Vista issues and downgrades

I've been using Vista since its beta days. There were numerous incompatibilities when it first launched.  Over time, many of these issues have disappeared. If someone is moving to Vista they should also make sure that they are using the latest version of any other software. Most software companies, that still exist, have released updated versions that run on Vista.

Many users do not know that Microsoft has a downgrade option that allows you to use XP without buying a license for it, if you own Vista.

Specifically, these downgrade rights lets owners of some versions of Vista replace it with Windows XP without having to pay for another license. In effect, the license for Vista is transferred to XP. Think of it as a swap, Vista for XP, not as an extra license. By Microsoft's end-user licensing agreement (EULA), you can't have both the Vista and its downgraded XP installed at the same time on the same or different machines. You have to pick: It's one or the other.

What is a downgrade? To Microsoft, "downgrade" describes the licensing rights it grants to older operating systems. Downgrade doesn't mean the process for rolling back Windows from Vista to XP, since there isn't such a procedure, not in the generally accepted use of "upgrade." In an older-to-newer move, developers usually make it possible to retain all the digital detritus on the drive, from already-installed applications and Word documents to iTunes tracks and family photos, while updating the system files. Not so in a downgrade.

So, what downgrades does Microsoft allow? Owners of the OEM editions of Vista Business and Vista Ultimate can downgrade to Windows XP Professional, including Tablet PC Edition and x64 Edition. Only the OEM editions qualify for a downgrade, so if you purchased a new PC with either Business or Ultimate preinstalled, you're in like Flynn.

How do I downgrade? Install a copy of Windows XP Professional with the product key that came with the copy, and then when you hit the activation screen -- which is near the end of the installation process -- select the activate by phone option rather than the online method. You'll likely end up talking with a live rep; tell him that you're downgrading from Vista to XP, and give him the Vista product key. The rep is supposed to walk you through the rest.

You can find out more at: http://www.computerworld.com/action/article.do?command=viewArticleBasic&articleId=9040318.

The issue with compatibility is not always Microsoft's fault. Many times the issues lie with the software developer that wrote the 3^rd party application. Programmers will often take steps around the preferred Microsoft way to get their application to run faster or to decrease development time. With newer upgrades to Windows these workarounds no longer function.

I just read a story on this a couple of days ago:

Microsoft Corp. CEO Steve Ballmer offered a glimmer of hope on Thursday to fans of the company's Windows XP operating system, saying the company may reconsider its decision to stop selling it soon.

But Ballmer was adamant that most people who buy PCs today buy them with XP's successor, Vista.

"That's the statistical truth," he told reporters at a news conference at Louvain-La-Neuve University. "If customer feedback varies, we can always wake up smarter."

Fans of XP - the 6-year-old operating system set to be pulled off store shelves by June 30 - have plastered the Internet with blog posts, cartoons and petitions. They trumpet its superiority to Vista, whose consumer launch in January was greeted with lukewarm reviews.

Ballmer said the customers buying PCs with XP are corporate information technology departments that are having trouble shifting old machines to newer technology.

Internet Rental Scam

I have seen a few postings in the past on this issue, but it is worth bringing up again for the agents and consumers that haven't seen it.

I received a couple of calls yesterday concerning a rental of one of my listings. The callers stated that they had found a rental ad on Craigslist with the property address, pictures, and other details for $1,200 a month rent. Average rents around that listing would be in the $2,200 on up range.

The consumers responded to the post and received back an email from a woman stating that her brother, who is in the army, was transferred back to Iraq and needed someone trustworthy to watch the house. She included a number of pictures of the house and told them to drive by the house, look in the windows, and if they are interested they can send an application and the money for the rent to her in Seattle. She would then send the keys back.

Both of the consumers drove by the house and saw my yard sign and phone number and decided to call me because the story didn't make sense to them. We have reported the issue to the authorities and hopefully no one ended up getting scammed. The ad was already missing from Craigslist by time I had been alerted.

I've seen in some other posts that a few agents have stated that they will stop using Craigslist because of this type of issue. I don't believe that this is a problem specific to Craigslist. This type of scam could be setup on any other numbers of sites. The scam artists can get property pictures from our personal sites, MLS, Realtor.com, etc. I believe that an agent that stops using these types of services due to the possibility of these types of scams will be under marketing their properties.

One of the consumers had stated that they had also found my ad for the property and that helped to alert them to the possible scam. In this scenario, my having the yard sign and the Craigslist ad helped the consumers see that it was a scam.

What other ways do you think we could use protect our properties from this type of scam?

File Hosting and MediaMax

I recently responded to a blog asking about posting a PDF file on the Internet. This agent was looking to post a PDF file for others to view.

We use a couple of different methods, depending upon the file size and type. For smaller files such as PDF, Word Documents, Spreadsheets, etc. we will host them directly on our website. We can then post a link to the file for others to download

For example:

http://www.geoffre.com/North%20Hollywood/North%20Hollywood%20Expansion.jpg

This is an image file showing an overview map of major construction projects in North Hollywood, California.

This method is only possible if your provider allows you to upload files directly to your website.

For larger files, video files, or files where you may want to have a user enter in a password for security you can use a variety of websites that offer this feature. One company that we have used for years is MediaMax, powered by Streamload. The site at http://www.mediamax.com/ gives you a private and secure place to upload, store, access, and share your personal videos, photos, movies, music, and files. They offer 25 GBs of free online storage and you are able to access your files from any web browser.

After signing up for an account and logging in you will see the File Manager window

Click the Upload button

You can then browse for the file that you would like to upload and then click the upload button. The file will upload to the MediaMax servers.

When it's completed you can hit the File Manager button where you will see your new file listed. Currently, the file is only available to you when you are signed into your account. To allow the rest of the world to see the file, click on the box next to the filename and then click the Move button.

A new window will open. Click on the Hosted folder and then click Submit.

Your file has now been moved to the Hosted folder. Click on the Hosted folder and you will now see any of your files that can be viewed by the general public.

If you right click on the Hosted Link and then select Copy Shortcut you can paste the link into any email, blog, etc. that you like. For example:

http://www.mediamax.com/scowwolf/Hosted/PeterSnowDogs.jpg

That's it! You can now post files to the Internet and let others access them.

We've used these methods to post our video files, PDF and other documents with links from our websites at http://www.geoffre.com/ and http://www.peterwolfre.com/.

Oh, by the way... If you know of someone thinking of buying or selling Real Estate, who would appreciate the kind of service we offer, we'd love to help them. Just give us a call with their name and business number. We'll be happy to follow up with them and give them excellent service.

Positive Signs in the Real Estate Market

The following article discusses some of the positive signs that have been happening across the country. In the Los Angeles area we have been getting quite a bit of traffic during our open houses. It appears that buyers are looking, they are just taking their time to find the perfect home.

Homes that are well priced, are clean and in good locations are moving quickly, with some going into multiple offers. Our high-end market continues to be strong, with a great selection available throughout the area.

Americans Optimistic about Homeownership - AOL/Zogby Poll
Americans still feel optimistic about homeownership, according to a recent survey from AOL Real Estate and Zogby International. More than half of the survey respondents said they believe homeownership is still attainable for most people. Continued messaging about the long-term investment value of a home is taking hold:

 69 percent of those surveyed said they see real estate as a viable investment; 31 percent of participants said they feel their home is worth more today than it was a year ago, and 56 percent do not think their home will be worth less in five years.

 The "buyers market" message is taking hold as well. According to the survey, if Americans had to sell today, 50 percent would consider buying another home instead of waiting out the market and renting.

-- "AOL/Zogby Survey: U.S. Trends on Home Values," AOL Real Estate, April 21, 2008.

Positive Signs for Economy Provide Hope for the Housing Market
It's undeniable that there are some glimmers out there that the underlying economy and financing marketplace, which after all are what support real estate activity, finally may be headed in a positive direction.

 The latest Conference Board "Index of Leading Indicators," which is based on a broad survey of industry data and predicts economic activity three to six months down the road, registered its first increase in six months. The index suggests that there should be positive growth underway in the second half of the year, if not sooner.

 A new report from the National Bureau of Economic Research which found that industrial production in the U.S. showed an unexpected uptick in March.

-- "Real Estate Outlook: Index Says Positive Growth Underway," by Kenneth Harney, Realty Times, April 24, 2008.

OFHEO: Home Prices Rise 0.6% in February
U.S. home prices rose 0.6% in February from the prior month, the Office of Federal Housing Enterprise Oversight reported Tuesday. The OFHEO index is based on repeat sales of homes mortgaged through Fannie Mae and Freddie Mac. For February, prices rose a seasonally adjusted 2.2% in New England, and 0.3% in the Pacific region.

-- "U.S. Feb. OFHEO Home Prices Rise 0.6%," by Ruth Mantell, MarketWatch, April 22, 2008.

Home Affordability Provides Opportunity for First Time Homebuyers
 "The home affordability index is at a 58 month high and I think that first-time buyers have noticed this. ... Thirty-nine percent of homebuyers now are first-time homebuyers."

 "Interest rates are at historic lows, inventory levels make this a buyers market because there's a lot more to choose from and prices are relatively flat across most of the country."

-- Jim Gillespie, president and CEO, Coldwell Banker, "Real Estate Realities - Interview with Jim Gillespie," CNBC (video), April 22, 2008.

"I'm still a believer in the long-term viability of housing as a solid investment if you buy at the right price. This has me thinking that the current shakeout is in fact creating an interesting sweet spot for first-time homebuyers to at least start checking out the market."

-- Suzie Orman, author and TV host, "This Could be the Time to Buy a House," Detroit Free Press, April 21, 2008.

It's too early to talk of a trend, but lower house prices and mortgage rates are bringing buyers out of hibernation, at least in some markets. Provided sellers are prepared to cut prices, buyers are willing to bid, real estate agents say. "I'm seeing a lot more young purchasers. The phones are ringing, multiple offers, more showings, just a lot more activity than we were having."

-- Lauralee Ensign, owner, Fairfield, Calif. real estate office, "Brokers Feel a Pulse in Home Market,"
by Lynn Adler, Reuters, April 16, 2008.

Regional Update: Good News from Markets around the Nation

San Francisco, Calif.
A market dynamics study for single-family dwellings and condominiums in San Francisco shows sale prices continue to climb. In March 2006, the median sale price was $780,000 and it jumped to $810,000 in March 2008. "There is a great deal of inventory in the marketplace, interest rates are low and, as this data clearly indicates, San Francisco continues to be one of the best performing areas in the entire country."

-- Chuck Colliver, president of the board of directors of the San Francisco Association of REALTORS®,  "Median Sale Price of San Francisco Single-Family Dwellings and Condominiums Continue to Rise," Business Wire, April 22, 2008.

Brevard County, Fla.
New numbers from the University of Central Florida said Brevard County was getting hit harder than anywhere else in Central Florida by the housing slump, but things could be changing. "It's actually increased over the last couple months. I'm surprised that they're still coming out with reports the housing market's down. We are swamped."

-- Jason Bucci, a real estate agency sales manager, "Study: Brevard Housing Slump Worst in Central Florida," News 13, April 21, 2008.

Spokane, Wash.
Fortunately for the local real estate market, the wintry weather has passed, and Spokane's housing industry still enjoys a key benefit: The area's diversified economy is in better shape than are many other parts of the nation. Forbes.com recently named Spokane the country's ninth-best metro area for business and careers. "We're bucking the trend that's around the country."

-- Rob Higgins of the Spokane Association of Realtors, "Diversified Economy Helps Spokane Home Prices Hold Up," USA Today, April 22, 2008.

The true costs and benefits of remodeling

Each year the National Association of Realtors in association with Remodeling Magazine sponsors a cost versus value report showing the average cost for home remodeling projects and the anticipated increase in value for homeowners. The report is available for nine different regions in the US and shows what remodeling projects may give homeowners the most bang for their buck. The report can be viewed at: http://costvalue.remodelingmagazine.com/index.html

I find the information to be very helpful when we are working with sellers when they are considering a remodeling project. Many sellers are under the impression that a major kitchen remodel will help sell their home. While this may be true, it generally won't help them maximize their overall profits. In order for a remodel to pay for itself it needs to return to the seller more money than it cost the seller to purchase. This calculation should also include the increased taxes, commissions, and other variables that increase in respect to the higher selling price of the home.

The cost versus value report helps to highlight the types of remodels that may make sense for your geographic area. Generally, high end major kitchen remodel will recoup only 74.1% of the cost of the remodel. A normal major remodel will recoup 78.1% while a minor kitchen remodel will oftentimes have the best return at 83%. In other words, bigger is not always better.

These numbers reflect some of the issues that sellers have when they over-improve a property for their neighborhood. We have used this report as a mailer to our clients each year. The reprint rights for the report are available for a nominal fee for your geographic area.

Realtor Wins High Profile Trial

The California Association of Realtors announced that a Carlsbad Realtor has won a jury trial where he was accused of failure to disclose other lower priced sales in a neighborhood where he sold a home. An expert from the article is below:

Friday, April 11, 2008 
Brought to you by the CALIFORNIA ASSOCIATION OF REALTORS®

 REALTOR® WINS HIGH PROFILE JURY TRIAL
After only two hours of deliberation yesterday, the jury unanimously vindicated a buyer's agent accused by his clients of failing to disclose that two other homes in the neighborhood sold for less than what they paid. As a trial court case, this decision in Ummel v. Little is binding on the parties to the case, but has no binding authority for other cases. Moreover, the buyers may file an appeal.

This case involved a couple who bought a home in a coastal Carlsbad community in 2005 for $1.2 million. They regretted their purchase when they discovered that two other homes sold for about $150,000 less than theirs. They sued their real estate agent for negligent misrepresentation and breach of fiduciary duty. Their lawsuit grabbed national attention, given the recent downturn in the real estate market.

At the trial, the agent's attorney argued that there were valid reasons these two other properties sold for less. One home, for example, had a lap pool which was unappealing to many buyers, and the sellers wanted to rent back the home for two years.

This is good news for our industry. The fact that the jury only deliberated for two hours shows that they easily understood the issues involved in the case. Unfortunately, when markets change some buyers want to place the blame on someone else. Every market has cycles and everyone has to expect that prices will go up and go down in those business cycles.

Adventures in Real Estate

Every profession has their entertaining stories.  Last week, I was sitting with a number of agents and we started to share our tales of the bizarre and ridiculous.  I love these reminisces because they remind me how fun this industry can be.

One of my favorites occurred when I was looking for properties for a client.  It was a cold, gray Saturday morning.  I wanted to see a house that had its first showing that day.  The house sat on a hill.  As I walked up the street, I noticed smoke coming out of the chimney.  It was a great day for a fire in the fireplace.  However, in this case smoke seemed to be coming from the windows as well.  When I got to the door, it flew open and a burning log came hurling out, landing in the wood chip filled front garden.

The agent thought that it would be great to have a fire burning in the fireplace for a cold California morning. She opened the flue, not realizing that it was broken. The wonderfully staged house was filled with smoke. Unfortunately, the burning log then caught the wood chips in the garden on fire. My partner and I grabbed the garden house and extinguished the garden fire and then house down the rest of the surfaces outside.

The smoke inside and outside the home was so thick that you couldn't see in front of you. We helped the agent open windows and started airing the place out. Luckily, the home had no further damage and the smoke didn't get into the nicely staged living room sofas sitting in front of the fireplace. The agent thanked us for becoming the volunteer fire department for the morning. A few days later a gift card arrived at our office for a great lunch at a local restaurant.

Do you have any interesting stories from your "Adventures in Real Estate"?

WalkScore and Widgets

One of the more recent trends in web site development has been the growth of widgets. While they have been around for quite awhile, tools like Google maps, Zillow, Flicker and other tools have started to change the shape of websites.

One recent widget that we started using is WalkScore (see www.walkscore.com). Walk Score shows you a map of what's nearby and calculates a WalkScore for any property. WalkScore is just an approximation of walkability. There are a number of factors that contribute to walkability that are not part of their design:

• Street width and block length: Narrow streets slow down traffic. Short blocks make it easier to navigate the grid.
• Safety: How much crime is in the neighborhood? How many traffic accidents are there? Are crosswalks well marked and streets well lit?
• Pedestrian-friendly design: Are there walking paths? Are buildings close to the sidewalk with parking in back? Are sidewalks shaded by trees?
• Topography: Hills can make walking difficult, especially if you're carrying groceries.
• Public transit: Good public transit is important for walkable neighborhoods.
• Freeways and bodies of water: Freeways can divide neighborhoods. Swimming is harder than walking.
• Weather: In some places it's just too hot or cold to walk regularly.

WalkScore's are yet another way to start conversations and help build deeper relationships with your clients. You can check out how we used WalkScore on our home page to enhance a property listing (www.geoffre.com) and then how we added it as a general tool (www.geoffre.com/WalkScore.aspx).

The WalkScore for our office is 77 and our home is 69.  How does your area rank?

What other tools have you seen?

Selling a Home in Today’s Market

Even with bold headlines heralding the bubble bursting and a credit crunch, 2007 was the fifth best year on record for existing home sales. While we are not seeing the incredible levels of appreciation common during the housing boom, many neighborhoods have remained relatively unaffected. However, no matter what is happening with pricing, the dynamic between buyers and sellers has changed.  In today's market sellers need to be more focused and realistic in timing and expectations. The following are some tips that will help you as you venture into selling your home.

You need to price your home according to the current market, taking into account the specific market trends in the neighborhood. In markets that are declining, being ahead of the curve, may mean taking a very conservative approach to setting your initial asking price. Setting your price based upon the sale of a nearby home which sold for a high value last year does not mean that you will be able to realize the same price when selling your home now. One of the most important aspects of pricing is to pay attention to the asking prices and days on market for homes currently for sale in your neighborhood.  Smart pricing can mean the difference between multiple offers (there are still houses where that happens) and being on the market for months waiting for an elusive buyer.

Be patient.  Buyers are taking their time.  The days of selling houses in two weeks or less are pretty much gone.  Average time on market for most areas has risen to months and in some markets, years, rather than weeks.

Concentrate on making the home as attractive to a buyer as possible. Items that help sell homes are curb appeal, overall condition, amenities, price and the old favorite, location, location, location.  You may not be able to control all of these things, but the better you score on most, the easier it is going to be to sell and sell in a reasonable amount of time.

First impressions mean everything!  Remember, it takes only a few seconds for most people to make up their minds. Maximize curb appeal by trimming trees and planting flowers. A fresh coat of paint can be helpful for weather worn exteriors.  Overall colors should be earthy, natural tones with contrasting accent colors that help buyers take notice. Capturing the colors of the natural world is gaining popularity this year. More homes are being outfitted with copper and bronze tones and bringing more warmth to metallic finishes.

One of the easiest, most economical and most successful ways of prepping a home to go on the market is a cosmetic touch up. This includes replacing worn tile, carpets, window coverings, paint, and overall landscaping. Updating old light fixtures with designs that match the current style and décor of the home can make a significant improvement. Take care of the small maintenance tasks such as burned out light bulbs, doors that stick or won't close, dripping faucets, etc. These items will add in the overall feeling that the home has been taken care of and well maintained.

While your home is on the market, keep it clean.  It may be hard with a family, pets and a job, but it is important that your home makes a great impression every time it is shown.  We have walked through homes with piles of dirty laundry, dirty dishes, garbage, toys, etc. and it doesn't make for a pretty picture.  You want people to appreciate the beauty and comfort of their surroundings, not wonder how fast they can get out of the house.

It is important to de-clutter your home. While many of us prefer that ‘lived-in' feeling, it interferes with a buyer's ability to see the size and overall flow of the home.  You want a buyer to see themselves in their new home so make it as easy for them to imagine that as possible.

If you decide to take on major projects such as a kitchen or bathroom remodel, be careful not to go overboard with upgrades that will push your house too much above the current average value of homes in your neighborhood. It is important to make sure that your home has amenities that are in-line with other houses in the neighborhood. Don't price yourself out of the market.

You should leave while your home is being shown.  A Realtor will be with there with their client.  You want them to be able to speak freely while they are there.  Additionally, if there are questions, your Realtor should answer them. By saying the wrong thing, you could weaken or jeopardize a potential transaction.

If you don't have that decorator touch, think about staging.  A great stager can take a tired house and make it into a stunning home.

Know what fees outside of the commissions you might be responsible for paying such as county transfer taxes, city transfer taxes, inspection fees, escrow fees, title fees, legal fees, etc.

Make sure that your disclosures are complete and that you disclose everything that you know about your home. It is not just a good idea, but also the law.  The more you disclose before someone writes a contract, the less negotiating you will do during the transaction.  Failure to disclose a material fact, will also leave you open to be sued in the future.

Ask questions!  Your Realtor is there to help you.

A home is one of the largest financial investments most of us will make in our lifetimes. While property values over time are determined by many variables, including economic and local market conditions, the care and upkeep of a property is also a crucial element toward achieving a solid re-sell.

To find out more information check out our websites at www.geoffre.com and www.peterwolfre.com

Temporary Conforming Loan Limits Released

The Office of Federal Housing Enterprise Oversight (OFHEO) today released the maximum conforming loan limits that will be in effect through year-end as a result of The Economic Stimulus Act of 2008. That legislation permits Fannie Mae and Freddie Mac to raise their conforming loan limits in certain high-cost areas. The new limits are a function of median home prices as estimated by the U.S. Department of Housing and Urban Development (HUD).

The maximum for temporary conforming loan limits, which apply to loans originated in the period between July 1, 2007 and December 31, 2008, are as high as $729,750 for one-unit homes in the continental United States. Two, three and four-unit homes have higher limits as well. Fannie and Freddie are reported to be working out new underwriting standards and expect to begin offering the new loans soon.

The Fed's economic stimulus package approved earlier this year called for temporary increases on conforming and FHA loan limits to allow troubled borrowers to refinance out of sub-prime loans and make it easier for many new buyers to qualify for mortgages in high-cost areas, particularly in California where home prices remain among the highest in the nation. As a secondary effect, it is hoped that this will act as a stimulus to encourage buyers back in to the market.

Before this relief, many buyers in California needed to finance with Jumbo loans just to purchase medium income homes in many of our metropolitan markets. A jumbo loan, or non-conforming loan, is simply a loan that exceeds the conforming loan limits. Because Fannie Mae and Freddie Mac do not buy these loans, the secondary market for jumbo loans is less competitive, and as a consequence, the interest rates for these loans are higher. Jumbo loans are also more stringent in overall requirements for qualifying. At some points in 2007, the credit crunch experienced by banks made Jumbo loans difficult to obtain, even for those borrowers with superior credit.

To view a list of the new FHA Mortgage Limits by county, go to: FHA Loan Limits by County

To find out more information on real estate and mortgages check out our websites at www.geoffre.com and www.peterwolfre.com