Candle Time

NEVER EVER MESS WITH THESE THREE

2007-04-18T10:57:00.000-07:00

According to . . .

a news article that appeared in REALTOR MAGAZINE ONLINE on April 10,2007,

There are 3 types of home buyers that sellers must avoid at all costs.

The information comes from Market Watch, Marshall Loeb (04/08/07) who mentions 3 types of buyers in author Michael Corbett's Ready, Set, Sold! (Plume, 2007). Even though the current real estate market contains fewer buyers, sellers should not waste time on just any buyer. Here are at least 3 types of buyers to avoid and the reasons why:

The Zero Percent Down Buyer

If the home is priced at the top of the market, it might not appraise for the sales price with little or no money down. The key to this, from a Buyer's Representative standpoint, is the due diligence performed in knowing the market price range and communicating with the lender who will order the appraisal. Nobody wins if the house cannot appraise and it goes back on the market. Buyers need to make sure that the agents representing them know their stuff so the the buyer is not disappointed along the way.
The Bully Buyer

A bully buyer inundates the seller with a list of things that are wrong with the house--all while presenting an offer. The inspection process will be a nightmare with the buyer trying to obtain concessions by nitpicking on the disclosure and the inspection. Although that is within the buyer's rights, it goes beyond what is tasteful and can leave a bad taste in your mouth once the transaction has been completed. The buyer's representative should do his or her best to curb the bully buyer, to the extent that it can be accomplished.
The Sight-Unseen Buyer

It is a rare buyer who will make a decision on a house without seeing it. Typically, this buyer wants to take it off the market and make a decision later. Personally, I have never dealt with such an individual but I am sure that this type is a part of the mix.

You know that there are exceptions to just about everything and this brief article is proof of that. Many buy houses with 100% financing, sellers acquiesce to bully buyers, and houses, especially investment properties, are bought without anything but advice from a trusted REALTOR. My advice: ask questions of your REALTOR representing you and make sure he or she understands your local market. This is not cutting edge thinking from a genius, just a friendly reminder for those too close to the forest to see the trees.

Until next time,

Jay Reasor

I LOVE BOTH ENDS OF THE RAINBOW

2007-03-06T10:23:00.000-08:00

As I think about home buyers that I am now helping , along with those that have bought a house through me, I am amazed at the range of houses they buy. One group is interested in older ( how old? it doesn't matter ) houses that have character and look different than the house on the right, the one on the left, the one behind, and the one across the street. These buyers want large, full-grown, majestic trees that give their house and the whole street a Hollywood movie look. The more interesting details inside the better; tile fireplaces, hidden pocket doors, beveled and stained glass, clawfoot tubs, and hopefully something that is unique to the house.

Just about 100% of the time, the buyers' bubble is burst when they realize that the house does not have the ability to repair itself. When one considers replacing a furnace, leveling floors, insulating, gutter repair, water pipes that are constricted due to hard water mineral deposits, the time to locate some matching shingles for the Cape Cod house, the decision to replace or not replace all the drafty original windows, the dilemma of putting 2 children in one bedroom or using the 9 X 7 "bonus room" as a bedroom, the mold (?) on the basement ceiling, THEN THE HOUSE IS GOING TO COST TOO MUCH.

Excitement crashes into reality at full speed and it is not a pretty sight. Older homes have maintenance issues all the time and you must have the money to keep the house in good repair. Not many of us are willing to have surprise expenses on a regular basis.

Even with these wide mood swings, there is nothing wrong with desiring an old house. It just takes, for most of us, a full serving of reality casserole to open our eyes and help us think rationally. I love the "I only want an old house" buyer; they have a vision and are willing to take a risk.

At the other end of the house buying rainbow are those that despise old and want to make a clean break from the house in which they were raised and anything older. Brand new, never been lived in is choice #1, but a newer home in the right neighborhood is a close 2nd. These buyers are less concerned with quality and more concerned with appearance/image and location. Most of them are about 35 yrs. of age & younger.

First houses for this age group tends to cost more than in the past and they are buying houses at an earlier age. However, the starter home must be a new house even if they have to make some sacrifices, which they won't because the temptation to have a relaxing night out is generously covered by a credit card. "Life is g-o-o-o-o-d", they say, because they have secured a NEW HOUSE, COOL CARS, A GOOD JOB TITLE (salary is not as important as the job title) and TWO INCOMES. Sounds like they've got it made. I love the must be new buyers; they have a carpe diem attitude and take pride in their accomplishments.

I know that some people fit these molds and some don't. I know that plenty of Americans have excellent money management skills and live within their means. I know that many other buyer categories are out there: the quality and efficiency buyer ("what's the R factor of the wall insulation?", they ask), the Big Bertha & her candy-coated kids buyer ("my hands are stuck to the kitty, mommy", they exclaim) the I'm not touchin' anything buyer, the I'm touching everything in every room buyer ("check out this jewelry!", a common remark) and the consume the REALTOR'S afternoon to see only one house buyer.

All I can say is: Now is a great time to buy or sell a home with your favorite REALTOR. Remember, only members of the National Association of REALTORS are called REALTORS and you can be confident that the organization's strict code of ethics is taken very seriously. Therefore, all parties are treated fairly, and that includes all types of sellers and buyers-- even the use the toilet at every house buyer.

The Victorian House pictured above is from victoriana.com

My thoughts on the Tostitos BCS National Championship Game

2007-01-10T10:49:00.000-08:00

Tedd Ginn, Jr. sprinted to the end zone just 16 seconds into the game. Ohio State 7, Gators 0. The Ohio State offense, defense, and special teams combined would score only 7 more points the entire game thanks to a stifling Florida defense and an offense that not only confounded the Buckeyes but kept the ball for much of the game. The Tostitos BCS Championship Game, played in the University of Phoenix Stadium in Glendale, AZ, would end with the Gators winning 41 to 14.

After weeks of special events, fund raisers, parades and endless talk from tv & radio, the hype culminated in a National Championship Game for which lots had been cast by almost all of the national media. It was decided by the men and women of the press corps that the Buckeyes had all the tools would win the game. Alas, most of them were wrong.

I can't add much to what has been said about the big game. The underdog won, good for the underdog. The favorite had an outstanding season but lost the game that mattered the most. It happens. It is just a game, a sport, not a life or death matter. However, for the players, coaches, and fans it is THE top priority for weeks on end. When the game finally ends we see a perpetual celebration for some, a major letdown for others.

What is truly great about this game is that it is played in the greatest country on the planet. With all our imperfections, we still have the most celebrated sporting events of any free nation in existence: World Series, Super Bowl, college championships at all levels, The U.S. Open in golf & in tennis to name a few. I could go on and on listing the opportunities we are afforded in this land of liberty and freedom. Where else on earth can so many people have so much fun and make so much money and derive so much enjoyment because boys play a game with an inflated ball? We are living in the land of the free and the home of the brave.

Perhaps all of us can agree that a win is great, a loss is sad & disappointing, but the opportunity to play is an unbelievable privilege. Writing about it stirs my emotions and literally brings a lump in my throat because I am reminded of the privileges of being an American citizen.

In the scheme of things the game was all-important for a fleeting moment and it will always be in our memory, but more important matters capture our attention most of the time: helping those around us who can't help themselves, serving our country, loving our family and friends, being a responsible citizen, and being the best you can be in all areas of life. If we pursue these weightier matters then we are all winners, even if your team lost a bowl game.

Jay Reasor
Dizmang Associates

NOTE: THE SOONERS LOSS TO BOISE ST. CRUSHED ME, BUT I AM MAKING A COMEBACK AND WILL EVENTUALLY GET OVER IT.

Relaxing... Your Way

2006-11-28T12:54:00.000-08:00

I was thinking of the myriad (is that word overused?) of ways that one can relax and began to list some of them. I also pondered (is that word overused?) the various methods of "blowing off steam" and made a second list.

In this brief posting, I will list a few ways one can use relaxation to bring balance to your life. The most important thing is that you take some time, even one minute, and let life slow down enough for you to think clearly and recharge a little.

In the other category, Blowing Off Steam, I couldn't list as many ways to offset the daily frustration, disappointment, and stress that has reached the boiling point. To bring our blood pressure back to a reasonable level, reduce anger, and see our heart rate return to normal it takes a deliberate and focused effort. This requires more from you than the relaxation thing. Blowing off steam cries for physical exercise to soothe the developing storm inside your skin.

I will list a few methods from both categories and then see if you have anything to add. Here we go...

1) ways to blow off steam:

hit a punching bag
run or jog
perform deep breathing exercises

2) ways to relax

listen to classical music
take a short nap
shop
talk on the phone for an hour or so
read a book
meditate
assemble a puzzle
lay around a swimming pool
stare at a television

My wish for you is that you recognize when you need to blow off steam and when you require relaxation. Have a trusted friend or a family member partner with you to help you recognize when you could benefit from a break in your routine. One thing to remember: relax in a manner that is most beneficial for you. I wish you well.

Wisdom for home buyers

2006-11-21T08:25:00.000-08:00

When helping a person buy a house last week, I was reminded of some very important principles. After looking at 2 or three houses in the same neighborhood, this buyer spotted a FSBO, or for-sale-by-owner, house in that same neighborhood. As a licensed real estate agent this is not a problem; I just have to get written permission from the homeowners to show it to the buyer whom I represent.

Although this house was advertised on a FSBO website, we still didn't have enough pictures or information to know what the house is really like. Making an appointment, I then took the buyer to see the house. It is well kept, tastefully decorated, and appealed to the person that saw it. In addition, the homeowners, who stayed there as we toured the house, were very nice people.

Unfortunately, the house's price was about $3000 more than comparable homes on the same street. The sellers, whoever, kept reminding me that the asking price is flexible. When I went back to meet with the sellers a day later, I had a written offer to present them. After I left, I went home. 7:00 pm is a nice quitting time for the day, right?

The owners of the home called me in an hour and a half and told me that they could only come down about $500 on the price. Yes, that is five-HUNDRED dollars.

Some people can sell a house on their own and pull it off. Most can't. For starter, statistics compiled by the National Association of Realtors show that, on average, for-sale-by-owner homes are priced about 14% more than comparable homes. If the seller is trying to save a Realtor's commission, why not price the house at 4-7% LOWER than the competing homes?

My conclusion is that these sellers could have priced their house to compete with the others on the street, listed with a Realtor, and ended up with more money. Plus, they could have avoided the safety issue in which strangers come into your home and roam around.

Some can pull it off, very few can, investigate the advantages of using a professional, and best wishes. By the way, my client bought a home that cost almost $4,000 less than the FSBO. I get paid either way but I love it when my clients save thousands.

Your Candle Boy

What Candle Time Means

2006-10-08T07:04:00.000-07:00

Candle Time is code for the time that I work best. I've created this blog to share my point of view in the real estate world and to post to (417) Dwellings! blog. I have been actively selling real estate with Dizmang Properties for 10 years now. I am an ABR (accredited buyer representative) and I specialize in working with Buyers in addition to assisting in the management of over 140 single family rental homes in Springfield, Missouri. Check out www.getpaul.com for more information.