Salt Lake
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Maga zine November 2014
First-time Buyers at Lowest Point in Nearly 30 Years p. 22 The Unwritten Rules of Professionalism p. 12 Helping Home Buyers be Successful p. 30
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NMLS (Nationwide Mortgage Licensing System) ID 2611 • AL - Lic# 21566 • AK - Lic#AK2611 • AR - Lic#103947 - Guaranteed Rate, Inc. 3940 N Ravenswood, Chicago IL 60613 866-934-7283 • AZ - Guaranteed Rate, Inc. - 14811 N. Kierland Blvd., Ste. 100, Scottsdale, AZ, 85254 Mortgage Banker License # BK-0907078 • CA - Licensed by the Department of Business Oversight, Division of Corporations under the California Residential Mortgage Lending Act Lic #4130699 • CO - Guaranteed Rate, Inc. Regulated by the Division of Real Estate, 773-290-0505 • CT - Lic #17196 • DE - Lic # 9436 • DC - Lic #MLB 2611 • FL - Lic# MLD1102 • GA - Residential Mortgage Licensee #20973 - 3940 N. Ravenswood Ave., Chicago, IL 60613 • HI - Lic#HI-2611 • ID - Guaranteed Rate, Inc. Lic #MBL-5827 • IL - Residential Mortgage Licensee - IDFPR, 122 South Michigan Avenue, Suite 1900, Chicago, Illinois, 60603, 312-793-3000, 3940 N. Ravenswood Ave., Chicago, IL 60613 #MB.0005932 • IN - Lic #11060 & #10332 • IA - Lic #2005-0132 • KS - Licensed Mortgage Company - Guaranteed Rate, Inc. - License #MC.0001530 • KY - Mortgage Company Lic #MC20335 • LA - Lic #2866 • ME - Lic #SLM11302 • MD - Lic #13181 • MA - Guaranteed Rate, Inc. - Mortgage Lender & Mortgage Broker License MC 2611 • MI - Lic #FR0018846 & SR0018847 • MN - Lic #MN-MO 20526478 • MS - Guaranteed Rate, Inc. 3940 N. Ravenswood Ave., Chicago, IL 60613 - Mississippi Licensed Mortgage Company, Lic # 2611 • MO - Guaranteed Rate Lic # 12-1744-A • MT - Lic# 2611 • Licensed in NJ: Licensed Mortgage Banker - NJ Department of Banking & Insurance • NE - Lic #1811 • NV - Lic #3162 & 3161 • NH - Guaranteed Rate, Inc. dba Guaranteed Rate of Delaware, licensed by the New Hampshire Banking Department - Lic # 13931-MB • NM - Lic #01995 • NY - Licensed Mortgage Banker - NYS Department of Financial Services- 3940 N Ravenswood, Chicago, IL 60613 Lic # B500887• NC - Lic #L-109803 • ND - Lic #MB101818 • OH - Lic #MB0804160.000 & Lic #SM.501367.000 - 3940 N. Ravenswood Ave., Chicago, IL 60613 • OK - Lic # MB001713 • OR - Lic #ML-3836 - 3940 N. Ravenswood Ave., Chicago, IL 60613 • PA - Licensed by the Pennsylvania Department of Banking and Securities Lic #20371 • RI - Rhode Island Licensed Lender Lic # 20102682LL, RI - Rhode Island Licensed Loan Broker Lic # 20102681LB • SC - Lic #-MLS - 2611 • SD - Lic# ML.04997 • TN - Lic #109179 • TX - Lic # 50426 & Lic # 47207 • UT - Lic #7495184 • VT - Lic #2611-1 & 0930 MB • VA - Guaranteed Rate, Inc. - Licensed by Virginia State Corporation Commission, License # MC-3769 • WA - Lic #CL-2611 • WI - Lic #27394BA & 2611BR • WV - Lic #ML-30469 & MB-30098 • WY - Lic#2247
Mike Krause
801-949-5883 | mkrause@bhhsutah.com
“I have built my business over the past twenty years on the principals of professionalism, integrity and ethics. I have found Berkshire Hathaway HomeServices Utah Properties to be a fantastic partner in fostering those principals. The local ownership and staff are committed to building long term relationships that help me build my referral network and providing the tools that help me communicate effectively with my clients. It is a joy to be associated with a nationally recognized brand that is truly interested in helping me succeed.”
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801-860-1077 | monique.sold@gmail.com
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801-860-2049 | Rkkt@aol.com
“Berkshire Hathaway HomeServices Utah Properties is an incredible company to work with. From their technology and marketing platforms to their supportive administrative staff, they give me the right tools and support I need to be the best real estate professional I can be to help meet and exceed my client’s needs and expectations.”
The Sign of Confidence. Get to know us at: BHHSUtah.com © 2014 BHH Affiliates, LLC. An independently owned and operated subsidiary of HomeServices of America, Inc., a Berkshire Hathaway affiliate, and a franchisee of BHH Affiliates, LLC. Berkshire Hathaway HomeServices and the Berkshire Hathaway HomeServices symbol are registered service marks of HomeServices of America, Inc. Equal Housing Opportunity.
Casino Night – A Big Success. p. 10
Table of Contents Features 10 Casino Night – A Big Success 12 12 Unwritten Rules That Make You a Professional Craig Hawker
14 16 Things You Can Do Right Now to Maximize Your Listing’s Exposure Stacie Staub
18 Nine Reasons People Love to Work With You Jeff Haden
22 First-time Buyers Fall to Lowest
Point in Nearly 30 Years The National Association of Realtors®
30 Helping Utah Homebuyers
to be Successful Kara Hetrick Community Development Corp. of Utah
Columns 7 The Unwritten Rules That Distinguish a Professional Angie Domichel Nelden – President’s Message
Departments 8 Happenings 8 In the News 26 Housing Watch Q3 28 Realtor® Connections 28 On the Move
On the Cover:
Barn near Heber City, Utah Photo: Dave Anderton Photo left: Zion National Park Image licensed by Ingram Image
This Magazine is Self-Supporting
Salt Lake Realtor® Magazine is self-supporting. The advertisers in this magazine pay for all production and distribution costs. Help support this magazine by advertising. For advertising rates, please contact Mills Publishing at 801.467.9419. The paper used in Salt Lake Realtor® Magazine comes from trees in managed timberlands. These trees are planted and grown specifically to make paper and do not come from parks or wilderness areas. In addition, a portion of this magazine is printed from recycled paper.
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November 2014 volume 74 number 11 The Salt Lake REALTOR® (ISSN 2153 2141) is published monthly by Mills Publishing, located at 772 E. 3300 South, Suite 200 Salt Lake City, Utah 84106. Periodicals Postage Paid at Salt Lake City, UT. POSTMASTER: Send address changes to: The Salt Lake REALTOR,® 772 E. 3300 South, Suite 200 Salt Lake City, Utah 84106-4618.
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President Directors Managing Editor Angie Domichel Nelden Dave Anderton Cheryl Acker Coldwell Banker Residential
At Home Realty
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M. Brock Andersen First Vice President Georgia Cuthbert Prudential Utah Real Estate Dave Robison Communications Committee Jared Booth Robison & Co. Coldman Banker Lori Lee – Chairwoman Annie Hedberg – Vice Chairwoman Tom Colemere Second Vice President Colemere Realty Publisher Troy Peterson Inc.Linda Geer Equity Real Estate Mills Publishing,Coldwell Banker Residential www.millspub.com Shirley Jacobson President Sales StaffReal Estate Treasurer Windermere Miller Paula Bell Adam Dan Kirkham Lisa Jungemann Kirkham Real Estate Bill LinesReal Estate Windermere Office Administrator Karen Malan Cynthia Bell Snow Tony Ketterling Paul Nicholas Past President Equity Real Estate Art Director Don Nothdorft Dave Frederickson Mike Morgan Jackie Medina Keller Williams Keller Williams Administrative Assistant Magazine Designer ChloéMichael Herrman Rowe Erin Tripp CEO Prudential Utah Real Estate Office Assistant Curtis Bullock Graphic Design SharonSnow Spratley Jessica Prudential Utah Real Estate Erin Tripp Ken Magleby Patrick Witmer Advertisinginformation informationmay maybe beobtained obtainedby bycalling calling Advertising (801)467-9419 467-9419ororby byvisiting visitingwww.millspub.com www.millspub.com (801)
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L
ast year the National Association of Realtors® celebrated the 100th anniversary of the Realtors® Code of Ethics. The code spells out the professional responsibilities and expectations of Realtor® members to their clients, customers, fellow Realtors® and the general public. The centennial milestone is central to the value that Realtors® have been bringing to home buyers, sellers and investors as they achieve their real estate goals. All Realtors® must take comprehensive training on the Code of Ethics, which has been amended 37 times and is considered a living document that protects sellers, buyers, landlords, tenants and others who place their trust in Realtors®.
At Home Realty
First Vice President Publisher Jillinda Bowers Purdential Utah Donna PozzuoliMills Publishing, Inc. Daniel Christensen Prudential Utah www.millspub.com
Sales Staff Chief Executive Officer Paula Bell Bryan Kohler Karen Malan Paul Nicholas
The Unwritten Rules That Distinguish a Professional
Salt Lake Board: (801) 542-8840 Salt Lakee-mail: dave@saltlakeboard.com Board: (801) 542-8840 e-mail: dave@saltlakeboard.com Web Site: www.slrealtors.com Web Site: www.slrealtors.com The Salt Lake Board of REALTORS® is pledged to the letter and spirit of U.S. policy ® for the equal housing opportunity the nation. We The Saltachievement Lake Board ofofREALTORS is pledged to thethroughout letter and spirit of U.S. policy encourage and support the affirmative advertising throughout and marketing for the achievement of equal housing opportunity the program nation. Wein which thereand are support no barriers obtaining advertising housing because of race, color, religion, encourage thetoaffirmative and marketing program in sex, handicap, familial or national origin. which status, there are no barriers to obtaining housing because of race, color, religion, sex, handicap, familial status, or national origin. The Salt Lake REALTOR® is the monthly magazine of the Salt Lake Board of REALTORS®. Opinions ® persons quoted in articles are their own and do not necessarily expressed by writers is the monthly magazine of the Salt Lake Board of REALTORS®. Opinions The Salt Lake REALTORand reflect positions of theand Saltpersons Lake Board of REALTORS expressed by writers quoted in articles®. are their own and do not necessarily reflect positions of the Salt Lake Board of REALTORS®. Permission will be granted in most cases, upon written request, to reprint or reproduce articles well and photographs this issue, provided proper is given to The Salt Lake REALTOR®, as Permission will beingranted in most cases, uponcredit written request, to reprint or reproduce articles ® as any writers and photographers whose names appear withtothe andREALTOR photographs. , as well andtophotographs in this issue, provided proper credit is given Thearticles Salt Lake While unsolicited original manuscripts and photographs related to the real estate profession as to any writers and photographers whose names appear with the articles and photographs. are welcome, no payment is made for their in the publication. While unsolicited original manuscripts and use photographs related to the real estate profession are welcome, no payment is made for their use in the publication. Views and opinions expressed in the editorial and advertising content of the The Salt Lake ® ® not necessarily by theand Saltadvertising Lake Board content of REALTORS REALTOR Views andare opinions expressedendorsed in the editorial of the. However, The Salt Lake advertisers do not make publication of this magazine so consideration products and necessarily endorsed by the Saltpossible, Lake Board of REALTORS®.ofHowever, REALTOR® are services listed greatly appreciated. advertisers doismake publication of this magazine possible, so consideration of products and services listed is greatly appreciated.
In addition to the Code of Ethics, being a professional Realtor® involves a number of unwritten rules and common courtesies. In this month’s magazine, Realtor® Craig Hawker outlines 12 unwritten rules that distinguish a professional from an amateur. Are you meeting the test? In 1908, the National Association of Real Estate Exchanges was founded in an effort to standardize real estate practices; the entity later became the National Association of Realtors®. The organization’s original goals were to establish ethical standards, allow for the exchange of real estate information and statistics, and to develop sound public policies on real estate matters. On July 29, 1913, the revolutionary Realtor® Code of Ethics was adopted. Not all real estate licensees are Realtors®. There are currently more than 1.84 million active licensed real estate professionals in the U.S.; 1 million are members of NAR and can call themselves Realtors®. NAR membership separates Realtors® from real estate agents who do not subscribe to a code of ethics or have access to the educational, business and market information advantages of their Realtor® counterparts. It is my hope that we carry and conduct ourselves worthy of the Realtor® name and adhere to the unwritten rules that distinguish a professional.
Angie Domichel Nelden 2014 President
OFFICIAL PUBLICATION OF THE OFFICIAL PUBLICATION OF THE SALT LAKE BOARD OF REALTORS ®® SALT LAKE BOARD OF REALTORS REALTOR is a registered mark which identifies a professional in real estate who subscribes ®
® . toREALTOR a strict®Code of Ethics asmark a member of the NATIONAL ASSOCIATION REALTORS is a registered which identifies a professional in realOFestate who subscribes to a strict Code of Ethics as a member of the NATIONAL ASSOCIATION OF REALTORS®.
October 2005
October 2005
Salt Lake Realtor® November 2014
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Happenings Broker Town Hall Focuses on Best Practices
The Salt Lake Board of Realtors® hosted a special Broker Town Hall in October featuring a panel of experts who discussed risk reduction strategies, best practices, legal tips, and ethical guidelines. Jonny Stewart, director of the Utah Division of Real Estate, reviewed five top issues brokerages and Realtors® often violate. They included: 1. Not having a limited agency agreement signed. 2. Trust account violations. 3. Advertising that doesn’t include the brokerage’s name. 4. Supervision. 5. Brokers doing nothing after receiving a client complaint. Other panelists and participants included (pictured): Dave Frederickson, left, (past president of the Salt Lake Board of Realtors®); Kreg Wagner (Utah Association of Realtors® legal counsel); Angie Nelden (president of the Salt Lake Board of Realtors®); Jonny Stewart (director of the Utah Division of Real Estate); Paxton Guyman (private attorney specializing in real estate); and Curtis Bullock (CEO of the Salt Lake Board of Realtors®).
U.S. Pending Home Sales Rise Pending home sales rose slightly in September and are now above year-over-year levels for the first time in 11 months, according to the National Association of Realtors®. The Pending Home Sales Index,* a forward-looking indicator based on contract signings, inched 0.3 percent to 105.0 in September from 104.7 in August, and is now 1.0 percent higher than September 2013 (104.0). The index is above 100 for the fifth consecutive month and is at the second-highest level since last September. Lawrence Yun, NAR chief economist, says moderating price growth and sustained inventory levels are keeping conditions favorable for buyers. Despite improved housing conditions and low interest rates, tight credit conditions continue to be a barrier for some buyers. Of the reasons for not closing a sale, about 15 percent of Realtors® in September reported having clients who could not obtain financing as the reason for not closing.
December Social is Dec. 12 The Holiday Social and Directors Inauguration will be held at the Grand America Hotel on Friday, Dec. 12 from 11:30 to 1:30. This event is free to members but advanced registration is required. Registration begins on Friday, Nov. 14 at slrealtors.com.
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Salt Lake Realtor® November 2014
In the News FDIC Finalizes QRM Rule The following is a statement by National Association of Realtors® President Steve Brown: “NAR applauds the Federal Deposit Insurance Corporation for finalizing the Qualified Residential Mortgage rule, which includes a broad definition of QRM and aligns with the Qualified Mortgage standard implemented earlier this year. “Realtors® are confident that the new QRM rule will encourage sound and financially prudent mortgage financing by lenders while also ensuring responsible homebuyers have access to safe and affordable credit. The synchronization with the QM rule will provide lenders with much needed clarity and consistency as they apply the new standards to loan applications while also providing a framework to bring more competition to the secondary mortgage market. “The new QRM rule is a healthy step towards a more robust securities market that will reduce the government’s footprint and creates more opportunities for private capital to participate. “Importantly, the final rule relies on sound and responsible underwriting rather than on an onerous down payment requirement to qualify as a QRM loan. NAR strongly opposed earlier versions of the rule that included 20 and 30 percent down payment requirements, which would have denied millions of Americans access to the lowest cost and safest mortgages. To mobilize against the proposed QRM rules that would have excluded credit-worthy Americans from the housing market, NAR forged the broadbased Coalition for Sensible Housing Policy, a partnership of approximately 50 consumer organizations, civil rights groups, lenders and real estate professionals united in their opposition to high down payment requirements.
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Casino Night A Big Success The Council of Residential Specialists and Young Professionals Network raised nearly $3,000 at its annual Casino Night held in October at the Realtor® Campus. The money will be donated to Family Promise, which fights homelessness by organizing congregations to take turns opening their doors and provide temporary shelter to families on a rotation basis. Nearly 100 people attended the event. Winners of the Texas Hold ‘em Tournament included: David Young (first place); Kelly Wells (second place); and Brady DeVoe (third place).
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Salt Lake Realtor® November 2014
Salt Lake Realtor速 November 2014
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Image licensed by Ingram Image
12 Unwritten Rules That Make You a Professional By Craig Hawker Being a professional Realtor® involves a number of unwritten rules and common courtesy actions that if followed will make a best impression with your clients and fellow Realtors®. Here are 12 areas Realtors® that stand out.
party call centers are open seven days a week. Many offices have on-call agents who are set up to answer all calls in the evening or weekends. Follow instructions and your calls will be answered and showings will be approved much sooner.
1. Don’t Assume Because a home is vacant and has a Supra keybox on it, don’t assume you can just go into the property. Many homes have alarms, or it might be under contract. Please give the listing agent a courteous call before showing vacant homes. You never want to show a property to a buyer and they fall in love with it, only later to find out it is already under contract or not available.
3. Be Courteous When scheduling a showing remember to give ample notice to the listing agent. I truly believe a minimum of 24 hours advanced notice should be required. If you are scheduling Saturday morning showings, schedule the day before. If you are scheduling Sunday showings call at least a day in advance. Like it or not, many people in this industry take days off. Sunday happens to be the most popular. In my office we had a situation just recently where an agent called on a Sunday at 9 a.m. for a showing the same day at noon. The buyer’s agent was upset they couldn’t get into to the property. In most cases all showings should be done from 9 a.m.-8 p.m. daily. Try and remember what it is like to get a home ready
2. Follow Directions If an agent has showing instructions follow them. I know some people don’t want to talk with third party vendors, or assistants but that is sometimes how the listing agent has set up the listing. Most third
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Salt Lake Realtor® November 2014
for showing, it has to be clean, tidy, family members out of the home and pets taken care of and secure. 4. Don’t be Rude If you schedule an appointment, show up. If your clients don’t want to see the property after looking at the exterior, give a courteous knock to the seller’s door letting them know you won’t be showing the home. Do your due diligence. If you know your client doesn’t want a “fixer-upper,” or a home on a busy street, look at your showings and eliminate those before showings. Again, remember what it was like for you to sell your home. It is stressful, the home has to be clean and ideally with no residents at the house at the time of the showing. 5. Show Respect to Others If you have scheduled a showing and there is another agent showing their clients the home first, don’t go into it during the same time. Give that agent and their clients the courtesy to look through the home. Be able to talk freely without worrying about what they are saying in front of you. 6. Be Responsive If a Realtor® or staff calls, texts, emails for feedback give it to them. I don’t think you have to voluntary give feedback, but if someone has taken the time to ask your opinion on price or the condition give it to them. 7. Be Proactive If you are going to write an offer, call the listing agent first. Find out what kind of response deadline is needed, or if there are any special issues that can be addressed. Second, once you send an offer, call or text the listing agent. Recently I had two offers sent to me that went to my junk mail. One agent called and asked if I had received it. I hadn’t. So he sent it again. I was very appreciative. The other agent didn’t send me a text or call and I had no idea I even had an offer until after the response deadline had passed and then the agent was upset that I hadn’t responded to the offer. I had no idea we had one. 8. Use a Supra Keybox I am shocked at the amount of listing agents who don’t use Supra key boxes. Please check your E&O insurance. Most insurance companies won’t cover you if there is damage or theft if you don’t use a Supra key box. Second, use the CBS code (call before showing). This will make sure no one can enter without authorization. Third, codes to numericalcoded key boxes have a “magical” way of getting to the actual buyers and potential buyers are entering homes without permission. 9. Leave a Trace Leave a business card in a visible place so the seller knows you have been through the property.
Image licensed by Ingram Image
10. We aren’t the Cable Company We should be punctual enough that a one- to two- hour window is a sufficient amount of time for a showing. Please don’t ask a listing agent to schedule a five-hour window for a showing. If you are running late call to the listing agent and find out if it is still okay to show up after your scheduled showing. 11. Proper Key Box Placement Please keep in mind those showing your listing. A buyer’s agent doesn’t want to go on a wild goose chase to find the keybox. Again, if you are worried about unauthorized access, put a call before showing code (CBS) on the key box. Remember, walking through snow and mud isn’t fun for anyone. A fellow Realtor® that I have a lot of respect for once said he puts key boxes in places that anyone with a dress or high heels would be able to get to. Basically, that means the front door, or covered porch. However, I have seen key boxes on gas meters. Please remember Questar Gas has repeatedly asked we don’t put those on the meter. If the gas company does a gas inspection they will cut it off the meter. 12. Identify yourself When calling or texting to show a listing please identify yourself with your brokerage name. State statute requires every advertisement and communication you make must be identified. I know that there are always exceptions to the rule, but if you will follow these simple steps you will have an easier time getting appointments, you will save time, and you will have a much better relationship with your fellow Realtors® which allows you to do more deals. Craig Hawker is a Realtor® with goBE Realty and a former director of the Salt Lake Board of Realtors®.
Salt Lake Realtor® November 2014
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Here is a list of action items that might give your listing that extra little oomph that it needs to get a few more showings and hopefully find its new owner — of course, not everything on this list will be appropriate for every property in every market, but even if you can take one or two of these ideas and give them your all, it’s better than just avoiding your seller’s phone calls and watching those days on market pile up, right? 1. Bring someone in with a fresh eye. Can you rearrange the staging to change the energy of the house? Does it need some young, fresh or seasonal elements to attract a new demographic? Is it feeling dusty, tired or too mature at this price point in this neighborhood? Take a look at this blog post to see the difference that staging and photos can make! 2. Add floor plans to the listing photos so that people can get an idea for the flow of the rooms. This is especially important if you are competing with new construction or have a floor plan that has been changed through remodeling that might not be obvious from the photos. 3. Add neighborhood/lifestyle photos so that people understand the vibe of the community. Now that most MLSs allow 35-plus photos, there is plenty of space to include photos in addition to those of the property itself.
16 Things You Can Do Right Now to Maximize Your Listing’s Exposure You never know when a trick-or-treater’s parents will fall in love with that perfect home By Stacie Staub If you have a listing that has been sitting on the market for longer than you thought it would, it might be time to get back to basics and put a little more time and money into marketing the property. A home that might have sold for over list price in less than a day with multiple offers two months ago, even with crappy iPhone photos and monstrous dust bunnies under the coffee table, is going to need a little more love now that we are deep into fall, even if inventory is still at historically low levels.
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4. Be honest: Are the property photos really the BEST that they could be? Or did you cheap out thinking that the home would sell quickly? If you need to hire a pro, do it. There’s nothing more important than awesome photos when it comes to real estate marketing. 5. Rewrite the property description. Tell a story. Don’t just list the features — convey how it feels to live in the home and community. For example, instead of writing this: An amazing opportunity priced to sell! MUST SEE! Historic details throughout-original pocket doors, hardwood floors and woodwork, stained glass, ornate fixtures, built ins. Painstakingly maintained and renovated, this treasured house lives like a modern day home with high ceilings and an open, inviting floor plan that flows perfectly; an entertainer’s dream. An elegant master suite, updated kitchen and baths offer all the amenities of new homes. French doors open to patio and professionally landscaped garden area with a wrap around yard -ideal for relaxing with family and friends. Walkable to award winning restaurants, neighborhood boutiques, coffee shops and gathering places. Perfectly located in the heart of all that northwest Denver has to offer! In zone 1 for priority enrollment for Academia Ana Marie
Sandoval Dual language/Montessori school. Try writing this: Homes like this don’t come up for sale very often in Denver’s most popular neighborhood. From the moment you walk in, you will feel the love in the details … whether enjoying a handcrafted cocktail on the patio in the wrap-around yard, or a glass of bubbly in the new master bath, you’ll enjoy the luxurious upgrades that make this historic gem feel like home. The perfect combination of original charm and thoughtful modern convenience, you’ll love strolling home from some of Denver’s most popular eateries, jogging through the tree-lined streets lined with eclectic architecture, lingering over coffee at a nearby cafe, entertaining friends in the fantastic indoor/outdoor floor plan, and creating delicious meals at home in the gourmet chef’s kitchen. You are going to love living here. 6. Use a service like Myonlineyardsign.com to brand your photos. As the listing agent, you’re the one best equipped to answer questions about the property; it’s a shame to let those “online sign calls” go to an agent who is probably not only not familiar with the property, but likely doesn’t know anything specific about the subdivision, community, HOA, schools, amenities, etc. 7. Change the main photo on the listing to something completely different — and do this regularly. Sometimes consumers who have been browsing the listings daily and passing yours by will take another look if they see a new photo pop up! 8. List the property on Craigslist every three days, using a different ad format every time, as well as a different subject line. You would be shocked at how many people still look for homes on Craigslist when they are relocating or even buying in their own city.
community events, and find ways to tie in links back to the listing. 11. Write an article about the house, and include as much history about it as possible, and post it as many places as possible (in Denver, I suggest your or your company’s blog, and also sending it to the Denver Post, HubSpot, Westword, the Examiner, Medium, Hooked on Houses, etc.) Where do people read about housing and the real estate market in your area? I bet they are always looking for fresh content. 12. Are you holding open houses regularly? You should be — just ask Susie Best from Live Urban who sold her new listing at her open house last weekend! How about a broker open? Give away a gift card, Fitbit, Kindle or some other item of value and invite all local agents using an e-flier. Email the agents you know and beg them to attend; they need to see the house to sell the house! 13. This might be a great opportunity to create a lifestyle video to highlight this amazing home’s best features and also serve as a long-term marketing piece for you. Here are a few videos for inspiration: 14. Is it time to start thinking about possibly renting the house out for the winter? If this is a possibility/necessity, start listing it as for sale/ possible lease and list it on all of the rental sites. You never know, someone who is thinking that they need to rent first might fall in love with it and buy it anyway. 15. Readjust seller expectations. We have seen a drastic change in the majority of markets over the last 30-60 days. Average days on market have gone up, showings have slowed, and prices are no longer dramatically increasing month over month. Make sure your seller is aware of these factors.
9. Decorate the exterior of the house for Halloween. Go over the top so that people will stop and notice. If the house is vacant, hand out great treats to trick-or-treaters with a property info card or your business card attached (or provide the same for your seller to hand out if they are going to be home). Invite people in for a quick bite to eat/cocktail and tour of the property; the neighbors are always curious about homes that are for sale, and parents love to take a break from begging for candy to warm up/eat some quick grown-up food (chili in to-go cups is a fun idea, as is spiked cider that they can take with them to get them through the rest of the treat trail). Also, decorate for the winter holidays. (Hopefully you won’t need to. …)
16. Take a fresh look at the comps and your pricing strategy. Now that many markets have hit a seasonal slowdown, it’s not surprising that homes are taking a bit longer to sell, and it’s more important than ever to price your listings strategically from day one and to set your clients’ expectations appropriately. We’re feeling a big movement toward “back to basics.” Giving every listing full investment and effort is part of every listing agent’s job. If you’ve gotten a bit lazy with your property preparation and marketing, now’s the time to step it up: You are sure to see the return on investment in lower days on market, more showings and happy clients.
10. Write blog posts about the neighborhood, local restaurant reviews and upcoming
Stacie Staub is a broker associate and the director of marketing for LIVE Urban Real Estate in Denver, Colorado. This article was reprinted with permission of Inman News.
Salt Lake Realtor® November 2014
15
Your Ivory Homes Specialist for over 10 years Why see me, Susan Johnson, at Ivory Homes? • Your commission is protected when you register your clients with me, no matter where your prospect decides to go without you. • Over 60 move-in-ready homes, many more under construction, call me for a list. • Perfect for your pickiest buyers, we can customize any home design, they CAN have that double deep garage they CANNOT find in an existing home! • HUGE Summer's End Incentives and subdivision closeouts available on many homes, call me for details. • Get paid half your commission up front when your clients build with me.* • Located in Draper, but can also service any of Ivory’s 65 locations. * Receive half the commission upon payment of full pre-construction deposit, and then the remaining half paid on closing. Please accompany your client on their first visit to the Ivory model home or contact an Ivory sales consultant to register your client in advance. For Ivory’s traditional mainline catalog homes you’ll receive 3% commission on both spec (move-in ready) and new build homes. For California Collection homes, you will receive a 3% commission on spec (move-in ready), and 2% on new build homes. For Ivory townhome sales, you will receive a 2% commission. Commission rates subject to change at any time without notice. For updated commission information, please refer to each individual listing on the WFRMLS.
Susan Johnson Senior Sales Consultant Ivory Homes
Visit me today at Ivory’s Bellevue community in Draper at 13200 S. 700 E.
(801) 864-7700 susanj@ivoryhomes.com
By Jeff Haden 1. You make us feel even smarter than we are. You know the type. An employee, a colleague, a vendor…someone has an idea. It’s a good idea. It’s a great idea. Now it’s his idea. Do it once and people narrow their eyes. Do it twice and resentment simmers. Do it three times and that’s the last time anyone shares ideas with you. The people we love to work with have a knack for doing the opposite: They make their ideas feel like our ideas. When that happens we all work harder. We work with a greater sense of purpose. We feel like we’re part of something bigger. And we’re all more likely to succeed. 2. You never find something to take personally. A French dilettante once said, “I am such an egotist that if I were to write about a chair, I’d find some way to write about myself.” The people we hate to work with see themselves as the center of the universe, at the center of every story they tell—and the victim of every unfortunate event. An employee misses work because he’s badly injured? Forget him—look what a mess that makes of my staffing levels! A supplier has a baby and needs to reschedule an appointment? Forget her—doesn’t she know what that does to my schedule? To those people, whatever happens to someone else—regardless of how unfortunate or tragic— becomes trivial; what matters most is the effect it has on me. The only things people we love to work with take personally are the things they do to make life better for other people—because they feel an obligation to improve the lives of the people around them.
Image licensed by Ingram Image
Nine Reasons People Love to Work With You We all have those colleagues whom everyone loves. What is it about them? It’s not as inexplicable as you may think. Here’s what they do—and why you should follow suit.
18
Salt Lake Realtor® November 2014
3. You always find a silver lining. Someone you know lands a major customer... but all he can think about is how hard it will be to fill those new orders. He hires a superstar programmer... but all he can think about is how much you have to pay her. He teams up with an awesome partner... but all he can think about is the control he’ll lose. Victories, in business and life, are few and far between. Achieving something awesome (or just cool) takes time and effort, so reasons to celebrate can be rare. The people we love to work with realize that every big goal is accomplished one small step at a time and rightly feel every step is cause for celebration. They have a knack for finding the silver lining in every dark cloud because they know there is always a silver lining—you just have to be willing to look. And by looking, they spread a sense of optimism and enthusiasm—something often in short supply.
Image licensed by Ingram Image
4. You never fail to share (or give away) the credit. People we hate to work with tend to be extremely political: they jockey, they maneuver, they plot, they try to make themselves look better in the eyes of others – especially at the expense of other people. (After all, if I look good and you look bad, I’m that much farther ahead, right?) The people we love to work with know the best glory is reflected glory. They step back from the spotlight. They let others take the credit for hard work. They let others receive the praise for a job well done. Most of all, they gain a private sense of fulfillment from seeing others receive public recognition— because that means everyone wins. 5. You always think before you speak and act. Ever seen someone throw a chair because he thought his instructions had not been followed? I have. Ever seen someone shred an employee for a mistake that person didn’t make? I have.
20
Salt Lake Realtor® November 2014
Ever seen someone speak or act without thinking – and forever revised your opinion of her? I have. People we love to work with react instantly to good news. They instantly offer recognition, congratulations, and praise. But they take a long time to think, reflect, and decide the best way to speak and act when problems arise or when mistakes are made. They know their words and actions will leave a lasting effect, so they do everything possible to get it right – even when everything around them seems to be going wrong. 6. You listen 10 times more than you talk. Interrupting isn’t just rude. When someone interrupts what they’re really saying is, “I’m not listening to you so I can understand what you are saying; I’m only listening to find a place to jump in and say what I want say.” The people we love to work with listen more than they talk. They focus on what others say. They ask questions not to seem smart but to better understand. They make us feel wise and respected.
Service Directory
And we love them for it.
7. You never actively seek validation. Everyone likes praise. But some people need praise. Some people need constant attention. They need constant validation that they are smart, capable, in charge, successful. In fact, they need to know they are smarter, more capable, and more successful than everyone else. People we love to work with don’t care about external validation. They care about feeling good about themselves. The only validation they seek is what they find in the mirror. Seeking self-worth inside themselves allows them to spend all their energy encouraging, recognizing, and validating other people—which makes them awesome to work with. And also makes them awesome friends. 8. You never talk out of school. It’s hard to resist learning the inside scoop. Finding out the reasons behind someone’s decisions, the motivations behind someone’s actions, the skinny behind someone’s agenda—whether Marcy from shipping is really dating Juan in accounting—those conversations are hard to resist. Unfortunately, the people who gossip about other people also gossip about us ... and suddenly the idea of gossip isn’t so much fun. People we love to work with excuse themselves from gossip and walk away. They don’t worry that they’ll lose a gossiper’s respect—they know that anyone willing to gossip doesn’t respect other people anyway. Instead, if they decide to share a secret, they speak openly about their own thoughts and feelings. That way they’re not gossiping. They’re just being genuine—and we all love being around people who are genuine.
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9. You never jump on your soapbox. The higher you rise and the more you accomplish the more likely you are to think you know everything... and the more likely you are to think you need to tell other people everything you think you know. Some people speak with much more finality than foundation. Some people think a position or “status” automatically confers wisdom. And that means other people hear…but don’t listen. People we love to work with share their thoughts in a humble and unpretentious way. They care about what we know. After all—they already know what they know. Now: What qualities make you love working with someone? Jeff Haden is a ghostwriter, speaker, and Inc. Magazine contributing editor. This article was reprinted in Salt Lake Realtor® Magazine with permission of Jeff Haden.
Salt Lake Realtor® November 2014
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© Warren Goldswain / Dollar Photo Club
First-time Buyers Fall to Lowest Point in Nearly 30 Years The median age of first-time buyers was 31, unchanged from the last two years, and the median income was $68,300 By The National Association of Realtors® Despite an improving job market and low interest rates, the share of first-time buyers fell to its lowest point in nearly three decades and is preventing a healthier housing market from reaching its full potential, according to an annual survey released in November by the National Association of Realtors®. The survey additionally found that an overwhelming majority of buyers search for homes online and then purchase their home through a real estate agent. The 2014 National Association of Realtors® Profile of Home Buyers and Sellers continues a long-running series of large national NAR surveys evaluating the demographics, preferences, motivations, plans and experiences of recent home
22
Salt Lake Realtor® November 2014
buyers and sellers; the series dates back to 1981. Results are representative of owner-occupants and do not include investors or vacation homes. The long-term average in this survey, dating back to 1981, shows that four out of 10 purchases are from first-time home buyers. In this year’s survey, the share of first-time buyers* dropped 5 percentage points from a year ago to 33 percent, representing the lowest share since 1987 (30 percent). Lawrence Yun, NAR chief economist, says there are many obstacles young adults are enduring on their path to homeownership. “Rising rents and repaying student loan debt makes saving for a downpayment more difficult, especially for young
adults who’ve experienced limited job prospects and flat wage growth since entering the workforce,” he said. “Adding more bumps in the road, is that those finally in a position to buy have had to overcome low inventory levels in their price range, competition from investors, tight credit conditions and high mortgage insurance premiums.” Yun adds, “Stronger job growth should eventually support higher wages, but nearly half (47 percent) of first-time buyers in this year’s survey (43 percent in 2013) said the mortgage application and approval process was much more or somewhat more difficult than expected. Less stringent credit standards and mortgage insurance premiums commensurate with current buyer risk profiles are needed to boost firsttime buyer participation, especially with interest rates likely rising in upcoming years.” The household composition of buyers responding to the survey was mostly unchanged from a year ago. Sixty-five percent of buyers were married couples, 16 percent single women, 9 percent single men and 8 percent unmarried couples. In 2009, 60 percent of buyers were married, 21 percent were single women, 10 percent single men and 8 percent unmarried couples. Thirteen percent of survey respondents were multi-generational households, including adult children, parents and/or grandparents. The median age of first-time buyers was 31, unchanged from the last two years, and the median income was $68,300 ($67,400 in 2013). The typical first-time buyer purchased a 1,570 square-foot home costing $169,000, while the typical repeat buyer was 53 years old and earned $95,000. Repeat buyers purchased a median 2,030-square foot home costing $240,000. When asked about the primary reason for purchasing, 53 percent of first-time buyers cited a desire to own a home of their own. For repeat buyers, 12 percent had a job-related move, 11 percent wanted a home in a better area, and another 10 percent said they wanted a larger home. Responses for other reasons were in the single digits. According to the survey, 79 percent of recent buyers said their home is a good investment, and 40 percent believe it’s better than stocks. Financing the Purchase Nearly nine out of 10 buyers (88 percent) financed their purchase. Younger buyers were more likely to finance (97 percent) compared to buyers aged 65 years and older (64 percent). The median downpayment ranged from 6 percent for first-time buyers to 13 percent for repeat buyers. Among 23 percent of first-time buyers who said saving for a downpayment was difficult, more than half (57 percent) said student loans delayed saving, up from 54 percent a year ago. In addition to tapping into their own savings (81 percent), first-time buyers used a variety of outside
resources for their loan downpayment. Twenty-six percent received a gift from a friend or relative – most likely their parents – and 6 percent received a loan from a relative or friend. Ten percent of buyers sold stocks or bonds and tapped into a 401(k) fund. Ninety-three percent of entry-level buyers chose a fixed-rate mortgage, with 35 percent financing their purchase with a low-downpayment Federal Housing Administration-backed mortgage (39 percent in 2013), and 9 percent using the Veterans Affairs loan program with no downpayment requirements. “FHA premiums are too high in relation to default rates and have likely dissuaded some prospective first-time buyers from entering the market,” says Yun. “To put it in perspective, 56 percent of first-time buyers used a FHA loan in 2010. The current high mortgage insurance added to their monthly payment is likely causing some young adults to forgo taking out a loan.” Searching for and Buying a Home Buyers used a wide variety of resources in searching for a home, with the Internet (92 percent) and real estate agents (87 percent) leading the way. Other noteworthy results included mobile or tablet applications (50 percent), mobile or tablet search engines (48 percent), yard signs (48 percent) and open houses (44 percent). According to NAR President Steve Brown, coowner of Irongate, Inc., Realtors® in Dayton, Ohio, although more buyers used the Internet as the first step of their search than any other option (43 percent), the Internet hasn’t replaced the real estate agent’s role in a transaction. Ninety percent of home buyers who searched for homes online ended up purchasing their home through an agent,” he said. “In fact, buyers who used the Internet were more likely to purchase their home through an agent than those who didn’t (67 percent). Realtors® are not only the source of online real estate data, they also use their unparalleled local market knowledge and resources to close the deal for buyers and sellers.” When buyers were asked where they first learned about the home they purchased, 43 percent said the Internet (unchanged from last year, but up from 36 percent in 2009); 33 percent from a real estate agent; 9 percent a yard sign or open house; 6 percent from a friend, neighbor or relative; 5 percent from home builders; 3 percent directly from the seller; and 1 percent a print or newspaper ad. Likely highlighting the low inventory levels seen earlier in 2014, buyers visited 10 homes and typically found the one they eventually purchased two weeks quicker than last year (10 weeks compared to 12 in 2013). Overall, 89 percent were satisfied with the buying process. First-time buyers plan to stay in their home for 10 years and repeat buyers plan to hold their property for 15 years; sellers in this year’s survey had been in their previous home for a median of 10 years.
Salt Lake Realtor® November 2014
23
“The typical first-time buyer purchased a 1,570 square-foot home costing $169,000, while the typical repeat buyer was 53 years old and earned $95,000. Repeat buyers purchased a median 2,030-square foot home costing $240,000.” The biggest factors influencing neighborhood choice were quality of the neighborhood (69 percent), convenience to jobs (52 percent), overall affordability of homes (47 percent), and convenience to family and friends (43 percent). Other factors with relatively high responses included convenience to shopping (31 percent), quality of the school district (30 percent), neighborhood design (28 percent) and convenience to entertainment or leisure activities (25 percent). This year’s survey also highlighted the significant role transportation costs and “green” features have in the purchase decision process. Seventy percent of buyers said transportation costs were important, while 86 percent said heating and cooling costs were important. Over two-thirds said energy efficient appliances and lighting were important (68 and 66 percent, respectively). Seventy-nine percent of respondents purchased a detached single-family home, 8 percent a townhouse or row house, 8 percent a condo and 6 percent some other kind of housing. First-time home buyers were slightly more likely (10 percent) to purchase a townhouse or a condo than repeat buyers (7 percent). The typical home had three bedrooms and two bathrooms. The majority of buyers surveyed purchased in a suburb or subdivision (50 percent). The remaining bought in a small town (20 percent), urban area (16 percent), rural area (11 percent) or resort/recreation area (3 percent). Buyers’ median distance from their previous residence was 12 miles. Characteristics of Sellers The typical seller over the past year was 54 years old (53 in 2013; 46 in 2009), was married (74 percent), had a household income of $96,700, and was in their home for 10 years before selling a new high for tenure in home. Seventeen percent of sellers wanted to sell earlier but were stalled because their home had been worth less than their mortgage (13 percent in 2013). Yun attributes the increase in seller’s age and tenure in home to rebounding home prices. “Faster price appreciation this past year finally allowed more previously stuck homeowners with little or no equity the ability to sell after waiting the last few years,” he said. Sellers realized a median equity gain of $30,100 ($25,000 in 2013) – a 17 percent increase (13 percent
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Salt Lake Realtor® November 2014
last year) over the original purchase price. Sellers who owned a home for one year to five years typically reported higher gains than those who owned a home for six to 10 years, underlining the price swings since the recession. The median time on the market for recently sold homes dropped to four weeks in this year’s report compared to five weeks last year, indicating tight inventory in many local markets. Sellers moved a median distance of 20 miles and approximately 71 percent moved to a larger or comparably sized home. A combined 60 percent of responding sellers found a real estate agent through a referral by a friend, neighbor or relative, or used their agent from a previous transaction. Eighty-three percent are likely to use the agent again or recommend to others. For the past three years, 88 percent of sellers have sold with the assistance of an agent and only nine percent of sales have been for-sale-by-owner, or FSBO sales. For-sale-by-owner transactions accounted for 9 percent of sales, unchanged from a year ago and matching the record lows set in 2010 and 2012; the record high was 20 percent in 1987. The share of homes sold without professional representation has trended lower since reaching a cyclical peak of 18 percent in 1997. Factoring out private sales between parties who knew each other in advance, the actual number of homes sold on the open market without professional assistance was 5 percent. The most difficult tasks reported by FSBOs are getting the right price, selling within the length of time planned, preparing or fixing up the home for sale, and understanding and completing paperwork. NAR mailed a 127-question survey in July 2014 using a random sample weighted to be representative of sales on a geographic basis. A total of 6,572 responses were received from primary residence buyers. After accounting for undeliverable questionnaires, the survey had an adjusted response rate of 9.4 percent. The recent home buyers had to have purchased a home between July of 2013 and June of 2014. Because of rounding and omissions for space, percentage distributions for some findings may not add up to 100 percent. All information is characteristic of the 12-month period ending in June 2014 with the exception of income data, which are for 2013. The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1 million members involved in all aspects of the residential and commercial real estate industries. *Survey results represent owner-occupants and differ from separately
reported monthly findings from NAR’s Realtors®Confidence Index, which include all types of buyers. Investors are under-represented in this annual study because survey questionnaires are mailed to the addresses of the property purchased and generally are not returned by absentee owners. Results include both new and existing homes.
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Home Sales Slow in Salt Lake County, but Rise in Surrounding Counties
S
ales of single-family homes in Salt Lake County fell 3 percent in the third quarter (year-overyear) to 3,251 units sold, down from 3,353 units sold in the third quarter of 2013, according to the Salt Lake Board of Realtors® Quarterly Housing Report. In the first nine months of 2014 singlefamily home sales dropped 5 percent compared to the first nine months of 2013. Unlike Salt Lake County, other adjacent counties saw a rise in home sales (year-over-year): Davis County (up 10 percent); Tooele County (up 9 percent); Utah County (up 2 percent); and Weber County (up 10 percent). “The slowdown in home sales in Salt Lake County is tied to the area’s higher median home price,” said Angie Domichel Nelden, president of the Salt Lake Board of Realtors®. “Salt Lake County’s median home price in the third quarter was $257,000, considerably higher than Davis or Utah counties where the median home price was
26
Salt Lake Realtor® November 2014
$230,000 and $243,000 respectively.” In the third quarter the median Salt Lake single-family home price increased to $257,000, a 1 percent rise compared to a median price of $255,000 in the third quarter of 2013. Many ZIP codes in the Salt Lake area continued to see modest home price increases. However, there were exceptions. Midvale (84047) saw its home prices fall 2 percent. West Jordan (84081) was down 4 percent. Murray (84107) showed a price decline of 19 percent. Holladay (84117) house prices fell 17 percent. Sales of condominiums in Salt Lake County fell 13 percent in the third quarter. The median condo price in Salt Lake County climbed to $176,000, up 4 percent compared to a median price of $169,500 last year. New listings fell 1 percent to 6,060 homes in the third quarter, down from 6,120 listings in the third quarter of 2013.
% +/- CHANGE
500.00%
2014 Q3 AVERAGE CDOM
6
% +/- CHANGE
n/a
2014 Q3 NEW LISTINGS
$0
% +/- CHANGE
n/a
2014 Q3 CONDO MEDIAN SALES PRICE
% +/- CHANGE
2014 CONDO # SOLD
% +/- CHANGE
2014 Q3 MEDIAN SALES PRICE
% +/- CHANGE
2014 HOUSE # SOLD
CITY
ZIP
COUNTY S.L. CO
84006
COPPERTON
1
-75.00%
$168,900
29.67%
0
S.L. CO
84020
DRAPER
154
-13.97%
$399,750
2.76%
46
-33.33%
$194,500 -5.58%
322
77
48.08%
76
15.15%
S.L. CO
84044
MAGNA
111
13.27%
$160,500
7.04%
2
-50.00%
$114,500
1.37%
158
S.L. CO
84047
MIDVALE
69
13.11%
$200,000
-2.44%
54
-34.15%
$189,482
6.78%
197
17.04%
37
-13.95%
10.06%
50
S.L. CO
84065
RIVERTON
119
-15.00%
$325,000
10.94%
48
41.18%
$205,000
1.49%
238
-5.93%
72
-33.33% 50.00%
S.L. CO
84070
SANDY
88
27.54%
$231,700
4.37%
21
-44.74%
$175,000
14.04%
128
-15.23%
35
-43.55%
-5.29%
S.L. CO
84081
WEST JORDAN
142
25.66%
$239,950
-4.02%
23
15.00%
$170,000
4.62%
231
5.00%
53
8.16%
S.L. CO
84084
WEST JORDAN
106
-10.92%
$205,000
-2.84%
26
-25.71%
$148,250
5.52%
194
0.52%
52
-3.70%
-4.24%
-18.60%
48
S.L. CO
84088
WEST JORDAN
113
$239,900
0.38%
20
5.26%
$163,700 -1.39%
175
S.L. CO
84091
SANDY
0
n/a
$0
n/a
0
n/a
$0
0
n/a
0
S.L. CO
84092
SANDY
110
3.77%
$364,000
2.94%
2
$470,000 -27.68%
211
17.22%
71
S.L. CO
84093
SANDY
90
-2.17%
$329,950
9.98%
0
$0
129
-5.15%
S.L. CO
84094
SANDY
94
-3.09%
$250,000
7.14%
15
25.00%
$235,000
17.53%
141
S.L. CO
84095
SOUTH JORDAN
252
$340,000
1.49%
53
-30.26%
$203,000
3.47%
479
S.L. CO
84096
HERRIMAN
146
-2.01%
$311,750
3.49%
23
-4.17%
$179,500 -6.24%
S.L. CO
84101
SLC
4
-20.00%
$131,950
-20.51%
30
25.00%
$238,737
S.L. CO
84102
SLC
30
0.00%
$284,000
-6.43%
28
-30.00%
$191,875
S.L. CO
84103
SLC
68
-13.92%
$396,750
1.34%
36
33.33%
$195,960
S.L. CO
84104
SLC
54
-12.90%
$135,500
4.15%
3
0.00%
$56,000
S.L. CO
84105
SLC
133
23.15%
$310,000
7.28%
0
14.03%
-33.33%
n/a
20.00% n/a -4.05%
62
14.81%
-7.84%
55
1.85%
6.92%
73
10.61%
342
11.04%
70
45.83%
11.04%
49
13.95%
111
14.21%
91
0.00%
58
45.00%
20.22%
152
-6.17%
88
17.33%
-2.61%
-31.48%
69
-17.86%
56
-16.42%
171
8.23%
44
46.67%
$130,750 -12.83%
266
-1.12%
77
54.00%
$141,000
2.17%
176
-12.87%
60
30.43%
$0
S.L. CO
84106
SLC
101
-28.87%
$268,000
3.28%
38
-5.00%
S.L. CO
84107
MURRAY
50
-38.27%
$203,100
-19.08%
53
3.92%
S.L. CO
84108
SLC
72
-18.18%
$412,500
7.91%
11
-45.00%
$286,500
24.86%
124
-13.29%
66
S.L. CO
84109
SLC
86
-4.44%
$336,000
0.30%
3
-25.00%
$133,000 -64.77%
132
-16.46%
66
32.00%
S.L. CO
84111
SLC
30
57.89%
$204,800
19.07%
28
$222,500
27.77%
62
3.33%
80
-32.20%
S.L. CO
84115
S SLC
64
-11.11%
$185,100
5.50%
9
-64.00%
$152,400
8.86%
127
13.39%
37
-19.57%
S.L. CO
84116
SLC
71
9.23%
$168,400
13.78%
6
-33.33%
$98,932
-9.49%
98
-3.92%
49
8.89%
S.L. CO
84117
HOLLADAY
55
-15.38%
$316,000
-17.20%
54
1.89%
$193,950
173
-4.95%
65
41.30%
S.L. CO
84118
TAYLORSVILLE/ KEARNS
203
-4.25%
$175,000
10.90%
4
300.00%
$134,219 -8.86%
249
-24.32%
60
20.00%
S.L. CO
84119
WVC
83
-17.00%
$172,000
3.65%
31
$128,500
11.79%
190
9.83%
54
-10.00%
S.L. CO
84120
WVC
118
-4.07%
$176,250
6.82%
8
$184,500
17.14%
199
0.51%
63
14.55%
16.67%
-8.82% 33.33%
45.42%
-5.71%
S.L. CO
84121
COTTONWOOD
137
0.00%
$311,000
-4.31%
29
0.00%
$171,225 -3.21%
243
-3.19%
87
61.11%
S.L. CO
84123
TAYLORSVILLE/ KEARNS
63
-7.35%
$187,000
-17.71%
36
-20.00%
$129,500
3.68%
153
-0.65%
41
-34.92%
S.L. CO
84124
HOLLADAY
73
7.35%
$340,000
-3.34%
12
9.09%
$192,900
10.23%
129
63
18.87%
S.L. CO
84128
WEST VALLEY
77
-19.79%
$188,000
2.73%
12
71.43%
$141,250 -8.87%
131
67
-11.84%
S.L. CO
84129
TAYLORSVILLE
84
9.09%
$208,000
7.22%
2
-75.00%
$111,750 -24.62%
125
3251 -3.04%
$256,568
0.61%
766
-13.05%
$176,000
S.L. CO TOTALS
3.83%
25.24% -1.50% 23.76%
45
0.00%
6060 -0.98%
62
8.77%
DAVIS CO
84010
BOUNTIFUL
119
-12.50%
$264,000
9.66%
33
65.00%
$155,000
5.00%
256
5.35%
77
35.09%
DAVIS CO
84014
CENTERVILLE
39
34.48%
$240,000
-8.05%
22
10.00%
$149,450
2.05%
76
8.57%
54
25.58%
DAVIS CO
84015
CLEARFIELD
265
12.29%
$177,500
5.53%
18
20.00%
$120,750
3.21%
413
5.09%
70
27.27%
DAVIS CO
84025
FARMINGTON
53
-29.33%
$325,000
7.79%
11
-15.38%
$185,000
0.00%
112
-12.50%
61
1.67%
DAVIS CO
84037
KAYSVILLE
121
DAVIS CO
84040
LAYTON
101
DAVIS CO
84041
LAYTON
188
34.29%
$198,250
DAVIS CO
84054
N. SALT LAKE
84
13.51%
$247,039
DAVIS CO
84075
SYRACUSE
123
12.84%
$250,000
0.44%
1
-50.00%
DAVIS CO
84087
WOODS CROSS
56
9.80%
$231,500
-5.51%
8
60.00%
$196,200 -0.91%
1149
9.95%
$230,000
1.77%
158
27.42%
$165,000
1862
DAVIS CO TOTALS
37.50% -5.61%
$301,700 $249,000
13.85%
9
12.50%
$219,000
0.88%
184
-7.54%
88
18
20.00%
$160,300 -8.40%
164
7.19%
94
2.72%
21
75.00%
$163,000
6.76%
287
3.39%
17
21.43%
$170,900
6.48%
129
$220,000
44.56%
-1.19%
4.35%
12.11%
10.00% -2.08%
72
22.03%
-9.79%
72
20.00%
176
5.39%
71
-5.33%
65
-14.47%
68
-2.86%
1.86%
74
13.85%
Salt Lake Realtor速 November 2014
27
REALTOR® Connections Q&A: Jason Eldredge Jason Eldredge is a Realtor® and principal of Property Landing, a real estate research company. Q: What is Property Landing? A: Property Landing is a real estate research and consulting company located here in the Salt Lake Valley. We provide a variety of information on real property. This data includes: daily notice of defaults, property profile reports, farm searching, new construction and permit statistics. This data can be accessed via our website (www.propertylanding.com) or on a project-byproject basis. Q: Single-family permits in Salt Lake County were down 24 percent in the third quarter and home starts were down 16 percent. But closings for new single-family homes were up 8 percent. What’s going on? A: As with existing home sales, new construction sales have also slowed in the past quarter and for many of the same reasons. The main reason is pricing. New single family home prices continue to increase as the cost to build homes accelerates. This, combined with steep rises in land prices over the last 18 months, has made it more difficult for home builders to produce new single family homes under the $300,000 price range in Salt Lake County. Q: What is your prediction in 2015 for new home construction along the Wasatch Front? A: I expect next year to mirror 2014 assuming many of the factors for new construction stay the same. There are many factors to take into account. Access to continued historic low interest rates will be critical. I expect most products – both single family and multifamily – under $300,000 to sell well. I also expect that we will continue to see an increase in multifamily production.Most of the land sales that we see (many of them are not found on the MLS), indicate newly finished single-family homes will be priced at more than $350,000 in Salt Lake County. This is not a starting price point for the first-time buyer. These buyers are the drivers of the market.
Tactical Awareness Crucial to Realtor® Safety The Salt Lake Board of Realtors® hosted a three-credit CE “Realtor Tactical Awareness” training course on Oct. 29. Participants learned Realtor® safety techniques that included both hands-on self-defense tactics and theory instruction. The course was designed to help build awareness in handling dangerous situations, as well as confidence in trusting “gut instinct.” The course was organized following the tragic death of Realtor® Beverly Carter, 49, who was found dead in October in Arkansas after showing a vacant, foreclosed home. According to the National Association of Realtors, 57 percent of agents are women, and a 2011 report on violent crimes against real estate agents found that women are disproportionately victimized.
28
Salt Lake Realtor® November 2014
On the Move The Salt Lake Board of Realtors® reported that its total membership reached 6,328 members in October, up 8 percent from 5,851 members a year ago. Of the current total members, 5,912 were brokers or Realtors®. Coldwell Banker Residential Brokerage ranked among the top 50 companies in Utah to work for, according to a report by the Deseret News and the career site Glassdoor. com. The list includes the top 50 nongovernmental companies on Glassdoor. com with at least 25 reviews and a Utah location. The workplaces were ranked using employee responses on Glassdoor. com about company culture, work-life balance, benefits, opportunities and management. All stats are taken from employee feedback on Glassdoor.com, including average pay for the most common position listed on Glassdoor. Almost half of the companies are headquartered in Utah. “We’re very proud to be named one of the top workplaces in Utah,” said Chris Jensen, president of Coldwell Banker Residential Brokerage. “We work very hard to create both a successful business and a great work environment for our employees and independent agents. Our exceptional staff provides great service to agents and their clients. It’s gratifying to see our efforts being recognized by the community.” In their comments, employees cited exemplary training programs, strong technology platforms, and incomparable brand recognition as some of the reasons that make Coldwell Banker Residential Brokerage a good place to work. The Mortgage Bankers Association announced that it expects to see $1.19 trillion in mortgage originations during 2015, a seven percent increase from 2014. While MBA anticipates purchase originations will increase 15 percent, it expects refinance originations to decrease three percent. MBA’s forecast predicts purchase originations will increase to $731 billion in 2015, up from $635 billion in 2014. In contrast, refinances are expected to drop to $457 billion, from $471 billion, in 2014.
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Helping Utah Homebuyers to be Successful One of the major barriers to homeownership is saving the necessary amount of money for the up-front costs of a home purchase By Kara Hetrick Community Development Corp. of Utah Working families face a number of hurdles to homeownership, yet owning a home is the most significant and reliable source of asset building for most households. Community Development Corporation of Utah (CDCU) is the state’s leading nonprofit organization committed to creating and supporting affordable homeownership opportunities, offering a wide variety of services that can benefit realtors® and their clients. CDCU has supported affordable homeownership since its creation in 1990, and is now proud to announce the introduction of its mortgage lending program with its best-in-class HomeFit Loan. CDCU also offers down payment assistance and homebuyer education and counseling. CDCU takes a holistic approach to helping homebuyers to be successful, providing financial and educational support for those who need a hand to achieve the American Dream of homeownership. CDCU has recently expanded its services to include a mortgage loan product for homebuyers who may otherwise struggle to find an affordable mortgage option. In the wake of the subprime crisis as lending was restricted considerably, FHA loans became one of the only remaining options for homebuyers who struggle to save enough for a large down payment. FHA increased their requirements however, increasing the amount of mortgage insurance
30
Salt Lake Realtor® November 2014
required and making mortgage insurance permanent. In response to the changes in lending and the increase in the cost of FHA loans, CDCU developed a new mortgage loan targeted toward homebuyers who need an affordable option that consumes less of their disposable income. CDCU’s HomeFit Loan requires only 2 percent of buyers’ funds toward down payment and closing, but unlike most low down payment options, it does not require mortgage insurance, saving homebuyers a considerable amount on their monthly payments. In addition, CDCU requires a credit score of only 620. And all homebuyers who receive CDCU’s HomeFit Loan receive homebuyer education and one-on-one housing counseling to help buyers be successful in the long term. One of the major barriers to homeownership is saving the necessary amount for the up-front costs of a home purchase. CDCU provides financial support for homebuyers in order to make a home purchase accessible. Down payment assistance programs offer no- or low-interest deferred loans to help cover down payment and closing costs. Down payment assistance recipients must be below 80 percent of area median income to qualify. CDCU administers down payment assistance loans and grants that are available for homebuyers in many parts of Salt Lake County. CDCU’s award-winning housing counseling team has been providing homebuyer education and counseling for 17 years. CDCU’s homebuyer education and counseling program helps homebuyers understand the details of the home purchase process, empowering them with knowledge to make informed decisions and successfully navigate a home purchase. Additionally, for those clients who may be earlier in the process, CDCU’s financial education and counseling can help clients to create a budget and savings plan and improve their credit in order to be approved for a loan. All of these education and counseling services relieve the burden of educating clients about the home purchase process from real estate agents, and instill confidence in clients that their agents have the homebuyers’ best interests in mind. CDCU strives to help all homebuyers and homeowners to be successful, and all of these services can help Utah families to realize the dream of homeownership. Contact CDCU to learn more about how to utilize all of its many programs and services and see how CDCU can help you to be more successful as a real estate agent and how you can help your clients to become homeowners. Kara Hetrick is a grant writer for the Community Development Corp. of Utah.
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