Responses from agents

Here are responses from real estate agents across the country as to the Chicago Trib's statement that a listing agent be at their listings when showing:

Re: what an agent should be doing
My response (to the Tribune writer, not to Eileen):
please don't should on me

As far as showings... I agree with Eileen. Let the buyer's agent show it.

Lisa from Phoenix ;-)


Eileen,

Rare for Listing Agent to be at Showings. Sometimes for High End properties, and that may be ego driven by Agent or Sellers.

Certainly not common for affordable and mid-range properties. Most are Call / Go. Call and make arrangements or leave voicemail on home recorder and GO access Lockbox to show property.


JIM
Austin, TX.

Nope, the listing agent does not generally go to showings here. Occasionally in MLS we will see a notation that 'agent must be present,' but it is usually because of a demanding, or nervous older, seller, or it's an expensive house with expensive furnishings.....and I guess there could be other reasons. But it is a real pain to have to schedule your showing around the listing agent's schedule and I think most agents feel that it slows down getting an offer.

Sarah

Nashville, Tenn

In our area agents do not like the seller's agent to be
there when they take their clients to view a home.
99% are working as buyers agent as well.

I as the listing agent do not want to be present when
my listings are shown, as it puts the other agents
and their clients on edge. I would hate to think I
had to meet every agent every time they showed my
listings and schedule around them. I work with
sellers and buyers (only one per transaction, let me
clarify) so I am on the road alot.

Glory Bee

Maryland

In our area it is not uncommon to have numberous showing in one day, I could not imagine a listing agent having time to be at the property for every showing. On another note from my experience, my buyers are not comfortable spending time to examine a property (looking in closets, etc) or asking questions as we walk through a home with either a seller/listing agent present.

Sherry

Jacksonville, NC

Out here in Salem, OR, I see a few occasions where the listing agent needs to be present such as a disabled/older client, or very expensive home. As someone who works with both buyers and sellers, I don't want the listing agent present. I want to be able to talk with my buyers as we are walking though the house, all the pros and cons about the house without the other agent present (I don't want to give my strategy away to the listing agent...). I run CMA's on homes before we enter, so I want to be able to talk with them about how overpriced, just right, or underpriced it is WHILE we are looking at the home.

Melina

Let me be clear first, that I personally HATE to show "accompanied" listings.... and when I must, I instruct my buyers NOT to engage in any chit-chat with the listing agent, because they invariably try to ask where the buyers are from, or how many children they have, how long have they been in Houston, etc., supposedly "innocent" questions, but quite transparent to a veteran agent like me. As long as the listing agent is explaining about the house, fine, I WANT them to take the lead.... but the instant she/he attempts to ask any questions of my buyer, I intervene like a very sweet 900lb gorilla, body-blocking, if necessary.

The presence of a listing agent stifles all conversation between me and my buyers. No problem, we can speak later, but there are times when that could be detrimental to a sale... not often, but I prefer the freedom of discussing the house with the buyers without the listing agent there.

Different strokes....
Lindy in Houston

Don't always believe the media

"Finally its important to be at every showing because if we are not why don't seller's just list there own home on the MLS, field the calls and put their own lockbox on the door?" Says Nick, a Chicago (downtown) agent.

We do a lot more! Believe me. Part of your job is to explain and convince the seller the following:

1) Pricing the property to SELL. Joan Pate, a CB agent in Utah, says: "I may not sell your home, but I will be the reason that your home does sell." And, in this market, per the Trib's story, had the agent explained that the market prices have fallen and listed the property at a salable price to begin with, it would not have taken over 1172 days (3 and 1/2 years) to finally go under contract.

Property that sits on the market is inventory that gets old, tired and forgotten. You'll need a fire sale to move it.

According to some of the national economist which the Trib reported on today (June 27, 2007), the housing market is down for the 17th consecutive month in a row! This is the "worst" market since 1991.

Now, I've been doing this for years...and I can tell you that the "worst" market was 1981-1982 where prices in my market declined by 10% as interest rates peaked at 18% and seller's were paying up to 10 points in order to sell. That was a hard, hard market. And, it took all your skills to survive in it.

So, explaining to a seller that PRICE is the key, and you know the market because you've gone out and seen the competition, is the starting point.

2) Marketing the property to SELL. Using a combination of internet sites, personal property websites or blogs, mailings to potential buyers, and your current and former clients, and your sphere of influence.

And, thru the use of a supra ekey contacting the showing agents within 48 hours of a showing for feedback.

Then reporting to the seller on that feedback and making any necessary changes. "Mr. Seller, the buyers are saying that the flamingo pink in the kitchen is too bright, let's paint it a neutral ivory color."

3) Negotiating the contract in a timely manner. Making sure that all the riders and disclosures are properly filled out. Having a strategy that the seller agrees with. Knowing your list-to-sell stats. Kinda silly to list a property at $100,000 and expect it to sell at $100,000 when all the stats show that it's a 96% list-to-sell ratio. Able to explain that if this $100,000 property gets an offer that starts at $90,000, that it will probably end up at $95,000 to $96,000, as there's an expectation of meeting in the middle.

And, never getting angry or upset during the negotiations. Respect the other side. You just don't have to agree with them. Be polite and courteous.

4) Follow-up with the attorneys, other agent(s), inspectors (to get them into the unit), contractors (for repair work), appraiser, management company for docs and closing letter, city forms and/or inspections, final walk thru and finally, attending the closing.

So, sure the sellers can attempt to show their own property.

Notice how unrepresented sellers say the wrong thing: Ms. Buyer, the neighborhood is just loaded with kids! I hate kids. Mr. Buyer, the golf course abutts the backyard. Crash.

If we are professional, we make it look easy! It ain't.

C 2007 Move UP to Naperville Blog, Eileen Landau

An Interview

(I was interviewed last November, 2006, and just received a copy of the interview. I've edited it somewhat for clarity.)

On the market

By Barbara C. Neff

The ups and downs of the real estate market continue to make headlines across the country. Sales of existing homes, housing starts, market transitions—what will it all mean for Naperville buyers and sellers? As Eileen Landau of Realty Executives, REALTORS, notes, predicting where the local market is heading under today’s circumstances is a bit like using “crystal balls with cracks in them.”

If there’s one thing everyone can agree on, it’s that Naperville home sales have run head-first into a buyer’s market. “The market switched on a dime last April (2006),” says Landau, a Naperville real estate agent for 30 years. “The buyers picked up on it a lot faster than the sellers.” Some sellers stubbornly cling to the stunning prices reached in 2004; as a result, the number of available homes has climbed dramatically, slowing the market.

New construction has also complicated matters. Builders, saddled with sparkling new unsold homes, are taking drastic measures to close deals. “They’re throwing in $50,000, $60,000, $70,000 worth of goodies,” Landau reports. “Buyers who can buy right now will probably get extras, so that even if the market drops, they won’t lose much.” Everyday home sellers who find themselves competing with builders are offering to cover months of homeowner association fees, buyer closing costs, or homeowners’ warranties.

The experts stress that real estate is a cyclical market, and buyers and sellers are both clamoring to know when it will balance out again. This is where the cracked crystal ball comes into play. “ Landau has resigned herself to a more realistic forecast: “The more I see, the more I think it could take a couple of years to even out. If we’ve had five years of a hot market, it’ll probably take four years of a cool market to return to normal.”

She agrees that activity should increase in the spring, if interest rates don’t jump. “Things are always better in the spring because of the domino effect,” Landau says. People “buy up” in the spring, from leased apartments to condos or town homes to single-family homes to bigger and better single-family homes. Nonetheless, Landau says she does not expect prices to rise as the weather improves, only the number of sales.

Times may seem tough for sellers, but it’s worth remembering that Naperville remains a popular destination. Its reputation sealed by a glowing article in Money magazine, upscale buyers look to Naperville for the perks of an urban area in a less hectic community with strong schools. Downtown Naperville in particular is a magnet for people relocating from outside of Illinois.

That’s the great thing about Naperville—there is a wide range of price points and no bad areas.” Landau, though, has noticed that uncertain energy costs and shrinking discretionary income are driving some buyers to places like Yorkville, Oswego, and Plainfield. “It’s a question of affordability,” she says.

Sellers, too, must take a serious approach. Landau says owners should only put their homes on the market if they are committed and motivated to sell. “If you’re testing the waters, forget it,” she advises. “If you don’t have to move right now, don’t put your house on the market.”

The news for sellers is not all bad—homes are indeed selling. “If your home is in good shape, you price it right, and it shows well, it will sell in a reasonable amount of time. If you don’t, it will sit on the market.” Landau goes farther. As she sees it, the bottom line is price. “If a seller lists a home just below market price and maybe offers to pay a buyer’s closing points,” she says, “price will overcome everything else, from location to condition.” In other words, forget the old real estate bromide of “location, location, location” and think “price, price, price.”

Eileen Landau, Realty Executives, REALTORS, 630-961-2600
MoveUPtoNaperville@Yahoo.com

Is Your Agent Using a Supra Lock Box?

Urgent Alert regarding combination lockboxes

If you are currently using COMBINATION LOCKBOXES on your listings, please take notice. Mainstreet Organization of REALTORS® has received notification that non-members are trying to obtain access into listed homes. Please make sure that you frequently change the combination on your lockboxes. Please verify the caller is indeed an active real estate licensee prior to giving out any combinations.

MORe strongly encourages members to use the Organization's approved Lockbox System for security reasons.


This email was sent out to all MORe agents. A combo box has absolutely no security and as many agents do not even change the factory setting, getting the key out is easy.


Part of our job is to provide a level of security, hence, we are encouraged to use the GE Supra boxes. These boxes are linked to a computer which records information as to the time of the showing, the date of the showing and the name of the agent showing. Don't you want your agent to have this information?

Yes, these boxes are expensive...but it's a necessary expense of doing business professionally.

C 2007 Move UP to Naperville Blog, Eileen Landau

Mandatory RADON Disclosure

It's about time. We've been finding radon in this area for 20 years. So, now, effective January 1, 2008, Radon disclosures will be mandatory. I've always advised my clients to do a radon test. Better safe than sorry.

On May 22nd, House Bill 1425 unanimously passed the Illinois Senate changing the Illinois Disclosure Act on January 1, 2008 to include a Radon Awareness Disclosure Form....

The Radon Awareness Disclosure will be distributed similiar in the way the Lead Paint Disclosure is, with the exception that it must be signed for EVERY buyer and EVERY purchase transaction.

You will provide your buyer with a pamphlet which will be produced by the Illinois Emergency Management Agency (IEMA) and it will describe to your buyer the potential hazards of Radon.

Your buyer will then have to sign a disclosure that they received the booklet and if they wish to accept to have the property tested or decline to have the property tested.

C 2007 Move UP to Naperville Blog, Eileen Landau

The Future of Real Estate: An Answer

The online version of our national REALTOR Magazine has a question and answer section. So, naturally, I asked a question regarding where real estate is heading in the next five years.

Here's the response I received today.

Real estate has always been evolving. Whether evolution occurred as a result of changes in legislation, emigration, financing, education, etc., it does not matter. Change is inevitable. With technology and the internet, consumers have been empowered with greater control over their transaction and with access to a tremendous amount of information. For the real estate agent, technology now provides a cyber platform in addition to their brick and mortar facility and a myriad of tools designed to greatly improve service, leverage their ability to work with more clients and to more accurately influence and control the transaction.

Today we are seeing innovators creating consumer tools that include sophisticated mapping solutions providing access to multiple listed property information, access to and compiling public records and real estate industry resources for real property valuation, improving methods of communication with text messaging, blogging and video email and software interfaces for more interactive coordination with their real estate agent. Next year will probably be much of the same but we will see marked improvements as the above initiatives continue to develop.

In 5 years? Too hard to accurately predict with certainty, but…. I think we will continue to see movement to further empower the consumer with an underlying purpose of generating repeat and referral traffic to a particular web presence. I expect to see a continued effort and evolution to bundle services. I also expect to see industry changing alliances formed that will focus on improving or streamlining services to reduce cost and to significantly increase the rate of development of new technologies not yet realized. The real estate industry has lagged behind many other industries in adopting technology as a part of our everyday business. Opportunity is knocking. It is an interesting time to be in the real estate industry.

David L. Therrien, J.D.
Chief Technology Officer

Keller Williams® Realty International