They can buy them from a list or bigger companies usually have a “list serv” which is basically inter-company emails. Anyways, agents use them to push open houses, broker opens, price reductions, soon to come on market… the list goes on and on. They will do anything to get an email to add you to their list, my website ranks well and therefore I get a lot of spammers that troll to pick up email addresses.

Realtor® Outreach Program

Then I get this email that sounds like a snake oil salesman coming from my own company, pushing certain properties from around town with a subject line of “Realtor® Outreach Program for (insert local builder here)”. The email simply was notifying certain commission payouts for properties throughout the Minneapolis/St. Paul area. That’s an old school way of trying to persuade buyers into a certain property at the benefit of the agent’s wallet. I don’t believe in that method at all, no benefit to the consumer.

First off, this email cries of desperation from a local builder that inventory is just sitting and they don’t know what to do. Back a few years ago, builders would just puke houses out they were putting them out so fast. Now they don’t know what to do or turn.

They try and use these catchy phrases but completely miss the mark. I mean come on, anybody can do better than “Realtor® Outreach Program”.

I replied with:

Please remove my email from this list, there is no opt-out, this is spam

I regularly do this just because my inbox will then blow up with the amount of email that comes in. I get this snotty email back from agent, he was offended that I would not want to receive his “spam”. Needless to say he was new to the position, pulled a childish stunt and I am sure he didn’t want a slap on the wrist from the FCC regarding spam. Just looking out, but no respect I guess.

Alright… done with my little rant. Bottom line, never be persuaded into a property that has a higher commission payout to the agent. It is the agents fiduciary duty to disclose that information to the buyer. And if you feel a big push towards one property, question the agents methods.

Here is the map to the new Coldwell Banker Burnet in Apple Valley.

View Larger Map

Not quite sure the point, but it certainly won’t get me into the house.

A lot of problems lie with REO Agents that have bank owned homes. Just because the bank is your client doesn’t mean that they shouldn’t deserve the same representation as traditional sellers. Taking two photos of a drive by BPO 6 months earlier and using them on the MLS doesn’t serve any purpose. If only they knew…

So here’s a simple list

1. Enough if the cheap lock boxes where the combonations are the same on ALL the listings throughout the Twin Cities Metro
2. ‘Move in Ready’ last time I checked didn’t mean a home with out major appliances.
3. I know 10 pictures is a lot to ask for. Everybody knows that you are trying to get people in the door. C’mon now, quit wasting everybody’s time
4. One picture of wild life in the backyard is going to make the buyers of Deliverance
5. If showing is by appointment only, seller’s agent must be present. Not to many buyers are going to be accommodating to that.
6. Update the listing: Buyer’s Agent Selling bonus by “X” date. The deadline has come and gone.
7. If the remarks say “This One Won’t Last” and 90 days has gone by, see 6
8. Last time I check minor TLC meant paint and touchups, not complete gut and rehab of the house!
9. Might want to make breathing masks readily available
10. Lets keep the sign riders to a minimal, scraping the ground is not good!
11. Update the status accordingly, if the property is Sold then it is sold, if the property is Pending then it is pending and if the property is Active then it is active. Not to hard to comprehend.
12. LAY OFF THE ALL CAPS! I MEAN REALLY

This is just the tip of the iceberg, I may post more as I see or remember them.

Actually lets back track

My client was the bank on a REO listing that I had a while back that went south, all thanks to nervousness from a buyer that didn’t know what was going on. This isn’t meant to scare off any buyer, just be prepared when making an offer on a bank owned home.

The offer on the property was made and after a little back and forth with negotiations a fair price was settled on. Meanwhile behind the scenes, the inspection took place and the bank made some necessary repairs (they will do repairs if they are asked for, tell your agent).

Another situation was brewing with the loan officer, this is a whole other topic but will touch briefly on it. The buyer had found the agent online in a different state, always a cause for some sort of alarm but the buyer’s agent assured me all is well. After a little skiptracing on Google, I found nothing about the loan officer and carried on.

Never Shop Mortgages Days Before Closing

After maintaining good contact with the buyer’s agent throughout the process, everything seemed good to go with closing. Two days before closing I get a call out of the blue from a different mortgage company asking about homeowners asscociation dues. The other mortgage broker stated that the buyer was shopping mortgages two days before closing, big no-no.

This sets of a big red alarm and I phone the other agent. He says the loan officer from another state (who the buyer has never really met) has sallied up and won’t return a phone call and couldn’t deliver the loan product.

Luckily the buyer had a backup loan approval submitted by a different mortgage company and they were able to come to the rescue, for now. The closing was moved back and was able to get the per diem charge of $100 a day for not being able to close on time removed from the lender.

Don’t Make Any Large Purchases

A new closing date was set, all loan docs were signed and “clear to close” was issued by the lender. Then I get a call from the loan officer from the new company saying the buyer didn’t have the funds to close because he had made a large purchase. That’s kind of another no-no, watch what you put on the credit card or move funds around from account to account.

He actually had the funds but didn’t want to dip into certain accounts for the time being. Probably actually should have done it because the buyer is now at fault of losing their $10,000 earnest money check. There was no purchase and the buyer ended up walking. Would you walk away for $10k over a purchase? Not me, that’s for sure.

The moral of the story is don’t make an offer you don’t intend on keeping, because you might have to forfeit your earnest money deposit. Banks don’t like to be jerked around in a transaction. They actually have some clauses that supercede MAR purchase agreements.

Any other crazy stories out there that happened to you during your real estate transaction?

House Hunters is seen across the country and provides great insights into the home buying process.

What to consider

If being on House Hunters is something that interests you, then here are some things to consider:

• A time commitment of 4-5 days allowed for shooting
• Be ready for fast paced experience
• Time frame is spring to early summer for shooting
• 30 mile radius of the Minneapolis/St. Paul metro area is preferred
• Comfortable on camera
• Appearance and Location release signoffs
• This is the real deal, you will be buying a home!
• Expect FUN

The Episode

The show focus on you searching for homes that you are interested in. Three homes will be picked to view with you picking  your favorite. Areas of interest and home descriptions will be discussed along with your current living arrangements. Be ready to discuss your likes and dislikes about each property. Brutal honesty is required (-:

If you haven’t seen an episode before, check this out to get an idea of what each episode of House Hunters includes.

If you would like more information about appearing on the show or if this something that might interest you, then contact me here for more information and we can discuss this opportunity further.

You must be ready to purchase a home because that is the point of the show

Adding a little bit of transparency for buyers and sellers in the real estate industry. Here, anybody can add or create links to things that interest them about real estate or communities within the Twin Cities.

So get involved and ask some questions if you have them, you never know if someone else has the same question. You just might provide the answer

Had to yearbook myself in 1980 because of the specifics to the post!

This was kind of weird and nobody had ever seen anything like this until last Friday. I have to set this up will go back to the beginning and explain why my client needed to provide yearbook pictures at the closing table.

A large sum of money was deposited into an account which set off a red flag for the underwriters. So naturally they start asking questions into where it came from. It just so happened that it came from a friend. That is one helluva nice friend, huh? So the lender traced it down and now need the friend to sign a gift letter, which is only normal in some circumstances. Well, on top of that they went above and beyond, the underwriters asked for yearbook photos to date back that they have been indeed friends for the period of time that they claimed to be.

Kind of funny because we had to scan pictures of the yearbook photos (client & friend). Circle the individuals and point out that we had copied the pictures from separate pages but they where from the same book.

Will we see more non sense like this in the upcoming months with the stricter lending?

I stole this pic or wordle from Mark Eckenrode, who appears to have stole it from Joseph Ferrara. Anyways, I got tagged in a ‘meme’ from Mark and Sarah Stelmok. A meme, better explained here spreads through the web and this one is about six things that you wouldn’t know about me unless you asked.

So here we go

1. I have this crazy addiction to Buffalo Wild Wings right now. For some reason, just can’t stop eating the wings. Spicy Garlic and Mango Habernero are my favorite sauces.
2. Will try any beer. Wait, left me rephrase that, any micro brew. A beer with taste, you can’t go wrong. Into finding unique craft beers. What’s in my fridge right now? A bottle of Tommyknocker Nut Brown Ale and Two Hearted Ale. Someday I might just have to brew my own.
3. I have a on point memory when it comes to remembering sporting events, sport facts and anything sport related. Other things, not so much.
4. I like to brag about how I never get sick, that is until recently that is…
5. When not working, you can find me in the health club.
6. I like to travel, I know who doesn’t? Wish I could do it more.

To Pass it on

Chad Huck – Charlotte and Lake Norman Real Estate

Bill Cody – All Things Las Vegas

Matt Stigliano – Former Bloodhound Gang and reRockstar

Tyler Osby – Wealth In Mortgage