Notes on Real Estate

This Monday will be the first in a series of 90 minute FREE seminars I will be giving for home buyers. It will be at the Coldwell Banker Burnet Minneapolis Lakes Office, 6:00 – 7:30 PM. Topics covered include the 10 most important questions you can ask a Lender, techniques for setting the initial search criteria and for evaluating homes you do actually shop, and critical information on the Purchase Agreement itself. Also included are some essential bonus thoughts on negotiating, and what it means to be house hunting in a buyer's market.

If you and/or anybody you know is interested, just show up. This is good stuff, and even if you aren't planning on buying in the immediate future, it's still applicable in any market. The information is something smart sellers should know, too, as much of this is a two-sided deal.

The plan is to do this every Monday for several weeks. If you want to come at these later dates, please send an e-mail to make certain it's happening.

Interest rates from lenders are dropping daily. The rumor is that the Fed is considering making adjustments back down soon, based on an awareness that they were overly vigorous in the "correction" department. Buyers are taking revenge by not giving in to exaggerated price expectations from sellers, who, in many instances, were being a bit greedy, and going further with strong low bids and asking for closing costs and other bonuses - perhaps overreacting. The only thing that is not as I predicted is the extent to which some buyers are taking their expectations that they can now bully sellers.

Remember, in a seller's market, the seller still needs in most cases to then become the buyer. In a buyer's market, the buyer usually stays put for a while after the purchase. The seller in a buyer's market, however, may still go out and buy, but get a bargain on that end of the deal. Things even out, mostly.

Houses are still the best investment you can make. If your home didn't go up in value this year, which is unlikely, consider how much it went up since you've owned it. Besides, if you aren't selling it, how much can a flat year or two really matter? A promise of increased equity is never in the purchase agreement.

The IRS still allows us to take a deduction on our interest paid. Many forget to figure that in. Plus, if you'd bought stock in General Motors, they would not have sent you a car to drive; if you'd purchased stock in Microsoft, no free computer would have been delivered. You get to have all the financial benefits of owning a home, plus you get to live in it.

So, brag to anybody you like that you are a homeowner. Remember, in some countries there's no such thing as personal property ownership, and in many others it's the generations-old family home, or nothing.

Recently, a man knocked on a Minneapolis area woman's door and claimed he was a REALTOR® and wanted a closer look at the house she had for sale. She let him in. He raped her. (No, he was not a REALTOR®, just a felon.) Only scheduled appointments through the REALTOR®s broker (sometimes via a scheduling service) should be allowed in your home. Add this to the potential perils of being a For Sale by Owner, too. She wasn't a FISBO, just an unsuspecting victim.

Also recently, a couple of realtors have been physically assaulted while showing homes. REALTOR® - It's in the top three in my book for "Most Vulnerable to Attack" professions. I'm not sure what the other two are.

Consequently, as a result of my martial arts background and many years of experience teaching self-defense programs, I will be doing two sampler classes for REALTORS® at our home office, which are slated to become three hour programs offered to all CBB REALTORS® through Coldwell Banker University, and then Continuing Education classes for REALTORS® in general.

Side note: I will also be offering an on-going Noon to 1:00 Japanese Jujitsu class at Warrior's Cove in St. Louis Park. It's for anybody age 14 and up. There's a really good deal here, as the first month can be FREE, with the regular price at $65/month. Check out Warrior's Cove in a few days (it's so new it's not even up yet). The first class will be October 13th. This is not judo, it's jujitsu of the Samurai Warrior type. Contact me if you are interested and can't get web page satisfaction.

That’s it for now. Except this:

1. If you have interests or questions, please e-mail me or give me a call.
2. Check out my website HERE

The opinions expressed in this newsletter are solely those of Tom Crone and others being quoted and do not necessarily reflect the opinions of Coldwell Banker Burnet or its affiliates.