Westchester Real Estate Talk

Last year at this time Jim Kramer was very negative about the economy and the housing market. Yesterday he appeared on the Regis and Kelly show, of all things, and he is completely the opposite. He now thinks this is the best time to buy a house before the bottom is hit and prices rise. So, here is the clip>

The 2^nd Quarter Residential Housing Report from the Westchester-Putnam
Multiple Listing Service was issued today. Some highlights:

There were 1770 residential closings during the 2^nd quarter of 2008
which was 24% fewer than 2007;

• The median price for a single family house was down $25,100 or 4%
  from last year to $674,900.
• The mean price is down 7%
• Million Dollar Homes accounted for 24% of residential sales in the 2nd
  vs. 31% during the 1^st quarter.
• Inventory is up 11% from 2007

To read the entire report,here.

Real Estate has changed, it has changed a lot.  Some Brokers don't want to let go of the old way of doing business and want to keep what they consider out of area agents out of their areas still to this day.  A lot of this still has to do with the lack of disclosure to buyers.  Some agents want to keep the status quo, keep it the way it has always been.  But Buyer Brokerage and the Internet have changed the way we do business, a lot.  I believe that a lot of agents do NOT exlain buyer brokerage properly, some because they don't understand it themselves and some because they still want both side of that commission and if buyer agency were truly explained it would effect their bottom line. 

I have a blogging buddy by the name of Laurie who works on the North Shore of Long Island.  Laurie has moved from another state and is amazed at the way we do real estate in New York, perhaps amazed is the wrong word.  She wrote a wonderful post about disclosure of real estate agent roles that explains some of the issues and I recommend this post highly to anyone who hasn't seen it, here.

In the past Real Estate agents would stay in their areas, everyone represented the seller and the goal was to make the "double dip" meaning both sides of the commisson.  The disclosure to buyers that they could have their own agent looking out for their interests didn't have to be disclosed because it didn't exist.  Everyone represented the seller. 

Now, however lots and lots of agents work as buyer's agents and travel throughout the County of Westchester selling properties.  The agents are going with their buyers and helping the buyers find the best communities and properties.  The way the internet has changed this is that there is so much community and school information on the internet now buyers come knowing a lot before we begin. It is not the place of a real estate agent to discuss schools, demographics and in fact this is against the law.  The buyers need to research these areas on their own.  The fact that a brokers child went to a particular school is not a factor, schools are very subjective and buyers need to figure this out.

 In the past an agent would "refer" a buyer to any other community that the buyer might want to see and collect a 25% referral fee without doing the work.  There is a large network of agents who have nurtured these referral networks and want to protect them.

The very good news is that this is now changing and changing a lot.  A friend of mine sold a house in Rye and she is an agent in Bedford, a friend of mine working as a buyer's agent sold a house in Yorktown and her office is in White Plains.  Does she know the community?  Yes, she does.  I personally have lived in lots of communities throughout Westchester County and sell in those areas.  Sometimes a buyer's agent who doesn't live in a particular community comes with a fresh point of view.  A buyer's agent who goes to different communities with a buyer won't try to convince a buyer to buy in any particular community, the buyer can take their time and decide which community is best for them.  The old way an agent would want the buyer to buy in "their" community in order to earn the commission.  This "new" way an agent will be paid for their work no matter where the buyer buys - no pressure.

The Town Supervisor of Greenburgh, who can be a political lightning rod, is nonetheless very innovative.  He has started a collection of You Tube clips about the Town of Greenburgh, there are now about 20 clips.

"Feiner and summer intern Andrew D. Laub began the project last week, posting clips to the popular site that range from interviews with municipal employees to recreational activities around town.

"The goal is to show different aspects of the town of Greenburgh," said Laub, who will assist Feiner and oversee the project.

Laub, 18, said the segments would also give constituents another way to connect with the government and be aware of town politics"

To read the entire article from the Journal News, here.
To see the videos, here.

Late last night in Orchard Hill which is in Greenburgh, New York  some strange goings on. So now with the increase in foreclosures, with more and more vacant houses there are more and more things to be concerned about. A vacant house seems like a great place for a tryst,right?

Vacant houses that aren't being maintained are a target for thieves.  If the lawn isn't mowed it is a giveaway that the house is vacant.  If there is a pool in the backyard and the water is standing stagnant that is a health hazard. Poachers are moving into some of these vacant houses. But now as reported in our local newspapers comes a sexual tryst with a Principal of one of our local private Catholic schools involved.  This would have been hard to foresee.

From the Joural News, here.

Sitting at home after a long day of showing properties.  Checking my email, the MLS all the things we do to finish up our work day and I look up at a segment on the local news.  I did not think I was hearing right, but I was and here it is:

A homeowner in Englewood, New Jersey is trying to sell a property.  A property that it is listed at over 2 million dollars, 8 bedrooms, 4 bath.  This homeowner sent out a mailing with the heading:

                                     "Help Save the Neighborhood From Negative Elements"

                            Englewood Residents Beware this is your opportunity to save your
                                                                  Neighborhood

The owner a Jack Lefkovets was questionned by a reporter.  He claims that he meant drug dealers, sex offenders and other criminals.  Shame on Him.

According to local real estate agents interviewed for the segment his house is very overpriced and most of them won't show it.  What a surprise but can you imagine.

I recently listed a co-op.  A really nice apartment.  The seller, who is a previous neighbor, called and asked me to list it.  I was really happy to hear from her.  We met, talked, looked at the current market to determine a price.  This particular seller did a lot of research and kept track of what was selling in the building, she went to some of the broker open houses in the complex to compare those prices and properties to hers.  She knew that mint condition would net her a higher price so she worked to clean the apartment and had it painted.  While the kitchen and bathroom are original the apartment is great. Sunny, with wood floors that sparkle. 

We put the apartment on the market and on the first day an agent calls, shows it and within a week we have an accepted offer.  The selling agent says to me "I never do co-ops and I am not sure how this works".  It has always been my belief that everyone should work together.  So, I thought to myself if she hasn't sold any co-op's I will be glad to help her and as long as we keep in touch and there is a dialogue I can make sure that things go smoothly.

Along the way several things happened that could have been avoided.  The process could have moved along quicker.  This agent doesn't communicate.  She doesn't answer emails or return phone calls. There is an attitute of "I am taking care of it, don't worry".  Huh? 

When the buyer first saw the apartment this agent calls and says that her buyer will be putting in an offer. I then don't hear from this agent for several days with no phone calls returned.  After a number of days she calls and says her daughter graduated and she was busy. Huh?  You are so busy you can't return a phone call and tell me that or drop me an email telling me that?

After we get the deal together and the contract is signed I am waiting to hear about the appraisal.  Again, no phone calls are returned.  No appraisal.  As a listing agent I know that the appraisal should be done fairly soon after the contract is signed, within a week or 10 days, and I was not hearing anything from this agent.  Eventually I get a phone call, sorry, I was on vacation and so the appraisal wasn't done we are going on Tuesday. Huh?  Why didn't you tell me you were going on vacation i would have been glad to let the appraisor in.

Now I am waiing for the committment, no committment.  Again no calls following up from this agent, no communication.  I decide to call the Mortgage Broker for the buyer.  She tells me she didn't get the contract from the seller's attorney for two weeks. Huh?  Where was the selling agent?

Now I need to know if the packet has been submitted to the co-op board? Again no answer so I call the managing agent.  No, it has not been submitted.  She tells me that if it is submitted early she can begin the process.  Did the selling agent call and find this out?  She is waiting for the mortgage committment. Since she doesn't do a lot of co-ops she may not realize that you don't have to wait for the committment. Did she call?  I finally reach her and she says to me "don't worry I am taking care of it"  Huh?  What are you dong and what is going on, what are you taking care of"

I did contact her broker as this complete lack of communication was truly not fair.  This week I found out, not through her, that there was a problem with the PMI insurance.  When I spoke to her she says "don't worry I am taking care of this" Huh?  Do you think the seller has a right to know what is going on? "I am taking care of it" Yikes.

I believe that we should be able to fire agents that don't do the job, or do the job poorly.  I keep telling this agent that if she is busy, or has a personal problem that I will be glad to take this over and help. This needs to be fixed.  We should be able to react to a really bad job or a bad attitude.

Greenburgh Day will be celebrated on Saturday, July 19, 2008 (rain date Sunday July 19,2008) and will be held at Anthony F. Veteran Park.  The entrance fee for the pool will be $4.00 for the entire day.  Some of the activities will be:

Passport Application Processing  11a-2pm
Greenburgh Nature Center 2pm-4pm
Amusement Rides  5pm-8pm
Youth Slam Dunk  1pm-4pm
Dunk Tank  1pm-4pm
Face Painting  2pm-5pm
Pool Relay Races  3pm
Clowns  2pm-6pm
DJ   2pm-5pm
Senior Bridge Party/Lunch  11pm-2pm

Throughout the summer the Department of Parks of Westchester County is sponsoring heritage festivals, celebrating, Irish, Indian, Italian culture.

On Sunday, August 3^rd, 2008 at the Kensico Dam Plaza in Valhalla and sponsored in conjunction with the Indian American Cultural Association of Westchester is the Heritage of India Festival.  Some of the activities will be an Indian Merchanidise Bazaar, Mahendi (Henna) and Bridal Make-up, Indian Folk Dances, Indian Fashion Show and rides for the kids.  Free Admission and Parking.

For further information and other festivals being held, here.