You have to live somewhere.

Here's the thing. You have to live somewhere. Even IF the market were to soften 10,000 or 15,000 for that home you'd really like in a year you have to consider some things.

1. Unless you've moved in with relatives or friends chances are you've spent more than that on rent in a year. (Not to mention possible pain and suffering of cramming in with relatives -- theirs and yours! What is that cost?).

2. In our area with average days on market before selling around the 100 day mark, the home you love is no longer available.

3. While you're waiting for a better time to buy, prices could rise instead of fall.

4.  While you're waiting for a better time to buy, interest rates could creep up, meaning you will end up spending more than you might be saving.

5.  While you're waiting for a better time to buy you might have to put off getting the pet your want, or having the child you want (if renting in strata properties with age/pet restrictions).

6. While you're waiting for a better time to buy you may switch jobs, making securing financing harder -- especially if switching to self employment.

7.  While you're waiting for a better time to buy you can't paint the colours you want or build the deck you want or hang the light fixtures you want.

8.  While you're waiting for a better time to buy you might have to pay for a storage locker for all your toys and miscellaneous items that don't fit into your rental or shared dwelling.

9. While you're waiting for a better time to buy you might be putting off hosting dinners or parties because you're not "settled."

10. While you're waiting for a better time to buy you could be putting the life you want on hold -- all to save some money -- in theory....in fact it may well cost you more.

11. As I write this one of my colleagues, Debbie, told me a story. She asked her buyer if the home was 15,000 less would he offer today? When he said yes, she said, "OK, then let's do it!" And, they wrote the offer for 15,000 under list and got the house!

Some of you have heard me say, there is never the perfect time to have a baby, get a dog or move. But you do have to live your life! And you do have to live somewhere!

Referral repercussions

Here's the thing about referrals; whatever the performance of the person you refer turns out to be, that blows back on you!  If they do a great job, you're a hero; however if they're a slouch or poor communicator, guess who is also tarnished?  And rightly so.

Sometimes referrals are much too cavalierly handed out.  In Real Estate there can be instances of someone referring a Realtor, in another town, that they have not researched in the least.  Then, once the client ends up with the out of town Realtor they can feel compelled to use them even if they don't click well.  Worst case scenario they leave the Realtor you sent them to and you too!  Serves you right!

Referring a Realtor to a client in another town can be done very well and very respectfully.  Its amazing what you find out about someone by doing a little homework.  If I'm going to refer you, you need to show me that you:

1.  are a great and prompt communicator
2.  will bend over backwards for my client
3.  will not take the referral and pass off the client to someone else
4.  will ALWAYS put client ahead of your paycheck or mine!
5.  will keep me in the loop as appropriate

And, from my end, it is my job to communicate with my client to see how they are fitting with the referred Realtor and, if needed, to intercede to make any necessary adjustments.

Sometimes people join referral groups; a great idea!  However just because someone is in your group in a chosen profession, does not mean they're good at what they do!  Again, if you don't have first hand knowledge, do some homework before referring.

I am so thankful to have many people refer my services.  I'd never let that be taken for granted!  If someone is kind enough to refer you; make sure to loop back and thank that person -- it doesn't matter, ultimately, if the person they refer buys, sells or not!  The gesture of referring has already happened and deserves thankful recognition.  Of course, if a client does end up buying or selling, that gives another occasion for a generous thank you!

In any profession, it is wise to be so thoughtful and careful about recommendations.  That said, if you know someone is GREAT, shout it from the rooftops!  Tell everyone you know!  Post it on facebook!  We can all celebrate the fine professionals of the world!

Maybe ignorance IS bliss!

I was sharing stories a few days ago with a colleague who has been a Realtor just a smidge longer than I have.  We were swapping funny tales about different things we did when we were brand new Realtors -- because we didn't know any better.  And, you know what?

Many of those "ignorant things" produced results!

When you're first in the business and new to town, cold calling is a breeze.  You are fearless about getting someone you know on the other end of the line!  You chuckle when you get the mother of another Realtor or a well known businessman who has a nephew in the business.

You can do no wrong; because you don't know better.

The first "expired" listing I called netted me an appointment and I ended up selling the folks an investment property.  Thankfully I was ignorant of the fact when I made the call that based on their mls number they had expired years before I contacted them!

What would you do to generate business if you didn't know better?  Likely quite a lot!  So, my holiday advice....ponder your business with fresh eyes.  Innocent eyes.  Eyes not conditioned by the kind of knowledge that blocks creativity.

Adventure and try out those wild ideas you've had!  Don't you love it when a really outrageous commercial on t.v. catches you laughing (such as the recent Canadian Club one running)?!

In any organized endeavor we have to resist the urge to homogenize our approach.  We have to stay flexible and nimble rather than burdened by procedure and protocol.  No wonder people become bored and bitter....they stop creating!

Hats off to all you adventurers!  Go forth with glee and prosper!

Does having the biggest mouth make you the best player?

Some of the best Realtors in the business that I know are not spending a fortune on print advertising.  The why is simply because it doesn't work -- all the substantial action is now happening in the paperless on-line world.

There are some Realtors who make a great splash in the print world and as a result the perception can be that they are the best.  I guess that is rather like assuming that because McDonald's advertises the most their meals and service are better than at your preferred steak house.

In the real estate profession there are many claims made such as "Best in Production in 2012!"  These claims have to be qualified so sometime in teensy weensy print you see:  *based on real estate teams with one South African member.  Of course I'm exaggerating.  Or am I?

There is a distinction between what is marketing advertising for the purpose of selling YOUR home and what is image advertising for the purpose of the Realtor or team garnering more business for themselves so that working on a volume based model they can stay afloat.

Ask around for a great Realtor.  If you don't know anyone in an area but have a trusted connection with a Realtor anywhere in Canada ask them to refer you to a true blue, working for you kinda person!

Just because someone shouts the loudest it does not follow that they are the most gifted player in the field.  Chances are you should be looking to do business with the Realtor who spends less time showcasing themselves and more time showcasing YOUR property!

For crying out loud, save us from the armchair experts!

Oh, for crying out loud!  Who asked you?  Yes, you, the friend, relative, non-stake-holder who is along to view the home as a courtesy!  Do you really think we need to hear how smart you are?  Must you recite all possible flaws in the home?  Is now when you need to suggest I should throw in most my paycheque to seal the deal?  Do you figure scaring the buyers about all manner of horror you've heard or dreamt about is a timely discussion?  Really?

Because you were on a house building summer job back in the day; do you think you know all relevant construction implications?  Because you don't like yellow -- is all yellow evil?

Do you feel like sucking every last ounce of joy out of the process and idea of this new home for the buyer is rendering an indispensable service?  Are you really a mortgage expert too?  And, really, you know interest rates fate even before the Bank of Canada?

Oh, and you read on line about well problems in South Dakota and figure that might be important to this home in the North Okanagan?  And, the cousin of a friend's brother back in Albert had a septic field quit so this one might too?

And do make sure to treat the trained, educated and experienced Realtor like a scullery maid that forgot your orange juice.  We all know you are far more aware of how to shepherd this buyer into the right home than the Realtor who has helped more people securely buy and sell property in the last 6 months than you will have in your lifetime.

Buyers and sellers...if these comments sound like anyone you're tempted to bring along to any showing or negotiation just back up the bus right now!

Your ethical, caring, knowledgeable and experienced Realtor has been hired by you for good reason.  A second-guessing-doubting-Thomas-wanting to throw their weight around to "protect" you may very well be the cause of a good deal going bad.

And, you, if you hear yourself in these words and happen to be along....zip it.  Please.

Thank you. 

Realtors and Farmers have a lot in common

For Realtors and Farmers, not every year yields a bumper crop.  And, even though you work hard, it doesn't necessarily mean you'll be paid well!  Some years the conditions for growth are harsh, some years the sun shines warm and the rain falls softly.

Through it all, you just keep planting, tending and learning.

Some farmers do everything on an industrial scale with mass production methods.  Some Realtors do that too.  Some farmers prefer a smaller operation that lets them be hands on.  Some Realtors also prefer working one on one with their clients.

Some farmers cover everything with bulls**t to make it grow faster.  Some Realtors spread it on pretty thick too!  Some farmers refuse to learn new techniques to maintain their crops.  Some Realtors resist technology or social media too.

At the end of the day, the best farmers are not in it for the money; they're in it because it is fulfilling and meaningful work watching things grow.  At the end of the day, the best Realtors aren't in it for the money; they're in it because it is fulfilling and meaningful work helping people with their homes.

The best farmers are adaptable and always learning.  Ditto the best Realtors!  The best farmers continue to forge ahead regardless of the weather -- the best Realtors continue to forge ahead in bear or bull markets.

The best farmers are deeply grateful for the bountiful years and don't whine in the lean ones.  The best Realtors likewise are deeply grateful for the bountiful years and don't whine in the lean ones.

The best farmers help their neighbours and share ideas of what has worked for them.  The best Realtors also collaborate and enhance their colleagues.

When you buy your next assortment of vegetables, think about all the work that's gone into the harvest and who tended the soil.  When you buy your next home, think about the care taken by the Realtors involved to bring you the most savoury outcome.

If you wanna dance, you gotta pay the band. Sellers beware.

This blog is not for anyone who is convinced they're educated and cleaver enough to buy and sell real estate in B.C. without the help of a great Realtor.  (Although before you leave the blog you may wish to ask any great home builder, investor, mogul or land baron if they use a Realtor!)

This blog is for all those savvy sellers and buyers who need no convincing on the value of working with a great Realtor.  Over and over again we prove our worth both by saving you heartache and pain from a bad property and in your wallet by knowing the market and negotiating the best possible prices for you.

Gaining some momentum in some towns is the discount business models.  In this model, it is assumed that the listing brokerage can drive down the remuneration of the Realtor who has worked diligently to bring a qualified buyer.  This has been propelled by the thought that buyers don't pay commission.

Guess again!  You are going to be seeing more and more buyers' agency contracts which assures the hard working Realtor that they will be paid in accordance to their worth and in most cases, what they offer to the other Realtors working to bring buyers to their listings! 

What will this do?  Simply, when your Realtor not getting the amount they charge through the home sale, buyers will be asked to top up the amount. 

What will happen?  Buyers will bid less on the home knowing they might be financially out of pocket by buying this property?

What else might happen?  Buyers will decide that it is far easier to work with listings offering their Realtor a generous commission so that through the sale proceeds everyone is happy.  In this case, the buyer will be guided to bid accordingly.

You do get what you pay for!

You listing clients who think your saving money by listing at a budget rate may discover that in the end, your home sells for less, sits on the market longer and you are asked for a premium rate commission by the buyers' anyway!

But we're going to let the market decide!

Seller's beware.

Love the one you're with; stow that phone!

Without a doubt all of us have had the not so delightful experience of sitting in a restaurant, or in a meeting, or having a meaningful conversation with someone when a random song, ring or swamp sounds loudly start emanating from a pocket or purse.  Your conversation, in person, gets put on hold while the phone is answered and a conversation completely unrelated to you takes place.  Sometimes one interruption can be forgiven, but by the third call any good feelings between you are long gone.

So it is that great Realtors only focus on the one they're with!  I am meticulous about returning phone calls but if I'm with someone, speaking about what is important to them, I do not answer my phone or check my mail.  There are rare exceptions that I alert my clients or friends about if I'm in the middle of a time sensitive negotiation.  Otherwise, I love the one I'm with.

I've developed a bit of a reputation for better or worse with my colleagues.  If we go out for a meal together there is one rule.  All phones on stun and no table conversations with someone not at the table!

As the ability to reach anyone to tell them anything -- or show them anything, gets more and more immediate we should practice considerate manners with the same acceleration! 

The skinny on how Realtors get paid

Most Realtors in the business a little while have had the happy "client" tell them with delight that they bought a property through your brokerage!  With another Realtor!  Isn't that great?!  Of course a classy Realtor will congratulate the buyer and might use the moment as a teaching one...or not.  Some buyers have the understanding that if they purchase through a brokerage, all the Realtors benefit.  Not so, my friends. 

The only time a Realtor is paid is when they are on the contract of purchase and sale or have a referral fee due.  This, in BC, is a totally perfomance based business and reward.

Sellers in BC pay the commission from the sale proceeds of their home.  The commission is generally split between the brokerages (i.e. Sutton and Royal LePage) representing the listing Realtor and the buying Realtor.  If there is a referral fee due, that is accounted for (i.e. a Sutton office in Vancouver refers a client in the North Okanagan to a Realtor here, the Realtor would generally pay a 25% portion of their commission to the referring Realtor.)  Different companies have different approaches to how the Brokearge is paid, either by percentage or set amount per transaction.  After that all happens, the Realtor is paid!

Do keep that in mind, for instance, when one Realtor has gone far above expectations helping you.  Stick with them and don't make an impulse buy with someone else who happens to be more immediate.  Classy Realtors don't try to steal clients.  If a Realtor, who is not the Realtor you've been working with, trys to influence you to "buy now" and use them, you know without question you are not dealing with a classy Realtor!

Many of have had this call from people....they want to see a property on short notice, on a Sunday afternoon and have a ton of questions about it.  When you ask a few questions yourself you find this answer sometimes:  "Actually, we have a Realtor, but we didn't want to bother them on a Sunday!"  Ha...apparently you're chopped liver!

If you have someone great helping you, reward them.  Don't skip around using listing Realtors only trying to save a few dollars.  Don't suddenly ditch a great Realtor in a moment of open house weakness!

If you have a dud Realtor on the other hand, do not feel trapped.  There are many Realtor fish in the sea and some are far more effective than others!

You don't have to be a dink to be a good negotiator!

A myth I'd like to help dispel is that the best negotiators in the real estate world are harsh and intimidating.  That bag of wind approach is far surpassed by the likable, knowledgable approach of a charming Realtor. 

To succeed in the midst of high stress sales you don't need bravado, you need cooperation and communication that encourages ongoing exchange.  I want the other 300 local Realtors to enjoy doing business with me -- it is a huge advantage for all of my clients!

Nice guys and gals do finish first.  They elicit the best prices and they ensure further business with their colleagues will be welcomed and favoured.  The gruff windbags and bluffers are soon known for their antics and are avoided whenever possible.  Who wants to deal with a braggart or bully?

If you don't like spending time with your Realtor or think they speak harshly to colleagues...how do you think their fellow Realtors feel about them?  If the local cooperating Realtors would rather avoid them -- how well do you think that helps your position of wanting to sell or buy for the best price?

Here's one of my favourite quotes by Dave Barry:  "A person who is nice to you, but rude to the waiter, is not a nice person." 

You want a Realtor who is respected and enjoyed enough by their colleagues that they get timely heads-up on changes in activity on homes their clients are interested in. You want a Realtor who regularly receives as much insight as is ethical about the buyer or seller from their colleagues that allows them to proceed armed with the best information.

The bonus for you is that you get to have as much fun as possible and get the best deal in town!  Choose wisely and don't take any wooden nickles.

thoughts in the night

Here's an experiment for you; and I would LOVE to hear your results.  If there is a question you're pondering -- whether to move, work more creatively -- things you might think about during the day; try posing the question to yourself before sleeping.

Make yourself a note and tuck it under your pillow.  Read it as the last thing you do before going to sleep.  Then, in the misty space of being not quite asleep and not quite awake, pay attention to your thoughts.  Your subconscious has been churning away and producing good answers!  Listen to this, your own voice.

So often, in the harsh light of day, hard reason takes centre stage and your thoughts revolve around why the nighttime notions won't work...or were silly....or were dreams.  But that little niggling inner voice keeps piping up in the night with some humdinger ideas for your life!

Where you live certainly shapes your entire life.  When that little voice is trying to tell you to change where you live, let your big voice call me. 

What would you do if you weren't afraid of looking silly or taking a risk?

Money wasted avoiding professionals

I know, without a doubt, that my accountant saves me at least as much money as he charges me.  So, really, for no money, I get to use the services of a great professional whose job it is to stay current with tax laws and every possible way to optimize my situation.  And he's fun to boot.  And he knows me, knows my business and recommends me.  How great is that?  And I save countless hours of work if I was to prepare my HST quarterly reports and taxes.  Not to mention the tedious pain it would cause me to do it myself.

Similar savings occur because of the hygienist that scales my pearly whites a few times a year.  Because she knows what she's doing I avoid more costly dental procedures.  Again, I also avoid the pain!  Yes, I can brush and floss myself...but I cannot do what she does!

Let's consider the fellow who services my furnace; once again, by investing in his professional services I prolong the life of my furnace and it runs more efficiently.  Again, this saves me money in the long run.

I could go on, but you catch my drift.  By investing with professionals I actually save money!  And I save time!  And I save pain!

So it is with investing in the sale of your home.  Go with the best professional to earn the most money and realize the best savings.  What you invest in a top notch Realtor will deliver great return on that investment!

If I had a magic wand, I would be able to communicate effectively enough to anyone reading this why it is foolish to do yourself what someone better trained can and should do for you!  I'll blog further about why you want to invest in the best Realtor with the highest commission structure to realize the best return on your home investment.

Meanwhile...do learn a little about everything...but don't punish yourself and lose money by avoiding professionals!

I thought I was getting George Clooney!

A very good question to ask that wonderful Realtor in your home -- you know, the one from all the brochures and videos with the great voice and very wide smile, the "team" leader -- is this:  Will I be working with you all the way through after I've signed the listing?

One of the most common complaints I hear from people who hire a Realtor from a real estate team is that the persuasive front person from the team who they really liked disappeared from view after they listed their home.  From that point on, the seller got assistants or other Realtors from the team but never the person who they bonded with in the first place.  Some even discovered that the Realtor they thought they hired spends a good part of the year living somewhere else.

True story, a woman from my gym had gone through a rough break up and was in what she referred to as her man-hating stage.  (She's a wonderful gal and is once again in love!)  Anyway, she was quite drawn to work with a female Realtor with a gentle way about her that was working on a team.  She agreed to let this woman sell her home.  When the day came for listing documents to be signed a strapping man with 5-o'clock shadow was on her doorstep with the paperwork and measuring tape!  She went through with the listing; but it was the last time she used a team.

Really rather like expecting George Clooney to show up for a date but having one of his sidekicks fill the slot instead....after you shaved your legs and everything...but I digress!

We have some great teams in this area, don't get me wrong.  But, you really need to know what you're getting into.  Do you want to have a Realtor from start to finish that knows you and is with you at each stage or would you prefer a larger, corporate type experience involving several people in an office?

When I go to a car dealership, one of the things I look for is someone who I can get to know and chat with when I bring my ride back in for servicing, or if I'm thinking about trading it in.  I don't enjoy feeling like a faceless consumer, or a number.  I want to build a lasting connection.  I want my salesperson to know who I am when I call.  I want them to remember what they sold me.  I want them to know what I'm looking for next.  I want to know I can recommend them to friends.  I want to know they're there if something goes wrong.  I want to know that they are my staunch ally and advocate all the way. That's the way I roll.

In my experience having these kind of connections serves me so very well -- in all fields.  It is the kind of experience I want my clients to have.  Personal, unique, one on one, direct, authentic and enduring. 

If I've signed on with George Clooney, I want him and only him all the way!