Sell Your Listing by Throwing a Party!

Throw a Party for Your Listings Where’s the party? At the homes and condos that developers and real estate professionals most want to sell.Swanky and creative parties are the newest ways to woo customers. The food and drink at these bashes is top shelf and the entertainment is likely to be big name – or at least something better than a radio."I was nervous when I saw how many people had shown up," says Ricardo Vadia, an assistant vice president of development for Related Group, a luxury South Florida developer. "But it was well worth it. We got people into the buildings who otherwise wouldn't have come."Wendy J. Sarasohn, a senior vice president of the Corcoran Group in New York City, hosts theme parties at her listed properties – including one for Oscar night – and insists the caterer send "very attractive waiters.""Eye candy is good," she says. Attractive waiters, cocktails and good food, she adds, can help put people "in a mood to buy."

The 10 Hardest Cities to Sell In!

10 Most Challenging Housing Markets The hardest places to sell homes are those with falling prices and a large inventory of unsold homes. Forbes magazine, which examined markets all over the country, concluded that Florida has the most markets that are really in the doldrums. Several cities there are overbuilt, saddled with lousy loans and flat sales. Jonathan Miller, president of Miller Samuel, a Manhattan-based real estate appraisal company that assisted with the analysis, says it is hard for a city to climb out of a slowdown because in the best of circumstances there's generally a three- to six-month lag between the time buyers start putting a serious dent into the inventory and the time when prices start to improve.Here are the 10 markets where Forbes says the sales opportunities are the most challenging:
Miami
Orlando
Phoenix
Tampa
Los Angeles
Washington, D.C.
Chicago
Baltimore
San Diego
Denver

Home Sales Forecast

Existing-Home Sales Slip in March Existing-home sales edged down in March, remaining within a narrow range of sales activity that has persisted since last September, NAR says. Existing-home sales, which include single-family, townhomes, condominiums, and co-ops, were down 2.0 percent to a seasonally adjusted annual rate of 4.93 million units in March from a level of 5.03 million in February, and remain 19.3 percent below the 6.11 million-unit pace in March 2007. A rise in condo sales in March was offset by a drop in single-family sales. Regionally, sales rose in the Northeast and West but fell in the Midwest and South.Lawrence Yun, NAR chief economist, says the market is performing unevenly. “Though mortgage rates are at historically low levels, some borrowers are facing restrictive lending practices in declining markets,” he says. “At the same time, many buyers continue to bide their time with a large number of homes to choose from, while other potential buyers remain on the sidelines.”The national median existing-home price for all housing types was $200,700 in March, down 7.7 percent from a year ago when the median was $217,400. Because the slowdown in sales from a year ago is greater in high-cost areas, there is a downward pull to the national median with relatively higher sales activity in low-cost markets.A mix of market conditions continues around the country, but areas showing healthy price gains include Des Moines, Iowa; Austin, Texas; and Durham, N.C. NAR President Richard F. Gaylord says there are problems with the implementation of mortgage guidelines. “It appears there is some over-reaction on the part of some lenders now in requiring higher downpayment percentages than may be necessary,” he says. “On the other hand, buyers in many parts of the country are able to take advantage of more lenient policies for FHA loans. However, because lenders don’t have enough underwriting experience with FHA loans in high-cost areas, there are localized bottlenecks in loan processing."Yun offers a caution. “With elevated inflation, the Federal Reserve should be extra careful about further rate cuts,” he says. “Mortgage interest rates, which do not move directly with Fed funds rates, may rise measurably and hurt the housing recovery if inflation gets out of hand. Monetary stimulus is plentiful – what is needed more at this point is a home buyer tax credit to get buyers off the sidelines and prevent the market from overshooting on the downside.”

Real Estate Investing

Investor Strategy Proposal

The market has many great investments for real estate investors. With the market values in decline over the last couple years there comes a time when things will change and those values will start to go back up. As we speak right now the values have declined on average 30% in the West Michigan area. The prediction is that the market will turn around in the next 1 to 1 ½ years. That’s not to say that values will go up, but sales should be more favorable.

Real Estate Proposal

My proposal to investors is this:

1) Search for investments with equity of $30,000.00 or more with a focus on higher end homes. Higher end homes will need less work to put back on the market for a quick resale.
2) Set up a web site through GRAR for all investors with the criteria they are looking for.
3) Market the investment through email drips, cable TV, personal web site, and the local media channels.
4) Do personal inspections with a photo library built for the investor.
5) Calculate all costs required to purchase the property including repairs.
6) Finalize a report and overnight it or send it through email or fax.
7) Once property is acquired then a series of steps will be followed:
a) Lock changes
b) Trash outs
c) Repair work
d) Winterize (seasonal)
e) Maintain property: Landscaping
f) Gas & electric turned on if warranted.

These steps are similar to what a bank would require. This I see as a hassle free way for the investor with less to worry about. What the investor will see is a monthly report on the subject property. That report will include, but not limited to:

1) Monthly activity on the subject property for showings.
2) A calendar showing ad’s run and in what media channel.
3) A weekly statistics report through GRAR on listing activity.
4) A monthly cost statement for electric and gas. (If applicable)
5) A detailed progress report on any sale and the steps taken for a quick close.




Purpose

The purpose is to minimize the time the investor will need to put in looking for homes.

My Requirement

My requirement from the investor would be to sell and buy properties for the investor at a commission rate that would be determined based on the cost of the property.

Investment Craze

The real estate investment craze is on in West Michigan. Most homes that are good investments are being sold with in a few days and then being re-listed at a later date. Remember when you said “I wish I would have bought that property year’s ago as it’s tripled in its price today”. Demand is what drives price. The population isn’t getting smaller in our country and that demand will be back at some point. The prices that are being seen now are prices of what homes were costing 10 years ago.

Banking News

Some brief news of the banking industry today and the mortgage crisis. We have seen a different attitude from banks. They are now more than ever willing to negotiate a short sale rather that let homes go into foreclosure. Homes in foreclosure are bad news on the books and technically banks can’t own properties other than what they do business out of. So they need to sell these properties. They are attempting to renegotiate loans through loss mitigation and refinancing. So needless to say the investment properties are here now, but may be gone tomorrow.



Thanks,


Jeff Newberg

Exit Success Realty
1009 44th St. SW
Wyoming, MI 49509
Office: 616-534-4480 x278
Fax: 616-828-5616
Cell: 231-740-6775
Email: jnewberg@comcast.net
Web: http://www.jnewberg.com/