Posts Tagged ‘business’

Happy Thanksgiving

November 18, 2016

In the fall of 1621, the religious separatist Pilgrims held a three-day feast to celebrate a bountiful harvest, an event many regard as the nation’s first Thanksgiving. It eventually became a national holiday in 1863 when President Abraham Lincoln proclaimed the last Thursday of November as a National Day of Thanksgiving. Later, President Franklin Roosevelt clarified that Thanksgiving should always be celebrated on the fourth Thursday of the month to encourage earlier holiday shopping, never on the occasional fifth Thursday.

In the year 1621, the Pilgrims held their first Thanksgiving feast. They invited the great Indian chief Massasoit, who brought ninety of his brave Indians and a great abundance of food. Governor William Bradford and Captain Miles Standish were honored guests. Elder William Brewster, who was a minister, said a prayer that went something like this: ‘We thank God for our homes and our food and our safety in a new land. We thank God for the opportunity to create a new world for freedom and justice.” Linus Van Pelt Peanuts in A Charlie Brown Thanksgiving

“a roof over our heads, heat in the home, food on the table surrounded by family and friends all Blessed by the Lord. Everything else is an extra” Rich Nesbit

So now you have some things to help you celebrate Thanksgiving. A True American holiday, founded by the Pilgrims. 2 stories to share and a quote or a prayer, use it as you would like.

As is the tradition in my home, here is what I am thankful for this year. I have a deeper more loving relationship with my bride and children. I am always thankful for all my Lord and Saviour Jesus Christ has given me. I am thankful for my new editor who has chosen to keep me on as a columnist.

I am thankful for all my friends at the Steelheads. What a great group.

I am thankful for my business being able to support my wife, children and the lifestyle we are leading where family is first. A true blessing. A special thank you to all who used my services and helped me reach my goals.

I am thankful for all the people in the businesses that support my business as well. Title Companies, loan officers, inspectors the list is endless.

I am thankful for the roof over my head and the food on my table.

I am thankful for you my dear readers. I am absolutely amazed how many times people recognize me and send me comments on my articles. I am and feel so blessed every time it happens. Thank you dear readers.

Happy Thanksgiving, Richie Rich

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An Investing Idea

November 15, 2016

I have a goal to own rental properties. Might be a good fit for me considering the business I am in. As a bonus I get to see many different business models for investing in housing. The other day I heard of one that I have not seen before.

I participate in a coaching program that offers more than just sales advice. We believe in a well rounded life that includes growth in 5 different areas. Spiritual, family, business, financial and personal are the 5 Circles we intertwine and balance. The founder of the company not only tells it like it is, he practices what he preaches. During the recession he liquidated $30,000,000 that’s 30 Million in real estate holdings to keep his business alive. He had one commercial building he left empty for a year. He was able to do this using an investment system that helped him succeed. Hmmm, he has captured my interest again.

So how’d he do it you say? I’ll tell ya. He would buy a property and hold it. He would not buy another property until he owed less than half on the property. Less than half! What about leverage, what about the great deal sitting in front of you. Nope he said, just wouldn’t do it no matter how badly it fried his backside. Considering he did not lose everything like others did I have to consider what he says quite seriously.

I am reminded of a call I received on day as the recession was beginning. The buyer wanted to buy million dollar properties for $500,000. I laughed and then asked why I would not buy them myself for that price. He said I could not buy them all. I loved that response. I can’t possibly buy every deal that comes to me. I only wish I could. There will always be another opportunity. So perhaps the 50% idea is not that farfetched as it sounds.

Some investors use a cash only model, some use the 20% down, some use 20% down that they borrow and many other models. I would prefer to be an all cash investor. Perhaps 20% down and then wait and be patient might be better. Hmm time to think. All the Best Richie Rich

Haunted Houses

November 1, 2016

Spooky OOky Homes. I was looking around to see where I might find haunted houses in the area. I found several where gruesome murders had occurred. Since I am precluded by law from stigmatizing a property I will not, cannot discuss these homes. Or Haunted ones. Go online you will find them.

Per Realtor.com “Stigmatized properties are homes where a real or rumored event occurred that didn’t physically affect the property but could adversely impact its desirability.” That is where the courts have said that by disclosing such information will put a home in such an unfavorable light the value is adversely affected, price goes down. Both for a seller or a tenant. Some examples would include homes that are haunted, where murders have occurred and someone has died naturally or by suicide. Serious illness, such as aids, cult activity and famous adulteries are also considered stigmatizing. I say if you need to know, talk with the neighbors.

So, keep in mind, these things do not need disclosed. How about you? Could you live there? I think there is a buyer for every home. I also think someone would pay a premium for that opportunity. Not me mind you however there is always a buyer willing to buy, cost is always the issue. Time is also an issue. If the home was in the news it can take longer to sell. The mansion where the Manson Murders took place reportedly took 20 years to sell however it sold for market value. Hmmm I think I would rather have bought the Playboy Mansion. Of course, the Playboy Mansion was about 20 times the cost however it does come with Hef. According to a 2000 study from Wright State University of stigmatized homes, these home tend to sell for 3% below value and take 45% longer to sell.

It was fun looking at the homes and reading the stories behind the “haunting”. Some were gruesome murders, I would just as soon not read those stories in detail. For me the funny ones were the bars where patrons and staff had seen visions. Could be the drink I think. Still makes me smile. Have a Happy Safe Halloween, Richie Rich

Q3 Numbers and The Election

October 30, 2016

As always my statistics come from Intermountain MLS. Numbers look good here again however I think you will be surprised. So far for the year home prices are up only slightly more than 7%. Number of homes sold is up 8% compared to last year. Existing home sales are up 7.5% and new construction is up 43%. However prices are key. Residential resale prices are up 6.35% and new construction is flat at 1.62% up. People are buying new homes because they can’t find what they want, prices are flat in new construction because they have enough inventory. Basic inventory supply and demand rules are in effect.

So Rich, now what happens? We keep sailing along. Homes are still selling, prices are holding, in some price markets they are a dropping. Interest rates are stabile. I don’t think we will see any changes until the beginning of the new year.

But Rich, the election is coming. Correct historically speaking housing prices tend to drop after an election regardless of who wins. Prices tend to drop because people are uncertain of how things will go with a major change. This uncertainty freezes people and creates a wait and see attitude especially in major purchases. However we have quite an usual market coming out of the recession and still a shortage of inventory. I believe we will see a slight increase next year. Of course wait nine months and we will see. If you would like to see how your neighborhood did go to:

http://www.intermountainmls.com/statistics/Static.aspx  and take a look. Happy House Hunting, All the Best Richie Rich

Labor Day

September 6, 2016

While you are enjoying the last official BBQ of summer please don’t forget the American worker.

The first Monday in September is dedicated to the social and economic achievements of American workers. It constitutes a yearly national tribute to the workers. Workers have made the strength, prosperity, and well-being of our country. They are the backbone of this great country.

The form that the observance and celebration of Labor Day should take were outlined in the first proposal of the holiday — a street parade to exhibit to the public “the strength and esprit de corps of the trade and labor organizations” of the community, followed by a festival for the recreation and amusement of the workers and their families. This became the pattern for the celebrations of Labor Day. Speeches by prominent men and women were introduced later, as more emphasis was placed upon the economic and civic significance of the holiday. Still later, by a resolution of the American Federation of Labor convention of 1909, the Sunday preceding Labor Day was adopted as Labor Sunday and dedicated to the spiritual and educational aspects of the labor movement. (adapted from US DOL)

Soon it will be time to winter fertilize and re seed the lawn. Trim the hedges and possibly the trees. What else could you, my dear reader be looking at? You could clean and touch up. Make certain the gutters are free of debris, if the caulking around the windows, is cracked or missing fill it in or replace as needed. When is the last time you cleaned your dryer vents? Is the dryer taking longer and longer to dry the clothes. Perhaps the vent is clogged.

With the weather being what it is time to think about painting. If you are wanting to sell in spring you may not want to wait for spring. It is amazing to me how many people will spend hours washing their car, every week in some cases, and not spend any time taking care of their home. So be a Dagwood, work in the yard, have a dagwood for lunch that day as you enjoy the fruit of your labor as fall approaches. And enjoy a good game of football, whichever you like.

Parts of this article came from original columns from 2009 and 2010. My goodness, have I been writing that long. Certainly doesn’t feel like it. All the Best Richie Rich

School Has Begun

September 6, 2016

Hello Everyone, SCHOOL HAS BEGUN, there will be traffic delays, people running late. School buses will be making stops. Don’t forget to stop yourself when the bus does.

Also remember that our police officers will be out helping us to remember to slow down in school zones. As we all should. There will be new drivers on the road, new kids in drivers ed wondering, should I change lanes or not. Please try and be patient and not have a road rage incident.

I myself will be trying to say kids, kids, kids every time I stop at a stop light or red light before I turn. Just trying to remind myself that the munchkins will be out and about and I need to raise my level of awareness.

All of this is a great reminder that summer is winding down and fall is about to arrive. I certainly enjoy the cool mornings; just wish the smoke was gone. Summer has been great and I am looking forward to fall, soup and stew, football and futbol.  How about you?

Real Estate is still doing well. Homes are still selling, rates are low and life is good. As we begin the fall rituals keep in mind there is still plenty of time to enjoy your backyard spaces, start planning fall projects or just kick back and relax like a sleepy old tick hound on the front porch. All the Best Richie Rich

Title Insurance…What is it Good For?

August 18, 2016

My goodness! I am feeling slightly beat up and tail dragging. I sold a home that had a cloud on title and it took a lot of extra work, about 20 hours, to get it resolved. Now I can hear some of you saying, “So what, look how much you get paid”! Well yes I do get paid however this was an additional 20 hours of work that I did not get extra compensation for. Try working at your regular job and then work Saturday and Sunday and a couple of nights for no extra pay and see how you feel.
The work I did for my buyer was work that I did not need to do. Work and a goal I achieved when the title company and bank said I could not do it. They said it would take 12 weeks to get it done after we gathered all the information and submitted it completely and correctly. COMPLETELY? AND CORRECTLY! Oh my goodness!
I got it done in 2 weeks. The main reason I got it done is because I met a neighbor who, like me, cares about his neighbors. You see he and the seller discovered that they both had trouble. His driveway was on the sellers property and the seller’s shed was on his. The neighbor filed a claim, title insurance came in and at no expense to the seller, fixed the problem. Or so we thought…
The title company or the attorney had forgotten to get the lien waivers from the banks. You see, when a bank gives you a loan it is for the whole thing. So you cannot sell or trade some of it without their permission. Even though the land exchanged was equal in size and no money was exchanged the lenders must still give their approval and sign releases. UGH! Now we had a problem.
I am grateful I knocked on the neighbors door and we talked. He had filed the claim. When I ran into a dead end with his title company he called me and said “no way”. He had the name and the number for the title person who would let us close on the property. I called our title company and gave them the updated information. We were able to close, just 1 week late. Thank goodness for good neighbors. Thank goodness they had the correct title insurance to fix the problem. Not all do. Title companies, what are they good for? Just like other insurance agencies, as long as you have the proper insurance, they help protect you. All the Best Richie Rich

Sales Etiquette

August 18, 2016

There are certain things that the public should expect when dealing with sales people. Perhaps I am old school however here’s what I think.
When you are the client and you go out to eat or have a drink the sales person should pick up the check. Now I do have clients who insist on buying me the meal. It’s a dance and we both appreciate each other.
A sales person should dress professionally. Flip flops and baggy shorts are ok for the buyer however not for the sales person. Dress for success, dress the part is important in creating a good first impression. Most of us would have a hard time if the auto mechanic was wearing a tuxedo.
A sales person should be on time. Sounds simple however you would be surprised.
A sales person should be courteous. Yes, please and thank you. Really shouldn’t we all do this?
When a business person answers their phone or when they are initiating a call they should identify themselves. Not just hello and leave us guessing if we got the right person. Or who is this calling me.
A note about cell phones and texting. When you are with a sales person they should be with you. They should not be on their phones unless it is about you and they are trying to get an answer for you.
A sales person should be prepared when they meet you. They should not be winging it.
They should have time for you. They should answer your questions and help you understand the process. Not just make the sale.
Traditions such as these are guidelines we should follow. Not rules set in stone. I think good etiquette is always in style. I happened to watch the movie Kingsman this last week. The quote I loved best “manners maketh man”. All the Best Richie Rich

What to Ask A Home Inspector

August 18, 2016

Home inspections are a critical part of the home buying process. Don’t skimp out here. Inspectors are now marketing directly to buyers trying to get more business. Here are some questions to ask a home inspector prior to hiring them. HUD (Housing Urban Development) finds it so important they have a list of questions you can use. The Feds believe it is so important that when you get a loan from them there is a whole page as to why you should get an inspection. Here are my thoughts.
Prior to hiring:
1- How much does it cost? Let’s just get this out of the way. Simple enough most are around $300 bucks however depending on the extras the price goes up. Extras Rich? Yes, well, water and so on. If your home is larger than there can be additional fees as well.
2- Can I attend the inspection? Most inspectors cringe here and ask that you join them at the end of it. I say if you want to be there with the inspector and crawl the attic and crawl spaces have at it. If not then meet them there and go over the findings.
3- Are you insured and what does it cover? Follow up with if something pops up that should have been caught what remedies do you offer? Some have insurance for this; some offer a warranty, others you get the fee back you paid.
4- How have you been trained, what kind of experience do you have? How many inspections have you performed in the last year? Ask to see their last report, look for buzz words, see below. These are great qualifying questions.
5- Look at the report, what are major areas of concern? How easily can these be indentified? Some inspectors say all the window seals have failed (Buzz Word), rather than a particular window has moisture, sweating or fogging. Seals fail, is there water? Apparent break in attempt (buzz buzz) rather than door is damaged where lock is. Is there a police report or did the previous person forget their keys. My all time favorite? MOLD ooh, mold can be everywhere in all homes. Some mold is the bad kind; some is not and has been there for years.
6- How bad is it… really? A good home inspector should be able to discuss the report with you and offer insight on to how bad the damage could be. If they say you need to hire a specialist for everything they noted why hire them to begin with.
Of course you could ask your Realtor for a recommendation. Chances are they know a couple of good ones. All the Best Richie Rich

What Happens When A Seller Won’t Sell

August 16, 2016

Now everyone who reads my column knows I am a Realtor, not an attorney. If you want legal advice please consult an attorney. Now you also know whatever I say next is going to be really good so hang on. What does happen when a seller chooses not to sell?

In the purchase and sales agreement it says the buyer automatically gets their earnest money back. The seller is also required to pay for costs of title insurance, a whole bunch of miscellaneous expenses and attorney fees. Sounds reasonable so far and then comes the next part. This payment does not waive any of the buyers lawful rights or remedies. SAY WHAT! YES it means there may be more the buyer can do. What can a buyer do? Well…

The buyer can pursue legal action and sue for specific performance. The WEX Legal dictionary defines specific performance as A contractual remedy in which the court orders a party to actually perform its promise as closely as possible, because monetary damages are somehow inadequate to fix the harm.  Most commonly ordered in cases involving real property and rare chattels. If you want a better definition Harvard has a 39 page report you can read. Basically the court will order the seller to sell.

WHAT! Is this like eminent domain? No. The court can order the seller to sell the property under the terms of the contract they agreed to, no eminent domain. Why can’t the seller just give the buyer some money? Pay for all the damages Rich? Well, I’m no attorney; however I believe that the Court does it to make the buyer whole. Every piece of property is unique and because of that the Court believes the only way to make the situation right is to make the seller complete the deal. I am certain there is a very legal reason why this occurs based upon years of law. As the definition says, it is done because monetary damages are somewhat inadequate to fix the harm.

To be honest my dear readers I have heard of this being done. I am not certain why a buyer would choose this path however it is their right under the law. Next week, what happens when a buyer doesn’t buy? All the Best Richie Rich


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