Yikes!  I know that it sometimes appears that Buyer Agents are basically “taxi drivers” for couples who want to see homes listed throughout Denver; and if a real estate agent is willing to chauffeur you around for free all day long…they obviously have nothing better to do with their time.  But most agents are implementing conditions before you (the Buyer) get to feel the warm leather of their luxury seats.

Buyers have to understand that when an appointment is set to view a property, the homeowner is being asked to “get lost” for a couple of hours…mostly on the home owners day off.  Nothing is more frustrating for a Seller than to find out they were displaced so “Lookie-Lou’s” could parade through their home on a Saturday afternoon.  This will generally occur when a real estate agent does not request a Pre-Approval Letter from their clients.  Now don’t get this confused with a Pre-Qualification Letter…they are not the same thing.  An Approval Letter indicates that the Buyer has provided enough information to a loan officer that the mortgage company has agreed to financing up to a specific price.

Something else Buyers might want to consider when interviewing an agent is what the agents history has been in the past with clients.  I get so frustrated when I am holding an Open House and a couple comes through expressing how picky they are…based on the fact that “their current Realtor” has shown them  over 100 houses and they just can’t seem to find the right one.  This tells me one of two things…either the Buyers are not serious about purchasing a home or the real estate agent doesn’t know how to communicate properly with his/her client.  I have never shown more than 15 properties to any client before they have written an offer.

Another consideration should be in regards to your agents negotiation skills.  It’s hard to take an agent on their “good word”, so I would recommend that you request to talk to a couple of their past clients.  If they truly have nothing to hide, then the agent will gladly provide you with several people to talk to about their experience as a client.

Let’s face it folks, there isn’t a Realtor out there that is going to walk into your home and lay it on the line about the ups and downs in their careers.  In many cases real estate agents enter an interview with a new client holding their breath and praying for a contract.  It’s my opinion that agents need to apply themselves more and earn the right to work with Buyers & Sellers.  Too many of our “veteran real estate agents” spend countless hours “back slapping” and “crooning” over each other…if they have to rely on the encouragement of their piers, then it may be time for them to hang up their spurs.

Written by Kim Olson

Realtor - Real Estate of the Rockies

Belle Maison Marketing

Writer - TheDenverSource.Com

That is a good question, your initial reaction would probably be that you are getting more agents to sell your home…but is that really the case?  My personal evaluation of the teams that are local to the Denver area isn’t as “glamorous” as it should be.

Generally, most “teams” are lead by real estate agents that have been in the area for 20+ years.  They have paid their dues to the industry and are now establishing a “team” to relieve some of the burden of the job.  In a nut shell, they have made a conscious decision to “pimp their name” so that less experienced agents can do the work and the Team Leader can reap the benefits. 

How that effects you, the home buyer or seller, can be different for every situation that may arise during your contract with the agents “team”.  One of my favorite sayings is that a person “doesn’t know what they don’t know”…translation, new agents may overlook issues on the horizon because they don’t recognize the warning signs.  Since team leaders are often managing several “new” agents with deals in progress simultaneously, can you as a client be sure they are paying close enough attention to your property?

Another issue that you won’t hear about during a “listing presentation” with a team is how much turnover occurs on a regular basis.  Due to the fact that “team leaders” often demand 50% of the gross commission for every deal they refer to an agent on their team, many of their crew burn out quickly and choose to attempt to go it on their own.  It is not extraordinary for team leaders to even  violate their own contracts with members of their team in order to collect a bigger piece of the commission on a closing, personally that makes me nervous, because if they will screw with someone they work closely with on a day to day basis…you can assume, they will better deal you as a client too.

 From a marketing stand point, teams will generally have a “standardized” approach to how every listing will be  promoted…translation, picture your home as a chocolate candy bar on a conveyor belt being prepared to ship out to retailers.  The little candy bars are all checked for flaws by the factory workers (team members) and then they go to packaging.  As we all know, when you go to the store for a candy bar…all the candy bars in the box look the same (their consistent).  So, since a “team” marketing plan follows closely along the same lines, your home will be marketed the same as every listing that team is offering for sale.

To clarify, in today’s market it is mandatory that the marketing of any home is unique.  Because let’s face it, if all the homes on the page look and read the same…your odds of getting an offer are the same as when you shoot the dice in craps.  You could come out with snake eyes or you could be a big winner.  In my opinion, that is too big a gamble to take when attempting to sale your home.

Written by Kim Olson

Realtor - Real Estate of the Rockies

Belle Maison Virtual Home Marketing

Writer - TheDenverSource.Com

Are you a Home Seller that likes to negotiate the commission on the sell of your home?  I am going to guess you are.  In many cases I would commend you on wanting to save yourself some money.  But, I am sure there are many of you that have figured out that you really do “get what you pay for” when you choose to “buy the clearance item”.

I hear  repeatedly about Real Estate Agents that literally go into a listing presentation so desperate to list your home, that they will accept less than half of the payable commission that the Buyers Agent will be receiving at closing.  I know that when I offer to do something that is “virtually free” for someone, they always want to know “what’s the catch”?  Do Sellers ever ask themselves that question when an agent agrees to accept a lower rate?

It’s basically simple mathematics that will enlighten you about what to expect from a discount broker.  For whatever reason agents seem to think that keeping their clients (Home Sellers) in the dark about the cost of holding a license and selling your home is in their best interest…I disagree.  So, I have decided to pull back the curtain and let you see the wizard.

First of all, it cost close to a thousand dollars a year for a Realtor to keep their license & be a member of a board in the State of Colorado.  In addition, many of the better known Real Estate companies have a monthly charge that could be anywhere from $700 - $1000 per month or up to 30% of the total commission paid at each and every home closing,  so the agent can hang their license with their agency.

In addition, Denver Colorado has one of the most expensive MetroList (MLS) services in the nation…which has a monthly due and charges incurred per minute of activity that an agent uses their service.  Every Listing is a $30 charge from MLS and every time a Seller chooses to lower the price on their home, another charge is incurred.

As a client, do you like to receive updates on a regular basis that will provide you with information about the sales activity in your area?  For information such as that, an agent can easily pay close to $100 per month and more.  If your one of those that like to utilize a “user friendly” website to find your next home, then the cost for a simple “real estate website” can run about $50 per month…but if you want something more unique that offers great original content, then your agent is looking to spend $500 - $1000 per month.

Now let’s not forget the little cost that are often overlooked by a Seller.  A standard, basic “for sale” sign cost roughly $41 and then if you want a flyer box $12.  The flyers for those boxes can run anywhere from $25 - $50 per week based on how many people are interested in your home.  Cell phones (so you can reach your agent at a moments notice) $200 per month.  Gas and wear & tear on an agents vehicle $200 - $500 per month.  Of course you’re probably thinking…I don’t want to read this, but what I have accounted for is only a fraction of what an agent spends each month, just to market “1″ property!

All right, now let’s see the numbers.

Monthly fees for brokerage: $700

MLS averages:                          $35

Basic Website:                          $50

Additional web content          $30

Virtual Tour:                             $100

Signage:                                     $41

Flyer Box:                                  $12

Flyers per month average:     $100

Cell phone per client:              $35

Vehicle average per client:    $100

Admin Time @ min. wage:    $288

Total per client average:        $1,491    

Now let’s assume that you negotiate a 4% commission with your Listing Agent.  So, Buyer Agents generally get 2.8% of the 4% (Sellers, you really don’t want to go lower than that…the Buyer Agent will “unconsciously” choose not to encourage their Buyers to see your home. 

Let’s say your home sells for $250,000, so the commission total is $10,000

Buyer Agent receives $7,000 of the commission

Listing Agent receives $3,000 of the commission   

It probably doesn’t seem that bad at this point for the Listing Agent, even after they deduct their monthly cost they will still have $1,509.  Oops…we forgot the taxes, so for simplicity let’s just tax the remainder money.  Taxes will be about $452…so the agent really gets to keep $1,057 on that transaction.  Now I know you didn’t forget to consider what their cost would be for their family, mortgage, food & clothing…etc.  Could you live on $1,052 per month?

Now, I realize that there is the opportunity for Real Estate Agents to list more than one home or have more than one Buyer in a single month.  But keep in mind that depending on the transaction, there could be several months before a contract on a property actually closes…hence, no income for the agent.

This market that we are all suffering through makes it challenging for everyone, including real estate agents…so, please consider what your doing when you choose the “discount agent” over all others.  Because let’s face it, these brokers have to trim their cost in order to survive in this market and unfortunately the luxuries of marketing are always the first to go.  Simple stated, don’t be the Seller that has their home on the market for a year with no offers because you chose the “cheap” route. 

I know from experience that full price Realtors can sell homes for top dollar & quickly in even areas with many foreclosures…not to brag, but recently I had a house sell in 4 months…for top dollar & this property had a foreclosure on the left, right & across the street.  I captured the Buyers on the internet and at closing they proudly stated that when they saw who had the listing (Moi), they knew if would be a great home.

Food for thought…don’t sign an agreement with the first agent that you meet..unless of course, they offer “unique” marketing tools to get your home sold.  Posting your listing on Realtor.com does not count…every listing put into the MLS goes to Realtor.com.  You might be surprised, if you interview several agents, on how their presentations are “cookie cutter” to one another.  Find the needle in the haystack…it’s worth it….don’t go with the agent that has nothing more than their reputation to offer you.  Stay away from agents that still think sending postcards will bring a Buyer…you want to capture Buyers from across the nation to consider your home…not just the “local folks”.

Well, I hope that this information is helpful to you when you are considering Buying or Selling your home.  There will many more articles on the “behind the curtain” content in the near future!

Have any questions, call me 303.917.6402 or email kim.olson23@gmail.com

Written by Kim Olson

Realtor - Real Estate of the Rockies

Belle Maison Virtual Home Marketing

Writer - http://www.thedenversource.com/

Hey Denver Colorado, how do you choose a real estate agent?  Do you go with the person that sent you the last postcard, the agent you found in the yellow pages or in a real estate magazine?  What kind of questions do you ask them?  Do you even know if they are familiar with your neighborhood or city?

Recently I have found that Sellers are actually taking the time to interview several real estate agents before making their decision on who would be best to represent them in this housing market.  That is wonderful, but did you know that real estate agents are trained to insist that they are the “last” agent you talk to before you make your final decision.

This “last agent” is counting on you being exhausted of the process and literally just accepting whatever information they provide to you to be the best your going to get from any agent.  If you listen closely and take good notes, you will most likely find that the “veteran” agents ( those that brag of being in the business for 25+ years) most likely will give an identical listing presentation as the other 75% of the agents you interviewed.  Why you ask, well let’s explore that….if an agent has stated the number of years they have been in the business, their probably past retirement age too.

Now I’m not knocking these agents, but consider the fact that they started in this business before computers, the internet and in most cases MLS (web based).  In their presentation their going to tell you that over 80% of Buyers start their search on the internet…that is a fact…but will this individual truly be able to reach these Buyers?  Most “veteran” real estate agents rely heavily on MLS (Metro List) to push the information they add (about your house) to their service to www.Realtor.com.  Well, if your all right with being lumped into a pile of thousands of other homes for sale in the area…then you’re good to go.

They may even tell you a little bit about their company website and personal real estate website…translation…most “real estate office” websites are basically written in old code (computer lingo for what search engines like Google use to determine how important the site is compared to others on the internet) i.e a 1975 BMW vs a 2009 Mercedes.  As for their personal RE sites, well if you count attending a seminar with 5,000 other agents that decide to buy the same “cookie cutter” website as themselves…then your good to go too.  In a nutshell, for Buyers to really find your property on the internet, the sites your home is posted on need to be different, creative, unique and “sticky”.  There is nothing unique about RE sites that all have the exact same articles on them.

Virtual marketing for home sales is a costly endeavor and requires daily maintenance and commitment from the agent.  It requires unique articles to be written daily and someone needs to perform “search engine optimization” for the content on the site (as well as your home).  If you’re agent can barely check their email and respond, then their probably not performing the necessary basics to get their site seen by Buyers across the Nation.  So, is all that experience as valuable now…if the agent can’t reach the Buyer? The chance that an offer is going to be made on your house is reduced considerably.

Another good question to ask pertains to how many real estate related sites will your home be posted to on the web?  Many agents don’t even realize their are over 65 RE websites that are unique and popular to different areas throughout the US.  If they do integrate these sites into their marketing…how often do they refresh your homes listing on them? 

As you probably know, Americans love to be entertained…let’s face it, most of our favorite past time is watching television…and “virtual tours” aren’t going to cut it anymore (not by themselves anyway).  What is this agent going to do that is unique for your property in a video format?  Do they know how to post video on the web?  Do they know how many sites are available that accept video?  I am going to guess that they might know of one or two…but their are really over 10 sites that are growing everyday with new content.

Well, this is just part one of an ongoing saga on how to choose the right RE agent to work with you to sell your home.  If you truly want to speak to someone that can feel in the blanks about how to market your home on the web, you’re welcome to call me…303.917.6402.  Have a question…post a response here on the site or email me at kim.olson23@gmail.com.  Do you want to see a unique RE website that has captured attention around the world in the real estate market?  www.thedenversource.com

Written by Kim Olson

Realtor - Real Estate of the Rockies / Belle Masion Virtual Home Marketing

Look, the writers here at TheDenverSource are a compassionate group of people…but when I listen to the news every night it really frustrates me to hear all the negative reports from across the nation.  It is unsettling that as a country we are all squareling away our money under our beds and acting like it’s the end of the world.

The fact is…when most of us were “stock market millionaires” not so long ago, we not only “kept up with Jones” were drove our new BMW’s right past them.  We bought our BIG HOUSES, we shopped like maniacs and we lost sight of what our boundaries were in our life.

I realize that there are families out there who are on the verge of literally living on the street.  But I also know, that for many of us we have simply “stopped living” all together. The fear of losing our jobs has basically paralyzed many of us.  But it doesn’t have to be that way…we are a strong nation, we have just forgot what it’s like to live within our means.

When I go to the local Mall, it’s like walking into the morgue…no one is shopping, there is no holiday cheer and we are constantly talking about issues that are beyond our control.  We don’t have to tell our children there won’t be a Christmas this year…we have to simply explain to our “family” why this year, they may only receive one “regular” gift versus the expensive electronic present that they have become accustom to in the past.

We don’t have to tell ourselves that we can’t afford to buy a new home…we simply have to choose a home that fits within “our budget”.  Let’s face it, we aren’t seeing record numbers of foreclosures because everyone chose the appropriate home for their size family.  Honestly, many of us chose homes that were far bigger than we needed with house payments that we knew we could never afford after those “special loans” matured.

Folks, this crisis is not going to fix itself with government money…all this is with the “bail-out” is a band-aid.  We won’t get past this crisis until we as a community pull ourselves up by our boot straps… many of you may have to take that second job and others may have to take a pay cut.  But hey, gas prices are way down, everyday products can’t get any cheaper and this recession won’t last forever.  Have a little faith in yourself, ten years ago many of us were “unstoppable”…proud, determined, excited and successful, that person within you has not gone away…I was once asked “how do you eat an elephant?”…one bite at a time…translation, lets’ take control of what we can, make it better and let our elected government officials know our thoughts.

In case many of you have forgotten…they work for us…not for the lobbyist, not for Big Corporation and not for themselves…but they too have forgotten that little fact.  Write your legislators, I recently wrote mine and believe it or not…he wrote back…believe me, their listening!

I would love to hear from you…how do you feel…what are some of the questions you have?  Don’t just continue to sit idly by and complain…practice using that voice…start here

Aurora Colorado Condo recent price reduction!  Located in the Sunflower Condos this property is quiet, comfortable and priced for a quick sale. If you are looking for a condo for sale in Aurora, Co than this is your opportunity. This is NOT a short, but is priced like one.  Owner has put in new double pane windows, new carpet in the Family Room and has showed serious pride in ownership.  This home is ready for quick possession!

 

Located on the second floor with a covered balcony, a reserved parking space in a community with a swimming pool and tennis courts.  HOA fees are $213.00 a month and taxes are estimated at $643.00 per year.

2nd Floor Condo Built in 1981 2 Bedrooms 2 Bathrooms 1,015 square feet 1 Fireplace in Living Room 1 Reserved Parking Space Priced at $79,000

Includes: Central Heat & Air Installed Cable Covered Patio Double Pane Windows Fireplace Insert Formal Dining Room High Speed Access Self Cleaning Oven Disposal Vaulted Ceilings Walk-in Closets



 

For more information on this great Condo, contact Kim Olson at 303.917.6402 or email me at kim.olson23@gmail.com

Not exactly what your looking for?  Visit The Denver Source

 

All right all you Buyers really looking for a “Red Hot Deal”, here it is.  Located in the Highlands in Southeast Aurora Colorado just off  Hampden Road east of Gun Club Road is our Teams Choice of Smokin’ Deal of the Month!  Community is quiet, yet minutes away from shopping, theaters and dining.  Homeowners dues are approximately $50.00 per month and include a clubhouse, community pool and trash removal.

This is a great opportunity to take advantage of getting into a nice size home for little money.  Buyers always tell me their looking for a “smokin deal” and this is it.  This area of Aurora Colorado has seen considerable growth over the last several years.  Home is situated on a quiet street close to parks, neighborhood schools and walking trails.  Don’t miss the opportunity!

Our Team is taking Buyers in the Denver Metro Area to view this property every weekend.  Are you ready to buy?  Call Kim Olson’s Team at 303.917.6402 to set your appointment to view this remarkable home at this remarkable price.  Visit our site at www.thedenversource.com

Southeast Aurora Colorado Home for sale close to Southlands Mall.  Research has indicated that we have some great deals on a couple of homes in the neighborhood of Tallgrass. 

Tallgrass is located just off Quincy Road  west of Gun Club Road in Southeast Aurora Colorado.  It is part of the Cherry Creek School District, which is considered an award winning school system.  The neighborhood is very was designed with “sub streets” to the homes, providing a safe environment from passing cars driving through the neighborhood.  In addition, homeowners will find beautiful parks sprinkled throughout the addition with playground equipment and walking trails.

Literally minutes from the new Southlands Mall, Wal-Mart & great eating establishments.  5 minutes from E-470, 17 minutes from the Denver Tech Center and 20 minutes from Denver International Airport makes living here convenient to everything, yet in a quiet community.

 Call Kim Olson 303.917.6402 to set a showing on this great Ranch Home!  Is this home not exactly what you’re looking for…visit www.thedenversource.com

Building of brand-new houses plunged by a bigger-than-expected amount in September as builders cut output yet again, placing the country on track to build the fewest homes this year in more than 6 decades. 

Construction starts continuing to fall

A barometer of forthcoming building also degenerated, coming down to the weakest level in more than 25 years. Analysts faulted the revived swoon on the financial crisis which broke out with forcefulness this fall, conjuring new anxiousnesses among potential home buyers and making it more difficult for builders to get building loans.

The Commerce Department reported Friday that building of new homes and apartments dropped by 6.3 percent last month, a much larger decline than the 1.6 percent decrease that had been expected. It forced total production to a seasonally corrected annual rate of 817,000 units. That’s the pokiest pace since January 1991, when the U.S. was in a recession and going through a similar aching housing correction.

“This is pretty bleak. The home building market continues to slide away and it is not over yet,” said Mark Zandi, chief economist at Moody’s Economy.com. “Demand is now weakening as a result of the financial panic and the hit to the job market.”

President Bush on Friday fended for the government’s over-the-top interventions to rescue the financial system as a “last resort” that would work out eventually to steady the economy.

The construction declines last calendar month reflected weakness in many parts of the nation. It was led by a 20.9 percent drop in the Northeast, where construction of single-family units fell to the lowliest level on record.

Construction slipped by 16.8 percent in the West with single-family building attaining a record low there, as well. The Midwest saw a gain of 5.6 percent, although that came from strength in apartment construction as single-family construction also hit a record depression in that area. Construction activity in the South was up a slight 0.5 percent.

Applications for construction permits, believed a good sign for upcoming activity, also decreased sharply in September, dropping by 8.3 percent to an annual rate of 786,000 units, the feeblest degree since November 1981.

The housing industry, which savored a five-year boom, is stomaching its worst downswing in decades.

The failing in housing, where prices have been dropping sharply in many parts of the country, has triggered off severe economic problems. The government has been forced to rush through a $700 billion rescue package for banks which have been hit with billions of dollars in losses from towering nonpayments on mortgages.

Banks, distressed about their cash in reserves and the wellness of other banks and businesses, have reduced lending, inducing credit markets around the world to freeze, stock markets to break down and anxiety about a global recession to rise.

Builder sentiment deteriorated to a record book low in October, according to the latest survey from the National Association of Home Builders which said builder confidence had been shaken by the recent financial market troubles. Builders have been facing meaner lending standards as they try to get funding for new projects.