your entire "friend" list know about that open house, one of your listings or any of a myriad of things. It is a way that you can share information with everyone on your list. Again, it is just possible that your phone calls did not reach the right target. With Facebook, you can reach them all.

What else can you do with these new toys? You can create the appearance that you too can communicate with today's buying and selling community. Using them moves you from the old environment that is doomed to the new world where business is still being transacted.

Interest rates going down or going up? We all know they are in flux. You can share the information quickly and become the expert within in your sphere of influence with a tweet or a post.

There is always something new in our world of real estate. You can pick one item and share it quickly with a tweet or a post and solidify your position as an expert within your sphere of influence.

You have invested time and effort into your career. You have knowledge. Share it. There is a reason that you are paid a reasonable commission for your efforts. Don't keep that a secret. Take the time to share information with your sphere. You will be the expert they seek. It only takes a tweet or a post.

p.s. - small tip...don't be a pest (modern term is spammer). Only share once or twice a week. Don't post just to post. Don't tweet just to be seen. Quality is valued much more than quantity. With patience and perseverance, you will walk away from the dinosaurs and survive the current climate change.

Educating Consumers About Real Estate..I believe...Do You?

John MacArthur (ReMax) — Tue, 01 Sep 2009 21:56:01 -0500

Educating Consumers About Real Estate

Everyone should have access to the truth regarding buying or selling a home.

Knowledge requires understanding facts.
The confusion caused by "media" misinformation must be resolved.
Every transaction is governed by real estate law.
In Maryland, every client has the absolute right to representation.
The quality of representation has no relationship to the size of the brokerage.

Sounds pretty basic. As a matter of fact, it is the position every real estate agent or lender should support. So often, causes are created to raise funds. People hope to take advantage of the growing social networks and get donations for things that are important to them.

Tudela-MacArthur created this cause to raise awareness.

If you are a member of facebook, please click on the link and join the cause. It won't cost you any money. We believe that in the long run, supporting this cause and acting accordingly will save consumers thousands of dollars and offer the opportunity of a lifetime of happiness.

I am JMac and I believe.

Do You?

Educating Consumers About Real Estate

Now John..... why would you share that ?

John MacArthur (ReMax) — Mon, 17 Aug 2009 12:18:08 -0500

I personally have always felt nothing is gained when you don a new pair of shoes to hide your feet of clay. Waxing philosophical seems to be my modis operandi. You see, there is a provable fact that the continuum of our species goes back hundreds of thousands of years.

Millions of people have been born, lived and died. They are dead and gone. All that is left is the memories that continue to fade with each passing generation. It would seem, our greatest impact is now. Our only chance to make a small difference in the stream of life is to admit who we are, and share the good we each have to offer. Life's lessons are replete with lost opportunities and successful actions. The successes can only be realized when measured against the failed attempts.

Failures are just steps that put us closer to success. None of us is perfect. The longer we live, the more we actually see ourselves for what we are. We are just part of a collective group of people, living together in different places and different stages.

The way we view the world around us is the result of our experiences. This is partially revealed in the tragedy of 9-11. The young wanted to take up arms. The middle aged were angry and fearful. The older generation wondered why does man continue to destroy in the name of God. This is a generalization, but it speaks to the way one event is viewed by the cross section of humanity. To a greater scale, one group of zealots cheered the successful attack on our country and another group decried the senseless loss of lives.

When we are young, we fear having our failures exposed because we see them as a weakness. As we age, we see that each failure or mistake is merely a stop on the way to being "all you can be". Certainly, there are some that suffer from mental or emotional illness. They can not see reality. The vast majority of us are healthy and whether we admit our frailties or just ponder them in the dark of the night....we know they exist.

I share my life openly now. I hope that others can maybe see my mistakes, see the pitfalls I encountered and see that they all can be overcome. Regardless of how things appear as they occur, the intent is buried beneath the facade of what we present.

There is an old Waylon Jennings song "I've always been crazy" that has a very poignant line....."I can't say I'm proud of all the things that I've done, but I can say that I've never intentionally hurt anyone." That would be my desired epithet. Put it on my tombstone and let my ashes drift in the wind.

I am human. My profession is a Realtor. I am so much more than that, yet, I am that at all times. I am also a partner, a writer, an artist, a golfer, a dad, a Catholic, a joker, a friend, a patriot, a lefty, etc. All these things make me .....me. I am certainly ashamed of some of my actions and proud of others. I continue to strive towards being a complete person. Sharing posts such as this are another step in my journey. I do not seek sympathy, no, I see disclosure and the shared belief that "the sun always comes up... tomorrow."

Before she is just a memory .....

John MacArthur (ReMax) — Wed, 29 Jul 2009 22:51:20 -0500

Abue

A good friend of mine just returned from a 10 day foray into the wonders of a 30th High School reunion. She travelled to her native Peru...Lima to be exact.

Now, for the uninformed, high school classes in other countries are much closer knit than the chew'um up and churn'em out variety we have here in the good ole U.S. of A. These folks stay in contact from year to year. They share their joys and sorrows via visits or emails or telephone. They remain close regardless of the number of miles that may exist between them.

The trip was planned as the 25th reunion came to an end. My friend worked out every detail. She helped organize the lunches, teas and dinners. She helped plan the big party. She carefully plotted child care, travel and other details. As the day drew near, emails, facebook notes, and phone calls were shared. Lists were checked to see who was going to be there. The apprehension of stepping out of her everyday life was over shadowed by the excitement of seeing familiar faces one more time. The fervor of being with her group, going back and sharing and the warmth of belonging called her long before the airline loudspeaker announced her flight.

She had planned to stay with her grandmother, Abue and aunt Elena while in Lima. It was a typical 3 bedroom flat. Did I mention she had not been in Lima since she visited in 2007 to celebrate her grandmother's 100th birthday?

You see, her grandmother practically raised her. Her grandmother, widowed at a young age raised her mother and two aunts and one uncle. She did it alone. She never remarried. She raised her children and when the situation arose, she stepped in and helped raise her grandchildren. The soft scent of rose water brings a rush of memories. When times were happy...Abue laughed. When times were sad....Abue consoled...........when times were hard.........Abue squared her shoulders and moved forward. She taught grace and fortitude by example. She planted the seeds that grew into the behavior and grace and style of my friend. She greeted my friend with a gentle smile. She knew it was the big reunion and sat quietly while my friend left to go meet with her friends.

Laughter, hugs and tears of joy were shared as the group met that night. My friend was delighted to see so many had made the trip this time. They did all the things that you would imagine. They shared stories of families, babies, old love, new love, jobs and life in general. It was if the clock stopped and old friends had been transported back to a time before the ups and downs of life grabbed them. Wistful thoughts of roads taken and roads abandoned were forgetten in the quiet peace of remembering dreams planned

Abue sat in her favorite chair and waited.

My friend rushed home and spent a little more time with her grandmother. Her aunt Elena waited until grandmother was asleep to share that Abue was gravely ill. She had but days or weeks left. 102 years had taken their toll. My friend was devasted. She was torn between the sorrow of losing the woman that has been her role model and source of quiet comfort all or her life and going out and celebrating with her friends.

She went to the party. She went to the cafe. She went to the park.

And she came home every evening and laid down with her grandmother.....her precious Abue......the soft scent of rose water wafting in the air.

She did miss some of the parties.......and she did miss some of the events, telling friends that the trip had worn her down and she needed a little time to rest. I know she really just wanted to stay and comfort this wonderful woman.

The reunion came to an end................the days after were spent sharing and preparing. Then it came time to go. It was time to say goodbye. It was time.

My dear friend kissed her grandmother and posed for a picture, then another and then one more. She kissed her soft fuzzy cheek, inhaled the scent of rose water one more time and walked out the door.

The ride to the airport took her through childhood streets and sounds of yesterday and memories rekindled at every turn.

Now, emails are shared with friends. Photos are posted of the event. Plans are being made for the 35th. My friend is back here, trying to get back into all the things that are going on here. She is trying to focus. She is seeking the strength of that dear 102 woman. She is waiting for her Abue to tug her foot.

Her mind is on her grandmother.........her heart is in Lima.

I only wanted to share..........I do not know her grandmother. I know her. I know her strength in times of struggle. I know her compassion when others suffer. I know her wit in moments of gloom. I know her passion for justice. I know her love of her three children. I know her willingness to accept blame for error and her capacity to get it right. I guess... I do know her grandmother.

I see Abue in my friend every day.

So, if you have a moment tonight, pause and say a little prayer for Abue, that the passing will be soft and the landing gentle. A fine light is dimming but so many jewels are left behind. These things are important to share now...before she is just a memory.

UPDATE: Today, Friday August 14th our dear Abue passed away. She will always be with us, even if now, she is just a memory.

when language languishes literally

John MacArthur (ReMax) — Wed, 22 Jul 2009 09:17:03 -0500

from a spec

on the ocean floor

to land

to stand

evolution

fact or fate

the human race could not wait

and

from grunt to groan

we've grown

have we

there are no words to express separation

there are words that attempt to express separation

pain

but you have to travel back to the wild

you have to wait for a summers eve

you have to wait for the moon to rise

you have to wait

from the still quiet on midnight

hear the howl of the wolf

understand his pain

hear the howl of the wolf

it reaches beyond understanding

skin crawls

goosebumps rise

tears form

hear the howl of the wolf

no words are necessary

no words could be more expressive

no words

just the howl of the wolf

tonight

i will howl..........

Do You Want to Be a Superstar? Eh, Not Really...(and that's okay)

John MacArthur (ReMax) — Mon, 22 Jun 2009 11:03:12 -0500

Rumors of my untimely demise are greatly exaggerated. This year has been a whirlwind. I have added an entire group of agents under my wing when I accepted the position as manager ( I never realized how important and constant a helping hand might be. The burden of so many questions and fires to be put out is well balanced by the joy of helping). Then, I have been busy as a Realtor. No, the market is not sizzling, nor is it frigid......it is the market. I have been fortunate and continue to succeed in completing transactions. Then, well, let's just say that my personal life is better than ever and I have enjoyed the rewards of placing those I love first.

So, my dear friend Jenn blogged ...from my heart through her fingers...Happy minds think alike.......enjoy this post.

Via Jennifer Allan, Author of Sell with Soul (Sell with Soul):

Visit most real estate training sites and you'll pretty quickly see references to being a Superstar or a Champion or a Hero or a Top Producer or some other high-falutin' descriptive term for a tippy-top level of real estate production. You'll see testimonials from agents who bought whatever system is being marketed claiming to have tripled their income or hit the half-million mark in commissions or sold 167 houses their first month on the program.

Wow. That's something. I'll admit to being intimidated by such marketing, both as an active real estate agent AND a real estate trainer myself. Gee, I never made $500,000 or sold 300 houses in a year. Neither has anyone I've ever coached or mentored or trained.

Do I believe the claims? Sure I do - no real reason to believe that such levels aren't attainable just because I never did it or know anyone who did.

But I don't believe that the majority of agents are going to see anywhere near those production levels, regardless of what system, program or philosophy they follow. No, not even in a good market.

And that's okay! I have a loyal following of several thousand real estate agents who don't want or need to set the world on fire - they just want to make a consistent, comfortable living, doing business in a manner they're proud of, making more people happy than unhappy. They also want to have time for their families, their hobbies and their naps. They don't want to be Power Prospectors who generate business 14 hours a day and then hand it off to their harem of assistants and specialists on their way out the door to drum up even more.

Hey, there's nothing wrong with wanting to be the Top Dog in your office, neighborhood, city, county or state. But if you don't, that's okay, too. There's plenty of room (and commission checks) here in the middle for those with slightly less-grand aspirations.

So, don't fret if you doubt you'll ever be a Superstar. You're in very good company.

It's DONE!
The Sequel to Sell with Soul
AVAILABLE NOW!
Order Here

Sorry to spoil the party, but we're not at the bottom!

John MacArthur (ReMax) — Thu, 07 May 2009 15:44:20 -0500

It is a rare thing when someone in a position of power addresses a situation honestly. This is a very important issue and the writer is telling the truth. As it now stands, there is not one program that addresses this issue, not one agency reviewing this issue and not one sound bite from Obama's fix it all group regarding this problem.

The current price of homes is of little consequence. The current interest rate is of no consequence. We have not even seen one tiny iota of the calamity facing the housing industry if this issue is not addressed.

This may be the most important post found on Active Rain this year.

Via Spencer Rascoff (Zillow):

There's an interesting thread in Zillow Advice right now discussing whether we're at a bottom in the housing market. And the discussion is very timely because today Zillow released its 1st Quarter Home Value Report, detailing what is happening to home values in 161 cities. It's by far the most comprehensive report about the housing market in terms of its breadth and depth. True, individual Zestimates have their issues (more about Zestimate accuracy), but the Zillow Home Value Index is very reliable because it has enough aggregated data to wash away inaccurate Zestimates -- in other words, statistically speaking, for every Zestimate that's too low, there's another one that's equally too high, so the ZHVI is highly reliable.

So, what does the data say?

First a reminder about methodology. Zillow's reports speak to the value of almost every single home in the country, not just those that sold in the period. This is a very improtant distinction, especially in the current market environment in which less expensive homes have become a much bigger part of the market than traditionally. As a result, data that reports on median sales price (e.g., NAR's data) is very unreliable and dramatically overstates the level of decline to the typical homeowner. I previously discussed the unreliability of median sale price here.

OK, here are the highlights -- er, the lowlights, I mean:

the USA ZHVI (the median value of almost every home in America) declined 14.2% in 1Q09 versus 1Q08, the 9th straight declining quarter

Americans lost about $700 billion in home values in the 1st quarter alone

1 in 5 American homeowners (20.4 million homes) are now underwater on their mortgage

Was there any good news?

A few markets were bright spots, including Fayettville NC (military bases) Oklahoma City (solid local economy) actually gained in value

Some markets that have been very hard hit (e.g., Los Angeles and San Diego) are no longer increasing in the rate of decline. In other words, although home values are still declining there, they're not declining any faster than they already had been declining. So things are still bad, and getting worse, but not getting more worse. I guess that passes for "good news" nowadays.

And now for the really bad news:

There is a massive amount of "shadow inventory" waiting to come online. Specifically, 12% of homeowners say they're "very likely" to put their home on the market if there was evidence that the market was turning around. Another 8% were "likely" and another 12% were "somewhat likely". In short, there might be another ~20 million homes waiting in the wings to come onto the market as we see signs of a recovery. When asked what "sign of recovery" they needed, 71% said "increasing home sales in my neighborhood". That's a massive amount of potential new listings, when considering our current ~4 million listings. To be fair, some of the current 4 million would have been sold before those new sellers come on the market. But the point is the same: as I said in Forbes, this is going to be an L-shaped recovery. New listings are going to come onto the market rapidly as soon as people believe we've bottomed, and the new listings will sop up what little new demand there is.

Sorry to be a party-pooper. I'm not going to spin things overly positively or overly negatively. I'm just calling it like I see it.

Links:

Zillow Home Value Reports media room

Master spreadsheet for the USA

Find all 161 cities here

Stan Humphries' (Zillow's head of analytics) post on Zillowblog

Overlooking the obvious ?

John MacArthur (ReMax) — Thu, 16 Apr 2009 07:44:58 -0500

So much has changed in a few short years. It seems like only yesterday that buyers were coming through the office door wielding approval letters that far out paced their ability to pay. In those days, buyers found no doc, no verification, no down payment, no interest, no common sense loans available from anyone that had a dime to lend. They filled open houses, created a buying frenzy that rivaled filenes wedding dress rush and created a demand that spiked housing prices across the country.

Then the bills came due, rates went up, resetting occured, the economy stalled and that large housing bubble popped like a prom night pimple. We are reeling as the market returns to normal. I think most people feel that there must be pent up demand out there. All the life events that created a need in the past continue to occur.

Yet, homes remain unsold.

So, I thought something is amiss. We keep hearing the phrase that interest rates are at historically low values. Money is cheap. We keep reading about the wave empty homes. Supply is there. We keep hearing that based on all the financial data, now is a great time to buy.

Yet, homes remain unsold.

If you put the situation under a microscope, you find that one of the problems that exists today is related to the lack of information being provided buyers. For some crazy reason, the NAR and others keep harping on the INVESTMENT value of a home. In my opinion, too much is focused on the "long term" gain and tax advantages of home ownership. People buy homes because they want to own a home. They want to have the security and well being provided by all the rights of ownership that are inherent in a deed of trust.

But let's look at the obvious.

Most loans being made today are FHA loans. It was a culture shock for the industry when the change was made from sloppy sub-prime, stated income, 80-10-10, 80-15-5, 110%, teaser rate, etc. loans that had become the standard. Agents were uneasy. No one had been writting FHA loans. Behind closed doors people feared it would be the end of us. Au contrare, it may be the very thing that saves us and the industry. Not just today, but down the road as well.

You see, no one is focusing on one of the sweetest features of an FHA loan. Oh, they talk about the modest down payment and ease of underwriting. They talk about a certain comfort level that the loan will close. We don't hear many folks mentioning the biggest asset about FHA loans.

They are assumable!

Stop for a minute and think about 3 years or 5 years or 10 years from now. What do you think mortgage rates might be in 2012 or 2014 or 2019? Do you really believe that in the face of increased government spending, increased inflation, increased devaluation of the dollar that rates will hold around 5%?

You won't find many economists that agree with you.

Let's just suppose that one of those buyers waiting to purchase bought the house on the right for $255,000. The neighbor on the left bought their home two years ago and paid $300,000. Now that chap on the right got a good deal. He put 20% down and has a mortgage of $240,000. The new owner put his 3.5% down and has a FHA mortgage of $246,075.

Fast forward 5 years. Both owners have outgrown the home and decide to sell and move up. They both have good agents and the market value of the homes are about $320,000. They both put their home up for sale for $320,000. Fair enough, but the fellow that paid $255,000 will have more to put down on his next home as he moves up. You might say he will move farther.

Oh, and why might the lad on the left sell sooner? His 5% mortgage rate is assumable. Now, the new buyer will have to get a "wrap around" mortage for the difference between what is still owned on the FHA loan and the sales price and yes, that loan will carry the going rate at that time. The seller on the left will have to try to move his home at time when money surely will cost a bit more. It doesn't take an MIT grad to discern that 5% on the bulk of a loan is much more attractive and affordable than the 8%, 9% or 10% or more that will be the rate in five years.

Why buy now? Seems to me that not only are you buying a home at a very good price, you are also buying an interest rate that will only become more attractive as rates go up in the future. You see, this really is a great time to buy but it is also a dynamic time to borrow at a rate to day that you can sell in the future.

Take me for a ride in your car...car

John MacArthur (ReMax) — Fri, 10 Apr 2009 18:42:59 -0500

This used to be the way people searched for a new home.

Mom and Dad would gather up their brood and walk down the street to the home with the for sale sign. Communities grew. Walking around town just didn't do it anymore.

We progressed

Newspapers began to carry "homes for sale". Sunday morning would be spent circling the possible choices. Mom and Dad would load the brood into the car and begin a journey from house to house.

Sure, there were real estate agents available. Back in the day, they had books filled with mimeographed pages. They kept the information about their listings behind closed doors and the general public did not have easy access to the homes that were for sale.

Early Real Estate Agent

Now this system came to a crashing halt when the internet opened the doors of information to anyone with a computer. Every listing could be found on line. As a matter of fact, there were hundreds upon hundreds of sites that offered the opportunity to view listings. Those sites still exist today. The majority of agents offer access to the MLS on their personal sites.

Seems like progress.

But a funny thing happened driving around looking at homes. There were more homes for sale than the most meticulous searcher could find on the computer.

If you wanted, you could have your agent ride around with you. If you agent was worth their salt, they could access information about homes you missed on your search.

This is 2009. We have just gone through a whirlwind of price adjustments. Most people looking for a home are not prepared to tour a house for 10 minutes and decide.........this is the one.....let's buy it. At least, I hope no one is still buying a home that way. Now, some agents will say, don't worry, if we miss something, a home inspection will uncover it. Really, and how many home inspections do those agents think you want to pay for?

It would seem to me, that a lot of folks want to do the search on their own. They want to sort of wander and get a sense of a neighborhood and then see some houses. Some of them go to open houses. That decision limits them to touring homes on Sundays between 1 and 4 and limits them to the homes that are being held open.

What about all the rest?

This old dog has a new trick !

What if you could just stop in front a home for sale, dial a phone number and get all the information about the home? What if you didn't even have to write it down? What if you didn't have to go back home and search the web to find out the price, how many bedrooms or bathrooms or other info?

301-703-2698

Try this on for size. Pull up in front of a home in my market area (DC, Montgomery County, Frederick County, Howard County, Anne Arundel County, Prince Georges County), dial that number 301-703-2698. Follow the instructions.

Pretty cool, huh?

There is a reason that all agents are not the same. There is a reason that if you look closely, you will see why my clients feel they get service that is above the standards in the industry.

Times have changed. You can text me at 301-537-4377. I understand your desire to have me around when you need me. I'll be there.

In an industry filled with look alikes, JMac isn't hard to find!

My name is John MacArthur. I am the Branch Manager of the Long and Foster Office in Olney, MD. I can be reached at 301-537-4377.

I approve this message.

Again I wonder...Where the hell is your agent???

John MacArthur (ReMax) — Mon, 06 Apr 2009 14:13:26 -0500

This business of being a real estate agent is ever changing. There are more styles in this profession than any other. Agents not only come in all shapes and sizes....they all bring their baggage with them.

Now I will admit that I have neglected signing on and sharing thoughts lately. I have been busy. Spring has sprung and many of you have made the move to buy.....now. I don't know what they put in the water in this area, but some of those unidentified chemicals must have created buyer urgency. You know who you are and you have been sipping the kool aid.

Not a bad time to storm the DC market. Lots of inventory out there. Lots of over priced inventory. Lots of undervalued inventory. Lots and lots of houses, townhouses and condos for sale. Did I say...lots of them?

In recent weeks, there have been multitudes of buyers doing the price range and location procession. You may have seen them. They form the unstructured caravan travelling from one open house to another on Sundays.

They rush from door to door, computer print outs of listings in hand, hoping to discover "home sweet home". Don't see many agents. Don't understand that.

It is one of those things that made me go......hmmmmmmmm.

So I decided to investigate just what are these people thinking. I made up a little checklist and positioned myself outside a popular open house (I am sure the agent loved having me out there...but it was a free sidewalk, and I only talked to folks as they left and I never once shared that I was an agent and God knows I told no one I was the Naked Realtor).

I heard some very interesting things. Some of you have an agent(?). Really? And your agent told you to go out and visit open houses and if you found something you like...give the agent a call.

What part of no representation don't you understand?

You are walking into home after home, heart in hand, dreams in your eyes, unarmed in quagmire of legal issues that quietly put you at risk. You are spending the better part of 20 minutes to determine the quality and value of the largest purchase of your life. You carry the false belief that on your own, you can evaluate the merits of homes.

Let me share a secret. Everyone selling a home has done as much as possible to put lipstick on that pig and make her the belle of your ball. You are ravished and they are offering all the sizzle your senses can bear. A pretty red door may suit feng shui but it is no indicator of the energy efficiency of the home. Those new stainless steel appliances may gleem in the kitchen, but they are no indicator of anything other than the sellers ability to polish up the area. All that glitters is not gold. Do you realize that the agent sitting at home, watching t.v. is supposed to be representing you, ferreting out fact from fiction?

Some of you have decided to go it alone. You have read all about buying a home online and you have heard that you can strike quite a deal if you don't have an agent. You might be able to get the seller to reduce the price of the home a bit because they don't have to pay an agent. Sounds like a plan.

Of course, the listing agent is the one that has to make the concession. In Maryland, they can write up the offer for you. They can promise that things will be as smooth as silk. There may be a scintilla of truth in that statement. They represent the seller. They can not represent you. They can not say or do anything that is not in the best interest of their client.........the seller. They can not negotiate for you. They can not advise you. They can just smile......maybe make a little less for their effort..........and smile all the way to the bank. You get the keys and absolutely nothing else.

Now, does that sound like a responsible plan when making the biggest purchase of your life?

Actually, running out on your own and reporting back to your agent(?) is pretty stupid. Your agent works for you. They will be paid fairly at the close of the transaction. Don't you agree that they should earn the money? I do.

Taking your best shot on your own, with no representation, is absolutely the riskiest way to go about purchasing. Most agents will represent you and be willing to accept the commission offered by the seller. That arrangement seems like a win-win to me. Just like anything else...you get what you pay for.

Of course, I am just the naked realtor, I do this for a living. If you want to receive further information or send hate mail or ask a question or maybe you can tell me..where the hell is your agent?...you can write me by clicking on this link.

Are You Still Dancing With GUILT ?

John MacArthur (ReMax) — Wed, 01 Apr 2009 14:13:08 -0500

The music seems to change, but the partner remains

I have the opportunity to interact with many agents. Some have barely noticed a change in their success and others seem to be beaten down. Why is it that two people in the same office, in the same market, dealing with pretty much the same potential client pool realize wildly different results.

At first blush, anyone can perceive a difference in attitude between the two agents. The successful agent is upbeat and positive. The less than successful agent seems to be downtrodden and negative. It would be easy to just simply use the time worn cliche "one sees the glass half empty and the other sees the glass half full". I think the answer is much deeper than that. It has to do with self perception. It has to do with "sins or failures" from the past.

It is not half full or half empty. Whatever is inside can be used to accomplish many things!

It seems to be the nature of man to carry the sins of their past with them as they make their journey through life. It really is an added burden. Dragging all of your perceived failures along will sap the energy you need to deal with the here and now. Looking at today, through eyes clouded with yesterday, makes it difficult to accept your strengths. Dragging a ball and chain of yesterday slows down your journey to tomorrow.

There is a better way !

Take a moment and identify the guilt that you continue to enjoy as a dance partner. Picture it as the weight that it feels like on your shoulders. Close your eyes for a moment and feel that weight. Now, open your eyes. It does not have to be a weight. Everything you just pictured as a fault or a mistake was in reality a learning experience. Let the weight slide from your shoulders and picture it becoming a solid block on the ground. See it as it truly is. Every experience where you faltered, every experience where you chose the wrong path, every negative that you are carrying around inside was a building block for a sound future. We are to learn from our mistakes.................not carry them around forever. See them for the lessons they were.

The lessons we use as building blocks elevate us.

You have the capacity to change direction. You have the capacity to excel. You have the right to stare at those demons whispering in your ear and tell them "No". Whisper to yourself, seize control of your life. Believe that every bad thing has prepared you for a richer tomorrow. Accept that lessons learned enable you to deal with more things, they allow you to empathize with others and they are the building block for

If you are struggling with this concept, feel free to give me a call. If you are an agent in the DC market and would like to work in an office that will help you focus on tomorrow, give me a call. My number is 301-537-4377. My name in John MacArthur and I am fortunate to be the Branch Manager for the Olney Office of Long and Foster Real Estate.

Make Someone Happy !

John MacArthur (ReMax) — Tue, 31 Mar 2009 12:34:14 -0500

Make Someone Happy !

I was sitting with a new agent the other day. I was trying to get a handle on why they had chosen this profession. If I can determine what motivated them to join the ranks of Realtors, I can then delve a little deeper into what might be that one factor that will separate them from those that have tried and failed and those that are still active today.

The young lad turned the question around and asked me..."Why are you a Realtor? You have had great success in other industries. Why are you still practicing this profession?"

I gave it a moments thought. I have always known the why. I smiled and said this profession offers me an abundance of opportunities to make someone happy. Everyday, I have the chance to make a difference in one person's life. Why, I often have the chance to make a difference in many lives with just one transaction. As a Realtor.........I can make someone happy!

Now I understand that there are some agents that are truly money motivated. When they think of a transaction, they immediately begin calculating how much they will earn. They will pause between different stages of a sale and gaze at the picture of the new car or new boat or new golf clubs that will soon be in their reach. They have vacation flyer's that offer tantalizing pictures of exotic places. They pause and dream.

I will be the first to admit that I have failed every test administered to determine if I were money motivated. When I was younger and moving through different career paths, more than one human resources staffer scratched their head upon reviewing the psycho-evaluation test. Money never did it for me. That does not mean that those that are money motivated are any better or worse than me. Nope, you see I have grown wiser in old age and I understand that money can provide some people with the means to be happy. If it is money you seek, make transactions and you will be happy. The collateral benefit is that those involved in the transaction will also be happy.

Some agents love the recognition and awards that come with success. I am never surprised to see the "top 1% of Realtors Nationwide" on business cards. I know that many of the best agents in my office have walls that are filled beyond negative space with plaques and awards from days gone by. I have seen the joy that recognition brings to their face. They are proud of their accomplishments.

I don't think it is unusual to desire recognition of a job well done. Agents are usually beaming a wonderful smile when that step up to receive an award. They are happy. If awards and recognition are your goal, make transactions and you will be happy. The collateral benefit is that the transactions necessary to complete to achieve higher levels will have created lots of happy people.

Maybe it is time that we set aside the dollar figures and the awards and stepped back from the recognition and admitted the base need that is being fulfilled every time we accomplish our goal. We make someone happy. The happiness certainly can begin with ourselves. The happiness may be measured in dollars and cents. The happiness may carry an award or special recognition. The happiness is our goal.

This is not the goal. This is a sign that the goal has been accomplished!

I am both proud and privileged to be a Realtor. I firmly believe that those of us that have chosen this profession make a tremendous difference in our communities one deal at a time. We may not be as haughty as Attorneys or Doctors. We may not have to pass multi-hour exams to become licensed. We work and live in the communities we serve. Realtors are active participants in the ever changing landscape of our society. We are called on to be counselor, confessor, adviser and friend. We are required to possess general knowledge and the integrity to direct our clients to the proper professionals. We are Realtors and we should be proud.

This may be the symbol on our lapel.

This is the symbol of a career well spent.

It is never to late to understand that your personal success is within reach every day. You need only get up, get out the door and be committed to the goal that today, you will....

Make Someone Happy !

Maybe I am just too damn dumb to understand . . .

John MacArthur (ReMax) — Mon, 23 Mar 2009 20:15:25 -0500

This is a map of the continental United States

Are you with me so far? This is a broad picture and I know it does not include Alaska or Hawaii. For the sake of this post, let's just say this is America. If you pick any spot on this map and go there and begin digging, at some point you will reach dirt. It may be under concrete. It may be under a river or a bay. Regardless of the spot, there is nothing but dirt there. It was there when we founded the country. It is the third largest land mass in the world.

It is limited.

There is only so much dirt

So we founded our country and lots of people showed up. They had to live somewhere. They elected officials and the officials appointed zoning people and they got together and determined an orderly way to partition the dirt so we would make the best use of this limited resource.

They planned subdivisions

People wanted a home of their own. They came to the subdivision offices and bought homes to be built. The bankers and the builders and the developers all did their job. The construction industry fulfilled its mission. As time went by, these neighborhoods began to dot the landscape from the east to the west.

An entire economy was created

Every bit of it built on the limited supply of dirt

We had our ups and downs, wars were fought and won, we had a man on the moon. The red sox finally ended the jinx. We grew as a Nation and a world power. We changed and became a true melting pot. Even as we were vilified in the world community, people still came to America. This remains the land of the free and the home of the brave.

Then we forgot to mind the store. We created the American Dream and failed to keep our eyes on those that were aiding and abetting the process. Our elected officials kept promoting a lifestyle that was not sustainable and all the people that had to create the illusion followed the pied piper of fiscal irresponsibility off the cliff of our solvency.

We woke up and the entire system had crumbled before our very eyes.

So now there is talk of toxic assets and derivatives and all sorts of fancy terms that are related to the housing crisis. The government is going to great lengths to repair the damage that has been done. I hear that. Maybe I am just too damn dumb to understand.

We now have this.

This is a toxic asset

Most people would call it an empty home. I suppose I don't understand why they don't just make the purchase of this type of "toxic asset" a bit easier. I mean if someone actually buys the "toxic asset" it becomes a non-toxic good deal or look what I bought for my family.

If something is done to promote this activity, assets won't be so toxic.

I have said it before, more than one time, but I just don't understand why the brilliant people that are trying to fix this mess don't address this problem at it's core. Why can't we have a trickle up theory working here? If the focus is on getting these empty homes sold, at some point those investors holding fancy derivatives will get something for their paper. There is value. Remember, there is only so much dirt.

This should be the result we are seeking

But, then again, maybe I am just too damn dumb to understand

Long and Foster Head to take over reigns at FHA...Obama got this one right !

John MacArthur (ReMax) — Sun, 22 Mar 2009 19:34:09 -0500

Long & Foster Leader to Get Top FHA Post

By: Diana Olick, CNBC Real Estate Reporter | 21 Mar 2009 | 08:01 PM ET

President Obama is planning to name the head of Long & Foster Real Estate to lead the Federal Housing Administration, CNBC has learned.

Dave Stevens

Dave Stevens, president and chief operating officer at Long & Foster, likely will be named to the post Tuesday or Wednesday, sources said.

With housing at the centerpiece of the White House's economic rescue plan, the leader of the housing agency will be critical in making sure the plan is implemented.

Among Obama's goals are to help rescue homeowners facing foreclosure and to improve the regulatory process in the mortgage industry. FHA would be central in dealing with many of the issues the president has outlined.

David H. Stevens is a personal friend of JMac while also serving as President and Chief Operating Officer of the Long & Foster Companies which includes Long & Foster Real Estate and its' Affiliated Businesses including Mortgage, Title, Insurance, and Home Service Connections, and David joined the Long & Foster Companies in July, 2006 as President of Affiliated Businesses. Prior to joining The Long & Foster Companies, Stevens was Executive Vice President, National Wholesale Manager responsible for all sales, operations, and finance for Wells Fargo Home Mortgage's wholesale channel.

Prior to his joining Wells Fargo Home Mortgage, Stevens was Senior Vice President of the Single family business at Freddie Mac where he was responsible for all sales, marketing, affordable lending, product development, communications, and loan prospector for the firm. In this role, David served as lead spokesperson for the firm and managed all aspects related to sales, customer management, market share, and business strategy.

Stevens began his career at World Savings bank, where after 16 years; he was promoted to Group Senior Vice President, National Sales Manager for the mortgage division.

Stevens was the founding Executive sponsor of the Woman's Mortgage Industry Network, and coordinated the first Latino initiative joint venture with Freddie Mac and Latino mortgage industry leaders. He currently sits on the Board of Directors for Long & Foster and the Real Estate Settlement Service Providers Council.

Let me share a bit about Dave Stevens.

I have had the good fortune to know Mr. Stevens since he came on board in July 2006. He has worked tirelessly to revitalize the company from the ground up. His leadership led to Long and Foster leading the way in returning the focus of real estate sales where it belongs....on the consumer. Long and Foster has rolled out a new campaign ... "Buy with confidence" that has at it's foundation a focus on the individual buyer.

It has been a long time coming, but finally one man asked the question "It is a great time to buy, but is it a good time for you?" The slogan and question are at the heart of developing a responsible attitude as we move forward in the real estate industry. The program responds to the questions that all consumers have when faced with conflicting information and data that is difficult to comprehend.

I, for one, happen to believe that his appointment will lead to the FHA performing as all Americans expect it to. His focus has always been on seeking a fair and equitable solution to any problem. He has been willing to involve people at every level in creating the companies direction.

This country, long suffering from bureaucratic strangleholds, will now enjoy the service of a truly great leader. My firm will suffer a loss, but he will leave behind a focus and direction that will result in our continuing to be a prestige brokerage. The country will have a man at the helm of the FHA that understands all sides of the housing market and has the capacity to make tough decisions to resolve our current dilemmas.

I am fortunate to have had his counsel and will support him in any way that I can.

Give it back...tax it at 95%....VENGEANCE IS MINE ! ! !

John MacArthur (ReMax) — Thu, 19 Mar 2009 11:05:59 -0500

I was reading blogs this morning. I came across one offered by ABC News Senior Political Reporter, Jonathan Karl. You can read the entire entry here.

It shares this opening salvo..."The AIG Bonus Tax:"Give the money back or we'll take it away".

Now this is an interesting concept. The public is outraged that these employees are being rewarded. Elected officials are patiently standing in line, waiting their 2 minute soundbite opportunity.

The angry mob has gathered.

Do you really think let this throng loose will stop at AIG?

One of the ideas offered is that the employees that received these bonuses should just give back the money that is contractually theirs. The thought is that the contract they signed and the work they have done should be tossed aside and they should just - GIVE IT BACK.

Another idea being tossed around it to have the tax code changed so that the bonuses can be taxed at a rate of "95%". This would certainly put the money back into the U.S. Treasury.

The only thing missing from all this uproar is a very bright caution sign.

Caution !

Slippery Slope Ahead

Once we get past those nasty derivative creators, who should be next on the list? Once we trash the Constitution and get the nasty rule of law out of the way, which is the next group that will we vilify?

How about we move down the line. Let's target the lenders. They made money on every loan. Some of them made lots of money making bad loans. It would make perfect sense to parade their greed over the television via all the talking heads. Don't let anything like the facts get in the way. The public could become enraged and all the politicos could stand before microphones and denounce the actions and demand that all lenders and mortgage brokers return the money they earned on any loan that has defaulted.

GIVE IT BACK.

Give back those fees. Give back those points. Give back the money you were paid. It can go right down to the loan processors. Publish their names. Print every dollar earned in all newspapers. Release the home addresses. Send in the crowd. If that doesn't work, well we will just change the tax code and tax earnings on loans that went into default at 95%. This will certainly put money back into the U.S. Treasury.

Don't stop there. Next we should move to those greedy real estate brokers and agents. They made money on every transaction. Some of them made lots of money representing buyers that have since defaulted on their mortgage. In the spirit of continuing to trash the Constitution, we should parade their greed and avarice on all the major networks. Let the talking heads continue to share outrage. Give the elected officials another chance to rail against the horrible greed of someone accepting money that was contractually obligated. They could demand that all brokers and agents return any money earned on a transaction that involved a buyer that has since defaulted on the loan.

GIVE IT BACK

Give back those commission earnings. Give back that money earned to process paperwork. Give back those dollars paid at the table. Print the name and earnings by transaction of every broker and agent that represented a buyer that has since defaulted. List the home address of all those involved. Let the world know how much money was pocketed representing buyers that defaulted. If that doesn't work, well we will just change the tax code again and tax all those earnings at 95%. This will certainly put money back into the U.S. Treasury.

Finished Product?

The country as we know it...goes up in flames.

I suppose we can keep going down the list. We can gather in everyone in the entire cycle. I think if we play the hypothetical game, we will eventually reach the elected officials. They will have no one else to blame. It seems that they will be left with but one option.

They will just have to stand alone and fall on their sword.

Hmmmm.................maybe we should rethink our outrage. Maybe we should see if we can not quell the angry mob. Maybe we should focus on the solution and stop taking our eye off of our goal. Maybe the crowd should be sent home and told........let's get on with the business of correcting our faults.

This is no way to resolve anything.

Allowing this......

(the flag representing the Constitution) will only lead to something like this.....

If we keep saying GIVE IT BACK

soon

There will be nothing to GIVE

Fix the housing crisis? Keep it simple..stupid

John MacArthur (ReMax) — Sat, 14 Mar 2009 22:38:09 -0500

I have watched with great interest the way that the government is attempting to fix the housing crisis. I have read more laws and proposed laws and guidelines and possible guidelines than I ever believed could exist. I have read financial wizards explain the problem so cryptically that it is impossible to reveal the actual truths that exist. I have read the op-ed pages. I have talked with other agents. I have heard the whispered truth at the root of the problem. No one is talking about the truth.

Most of the talk has to do with derivatives. This is related to the bundling of mortgage "pieces" into something that can be bought and sold and apparently leveraged. This is a very convoluted scheme that has created a great deal of income for some and an impossible web of transactions to sort out. These derivatives may also be called "toxic assets". The government seems to be doing all it can to sort out who is who and who owns what and who might be hurt and who might be made whole and ....well, you get the picture.

If investigators search through enough paper, the will figure out whose name is on which document. The problem is that it will take more time than we have to sort it out. Even if we could put a name on each transaction, we really do not have the time to research and analyze who was at fault (without any regulations in place, it may be impossible to assign fault that would stand a court test). As emotional as the issue has become, we are not in any position to be judgemental.

The problem must be fixed.

If we break it down to its most simple element, our problem began with the purchase of a home. The person buying the home was not really qualified to purchase the home. The person that bought the home, at some point could no longer pay for the home. The home became the true toxic asset. This happened many times in many areas and the subsequent spiral of home prices has left good solid neighborhoods staggering.

Why not fix the problem focusing on the root issue.

The current situation has homes foreclosed on and empty and becoming blights and reducing the surrounding property values. The longer they sit, the more their value goes down. As their value decreases, the homes nearby are impacted and their value decreases.

The other tale to tell involves homes that are going unpaid and are in the limbo between solid home ownership and foreclosure. Negative equity reigns.

Let's address each issue.

The Federal Government has created several programs designed to stimulate the market. They are not addressing the problem. Rather than offering a $8,000 tax credit, it may be wiser to use another method to jump start sales. The tax credit may look like a give away that is a real plus, but it does nothing for the buyer that does not have the wherewithal to purchase a home. It does very little for the people that do not have a tax bill of $8,000. It seems to overlook the fact that in the first year of ownership, the bulk of a home owners mortgage payment goes to interest and that interest deduction may wipe out the need for the full amount of the tax credit.

It sounds great but has little substance. I don't know about you, but most of the buyers I deal with need money now...........not next April.

Here's a thought, why not address the foreclosed homes and log jam of buyers with one small action. Offer buyers that qualify for a FHA loan a interest free down payment assistance loan equal to 3.5% of the purchase price, when purchasing a foreclosed property or pre-foreclosure property (addressed in the second part of this plan).

The money would go directly to the lender. The money would be paid back when the home is sold or re-financed (or sooner if the buyer chooses to do so). The property would be priced according to a third party appraiser. The government would pay 50% of the first trust deficiency balance to the holder of the first trust. The holder of a second trust would receive 25% of the amount due on the second trust. Any subsequent trust on the property would receive 10% of the loss.

The buyer would be required to live in the property until such time as the 3.5% loan could be repaid or the property is sold. This would target the foreclosed homes and begin the process of reducing the inventory of toxic assets. If homes received this sort of treatment, we may see an end to falling prices which are at the bottom of the lost equity barrel.

The other problem we see is the short sale dilemma. Some happen, some don't. The government needs to step in and pass a regulation that prohibits the owner of a property that is in a distressed sale position from proceeding with the sale unless they have sufficient funds to complete the transaction.

If they do not have the funds, a limited power of attorney must be provided to the holder of the first trust to enact the sale of the property. The holder of the first trust will negotiate with a Realtor to sell the property. The holder of the first trust will determine the asking price for the property through the use of the independent appraiser. Holders of second trust and/or other trusts will have no say in the final sale.

The government will subsidize the holder of the first trust 60% of the amount between the sale price and the amount of the first trust. The holders of subsequent trust will receive 10% of the money due them.

The homeowner will receive absolution from any tax consequences resulting from forgiven money in the transaction. The home owner will vacate the property once the power of attorney is signed.

Once again, we would be attacking the problem as it exists in the real world. Once again, we would be attempting to generate sales and stopping the plummeting home values. Both plans would generate activity.

Keep it simple, stop digging into derivatives and start putting home buyers into homes.

Is it a great time for you to buy

John MacArthur (ReMax) — Mon, 09 Mar 2009 22:54:05 -0500

I have long believed that the NAR's approach to advertising and supporting our industry is way off the mark. They kept running those ads advocating that buying a home was an investment and it was a great time to buy. Any fool could compare housing to a stock market that is on an apparent roller coaster ride to oblivion.

Just because interest rates are low and just because housing prices are low does not automatically mean that it is a great time for everyone to buy. Somewhere in the mad rush to make millions, it seems many agents forgot what they are supposed to be doing. People come to us for advice, not a quick ride around a few homes and a quick settlement. It seems when borrowing got real easy, our industry forgot we are dealing with people's lives. There are living, breathing people behind all the statistics you read.

We are supposed to sit with potential buyers, listen to their desires, evaluate their position and offer sage advice as how to proceed to reach their goals. Our job is not to show homes. Our job is not to sell houses. Our job has always been much more than that.

Well I am proud to say that Long and Foster Real Estate is stepping above the fray and offering to head in a new direction. There is so much confusion in the market now, isn't it time that someone stood up and said...

"Yes, they say it is a great time to buy a home...but is it a great time for you?"

Even as I type this, Dave Stevens has announced a new ad campaign is being launched. Agents are being given the tools to conduct meaningful discussions that will reveal whether it is the time to buy ... one client at a time. Our agents will be focused on the right result for the consumer. It is very comforting to see that once again Wes Foster has taken a long look at the market and developed a program that meets the needs of the consumer.

If you want to know if it is a great time for you to buy, feel free to call me at 301-537-4377.

My name is John MacArthur and I am proud to manage the Olney/Brookeville office for Long and Foster Real Estate, Inc.