Steve Roddel was walking through a house in Fort Wayne, Ind., when he wondered aloud whether there were any sex offenders living in the neighborhood.
Fair-housing laws prevent agents from talking about neighborhood demographics, and they often don't want to discuss other details, such as crime stats. Luckily, the Web picks up where agents leave off.Instead of commenting on her own, the real estate agent showing the home quickly pulled out her cell phone, connected to its Web browser and brought up , a national sex-offender-registry Web site. Little did she know that she was standing with the site's founder and CEO. A real estate agent can be a wealth of information about a house. So a homebuyer who asks what crime is like in the neighborhood might be surprised when the agent defers the question, directing a client to the Web or local police instead."The Realtor will be the one that has the most contact from beginning to end. Because of that accessibility, the consumer feels that they can give them all the information that they need," said Alex Chaparro, the president of the Chicago Association of Realtors.
But there are some pieces of information that an agent simply can't speak about due to fair-housing laws, including demographic statistics. And they often prefer to leave some characteristics, such as the quality of the school district or crime stats, answered by other sources.
Consumers and Investors can measure the current economic problems by counting the number of times they hear the term "credit crunch."
We are being told that it is very difficult to get a big mortgage, that deals are falling through, that innocent home buyers are in a sorry state. A big bank has raised its rate on jumbo mortgages from 6.8% to 8.0%. Lenders are demanding documentation of borrowers' income and assets. What's next? A 10% down payment? Mortgage insurance?
For several years now, people have been buying homes, no-money-down, on the supposition that high prices would go higher. Some folks even bought several homes, planning to sell the extra ones when prices went higher. Now the age-old question is heard: "Sell to whom?"
This is the market that Bear Stearns' (a major investment company on Wall Street) chief financial officer calls the worst he's seen in 22 years. This time period spans all the other credit and stock market disasters in recent history - and here they are:
the market meltdown of 1987
the savings and loan collapse of 1989
the Gulf War market of 1991
the Orange County bankruptcy of 1994
the Asian Contagion of 1998
the demise of Long-Term Capital Management of 1998
the post Sept. 11 market of 2001
and , the Enron-Tyco-WorldCom accounting scandals of 2001-2002
In the most active seismic zone in the United States, Californians surprisingly are woefully ill prepared for the very real fact that an earthquake can and will strike sometime during their lifetime. With the recent tragic events in Lima, Peru, we Californians are still far from ready for a sizable earthquake. Instead of waiting for the inevitable, it only makes sense for homeowners to be ready.
For Realtors and real estate professionals wishing to be consultative sales people and one stop informational sources, it makes sense that part of their offerings include information or material on . Many real estate professionals buy their clients gift baskets or other trinkets in order to show their appreciation for the business transaction they just completed.
Instead of that gift certificate to a restaurant or some other nicety, why not gift your clients with a earthquake preparedness "package"? This gift shows concern and care for clients, provides much needed rarely purchased potential life saving items, and it heightens awareness within the real estate community. How does it heighten awareness of earthquake preparedness? Simple-every agent worth his/her salt keeps tabs on the best agents in his/her area. When one agent is providing a service or gift that is unique, most agents take notice.
Consequently I made my way to San Rafael's Earthquake Supply Center for more information. Owner Michael Skyler was both amiable and helpful in my quest for information. We sat and talked about blogging as well as his business. Without a doubt, Earthquake Supply Center and their staff are consultative in their approach to each clients needs. Their website www.earthquakesupplycenter.com is a vast library of survival products. The categories include: Survival Kits, Water, Food and Cooking, Warmth and Shelter, Communications, Lighting, Safety Items, First Aid and Hygene, Fastners, and Storage Packs. According to Michael, Earthquake Supply Center specializes in the following:
We specialize in 72 Hour emergency kits for Home – Car – Office – School
We have a variety of kits to prepare you and your family while meeting your budget and needs
Our food and water is United States Coast Guard Approved, and unlike supermarket supplies, has a minimum five year shelf life
It is our goal to sell reliable, affordable, quality products to help protect you, your family, your home, business, school, and vehicle
We have been in the disaster preparedness business since 1995, and have an extensive client list of government agencies, national corporations, schools, institutions, businesses and individuals
Michael also pointed out, and I can vouch for this fact, that his staff is well trained and versed in all aspects of earthquake survival gear and products. They are experts in their field.
If you are a Realtor, real estate professional or affiliate consider giving a gift of life for that special client. Earthquake preparedness "packs" will set you apart and leave a lasting impression.
Harvey Mackay reminds us that the . He cites many notable people who have pushed through grand adversity to reach notability and significant achievement. One of my favorite historical figures and notable repeat early failure, Abraham Lincoln, gives us the secret to creating big things from adversity:
"My great concern is not whether you have failed but whether you are content with your failure."
Our news feeds and blogs are full of adversity for the mortgage industry: , , and . However, the good news for the initiated out there is that this is the time for Big Things!
Here is my short list of things I think will change (read: opportunities):
Consumers will want/take more control over their mortgage transaction
In taking control, consumers will seek out information
This consumer behavior, , will create a market for the content created lead
Lenders will stop buying
Lenders will demand
More lenders will invest in
Internet
Lead generation that diversify their ad revenues across both sides of the bank balance sheet and multiple industries will increase market share
Lenders will learn to (I will write more about this soon)
Lead generation will learn how to get hyper-local
will hyper-locally
Lead management will and
If we, as an industry don't move quickly, , , and will step in and go too far
There are many more and most I can't even conceive from my perspective. These are interesting times--Big Things will come from this doom and gloom!
I've had a number of buyers calling me asking about foreclosures. While I've sold some foreclosures I don't profess to be an expert on them. But I do track what is happening with foreclosures here in the Austin area. I know for the rest of the country is experiencing an increase in foreclosures, but here in Austin the foreclosure rate is down.
Below is an article I found in a recent .
Foreclosures in the metropolitan area are down 6 percent so far this year making Austin the only major Texas market to show steady improvement in the foreclosure picture, a monthly report shows.
A total of 574 properties in the market are listed for the upcoming September foreclosure auction, down 21 percent from September 2006, according to figures from the Addison-based Foreclosure Listing Service Inc. So far this year, the metropolitan area has logged 4,971 foreclosed properties, down from 5,707 in the first nine months of 2006.
George Roddy, president of Foreclosure Listing Service, says Austin is faring far better than other Texas markets like Dallas/Fort Worth and San Antonio where foreclosures are up 12 percent and 5 percent respectively.
"In recent months, the increased rate of foreclosures has finally become 'national' news; however, in Texas, foreclosures have been on the high-side of the foreclosure cycle for the past several years," says Roddy. "Foreclosure rates began climbing in Texas back in 2001."
Yet while Austin is ahead of other cities, foreclosure rates here are still on the high-end of the cycle. For example, the 2,627 postings recorded for Travis County so far this year is up 112 percent compared with the same period in 2001.
While many want to blame lax lending practices for the current mortgage meltdown, Roddy says there are other factors also at work, including increases in cost of living, rising credit card debt, interest rate increases and the growing difficulty in filing for bankruptcy.
Speaking on the future of the mortgage industry Roddy says confidence in the market has certainly taken a beating, "but even with the new guidelines and requirements put in place for borrowers, this is not a problem that will be solved overnight."
The top states in the country are California and Florida. You can still find a good foreclosure deal here in Austin, but it require a lot of upfront work. If you are going to do it right you really need to know what you are doing. If you are interested in pursuing this market to get more information. To read the full article here at .
Nearly 4,000 turned to the state last year for $767 million in low-interest home loans. Here's a mortgage program that's not in trouble.
Here is an article from the Baltimore Sun about the Maryland "more house 4 less" CDA loan program, something very near and dear to my heart. "More House 4 Less" or CDA (which stands for Community Development Act), gives first time home buyers in the state of Maryland a fantastic rate on a mortgage, AND they also give you money towards closing costs. Their income limits are very high for this type of program. You can make more than $80,000 in the counties, and almost $100,000 in the city and still qualify. Have kids? You can make even more money and still qualify.
Now, some lenders aren't so keen on this program. It does have more paperwork and is a more involved process for me, the home buyer, and the realtor. But this is the program that can get you into a house for $1000 or less out of pocket, and with a lower rate than you can get anywhere else!
Want to learn more?? Read on, and email or call me to get going with this program.
Most OFWs (Overseas Filipino Workers) dream of having their own house and lot.Once they left the Philippines,it's on top of their list.Why? Because it's a great feeling to own a house when paying a monthly rental is not a problem,and some are able to buy a home thru , after few years of paying it,the property will be yours eventually.
are now booming,there are constructions and investors everywhere.And if you're an OFW and would like find out the best offer, internet is the best way to search for it.
is the best tool for OFWs when it comes to . is a powerful utility for Filipino real estate professionals. You can showcase your expertise by expressing yourself in multiple dimensions. Get connected, share ideas, educate the consumer and promote Philippine properties. Membership is 100% free.
Whether you're looking or selling a home,post your listing for free, or you just simply wants to find out about what's going on in real estate business world, is the one you can rely on.
In an earlier article, I discussed spotting, reporting, and . To expand on this subject, I'd like to share with you a few examples of scam emails I received while selling my home online.
Example 1
Below is an email I received one night around 11pm.
Dear Seller,
I have a client who is interested in buying your property please get back to me with the price if it is stillavailable.
Thanks
SMITH
+347035729921
My initial reaction was that this was awfully late for a real estate agent to be conducting business. Secondly, it is poorly written in that it is two sentences combined into one, and a lack of space between the words "still" and "available". Thirdly, this person has asked me to get back to them with a price, yet is was clearly listed on the advertisement. A few other oddities to note would be the name (Smith is a surname in the United States), and a mysterious number at the end. It is important to pay close attention to what is being said. Put yourself into this person's shoes, and it doesn't make a whole lot of sense to be sending night-owl messages on behalf of your customer while asking for a sale price that is right in front of your face. However, I have been wrong about many things before, so I decided to feel things out. If this person is truly an agent, and has a buyer, they should be able to tell me for whom they work for. I crafted the following response:
Hello,
The property is still available. What real estate agency do you work for? I would like to see a copy of the broker agreement you have with your client before proceeding. I'd be happy to pick it up at your office.
My response politely and gently forces the inquirer to do two things: reveal their employer and prove their existence by giving me their location. If the person cannot reveal this information, they are simply not who they claim to be. Around 10pm the following evening , I received this response:
Garron Smith <garronsmith_01@yahoo.com> wrote:
Hello,
Thanks for your mail,meanwhile I believe first to secure the apartment through a deposit before any arrangement is to be made.I am impressed with the property,I should love to call you to discuss with you but am on a field assignment in LONDON and would like to know the followings about your property but i cannot make a distance calls for now but i can recieve fine:-
1. Your bottom price
2. Is the property originally painted
3. Any records available
4. Insurance certificate if any?
5. When did you buy the property
6.The property and the ownership is on whose name?
However,I would like to know your last price (non-negotiable)from that of the net price for onward transaction,if your price is OK
Thank you...
SMITH
+347035729921
This response immediately told me this was the building blocks of a scam. The person had completely ignored my questions. Suddenly, they were no longer an agent, and had become the buyer. Again, they asked for a price, proving they were clearing not paying any attention to the details of the home. They could not contact me via phone, and were clearly not in the United States (though I'm sure the location was not London). The person was allegedly ready to offer a deposit, though they had never laid eyes on the property. The message was again written poorly, and the questions did not make a whole lot of sense. It was obvious that this person was not who they claimed to be, so I ended communications and reported them to Yahoo.com and ForSaleByOwner.com.
I was notified by both Yahoo and ForSaleByOwner that this person's email address had been banned. Regardless, the person attempted to resume contact with me by emailing me from his new email address. Curiously, he was now going by the name "Smith Andrew", had a wife and three children, and was ready to buy my 1 bedroom, 1 bath, 728 square foot condo. Amused as I was, I decided not to respond.
As for the mysterious number at the end of the message, my guess would be that the person uses this number to identify our particular conversation, as he or she likely is contacting multiple people.
Example 2
From: philhodkinson_pmail@myway.com <philhodkinson_pmail@myway.com>
I am Mr Phil Hodkinson currently transferd to your state.I will like to ask if your house is still avaliable for sale.Please i will be gald if you get back to me with a positive response.cos am ready to buy to avoid been homeless.
Please i urge you to get back to me immediately.
Have a wonderful day as i await your response.
Mr Phil Hodkinson
Once again, the person claims to be ready to buy, yet has never seen the home. Bad English, misspellings, and improper word usage. A plea for aid to avoid homelessness (yet he has the money to buy). Phil is trying to play on your need to sell by creating a sense of urgency. No matter how desperate you may be to sell, you must approach these situations with caution and a clear mind.
Methods to Identify a Scam
Scam email messages are usually not unique. Also, scammers often reuse name aliases and create variations. Chances are likely that other people selling their homes have received very similar messages with similar text. Some may be posting these messages on the internet to help prevent others from becoming a victim of the scam (like this blog).
To help identify a scam, try googling the person's email address, name, and particular phrases in the message. Consider this on the phrase "field assignment in LONDON" from our first example, second message. Notice that in the Google search box, I have put the phrase in quotes. This tells Google to search for the exact phrase. Also, notice that I've added the word "scam" outside of the quotes. This tells Google to include pages that have this word, so we can weed out those who are actually writing about their field assignment in London. The search results are quite revealing. I am not the only one to receive the very same message.
If your search reveals nothing, try choosing other phrases in the email that would help to uniquely identify the scam, such as phrases that contain misspellings or poor word choice. You can also try googling the . Remember, the scammers will often reuse names and variations, so try swapping the first and last names or removing the first name if your first search reveals nothing.
Both Google search examples include a result for a from 10realty.com. They have provided more scam email samples and lists of a few email addresses, though these change regularly. I strongly recommend checking this out, as they have some good information there.
Conclusion
It is important to remember that scams will continue to evolve, and in time, the details I have written here may become obsolete. To keep yourself safe, it is important to remember one simple rule: The money in a real estate transaction only flows one way, and that’s into your pocket. If a “buyer” requires you to give them money for any reason whatsoever, end negotiations immediately. If you can remember that rule, you're going to land on your feet.
