Black Hole Of Real Estate Podcast

The highly anticipated Fed Meeting will take place this week

It may not actually have much effect on mortgage interest rates

which is the #1 reason why home sellers will wait to sell their homes

their reluctance to give up -2%-4% rates on their current home is the logjam

The Fed will drop interest rates - write it down - they will do it

I predict a .25 rate reduction

I also predict that mortgage interest rates will go down less than .25%

Banks have been pricing in the anticipated rate drop

so home buyers may not get as big of a drop that they were hoping for

The Fed Rate has been at a 23 year high for quite some time

and the time is right for a rate drop

some homeowners that purchased in the last 2 years at rates between 7-8%

are going to be adble to refinance soon

as rates are now sitting on the 6-6.5% range

I am not sure that this will be enough of a rate drop 

to get sellers locked in at 3-4% from purchases a few years back

to sell their homes, but its a step in the right direction

this will play out gradually not quickly

... That Things are very different for home sellers

as they try to navigate the new real estate rules 

Today I give guidance based on the the questions that have come in recently

choosing the right sales strategy 

the most effective marketing plan

and negotiation tactics

are paramount to success

whether or not to pay a commission 

and at what level is not necessarily an exact science

the soultions in todays episode will provide some much needed help for many

... has always needed to navigate a unique set of circumstances

and now there will be a new layer of challenges

added into the mix of the numerous steps in the sales process

access to the home for viewings, inspections and appraisals

will work differently with the recent industry changes

the main issue is that the the sellers agent

will need to walk a fine line between assistng the buyer

vs providing real estate services

fiduciary responsiblities are well documented in real estate agreements

and the new rules are very specific in what can/cannot be done now

its up for debate as to whether or not an unrepresented buyer

will be able to navigate the home buying process

as easily as they might have done before the new rules started

it will be interesting to watch  how it plays out

as the market adjusts and interest rates come down

Todays Episode Discusses why there are opportunities in Florida Real Estate

Waterfront Condos - In Particular are heating up

And If you understand why there is movement 

it increases your odds to make a solid profit on your investment

I break down key items today in bite size pieces

special assessments - reserves - insurance

the market is shifting

and that doesn't have to be a bad thing

by the end of the episode

you will be ready to make an educated decision on your next move

... The new NAR Rules 1st week have been kinda quiet

It really isn't a shock

The real estate industry is experiencing less sales this year than last year

And now that consumers are being more selective when choosing an agent

It makes sense that they may take a little longer to select an agent

and some will likely consider being "unrepresented" and do it themselves

with the amount of research and studying of reviews 

for purchases as inexpensive as a breakfast or lunch

I gotta believe that people will take at least that much time

to do the same with regards to agents reviews and track record

in all honestly - every bit of this seems to be a good thing

don't we do the same thing when choosing a doctor or a lawyer ?

sometimes the issue isn't just the price

sometimes the expertise is more important

the quiet will go away soon enough

but for now - lets just embrace it 

On the other side is a better experience for the consumer

and an opportunity for the real estate industry to level up

Real Estate Changed Forever

The Good News is approximately 95% of consumers are not affected by it this year

For the rest of the consumers 

That are in the real estate market to buy or sell

That want to use the services of a real estate agent

A signed formal agreement must be in place prior to touring any properties

There are no exceptions

And there are significant penalties to agents that do not have these in place

Its going to feel different for a bit

Buts its not unlike the formal listing contracts to sell homes

That have been frequently used by most sellers for many years

This new era of real estate will create questions

We are here to answer them

The NAR Settlement Changes Go Into Effect on August 17

Many Brokerages are Supremely Prepared for this "event"

They Will be "The Winners" in the phase of the market

Home Buyers will be now be termed "consumers" in paperwork

Consumers will be making important choices

The Right Agent

The Right Home

The Right Terms

Which really isnt all the different

There are some specific paperwork changes

That a well prepared real estate agent

Can safely guide their consumers through

It Doesn't need to be a scary time...for anyone

There is good news.. It will be a relatively simple process to buy a home when the new rules go into effect August 17 Any home buyer that is working with a real estate agent Will sign a "BBA" Buyer Brokerage Agreement the agreement will state the terms of the working relationship similar to an engagement letter with an attorney

terms such as length of contract and the fee will be stated many buyers and their agents will use a 2nd form that will ask the seller to make a monetary concession 

that can be used to pay for their buyers agent 

that goes along with their written offer to the seller 

buyers do not have to use an agent to buy a home 

and everything is negotiable  

just as it has always been

the paperwork is a little different on these 2 forms 

but most everything else is largely the same 

if you have questions - message us for more information

I have a duty to share this information

Consumers and real estate agents are getting mixed signals

until there is clarity on how things will work 

once the NAR Settlement guidelines are implemented

the one thing that I want to say loudly to my fellow agents

is that the best strategy is to adapt within the new guidelines quickly

trying to find a sneaky workaround is simply a bad idea

there is some good news among all of this

change can be good

and in this case

once everyone adapts

things will get easier and better

its time to take that next step together

Investement Properties Are Heating Up

For Buyers

For Seller

For Accidental Landlords

For Those That have remained on the sidelines

Today we go over the math

And share where the opportunities that we are seeing