Breaking News!!! Approximately 93% of Homeowners are just fine!!

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

That’s right. By far, the overwhelming majority of Homeowners in this country are NOT losing their homes. They either own their properties free and clear or are making their payments on time.

It’s hard for us to see this because we are in the business. If you are like me you live and breathe Real Estate. We talk to people all day long who are struggling and it’s very easy for us to forget that most Homeowners are living in and enjoying their homes.

I’ve mentioned many times over the last couple of years how more than 85% of the real estate closings in Poinciana Florida are distressed sales. But what I don’t mention is that there were only 1,654 sales for 2009 out of 20,700 properties. About 8%. So 92% of the folks in Poinciana stayed put. That’s right in line with the National average.

From what I could find online there are approximately ****129,400,000 homes in the US. Depending on where you look only 7-10 mil of these are in some stage of default. That’s roughly 7%.

Approximately 93% of the Homeowners in this country are doing OK. That makes me feel good. How about you?

****I spent about an hour this morning pulling stats and data and there really are no numbers that agree. So for the purpose of this post I just used averages. If you want more precise figures then feel free to do your own research.

Do NOT be foreclosed on! Avoid foreclosure. Short Sales DO close.

Want to find out more? www.CentralFloridaShortSales.com

***I am NOT an Attorney nor do I play one on TV. Click the button below for my Bio.

The BIO for Bryant Tutas

Copyright © 2010 http://www.brokerbryant.com/ | All Rights Reserved

 

Does that 50 cents have to be on the HUD?

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

I just love final walkthroughs! Why is it that Buyers and their Realtors sometimes try to spoil the elated feeling I get, knowing that we finally made it to day of closing?

I get the call this morning, telling me they did the walkthrough and everything is OK, except for the hole in the living room wall. What? A hole? How can that be? I was just in the house last week and it was fine. No holes! I don’t want to hear about holes two hours before closing. I mean the house is vacant. No one has been in the house but the appraiser. Then they spring the big one on me. “What’s the Seller going to do about it?”

Personally, I think that’s a pretty good question. “What’s the Seller going to do about it?” Well, my answer is “I don’t know”. I am still trying to digest the fact that there is hole in the living room wall. Well I got lucky, the other Realtor had a call beeping in on him and decided to take it and call me back.

So, I get myself out of bed (not sleeping mind you, but diligently “working” on reading all the ActiveRain posts from last night), anyway, I get myself out of bed, hop in my SUV and burn $10.00 worth of gas to go check out the hole in the living room wall. Now I’m a pretty observant guy and would probably notice a hole in the living room wall, but I don’t. No hole. Well, maybe they meant the family room. So I go look and again, no hole. Wait a minute, what’s that? Let me see, if I get down on my knees and squint just right I can see a tiny indentation in the wall about the size of my pinky fingernail. This my friends must be the culprit. The all elusive hole!

I call the Realtor back and tell him I have been at the house to look at the “hole” and asked him if he had actually seen it, or did he just allow the Buyers to go over by themselves to do the walkthrough? Do I need to even tell you his response? Of course he hadn’t seen it! It was too far for him drive to so he just gave the buyers the code so they could do their own walkthrough! The Buyers told him there was a hole in the wall, and asked, “What was the Seller going to do about it”. Anyway, I remained calm and politely told him to show the Buyers the definition of “hole” in the dictionary and that we would give them compensation of 50 cents. After all that, the Realtor told me to not worry about it, that he would take care of the Buyers.

I tell you, you got to love this business. The things people try to get away with. And the Realtor……….well that’s good material for another post.

The Moral is: Never, ever, take the other party’s, to a transaction, word on anything. Check, double check and check again. Look out for your own customer’s or client’s interest or that “hole” may be in your wallet.

By the way………..Does that 50 cents have to be on the HUD?

Approved FHA Short Sale in Davenport Florida. $63,000

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS
Three bedroom 2 bath home located in Davenport Florida. Royal Ridge is a gated community about 15 minutes to Disney. Less than 1 mile to I-4. 30 minutes to Orlando and about 45 minutes to Tampa. This two story house has 1276 sq ft of living area and a hard to find downstairs master suite. Fenced rear yard. Gas range and gas hot water. FHA approved Short Sale at only $63,000. Contact us today to arrange your private showing.

Only $63,000

Do NOT be foreclosed on! Avoid foreclosure. Short Sales DO close.

Want to find out more? www.CentralFloridaShortSales.com

***I am NOT an Attorney nor do I play one on TV. Click the button below for my Bio.

The BIO for Bryant Tutas

Copyright © 2010 http://www.brokerbryant.com/ | All Rights Reserved

Real Estate is about people, not money!

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

Yesterday, I did a Blog post that contained a comment about another Realtor, giving the code to my lock box to a buyer so the buyer could do his own final walkthrough. I received quite a few comments about reporting the Realtor to his Broker or filing an Ethics complaint. Let me explain, why I didn't take those steps, even though, I agree, what the Realtor did was wrong.

First, I list homes "For Sale". That's what I do. I rarely work with buyers. Therefore, my business depends on other Realtors showing and selling my listings. With that in mind, my business plan has always been to "market" my listings to other Realtors and to give them as much incentive as I can to want to show my listings. My reputation with Realtors is how I make my living. My listings get showings, because over the years, Realtors have learned that they can trust that properties will be priced right, clean and easy to show. No surprises.

The Realtor, in question, had actually done a pretty good job up to the point of giving out my lock box code. I had a discussion with him about this and it will not happen again. I complemented him on the good job he did in getting the deal closed and hope to have many more deals with him in the future. Would this had turned out this way if I reported him to his Broker or filed an Ethics complaint against him? No. Absolutely not. He would never had showed my listings again and my future Sellers would suffer because of that.

So, here is a short list of the things I do to ensure that my listings are getting shown. Not only shown, but shown constantly by other Realtors.

My listings are:

1. Priced right, always. I am an expert on pricing.

2. Clean. Very clean.

3. Easy to show. No appointment necessary and always on a lock box.

4. Positioned properly in the MLS. This is achieved by "Range Pricing."

Realtors can count on me to:

1. Answer the phone. If not, return their call quickly. 8-8 seven days a week.

2. Always be professional.

3. Never loose my cool. Ever.

4. Negotiate the deal without voicing my opinion. It's the Seller's deal not mine.

5. Assist them in anyway I can to get the deal closed.

6. Take the time to help them if they are new to the business.

7. Discuss issues with them upfront and not in a confrontational manner.

8. Always be honest.

9. Always stay focused on the end result, getting my Seller a check.

10. Thank them for a job well done and let them know I really appreciate them showing and selling my listing.

Now, doesn't all this sound better than filing an Ethic's complaint or "telling on them" to their Broker? My Grandmother was the most loving, most generous, most caring and most honest person I have ever known. If I did anything less than this she would look down from heaven and shake her stick at me. I would never want that to happen.

So remember, treat your fellow Realtors with respect. Help them if necessary. Be patient with "newbies", we were all one once. And most important, never forget…………Real Estate is about people, not money!

Don’t let “serious inspection issues” derail your deal.

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

Water damage and mold

Hi Folks. As we all know, nothing can derail a real estate transaction faster than a home inspection that uncovers “serious inspection issues“.

Recently I had a home inspection done on one of my pending listings. It was an older property and I was a little bit nervous and hoping there wasn’t going to be any major issues to deal with.

Anyway, shortly after the inspection was completed I get the e-mail from the selling agent to let me know we have “serious inspection issues.” She also sent me a copy of the inspection report and the WDO (wood destroying organisms) report. Darn it!!! We have termites!,  wood rot and major AC issues.

Well, being the good little Broker that I am, I pick up the phone and call my “peeps”, Wendal my HVAC guy, Dan the Termite Man and Khan my handyman and wood rot specialist. They all return my call within 5-10 minutes and stop what they are doing to go by the house and check it out. Within one hour, I have writen estimates from all three and time set aside on their schedules to get the repairs taken care of.

OK, now I’m prepared to call my Sellers. So I give them a call, explain the situation, go over the estimates and within 10 minutes I have authorization to move forward with the repairs.

Smartly, I had spent time during the listing presentation discussing inspections and repair issues and my Sellers were prepared. They understood that these were serious issues and would not just go away. So, they agreed to “let’s solve the problem and close the transaction.

Now, a little over an hour after receiving the inspection report and e-mail from the selling agent, I give her a call. Folks, for some reason she seemed to be surprised that I called back so quickly, not to moan and groan about a problem, but to let her know the problem had been solved, repairs had been approved and scheduled and the signed repair addendum was on the way over from the Sellers. I think this REALTOR(R) will be happy to show and sell my listings in the future.

What could have been a deal breaker was not even a bump in the road. It was just a few calls to the right “peeps” and a well informed Seller. We were back on track.

Folks, it’s all about educating your customers/clients and having people that you have worked with for years who are willing to drop everything and help you out when you need them.

So, have you built and nurtured your business relationships(“peeps”)? Are you in a position to solve problems this quickly? Are your Customers/clients educated and well aware of issues that my arise during the contract period? I hope so. There’s a lot more involved with being a listing Broker…… than marketing.

Broker Bryant’s Tips

  1. Educate your Sellers at time of listing
  2. Get estimates for repairs so the seller can make an informed decision. It’s rarely as bad as they will imagine.
  3. Have “peeps” that you can depend on. Make sure they get paid quickly. 
  4. Repairs issues will not just go away. The seller will pay one way or the other. Best to just do them and close the deal.

That’s it. What say you?

Do NOT be foreclosed on! Avoid foreclosure. Short Sales DO close.

Want to find out more? www.CentralFloridaShortSales.com

***I am NOT an Attorney nor do I play one on TV. Click the button below for my Bio.

The BIO for Bryant Tutas

Copyright © 2010 http://www.brokerbryant.com/ | All Rights Reserved

 

My listing has already been sold!

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

My mom, I love her to death, sells timeshare resales. She has been in the timeshare business for almost 30 years and can sell ice to an Eskimo. She has won many National sales awards and is excellent at what she does.

But she has a hard time understanding what I do. Whenever I call her, and mention I sold a house today, she always says the same thing "Did you sell it? Or did another Realtor sell it". "Mom" I say "No, I didn‘t sell it, it was my listing but another Realtor sold it."

But you know, that is so far from the truth. I sold the house. I sold it when I spent 90 minutes convincing a Seller to price it right. I sold it when I talked the Seller into having a professional cleaning crew go through the house, or suggested they rip up the dirty carpet and lay down tile. I sold it when I positioned the house in the MLS, to get the most exposure. I sold it when the Realtor called me on a different listing and I talked him into showing this house as well. I sold it when I educated my Seller on paying closing costs for the Buyer. There are many things we do as listing agents that contribute to the house being sold.

As a matter of fact, if these things aren't done properly, there will be no sale. The house would be another property that sits on the market for 6 months only to expire or be withdrawn.

I heard a statement somewhere, "that a bad appraisal begins at time of listing." That is so true. It is also true "that a house is sold at time of listing".

A good listing agent will make the Buyer's agent job very easy. Priced right, clean, easy access and knowledgeable Sellers makes for an easy sale. So next time I talk to Mom, I think I will explain this to her. In the meantime, bring your Buyers on by…………….My listing has already been sold!

Has your “flip flopped?”

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

Had one of my Investor customers call me last week wanting advice. He has a $30,000 deposit on a house that will be completed next month. At that time he must come up with another $50,000 to close. He bought this house with the sole intention of “Flipping it for a profit. Thankfully I wasn’t the one who sold him this house. He made the mistake of getting in on this subdivision to late in the game. He also bought the largest model in the community. Never a good thing.

I pulled up the community of about 600 homes and found almost 100 active listings 1 pending and only 7 sales since January 1st. Needless to say he has a problem. He can afford to close but he can’t afford the payments and the rentals in this area will leave him with almost a $1,500 per month negative cash flow. So what are his options? The way I see it if he closes he is going to be throwing good money after bad. If he doesn’t close he will lose his $30,000. A very difficult position to be in. In my area I am expecting to get a lot of these calls over the next few months. The Realtor that sold him the houses loses, the builder loses, the mortgage company loses, the Investor loses and the subdivision loses. The only “winner” in this case is the infomercial guy who sold the “Can’t lose get rich quick in real estate or die trying six weeks to becoming a millionaire information pack available on cd or cassette tape guaranteed to work or your money back we promise” scheme.

Just another example of how investing in real estate is a serious business. The experienced Investors that I work with rarely sell anything. They make their money going in, cover the mortgage by the rent and wait. Flipping is great when it works and can wipe you out when it doesn’t. So, has your “flip flopped?”

Get your sign out of the tree!

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

$65.00. That can be the difference, from your listing selling or just sitting on the market for month after month. $65.00. That's the amount of money that could be standing between you and your next pay check. $65.00. This is how much it costs to buy a couple of worthless leads from a "lead mill". $65.00. This would pay for a mailer of 35 post cards that will get thrown in the garbage, or a hundred flyers for your listing that will end up getting wet and ruined in the brochure tube. $65.00. This is how much your bar tab could be while you are sitting there moaning because you haven't sold a house in 3 months.

$65.00. This is the amount my lawn service charges for one month of service on my listings. And the Seller will pay me back at closing. If they don't, who cares. I will take it out of my $8,000.00 paycheck.

Now here are some examples of what NOT spending that $65.00 will do for your listing. These homes are my competition. I took a listing this morning and snapped these photos while I was in the neighborhood. All of these were within 1 block of my listing. There were many more but I think you the point!

 

 

 

 

 

 

 

 

 

Now this is what one of my listings look like. All for $65.00.

So, folks if you want to get paid, provide some service for your sellers. Don't ask them. Tell them you are doing it. And while you are at it, pay a cleaning crew.

And most importantly……….Get your sign out of the tree!

If it ain’t on the HUD, it ain’t happening.

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

Let’s talk about Mortgage Fraud. Now I’m not an expert on this but I do see it quite often in my market. Or at least, what would be fraud, if my Seller and I didn’t just say no. These are a few of my favorite lines:

1. “Don’t worry I have a good appraiser, he’ll make it work”.

2.”If the Seller can give the Buyer a personal check for $5,000 at closing, we’ll get this closed”.

3.”No, it can’t be on the HUD”.

4.”Don’t worry this Mortgage Broker does this all the time”.

5.”The Lender said the Seller can hold a 10% second, after closing they can just tear it up”.

6.”Can we raise the price $20,000 and give the Buyer money back at closing?

7. “I have a buyer willing to pay $20,000 more for that property, will you give me an assignable contract”.

8. “What size prison uniform do you wear?”

9. “Can we be cell mates at Sing Sing?”

10. “You look cute, do you need a friend?”

Ok, maybe not all of those. I am surprised though how many times I get asked by Realtors to do things that are just plain fraudulent. Now sometimes, I like to think it is just out of ignorance. They figure if the Mortgage Broker said it is Ok then it must be legal. Don’t fall for it. The best rule of thumb is, “If it ain’t on the HUD, it ain’t happening.” Remember this line and use it often. As Realtors there are no excuses for not being able to recognize Mortgage Fraud when you see it. You need to be able to protect your customers and clients from these practices. Not to mention, your license and life as a free member of society. No commission is worth committing fraud for. Below are links to a few web sites that may help.

http://realtytimes.com/rtcpages/20050216_mortgagefraud.htm

http://www.fbi.gov/pressrel/pressrel05/quickflip121405.htm

http://www.click2houston.com/news/9584679/detail.html

http://www.usatoday.com/money/perfi/housing/2005-10-04-fraud-usat_x.htm

So remember……….“If it ain’t on the HUD, it ain’t happening.”

Did you know a fiduciary relationship is forever?

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

Did you know a fiduciary relationship is forever? When working for a Seller or Buyer as a "Single Agent" you are creating a fiduciary relationship.

Brief definition from Wikipedia: for full definition click

A fiduciary duty is the highest standard of care imposed at either equity or law. A fiduciary is expected to be extremely loyal to the person they owe the duty (the "principal"): they must not put their personal interests before the duty, and must not profit from their position as a fiduciary, unless the principal consents. The fiduciary relationship is highlighted by good faith, loyalty and trust.

Once this relationship is established it does not go away just because your listing has expired or your Buyer is no longer working with you. You are still bound by this relationship. This means that whatever your client has told you in confidence must remain confidential until your client has given you permission to remove the confidentiality. And you have the duty of full disclosure to your principal. This is where in my opinion the problem comes in with having an Agency relationship in Real Estate.

Example: Suppose you have a listing as a single Agent and the Seller, your principal, has told you that she has been having financial difficulties. She is a few months behind on her mortgage payments and needs to sell quickly to avoid foreclosure. And she has asked you not to disclose this information to anyone. Ok, no problem, so far. A few months go by and your listing agreement expires and the Seller decides to list with another Company. About a month later you are searching for homes on the MLS to show the new Buyer that you are working with. This Buyer has signed a "Buyer's Broker Agreement" agreeing that you will work for him as a single Agent. The Buyer is now your Principal. Lo and behold the best match for your Buyer is the property that you had listed that is now with another Company. You take the Buyer to see it and he falls in love with the property. You rush back to your office and start writing a purchase offer and your Buyer looks at you and says "It looks like this property has been on the market for several months. Do you know why the Seller is selling?"

Here's your dilemma. You can't mention the pre-foreclosure or you are breaking your fiduciary relationship with the Seller and you can't not tell the Buyer because you owe him full disclosure.

This is a very simple and common example. It doesn't even take into account dual Agency or the fact that an Agency relationship starts with your Broker and filters down to all the Agents under that license. So what do you do?

About us

I am a licensed real estate Broker in the state of Florida. My opinions on real estate have been formed from my experiences and 15 years of working in the business. My opinions are in line with Florida Real Estate laws and the REALTOR(R) Code of Ethics. Your State’s laws may differ. So do your own homework before implementing any of my business practices into your business.