I was asked by a local newspaper recently, "What incentives do you offer your clients?" I offer clients ethics and experience. No car pitched in with the sale, or other gimmick can compete with a Realtor who knows how to protect their clients.
Lawsuits abound right now. In a recent meeting with four of the local broker's attorneys, one was quoted as saying a lot of time could be saved if the contracts read "Buyer/Plaintiff". When markets decrease, Buyers want more later. When they increase, Sellers are the plaintiffs, trying to recover what they gave away.
Beware the agent who does so much business that you correspond mostly with assistants. If they can't spend time to truly discuss if buying or selling is the right thing to do for you now, they may not be able to represent your needs well. Their needs will be met with a paycheck quickly, but it's not about a Realtors' needs when we work ethically. It is completely surprising to me how people who bought and are now in trouble are using the same Realtor who got them into this position.
I show that one major brokerage is responsible for approximately 50% of the condos that are in short sale or REO status, with the other 50% having been purchased using "out of the area" or no name companies. Using your friend or family member to get you a cheaper commission cancels your opportunity to get local expertise, and is now showing to have large negative affect that is tangible. How many times have you bought something you completely did not need because it was inexpensive? Commissions are earned when you use an ethical Realtor.
It's a little extreme, but I like to say, good Realtors are like acupuncturists, they haven't been around for so long because they don't work.
(One of my preferred lenders notes as of this morning..)
Fannie Mae should be raising conforming loan limits from $625,000 to $729,000 May 1, 2009. Also, we are seeing some lenders return to the market with true Jumbo (>$729K) loans. The BofA / Countrywide joint adventure, effective 4/27 all will be known as “Bank of America Home Loans” – they have made it clear they will be aggressive in the true Jumbo field during the transition period. They have also warned their Loan Officers to not expect their aggressiveness to last forever..nothing good does. Let's see if this qualifies as something good.
The other lenders plus BofA in the true jumbo product will help with the rare and expensive parts of the problem. Loans are much harder to qualify for across the spectrum now and lenders have much less latitude with borrowers that have spots on their credit or some other qualifying question, such as time on current job, self employment, etc.
(Per my preferred attorney)
When working with any short sale situations in markets recently, Countrywide has proven to skate around any regulations more than any other bank, which has resulted on several of their clients suing them after they have gone into foreclosure, or been foreclosed upon.
I am feeling a little tentative about pushing anything affiliated with Countrywide unless the buyer is very, very qualified for the purchase because of their uncooperative dealings with owners in the short sale markets.
Most every lender has shown cooperation and expedience with short sales and a true intention to not foreclose. This has not been the case with Countrywide and keeps the Realtors as well as potential clients having a bitter taste in their mouths about beginning to find confidence in lenders in general. It's a shame one lender, who boasted having more loans than other banks, is acting so shamelessly.
We are seeing a pick up in sales as of this last week with several Realtors reporting multiple offers on their listings both in San Mateo County and Santa Clara County.
It is my opinion that the visible price reductions (what you can buy this year versus what you could have bought last year), combined with the low interest rates (consistently hovering right at 5%, several in the 4.875% range) have buyers out in droves currently.
Local information is always more important than anything one can hear on a medium that has too broad of an audience..(i.e. TV or radio). I invite anyone interested to please see my local market reports which include Los Altos, Los Altos Hills, Menlo Park, Mountain View, Palo Alto, Portola Valley, and Sunnyvale at http://www.dsoldit.com/lalahmvpapvsu_area_updates.html. I also post current local information for Los Altos/ Los Altos Hills on Facebook on my group called Los Altos/Los Altos Hills Real Estate Update, and host another group called Mountain View Real Estate Update. My main website is www.dsoldit.com for more about me, or just call me directly at 650-483-2055. I'd love to allow my expertise and local knowledge go to work for you.
