Gary White FlexIt Realty~Real Estate & Updates, Grand Rapids & West Michigan

It is difficult to remember selling is a very emotional issue.  We had a woman call in tears.  I heard my receptionist trying to calm the woman down. Her listing wasn't generating any showings...her bank and lawyers were questioning if she could or would sell.

This market has shown over and over if you are not priced right no one is going to show your property.  The other thing it has shown is if now marketing effort is being made no one will know your home is for sale!

This poor woman is in the middle of a divorce.  She has the home...listed it and now nothing is happening.  Her situation is getting to her, sleepless nights, stomach problems, her work is a pressure cooker too!

She sobbed so hard my receptionist could not make out who she was or who's listing it was so we could pull up the stats, contact the proper agent.  As my receptionist talked the lady started to get her emotions under control and thanked the receptionist for being so helpful.

My receptionist asked again in a soft voice the address of her property.  I get a look over the receptionists shoulder...with a questioning expression.  My receptionist repeated the address of the listing back to the lady.  My receptionist being quick on her feet, jumped into the MLS and there it was...the illusive listing......somebody else's!

The poor lady had called the wrong brokerage!  My receptionist had heard how the agent never calls her back.  She had heard how the agent had made all these promises but nothing was happening...the SOB just wouldn't return her calls!  She didn't have the right phone number for the brokerage and didn't even know the name of the company.  She did say the agent was always late, didn't even show up on one of the open houses after advertising it.

My receptionist gave her all the information and hung up with the caller laughing over the mistake.  The receptionist and person that handles all the showing appointments...has years of experience and it paid off....again!  She too laughed when she got off the phone....and said, "WOW don't hire that agent"! 

If you live in Michigan and are thinking of selling or your listing has expired give us a call for a personal marketing review designed specifically to meet your needs.  Visit our website for over 30 FREE reports that could save you thousands of dollars in your next real estate transaction.  Authorized HUD broker.

Call Toll Free 877-667-4699, Email: garywhite@grar.com  Visit our Website:  www.FlexItRealty.com

A friend of my wife's called with some big news...they are moving.  The live hundreds of miles away and will continue to live hundreds of miles away in the other direction after they move.

The friend was all excited about the impending move.  Probably no different than any of us when we have purchased.  This is going to be their retirement condo on the water.  My wife an I have lived in this same town nearly 12 years ago.  We know the area and the condos where they purchased a unit.

This happens to be a resort community.  They visited the community in the off season.  They purchased in the off season as well, do they have a surprise coming!

Doing your homework is not just for kids in school.  That old phase should be on the tip of every buyer and sellers tongue.  The friend of my wife and her husband committed the biggest sin of all...not knowing the market or where they were buying. 

They found a great deal....I wonder why?  They bought a condo with a view of the marina...right across the street with their balcony overlooking the public marina.  That was one of the selling features for them.  OK, let's consider this is a public marina...transient boats, party boaters, drinkers, fun loving boaters.  So if you are a party animal you might really enjoy this spot. They are not...so this is the first thing they are going to hate! This will get old fast!  Every week you will have a new crop of boaters ready to have fun. 

The town was quiet and everyone was friendly...of course there was no one there!  In the summer months the population swells from Mayberry to Chicago....anyway that is what the locals say.  The average population is about 15,000 and from Memorial Day to Labor Day the average is 70-100,000 as cottages are opened, hotels fill up and the marina has boats coming and going.  There is also a cruise ship that docks twice a day morning and night.  Horns blow, engines pump out the smells of the big desiel turbines that power the ship.  They are going to like the smell of desiel in their condo all summer long.

This is kind of like buying next to an airport on the day the planes were grounded!

Their new life of quiet and peaceful is going to be shattered this weekend and will continue through Labor Day!

How do you spell Oops!

Doing your homework using an agent will save you money, time and mistakes.

This is one of those great office stories....that could only happen to someone concentrating on expanding their business.

I have a young agent that is wise beyond his years.  I will not mention the name to protect the guilty!  He was out canvasing a neighborhood dropping off flyers...going door to door.  The flyers are informative listing flyers about an open house.  He is doing great and finding his methods paying off.

His objective is to hand out 200 of these flyers.  So he does not talk much unless asked a question, then like any good Realtor he will bend your ear.  He has had a few people tell him not to come on the property and they didn't want to hear any political or religious stuff...just go away.

He has taken these issues in stride...speaking of stride he has now walked up driveway after driveway in this subdivision.  As he crosses a little strip of grass into the next yard to put his flyer on the front door, he is in deep thought...thinking of who knows what where around the corner comes a "HORSE"...no a "Pony"....no it's a dog....a very BIG dog!

All I could imagine is the flyers going in the air and the agent running for his life!  Well he didn't throw the flyers in the air...they were color and cost money!  

Lucky for the agent he reached the edge of the yard with the dog hot on his heals...what a wonderful thing the invisible fence is...as he crossed the line of the fence the dog stopped and barked at him.  The agent finally took a breath again, then wrote on a note pad, the house number down...with a little side bar note...Big Dog!

The dog stopped barking and turned wagged his tale and took about four steps back toward the house leaned it's big head down and sniffed.  Then it chewed up the agents phone that fell off while he was running for his life.  The agent said he went on to deliver some more of the flyers and stopped back to see if the dog swallowed his phone!  Nope..it was on the lawn so the agent sneaked in to retrieved his saliva covered wounded phone.  It would still dialed, if you didn't need to use a 6 or 9 in the telephone number!

He got a new phone....and I laughed until I cried...of course I wasn't the one running nor was I the one who had my phone eaten!

Just another day in the life of a Real Estate agent in Grand Rapids, Michigan!

If you need real estate help in Michigan and you are listed with a Realtor or your listing has expired give me a call: Toll Free 877-667-4699 or Email: garywhite@grar.com 

Visit our Website to view thousand of West Michigan homes or download more than 30 Free Reports that could save you thousands of dollars in your next real estate transaction.  Click on the company logo to access our website. www.FlexItRealty.com

As Realtor's we always recommend clients do inspections on any home before they finalize the transaction.

I have an agent that is representing a young couple purchasing their first home.  They are looking at taking advantage of the foreclosure market.  They are looking at using the FHA program to get into the home with a government assistance. 

They have looked at many homes and  the agent has reviewed many more than were shown the buyers.  They found one of the homes that is a great buy priced thousand below market.  They made the bid, the bid was accepted and everyone is all smiles.

It is time to do the inspections at the lenders request.  The lender was told by the selling agent representing the property the home had mold.  So the lender requested as a condition of the acceptance the home be inspected so the buyer would know the extent of the mold and have no recourse later should the mold become an issue.

The inspector shows up at the appointed time and the back door has been broken open.  Not unusual for HUD homes.  So the home looked normal and without any issues other than already disclosed and discovered during pre-bid inspections.

The inspector head downstairs to the lower level while the buyer and the agent are talking in the kitchen area.  In a minute or so...the inspector reappears..and asks, "Where's the furnace"?  The agent looks at him and says, " what do you mean...in the furnace room"!  The inspector informs the agent that someone has taken the furnace.  The agent dashes down stairs and sure enough there is a blank spot where the furnace used to occupy.

Now FHA won't fund a loan on a home without a furnace!  The seller is sick that great buy might have turned into a big nothing.  Someone is stealing money from the pockets of buyers and sellers and many never answer for their crimes.

It is being worked out...but the bottom line is security on the HUD homes is not very good and vacant properties are targets for thieves as well.  Make sure you do the inspections on every home you buy...you might be surprised at what is found or hidden.

How do you think this is going to turn out?

Is this Memorial Day weekend going to be the same for you as last year?  Or are the higher gas prices keeping you closer to home?  Our gas prices on Friday afternoon rose from $3.99 to $4.19 for unleaded. I was thankful I was able to fill up before the prices increased. 

I was a bit concerned when a voice over a loud speaker asked for my credit report before they would pump gas...they must have known it was going to be over $100.00 for my 30 gallon tank on my SUV!

I know a lot of people who are not going to be traveling this holiday weekend due to the increase gas prices, and instead staying at home and reflecting and catching up on those things that they rarely have time to do.   Others that have out of town family members that they plan on seeing over the long holiday weekend and are going regardless of the gas prices.  What are you doing this holiday weekend? 

No matter what you are planning have a safe and enjoyable weekend.

Have a great weekend and take a moment to remember those that have walked the path before us so we can walk the path today.

FlexIt Realty serving Michigan's real estate needs with personal care and attention.

To see thousand of homes listed for sale in West Michigan, no sign-up required, go to our website by clicking on our logo.

Our website has over 30 Free Reports that could save you thousands of dollars in your next real estate transaction.

I was discussing the marketing of real estate with a client that feels he is on top of his game when it comes to real estate.  He is purchasing a home from one of my agents.  I filled in for the agent while he was on vacation out of state. 

This buyer had limited knowledge of customary issues and real estate is definitely not his game.  He is about as savvy as a stump when it comes to real estate.  That was evident in the first few minutes of our conversation.  This buyer was more interested in impressing me with his knowledge than finding out what he really needed to know.  

On the other hand I have met some very well versed buyers and sellers.  They have had real experience in real estate transactions flipping homes, building homes, buying investment properties and they use Realtors for their selling and purchases. 

What reasons do you think most people use a real estate agent? 

Here is a short list.

• To make sure all the legal aspects of the transaction are covered properly.
• To market to other Realtors on the MLS.
• To take advantage of a Realtors experience and negotiating skills
• To make sure the property is priced correctly for the market.
• To maximize selling exposure with an effective proven marketing plan.
• To Help buyers obtain financing and insure their best interests are maintained.
• To review and control the transaction process for either the buyer or seller depending on whom being represented.
• To maintain communication throughout the selling or buying process with the client.
• Coordinate appointments and showings for buyers and sellers

The list can go on and on...but the reasons are personal to each buyer and seller yet they have a common goal.  They want to sell or buy real estate and need expert help in achieving their goal.

Having a agent do the work for you may seem costly when it comes time to pay them.  

BUT when there is a mistake in your sale or purchase....having a Realtor can save you thousands of dollars.

•  Or when you buy the wrong property
•  Selling for lower than market is willing to pay
•  Paying more than you should in fees
•  Not having the paperwork completed properly
•  Being involved in a law-suit could prove to be much more costly than any fee an agent will charge
   for services.

So don't throw your money away just because you thought you would save a few bucks!

Other interesting facts about agent fees you may not know. 

1. The typical transaction...the agent splits the fee 50/50 with the buying or selling broker...depending on which side of the transaction the agent represents. 
2. The agent has marketing expenses, printing costs, newspaper, magazine ads, cable advertising costs, monthly Internet fees, monthly MLS fees, National dues, continuing education fees
3. Transportation costs, just like you going to work, insurance only usually for a higher limit because the agent has to insure for passengers.
4. Monthly brokerage fees

So the big number you see is not the agents to keep.  The agents keep a percentage after splitting off chunks of the fee to others just for the luxury of being in real estate.

Click on the logo to go to our website.  Take advantage of over 30 Free Reports that could save you thousands of dollars in your next real estate transaction.

We can summarize foreclosures in three distinct groups...Owner Occupied, Non-Owner Occupied and Bank Owned.

This may greatly affect the type of loan you can qualify for and a couple of other key issues.  These home are usually "AS IS" which means if you do not have some extra cash you could be buying a "Money Pit" where your extra money is soon gone!

The reason your hidden costs for repairs can sky rocket is the owner and lender has not or will not do anything more to the property once foreclosure status has been started.  So routine maintenance soon becomes required maintenance. These repairs can be wide ranging or very simple...but only an inspection with a qualified inspector will give you the real scoop on what needs to be done.

Hidden mold from a leak or moisture can be something difficult to find the source but greatly impact your families health.  Many of these homes do not have any electricity or water available to check the plumbing and electrical.  This can lead to unknown surprises like broken or missing pipes in some cases.  One home I was told the vacating family used a chain saw to the walls and took all the wiring another took all the copper pipes for scrap value.  These may be exceptional cases but happen more often than you think.

So some of these so called "good deals" can have dollars flying out the of your wallet faster than you can make them.  You know you will have to paint, carpet and even replace fixtures and appliances in most cases.

Hot water heaters, furnaces and air conditioning units are not cheap but may need repair or replacement.  Once thing you can count on....they have not been maintained even with basic inspections.

FHA/HUD do not do any repairs, they may cover a leaky roof so no further damage occurs...but by that point it is already a major issue.  So FHA/HUD looks at the home "AS IS" only and discounts homes around 40% of value.

Fannie Mae looks at home from two viewpoints...one "AS IS" and the other "As Repaired" for appraisal value.  Fannie Mae decides if they can market the home and minimize their loss or do a quick repair and sell the home or market the home "AS IS" if the repair is to costly and not worth the return they can get when the home sells.

Two very different approaches.

Finally there is the bank owned properties.  The bank s may try to sell properties for what is owed or dump it.  This depending on costs, repairs and the market.

Getting financed is not always as easy on homes like this if you have bruised credit.  So get with a lender and get your credit issues resolved before you begin your home search.

So is foreclosed properties the right choice for you?  If you go into the purchase of a foreclosed property with your eyes wide open and a budget in mind for the repairs it could be just what you are looking for in a bargain home.  If you are an investor this may be the opportunity to expand your portfolio of properties.

This is a quick overview to help you evaluate if Foreclosed properties are the right choice for you to pursue.

If you live in Michigan and would like a free list of HUD homes available we are a HUD Authorized Broker.  Call: Toll Free 877-667-4699 Email: garywhite@grar.com  or go to our Website: www.FlexItRealty.com

Rehabbing and selling still is possible but the rules are changing and so is the risk.

Right now is a great time to purchase homes that need fixed up, repaired or rehabbed.  But the financial side of issues by lenders has taken a twist that may not make it look quite as attractive. 

Does the 20% down program sound familiar...that is what you may be required to put down in all likelihood.  The other issue is if you flip the home before a year you may also face other lender penalties.

Is there money to be made in rehabbing?  Absolutely, but you have to know a few things before you plop down your hard earned green.  Here are a few things to consider.

Do you know how to determine the ROI?  You return on your investment?  Here is a little list of issues you may have to make choices on or repair.

• Do you have to redo the kitchen or is it just paint?
• Appliances are they usable or will you have to replace?
• Plumbing...do you have to replace copper or can you use plastic?
• What if any permits are going to be required?
• Will you have to have your work inspected before you can sell?  If permits are involved in all likelihood you will have to have professional inspections and the inspector will have to sign off.
• Carpet, which grades, what colors...can the pad be saved or is it all trash?
• Roof, gutters, siding
• Garage doors, interior doors, windows
• Tile, linoleum or vinyl, wood floors, laminate floors...repair, refinish or replace?
• Tubs, shower kits, sinks and associated plumbing hardware.
• Wiring, switch plates, GFI's, breaker box
• Drywall repairs or replacement
• Light fixtures
• Ceiling tiles, drop ceilings
• Trim work, paint or replace?

Once you know your material requirements it does not matter if you do the work yourself or hire it done you will have direct labor costs...yours or someone else's.  Add the material, labor and the purchase price, subtracted from your projected sell price along with any associated selling costs and what is your net profit?  This the ROI number that people refer too.

You will need to determine what your net profit margin for your investment with labor and materials is going to be.  I do not look at anything will a profit margin below 30%.  That is the profit margin I have used for years and it works for me....you margin may be completely different for your own reasons.

You can guess on your profit margins but it is very simple to create a bid sheet and write down the estimated material needed.  With a little time and experience you will also have a good idea of labor costs.  This in turn can give you a better opportunity to make a profit on your investment by working from a position of knowledge.

PT Barnum said there is a suck born every minute...don't be someone that flies by the seat of their pants...you may lose them!  Don't flip a coin!

Hope this gives you the information to develop an investment strategy.  Another way is to hire a career real estate professional who can help you identify properties that meet your criteria so you spend your time productively investing on only properties the meet your preferred guidelines.

If you live in Michigan and are thinking of taking advantage of the  great investment opportunities that this market presents to the smart investor...give me a call or drop me an email.  I am "only a phone call or click away". copyright 2008  Visit our website for Free Buyer and Investment Reports.  These reports could save you thousands of dollars in your next real estate transaction.
Call Toll Free: 877-667-4699  Email: garywhite@grar.com 
Website: www.FlexItRealty.com

What would you think if you read a headline that says...the average home sales in the US drop nearly 8% from one year ago?  Some markets are in double digit decline this is the average!

For most of us a headline like that is very understandable.  Day after day we are being blasted with news of foreclosures, short sales, subprime defaults and Realtors telling us sales are down.  The truth is the figures show home sales are down...so why would this be a surprise?

Here is the real headline...."Housing Market Sales take a dip...For Most Sellers....but NOT ALL!"  OK, who is the "NOT ALL"?

They are the one's selling of course!  Now why do some homes sell and others not sell?  Lets cut to the chase.  Since I have a marketing degree...lots of specialized training I can dazzle you with words, facts and figures or just give it to you straight.  You can take it!  You see gas prices going throught the roof, so to speak.  You see grocery price jumps everytime you go to the store and housing prices are coming down?

The truth is it is a simply supply and demand issue.  So then if we know we have more homes for sale than buyers...(Supply (homes) Demand (buyers)) then why do some homes sell and others site for months?  Here are the top four reasons.  These are not disputable or changable they are the top four reasons.  Evewryone is entitled to an opinion but the facts are the facts.  Survey after survey have place this reason of not selling in this order....so you can believe them and adjust or you can deny them and not sell....we all have choices.

1. Price, for the market
2. Condition of property
3. Location, where the property is located
4. Marketing, the agent and the methods used to sell the property

Price:  The home may have been priced close when it was first put on the market but as the market changes so does the preceived value in the buyers eyes.  This has nothing to do with real value or the seller's investment. This may be one of the most difficult issues for seller's to understand.  Selling is a very emotional issue.  The seller has goals that are not the same as the buyer.  The seller may have to have a certain amount of money to buy the next property they are looking to purchase...any number of issue but none that impact or are a concern of the buyers!  Pricing to the market when you list your home for sale is key to sell fast and for more money.  If you wonder how...attend one of my classes "selling fast and for more money", they are scheduled all over Michigan...free to the public.   We can believe numbers from news reports...but local markets are very different from national numbers being reported.

Margaret Woda wrote a list of the top 25 Mistakes FSBO sellers and Sellers in general make.  I have put a link to her post.  It was very well done and if you missed it....take the time to read it.  She and her daughter were looking to purchase...(buyers) and the sellers happened to be a FSBO but this could be an inexperienced agent just as easily which covers item four on the list above.   http://activerain.com/blogsview/506659/My-Daughter-Made-an

Condition: If your home needs painted and a competitively priced home offering the same or similar features does not...and they are priced the same which one would you buy?  You have your answer.  If one home has a neatly cut lawn and flowers and the other is shaggy and drab...which one would you buy?  You get the point...condition is more than curb appeal.  If once some one enters the home and lights need to be replaced, faucets drip and there is a scum ring in the toilets and the competitive home sparkles....which one would you buy?

Locaton:  This is one I love to talk about...because location for one may not be the idea location for a different buyer!  I just received an offer on a home that is not the ideal location for me...in fact I thought it was horrible.  Out in the country on a dirt road...then into a nice little sub-division with 1 acre lots, propane fuel...not for me.   But the buyers best friend is only six doors away and they love the idea of living close to each other.  Location for shopping, expressway systems, schools, church can all play a role.  Even rural location have a draw to certain people.  So it is very important to use the location of the property for the buyers it attract and target your efforts.

Marketing:  This means different things to different people.  Selling is marketing but not in the format I think of as marketing.  Brochures is marketing...how they are used and put together is an issue.  Cable TV is marketing, Internet listings is marketing...but just on a company website is not enough...  I know people will tell me their company website is the top rated site...big deal one site...I place homes on over 25 sites does that improve the sellers exposure?  I am sure the combined hits over my site is more than your company website and I have a $100.00 to prove it!  Now the only reason I would say that is if I am sure so tread with some caution before you have to send me your hard earned money.  I did a links check and hit useage of all the top companies in the US and not one comes close by themselves.

Marketing is the method of exposing you property to buyers and buyer's agents (Realtors).  So if you are thinking of listing your home or your listing has expired and you live in Michigan give me a call or drop me an email for a confidential appointment at your convenience to develop a marketing plan specifically to meet your needs and the needs of you family.  If you live in another state....drop me an email and I will refer you to a Realtor in your area that is a career professional you can trust to represent your needs.

Go to our website to download Free over 30 Reports that could save you thousands of dollars in your next real estate transaction.

Call Toll Free:  877-667-4699   Email: garywhite@grar.com  Website:  www.FlexItRealty.com

This was reported on CNN. 

This was reported by a CNN survey that many families do not view the tax rebate stimulus package as spendable income but money to cover necessities!

I actually do not know how most young families make ends meet based on the economic changes of everyday living requirements and costs.

Many in the real estate business are having a very hard time...but when you consider the fact that families are at a break even or losing ground with their budgets, it is no wonder foreclosures and home sales are off.  They should be.

We have to identify the marketing issues we face and those of our clients and buyers and refine our methods to meet the new market challenges.  I am doing fine...and I thank God he has blessed me with the opportunity to represent sellers and buyers everyday.

Many of the retailers are counting on the consumers to spend their rebate money from the stimulus package...they be waiting a long time, is my guess.  Most are going to spend it on daily living needs.  Some will buy a new TV and others will stick it in a bank account to save for that new home.

Me, I will probably spend it on marketing our company.

How are you going to spend your stimulus money or are you putting it in the bank?

If you live in Michigan and are thinking of selling your home or your listing has expired give me a call or drop me an email for a personal and confidential review to develop a marketing program to meet your needs.

Call Toll Free: 877-669-4699  Email: garywhite@grar.com Visit our Website to download "Free" or 30 Reports that could save you thousand of dollars in your next real estate Transaction.  Website: www.FlexItRealty.com