Double TalkThere is an old saying that says "Ice Cream has No Bones!"   It does not mean anything but in real estate we are inundated with nonsense everyday in negotiations.  Slight of hand works great in a magic show, but not in contact negotiations where it paves the way for fraud and deception.  Despite our own innermost warnings, we have become so numbed to gibberish and doubletalk we sometimes move forward into a deal that we should not.  Such actions redefine the word "Trust" and only can be likened to the wolves gaurding the sheep.  New homes builders seem to abuse this issue the most, but the issues are not limited to new homes.   The signs are almost routine for anyone with expereinced in real estate.  The usual suspects quickly arise: undisclosed fees, and conditions seem to surface out of nowhere when an agent is in counter.  Just when you think you have the costs nailed down another surprise or addional fee pops up.  The hidden fees are quoted to you as Gospel, as if you cshould have known all along... yet they are no where to be found anywhere in writing or disclosed in any fashion. It is like playing a board game and making up the rules as you go along.   Lot premiums, credits and elevation upgrades are all ways to shake more money out of your clients pockets.  More often than not the photos used in in the builders MLS photos are really homes that are priced about 350K more.  At this juncture, the builder would say.."Oh, you want a brick front?  We can do it!  The addional costs will be...XXXX!"   They do not even disclaim these are 'to be built' models or the photo of a similar home or 'Demo' home.  The final product that is sold in no shape or form looks like anything similar to the displayed product.  The only words that come to mind are "bait and switch!"  The buyer often feels like they have been had!  This is not a good position

The only way to protect your clients and yourself is to make sure that every option, each elevation, every additional upgrade, all paid closing costs, terms, and credits are placed in writing are signed off by all parties.  Promises of "You can trust me", ...or "I promise I will do it" should never be accepted by anyone.  In just about every state the statute of fraud demands all contracts, and terms be fully exucuted by all parties and it is wise to be in unambiguious language.  This should also apply to all counters in negotiations, and not signed off on until the parties acknowledge all that was agreed upon is in writing, and that the totals for services and upgrades are placed side by side the itemized items.

Jim Crawford REMAX

RE/MAX Greater Atlanta  770-238-0122 Direct

Or  888-992-5546 Toll Free Office

Atlanta Real Estate & Atlanta Homes for Sale

 
This post has been included in Georgia Information
Post is included in group: The Optimist
Post is included in group: The Ninety-ninth Percentile
Post is included in group: RE/MAX Active Rain Bloggers
Post is included in group: Realtors®
Post is included in group: Real Estate Rookie

8 Comments on Real Estate Double Talk

JUN
30
251,195 Points 3 Featured Posts Outside Blog

Jim,

Contracts that cover every possible detail go a long way in keeping things clear to everybody. When you hear the words "You can trust me" usually means you are in trouble.

1:21pm • #1
611,008 Points 80 Featured Posts Outside Blog

Esko Kiuru - Las Vegas NV Mortgage Consultant (Mortgage Consultant) Esko, you are so right.  I had a builder years ago that kept telling me "You can trust me, I am a man of faith!"  I resonded to him... "I would trust you more as a man of faith by youf actions,and you do not have to keep telling me this every few moments!"  All I asked was that he fufill his obligations in accordance with the contract.

1:59pm • #2
285,065 Points Outside Blog

Jim, great reminder of what is written is the only thing that counts. Now to ensure everyone follows what is written.

5:44pm • #3
611,008 Points 80 Featured Posts Outside Blog

Frank Rubi Kenner/Metairie LA Real Estate (E. Frank Rubi Real Estate)  Frank, sometimes it is hard to enforce or interpret what is written...but what is "implied" cannot be enforced.

6:04pm • #4
JUL
01
102,506 Points 3 Featured Posts Localism Sponsor

Jim, If it isn't in writing it doesn't exist.  Unfortunately, the days of handshake deals are gone.  I would think that builders would be very cautious about what they advertise, but maybe they are too desperate to do the right thing.  I appreciate your reminder to be cautious.  It is so easy to be lured in by an earnest talking contractor.  I hate it when they fall back on "standard" costs, or what they always do - its a bush league move, merely a money grab in my opinion.  Thanks for the heads up.

9:40am • #5
611,008 Points 80 Featured Posts Outside Blog

Jim Valentine (RE/MAX Realty Affiliates)  In the south a lot of builders try to do things on a handshake, and buyers get burned all the time.

10:14am • #6
103,451 Points

I like that saying Jim! "ice cream has no bones"  I will be keeping it in mind during my next negotiation phase.

4:45pm • #7
611,008 Points 80 Featured Posts Outside Blog

Katiejo Franks (Real Estate and Beyond, LLC)  Thanks! I use that phrase a lot.  I love it too.  One of my other favorite sayings is "Twinkies are not really a white meat!"

8:18pm • #8

Leave a response…



(optional)
What does the graphic say?
 
1 Ambassador_large

Jim Crawford ~ Atlanta Real Estate-ABR E-PRO

Atlanta, GA

More about me…

RE/MAX Greater Atlanta

Address: REMAX Greater Atlanta, 1585 Holcomb Bridge Road, Roswell , GA, 30076

Office Phone: (770) 238-0122

Cell Phone: (770) 664-9516

Email Me

Atlanta real estate broker associate, real estate columnist for www.RealtyTimes.com, real estate speaker. Real estate marketing, Internet marketing for real estate, real estate coaching Feedjit Live Website Statistics


Links

Archives

RSS 2.0 Feed for this blog

Find GA real estate agents and Atlanta real estate on ActiveRain.