Ton A. Ali - Broker Associate,Accredited Buyer's Representative

Nice busy real estate weekend; inspections for a property that has been a bear from the beginning and an early listing appointment followed by an (lonely) open house.

We asked for a 21 day inspection period because the homeowner had storm damage that was supposed to be repaired almost 3 weeks ago. First it was an issue with the power and now the inspection is on hold because the water that was promised never materialized. And on we go. The upside, and there always an upside, is that the house is cute, cute, cute. Very nicely laid out and renovated pseudo-shotgun/bungalow in Clifton; the perfect location for my urban-oriented buyer. My hope is that the water is on today, the inspections get finished and the small list of repairs are accomplished with out incident. When it comes to DRAMA, I’m a HATA!

Sunday was busy also. I arrived at the office about 9:30 to finish preparing for a listing presentation and an open house. I thought the listing presentation went well. Great couple referred to me by another referral client. I couldn’t figure out why the house hadn’t sold considering the pictures and the price, but a brief tour made it clear. There was nothing huge, just little things that you could live with for years before you did anything about. We all have little projects around the house that seem really small, but when you decide to market your home all those little things can seem huge to buyers. When buyers put a price tag on those little projects, they are usually high. The trick is not having them make that call in the first place. Most buyers don’t want to work on a house after they move in. Some are just too broke because they have been saving and now all their money is in their new purchase. We went room by room and made a substation list of little things; more that I typically do before getting signatures. It is so important to be prepared when you list.

The open house was not like you see on HGTV. I am glad I could find some unsecured Wi-Fi from a neighbor to help pass the time. The house was a cute little brick ranch off Browns Lane. Well cared for with a full basement; call me if you’re interested.

And now for the numbers:

Statistics

LISTINGS Residential

November 17 -23, 2008 546

Last Year 352

SOLDS

November 9-15, 2008 166

Last Year 204

I hope everyone has a safe and fun Thanksgiving Weekend.

I was meeting with a buyer client yesterday to pick up a check and some signed disclosures and she mentioned that she has a few questions about the disclosures and the process in general.

Every time we went to see the home with her family, there was no power. We were told that it would be on, but it never happened. We did actually get an accepted contract last weekend with the stipulation that the power be on for the inspections.

After showering me with questions about the disclosures, inspections, utilities and more; my client looked at me and asked how all these things are going to get done, it is just too much to think about and try to work full time.

It was then I reminded her why her brother and sister-in-law told her to call me in the first place. I assure her that I would be working with the team (my transaction broker, seller's agent, mortgage representative, and title and settlement representatives) to get this contract to closing.

As a buyer's representative my job goes beyond getting my clients into a home they find on-line. There is research on the value, condition, and renovations. When we do find a home that works for the client, we put together the 6 page offer with the disclosures and other supporting documents and deliver them to the listing broker only to enter into negotiations. If and when those negotiations result in an accepted offer or contract, we coordinate the inspections and resulting repair request negotiations. During this time I disseminate all the appropriate forms to move the contract to closing. This is an over simplification and doesn't even take into account that you are only one person on this team. If this is not a priority for the others involved, it could be very frustrating to get an answer for an anxious client from another agent who won’t return your calls.

In addition to the experiences I have working with buyers; I'm also an ABR or Accredited Buyer's Representative. This designation offered by the National Association of Realtors (NAR) prepares agents in dealing with and negotiating contracts with less than cooperative parties in any transaction.

If you have any questions about the purchase process or what you need to do to be ready to buy a home for the first time or if you're moving up, call me. We can discuss your needs and strategies to meet them.

I am heading out to speak to a couple about the possibility of listing their home. They understand that this may not be the best time to sell, but it is an awesome time to buy. They recognize that there could be some bargains out there in a move up home. They purchased back in 2002 when the market was pretty strong. They have a beautiful home in a desirable neighborhood. I am hoping I can talk them into testing the market by marketing their home for at least 60 days to see what response and feedback we get on price and condition.

The response I want is an offer that is close to asking price. By pricing a home right the first time, you have a better chance of receiving a realistic offer sooner. Pricing right mean pricing the home where the buyer perceives value. High or low would depend on condition and location. That doesn’t mean there are buyers who will offer far less than the house is worth. It does happen and needs to be dealt with professionally. They are either a real buyer who wants to know how low you are willing to go or they are hoping for a steal and will buy at their price, but no where close to yours. You don’t have to meet anyone’s price, just be open to negotiation.

With over 90% of today’s buyer using the internet, the focus of my marketing will be there. The most exposure for the home is the goal. More buyers mean a better price for the homeowner if the value is there.

Here are more stats for the Louisville market. Although we don’t stop selling in the winter, the numbers do fall off a little.

Statistics

LISTINGS Residential

November 3 -9, 2008 471

Last Year 612

SOLDS

October 26 - November 1, 2008 228

Last Year 331

Good morning Louisville. It is going to be another beautiful day here; the last one in a while.

I have been a little remiss in sharing local real estate statistics. I will post the last couple of weeks here to catch up the 10's of subscribers waiting anxiously for the ‘numbers'.

Before that; sharing of another kind. Why I love real estate: #????.

I was just recently contacted by a young lady who thought she had bought a house on-line. I didn't know that REO properties were being auctioned on-line to the public. I called the broker and was told that the liquidator had taken the property and entered it in the on-line auction and they were out of the loop until the auction ended and the on-line packet with all the signatures and checks arrived back a their office.

I went to the auction site and it is really interesting. I wouldn't suggest people purchase through one of these auctions without:

1.) Understanding what they are getting into (read all the on-line rules).

2.) Being represented because the properties are sold as is.

The house my client ‘bought' has a full finished basement that had been flooded because the sump pump had allegedly been removed by the previous owner. The basement is now covered in mold. She purchased the property with no contingencies for inspection and is required to pay a 5% fee up front. There are pages of rules and you better be a savvy buyer/investor or be represented before wading into those waters.

You can learn more about representation at the NAR site REBAC.net. REBAC's ABR designation is meant to train realtors to better represent buyer and protect them and their interest in a transaction. As a Broker and ABR, I am uniquely qualified to assist in both buying and selling. When I list a home, I have a better idea of what current buyers are looking for and can craft strategies to appeal to them. If you are not in Louisville, you can search their site for an ABR designated agent in your area.

Statistics - Residential

LISTINGS

October 13 - 19 , 2008 497

Last Year 622

SOLDS

October 5 - 11, 2008 193

Last Year 193

LISTINGS

October 20 - 26, 2008 511

Last Year 544

SOLDS

October 12 - 18, 2008 192

Last Year 239

LISTINGS

October 27 -November 2, 2008 490

Last Year 570

SOLDS

October 19 - 25, 2008 169

Last Year 232

Ah first time home buyers, they are as different as snowflakes...sorry about that, but I just met a very nice young lady that works for local caterer. I was picking up food they donated to feed the masses at the local public radio station during the fall pledge drive (www.louisvillepublicmedia.org) and mentioned that I was a realtor. That usually starts some sort of conversation about the housing market or the buying process. She said that she was just settling into a more financially stable lifestyle with the steady day job and thought it would be nice to own a home. When I inquired as to why she isn't currently pursuing that goal and she told me that she has tried to be financially responsible and never relied on credit. She always budgeted her money and lived with in her means. Although she's been financially responsible, she had become part of a group of potential borrowers that don't have bad credit they have no credit.

That is sometimes an issue, but there are lenders that think of no credit as good credit. There are other things lenders can look like leases and utilities. Just because you haven't had any credit cards or installment debt, don't just assume that nobody will give you a loan or a mortgage.

Just like in healthcare, when you get to a certain age your doctor may recommends that you have test done that gives him a baseline for your good health. If you have an issue he can test you again and the differences can assist him in diagnosis. Your financial health is similar. Find someone you trust, a banker at the branch you frequent, a mortgage professional or financial advisor. Let them look at your credit report and get a baseline of your financial health. From there they can advise you to work on certain aspects of your financial life to assist you in meeting the goal you have both near term and long term.

You may be ready and able to buy a home now and now is a great time if feel strong about your employment future and you don't have anything to sell first (first time home buyers). You could have great leverage in a buyers market and find a real value on that first home.