Robert Guthridge's Blog

Realtor-Client Double Standard There are really only two rules when it comes to proper attire for a home closing: 1) the Realtors and other professionals (closers and lender) should wear formal business attire (sorry, no “business casual”); 2) clients can wear whatever they want. Which I guess means there’s only one rule. For men, at least, “business attire” translates into business slacks and shirt (my usual uniform), if not a sport coat and tie, or even suit(!). P.S.: In fact, there seems to be a trend back to more formal Realtor attire generally.  See , “ Back in (Realtor) Fashion:  Ties, Sport Coats, and Scarves. ” See also , “ Will You Be at Closing?” (and Other Silly Questions)” ; “Cleared for . . . Closing “ ; “ The Most Important Closing Detail of All “; and “Passed Across the Closing Table:  Keys, Garage Door Openers, Bike Chains ( Bike Chains?? ) .” **When the Seller receives the money and the Buyer receives the title to the home (at least in Minnesota and...

Conspicuously Missing:  The “I-Want-To-Meet-My-Interior Decorator” Showing Once upon a time, Buyers’ agents who wanted to get their clients into a “For Sale” home simply logged onto MLS; selected the home they wanted to show and the requested time and date; and clicked “submit.” No more. Now, MLS has a pull-down menu (above) listing no fewer than nine types of showings, including “(first) Showing,” “2nd Showing,” and “Walk-Through Inspection.” New & Improved What’s the point of all that detail? It lets the Seller (and their agent) know whether the owner can stay put (permissible for Agent Previews), as well as whether the Seller should go to the trouble of getting all the lights on beforehand (strongly recommended for a 2nd showing, not so much for a 1st). When listing agents see “Appraisal” — typically with next to no notice — they know to hustle over to the house to walk the Appraiser through the Comp’s, and any other relevant activity. And, when...

There is a growing sentiment that it is better to rent than to buy a home. People argue that owning a house is much more expensive than renting because you have to pay taxes and maintain the house. You also have to spend more money on down payments than you would be renting a house. ... Read more The post Renting vs. Buying a House: Should I Buy or rent a house? appeared first on InvestFourMore . from RSSMix.com Mix ID 8230700 http://bit.ly/2XYkWKh via IFTTT

Does anyone know the difference? I’m guessing not, because the two terms seem to be used interchangeably (“Sally went to her college reunion and revisited some of her old stamping/stomping grounds”). At least to me, the former term evokes a factory assembly line, while the latter suggests lots of bare feet in a big vat crushing grapes the old-fashioned way. Hey , someone has to keep George Carlin’s legacy alive. For more in this vein, see “USPS Forever Stamps ,” “ What’s the Past Tense of Sight See ?”; “Landmark — or Watermark ?”; “ Dried vs. MORE Dried Apricots “; “Wild and Crazy” (vs. Conventional) Fruit ; and “ What’s the Opposite of ‘Untold Riches? from RSSMix.com Mix ID 8230700 http://bit.ly/2GQJb7l via IFTTT

The Art of Comp Selection One of the trickier home features to account for in a Comparative Market Analysis (“CMA”) is a busy street. For a family with little kids, a busy street may very well be a deal breaker — in which case the discount is theoretically infinite. At the other extreme, an investor looking for a rental property may see the location as a plus: free advertising! Of course, not all busy streets are created equal: depending on how far the home is set back; elevation differences; the individual home’s layout; and even landscaping and other topography, and the noise level/loss of privacy can vary significantly. Two Strategies Faced with so many variables, Realtors and Appraisers can always simply choose an average discount — say , 10% off. Strategy #2? Choose as Comp’s (Comparable Sold Properties) only homes that are also located on busy streets. Even better: the same busy street. Then, there’s no need to make any adjustment, because all the home...

What to Do About the 5′ Tall Fiberglass Statue on the Front Lawn Should the Buyer of this 1950’s rambler just west of Cedar Lake expect the Lucy statue on the front lawn to come with the home? The starting point is to determine whether it’s a fixture — Realtor-speak for, “is it permanently attached to the home?” If the answer is “No,” i.e., it’s personal property, the Buyer would normally have no expectation of getting the item(s).** Moving Headache While I wouldn’t want to be the one to pick up and move the Lucy statue, it doesn’t appear to be anchored to the ground, permanently or otherwise. Just to be safe, though, in the property’s “Agent Remarks” section on MLS, the homeowner explicitly excludes it from the sale. **At least in the Twin Cities, there’s one BIG exception to the “fixtures stay/personal property goes” convention: appliances. Specifically, the refrigerator, oven/stove, and washer/dry are customarily left in the home — and specifically written into the Purchase...

What to Do About the 5′ Tall Fiberglass Statue on the Front Lawn Should the Buyer of this 1950’s Rambler just west of Cedar Lake expect the Lucy statue on the front lawn to come with the home? The starting point is to determine whether it’s a fixture — Realtor-speak for, “is it permanently attached to the home?” If the answer is “No,” i.e., it’s personal property, the Buyer would normally have no expectation of getting the item(s).** Just to be safe, though, the Lucy statue is explicitly excluded in the property’s “Agent Remarks” section on MLS. **At least in the Twin Cities, there’s one BIG exception to the fixtures stay/personal property goes” rule: appliances. Specifically, the refrigerator, oven/stove, and washer/dry are customarily left in the home — and specifically written into the Purchase Agreement that way. See also , “ Fixture Confusion “;  “How to Tell if Something is a Fixture ”; “Taking the Fun Out of a Deal (Literally) “; and “ MLS: “All attached TV mounts sh...

Ill-Advised(?) Corporate Names — Exhibit A “Slack files to go public, revealing $400 million in revenue and $139 million in losses.” –Headline, CNBC.com (4/26/19). It’s hardly hurt workplace messaging company Slack, on track to go public later this year at a valuation that could approach $20 billion. But, you’d think the name “Slack” would invite some not-so-flattering nicknames. Like, I dunno , referring to its employees as “slackers.” Apparently not . . . P.S.: I have long had a similar reaction to South Korean auto maker KIA; once upon a time, that acronym was understood to mean “killed in action.” Meanwhile, when it comes to stock market tickers, the worst one I can recall was the one assigned to restaurant chain Au Bon Pain: “PAIN.” from RSSMix.com Mix ID 8230700 http://bit.ly/2PvSJr2 via IFTTT

BP Gas Station at Lake & Excelsior to Become Hotel-and-Condo “Elevage Development Group’s revised plan for a hotel-and-condo building at Lake & Excelsior calls for a taller, slimmer structure and wider sidewalks . . . in early July, Hennepin County will start tearing down the BP gas station standing on the triangular site.” –“ Lake Street Hotel is Taller, Slimmer in Revised Plan”; Southwest Journal (April 18 – May 1, 2019). I’m sure the views of Lake Calhoun will be amazing from the new hotel/condo slated to replace the Calhoun Beach BP at 3012 Excelsior Blvd in Minneapolis. And the location just off the northwest corner of the lake couldn’t be any better. But, to point out the obvious, there IS a fire station located immediately next door. That would be Minneapolis Fire Department Station 22, which sits directly west of the new development. Suffice to say: if you mind city noise, this might not be the spot for you . . . P.S.: On a purely personal note, I’ll miss gett...

Lots of Pros (and a few Cons) Tudors aren’t everyone’s cup of tea. The knocks? For starters, at least in the Twin Cities, many Tudors date to the 1920’s and 1930’s. Translation:  even if they’re in magnificent condition . . . they’re old. Such Tudors often have formal (vs. open concept) floor plans typical of that era, and — unless their original hot water heat system (boiler) has been converted to forced air — either may not have central air conditioning at all, or may use a system of “mini-split” a/c units that don’t require installing new ductwork. Finally, Tudors often have some other features (like stucco exteriors, steeply pitched roofs, dark(er) interiors, and older windows) that are turn-off’s for at least some Buyers. Pro’s Ahh , but to Tudor fans (I’m one), those are mere quibbles compared to the genre’s myriad charms. Those include built-in buffets, hardwood floors, crown moldings, gorgeous millwork, and fireplaces — lots and lots of fireplaces. And while...

What Realtors Routinely Get Wrong; or, “How Come There’s No Such Thing as a 2-Season Porch??” If Realtors routinely confuse the various types of porches . . . I don’t know what chance a layman has. Perhaps that’s why, as a public service for Twin Cities Realtors, the local MLS has a post describing the differences — and critically, addressing when to include an enclosed porch in a home’s finished square feet. According to the Northstar MLS Rules & Regs Department, here are the distinctions: 4-Season Porch/Sunroom “A 4-season porch is a room that functions as an interior room, but allows you to take in the views of the outdoors year-round. It has permanent heat and is included in the finished square footage of the home.” 3-Season Porch “A 3-season porch has windows with integrated screen systems and can be used for long periods throughout the year. They can shield you from outdoor elements such as rain, wind, sun and insects, but 3-season porches are not heated. Therefore, ...

Why Homeowners Let the Competition Look (or Should) Wait a second:  Don’t Buyers’ agents represent Buyers at a preview? (in contrast to a showing, a preview is when just the Realtor views the home). And exactly how does an agent represent the Seller of the home they’re previewing — don’t they already have an agent? (called “the listing agent”). The explanation: the previewing agent is representing the Seller of a nearby home , that the agent is (or may be) about to list. Their twin goals: a) find out about the competition, so that they can price their client’s home . . .  well , competitively; or b) if the would-be client instead is adamant about a specific listing price, decide whether it’s worth their while to take the listing. Call it “Realtor due diligence” (or if you prefer a technical term, “kicking the tires”).  Seller Self-Interest Why on earth would the owner of the to-be-previewed home want to facilitate such “intelligence-gathering?” ...

Real Estate Photos & The “Bowling Alley Effect” Dining Room: 10′ x 12′ Living Room: 13′ x 23′ –MLS “Structure Information” That distant Dining Room bay window in the center of the photo above looks like it’s practically in a different zip code. How far away is it really? Add the 23′ length of the Dining Room to the 10′ width of the adjacent Dining Room, and you get 33 feet. Spacious, to be sure . . . but still in the same zip code.    See also , “ World’s Longest Porch? Not Exactly “; “ Is That REALLY a 15-Foot Sofa in the Living Room?!? “; “ The World’s Biggest Fridge? Maybe (Maybe Not) “; and “ Fake Photography “True or False” .” Plus: “ That Garage is HOW Big?!?” ; “ The Far-Away Fireplace “;  “(Too) Flattering Photography “; “ Trick Photography ?”; and “ The Far Away Buffet?” from RSSMix.com Mix ID 8230700 http://bit.ly/2GoIdhk via IFTTT

Dangerous Default Language (at least for Buyers) [ Editor’s Note : The views expressed here are solely those of Ross Kaplan, and do not represent Edina Realty, Berkshire Hathaway, or any other entity referenced.  If you need legal advice, please consult an attorney.] Once upon at time (OK, till 2016), Minnesota home buyers who discovered inspection issues that required negotiation with their Seller were safe. If they proposed an Amendment reducing the sales price say , $1,500 as a result, and the Seller said “no,” the deal automatically cancelled at the end of the agreed-upon inspection period. No more. Now, Minnesota’s standard Inspection Addendum provides that, if the Buyer and Seller can’t resolve any post-inspection issues, the deal moves ahead . . .  on its original terms! The practical consequence? Buyers are deemed to have waived any issues . Stalemate = Waiver That may be a small risk when the issues (and resultant sales discount) are small. B...

The real estate correction is now showing up where it matters for the press, in home prices.  Inventory has been growing and sales have been declining putting pressure on sellers.  For the first time in seven years home prices have declined on a year-over-year basis in three important counties in SoCal:  L.A., O.C., and San […] from RSSMix.com Mix ID 8230700 http://bit.ly/2V9yq8c via IFTTT

“A View From the (Almost) Top” “Capitalizing on top-tier home-buyers’ thirst for privacy, exclusivity and vertiginous height, developers are now selling multiple penthouse-like units in new buildings, set stories below the actual penthouse.” –“ A View From the (Almost) Top “; The Wall Street Journal (4/18/19). Ok , so it’s not a market niche I specialize in. And, I can’t speak to whether the trend has spread from housing markets like Boston and Houston to the Twin Cities. But, I get the idea: developers who want to leverage the cachet — and premium prices — traditionally associated with the tip-top (and singular) penthouse unit are now building  multiple  “sub-penthouses” just below it (in some new towers, apparently more than a dozen such units). Brand Extension vs. Dilution Marketing experts will recognize the phenomenon as a variant of brand extension, which is defined as “using an established brand name or trademark on new products, so as to increase sales.” The ...

“Show” > “Tell” Kudos to the creative listing agent who thought not just to tell prospective Buyers (and their agents) about the Seller-paid new driveway, once the weather permits, but to also show them as well. An especially nice touch: superimposing the text on the “after” part of the driveway. P.S.: I don’t see any legal issue — or any other potential for liability based on misrepresentation — because the photo clearly shows the current, old driveway. from RSSMix.com Mix ID 8230700 http://bit.ly/2UrxWFS via IFTTT

MLS Agent Remarks: “Listing Agent Must be Present for All Showings” Most listing agents — myself included — are usually not thrilled when a homeowner-client insists that you be there for all first showings. For one thing, it’s an imposition on your time; for another, prospective Buyers and their agents can view it as crimping their schedule and privacy (showings are typically set up as a one hour window; if the listing agent needs to be present, they must commit to a specific time). However . . . for an upper bracket home with a lot of subtle features, it can be a real advantage for the listing agent to provide a guided tour (then absent themselves so the Buyer and their agent can talk privately). As I discovered last Saturday, it also affords the listing agent the opportunity to tailor their pitch to the specific Buyer — and can save a lot of time, depending on the Buyer’s questions and interests. Other Pluses So, I found myself fielding the Buyer’s questions about local scho...

While many people say you can’t do it, it is definitely possible to find a great deal on the MLS (Multiple Listing Service), but it takes patience and work. I sold 26 house flips last year in Colorado, and I bought most of those deals from the MLS. Many markets are seeing rising prices and ... Read more The post How to Find and Buy Deals on the MLS appeared first on InvestFourMore . from RSSMix.com Mix ID 8230700 http://bit.ly/2PbNBs9 via IFTTT

Explanations for Sinking Soil Good home inspectors don’t just check out the interior of a home; they check the exterior and even the yard for clues that something “just isn’t right.” So, when my client’s inspector noticed a depression in the backyard of their under-contract St. Louis Park home, he raised the possibility that the soil could be settling due to a problem with the main sewer line (essentially, the return from the home to the street or alley; when there’s a leak, the escaping waste water erodes the soil and causes the ground above it to sink). Cost-Benefit The next step? Hiring a drain and sewer cleaning service to run a camera through the sewer line to rule out a problem. Given that that costs about $150 — and fixing a sewer main can be $5,000 (or more) — that’s a smart step for a prospective Buyer to take (and yes, they pay for it). P.S.: Other, benign explanations for sinking soil:  a tree stump that was removed, or a kids’ swimming p...

Choosing Sides (Or Not) [ Editor’s Note : The views expressed here are solely those of Ross Kaplan, and do not represent Edina Realty, Berkshire Hathaway, or any other entity referenced.  If you need legal advice, please consult an attorney.] No one asked me, but I know how to bring the practice of “single agent dual agency”  — whereby one Realtor represents both Buyer and Seller in the same transaction — to a screeching halt: start referring to such agents instead as “double agents.” But even that label is misleading. Whereas a true double agent nominally works for one side, but secretly represents the other, a Realtor who plays the role of double dual agent arguably advocates for neither Buyer or Seller. Instead, they act as a neutral third-party, obliged not to harm the interests of either party. Which I’d say is tantamount to representing neither client. While Minnesota allows the practice of single agent dual agency as long as it’s fully dis...

While many people say you can’t do it, It is definitely possible to find a great deal on the MLS (Multiple Listing Service), but it takes patience and work. I sold 26 house flips last year in Colorado and most of those deals I bought from the MLS. Many markets are seeing rising prices and ... Read more The post MLS Access for Real Estate Investors: How to Find and Buy Deals on the MLS appeared first on InvestFourMore . from RSSMix.com Mix ID 8230700 http://bit.ly/2PbNBs9 via IFTTT

Immigrant Math: 150,000 People + 86,000 People = 236,000 People** “Duluth’s infrastructure can accommodate 150,000 more people, but the current population is just 86,000. Only 56 people moved to the city from 2010 to 2016.” –Photo caption, The New York Times . The Harvard expert who’s been touting Duluth’s manifold, climate-change virtues (cool climate, proximity to fresh water, inland location, infrastructure) may be an expert on climate adaptation, but he’s no marketing maven. His suggested slogan for Duluth? “Duluth, it’s not as cold as you think.” I can improve upon that. How about simply, “ Duluth is Cool! “?? Incidentally, that works for slightly warmer (and Prince hometown) Minneapolis, too. **Note: If a city’s current population is 86,000, and its infrastructure will support 150,000, the additional number of people it can accommodate is 64,000, not 150,000, as The NYT incorrectly states. Look for the correction later today . . . See also , “ Want to Escape Global W...

Standard for Buyer’s Walk-Through Inspection [ Editor’s Note :  The views expressed here are solely those of Ross Kaplan, and do not represent Edina Realty, Berkshire Hathaway, or any other entity referenced.  If you need legal advice, please consult an attorney.] “Buyer has the right to a walk-through review of the property prior to closing to establish that the property is in substantially the same condition as of the date of this Purchase Agreement.” –Minnesota residential Purchase Agreement; lines 356. – 358. “I know it when I see it.” –United States Supreme Court Justice Potter Stewart’s threshold test for defining obscenity. What’s fair game for raising issues during the Buyer’s walk-through inspection? (typically, conducted within 48 hours of closing). At least in Minnesota, any changes to the home since the Buyer’s inspection that substantially alter its condition. In (and Out) of Bounds; The Golden Rule In practice, such major problems as...

Don’t Trip on the $500(?) iPad on the Floor! (or is it??) I did see it in the foyer of a $1 million Minnetonka home. But no , that’s not an iPad (or tablet computer) on the floor, instructing Sunday Open House visitors to please remove their shoes. The hosting agent assured me that it was a (much) cheaper kids’ “etch-a-sketch” device. Phew! See also , “ “You Mean, You Can Pay for Gas With Cash?!?” ; “ “Please Remove Shoes” ; and “Please Remove Shoes” . from RSSMix.com Mix ID 8230700 http://bit.ly/2v2zOuJ via IFTTT

Realtor Scorecard Yeah, yeah , there are dozens of metrics (quantitative benchmarks) for judging how good/effective Realtors are (Brokers, too). For most consumers (and not a few Realtors), however, there’s really only one number that counts: Yup , sales. No surprise, the agents who sell the most homes each year proudly trumpet that fact in their email, direct mail marketing, on social media — and every other way they can think of. Quantity > Quality Are sales relevant? Of course. But, they’re not dispositive. Toyota sells a lot more cars each year, but I’d still rather drive a BMW. McDonald’s outsells Manny’s, but guess where I’d prefer to go for my anniversary dinner? H&R Block prepares more returns — but, that’s not who does my taxes. You get the idea. Realtors who sell 50 (or 150!) homes a year do that by employing an army of assistants. Once clients are under contract, it’s those folks — not the agent — who clients often find themselves dealing with. Realtor ...

Staging “Do’s” and (Mostly) “Don’ts” At least IMHO, staging is at least 80% subtraction — removing, uncovering, and emptying out — rather than addition, i.e., adding wall art, accents, flowers, etc. to the about-to-be sold home. Exhibit A: NOT covering a big, light bay window with a dark, light-blocking panel TV (center right of photo, above). Aesthetic vs. Functional Any yes , there’s a big difference between what’s aesthetic and what’s practical or functional. I’m fully aware that order of business #1 for the new owner — especially if they have kids — is to put back in the Mud Room all the stuff that the listing agent and/or stager encouraged the seller to remove. Or, in the case of the home above, restoring the flat panel TV to its spot in front of the bay window (it looks like there’s not enough room for it over the fireplace). from RSSMix.com Mix ID 8230700 http://bit.ly/2UUqozS via IFTTT

House hacking involves buying a multifamily property, living in one unit, and renting out the other units. House hacking can be a great way to start buying rental properties because you can buy with low-money-down owner-occupant loans and still collect rent right away. House hacking can make it much easier to buy multiple rentals quickly ... Read more The post What is House Hacking? appeared first on InvestFourMore . from RSSMix.com Mix ID 8230700 http://bit.ly/2FZisE5 via IFTTT

The new RPR Learning Menu resides within the navigation of the site. It offers users help with links to videos, articles, FAQs and more. from RSSMix.com Mix ID 8230700 http://bit.ly/2UKDeAP via IFTTT

Looking For a Realtor?? If I had quicker hands, I would have gotten a photo of not one but at least three deer I saw unself-consciously sauntering through the Edina Realty – City Lakes parking lot the other night. Credit the abundance of local wildlife — btw , not always welcome, starting with garden-devouring deer — to all the local parks, lakes, wetlands, and general greenery in the Twin Cities, and near the City Lakes office in particular.** Just not very green at the moment . . . (the Twin Cities is experiencing its second-in-two years April blizzard now). **The list includes Cedar Lake, Lake Calhoun, Theodore Wirth Park, Bass Lake Park, and the wetlands southwest of Twin Lakes in St. Louis Park’s Fern Hill neighborhood. from RSSMix.com Mix ID 8230700 http://bit.ly/2Iqlsfr via IFTTT

Snow Day Winners & Losers Who benefits from an April blizzard — the 2nd to hit the Twin Cities in two years? That’s easy: all the school kids who get to sleep in (I’ve got two upstairs now). So, who are the losers? That would be their parents, who have to scramble to arrange coverage (at least for younger kids) — that is, unless their workplace is closed and they’re home, too (as far as I know, most Twin Cities businesses are open today). “Welcome to Minnesota!” (If you can get here – or leave) Unfortunately, another loser would be Carleton College in nearby Northfield, MN, whose “Accepted Student Days” — for the second year in a row — coincided with a blizzard. When my then-high school senior and I visited last April, half the families visiting from out-of-town got stranded for much of the weekend when the airport closed. Fortunately, the school holds two such events each April, one week apart . . . from RSSMix.com Mix ID 8230700 http://bit.ly/2Uv5rfE via IFTTT

The “You Know it When You See it” Test While it’s true that every Mid-Century Modern home was built in the 1950’s (or thereabouts), it’s decidedly NOT the case that every home built in the 1950’s is a “Mid-Century Modern.” In fact, in real life, very few are. On MLS, for every home that I see billed as being a “Mid-Century Modern,” perhaps only one in four (25%) really qualify. Star Architect; Looking for an “Eichler” What does (qualify)? If the home was designed by an architect famous for their Mid-Century Moderns . . . it probably is. That list includes Joseph Eichler, the Keck brothers (George Fred and William), Henry P. Glass, Ludwig Mies van der Rohe, and Frank Lloyd Wright. Of course, if any of those architects designed the home, the listing agent would loudly trumpet that fact — and the home’s list price would likely include an extra zero (or two). Test:  ‘Perpendicularity’ Assuming that’s not the case, however, how else does one identify a genuine “Mid-Century Mo...

Realtor Freudian Slips? I found a Post-it note on the ground in the City Lakes parking lot the other day that read: “Seller checking on Pending Assess.” I’m pretty sure they meant “Assessment” — just not 100% sure . . .   P.S.:  Theory #2:  somebody (the listing agent and/or Seller) didn’t like the Buyer. Se e also, “ Realtor Gaffes — Listing Presentation Edition “; “ Realtor Gaffes & Bloopers “; “ Buyer Freudian Slips “; “ Realtor Freudian Slips “; and “How’s THAT For Seller Candor ”; from RSSMix.com Mix ID 8230700 http://bit.ly/2WWDrhC via IFTTT

No Free Lunch — But Free Ice Cream (at least for one day) Given the long (and growing) line at the nearby Ben & Jerry’s, I thought it was a good idea to get my free ice cream before blogging about it. Mission accomplished (as of about 10 minutes ago). To prepare for the deluge, Ben & Jerry’s is offering a pared-down menu of flavors — only about half a dozen — and cleared out all the in-store seating. P.S.: “Hat tip” to my Whole Foods checkout person over lunch, who told me to check it out. from RSSMix.com Mix ID 8230700 http://bit.ly/2I7UNF1 via IFTTT

House hacking involves buying a multifamily property, living in one unit, and renting out the other units. House hacking can be a great way to start buying rental properties because you can buy with low-money-down owner-occupant loans and still collect rent right away. House hacking can make it much easier to buy multiple rentals quickly ... Read more The post What is House Hacking? appeared first on InvestFourMore . from RSSMix.com Mix ID 8230700 http://bit.ly/2FZisE5 via IFTTT

Headline: “Kirstjen Nielsen Out as Trump’s Homeland Security Secretary” [ Editor’s Note : The views expressed here are solely those of Ross Kaplan, and do not represent Edina Realty, Berkshire Hathaway (“Berkshire”), or any other entity referenced. Edina Realty is a subsidiary of Berkshire.] I’m not exactly sitting by my phone, waiting for the call. But if President Trump called me, offering a Cabinet post (or some other plum assignment), I know what’d I’d say: “ No , thanks!” That’s because Trump’s m.o. by now is crystal clear: any successes are his, and his alone. Surprise, surpris e, the failures are all other people’s fault. Must be great for morale. Not. Now contrast that approach with Warren Buffett’s: “For good reason, I regularly extol the accomplishments of our operating managers. They are truly All-Stars who run their businesses as if they were the only asset owned by their families. I also believe the mindset of our managers to be as shareholder-oriented as can be f...

Bad Call? “The best way to sell a house is to exceed Buyers’ expectations (plus dangle a tempting price, and stir up lots of “pre-list” and “new list” buzz). The corollary? “The best way to lose a Buyer is to disappoint them.” –-Ross Kaplan, “ Realtor Sales Secrets” ; City Lakes Real Estate Blog. Is it a mistake not to alert prospective Buyers that the two-car garage is actually a tandem (two spaces, but one in front of the other, in single file)? In my judgment, yes. That’s because, even though a tandem garage qualifies as a two-car garage, the vast majority of home Buyers consider that much less desirable than a standard, two-car garage with side by side stalls. So, the owner (and listing agent representing them) is virtually ensuring that every prospective Buyer will start out the showing feeling let down, instead of excited about the home. While it’s certainly possible to overcome that — especially if the rest of the house is “blow away” — in general, exceed...

Your Adjective Here: “Slightly Stale?” “Pre-Tired??” A picture is famously worth 1,000 words. But, so is the right diagram. The one above (“Stale < ??? > Fresh”) perfectly captures my reaction to the 2003 Parkwood Knolls (Edina) home that I just previewed for a client. Listed for $1.85 million, the 6,500 square foot home features a glorious, open floor plan both on the main and lower levels; over-the-top finishes and built-in’s; 5 large Bedrooms (all en suite); and a gorgeous (and gigantic) eat-in Kitchen. Despite all those things, the home lacks a certain “zing” (“ zip??” ). I attribute that to everything being 16 years old:  certainly not so dated as to warrant major remodeling yet, but also very much not new anymore, either. Ironically, those in-between, “no man’s land” homes can be tricky for Sellers and Buyers alike (and their agents!) to price. My gut tells me that homes in what I’ll call “pre-tired” condition sell for a discount of 10% – 15%. from RSSMix.com...

Desired Spec’s:  Over 2,200 Finished Square Feet; Near City Lakes or Miss. River; Up to $900k — Nice View(s) a Plus! What :  large (over 2,200 finished square feet) condo with nice view(s); in very good condition (cosmetic updates only). Where :  Downtown Minneapolis (near River); City Lakes; or west ‘burbs (Edina, Wayzata, Minnetonka, St. Louis Park, or Golden Valley). how much : up to $900k. When : now. Who : Buyer’s agent = Ross Kaplan, Edina Realty – City Lakes. Twin Cities Realtors network for their clients lots of different ways. That includes emailing their network of contacts (“sphere”); attending various weekly Realtor meetings; and searching “Coming Soon” listings on MLS. Edina Realty agents do all of the above, plus use Edina’s proprietary “NetworkOne” database to sift for pre-list’s and Buyer needs. Edina Realty agent/bloggers do all of the above . . . plus showcase their upcoming listings and Buyer needs on their blog. Please contact me at 952...

My 16 year-old son is only in 10th grade, but I’m pretty sure he’s (eventually) headed to law school. That’s based on the following exchange the other day, just before I got to back to town after a recent trip: Me : “Gabriel, my plane gets in at 11 p.m. tonight; can you pick me up?” Gabriel :  “That’s pretty late.” Me : “You’re on Spring break; haven’t you been staying up late?” Gabriel : “ Yeah , but I’ve got homework.” Me : “You’re on Spring break — it’s not due till next week.” Gabriel : “I know, but 11 p.m. is past curfew.” Me : “I’ve never heard of that law being enforced.” Gabriel : “ Umm . . . Mom doesn’t want me to [drive to the airport then].” At least on that last score, he was right (I checked); out of rejoinders (and patience), I took an Uber. Something’s Slippery  . . . and It’s Not the Roads Connoisseurs of legal strategies will recognize the above as a variation on the “It’s not my dog” defense. For the uninitiated, here’s how it works: When...

“Second Bite of the Apple” — Housing Market Edition [ Editor’s Note :  The views expressed here are solely those of Ross Kaplan, and do not represent Edina Realty, Berkshire Hathaway, or any other entity referenced.  If you need legal advice, please consult an attorney.] Due to a chronic, ongoing shortage of listings, the Twin Cities housing market is once again experiencing a spate of multiple offers this Spring, especially at lower price points. Predictably, that also means plenty of deals that hiccup on inspection, leaving the door open for one or more runner-up Buyers. What’s the first question the runner-up Buyer’s agent should ask the listing agent (representing the Seller)? A. Why did Buyer #1 back out? B. Do you have a signed Cancellation from Buyer #1? C. Can you send me a copy of Buyer #1’s inspection report? D. Is the homeowner making any changes to their Seller’s Disclosure in the wake of the cancelled deal? Correct answer : “D.” Buyer #2: “So, What REAL...

House flipping is my primary business although I am also a real estate broker, blogger, and landlord. I flip from 20 to 30 houses a year and there is no way I could do that without great financing. Many people ask me why I do not just pay cash for all of my flips. The ... Read more The post Fix and Flip Loans: How to Get a Loan to Finance a House Flip appeared first on InvestFourMore . from RSSMix.com Mix ID 8230700 https://ift.tt/2YouoaA via IFTTT