M A G A Z I N E APRIL / MAY 2019
REALTORS® BRINGING HOME THE CURE
CORK & CRAFT F U N D R A I S E R
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CONTENTS
2019 OFFICERS
Bakersfield REALTOR® Magazine
President Athena Collup Miramar International, Mill Rock
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INCREASING HOMELESSNESS Senate Republican Leader Shannon Grove reveals how the increasing homelessness is a consequence of one party rule.
President-Elect Ronda Newport Watson Realty, ERA
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Vice President Scott Knoeb Frontier Real Estate Services, Inc.
CSUB PRESIDENT SEEKS EXCELLENCE Rise. A call to action to push, strive and persevere to be the university our region demands and deserves.
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Secretary/Treasurer Wayland Louie RE/MAX Golden Empire
KEN KELLER, MEMORIAL HOSPITAL Keller leads an exceptional team working diligently to provide patient-centered, personalized healthcare.
Immediate Past President Derek Sprague Mossy Oak Properties
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FIGHT FOR PROPERTY RIGHTS 2019 C.A.R. President Elect Jeanne Radsick meets with many congress members, Fannie Mae, Freddie Mac, and others to help your clients buy and sell real property. Join her in the fight for property rights.
Chief Executive Officer Linda Jay, RCE
2019 Directors
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Anna Albiar Coldwell Banker Preferred, RLT
CORK AND CRAFT FUNDRAISER REALTORS® Bringing Home the Cure raised over $128,000 to help in the fight against cancer. In their passion and hard work, they’re still going strong.
William Chicas Watson Realty ERA Michele Cooper Karpe Real Estate Center
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TECHNOLOGY FOR REAL ESTATE AGENTS The advancements in technology has equipped agents with tools to help them connect and assist the public for more efficiency.
Martha Johnson Keller Williams Realty Bill Mell Miramar International
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REALTORS® ARE CO-SPONSORS OF THE FAIR HOUSING CONFERENCE Glenn Porter reveals that at the heart of fair housing is the idea of giving ALL citizens the knowledge to have their dream of homeownership.
Kym Plivelich Marcom Real Estate Glenn Porter RE/MAX Golden Empire Brian Tuttle Coldwell Banker Preferred, RLT
ON THE COVER
REALTORS® Bringing Home the Cure raised funds for Kern County Campout Against Cancer and American Cancer Society Relay for Life during their Cork and Craft Fundraiser.
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MLS OPEN FORUM HELPS REALTORS® PROVIDE BEST PRACTICES TO BOOST BUSINESS 2019 Chair, Vanessa Hartwig, leads the committee in selecting programs that bring value to REALTORS®.
M A G A Z I N E APRIL / MAY 2019
REALTORS® BRINGING HOME THE CURE
CORK & CRAFT F U N D R A I S E R
Executive Editor - Linda Jay, CEO, RCE Managing Editor - Carol Duran Contributing Articles Editor - Tiffany Waldowski Statistics - Jamey Lyster Graphic Designer - Carol Duran Bakersfield Association of REALTORS® 2300 Bahamas Drive, Bakersfield, CA 93309 P. 661-635-2300 F. 661-635-2317 www.bakersfieldrealtor.com facebook.com/bakersfieldrealtors twitter.com/bakorealtors BAKERSFIELD REALTOR
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LETTER FROM THE PRESIDENT
The Power of
Community There is no power for change greater than a community discovering what it cares about.” – Margaret J. Wheatley
W
ELCOME to the Community issue of our REALTOR® magazine! What does community mean to you? If you’re like me, I had to pause and give that question some thought. . .Is it the community of Bakersfield or Kern County? Our community of REALTORS®? Or is it the community of great people that help me do my work each day. . . the inspectors, contractors, lenders, escrow officers, and long-suffering transaction coordinators? Could it also include friends and family who lift me up and support me? I have two separate friends that struggled with funeral services for a parent last weekend and needed their friends and family to comfort, support, and help with the work that kind of loss brings. Is that a community? The answer is YES! All of these are examples of community. The question begs to be asked, where do I fit in these communities? Am I supporting them? Am I taking comfort, support, and help from them? What am I contributing? There are so many ways to serve the greater Bakersfield/Kern County Community. Get involved with local governance. Attend a City Council or Board of Supervisors Meeting. Think about serving on the Planning Commission or running for office. Did you know there is grant money available for REALTORS® who seek
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election to local office? Think about serving on an advisory committee or working group, just like our own Wayland Louie. Wayland is using his knowledge and unique skills to serve on the “Measure N” citizen advisory group. Thank you, Wayland, for being a vital part of our community. How about the Community of Bakersfield Association of REALTORS®? You might say “I don’t have time to contribute” or “It might take away from my business”. Theodore Roosevelt shared this important admonition, “Every man owes a part of his time and money to the business or industry in which he is engaged. No man has a moral right to withhold his support from an organization that is striving to improve conditions within his sphere.” REALTORS® give back in many ways! If you’re not currently engaged in our Association, I challenge you to find a place to get connected. . .help serve on a project or working group, get involved with a committee. We should ALL contribute to REALTORS’® Action Fund (RAF). RAF supports and protects the real estate industry from legislation that is harmful to homeowners, property owners, and the REALTORS® right to be an independent contractor. It IS the “true cost of doing business”. REALTORS® are a part of this community with common goals and shared interests. Each of us have a choice to be a vital
part of this community and not depend on a small group of willing members to do all of the heavy lifting, decision making, and coalition building for you. Our industry is changing, and this community’s shared voice is needed to sustain our common goal. The collective voice of the real estate community has never been more important than it is today. Housing needs are changing and affordable housing continues to be one of California’s greatest challenges. Bakersfield and Kern County are blessed to have some of the most affordable housing in our State, and yet, the recurring push for rent control and onerous governmental regulations like CEQA will further hinder housing affordability. While there are many voices trying to spin the narrative away from championing the benefits of homeownership and the protection of private property rights, it’s critical that we do our part to defend home ownership with facts and solutions. Being part of a community is more than going along with the tide, it requires embracing change, hard work, innovation and collaboration. Where do you fit in your community? Support? Service? Or perhaps you are the one with a new idea that will change the tide. Take responsibility for this community and “BE MORE!”
LETTER FROM THE CEO
Your
Culture Code I
t is something that is on display… every day. What is meant by culture and why should it deserve your attention? Culture refers to the attitudes, values, customs, and behavior patterns that characterize an organization. Daniel Coyle, author of The Culture Code defines it simply as “A set of living relationships working together toward a shared goal… it’s not what you are, it’s what you do.” Each of us brings to an organization our own personal culture, those things in our upbringing that helped shape who we are today and give us our unique identity (e.g. where you grew up, faith background, personal genetics, etc.) The shared culture we have as an organization is a choice… it is one we create through our shared stories, principles, purpose, plans, language, outcomes, and ownership. So, why is that important to your business? You may not get up and suit up every morning consciously determining to make sure everyone within your sphere of influence distinguishes the nature of your organization’s culture, nonetheless, they will experience it first-hand through the attitudes, values, customs and behavior patterns of
We don’t rise to the level of our expectations . . .we fall to the level of our training.” those who represent your organization… top down. Make no mistake, it begins with leadership. When a strong culture of positive attitudes, values, customs and behavior patterns is subscribed to by the leadership of an organization, it will have a significant influence on those of its employees, as well as those in volunteer/support roles, ultimately resulting in an exceptional customer experience. Actions do speak louder than words. Will that experience be consistent with what you say you stand for… what you say you value? One such culture identified among the strongest cultures created, is that of the U.S. Navy Seal Code. My nephew became a Navy Seal at a time when heroes like Marcus Luttrel were also serving. Experiencing his graduation
ceremony and learning about the level of commitment to excellence this band of brothers share, was a poignant experience, one I will never forget! Their Code of Excellence (their Trident) is something they strive to earn every day! Loyalty to Country, Team and Teammate Serve with Honor and Integrity on and off the battlefield Ready to lead, Ready to follow… Never quit! Take responsibility for your actions and the actions of your teammates. Excel as warriors through discipline and innovation Train for war, fight to win. Defeat our Nation’s enemies. If you have not yet experienced the pride and satisfaction of defining your code of excellence…your brand promise. . .something you can strive to demonstrate every day, there has never been or may never be a better time to ensure your beliefs align with what you say and do, to provide a level of customer experience that will exceed their every expectation. I encourage you to do it today!
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REALTORS® WHO MAKE THEIR VOTE COUNT… JOIN THE RGR COMMITTEE NOW! contribution by
KIM SCHAEFER GOVERNMENT AFFAIRS DIRECTOR On November 6, 2018, voters within the City of Bakersfield passed Measure N, the Bakersfield Public Safety and Vital Services Measure. Measure N is a locally controlled one-cent sales tax measure that will provide approximately $50 million annually to the City of Bakersfield to address top community priorities including enhancing public safety, reducing homelessness, and bolstering economic development activities. The ordinance establishes a transactions and use tax district and that tax goes into effect on April 1, 2019. The ordinance requires that prior to the effective date, the Bakersfield City Council establish the composition of a Citizens Oversight Committee of no more than nine residents of the City to act in an advisory capacity to review the expenditure of revenues generated by the tax imposed by the ordinance. The Committee is tasked with providing independent verification that the revenues collected pursuant to the Measure are used in such a manner that is consistent with the projects, programs, and services described within the Measure. The Committee is composed of nine individuals-including our own Bakersfield Association of REALTORS® Treasurer, Wayland Louie. Wayland has extensive committee experience, serving as a Director of the GEMLS, Chairman of Strategic Planning & Finance, Chairman of LCRC, and holds an equally impressive professional resume; he worked as accounting analyst at Lockheed Martin, and has many years of expertise as a successful commercial real estate broker. Wayland is an exceptional addition to this Committee, and we have the utmost confidence that he will serve on this Committee with the same purpose and examination that he has demonstrated here at the Association. Congratulations Wayland! The Committee selection process was competitive, with more than 85 applications
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submitted. As a coalition effort, the Bakersfield Association of REALTORS®, Bakersfield Police Officers Association, Bakersfield Professional Firefighters-IAFF Local 246, the Greater Bakersfield Chamber of Commerce, and the Kern Taxpayers Association – organizations which collectively represent thousands of local businesses and hundreds of city employees, nominated talented and experienced individuals from the pool of applicants for the Citizens Oversight Committee for the Bakersfield Public Safety and Vital Services Measure. Each Committee member was appointed by the majority of the City Council to three-year terms. Individuals are required to be 18 years of age and reside within the City of Bakersfield for the duration of their term. The primary duties and activities of the committee include: hold public meetings, be in compliance with the Brown Act and applicable conflict of interest rules, to receive public comments, review presentations from City staff, and discuss spending priorities associated with the Measure. The Committee may prepare recommendations on funding priorities for the Measure and present such recommendations to the City Council in advance of or during the City’s annual budget process. The City will also ensure that annual independent audits are conducted to account for the tax revenues received and expenditures made to ensure consistency with spending priorities. Those audits will be provided to the Committee for review upon completion.
I would like to be a member of the Citizen’s Oversight Committee to ensure tax revenues are being used in accordance with the guidelines and priorities of Measure N. We taxpayers need to be assured that the Committee is familiar with compliance standards and will uphold those standards with the use of our tax revenues.” – Wayland Louie
Wayland Louie
2019 Secretary Treasurer Broker Associate with RE/MAX Golden Empire
Increasing Homelessness is a Consequence of Government Thinking They Know Better
contribution by
SHANNON GROVE
F
SENATE REPUBLICAN LEADER
rom urban cities like San Francisco and Los Angeles to the beautiful agriculturally rich Central Valley, California is a diverse state with a climate and geography as diverse as its residents. Regardless of where we live in California, we have at least one thing in common: California is expensive. We pay more taxes than the vast majority of other states, our energy costs are higher than nearly every other state, and we pay the most at the pump for fuel. Californians also pay ridiculous prices for homes, if they can even afford one at all. In Kern County, we are blessed to live in one of the few affordable housing areas in this state, but the housing crisis still affects us. A recent study shows that there are 1,330 homeless individuals in Bakersfield, which is a huge increase from 885 in 2018. This homeless and housing crisis in our area needs to be addressed. Across the Golden State, there are tent cities, families living in cars, streets filled with trash and debris, and a lack of affordable housing. Our Mayor, Karen Goh, made the trip to the State Capitol to lobby the Governor on behalf of our city. Her work supporting our community
Shannon Grove
Senate Republican Leader was recognized across the state as the Governor answered her call to help our community. Unfortunately, this homelessness crisis is just one of the many consequences of the affordability crisis caused by one party rule in this state. Families are forced to decide between fueling up the car or putting food on the table, public employees who have committed their lives to public service face the fear of pension cuts as pension debts soar, seniors living on a fixed income struggle to get by when there are increased fees and taxes. These unfortunate realities for Californians are,
in large part, a result of excessive regulation and poor use of our hardworking taxpayer dollars. For example, California has some of the most expensive vehicle emission fees and gas taxes in the country, but we have some of the worst highways and roads. Another example that directly impacts the housing crisis is a law signed by Governor Brown that will limit the amount of water that can be used in our homes. This mandate says that by 2022, we will only have 55 gallons of water for use in our homes per person, per day. By 2030, that amount will decrease to only 50 gallons. When a future homeowner is looking for places to live, they will choose the location that allows them to shower, do laundry, and enjoy their home freely. Unnecessary overregulation like this only hurts industries. This excessive government interference combined with infrastructure challenges, abuse of the California Environmental Quality Act, and local growth controls has significantly affected the cost of housing in California. There is no doubt that California is a great place to live. However, our manmade problems are beginning to outweigh our state’s God-given blessings. My Senate Republican Colleagues and I plan to address this crisis that has left far too many Californians out to dry. Repairing the damage done by an ineffective government starts with engaged leaders, like Mayor Goh, who work to fix the broken housing and affordability systems in California. BAKERSFIELD REALTORŽ MAGAZINE
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Photos courtesy of KEDC
Kern County Economic Summit examined ways to advance
Economic Prosperity and Innovation in Our Region
contribution by
RICHARD D. CHAPMAN
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President & CEO, Kern Economic Development Corporation
he 19th Annual Kern County Economic Summit was held on March 14 in Bakersfield. Over 400 people attended the half-day forum, hosted by Kern Economic Development Corporation, California State University, Bakersfield and the Greater Bakersfield Chamber of Commerce. This year’s program featured an informative lineup of economists and industry leaders who provided valuable information designed to educate and broaden perspectives on international, national, and regional economies and policies. The Summit also examined ways to advance economic prosperity and innovation in our growing region. California at the Crossroads: Dr. Chris Thornberg, Founder, Beacon Economics, kicked off the Summit with a presentation that touched on a wide array of topics. He predicted continued tight labor markets, moderate wage increases, stagnant inflation, and relatively low interest rates for the U.S. economy. Thornberg discussed the prevailing feeling of malaise and “miserablism” despite the nation’s relatively strong economic position. An Economic & Market Update: Charles Simonds, Managing Director, Bank of America Private Bank, echoed many of Thornberg’s sentiments about the relative strength of the U.S. and global economy. He was very impressed by Kern County’s economic diversity (a recent study ranked the Bakersfield MSA as the second-most diversified large metro in the U.S.) and believed that it bodes well for the region’s future.
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Richard Chapman
President & CEO Kern Economic Development Corporation Development Successes and Affordability Challenges: A Kern County Real Estate Update: Jordan Levine, Deputy Chief Economist with the California Association of REALTORS, was relatively bullish concerning the area’s housing market. Kern County is the only region in the state where a majority (53%) of residents are able to purchase a median-priced home, compared to the state as a whole, where only 28% can afford a median-priced home. He commented that the coastal region’s supply has drastically fallen behind consumer demand. Kern County offers a cost-competitive option for millennials and retirees alike. Fostering a Strong Entrepreneurial Culture in Kern County: A panel discussion of entrepreneurs and business development experts discussed the region’s incredible economic
vitality as well as opportunities to enhance the start up ecosystem. Kern County is primed to create the next generation of companies by focusing on enhancing commercialization and technology transfer activities. The creation of a network of accelerators/incubators will also greatly accelerate the rate that locally-generated ideas are transformed into successful enterprises. Local Economic Conditions and Trends: Richard Gearhart and Nyakundi Michieka, CSUB assistant professors of economics, presented, respectively, on the socio-economic consequences of the opioid epidemic and the findings of an economic impact study related to housing values and golf course proximity. State of the State: The keynote address was provided by the renowned journalist, Dan Walters. His prognostications for the state were more bullish in nature. Walters invoked the specter of an upcoming recession. He also highlighted significant threats (and related opportunities) to California’s competitive advantage, including tax reform, infrastructure, and soaring housing costs. The general consensus of the half-day forum was that the region’s economy is well positioned for modest growth into 2020. According to the Bureau of Economic Analysis, Kern County’s economy is growing at an impressive 3% annual rate. The Bakersfield MSA ranks in the top 20% of U.S mid-sized metros for overall job growth performance. More than 9,000 new jobs have been created over the last 12 months. Transportation/warehousing, health care services, hospitality, and the construction industries are the region’s top performers. The 20th Annual Economic Summit will be held on March 11, 2020.
While on the rise of continuously seeking excellence
CSUB is Providing a First-Rate Education
contribution by
LYNNETTE ZELEZNY, PH.D., M.B.A. President, California State University, Bakersfield
Rise.
That’s a word we use a lot at California State University, Bakersfield. It reminds us to continuously seek excellence. It’s a promise to our students and their families that the university will provide a first-rate education. It’s a pledge to future employers that CSUB will graduate an innovative and dedicated workforce for the benefit of our regional communities. And it’s a call to action for ourselves to push, strive and persevere to be the university our region demands and deserves. It is in the spirit of rising that I want to share an area of exceptional promise at CSUB. Never before has our university seen a greater demand for Science, Technology, Engineering and Mathematics (STEM) careers here in the Valley, the home of innovation in energy, agriculture, science and aerospace, among so many other fields. As our region leads the nation in solutions and advances, so, too, must CSUB. Our students certainly want to be part of that bright future. STEM majors account for 90 percent of the overall growth in the CSUB student body over the past decade. In 2018, our engineering programs received the coveted Accreditation Board for Engineering and Technology seal, a designation bestowed on programs that meet the most rigorous requirements. The accreditation puts CSUB
Lynette Zelezny,
PH.D., M.B.A.
President, California State University, Bakersfield
in another league, on par with the most elite engineering programs in the nation. That pursuit of excellence is showing up in our research labs. Of all 23 California State University campuses, CSUB ranks 4th in securing STEMrelated research grants, resources that allow our students and faculty to do amazing work that improves lives. Consider this partial list of research projects: n Soil analysis for the prevalence of valley fever n The response of plants to drought
n Energy efficiency, artificial intelligence and smart appliances But as dramatically as our program has grown, it can’t keep pace with the demand for engineering, science, agricultural and energy jobs. And so CSUB is again answering the challenge to rise. With the community’s support, we plan to build the Engineering, Energy and Innovation Building, a 60,000-square-foot powerhouse of discovery and ingenuity that will move our region forward and create a pipeline of talent to help local industries flourish and grow. We see the complex as an incubator of ideas for our students, yes, but for the wider community as well. The three-story building will greatly expand CSUB’S laboratory and classroom space, currently operating beyond capacity. State-of-theart facilities and equipment will allow students, faculty and industry professionals to work together to stake our region’s claim as a leader in cutting-edge research, and more space means the university will be able to offer additional engineering and science majors and expand our
STEM student population.
n The level of pharmaceutical byproducts in local water n Cancer research BAKERSFIELD REALTOR® MAGAZINE
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Memorial Hospital Focusing on patient quality, experience and safety
PHOTO: Bakersfield Association of REALTORS®
contribution by
KEN KELLER
the needs and concerns of all parties, which
akersfield Bakersfield Memorial Hospital’s new President and CEO Ken Keller leads an exceptional team which is working diligently to provide patient-centered, personalized healthcare to the people of Kern County; combining years of experience with a bit of Southern charm and style. If you see Ken Keller walking the halls of Memorial Hospital he will no doubt have a smile on his face, and fancy laces in his shoes. “Men have a limited opportunity within their wardrobe to make a statement, so wild socks and shoelaces are part of my colorful personality,” said Keller. Silly socks aside, Keller is serious about his role as head of Bakersfield Memorial Hospital. A native of Baton Rouge, Louisiana, Keller holds a master’s degree in Business from the Executive Program from the University of New Orleans and a bachelor’s degree in pre-medicine from the University of Southwestern Louisiana. “I had a romantic notion to go to medical school and take over my grandfather’s medical practice, but that didn’t work out,” said Keller. “It did reaffirm that healthcare was where I wanted to be.” Keller has served as the Chief Operations Officer for the hospital since 2015. He began his relationship with Memorial Hospital in 2003 as Vice President of Physician and Business Development. His wide-ranging experience on many sides of the healthcare industry has prepared him well for this new role.
Keller has been instrumental in many projects;
ultimately leads to better patient care.”
B
CEO, MEMORIAL HOPSITAL
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During his tenure at Memorial Hospital most notably the completion of the Robert A. Grimm Children’s Pavilion for Emergency Services, the launch of the new neuro critical care unit, and establishing a dedicated, permanent unit for the Grossman Burn Center. While he’s proud of those accomplishments, they’re not what he’s best known for. “I can make a mean jambalaya,” joked Keller. “I’m proud of my Southern roots and Cajun heritage. I think that’s why I like Bakersfield so much; it reminds me of where I grew up.” So what does the future hold? Keller says his aim is to provide the best
“I want to make sure we are aggressively focused on patient quality, patient experience and patient safety. We want to continue to improve and elevate our game.”
– Ken Keller
CEO, Memorial Hospital
patient experience possible. Memorial Hospital will continue to partner with skilled physicians to deliver specialized treatment tailored to patient needs. Keller says he plans to focus on strategies to extend current services and expand into new service lines that are not currently offered. “I want to make sure we are aggressively focused on patient quality, patient experience and patient safety,” said Keller. “We want to continue to improve and elevate our game.” That includes continuing Memorial Hospital’s strong community partnership and
“I tell people that I’m trilingual. I’ve been in the healthcare space for about 30 years. During
delivering on the Hello Humankindness brand. “We are the community hospital. We owe it
that time I’ve garnered experience on the payer
to the community to make sure we are going to
side, the physician side, and the hospital side,”
be here as an institution, resource, and partner
said Keller. “It gives me the ability to understand
in the coming years,” said Keller.
2019 C.A.R. President Elect
Jeanne Radsick
meets with Freddie Mac, Fannie Mae and others in Washington DC to fight for property rights
The National Association of REALTORS®, (far right) is located just three blocks north of the U.S. Capitol in Washington DC
SOURCE: www.gundpartnership.com
contribution by
JEANNE RADSICK
A
CENTURY 21 Jordan-Link & Co.
s I write this commentary, I want you to know how excited and energized I feel to be working on your behalf. Since I last reported to you, I have travelled all over the state attending various functions and meeting with members. I have been to Silicon Valley, San Jose, Santa Cruz, Contra Costa, San Francisco, Sacramento, Central Valley, Beverly Hills, LaQuinta, Napa, and of course the winter meetings in Indian Wells. Next up will be a Housing Summit in San Luis Obispo. This week I happen to be in Washington DC because each year the Leadership Team for C.A.R. goes to Washington with appointments to meet as many of our congress members as we can. We will be meeting with 31 of our congress members talking about the consequences of the SALT (State and Local Tax) Cap that was implemented with the Tax Reform Bill, and the negative impact it is having on our clients. Reducing the tax deduction amount to a flat
O U R F U T U R E B E G I N S T O D AY !
$10,000 will hit our high cost state hard. We need to continue to incentivize homeownership, and we are the advocates for all property owners. It was great talking with these leaders who value what we do and appreciate our efforts. Additionally, we will be meeting with Freddie Mac, Fannie Mae, the Mortgage Bankers Association, and HUD, where we will be discussing what needs to be done to move Fannie Mae and Freddie Mac out of receivership and back to fully functioning entities. So why is this important? We are working with our legislators and NAR staff to ensure your ability to help your clients buy and sell real property. It’s that simple, and it’s that difficult. Jump on the bandwagon and help us fight for property rights. It is something you will never regret. Please let me know if you have any questions or concerns. I hope to see you all soon!
2019 C.A.R. President Elect n Association President in 2000 n Director for the National, State
and Local Associations n Licensed Salesperson since 1987 n REALTOR® of the year in 2007 n Salesperson of the year in 1998 n 2011 Region 12 Chair n 2015 Chair of NAR MLS Policy Committee BAKERSFIELD REALTOR® MAGAZINE
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New laws and how they affect your Real Estate Business
Newton sheds light
JOE NEWTONn
JOE NEWTON
made by identifying both brokers and agents
Holding real estate agent’s license:
in the form.
C.A.R. sponsored legislation, signed by the Governor, updated many of the existing laws affecting agents and brokers.
Delivery of Copy of Listing:
It also changed antiquated or confusing laws
agree. However, be cognizant of the Code of
Under new law, the responsible broker is no longer required to hold physical possession of the employed agent’s license. Further, the individual agent is no longer required to mark out the name of their old broker on their license and write in the name of their new one when they change brokerages. When notifying the Department of Real Estate regarding licensee changes, the procedure shall follow the manner specified by the commissioner. Presently, most of the notices are performed using the eLicensing system. The DRE is currently in the process of adding broker associate affiliations to the eLicensing system, and as technology changes, the DRE may change those processes too.
contribution by
OMBUDSMAN
and clarified, where appropriate, present practices in the real estate business. Below are some of those changes.
Agency Form Changes: The new law eliminates the obligation in a “non-dual” agency transaction for the “selling agent” to deliver an agency disclosure to the seller. Also, previously there was an exemption to deliver an agency disclosure in
Under the new law, a copy of the listing must be provided to the seller “as soon as practicable” after the listing is signed. A copy may be delivered electronically where parties Ethics that is stricter and should be followed. It states in Article 9 that a copy of each agreement shall be furnished to each party signing at the time of the signature.
Delivery of the TDS, NHD Statement, agent’s visual inspection, and the buyer’s cancellation rights: The new law allows delivery of these
residential 5+ units, however, that bylaw has
documents electronically where parties agree
been eliminated to now require an agency
to conduct by electronic means. The law also
form for vacant land, mobile homes, and
states that the right to cancel can be based
ground leases, coupled with improvements in
upon the first receipt of the agent’s visual
those transactions.
inspection. It is only the listing agent’s visual
For agency confirmation, changes were
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inspection that confers this right to the buyer.
Salesperson commission agreements with other agents: Another issue affects salespersons agreeing to share compensation with other agents which is legally enforceable, however, the compensation must always be paid through the “responsible broker.”
Disclosures revised due to recent law changes
The California Association of REALTORS®
Park/Community Questionnaire
(C.A.R.) updates their forms generally in
This form asks the seller to disclose information that might not be readily available from an HOA.
response to litigation and legislation. The key dates are usually (1 January) and (1 July). Four (4) “new” forms, and Eleven (11) “revised” forms were updated in December 2018. Updates are upgraded in your “forms library”. Below is a listing of those “updates” and “new” forms issued.
FOUR NEW FORMS ISSUED: 1. Buyer pre-occupancy storage addemdum (C.A.R. Form POSA): Called the form of last resort, this form allows a buyer to store their personal property at the seller’s property prior to the close of escrow.
2. Seller common interest and Homeowners Association (HOA) Questionnaire (C.A.R. Form SCIQ): This form asks the seller to disclose information that might not be readily available from an HOA.
3. Seller Manufactured/Mobile Home
4. Summary of Offer (C.A.R. Form SUM-RIPA): This form can be attached to an income purchase agreement that would summarize some of the key terms of the offer.
ELEVEN REVISED FORMS ISSUED:
1. Bed Bug Disclosure (C.A.R. Form BBD): This gives the tenant obligation to inform the Owner/Landlord of any evidence of bed bug issues.
2. Commercial Confidentialtiy and Non-Disclosure Agreement (C.A.R. Form CML-CNDA): Added language addresses effective date of notices.
3. Homeowner Association Information Request (C.A.R. Form HOA1): Request that the HOA respond to forms HOA1 & HOA2 with statute
Continued on page 24
Due to recent law changes, there have been changes in the DISCLOSURE REGARDING REAL ESTATE AGENCY RELATIONS (C.A.R. Form AD). It revises “the content of the disclosure form to include certain information, including seller and buyer responsibilities” as well as revises “the content of the form required to confirm real estate agent relationships.” Civil Code 2079 is revised under these terms and Form AD now specifically states “Seller and Buyer Responsibilities.” These reflect the acknowledgement of the agent’s role and the buyer’s responsibilities to “exercise reasonable care” to protect themselves, “including as to those facts about the property which are known to you or within your diligent attention and observation.” The form now further states that the buyer and seller are advised to consider obtaining tax advice from a “competent professional” in relation to the potentially complex tax consequences of the transaction. Also, the cleanup language has eliminated the requirement that the form AD be delivered by the buyer’s agent to seller with an offer to purchase. There have also been some “plain English changes,” e.g. “Selling agent” is now “Buyer’s agent”, “Listing agent” is now “Seller’s agent,” and “Purchaser” is now “Buyer.” Finally, as result of law changes, when serving as a “Dual agent,” a dual agent may not, without the express permission of the respective party, disclose to the other party confidential information including facts relating to either party’s financial position, motivations, bargaining position, or other personal information that may impact price, the seller’s willingness to accept a price less than the listing price, or the buyer’s willingness to pay a price greater than the price offered...” BAKERSFIELD REALTOR® MAGAZINE
13
Maximize Your Referrals It’s still all about the relationship
LARRY KENDALL | REAL TRENDS AUTHOR OF NINJA SELLING
Why do sales associates spend billions of dollars buying leads and chasing strangers? The research is clear. Buyers and sellers prefer to work with someone they know, like, and trust. That’s why, according to REAL Trends 2018 Consumer Study, some 92 percent of consumers say they look for a referral from a friend when selecting a real estate professional. Thought-leader Simon Sinek was asked what he thought about our industry’s obsession with technology, disruption, internet leads, and e-transactions. Here’s his response: “Human beings are social animals and relationships will always win. There is a small percentage of people who want a transaction. Most want a relationship. Invest in your relationships. They are your most valuable assets.” So, back to our original question, “Why do real estate professionals spend so much time and money chasing strangers when consumers prefer a relationship?” Two reasons: 1. Because it works! Their real estate professional abandons most consumers shortly after closing. The Zillow Consumer Housing Trends Report of 13,249 consumers found that 74 percent of them never heard from their real estate professional again after closing! It’s clear most agents have a transaction focus instead of a relationship focus. Because consumers are abandoned, they are ripe for internet lead generation, capture, and conversion. Even though consumers would prefer to work with someone they know or a referral, they end up working with strangers by default. 2. Most agents are committed to providing the
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BAKERSFIELD REALTOR® MAGAZINE
five keys to maximizing referrals. Those who are committed build both a large and smart business. A smart company is a business that is sustainable in all market cycles and has a high net income per hour. In contrast, most lead generation models have a low net income per hour due to the cost of buying leads. FIVE KEYS TO MAXIMIZING YOUR REFERRALS 1. Relationship & Referral Mindset. Every person in the United States knows at least four people who will move this year. Our mission is to access and earn those referrals. You do this by building relationships instead of chasing transactions. You build relationships through the frequency of interaction. 2. Your Appearance. People will refer you if you make them look good. How you dress reflects on the person who referred you. Studies indicate that your appearance affects your income by at least 20 percent, and some studies say as much as 100 percent. Sloppily dressed agents may get the business, but they don’t get the referrals. A survey of sellers found their two biggest complaints were that the agent was late for the appointment, and the agent didn’t dress for the interview. 3. Fabled Service. Can you deliver “Wow!” Is your service memorable? Does your customer feel they are exceptional–or do they feel like they are just a transaction? They are not transactions; they are people. 4. Consistency. Do you deliver the wow consistently? Or is it by accident? Do all your customers receive the wow? Or, are you selective and only provide that level of service to high-end
clients? Agents are notorious for this, and it’s not seen in any other industry. When you check into a luxury hotel, rooms may range in price from $300 a night to $5,000 a night, but all guests are treated with the same care at the check-in desk. They are not treated differently. Do the same. A real estate friend of mine was referred to one of the richest men in the world by the man’s limo driver who had purchased a low-priced, two-bedroom condo. Even though he was buying a lower-priced home, the limo driver received the wow and told the rich man about it. As a result, my real estate friend became the go-to agent for all of the corporate executives at the wealthy man’s company—and consistently earns over $1 million a year. 5. Follow-up and Flow. Have you ever sent a referral to an agent and never heard back? Unfortunately, this is the industry standard. When you follow up, you are differentiated in our industry, and you get even more referrals. You need a follow-up system (mailings, emails, phone calls) that are driven by your calendar and keeps you in flow with your clients and referral sources. Maximizing your referrals is a simple five-step process that pays big dividends. Why don’t more real estate professionals do it? Because they would have to organize themselves and commit to their relationships. It’s easier for most of them to buy leads and chase strangers. If you follow the five steps, you’ll have all the business you can handle, you’ll build great relationships, and you’ll have a high net income per hour. You will also be so differentiated. You will be a Category of One! This article reprinted with the permission of Real Trends Inc. Copyright 2019.
Progress in addressing fiscal crisis in Kern County’s
General Fund contribution by
RYAN J. ALSOP
Chief Administrative Officer Kern County
W
e are developing the County budget for the next Fiscal Year, and I am happy to report that nearly all of the County’s General Fund structural deficit has been resolved and we continue to make progress toward fiscal stability. Our projected budget deficit in the General Fund for FY 2019-20 is $7.6 million, down from $44.5 in 2016. The remainder of that deficit will be eliminated by the end of next Fiscal Year. As has been the case the last two years, anticipated use of County reserves to address the deficit over the four-year period is $13 million less than originally projected. Discretionary revenue is projected to be relatively flat next year, increasing by only $2.7 million in additional revenue, all of which will be used to address a number of significant cost increases, including substantial increases in the cost of public safety pensions, among other things. To date, the County has reduced annual General Fund spending by $34 million across all departments, with the vast majority of those cuts coming from our non-public safety operations. Additionally, long view planning, conservative spending by departments, Launch Kern initiatives (Lean Six Sigma), contract reviews, and our hiring from within practices are
all contributing to progress. To date the County’s Launch Kern (Lean Six Sigma) program has achieved $18 million in countywide savings, with 60,000 hours saved. Nearly 1,000 county employees have been trained. Late last year, the County finalized its biggest Launch Kern project to date; reforms in our employee health benefits program to improve health outcomes for our employees, and to lower rates paid by our employees, as well as the County. With these reforms, the County will save at least $10 million annually, across all departments. The Board of Supervisors continues to prioritize public safety, particularly addressing recruitment and retention challenges within the Sheriff’s Department, which are getting progressively worse. These challenges will continue to inform decision-making on the development of the County’s budget, beyond next Fiscal Year. The Board of Supervisors recently approved increasing entry-level deputy compensation by 18.5 percent, in addition to elevating compensation for deputies who staff our jail. However, more work is to be done. While progress is being made in addressing the fiscal crisis in the General Fund, the County continues to be challenged with its Fire Fund.
The Fire Fund continues to be a drain on the General Fund, and an additional burden on other General Fund departments, such as the Sheriff, District Attorney, Probation, Parks and Libraries. Unfortunately, my office projects growth in Fire’s structural deficit to nearly $9 million, $1.2 million more than last fiscal year. Significant cost increases, driven in large part by labor, in addition to minimal on-going reductions in expenses, slow Fire’s path to fiscal stability. Our negotiations with the Fire Union, to date, have failed to produce any significant, long-term savings. As has been the case, the Fire Department’s FY 2019-20 budget will require at least a $6.5 million contribution from County General Fund reserves for pension cost escalation. By the end of next Fiscal Year, the Board of Supervisors will have drawn down nearly $30 million in General Fund reserves to balance the Fire Department’s budget. Contributions to Fire from County reserves will continue unless the structural problem is substantially addressed through spending reductions or additional revenues. A Preliminary Budget Recommendation for FY2019-20 will be presented to the Board on June 25. Budget Development Hearings will be held July 29 and 30th. A Final Recommended Budget will be presented to the Board on August 27. BAKERSFIELD REALTOR® MAGAZINE
15
THE A TEAM
DEANA WITWER
We have a special group of individuals who form a group of loyal, hard-working Affiliate Members called the A Team, who serve the Association in a variety of ways. To achieve the A Team status, the Affiliates must meet certain criteria that has been established. If you’d like to be part of this special group of Affiliate Members, the A Team, contact Deana Witwer, Affiliate Chair, at 661.377.7777 or Meghan Cooper, staff liaison, at 661.635.2300.
DAN ARDIS SUZI BEATY, VICE-CHAIR Fidelity National Home Warranty San Joaquin Valley Mortgage 661.342.9381 661.477.3906 danardis@sjvalleymortgage.com suzi.beaty@fnf.com
CHAIR Built Right Home Inspection 661.377.7777 deana@ BuiltRightHI.com
JEFF AGUILERA Right Start Mortgage 661.578.9259 jaguilera@rightstartmortgage.com www.cornerstonemortgage.com
BARBARA BOGNER North American Title 661.664.6221 bbogner@nat.com
MIKE GEORGE Agape Mortgage 661.324.2427 mikegeorge@agapemtgco.com
SHARI GEORGE Agape Mortgage 661.324.2427 sharigeorge@agapemtgco.com
MARY GONSOLUS Cali Building & Home Inspection 661.829.5810 calibuildinghomeinspections@gmail.com
LISA HOOK-ESTES Right Start Mortgage 661.301.5472 Lisa4aloan@gmail.com
CHEREYL NUNN Loan Depot 661.270.8601 cnunn@loandepot.com
JANETTE RAMSEY Janette Ramsey Insurance 661.328.9250 janette@jramseyinsurance.com
SARAH SIMMONS Home Warranty of America 661.337.0362 sarah.simmons@hwahomewarranty.com
BARBARA WELLS San Joaquin Valley Mortgage 661.703.2227 bwells@sjvalleymortgage.com
REALTORS Bringing Home The Cure ®
Passionate team gives it their all to help in the fight against cancer
What fuels our passion?? It’s personal! We find that cancer is very personal to almost everyone you meet. Someone in your family or your circle of influence has had a relative or loved one touched by this life-plundering disease! Not only is the person who has the cancer affected, but those closest to them, their caregivers, as well. This is why the Bakersfield Association of REALTORS® Charitable Foundation eagerly embraced the opportunity to sponsor the Team REALTORS® Bringing Home the Cure Cork and Craft Fundraising Event! It is our legacy event, now in its 7th year, dedicated to helping those throughout Kern County as they continue their fight for life! Our mission is bold and determined: to raise funds to help find a cure to defeat cancer… once and for all! The good news is, we’re getting closer to finding a cure… every individual, every dollar raised makes a difference, every day. This year they raised over $128,000, which will benefit two local charities: Kern County’s Campout Against Cancer and American Cancer Society Relay for Life, each serving a vital role in helping cancer patients in Kern County and all those who remain hope-filled that cancer will one day be crushed. Why do we fight? So we can celebrate those special people in our life who continue to fight and win… another day… another week… You Want
arket, you need an experienced lender elp you purchase your y.
Gary Summers Loan Officer NMLS #: 1786642
(661) 900-1912
Primary Residential Mortgage, Inc.
rsfield, CA 93301
another month. We’re fighting for you! During this spectacular event, we are blessed by the generous support of our many sponsors and donors, but most importantly our volunteers whose outpouring of generosity and tireless efforts have helped make our wine event a success year after year. Without
everyone’s support, an event of this caliber would not be possible. Thank you for joining us in this fight! Kym Plivelich, Chair Tammi Jo Marchand, Co-Vice Chair Deana Witwer, Co-Vice Chair Athena Collup, 2019 President Linda Jay, CEO, RCE
REALTORS®Bringing Home the Cure Team: Front row (l-r) Barbara Wells, Janette Ramsey, Kym Plivelich, Deana Witwer and Jessica Cruz. Second row (l-r): Jenny Mclean, Ronda Newport, Jennifer Woods, Terrye Steiner, Sheri George, Barbara Bogner, Mike Griggs, Suzi Beaty, Monica Petermann, Tammi Jo Marchand, Debi Roberson and Shelly Royal. Back row (l-r): Cindy Orloff, Kamri Roberson, Mary Gunsolus, Theresa Olson and Tina Price. Not pictured: 2019 President - Athena Collup, CEO - Linda Jay, Michelle Cooper, Alex Ephrom, Pamela Fein, Sheryl Gallion, Lizzeth Menchaca, Brie Pair and Jaime Trammell
Thank You to
Our Sponsors!
me products and services may not be available in all states. Credit and apply. This is not a commitment to lend. Programs, rates, terms and sed by the Department of Business Oversight under the California Residential 24-7764.
C R E A T I V E
/
A W E S O M E
Member FDIC
BAKERSFIELD REALTOR® MAGAZINE
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CORK & CRAFT REALTORS® BRINGING HOME THE CURE
FUNDRAISER
18
BAKERSFIELD REALTOR® MAGAZINE
BAKERSFIELD REALTOR® MAGAZINE
19
Technology changes the way Real Estate Agents do Business
20
BAKERSFIELD REALTOR® MAGAZINE
contribution by
automatically to their clients so they can
AJ BHUEE
remain on the minds of their past clients
WATSON REALTY ERA
M
and prospects.
agents need to be more and more creative to
Realist Tax, agents have the ability
ore buyers than ever are
The advancement of technology has
taking advantage of the latest
equipped real estate agents with tools such
technology and online tools to
as Realist Tax which helps agents
search for a place to call home. Real estate
connect to public records. With
stay on top of current trends and to stay in
to target homeowners who are in
front of today’s buyers and sellers.
default on their property taxes or
There is an increasing amount of resources
going through foreclosure so they
becoming available everyday to help agents
can step in, as the professional, to help
find and capture buyers and sellers. Agents are
them find solutions to these difficult
also developing their own unique ways to find
problems, whether it is selling the home or
the exact type of client that click with them, using free resources that are available to them
consumer to get to know their real estate agent
today that did not exist years ago.
before even sending the agent a text, email, or
Technology has changed the way real estate agents do every part of their job, from
phone call. Technology has not only made it easier for
prospecting for buyers and sellers, to being
real estate agents to find buyers and sellers, it
able to transact with clients on the opposite
has also made it easier for real estate agents to
side of the world with the help of smart
transact and be more efficient in their business.
phones. Services like DigitalSign (https://www.
The internet has made it possible for agents to
digitalsign.pt/en/) in ZipForms by Ziplogix,
set up follow-up plans and have software send
help real estate agents send and receive digital
resources, newsletters, and even text messages
contracts through email, eliminating the need to meet in person to sign offers and listings. The way real estate agents interact with
Member Benefits n DigitalSign
their clients has also changed. With services
www.digitalsign.pt/en/
like Facebook and Instagram, agents can find
n ZipForms
motivated buyers and sellers using Facebook’s powerful algorithm. Agents are able to target and market to the exact person that is in need of real estate services, down to the person’s income, job title, location, and anything in between. Real estate agents can now market their services, via video, to over 1.3 trillion users across the world with YouTube. YouTube allows agents to post videos that showcase the agent’s talents and specialties, and allows them to give information and video demonstrations straight into the consumer’s home. These capabilities make it a great platform for the
by Ziplogix www.ziplogix.com zipForm Pluse with zipTMS and zipVault and zipForm Standard. FREE inline and desktop electronic forms, storage, and transaction management Zipform Mobile. FREE zipForm mobile for members-.
recommending a lender partner that can help refinance the property. Another great source of data real estate agents are using is a service called REALTORS® Property Resources, or RPR, is a powerful platform that links property sales data with the MLS. RPR allows agents to see all the historical MLS data of a particular property, including pictures that were marketed on the MLS in the past. RPR can take that information, and the information of comparable home sales, and build an in-depth report for listing presentations that shows comparable homes in a nice, clean, easy to follow, well laid out report. With all the advancements in technology, it’s sometimes difficult to keep catching up, because we all know that just when we’ve become comfortable with the lastest technology, a new more effective way of the doing the same thing is introduced! It is up to the individual real estate agent to make sure that they are not just current on today’s
ZIPlOGIX Digital Ink FREE unlimited e-signatures for members.
technologies, but that they are looking to how
Forms Advisor and Forms Tutor. FREE solution for forms selection and usage instruction
ways to be in front of the curve and pave the
the current technologies can be used in creative way for future real estate agents.
ePUBS for zipForms. FREE electronic publications from C.A.R. C.A.R. Sample Legal Letters in zipForm. zipForm MLSConnect. FREE MLS data connectivity to zipForm Pulse n Realist
Tax www.go.crmls.org/realist/ n Realtors
Property Resources www.nar.realtor/realtors-propertyresource-rpr
BAKERSFIELD REALTOR® MAGAZINE
21
Don’t be left out in the
cold Start Marketing and Promoting Your Business Today!
Find the best way to actively communicate your company’s brand and marketing message directly to our members
MEMBER RATES WEBSITE Member Advertising Rates Property Search & Partners Page
$400/mo
Property Search Page
$300/mo
PARTNERSHIP LOGO Member Advertising Rates Logo on public website partnership page (with redirect to your website)
$200/ mo.
CONNECTIONS NEWSLETTER Eblast: Member Newsletter
1 time run
$60/blast
4x consec. run
$200/mo
MAGAZINE Member Advertising Rates 1/4 page
$150
1/2 page
$250
Full Page
$350
Inside Front Cover
$450
Inside Back Cover
$450
Back Cover
$550
FACEBOOK ADVERTISING Member Advertising Rates Flyer posted on our Facebook Page – Once every week*
$50/ mo Over 3,000 likes
TV ADVERTISING Member Advertising Rates Promo/Ad on our Reception TV – exclusively for Affiliate members*
$200/ mo
(Ad must be approved and adhere to TV rules
* We reserve the right to approve all ads/promos before they run on our reception TV or facebook page. Note: We will place a Non-endorsement line on your ad.
Adverstise now! Call Carol Duran at 661-635-2307 for more information.
As co-sponsors of the 7th Annual Fair Housing Conference
REALTORS Share Knowledge of Homeownership ®
contribution by
Many REALTOR® members have come from difficult beginnings and have been tremendously successful through hard work. Along the way, each of us were given the knowledge and encouragement we needed to get where we are today. By sharing what we know with others who really don’t see an opportunity, we can literally make our little corner of the world a better place. We are Bakersfield Association of REALTORS® and together I believe we can do this. If you have considered joining an Association
GLENN PORTER
A
BROKER, RE/MAX GOLDEN EMPIRE
s REALTORS®, we will be co-sponsoring the 7th Annual Fair Housing Conference, “All Roads Lead Home”, with the Greater Bakersfield Legal Assistance (GBLA). This year, this amazing event will be held at Hodel’s Country Dining. Lunch will be provided, so please join us for a fresh look on fair housing and how it impacts Kern County. You will have an opportunity to network with our community partners and inspiring speakers, while learning how you can help end discrimination. Also, this year for the first time our Diversity and Education Committees will be joining forces as REALTORS®. We plan to take what we learn and continue to work together to bring our knowledge of home ownership into the community, while affordability is still within reach. Together we can build relationships, first with “reading days” in the public schools where we can distribute the fair housing related books donated at this event. With time, we can work towards offering educational seminars where we can provide answers to those wanting to start the journey towards home ownership. Like many of you, I have the opportunity to work with numerous first time buyers and have seen the
thrill in their eyes as they walk through the door of their very first home; they have achieved the American Dream. Homeownership will provide them with equity and equity will afford the opportunity to pass wealth onto their children. It will gain better education, which in turn will produce better job opportunities, which will increase earnings, which will allow the same for generations to come. It is a big task, and it will take time, but if we don’t start soon, it may be too late. Affordability will inevitably come in to play.
committee and want to start out with a “feel good” project like “reading to small children” or “answering questions from a single mom who just wants a home for her babies”, then you should really call the Bakersfield Association office today! Let them know you want to be an “agent” of change and want to ensure fair housing by joining either the Education or Diversity Committees. At the heart of fair housing is the idea of giving ALL citizens the knowledge to have their own dream of homeownership, fair treatment in housing, and quality schools for their children. It is both a monumental task and the greatest opportunity to join hands together as REALTORS® to let the community see that we have a heart for ALL people. BAKERSFIELD REALTOR® MAGAZINE
23
Continued from page 13 The California Association of REALTORS® (C.A.R.) updates their forms generally in response to litigation and legislation. The key dates are usually (1 January) and (1 July). Four (4) “new” forms, and Eleven (11) “revised” forms were updated in December 2018. Updates are upgraded in your “forms library”. Below is a listing of those “updates” and “new” forms issued.
using the current version of the C.A.R. forms. Due to recent law changes, there have been
on the back page.
changes in the Disclosure Regarding Real
4. Residential Lease or Month-tomonth rental agreement
Estate Agency Relations (C.A.R. Form AD).
(C.A.R. Form LR): Only attachments are
include certain information, including seller
the changes.
and buyer responsibilities” as well as revises “the
5. Receipt for Reports
content of the form required to confirm real
It revises “the content of the disclosure form to
estate agent relationships.”
(C.A.R. Form RFR): Alerts buyers that reports
1. Buyer pre-occupancy storage addemdum
Civil Code 2079 is revised under these terms
issued should have their name listed as the
and Form AD now specifically states “Seller
receiver in order to have legal standing.
(C.A.R. Form POSA): Called the form of last resort, this form allows a buyer to store their personal property at the seller’s property prior to the close of escrow.
and Buyer Responsibilities.” These reflect the
6. Residential Listing Agreement
acknowledgement of the agent’s role and the
(C.A.R. Form RLA): Language added when
buyer’s responsibilities to “exercise reasonable
the sale is contingent on the seller finding a
care” to protect themselves, “including as to
replacement property.
2. Seller common interest and Homeowners Association (HOA) Questionnaire
those facts about the property which are known
7. Residential Purchase Agreement
to you or within your diligent attention and
(C.A.R. Form RPA): Now consistent with new
(C.A.R. Form SCIQ): This form asks the seller to disclose information that might not be readily available from an HOA.
Code of Ethics SOP 1-7; Change to paragraph
3. Seller Manufactured/Mobile Home Park/Community Questionnaire
(C.A.R. Form RR): Clarifies that “credits” given
observation.” The form now further states that the buyer and seller are advised to consider
E on page 10.
obtaining tax advice from a “competent
8. Request for Repair
professional” in relation to the potentially complex tax consequences of the transaction.
are in addition to those stated in the original
Also, the cleanup language has eliminated
purchase agreement.
This form asks the seller to disclose information that might not be readily available from an HOA.
the requirement that the form AD be delivered
9. Seller Response and Buyer Reply to Request for Repairs
by the buyer’s agent to the seller with an offer to purchase. There have also been some “plain
(C.A.R. Form RRRR): Revises language similar
4. Summary of Offer
English changes,” e.g. “Selling agent” is now
(C.A.R. Form SUM-RIPA): This form can be attached to an income purchase agreement that would summarize some of the key terms of the offer.
to Form RR. (C.A.R. Form SMCO): Alerts seller to NOT
Finally, as result of law changes, when
sign a second time in Paragraph 8 unless they
serving as a “Dual agent,” a dual agent may
ELEVEN REVISED FORMS ISSUED
agree to any additional counter offer by buyer.
not, without the express permission of the
11. Single Party Compensation Agreement
respective party, disclose to the other party
(C.A.R. Form SP): Form now also applies to
to either party’s financial position, motivations,
lease agreements.
bargaining position, or other personal
12. Tenant Flood Hazard Disclosure
information that may impact price, the seller’s
(C.A.R. Form BBD): This gives the tenant obligation to inform the Owner/Landlord of any evidence of bed bug issues.
2. Commercial confidentialtiy and non-disclosure agreement
JANUARY - FEBRUARY 2019
208 calls were received by our Ombudsman
80 calls were grievance/ethics complaints against agents that were resolved n
confidential information including facts relating
willingness to accept a price less than the listing
confirmation from NOT in a flood zone to IS
price or the buyer’s willingness to pay a price
in a flood zone.
greater than the price offered...”
4 grievance/ethics packages were mailed to complaining parties regarding cases that could not be resolved n
0 arbitration packages were mailed to complaining parties regarding cases that could not be resolved n
81 calls requesting information on real estate procedures
0 calls were arbitration complaints against an agent which were resolved
n
0 violations of public trust cases reported
n
n
agent,” and “Purchaser” is now “Buyer.”
(C.A.R. Form TFHD): Changes the flood zone
(C.A.R. Form CML-CNDA): Added language addresses effective date of notices.
OMBUDSMAN REPORT
“Buyer’s agent”, “Listing agent” is now “Seller’s
10. Seller Multiple Counter Offer
1. Bed Bug disclosure
n
Protection Agreement only applies if you are
(C.A.R. Form HOA1): Request that the HOA
Finally, remember that C.A.R.’s User
respond to forms HOA1 & HOA2 with statute
FOUR NEW FORMS ISSUED:
n
3. Homeowner Association information request
22 calls requesting information on deposits
n0
anonymous call
0 calls were complaints against non association members n
n
16 cases referred for Association mediation
n
2 Kern River Lake Isabella call
n
3 Tehachapi call
n
208 Year-to-date total
SUCCESS
Welcome, New Members! Your journey as a REALTOR® has just begun in making a positive impact in the lives of families in our community
new realtors ® february 2019
CONGRATULATIONS! Alex Acosta, Stratton Davis Realty; Dejiah Alexander, Watson Realty ERA; Ruben P. Baeza Jr., Cal Pro Real Estate; Lidia V. Beltran, Keller Williams Realty; Sandy E. Benites, Performance REALTORS®, Inc; Chandler M. Brown, Agentcor Realty; Lourdes Carrillo Velez, Agentcor Realty; Priscilla A. Cervantes, Stratton Davis Realty; Gerardo Diaz de Leon, Stratton Davis Realty; Oscar A. Escobar, Infinity Real Estate Services; Jeanna C. Ferguson, Realty Dimensions, Inc; Lupe Fernandez, Fernandez Realty; Lauren W. Gonzales, A & A Realty; Federico E. Gonzalez, Miramar International; Cynthia Bailey, Century 21 - Jordan Link & Co; Hagob A. Kafkadjian, Keller Williams Realty; Lee G. Kellogg, Keller Williams Realty; Carrie A. Kendrick, Keller Williams Realty; Shawna D. Kidwell, Premier Realty; Robert J. King III, Coldwell Banker Preferred, RLT; Stephanie Llanes, RE/MAX Golden Empire; Jerilyn Lodevico, Performance REALTORS®, Inc; Dinny T. Mathew, Coldwell Banker Preferred, RLT; David R. McPherson, Watson Realty ERA; Autumn L. Mitchell, Watson Realty ERA; Jason L. Mitchell, Watson Realty ERA; Mario A. Nunez Saavedra, Wise Real Estate; Jonathon Ortiz, Liberty One Real Estate Group; Shaminder Singh, RE/MAX Golden Empire; Jasmeet Singh, Miramar International-Riverwalk; Sarah Velazquez, Century 21 - Jordan Link & Co; Griselda A. Violante De Markiewitz, Agentcor Realty; Tenia J. Williams, Redfin Corporation; Brad Winward, Coldwell Banker Preferred, RLT
new realtors ® march 2019
CONGRATULATIONS! Priyanka D. Longacre, Keller Williams Realty; Carla Behill, Pac West Realty; Thomas Kelesides, Searchkern.com; Andrew Frausto, Miramar International; Marco Gonzalez, Miramar International Mill Rock; Sean Mellon, Wingate Real Estate Services; Yesenia Tucker, Ise Realty; Keman Sarao, Miramar International River Walk; Margarita Beck, Premier Realty; Michael Anderson, New Homes America; Norma Gutierrez De Bolanos, Infinity Real Estate Services; Charles W Blair Jr., Miramar International Calloway; Michelle Wilson, Stratton Davis Realty; Ricardo Corona, Platinum Real Estate Inc.; Cindy Bahaman, Keller Williams Realty; Donna Cullip, Crystal River Realty; Madison Hunt, Rozell Property Management, Inc.; Regina Csibi, Keller Williams Realty; Candice Hernandez , Frontier Real Estate Services Inc.; Kristin A Moniz, Keller Williams Realty
Opportunities Challenges &
An uncertain market creates opportunity for brokers who learned from their mistakes in previous down markets STEVE MURRAY | REAL TRENDS PRESIDENT
With the housing sales forecast for 2019 decidedly uncertain, this sets up to be a challenging year for all incumbents, regardless of their size, market, brand name or business model. The news about executive leadership changes does not affect the market overall. As to Realogy’s launch of two new brands, we think that it creates new opportunities for them to grow their franchise reach. But, just as important, their unique approach to the potential for ownership of multiple brands sets up opportunities for growth of their own franchised brokerage firms that were not there before. It also opens the door to having capital from outside the industry.
Key questions for owners n Given
that recruiting and developing talent are absolute keys to success in brokerage,
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BAKERSFIELD REALTOR® MAGAZINE
how much of your time is allocated to these areas? n Do you have a real budget and business plan for 2019? n How much time have you allocated for relationship building activities with your highest producing agents? n Do you have a system for building both vertical and horizontal communication with and among your management, staff, and agents? n How many new services, programs, etc., are you planning to launch this year? Do you have the resources of time and people to launch them well? What are you going to cease doing so as not to overload or confuse your team? n Do you have a cost reduction plan in your file for what happens if sales cool at any point?
n Do
you have a minimum of three months cash reserves or access to cash available to you? No one can say for sure what 2019 housing sales will look like, but when we examine a half-dozen forecasts, it seems that they all fall within up 3 percent in unit sales to down 4 percent or so in unit sales. So, bet on flat sales (at best), and you’ll likely be safe in your forecasts and budgets. Do remember that tight inventories and a rising number of new agents are putting downward pressure on commission rates and vigorous competition for productive agents is putting downward pressure on gross margins. Those who plan best and focus on only a few key areas will come through this rough patch in better shape than they entered it. This article reprinted with the permission of Real Trends Inc. Copyright 2019.
MLS Open Forum Can Boost Your Business
Networking and programs with valuable information for both new and seasoned agents contribution by
VANESSA HARTWIG COLDWELL BANKER PREFERRED, RLT
Who says value has to equal $$$ signs? Our members, that’s who!!! The MLS Forum is where the value is, and it all starts with you (your attendance). The first Thursday of every month, our MLS Forum provides an opportunity for our members to get engaged through networking, as well as obtain information that brings value to you and your business. The MLS Advisory Committee has worked hard to put together a great selection of programs for 2019 to provide ideas and best practices to boost your business and success! To kick off the year, we started with a presentation from our 2019 President, Athena Collup, sharing her vision for the members of the Association to “Be More” in 2019. Our March program featured Gary Crabtree providing his annual “Crabtree Report” . . .what an amazing turnout! We hope to maintain that excellent response with our programs ahead. April 4th is when Sheri Anthes will be presenting “Marketing Tips Using Words That SELL” on the MLS; The truth and nothing but the truth!” May will bring professional photographer, Adam Welch, who will provide tips and tricks on how to capture the best qualities of your listings and effectively showcase
them to attract the attention of today’s buyers. It is the goal of the MLS Open Forum to provide all our members some level of value for their business. In August, we are looking forward to having our 2019 C.A.R President-Elect, Jeanne Radsick, bring back information from the annual NAR and C.A.R. Legislative Meetings addressing the challenges facing REALTORS® and homeowners in 2019 and beyond. September is REALTOR® Safety Month, and what better way to keep our agents safe than to focus our program on “Hosting a Safe but
Successful Open House”. Even if these programs sound like a no brainer, I can assure you there will be takeaways for new and seasoned agents alike. Let’s face it, laws and rules change all the time and it is important to keep ourselves as professionals in the KNOW, equipped and valuable to our clients. These are just a few of the great programs coming up. A popular tradition of the MLS Forum is “Property Pitches”. At the conclusion of our keynote speaker’s presentation, there is always the opportunity to market your listings. This has become such a highly-requested part of the program we can’t always fit everyone’s property pitch in, so RSVP early!! We believe in having fun with your property, so bring us your most creative pitch and you could win two Starbucks gift cards. Speaking of giveaways, if you attend the MLS Open Forum five (5) times during 2019, you will be entered (sign in verification required) into a drawing for one year of paid MLS fees (Brokers eligible). The more you attend, the better your chances of winning! Our program starts promptly at 9am, but if you can make it earlier, join us at 8:30 for breakfast and networking. It is a packed program of fun and even a few surprises! So please, mark your calendar and plan on joining us! BAKERSFIELD REALTOR® MAGAZINE
27
Leading in Chaos Running a real estate firm means being flexible and steady in the face of chaos LARRY KENDALL | REAL TRENDS Author of Ninja Sellingt
Wouldn’t it be great if everything was orderly and predictable in leading a sales organization? It is precisely the opposite. Real estate transactions are complex, markets are uncertain, and the emotions of clients and sales associates make ours an unpredictable, even chaotic, industry. How do we bring productive order to our business? Here’s a simple template to bring results out of the chaos. As a leader: 1. Control the initial conditions—vision, values, systems, training, and culture. 2. Help your people self-organize for results. Let’s start by understanding chaos theory and self-organization. Chaos Theory states that within the apparent randomness of chaotic, complex systems, there are underlying patterns and self-organization that occur based on the initial programming known as sensitive dependence on initial conditions. In other words, as leaders, we need to control the initial conditions. Secondly, we need to help our people self-organize for results. EXAMPLE OF CHAOS THEORY New York City does not produce any food, yet everyone gets fed, and they have some of the most celebrated restaurants in the world. There is no Minister of Food directing everyone on how to feed one of the world’s largest cities. New Yorkers self-organize to do it. Not all systems lend themselves to self-organization, however. While New Yorkers can self-organize their food, it is doubtful that they can do it with transportation. Some systems require central control. As a leader, one of your success keys is
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BAKERSFIELD REALTOR® MAGAZINE
knowing whether your industry and company are designed for self-organization or central control. SELF-ORGANIZATION Self-organization, also called spontaneous order, is a process where some form of overall order arises from local interactions between parts of an initially disordered system. Given the decentralized nature of real estate sales, we are in a chaotic industry that lends itself to self-organization. Let’s look at sports as an example. The slower, more deliberate sports, such as baseball and football, work better with command and control systems from the coaches. Football is almost a military-style operation with offense and defense. The teams “take ground” as the coaches call plays. In contrast, the speed and fluidity of hockey and basketball are more chaotic and are most suited for selforganization. The complexity and decentralized nature of real estate sales suggest our industry is more like hockey or basketball than baseball and football. One of the very best at leading in chaos was John Wooden, head basketball coach of UCLA and winner of a record 10 NCAA championships in 12 years. His teams won seven in a row! Coach Wooden’s focus on preparation (down to how to tie your shoes) is legendary. He knew he could control the initial conditions but once the game started and the chaos begins, his players would need to take control and self-organize to win. As part of his initial conditions, Coach Wooden focused on three success keys. 1. Mindset. How do I motivate our players to practice, play hard, and want to win?
2. Skillset. What skills do they need to learn for them to be successful? 3. Action. How do I get them in shape to play 100 percent full on and put their skills into action? Players who were not willing to follow these initial conditions were invited off the team. With this preparation (initial conditions), Coach Wooden knew his players would handle the chaos and self-organize to win. If you watched Coach Wooden on the bench, he was very calm—seldom standing and very rarely talking to the referees. He had done his work before the game started. Now it was up to his players on the court. He knew his players would have to adjust and respond to the chaos of the game. He seldom substituted or called time-out as he didn’t want to break their focus. What are the lessons from Coach Wooden for us as leaders of sales organizations? 1. Focus on preparation versus trying to manage the chaos. Specifically, train your sales associates to develop their mindset, skillset, and actions. 2. Encourage your associates to self-organize and figure out how to be successful. When the game starts, you will not be with them. They will have to respond to the uncertainties of the situation creatively. Again, proper preparation will help them. 3. Keep them focused on the mission. Avoid distracting them with the latest shiny object— especially technology. Focus on preparation of your associates’ mindset, skillset, and actions, and then let them play. You will build a championship team. This article reprinted with the permission of Real Trends Inc. Copyright 2019.
Website Accessibility
Lawsuits Soared in 2018 What are you doing to make your website more accessible? You better do something, or you may have to face a lawsuit. SUE JOHNSON | REAL TRENDS Strategic Alliance Consultant
T
hanks to a 2017 decision by the Department of Justice (DOJ), legal challenges over website accessibility for disabled individuals are a rising
threat to companies with an internet presence. The federal law governing website
accessibility is Title III of the Americans with Disabilities Act (ADA), enacted to prevent discrimination against people with disabilities in places of “public accommodation” such as offices, retail outlets, and events. Passed in 1990, before the advent of the Internet, the law says nothing about websites. However, the DOJ has made it clear that it considers a company’s website to be a place of “public accommodation” subject to the
Then, in December 2017, the DOJ
noted that its statistics do not even include
withdrew all pending ADA Title III
the number of filings under state anti-
rulemakings, saying that it is evaluating
discrimination laws, which it does not track.
how best to address the availability of nextgeneration services that provide text, pictures, and video capabilities. In this regulatory void, the number of website accessibility lawsuits filed by the plaintiff’s bar and disabled advocacy groups against private companies has skyrocketed. THE FUNDAMENTAL FACTS According to the law firm of Seyfarth Shaw, the number of ADA Title III lawsuits filed in federal court in 2018 hit a record high of 10,163–up 34 percent from 2017 and triple the number of cases filed in 2013. California, New York, and Florida led the pack by a wide margin as the states with the most Title III
Actual and potential defendants include companies across the whole range of industries. The law firm of Ballard Spahr recently reported accessibility claims against mortgage websites that allegedly hinder disabled individuals from accessing applications and other online content. The National Association of Federal Credit Unions (NAFCU) said that hundreds of credit unions in 26 states received demand letters in 2017-2018 from law firms representing disabled clients who allegedly could not access the credit union’s website. The National Association of Realtors® (NAR) has noted that letters to real estate brokerages
ADA, and it announced in 2015 that it would
lawsuits, with Texas, Georgia, Pennsylvania,
from law firms threatening website accessibility
propose website accessibility standards under
Arizona, Massachusetts, New Jersey, and
litigation are plentiful.
Title III by 2018.
Alabama making the top ten. Seyfarth Shaw
Continued on page 30 BAKERSFIELD REALTOR® MAGAZINE
29
Continued from page 29 WHAT’S AT STAKE? Plaintiffs cannot sue for monetary damages under the ADA, but they can seek a court order requiring the company to redesign its website. The court’s ruling for plaintiffs typically need businesses to implement the Web Content Accessibility Guidelines (WCAG) 2.0, Level AA, a universally accepted set of guidelines for accessible online content. Plaintiffs also can seek reimbursement of attorneys’ fees. Seyfarth Shaw says that a majority of federal courts have not been willing to grant early motions to dismiss, and advises that defendants who are unwilling to settle should prepare to go through discovery and summary judgment, if not a trial.
Circuit Court of Appeals in Robles v. Domino
article written in the aftermath of the Dunkin
Pizza, which found that Domino’s has been
Donuts case concluded that “[t]he arguments
on notice of DOJ’s position that its website
available to businesses seeking to dispose of
must effectively communicate with disabled
website accessibility claims at the outset of
customers since 1996. The court also found
litigation as a matter of law are dwindling,
that the district court erred in applying the
which may result in opportunistic plaintiffs’
“primary jurisdiction” doctrine, under which
attorneys filing even more claims regarding
courts do not decide cases where enforcement
website accessibility.”
agencies with particular expertise should
REDUCE LEGAL RISKS
LEGAL DEFENSES ARE DWINDLING
v. Dunkin’ Donuts) have taken the position
Many defendants have filed motions to dismiss based on a denial of due process, pointing to the lack of DOJ regulatory guidance. Some district courts have agreed. This argument was rejected in January 2019 by the Ninth
weigh in first.
Given this recent spike in lawsuits, it’s
Some district courts also have dismissed
advisable to assess your website’s compliance
website accessibility cases in which the
with Title III of the ADA now, with the
plaintiff has not alleged that barriers on the
assistance of legal counsel experienced in
website impeded access to an actual physical
website accessibility issues. Not only can
place. But appeals courts in recent cases
you reduce your legal risks, but you will be
(like the Ninth Circuit in Domino’s and the Eleventh Circuit Court of Appeals in Haynes that the ADA is not limited to tangible barriers that disabled persons face but can extend to intangible barriers, such as online services of a physical location. A January 2019 National Law Review
accommodating a potentially valuable segment of the marketplace. Sue Johnson is the former executive director of RESPRO, the Real Estate Services Providers Council Inc. She retired in 2015 and is now a strategic alliance consultant. This article reprinted with the permission of Real Trends Inc. Copyright 2019.
COLLEGE SCHOLARSHIPS
We’re here to help defer the high cost of college. Apply today! Our Association champions the pursuit of higher education, because education impacts every part of our community. The Scholarship Trust Fund offers qualified students from a Kern County high school, community college or university an opportunity to apply for scholarship funds.
Priority consideration is given to those who are pursuing a course of study in real estate or a related field at the college or graduate level; however, all students who meet the qualifications are invited to apply.
GENERAL INFORMATION Scholarships are considered once a year. This year applications are
due by May 2nd at 5pm. Former recipients are invited to re-apply.
QUALIFICATIONS Applicants
must be a graduate of a Kern County high school or a student/ graduate of a Kern County community college or university. Visit our website for more information and to download the application.
APPLICATIONS AVAILABLE ONLINE: www.bakersfieldrealtor.com/about-us/scholarships.html
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BAKERSFIELD REALTOR® MAGAZINE
update
The Real Estate Version
DAVID SIROTY | REAL TRENDS
Influencer Marketing
Influencer marketing has been around seemingly forever; yet, most real estate professionals have been slow to leverage this particular resource fully. Back when I first entered into marketing and public relations, it was normal for companies to hire spokes-people. We would find—and pay—well-known celebrities or industry experts who would ultimately mention our product or services in their appearances. Once they were adequately trained on how to weave in a mention or two about us effortlessly, we would pitch our spokespeople to a wide variety of TV and radio shows. As they spoke about their current movie, show, team or research project, we had our fingers crossed that they would get us into every interview. The same game was played in fashion where companies loved the opportunity to dress a celeb or brands provided a sports figure with a hat or t-shirt to wear.
Those with followers carry weight And now we have evolved to the Kardashian era. Those with followers carry weight. That’s why they’re known as influencers. Companies look to identify major stars and niche players who have large followings. These firms then work with the influencer on the type of content they’re looking for them to generate. Essentially, a mention, post,
or blog talking up a product or service should ring the bell, drive traffic and hopefully sales.
But it doesn’t always haven to involve major stars. I know of a food prep company that specializes in making and shipping pre-cooked meals targeting those who love bodybuilding. The company finds fitness stars with large social followings and provides them with free meals in return for social media posts. Each influencer gets a code, so when they post and offer their followers a discount if they use the code, the company sees how many of the influencer’s followers actually followed through with a purchase.
Influencer marketing works Influencer marketing works, but not in the way we’ve been used to it working. From a brokerage perspective, you want as many people as possible in your area to know about the company, your agents’ abilities, and listings. So, who can be your influencers?
I believe it’s your agents. They’re in the people business and should have amassed quite a few followers on their social feeds. While they likely have the numbers, most have proven to be relatively unskilled in crafting content that breaks through and engages. And, let’s face it, those who post a series of listings
are essentially spamming unless they do so in creative ways. Instead, what if you approached your agents as legitimate influencers? Let them amass the crowd, and you provide the content. Brokerages can create a wide variety of shareable information from graphics to blogs and teach the agents how to share and engage with their sphere of influence. The brokerage wins through increased exposure, and the agent benefits by having valuable content that can engage far beyond what they have been previously able to do. All of a sudden, those firms who might be struggling to get an engagement at the company level, now get it through their influencer program. And the best part is that you didn’t have to pay millions to Kim, Khloe, Kourtney, and the gang. David Siroty has spent 30-plus years in marketing and communications, the last 15 in real estate. He launched Imagine Productions, a marketing and communications consultancy focused on assisting real estate brokerages, in December 2016 after 13 years leading global communications for Coldwell Banker. He can be reached at david@imagineprstrategy.com. This article reprinted with the permission of Real Trends Inc. Copyright 2019. BAKERSFIELD REALTOR® MAGAZINE
31
LOCAL NUMBERS YOU NEED TO KNOW
INDUSTRY STATISTICS
2018 Compared to 2019 by MLS Area
state of the
HOUSING MARKET 2019 YEAR-OVER-YEAR STATS Area
Dollar Value
# Sold
Average Sold Price*
% of List Price*
DOM*
2019
2018
2019
2018
2019
2018
2019
2018
2019
2018
10
41
51
$7,229,924
$8,969,499
$182,103
$178,760
49
44
98.49
96.56
21
31
33
$3,813,740
$3,076,300
$123,901
$103,056
49
32
97.22
95.56
22
27
40
$6,861,650
$7,057,870
$254,135
$179,638
46
29
98.83
99.08
23
6
7
$2,551,000
$1,737,000
$425,167
$248,143
42
45
94.48
100.42
31
35
47
$5,731,577
$7,390,700
$164,488
$157,249
44
64
95.76
97.41
32
86
113
$15,666,889
$21,111,055
$199,059
$205,941
50
44
97.75
98.86
33
44
36
$9,725,299
$8,777,189
$246,350
$243,811
60
52
98.10
98.21
34
14
11
$4,396,400
$3,976,000
$314,029
$361,455
78
97
98.12
97.30
41
25
27
$3,971,069
$3,531,500
$160,149
$134,558
33
35
97.34
100.30
42
21
18
$3,828,350
$3,131,900
$180,568
$180,112
44
41
94.17
97.96
43
2
5
$535,000
$681,900
$267,500
$145,475
53
34
92.24
86.88
51
87
96
$14,086,658
$15,409,042
$174,098
$165,770
36
39
97.93
98.59
52
198
243
$45,568,544
$54,148,332
$244,162
$240,055
38
39
98.77
98.84
53
104
148
$32,227,034
$47,453,992
$316,454
$323,908
37
52
98.26
98.19
54
2
2
$764,000
$767,000
$382,000
$383,500
47
22
98.30
96.97
61
36
29
$11,085,232
$8,337,850
$309,087
$287,512
46
33
99.50
99.08
62
190
166
$56,925,550
$50,020,240
$302,383
$301,327
47
44
98.44
98.63
63
68
72
$25,768,212
$27,017,302
$383,839
$375,328
51
38
98.71
98.76
64
3
3
$1,129,000
$875,000
$376,333
$335,000
71
138
98.84
93.73
65
1
3
$321,200
$927,175
$321,200
$309,058
23
36
97.63
99.67
80
33
45
$11,417,900
$11,841,340
$348,091
$269,667
88
60
97.68
97.52
81
1
7
$220,000
$2,119,000
$220,000
$335,667
506
196
91.70
90.28
82
3
5
$435,500
$731,000
$70,000
$204,167
104
177
85.37
96.23
83
3
9
$647,000
$1,160,301
$215,667
$138,471
54
59
95.88
98.56
84
1
1
$390,000
$465,000
$390,000
$465,000
40
47
97.74
95.88
85
3
3
$950,900
$1,259,000
$419,450
$464,500
95
63
101.10
94.80
91
11
9
$1,777,000
$1,181,300
$161,545
$149,329
40
58
96.72
97.39
92
0
0
$0
$0
$0
$0
0
0
0.00
0.00
93
0
0
$0
$0
$0
$0
0
0
0.00
0.00
94
2
1
$203,500
$140,000
$98,500
$140,000
17
29
87.56
93.65
95
33
40
$6,853,200
$8,751,250
$207,673
$218,781
51
55
100.04
97.95
96
42
32
$4,182,950
$3,101,250
$100,023
$97,183
45
58
96.83
97.32
98
31
37
$6,130,300
$6,945,400
$197,752
$187,714
36
47
95.43
97.20
99
37
36
$12,737,395
$8,379,950
$353,379
$239,774
62
58
96.89
96.22
* Figures from Single Family Homes Only. Statistics were run on March 18, 2019.
The numbers tell the story 199,999 or
Active, Pending and Sold - All Areas 1,800
1,600
January
Ran on 9/17/2018
1,600
1,400 2019
1,200
Price 2019
1,400
Class YTD 2018
Active 2018
1,200
600
600
Contingent & Pending Sold Total Volume Median Sales Price * Average DOM *
400
400
Bakersfield Only
200
200
0
0
2018
1,000
1,000
800
800
ACTIVE
CONTINGENT
PENDING
JANUARY All 1,800 Areas January
2019
2018
SOLD
% Year over Year Change
ACTIVE
CONTINGENT
PENDING
FEBRUARY February All Areas February
2019
2018
Price Class YTD 2018 Active SOLD Pending Sold Total Volume Median Sales Price * Average DOM * % Year over Year Change
1,450
1,486
-2.4%
Active
1,463
1,589
-7.9%
Contingent
158
203
-22.2%
Contingent
214
244
-12.3%
Pending
702
737
-4.7%
Pending
854
898
-4.9%
Sold
476
507
-6.1%
Sold
462
507
-8.9%
1.7%
Total Volume Closed
Active
Total Volume Closed Median Sales Price * Average DOM *
$116,383,663 $114,401,332 $235,000
$220,000
6.8%
Median Sales Price *
46
48
-4.2%
Average DOM *
Bakersfield January
2019
2018
January Contingent
1,450 2019 158
1,486 2018 203
702 403 476 $100,591,463
737 416 507 $96,431,992
-2.4% % Year over Year -22.2% Change
Bakersfield Only
Pending Sold Sold Total Volume Closed
Total Volume Median SalesClosed Price * Median * AverageSales DOM Price * Average DOM *
$116,383,663 $114,401,332 $245,000 $228,623 $235,000 $220,000 44 45 46 48
-4.7% -3.1% -6.1% 4.3%
1.7% 7.2% 6.8% -2.2%
-4.2%
$233,000
2.6%
49
48
2.1%
February
2019
2018
% Year over Year Change
February Contingent
1,463 2019 214
1,589 2018 244
-7.9% % Year over Year -12.3% Change
Active Pending Sold Sold Total Volume Closed
Total Volume Median SalesClosed Price * Median * AverageSales DOM Price * Average DOM *
2019
2018
% Year over Year Change
February
403
416
-3.1%
Sold
Total Volume Closed
$100,591,463
$96,431,992
4.3%
Total Volume Closed
Median Sales Price *
$245,000
$228,623
7.2%
Median Sales Price *
44
45
-2.2%
Average DOM *
Average DOM *
$239,000 45 49
$233,000 45 48
-4.9% -9.7% -8.9% -9.5%
-6.3% 2.3% 2.6% 0.0% 2.1%
Bakersfield uses the following Zip Codes: 93301, 93302, 93303, 93304, 93305, 93306, 93307, 93308, 93309, 93310, 93311, 93312, 93313, 93314.
Bakersfield Only
Sold
854 898 383 424 462 507 $92,304,507 $101,971,457 $111,598,757 $119,092,058 $242,500 $237,000
* Figures from Single Family Homes Only. Statistics were run on March 18, 2019
* Single Family Only
January
-6.3%
$239,000
Bakersfield % Year over Year Change
Active
$111,598,757 $119,092,058
2019
2018
% Year over Year Change
383
424
-9.7%
$92,304,507 $101,971,457 $242,500 45
-9.5%
$237,000 2.3% BAKERSFIELD REALTOR® MAGAZINE 45
0.0%
33
Many Questions with few Answers
Real estate is moving at the speed of light. What do these changes mean to you?
T
STEVE MURRAY | REAL TRENDS PRESIDENT
he year started with some big surprises at the top of the real estate leadership ladder. Nick Bailey stepped down at CENTURY 21; John Davis stepped down from Keller Williams Realty, Ron Peltier changed roles at Berkshire Hathaway HomeServices. There were other senior management changes, as well, including the departure of Mike Ryan and Pete Crowe from RE/MAX International. Adding to these changes, just before the end of the year, Realogy announced two new brands, Corcoran and Climb. Then, one of the most aggressive new firms of the last few years, Compass, announced that it’s likely they would not be entering new markets in 2019 (at least in the United States) but would focus more on the continuation of building market share in the markets they are in and getting their technology platform more fully developed. HOW WILL THIS AFFECT MY BUSINESS? We have fielded dozens of calls from brokerage leaders as to what underlies all of these changes all within 60 days of each
34
BAKERSFIELD REALTOR® MAGAZINE
other. Generally, the questions fall into one of two categories: Is there something we should know about the background of these changes? And, will this affect the way business will be done in the future? Along with this question, of course, is how it might affect our business prospects.
markets will have a significant impact on
INSIGHT We don’t have any more clarity about the executive changes than anyone else outside a small circle of the executives involved in the decisions. What we can say with some certainty that, in most cases, the changes will not have any earth-shattering effects on the industry. Gino Blefari will become more involved with a broader range of issues at Berkshire, Gary Keller stepped back in as CEO and elevated Josh Team to be the president of Keller Williams. Michael Miedler has assumed Bailey’s role at CENTURY 21 moving up from a senior position with the company. Ryan, who was with RE/MAX for over 24 years, will now serve in an advisory role. Robert Reffkin’s announcement that Compass was not going to enter new
at building their business in more than
some brokerage firms’ business prospects in 2019. Brokers in markets that Compass hasn’t entered may be breathing a sigh of relief. Those in markets where Compass has established their brokerage can’t see this as positive. Compass has proven to be effective two dozen major markets and, according to Reffkin, they will continue to focus on building larger market shares. Our answer to brokers in the markets Compass is in, and many others is that Compass is not the only aggressive recruiter of agents out there. Realty One Group, JP and Associates, HomeSmart, eXp and a handful of others are still very much in the hunt for growth through agent recruiting with low-cost agent business models. Whether the changes at the top of national firms are exciting to you or not, you will need to take them into account in your 2019-2020 planning. This article reprinted with the permission of Real Trends Inc. Copyright 2019.
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