Robert Guthridge's Blog

Just Don’t Call it a “Tax” [ 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.] It turns out it wasn’t my imagination — and it wasn’t a new city, state, or federal tax, either. Instead, that $1.97 fee (on my $65.80 tab) at local restaurant D’Amico & Sons the other day was for something called “Employee Wellness.” According to the cashier, D’Amico’s started collecting it three months ago. Questions, Questions So, does the fee actually goes towards improving “employee wellness?” How exactly? Isn’t some portion of the bill (aka the restaurant’s revenues)  already earmarked for employees’ benefit? And perhaps most importantly: will other businesses — food or otherwise — follow suit? Stay tuned . . . P.S.: I suppose it’s up to individual consumers to decide if they like the establishment enough to p...

Thanks to quirky (at least to me) MLS rules, home photos can’t include broker names or any other marketing information. Usually that’s not a problem, because the Realtor-ordered photos are taken before the “For Sale” sign is installed. Ahh , but when that’s not the case, to avoid an MLS fine, the listing agent (representing the Seller) has to direct their photographer to either: a) digitally remove the “For Sale” sign altogether; or b) white out or otherwise obscure the information on the sign (per the lower right of photo above). See also , “ The Many Uses (Still) For Liquid Paper (“White-Out”) .” from RSSMix.com Mix ID 8230700 https://ift.tt/2YAzK2v via IFTTT

Homing Instinct Sellers frown on Buyers moving in before closing, for about 27 (valid) reasons.  See , “ Move-in Agreements & Rent-Backs” ; and “ Real Estate Chutzpah. ” But, the Momma raccoon that set up housekeeping in my client’s window well hardly asked anyone’s permission. And since my clients moved out-of-town well before closing, it fell to the Buyer — and specifically, their pre-closing walk-thru inspection — to discover them. Instead of insisting that the Seller call animal control (or an exterminator!), however, the Buyer graciously decided to leave the Momma and baby raccoons alone, and let time — and a helpful 2 x 4 they put in the window well — take its course. from RSSMix.com Mix ID 8230700 https://ift.tt/2FTKj9k via IFTTT

Hope you’ve got relaxing plans. Even better: no plans at all. from RSSMix.com Mix ID 8230700 https://ift.tt/308ZHX6 via IFTTT

Et tu, Angie’s List? [ 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.] You don’t usually notice something that doesn’t happen. So, after paying an annual membership fee for Angie’s List for, I dunno . . . forever, I stopped seeing the automatic debit on my credit card statement about two years ago. I didn’t think anything of it, till I read a recent news story discussing the company’s 2017 acquisition by IAC, and its subsequent switch from a subscriptions-based business model to an advertising-driven one. That Déjà Vu Feeling If that all sounds familiar, it should: that’s the same business model long embraced by such social media goliaths as Google and Facebook, as well as online review service (and Angie’s List competitor) Yelp. Why should consumers care? Because, as Silicon Valley is fond of saying,...

Punctual, Honest Minnesotans Yeah, Yeah , local winters are bone-chillingly cold and way too long; the closest mountains are almost 1,000 miles away; and the nearest ocean . . . even further . But, where else besides Minnesota — in the middle of a metropolitan area of 3 million people, no less — could you leave lawn chairs, blankets, and other parade-watching gear unattended for virtually the entire length of the 2 mile(?) parade route . . . the day before. Which calls to mind another Minnesota trait (besides honesty): being early. from RSSMix.com Mix ID 8230700 https://ift.tt/2FSxkon via IFTTT

Market Appreciation vs. Home Depreciation “In all cases in which work is produced by the agency of heat, a quantity of heat is consumed which is proportional to the work done.” –Rudolf Clausius, first law of thermodynamics. “An overpriced, “For Sale” home depreciates in value faster than an appreciating housing market rises.” –Ross Kaplan, first law of real estate. It’s strictly anecdotal, but I’d guess that there’s more — not less — overpricing in a rising housing market than in a falling market. My theory? Sellers hear that home prices are rising . . . and overdo it. Result: their home sits, accumulating damaging market time, and not infrequently sells for less than what they would have gotten if they’d set a more realistic, initial asking price.* Effect of Rising Market That’s true even in a rising market. The explanation is that an overpriced home sitting on the market depreciates faster than all but the most feverish housing markets rise. The following example illustr...