Robert Guthridge's Blog

“A lie can travel half way around the world while the truth is putting on its shoes.” –Mark Twain Once upon a time, unscrupulous people were said to “push” or “peddle” lies. In an era of ubiquitous fake news, apparently that’s not energetic enough. Now, if a lie is to get anywhere (never mind “around the world”), it needs to be actively pedaled.** See also , “ NY Times Gaffe: “Energize” and its Phantonyms “; and “ Disapprobation,” But Not “Disopprobium” (Huh?!?).” from RSSMix.com Mix ID 8230700 https://ift.tt/2OYHHe7 via IFTTT

Answer: “About 50°” In the middle of August, on an especially humid day, a nice breeze — if necessary, generated by a ceiling fan — is especially welcome. Fast forward six months (or three, if you live in Minnesota), when local temps are 40º to 60º(!) cooler. That same breeze is now officially a “draft” — as in, “you better put your sweater on, there’s a draft in the house . . .” At least in the Kaplan household, once the leaves are off the trees, all ceiling fans are effectively mothballed until next Spring (at least) . . . from RSSMix.com Mix ID 8230700 https://ift.tt/2R5q8M2 via IFTTT

Sniffing Out Motivated Home Sellers; 4 Clues — & a Red Herring Black Friday isn’t just when retailers offer their best deals of the year. Historically, it’s also the time of year when home Buyers can score deep discounts (at least in the Twin Cities; I don’t know about milder markets like Phoenix or Miami). How do Buyers (or their agents) spot a motivated Seller and potential bargain? Here are my top four signs. “Wait ‘Till Next Year” One . The home is on the market. Duh, right ? Not necessarily. Around Thanksgiving each year, plenty of less motivated Sellers opt to pull their homes off the market until after the holidays (the preferred way to do that is to switch the home’s MLS status to Temporarily Not Available for Showing, or “TNAS”). By default, home sellers who keep their homes on the market are more motivated. Just like home Buyers who are active over the holidays. Two . The home is vacant (next best: a house full of partially packed moving boxes). To a Seller...

What do you do when your fridge — and your extra fridge — are overflowing with to-be-prepared Thanksgiving food? This time of year — at least in Minnesota — there’s literally an infinite “extra fridge” . . . . outside your door . Or in our case, inside the garage. After checking the forecast, and verifying that our garage temp was a just-right 40 degrees — that’s where we put everything. P.S.: Want to guess how Minnesota ice fishermen kill their catch? They toss it outside the ice house to freeze. from RSSMix.com Mix ID 8230700 https://ift.tt/33r3BMn via IFTTT

Commercial real estate investing can be very intimidating to those who are learning everything that is involved in the business. I bought my first commercial rental property a few years ago and it took a while to learn all the ins and outs. I had been investing in residential properties for more than a decade ... Read more The post Commercial Real Estate Investing appeared first on InvestFourMore . from RSSMix.com Mix ID 8230700 https://ift.tt/2DhSvyr via IFTTT

The Minnesota Home With a 16-Car, Heated Garage OK, so the garage pictured above isn’t in Minnesota, and, technically, it’s not even a garage: it’s a “car museum,” located on an 80 acre estate outside of Denver owned by a retired race car driver. Capacity? Over one hundred cars! The price tag for the garage/museum, 25,400 square foot mansion, and accompanying land: $19.999 million. See , “This Retired Racing Driver’s Colorado Estate Has Its Own Car Museum”; The Wall Street Journal (Nov. 24, 2019). Minnesota Alternatives  Prospective Minnesota home buyers looking for something similar will have to content themselves with 7450 Fielding Trail in Minnetrista. The 9,300 square foot Minnetrista home (pictured, left) sits on over 10 acres, and features a heated, 16-car garage; 3 main floor gathering areas; 4 fireplaces; 4 wet bars; a 126 bottle wine chiller; custom dog suite; and a 5 stall stable “for horses, llamas or … ?” Asking price: $1.95 million. Edina Realty’s...

Window Washing “Gotcha’s, or, Avoiding a Paneful Bill (Sorry) How many windows do you count in the bay window pictured above? A. One. B. Ten. C. Sixty. D. None of the above. Most people would say they’re looking at a single, bay window. A smaller subset might say they see two rows of five windows, for a total of ten. Ahh , but I’m aware of at least one local window washing contractor who would count each individual pane as a separate window . . . and charge accordingly.  In the case of the bay window above, that comes to a staggering 60(!) individual windows. All of which is why it’s a very good idea for homeowners to clarify the total number of windows to be cleaned in advance. See also , “ Best Time of Year to Wash Windows in Minnesota? Two (or is it Three?) Schools of Thought “; and “ “Bay” vs. “Bow” Windows .” from RSSMix.com Mix ID 8230700 https://ift.tt/35pCYZs via IFTTT

Cost: More Than a Furnace, Less than a Roof (Usually) One of the biggest stealth expenses for homeowners is a new driveway. Depending on its area and construction material (concrete vs. asphalt), the cost can easily exceed $10k. When should would-be home Sellers contemplate replacing it? (Note: even when the driveway is practically unpassable due to cracking, heaving, etc., I can’t remember ever seeing it called as a city-required repair — at least in cities that have point of sale inspections.  Nor is a worn driveway a legitimate Buyer’s inspection issue, given its all-too-apparent nature.) The Consistency Criterion My 2¢: the most important variable in deciding whether to get a new driveway isn’t the condition of the driveway — it’s the condition of the (hopefully attached) house. By that, I mean if the home is in terrific condition but the driveway is a mess, the Seller is well-advised to replace it. Prospective Buyers will be put off by the latter — some...

When Doesn’t “Sold” Mean “Sold?” So, when it comes to residential real estate, when does “Sold” not mean “Sold?” When it means “Pending” (as in, when there’s a big, bold “Sold” sign in front of a “For Sale” home). Huh?!? At least in Minnesota, once the Buyer’s Inspection has been removed,** the convention is to switch a home’s status from “Active” to “Pending” on MLS, and to put a “Sold” rider on top of the “For Sale” sign in front of the home. That’s the case even though the home hasn’t closed yet — and the Buyer’s loan most likely hasn’t been finally underwritten (or even successfully appraised!). Of course, that’s in addition to any title work still to be done, as well as any other outstanding conditions that the Buyer and Seller may have contractually agreed — or be subject — to (repairs, obtaining a municipal inspection certificate, etc.). Isn’t declaring such a home “Sold” like spiking the ball on the 2 yard line? Explanation/Rationale It can be. However, once any Ins...

I have bought many houses that needed work. I flip houses, own rentals, and have bought multiple houses to live in. Some of the houses I have bought needed minor repairs, some were major fixer-uppers, and some were not run down at all. It is my business to buy houses and repair them or rent ... Read more The post Is It Smart to Buy a Fixer Upper or Run-Down House? appeared first on InvestFourMore . from RSSMix.com Mix ID 8230700 https://ift.tt/37qEpsF via IFTTT

Just because a home hasn’t sold doesn’t mean that the Realtor is doing a bad job. But, if your home is lingering on the market, it’s imperative to know why. Here are four signs that the problem may not be your home, but your Realtor. One . Mediocrity (or worse). Fortunately, egregious Realtor ineptitude is usually easy to spot. Examples include omitting or misstating key information about your home on the Multiple Listing Service (“ MLS “) database or marketing materials; lack of familiarity with the contracts you’ve been asked to sign; and/or thinking a “Broker Tour” is when area real estate brokers give office tours (it’s when Realtors hold new listings open for the benefit of their colleagues — at least in the Twin Cities, each Tuesday from 11 a.m. to 1 p.m.). Not as obvious, but just as harmful, is when your Realtor fails to showcase your home’s best selling points — in which case, other Realtors and the public are likely to miss them, too. Even in today’s Seller’s mark...

“To Update Exterior Photos Now or Not” — That is the (Listing Agent) Question I’ve previously shared the only slightly tongue-in-cheek secret for a Buyer’s agent to get a balky client to actually buy: have a plane to catch immediately after showing the client a series of homes. See , “ Want Prospective Home Buyers to Buy? Head to the Airport (Really!) .” Is there an equivalent for listing agents (representing Sellers)? Sort of. It’s funny how, just days after updating the exterior photos and marketing literature for a seasonal change ( yes , some homes still take more than 3 months to sell), there’s invariably a signed purchase agreement in hand. Which can beg the question, “was the agent’s expenditure of extra time and money really necessary?” While it’s impossible to know, I DO know there’s a correlation between attentive, skilled agents, and listings that sell expeditiously . . . P.S.: Militating against updating photos and literature (at least right now): 1) the prematurel...

“Rising Treasury Yields Quiet Investors’ Concerns” –WSJ Headline (11/14/19). Stock swooned last Summer, sort of, when the dive in interest rates — combined with uncertainty over trade wars, Brexit, and whatever else was in the air — convinced people that something nasty might be just over the horizon. Fast forward a couple months. Interest rates have rebounded, and stocks are setting record highs. It all recalls the old joke about economists predicting nine out of the last four recessions . . . from RSSMix.com Mix ID 8230700 https://ift.tt/2rMg00f via IFTTT

Seller Psychology vs. Market Reality Quick!  Which of the following are relevant for determining a home’s current value? A. What the owner/seller paid for it. B. What their neighbor sold their home for a year ago. C. What the another neighbor currently is listing their home for. D. How much money the owner spent on improvements. Answer :  none of the above. Sorry , trick question. Here’s the explanation: A.  Historical Cost.  How much the owner paid for the home is very relevant — to them . Psychologically, many owners want to at least break even. And financially, it’s often crucial that the home sell for enough to cover the mortgage plus commission and closing costs — if only because otherwise the Seller will have to bring money to closing (instead of collecting a check). But, Buyers don’t care about historical cost, except for clues about the Seller’s bottom line, and whether the home is a possible short sale ...

Quick! Name a Pretentious Synonym for “Custom-Made” Once upon a time, the adjective “bespoke” applied to exactly one thing: clothes. Specifically, high-end, custom clothes like men’s suits and shirts, or women’s gowns (although I think “couture” was and is the more popular term for the latter) . Now? Here’s a partial list of things (and not-things, i.e., experiences) that apparently can all be “bespoke”: –Travel –Handbags –Corporate software –Jewelry –Eyeware Not Just Clothing So, who makes (“individually hand-crafts??”) all those bespoke things and experiences? “Artisans” (of course). **Wanna know a secret? There already IS bespoke real estate. Somehow, though, Realtors seem to prefer adjectives like “luxe,” “luxury,” “stunning,” “unmatched,” “magnificent,” etc. to describe upper, upper bracket properties. from RSSMix.com Mix ID 8230700 https://ift.tt/2Oah05K via IFTTT

Actuarial (and Other) Calculations Apparently, roof shingles are getting better and longer-lasting. Traditionally, a standard 3-tab or 4-tab asphalt shingle had an expected life of about 20 years. Now, in addition to the 30-year “Timberline” brand, there are a bevy of new, longer-lasting shingles expected to last several decades . Along with a longer life expectancy, some of these new shingles now come with something else: a lifetime warranty. Converting Dog  “Corporate” Years to Human Years On the surface, that seems like a marketing ploy (not to mention a hollow promise): after all, a warranty is only as good as the company standing behind it. If the manufacturer isn’t around 30 years from now — and my guess is that most companies in existence today won’t be around in 2049 — Voila! , no enforceable warranty. Of course, the other possibility is that the customer won’t be around in 30 years. But, for argument’s sake, assume that both the company and the customer make it ...

“Eat Street” Art — Amateur Division I don’t know about the drawing skills of the tagger(s) who spray-painted the graffiti at 27th and Nicollet (above). But, they certainly are good  climbers , with a sense of balance to match: the tag is just above a narrow ledge on the 2nd floor, easily 15′ off the ground (photo, below). P.S.: Thanks to Gabriel Kaplan for help shrinking the photos to “blog-sized.” from RSSMix.com Mix ID 8230700 https://ift.tt/2rGyWgZ via IFTTT

Star Tribune Headline After Vikings’ Comeback Win: “Better Late Than Denver” “Harvard Beats Yale, 29-29” –Harvard Crimson headline (Nov. 23, 1968). Nothing comes close to the classic Harvard Crimson headline above (Harvard miraculously scored 16 points in the game’s final 42 seconds to tie arch rival Yale). But, kudos to hometown paper Star Tribune for an instant classic, in the wake of the Vikings’ stunning comeback from a 20 point deficit at halftime to defeat the Denver Broncos yesterday, 27-23. Until yesterday, NFL teams were 0-99(!) in that situation. P.S.: I wonder if the headline writer suffered benefited from mild dyslexia. from RSSMix.com Mix ID 8230700 https://ift.tt/2r0XaSK via IFTTT

Getting a great deal on houses is key to my real estate investment strategy. Buying a house from a foreclosure auction is one way to get a great deal, but it comes with risk. You can also buy foreclosures from the MLS (multiple listing service), which are often called REOs. It is even possible to ... Read more The post How to Buy a Foreclosure appeared first on InvestFourMore . from RSSMix.com Mix ID 8230700 https://ift.tt/2qfeXph via IFTTT

Checking Your Teeth — and Your Voicemail Messages In retrospect, it DID seem a little quiet yesterday, even though I wasn’t hosting an open house, doing showings, or otherwise involved in a deal. The explanation? My cellphone’s voicemail was full. I found out when a client sent me an email. In contrast to a few agents I know, who intentionally (I gather) routinely leave their voicemails full as a way of limiting their “incoming,” in my case, it was purely an oversight, albeit an uncommon one. P.S.: Voice mail “Catch-22.” As an agent, you know how integral your cell phone is when, after being alerted that your voicemail is full, instinctively react by thinking, “Why didn’t they just leave me a voicemail?? (to let me know).” from RSSMix.com Mix ID 8230700 https://ift.tt/2qnWIOl via IFTTT

Leads, Serious Leads . . . & Tire Kickers After hosting a couple hundred (thousand?) weekend open houses, I still learn useful things about Buyers — as well as the home I’ve been hired to sell. Which is why I do ’em (vs. letting newer agents pinch hit for me). The most important insight? It’s not what prospective Buyers say — it’s their all about their body language, and what they do. Minnesota Stoicism When Buyers have interest, they linger in the house; ask serious questions; and circle back to key rooms. When they don’t . . . they leave the sales literature on a coffee table near the front door as they walk out. Personalities vary dramatically, so it’s not always possible to tell when someone’s excited about a house (this IS Minnesota). But, generally speaking, when there’s interest, Buyers are more animated and engaged. Objective Markers Of course, an experienced agent is also good at qualifying traffic, and eliciting motivation. I tend to think of Buyer inter...

Los Angeles County is the most populated county in the nation and it is also an area where renter households are the majority.  Contrary to what some will say, this is not how “it has always been” since in the last decade the area has added mostly renting households tipping the figures to the other […] from RSSMix.com Mix ID 8230700 https://ift.tt/2CRHFyY via IFTTT

All Alone . . . in the Middle of 3 Million People OK, so “On Fuchsia Pond” doesn’t have the same ring to it as “On Golden Pond,” the 1981 movie starring Henry Fonda and Katherine Hepburn. And, the sunset shot that would have really made my point — of Lake Calhoun with the Minneapolis skyline in the background** — doesn’t work, because downtown is northeast, not west, of the lake. But, the seemingly remote fishermen at dusk (photo above) are in fact in the middle of Minneapolis’ Lake Calhoun (photo, right), which itself is located smack dab in the middle of the 3 million population Twin Cities. **The masthead on this blog’s home page features a photo of Lake Calhoun looking northeast towards downtown Minneapolis. See also , “True Minnesotan,” Defined .” from RSSMix.com Mix ID 8230700 https://ift.tt/2qaGtEn via IFTTT

“If Winter in Minnesota Starts Early, Does it End Early, Too??” Not wanting to be the one to burst anyone’s bubble, there was really only one way to answer the question above, posed by the new neighbor who arrived here from Southern California this past Summer: “W-h-y, y-e-a-h . . . in fact, that’s exactly how it works. The earlier Winter starts here, the earlier it usually finishes.” P.S.: To paraphrase the Cal Tech slogan (“We may be small, but we’re slow”), Minnesota winters typically are brutally cold AND long . . . from RSSMix.com Mix ID 8230700 https://ift.tt/379QiTv via IFTTT

Not-So-Coincidental Timing? “Don’t look a gift horse in the mouth.” –Proverb. Hennepin County’s proposed 2020 property tax notices are out, and they contain a welcome surprise (at least for one homeowner — me): a 2.9% drop for 2020. Yeah , I know: the notice is only preliminary, and the actual, final tax bill — typically mailed sometime in February — may be different ( read , higher). It’s also not lost on me that the reprieve is very likely temporary, and perhaps not so coincidentally related to 2020 being an election year. Still, I’m (more than) fine treating the the news as the proverbial gift horse, and not complaining too loudly . . . P.S.: Hennepin County includes Minneapolis and its west suburbs. from RSSMix.com Mix ID 8230700 https://ift.tt/33SD6QT via IFTTT

“To Update Exterior Photos Now or Not” — That is the (Listing Agent) Question I’ve previously shared the only slightly tongue-in-cheek secret for a Buyer’s agent to get an under-motivated or otherwise balky client to actually buy: have a plane to catch right after the last home showing. See , “ Want Prospective Home Buyers to Buy? Head to the Airport (Really!) .” Is there an equivalent for listing agents (representing Sellers). Sort of. It’s funny how, just days after updating the exterior photos and marketing literature for a seasonal change ( yes , some homes still take more than 3 months to sell), there’s invariably a signed purchase agreement in hand. Which can beg the question, was the agent’s expenditure of extra time and money really necessary? While it’s impossible to know; I DO know there’s a correlation between conscientious, skilled agents and listings that sell expeditiously. P.S.: Militating against updating literature (at least right now): 1) the prematurely...

“Rising Treasury Yields Quiet Investors’ Concerns” –WSJ Headline (11/14/19). Stock swooned last Summer, sort of, when the dive in interest rates — combined with uncertainty over trade wars, Brexit, and whatever else was in the air — convinced people that something nasty might be just over the horizon. Fast forward a couple months. Interest rates have rebounded, and stocks are setting record highs. It all recalls the old joke about economists predicting nine out of the last four recessions . . . from RSSMix.com Mix ID 8230700 https://ift.tt/2rMg00f via IFTTT

Seller Psychology vs. Market Reality Quick!  Which of the following are relevant for determining a home’s current value? A. What the owner/seller paid for it. B. What their neighbor sold their home for a year ago. C. What the other neighbor currently is listing their home for. D. How much money the owner spent on improvements. Answer :  none of the above. Sorry , trick question. Here’s the explanation: A.  Historical Cost.  How much the owner paid for the home is very relevant — to them . Psychologically, many owners want to at least break even. And financially, it’s often crucial that the home sell for enough to cover the mortgage plus commission and closing costs — if only because otherwise the Seller will have to bring money to closing (instead of collecting a check). But, Buyers don’t care about historical cost, except for clues about the Seller’s bottom line, and whether the home is a possible short sale (s...

Quick! Name a Pretentious Synonym for “Custom” Once upon a time, the adjective “bespoke” applied to exactly one thing: clothes. Specifically, high-end, custom clothes like men’s suits and shirts and women’s gowns (although I think “couture” is the more popular term for the latter) . Now? Here’s a partial list of things (and not-things, i.e. experiences) that, apparently, can all be “bespoke”: –Travel –Handbags –Corporate software –Jewelry –Eyeware Not Just Clothing So, who makes (” individually handcrafts??”) all those new, bespoke things — and now, experiences? “Artisans” (of course). **Wanna know a secret? There already IS bespoke real estate. Somehow, Realtors seem to prefer adjectives like “luxe,” “luxury,” “stunning” and “magnificent” to describe upper bracket homes. from RSSMix.com Mix ID 8230700 https://ift.tt/2Oah05K via IFTTT

Actuarial (and Other) Calculations Apparently, roof shingles are getting better and longer-lasting. Traditionally, a standard 3-tab or 4-tab asphalt shingle had an expected life of about 20 years. Now, in addition to the 30-year “Timberline” brand, there are a bevy of new, longer-lasting shingles expected to last several decades . Along with a longer life expectancy, some of these new shingles now come with something else: a lifetime warranty. Converting Dog  “Corporate” Years to Human Years On the surface, that seems like a marketing ploy (not to mention a hollow promise): after all, a warranty is only as good as the company standing behind it. If the manufacturer isn’t around 30 years from now — and my guess is that most companies in existence today won’t be around in 2049 — Voila! , no enforceable warranty. Of course, the other possibility is that the customer won’t be around in 30 years. But, for argument’s sake, assume that both the company and the customer make it ...