real estate - benefits - foreclosure - banks - florida realtors - public policy
magazine Osceola ReView
3rd Quarter July/August/September 2012
magazine Osceola ReView
THE WEAKEST LINK PAGE011
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GOOMZEE PAGE013
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TOP 25 REVENUE GENERATING PORTALS PAGE019
WELCOMECONTENTS
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WELCOME/CONTENTS
3rd QUARTER JULY/AUGUST/SEPTEMBER
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features
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President’s Message Board Service
2012 Affiliate of the Year
Global Real Estate Appointed to National Board
technology Goomzee Revenue Generating Portals
trends Member Indicators Valuation Policy Market Dynamics
contributors
Weakest Link
local
OSCAR Winners 2012 Honor Society Relay for Life
Events
New Member Welcome
July/August/September 2012 calendar
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Great American REALTOR® Days
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MESSAGE FROM
THE PRESIDENT President Renee Clark
EMAIL: renee@reneeclark.net
BLOG: www.osceolarealtors.org
Hello and greetings from Washington DC. On May 14-May 19, 2012, we had the opportunity to attend the National Association of REALTORS® Mid-Year Meetings in our nation’s capitol to help bring the message of the importance of Homeownership to the leaders in the United States House of Representatives and the United States Senate. We talked with them about the importance of reauthorizing the Flood Insurance program to assure access to the affordability of flood insurance, to
bolster commercial lending by creating liquidity in the commercial and multifamily real estate market to avoid stalling our nations economic recovery, preserving the mission and purpose of the FHA program for the singlefamily program to have the tools and policies in place to meet its mission of providing access to safe, affordable mortgage financing for well qualified borrowers nationwide, protect homeownership tax benefits by supporting the mortgage interest
deduction, and support the future of homeownership by taking action to improve the short sale process, support the integrity of the appraisals, enact comprehensive reform of government-sponsored enterprises and have regulators establish Qualified Residential rules that allow reasonable access to credit for homebuyer consumers. While in Washington DC we also attended the Rally for Homeownership. There were thousands of REALTORS® on
the National Mall in front of the Washington Monument to show Legislators how important Homeownership is for this country. National Association of REALTORS® President Moe Veissi led the Rally and did a terrific job of getting REALTORS® there and really excited. Thank you President Veissi for a terrific rally and convention. We also attended several committee meetings and the 59 ½ Minutes. We all had a great time and I think that our Legislators understand the important of continued on page 04 //////
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magazine contact
Published by Osceola County Association of REALTORS®, Inc.
advocates team
AE: Carol Platt, CRB, e-Pro T4078460117 E ae@osceola-realtors.com MEMBERSHIP: Eli Perez, e-Pro membership@osceola-realtors.com
REALTOR® Advocate Membership Services: Christina Barndardt advocate319@osceola-realtors.com REALTOR® Advocate Membership Services: Ally Vallecillo advocate617@osceola-realtors.com
AE ASSISTANT: Kim Wagar, e-Pro aeassistant@osceola-realtors.com
ACCOUNTS: Bob St. Gordon, e-Pro accounts@osceola-realtors.com
distribution
SENIOR DESIGNER: Chris Florence, CCIM, e-Pro webmaster@osceola-realtors.com
contributing writers
To subscribe contact our subscriptions team below.
PROFESSIONAL DEVELOPMENT: Kim Wagar, e-Pro aeassistant@osceola-realtors.com
Interested in contributing to our monthly publication?! We would love to hear from you. We require that all works be original, meaning written by you, and do not allow promotion of your business.
SUBSCRIPTIONS MANAGER: Chris Florence, CCIM, e-Pro webmaster@osceola-realtors.com
www.osceolarealtors.org
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homeownership for America and the economy. Back at the Association, we have a lot of things going on over the next several months. There are always lots of educational opportunities at OSCAR. They range from contracts to self defense. Please take the opportunity to take some of these classes. On July12th the Osceola Brokers Committee is having a special seminar for all Brokers. It is going to be given by one of our own Members, Jeff Perry. He is going to talk about all aspects of running a successful real estate office. I think this will be very informative for all our new and seasoned brokers. August is always a big month because that is when we will be attending the Florida REALTORS® Convention. It is going to be at the Marriott World Center just off of Highway 535 in Kissimmee. If you have never attended a Florida REALTORS® convention before this is a great opportunity for you to do so. You can go to committee meetings, education and of course the trade show. This is a wonderful chance for you to network with REALTORS® from around the state and create some wonderful friendships. On September 15, 2012 we are going to be having our RPAC Auction at the Community House in Downtown Kissimmee located near the Monument
of States. For those of you that are unsure what RPAC is, it is the REALTORS® Political Action Committee and it fights for private property rights and issues that are important to the real estate industry. Please make every effort to attend this wonderful evening. We will raise money to help protect private property rights and have a great time while doing so. You will see the invitation with more information very soon. Lastly and maybe most important, we are working very hard to make this a better Association for all of us. We have done a lot of improvements at the Association so if you have not seen it, please make an effort to come by. But we can’t stop at the building we must look at other things as well. We will be doing a survey to see what is important to you and what we can do to help make your job easier. I really encourage you to fill out the survey when it comes to you. It will only take a few minutes to do so. If we do not get your response, we cannot improve on the products and services that we offer. You are a valuable part of this Association and we certainly want to hear from you. It is truly a pleasure to serve as your President and I look forward to seeing all of you at the upcoming events. Have a great month and keep selling.
On behalf of Florida REALTORS®: Dear member, We have an exciting opportunity for you. The Republican National Convention will be held in Tampa from August 27-30, 2012. Due to a shortage of hotel rooms, we believe there is an opportunity for REALTORS®, as well as their clients, to rent their own homes, investment properties, and any unoccupied rental properties to visiting delegates, families, media and others. Our hope is to market this opportunity outside of Florida and encourage convention attendees to turn the convention into a family vacation opportunity, arriving in Florida early and staying after the convention ends. For instance, even if your primary listing area is one or two hours from Tampa, we believe there is an opportunity to market your short-term rental to convention attendees, given the fact there are many vacation destinations in Florida. As a result, in order to take advantage of this opportunity, we’d like to utilize the fact that My Florida Regional MLS (MFRMLS) has added a short-term rental field to its MLS, including a short-term rental field to its consumer website, MyFloridaHomesMLS.com. Here is where we need your help: We need you to populate this short-term rental field in MLXchange so that convention attendees can go to MyFloridaHomesMLS.com and search for short-term rentals. How do you populate this short-term rental field? For instructions on how to populate this short-term rental field in MLXchange, please visit the following link for more information: http://www.mfrmls.com/ news/550-how-to-add-short-term-rentals-in-mlxchange We thank you for your help. We will be eager to market this potential for short-term rentals outside of Florida as soon as we get a good number of properties listed.
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OSCAR 3rd Quarter Association Executive Article Media Contact: Carol Platt
407-846-0117 EMAIL: ae@osceola-realtors.com
It was an eventful and purposeful 2012 at our National Association of REALTORS® Mid-Year Meetings in Washington, DC. I was proud to join with fellow Association Executives and REALTORS® across the nation to Rally for Homeownership at the Washington Monument. President Renee Clark and President Elect Susie Graves represented OSCAR and we were joined at the rally by Past President Tim Weisheyer, plus we met our two Osceola Women’s Council of REALTORS® members, 2012 President Cindy DeCoster and 2012 President-Elect Wanda Linscott, learning about their whirlwind activities as well. These are the Board of Directors highlights from the NAR Mid-Year Governance Meetings: 1. The makeup of the NAR Strategic Planning Committee was changed to add two REALTORS® who specialize in commercial real estate to more fully represent commercial real estate perspectives in the development of the association’s strategic plan. 2. A Strategic Planning Forum was created to provide an opportunity for the broader membership to learn about the strategic direction of the association and the external forces and trends that affect the development of the strategic plan. The forum will also allow leadership of committees to gain a greater understanding of the strategic plan. 3. The makeup of the Issues Mobilization Committee, the RPAC Trustees Committee, the REALTOR® Party Coordinating Committee, the REALTORS® Political Involvement Committee, and the Housing Opportunity Committee was changed to include on Multicultural Real Estate Organization Representative to serve because these organizations represent the majority of active members from the multicultural community. The future of real estate and membership is closely linked to how effectively our industry embraces and serves a community which today represents well over 50% of first time homebuyers, close to 75% of new households being formed, and a rapidly growing percentage (nearly 20 percent in 2011) of NAR’s membership. That representative member must be an elected or policy/advocacy national leader of a multicultural organization. 4. The Housing Opportunity Advisory Subcommittee was eliminated.
5. A MLS Technology and Emerging Issues Subcommittee were created. 6. $161,667 in funding was provided to prosecute for or defend NAR’s position in seven legal cases. 7. The BOD amended an IDX policy to give MLS participants the ability to authorize limited electronic display of their listings by other participants. 8. The BOD amended Professional Standards Policy Statement 52 to offer mediation to disputants prior to review of the arbitration request and again following the Grievance Committee’s Review. 9. Standard of Practice 12-10 was amended to include the words “internet contented posted” to definitively outline the obligation of REALTORS® to present a true picture in their advertising and representations to the public. 10. The Code of Ethics and Arbitration Manual was amended to clarify that a member of the public that is scheduled for a hearing and who has not requested a continuance in writing or who has not been granted a continuance will be referred back to the Grievance Committee. 11. A recommendation of the Visa Work Group was approved to adopt a set of principles to serve as a guide for advocacy efforts with respect to any federal efforts to create a non-immigrant residency visa for foreign nationals who purchase real property in the United States. 12. The BOD approved issues mobilization funding to the Oregon Association of REALTORS® to support a state constitutional amendment that would ban real estate transfer taxes. 13. To resounding applause and a standing ovation, The BOD approved a resolution congratulating the National Association of Real Estate Brokers (Realtists) upon its 65th Anniversary as the oldest minority trade association in America. It was formed out of a need to promote fair housing and equal opportunities for African American real estate professionals, consumers and communities. Whew! If you are still with me….it’s easy to see the broad scope of this profession and the importance of member involvement!
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BOARD SERVICE BEFORE BOARD SERVICE, ASK TOUGH QUESTIONS Media Contact: Kelly Otte,
E-MAIL: kelly@unitedpartnershs.org.
Some of the bad things that happen to board members happen because they don’t ask any questions about what service will entail. Bob Harris, a local nonprofit treasurer, offers the following tips for people thinking about joining a board. You’ve been asked to serve on a board of directors. Before saying “yes,” ask a few revealing questions of the board’s officers, nominating committee or the paid executive. 1. Why are you asking me? Find out what skills they are seeking. You might be asked because of your influence in the community, your passion or skills. Has the composition of the board been carefully planned? Run if they are just looking for warm bodies. 2. Does the organization have subsidiaries or related organizations? You might think you’re serving on a basic board, but then find out this position is responsible for a subsidiary foundation, a for-profit corporation, local chapters or a political action committee. 3. What about insurance? If directors and officers (D&O) insurance covers the board, how large is the policy? The insurance expense in the budget usually covers D&O, general liability, a surety bond and possibly meeting cancellation. If someone says, “Don’t worry about insurance, we’re covered by volunteer immunity,” be very cautious! 4. Are there pending lawsuits or claims against the association? 5. What’s the board’s relationship to committees? Committee structure might add to the board’s work. If the organization adheres to the principles that “committees advance the work of the board” and “the board doesn’t do committee work at the board table,” you’re in luck. 6. Does the board think strategically? Ask to see a strategic plan. Find out how old it is. Is the plan collecting dust, or is it concise and compelling? When is the next planning retreat? 7. What’s in the leadership (board) manual? The leader ship manual should have everything necessary to
be a knowledgeable board member. If there is no such manual for board members, maybe it’s the wrong organization for you. 8. How long is the term? Will you be expected to serve a second term? Are there term limits? The answers should be in the bylaws. 9. What’s the organization’s tax status? Some associations are for-profit corporations, while others have lost their tax-exempt status. Don’t assume the organization is not-for-profit and exempt from paying federal income tax until you ascertain the facts. 10. How are conflicts of interest handled? Effective in 2008, the IRS Form 990 asks, “Does the organization have a written conflict of interest policy?” As a new director, you’ll want to consider if you have any conflicts that you’ll be expected to disclose. 11. How frequently does the board meet? Find out now how much time you’ll be expected to set aside, then add the time needed for preparation, travel, onsite attendance and followup. 12. Does the organization have a regular financial audit? Ask to see it and check whether the group received good marks in the CPA’s management letter. Your nomination won’t be revoked because you ask revealing questions. If you get the right answers, you’ll be eager to make a favorable impact on the community, the members and stakeholders you will be representing. Bob Harris is the chairman of The Nonprofit Center, a nationally recognized association management company based in Tallahassee. He can be reached at info@nonprofitcenter.com. Visit his website at www.nonprofitcenter.com for an array of helpful materials. Columnist Kelly Otte is executive director of United Partners for Human Services and an adjunct instructor teaching nonprofit management for FSU’s Askew School of Public Administration & Policy.
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GLOBAL REAL ESTATE CLASSES NOW OFFERED BY OSCAR Media Contact: Wendi Jeannin,
EMAIL: wjeannin@earthlink.net
Kissimmee, FL (May 8, 2012) The Osceola County Association of REALTORS® (OSCAR) announces its ability to now host Global Real Estate Classes; giving local associates an advantage to tap into these National Association of REALTORS® (NAR) core courses for REALTORS®. On August 1st, from 8:30 am to 5:00 pm the Global Real Estate: Local Markets class is offered online by NAR for $147. OSCAR will be bringing this class to Osceola County “live”, with continental breakfast and lunch included for only $99! Not only can REALTORS® earn 7 CE credits, but this is a core course for REALTORS® wishing to earn the prestigious “Certified International Property Specialist – CIPS” designation. Register online, www.Osceolarealtors. org, or call our office at 407-846-0117! “Local Markets is the first of seven international courses developed by Global Business and Alliances of the NAR,” says Renee Clark, 2012 OSCAR President. “This course is designed to introduce real estate professionals to the basic skills and
knowledge necessary to facilitate international real estate transactions. This is the prerequisite course required to earn the Certified International Property Specialist (CIPS) designation,” Clark continues. The course is designed to benefit experienced international professionals, individuals with real estate experience who are considering international specialization, and NAR general membership. Instructor will be David E. Wyant, CIPS, TRC, ABR, GRI, AHWD, e-Pro, SFR. David is a National Association of REALTORS® Instructor of the Year and is a certified faculty member by both NAR and Florida REALTORS®. The mission of the Osceola County Association of REALTORS® is to provide a dedicated success to its membership consisting of real estate professionals and affiliates, while adding value to the community.
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OSCAR WINNERS
Congratulations to all of our members in the Osceola County Association of REALTORS® that participate in the Osceola Women’s Council of REALTORS® for earning the 2011 Chapter Excellence Award from the National Women’s Council of REALTORS®. This award is given to local leadership teams that work diligently to bring their members value, education and communication tools from the Women’s Council of REALTORS® that help members reach that next level of success!
Our award winners are as follows: Gold Level Winners Mega Chapter Bonita Springs/Estero, FL Naples-On-The-Gulf, FL North Broward, FL Sarasota, FL Large Chapter Greater Palm Beach County, FL Jacksonville, FL Small Chapter Emerald Coast, FL Englewood On The Gulf, FL Flagler County, FL Jupiter/Tequesta/Hobe Sound, FL Manatee County, FL Nature Coast, FL Ocala/Marion County, FL Osceola County, FL Punta Gorda-Port Charlotte-North Port, FL St Augustine Regional, FL St. Lucie County, FL Stuart-Martin County, FL Tampa, FL Silver Level Winners Large Chapter Cape Coral, FL South Lake County, FL Small Chapter Daytona Beach Area, FL Greater Brevard County, FL Tallahassee, FL
Congratulations to 2012 Osceola WCR President Cindy DeCoster for being honored by the Florida State Chapter of the Women’s Council of REALTORS® as a Gold Level local WCR Club!
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LOCAL REALTOR® ASSOCIATION DIRECTOR APPOINTED TO NATIONAL BOARD Media Contact: Carol Platt
407-846-0117 EMAIL: ae@osceola-realtors.com
March 7, 2012 (Kissimmee, FL): Carol Platt, Association Executive for the Osceola County Association of REALTORS® Inc., was recently appointed to the 2012 REALTOR® Association Executive Magazine Editorial Board. The REALTOR® Association Executive (AE) Magazine is a quarterly association management magazine covering both local and national hot topics, trends, products, ideas and best management practices within the REALTOR® organization. The AE Magazine is a publication of the National Association of REALTORS®. This board focuses on increasing communication with AE’s across the nation regarding issues and trends in the real estate profession. This board also judges NAR’s annual association website competition. The 2012 REALTOR® AE Magazine Editors include: AE Committee Chair, Ginger Downs; Barbara Matthopoulos, Senior Director of Communications & Media Relations, Chicago Asso-
ciation of REALTORS®; Carolyn Schwaar, Editor, REALTOR® AE Magazine, National Association of REALTORS®, Courtney Wilson, Executive Staff, National Association of REALTORS®, Albert Tran, AE, West San Gabriel Valley Association of REALTORS®, Cindy Sampalis, Staff Executive, National Association of REALTORS®, Ryan Conrad, Government Affairs Director, Lehigh Valley Association of REALTORS®, Carolyn Blanchard-Cook, Deputy Executive Vice President, Greater Baltimore Board of REALTORS®, Karen Becker, CIPS Association Executive, Southeast Minnesota Association of REALTORS®, Linda Vernon, AE, Bakersfield Association of REALTORS®, Tia Robbin, AE, Northwest Montana Association of REALTORS®, Shane Johnson, CEO, Quad City Area REALTOR® Association. The mission of the Osceola County Association of REALTORS® is to provide a dedicated success to its membership consisting of real estate professionals and affiliates, while adding value to the community.
The Weakest Link on the Board Media Contact: Bob Harris
EMAIL: bob@rchcae.com
The reference to the “weakest link” comes from NBC’s, “The Weakest Link” aired in the early 2000s. The show’s contestants worked as a team to answer questions to earn money.
The show’s title lends itself to pointing out some boards that prevent accomplishment.
If three teammates answered correctly they earned $5,000. If the fourth person answered correctly the bank went to $10,000.
A weakness is a director with a personal agenda --forgetting that they are working for the best of the organization and its members. To succeed as a board it takes a buy-in into the organization’s mission and objectives. One’s personal agenda only distracts other leaders and staff causing frustration for everyone. It’s not about creating a personal legacy while serving.
But if he or she failed, the money was lost and the total was zero. They had the option to bank the money to safeguard the $5,000. However, the next question would be worth only $1,000 instead of $5,000, making it much harder to earn the big money. To achieve their goals they had to work as a team, relying on knowledge and communications. Similarly, a board is made up of directors and officers with unique knowledge and skillsets who must work as a team to advance and protect the organization.
Personal Agendas
To avoid personal agendas, a leadership orientation should explain how directors are part of a team working for the betterment of everyone. A conflict of interest statement should be signed. Remember that motions belong to the board as a group, not just to the maker of the motion. Whether continued on page 12 //////
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or not the motion passes or fails the board must agree the outcome is for the betterment of the organization and resentment should not exist by any individual . The membership should perceive the board as a team working to advance mission and goals (not a group of individuals promoting personal interests.)
Micromanagment
The Complainer
Rely on the mission statement and strategic goals to guide the board. When discussions fall below the 50,000 foot level and they get “into the weeds,” urge them to return to the job to governance and let the committees and staff take care of the details and implementation processes.
Another weakness is a leader who has nothing but complaints --- a director who seldom offers positive input but is quick to criticize. Criticism and complaints don’t help the team. The board is looking for solutions. The best volunteer is the person who identifies a problem and follows up with answers. For example, if a director is griping about the length and benefit of a board meeting, they should offer suggestions that will streamline the agenda, expedite discussions or change the environment. It is hardly fair for a director to start their sentences with, “I don’t know what you’re going to do about this but here is the problem I’m hearing from members.....”
Finally, a weak link is a leader who micromanages ideas and staff. The board is responsible for governance and advancing the strategic plan. Let the staff manage daily operations while the board focuses on the vision, policy development and fiduciary duties.
Note: Bob Harris, CAE, provides free nonprofit tips and templates at www.nonprofitcenter.com for better governance and management. He can be contacted at bob@rchcae.com.
OSCAR 2012HONOR SOCIETY 1ST YEAR - Suzanne Foels, Susan S. Graves, Wanda Linscott 2ND YEAR -Veronica Malolos, Tim Weisheyer 3RD YEAR- Michelle Renee Clark 8TH YEAR - Michael Levine 11TH YEAR- Cheryl L. Grieb 19TH YEAR - Marilyn E. “Charli” Phelps From left to right: Sue Foels, Wanda Linscott, Veronica Malolos, Tim Wisheyer, and Mike Levine
The 115,000 - member Florida REALTORS® established an Honor Society twenty-five years ago to recognize members of local boards and associations who are active in our state association. The Honor Society also salutes members for participation at the local and national levels of REALTOR® organizations; for educational activities; and for political involvement.
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GOOMZEE
This Month’s tip looks at a couple of features that came from other users in the past two years.
Users had requested a way to print out which GCodes were assigned to which listings. To accommodate this request, we added the “Print All” button on the My Campaigns screen in the lower right hand corner of the page. When you click this button, it will allow you to print a list of your GCodes, which properties are assigned to each code, and a few vital bits of information about each property. The print screen defaults to print the QR codes assigned to each code. However, you can turn off the QR code printing by closing the Print dialogue, unclick the “Show QR Codes” box, then print the list. This screen to also allows you to download all your QR Codes as a zip file, or individually, so you can access them on your computer and use them in other marketing materials. However, there is also another way you can access your QR codes, which is described next.
While on the My Campaigns screen, click the “Get My QR Codes” button. Once you’ve clicked the button, you will be prompted to download a zip file containing all the codes. Once the QR codes have downloaded, you now have access to use them in any of your marketing materials. As always, thank you for the great feedback & enhancement requests. If you ever have any questions about how to best utilize the features on your account, please don’t hesitate to contact us for more tips and suggestions.
Best regards, The Goomzee Team Email: support@goomzee.com | Call: 406-542-9955 M-F 8am-5pm MST
PS - If you haven’t already, please Like us on Facebook for sneak peeks of new features, tips & tricks, and more exclusive info from Goomzee. www.facebook.com/goomzee If you have another member of your team that would be able to utilize these monthly tips, have them email support@goomzee.com to be added to the email list.
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GARD Great American REALTOR® Days
Dinner at the Governor’s Club
President Renee Clark in the Senate
Susie Graves in the Senate
Kim Goodwin in the Senate
Carol, Dixie and Jerry Sansom
Wanda Linscott in the Senate
President Elect Susie Graves and Her Husband, Steve
Veronica Malolos in the Senate
Jose and Darlene Alvarez
Daisy Lopez-Cid introduces Representitive Darren Soto
Tim Weisheyer in the Senate
Daisy Cid in the Senate
Representative Mike Horner with Osceola REALTORS®
Cheryl Grieb with Senate Clerk
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RESPONSIBLE
VALUATION POLICY Purpose of Valuation Policy This document serves as the National Association of REALTORS® statement of federal policy on valuing real property. It serves as a guide for members and staff in advocacy efforts for federal legislation and regulatory policy. This statement of policy, aside from the National Association of REALTORS® Code of Ethics, is not in any way an attempt to impose new or additional standards of practice or behavior on members of the National Association of REALTORS®. Why do REALTORS® Support Independent Valuations of Real Property? REALTORS® support and encourage credible, independent valuations of Real Property because: • Credible independent valuations of real property are critical to the health of the overall real estate industry. A trustworthy valuation of real property 1) ensures the real property value is sufficient to collateralize the mortgage, 2) protects the mortgagor, 3) allows secondary markets to have confidence in the mortgage products and mortgage backed securities, and 4) builds public trust in the real estate profession. • Professionally developed valuations provide an independent, objective analysis of real property. • Valuations that are not credible or not independent harm communities and result in unintended consequences. The purchase of real property is the largest investment most people make. A valuation that does not properly reflect the owner’s equity may require the owner to pay increased fees or inject unneeded additional liquidity into a collateralized loan to meet higher lending requirements. Valuations of real property that are too high give a false sense of security to mortgagors seeking access to the equity in their real property and to lenders making a determination as to the security of their loan. Valuations that are too low may create a downward cycle of economic deterioration for neighborhoods and communities and cause increased cash requirements on lenders. 2012 National Association of REALTORS® Code of Ethics Article 11 Standards 11-1 and 11-2 The National Association of REALTORS® established a Code of Ethics for its members that may be higher than those mandated by law. Members must adhere to the Code of Ethics2, including Article 11, Sections 1 and 2, which address valuations. 1 For the purposes of this document, “credible” is defined, per the Uniform Standards of Professional Appraisal Practice (USPAP), as worthy of belief. Additionally, credible “results require support, by relevant evidence and logic, to the
degree necessary for intended use.” USPAP 2012-2013 Edition, U-3. 2 “In any instance where the Code of Ethics and the law conflict, the obligations of the law must take precedence. 2012 Code of Ethics, National Association of REALTORS® Article 11 The services which REALTORS® provide to their clients and customers shall conform to the standards of practice and competence which are reasonably expected in the specific real estate disciplines in which they engage; specifically, residential real estate brokerage, real property management, commercial and industrial real estate brokerage, land brokerage, real estate appraisal, real estate counseling, real estate syndication, real estate auction, and international real estate. REALTORS® shall not undertake to provide specialized professional services concerning a type of property or service that is outside their field of competence unless they engage the assistance of one who is competent on such types of property or service, or unless the facts are fully disclosed to the client. Any persons engaged to provide such assistance shall be so identified to the client and their contribution to the assignment should be set forth. (Amended 1/10) Standard of Practice 11-1 When REALTORS® prepare opinions of real property value or price, other than in pursuit of a listing or to assist a potential purchaser in formulating a purchase offer, such opinions shall include the following unless the party requesting the opinion requires a specific type of report or different data set: 1. identification of the subject property 2. date prepared 3. defined value or price 4. limiting conditions, including statements of purpose(s) and intended user(s) 5. any present or contemplated interest, including the possibility of representing the seller/landlord or buyers/tenants. continued on page 17 //////
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6. basis for the opinion, including applicable market data 7. if the opinion is not an appraisal, a statement to that effect (Amended 1/10) Standard of Practice 11-2 The obligations of the Code of Ethics in respect of real estate disciplines other than appraisal shall be interpreted and applied in accordance with the standards of competence and practice which clients and the public reasonably require to protect their rights and interests considering the complexity of the transaction, the availability of expert assistance, and, where the REALTOR® is an agent or subagent, the obligations of a fiduciary. (Adopted 1/95) RESPONSIBLE VALUATION POLICY Appraisals • Persons who perform appraisals of real property shall be licensed or certified by their respective state regulatory agency and the appraisal shall be conducted in accordance with standards established in the Uniform Standards of Professional Appraisal Practice (USPAP). • No person with an interest in the mortgage transaction shall compensate, coerce, extort, collude, instruct, induce, bribe, or intimidate a person, appraisal management company, or firm for the purpose of causing the appraised value to be based on anything other than the independent analysis of the appraiser. Non-Appraisal Opinions • Non-appraisal opinions, such as Broker Price Opinions (BPO) and comparative market analyses performed by REALTORS® shall contain, at a minimum, the information specified in Standard of Practice 11-1 of the National Association of REALTORS® Code of Ethics except where the party requesting the opinion requests a specific type of report or different data set, or where the opinion is developed in pursuit of a listing or to assist a potential purchaser in formulating a purchase offer. Among other uses, these non-appraisal services can help determine listing prices and are used to estimate potential selling prices of a property. Except where exempted or prohibited by the National Association of REALTORS® Code of Ethics, state, local or federal law, they should include the disclosure of a review of the subject property, subject neighborhood review and analysis, local and regional market information and trends, and a description of comparable properties that are similar to the subject property. Any non-appraisal opinion that does not provide the aforementioned components shall be disclosed by the provider of the service. Non-appraisal opinions must make it clear to the intended user that it is not an appraisal. • Non-appraisal opinions shall be prepared by a real estate
licensee or registered, licensed or certified appraiser. A licensee completing these services for a client is not necessarily assured of receiving the listing of the property. • Generally, in conjunction with the purchase of a consumer’s principal dwelling, BPOs may not be used as the primary basis to determine the value of real property for the purpose of a loan origination of a residential mortgage loan secured by such property. • When not restricted by law, non-appraisal opinions may be appropriate for many real estate transactions, such as short sales, foreclosures, and loan modifications. • In adhering to Article 11 of the REALTORS® Code of Ethics, consideration must be given to the intended use and intended user when developing any valuation. • A comparative market analysis (CMA) is generally used to provide information to sellers or buyers in determining listing price or offering price. Automated Valuation Models • NAR’s policy with respect to automated valuation models (AVM) is in consideration of individuals, organizations, or corporations that develop AVM software and related algorithms. The end user, whether a consumer or REALTOR®, should not be held liable for the product or results provided by any AVM owned or developed by a third party. • An AVM is a technology that uses mathematical algorithms to calculate the value of real property at a specific point in time. The AVM generates a report using public records and other data to provide a logical calculated estimate of a value of a residential property. The data is weighed, analyzed and reported as a final estimate of value based on a specified date. AVMs are typically, though not exclusively, used by the secondary mortgage markets for portfolio asset management purposes. * AVMs may be used by originators or secondary market investors to determine the collateral worth of a mortgage secured by a consumer’s principal dwelling. * Individuals or companies that create AVMs should ensure that AVMs: * Protect against the manipulation of data, including disassembly and redistribution without explicit authorization * Employ appropriate quality control measures, including disclosure of a confidence score calculated using a statistical methodology, such as forecast standard deviation * Utilize only data which has been explicitly licensed and authorized * Avoid conflicts of interest •Require random sample testing and reviews * Not be used as the principle method of valuation in mortgage origination
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OSCAR AFFILIATE OF THE YEAR Awards Chair, Karen Dierickx and Affiliate of the Year, Charles Castellon
Unfortunately, Affiliate of the Year, Charles Castellon, was unable to attend our January Awards and Installation Luncheon. Karen Dierickx presented his award at the OSCAR offices after the event
THE SURVEY IS COMING! Yes, it is that time of year when we want to hear from our membership about what types of classes and education they want and need. How would you like the content delivered? How do you learn best? Are there new classes you want to see? The Professional Development Committee takes your responses very seriously and plans next year’s education based on responses. We need to hear from you. BUT WAIT - THERE’S MORE! This year, if you complete and return the survey, you will be entered into a drawing for one of four $50.00 gas cards. Who can’t use that? BUT WAIT - THERE’S EVEN MORE! Everyone who returns the survey will also receive a $20.00 voucher off your next class up until December 31, 2012. Keep your eyes open for that survey and I thank you in advance for your participation.
Susie Graves
Professional Development Committee Chair 2012 President Elect
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Top 25
Revenue Generating Portals Media Contact: Simon Baker
The true test of a leading portal site is not how many unique visitors or visits it receives but its ability to convert that traffic into revenue and eventually profit. The team at Classified Ad Ventures (owner of Property Portal Watch) has scoured the world and put together a list of the top 25 revenue generating property portal sites. The top five sites are all market leaders, all generating over US$100m per year, and all profitable. The highest revenue generating site is immoscout24.de in Germany followed closely by realtor.com in the US. Rounding out the top 5 is soufun.com.cn in China, realestate. com.au in Australia and rightmove.co.uk in the UK. To ensure that there is an “apples with apples” comparison, we have attempted to report the advertising related revenues earned by a particular site (e.g. re-
alestate.com.au) and not the business that may own them (e.g. the REA Group as a whole or the REA Group in Australia). We have, where possible, stripped out revenues for ancillary services such as secondary websites (e.g. holidaylettings.co.uk for Rightmove), web development (e.g. for realestate.com.au), software (e.g. Pericles for Seloger) and print revenues. The list was assembled through a combination of publically available information, interviews, market speculation, and internal analysis. Where we were not able to source the exact revenue numbers for the 12 months ending 30 June 2009, we have estimated then using interviews and outside in analysis of the businesses. In short, these are our best estimates of revenues over the last 12 months (to 30 June 2009).
Site.............................................. Country.................. Revenue immoscout24.de.............. Germany........................ 147 realtor.com................................ USA..............................145 soufun.com.cn.......................China.............................119 realestate.com.au............ Australia........................ 110 rightmove.co.uk....................... UK...............................104 seloger.fr...................................France............................89 loopnet.com.............................. USA...............................83 rent.com...................................... USA.............................. 80 realtytrac.com......................... USA.............................. 50 domain.com.au.................. Australia.........................43 homegain.com........................ USA.............................. 40 move.com................................... USA...............................35 primelocation.co.uk.............. UK................................32
marketleader.com................ USA.............................. 30 fotocasa.es...............................Spain.............................26 immonet.de.......................... Germany.........................26 funda.nl...............................Netherlands.....................24 idealista.es...............................Spain.............................22 findaproperty.co.uk............... UK................................ 19 entreparticliers.com..........France............................ 19 immowelt.de........................ Germany......................... 18 zillow.com.................................. USA............................... 15 trulia.com.................................... USA............................... 15 reply.com.................................... USA............................... 15 pap.fr............................................France............................ 15
There are some sites that are not on the list as we didn’t have enough information on them – e.g. anjuke.com.cn and athome.co.jp. If you have any information on the sites we have covered above or those that we may have missed, please let us know. We are keen to keep this list up to date and expand it as best as possible. http://www.propertyportalwatch.com
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MARKET
OSCEOLA COUNTY
DYNAMICS 2 Years (Monthly) 05/01/10- 05/31/12
Key information Construction Type All Bedrooms All Bathrooms All Property Types Residential (Single Family Home)
Lot Size All Sq Ft All
OSCEOLA SFH DISTRESSED VS. TOTAL SALES– UNITS SOLD
This data is dependent upon timeliness of sales and totality of information reported by participants. The data reflects only the sales published through the Mid-Florida Regional Multiple Listing Service (MFRMLS) and does not include all sales in reported areas. Neither the Association nor the MFRMLS is in any way responsible for it’s accuracy. Data: Total Sales = all MFRMLS Osceola Single Family Housing (SFH) & Planned Unit Development (PUD). (SFH), (PUD)-REO/Bank Owned/Short Sale from Special Sale Provision. Ave. Days on Mkt is: Days to Closed
SUPPLY & DEMAND NUMBER OF UNITS (FS) Monthly Change -88.83 Monthly % -2.24 Total Change -2,131.94 Total % Change -53.68
For Sale -53.7%
MONTH’S SUPPLY OF INVENTORY (SOLD CALCULATION) Monthly Change -0.19 Monthly % -2.20 Total Change -4.58 Total % Change -52.69
MSI Sold -52.7%
MEDIAN PRICE (SOLD) LOW, HIGH, AVERAGE, MEDIAN Monthly Change 60.25 Monthly % 0.06 Total Change 1,446.09 Total % Change 1.34
Sold +1.3%
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EVENTS THIS JULY/AUG/SEPT
SEMINAR REGISTRATION CONTACT Kim Wagar EMAIL aeassistant@ osceola-realtors.com CALL 407 846 0117 Unless otherwise noted
July 2nd
July 12th
Toastmasters
No Victims
TIME: 5:30 pm - 6:30 pm
July 5th
Crime Awareness
3CE Hours TIME: 9:00 am - 12:00 pm Cost: FREE $35 for non members
July 11th
MLS iMapp TIME: 9:00 am - 12:00 pm
MLS Adding & Managing Contacts
TIME: 1:00 pm - 2:00 pm
3 CE Hours TIME: 9:00 am - 12:00 pm
4CE Hours TIME: 9:00 am - 1:00 pm
The Power of Relationship Selling
Cost: $25 for OSCAR and Osceola WCR members, $35 for non members
July 9th TIME: 5:30 pm- 6:30 pm
August 2nd
This course is a partnership between OSCAR and Osceola WCR. Lunch is provided for attendees sponsored by First American Title.
3CE Hours TIME: 9:00 am - 12:00 pm
Toastmasters
July 18th
Safety and Security
3CE Hours TIME: 1:00 pm - 4:00 pm
Osceola Brokers Committee Meeting
TIME: 4:30 pm - 6:30 pm
MLS Advanced Web Page Customization
July 23rd
Toastmasters TIME: 5:30 pm - 6:30 pm
July 30th
Toastmasters
TIME: 5:30 pm - 6:30 pm
August 1st
Global Real Estate: Local Markets TIME: 8:30 am - 5:00 pm Cost: $99 Lunch Provided
TIME: 2:30 pm - 4:30 pm
July 16th
Toastmasters
TIME: 5:30 pm - 6:30 pm
Preparing a Listing Contract August 6th
New Member Orientation TIME: 9:00 am - 12:30 pm
Quadrennial & New Member Code of Ethics
TIME: 1:00 PM - 4:00 pm
Toastmasters
TIME: 5:30 pm - 6:30 pm
August 8th thru 12th
Florida REALTORS速 Convention Orlando REGISTER AT: www.FloridaRealtor.org
August 13th
Toastmasters
TIME: 5:30 pm - 6:30 pm
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MLS Adding & MLS Listing Completing an Modifying Tools TIME: 12:00 pm - 1:30 pm Effective Sale Listings & Purchase (Español) MLS Agent TIME: 3:00 pm - 4:30 pm Contract Marketing 4CE Hours TIME: 9:00 am - 1:00 pm August 23rd Tools TIME: 2:00 pm - 3:30 pm MLXchange August 20th Basic NAR TIME: 9:00 am - 12:00 pm Leadership Summit MLS Chicago, IL Compliance 101 TIME: 1:00 pm - 2:30 pm Toastmasters TIME: 5:30 pm - 6:30 pm MLS Adding & Modifying September 12th Listings Code of TIME: 3:00 pm - 4:30 pm Ethics Toastmasters August 15th
TIME: 5:30 pm - 6:30 pm
August 21st
NAR Leadership Summit Chicago, IL
August 27th
Toastmasters TIME: 5:30 pm - 6:30 pm
MLXchange Basic (Español)
TIME: 9:00 am - 12:00 pm
MLS Compliance 101 (Español)
Core Law
September 13th
FHA Mortgage Loans September 10th
MLS Creating Custom Reports TIME: 9:00 am - 11:00 am
RPAC Auction
TIME: 6:00 pm- 10:00 pm Individual Ticket $25 Sponsored Table $300
September 17th
Toastmasters TIME: 5:30 pm - 6:30 pm
September 24
Toastmasters
TIME: 5:30 pm - 6:30 pm
3CE Hours TIME: 9:00 am - 12:00 pm
3CE Hours TIME: 1:00 pm - 4:00 pm
August 22nd
September 15th
3CE Hours TIME:9:00 am - 12:00 am
VA Mortgage Loans 100% Financing
3CE Hours TIME:1:00 pm - 4:00 pm
TIME: 1:00 pm - 2:30 pm
* Offices will be closed July 4th 2012 and Labor Day September 3rd 2012
CAN’T FIND SOMETHING YOU WANT TO ATTEND? Your REALTOR® Advocates work hard at providing you with the most up to date information going on here at the association. We are still human and may miss something so, if you can’t find information that you need, let us know. We welcome your encouraging input.
EMAIL webmaster@ osceola-realtors.com
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OSCEOLA COUNTY IS #1 FOR FOREIGN HOME BUYERS! Media Contact: Imram Mohammed Chair of the Global Alliance Committee
Osceola County is #1 For Foreign Home Buyers! Of all the homes sold to foreign buyers (with foreign mailing address) in the Orlando Metro area between May 2011 and January 2012 Osceola County came in ahead of Orange and Seminole Counties at 14.7% compared to 6.5% by Orange County and 3.5% by Seminole County! The increasing appetite by the international buyer for U.S. real estate has not gone unnoticed. Some of the major real estate companies, including Realtor.com, Coldwell Banker, Re/Max, and operator Move Inc. now have international versions of their real estate websites. Four states accounted for 58% of international sales in the year through March 2011, according to NAR: Florida (31 %), California (12 %), Texas (9 %), and Arizona (6 %). Other states corresponding to the markets on this list made up smaller shares of overall international sales: 3 % in New York and 2 % each in Hawaii and Nevada. International buyers came from a total of 70 countries, NAR reported, and the top five accounted for 53 % of transactions: Canada (23 %), China (9 %), the United Kingdom, Mexico, and India (7 % each). Source: National Association of REALTORS®’ 2011 Profile of International Homebuying Activity. International buyers tend to have different motivations for buying U.S. real estate than domestic buyers.
Foreign buyers are often limited to a six-month stay in the U.S. in any given year due to visa restrictions. In order to visit the U.S., foreigners must apply for either a B-1 visa for temporary business visitors or a B-2 tourist visa, both of which are typically limited to six months and may be issued for single or multiple entries. Travelers coming from one of the 36 countries that participate in the Visa Waiver Program may enter the U.S. without a visa if they are staying for 90 days or less. According to recent surveys, the most important factor influencing the decision to purchase was their belief that U.S. real estate was a secure or profitable investment, and their wish was to buy in a desirable location. “All real estate is local, and the important domestic market drivers -- jobs, consumer confidence, family formation, and economic growth -- have had major negative impacts on existing-home sales in domestic transactions,” NAR said in its 2011 Profile of International Homebuyers in Florida. “International sales of U.S. homes to foreigners, however, have different market drivers -- perceptions of value relative to foreign comps, the desire to diversify assets, potential vacation use, rental opportunities, and an interest in placing assets in areas with welldefined and secure property rights.” A home in the U.S. can serve several purposes for an international buyer. Many such buyers tend to see U.S. continued on page 25 //////
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continued on from 24 //////
real estate as a safe haven for their money in the midst of economic or political uncertainty in their home countries. Not all U.S. markets are universally appealing to outof-country investors; however International home buying activity is largely concentrated in a few areas of the country. Certain states like Florida for example are highly desirable for vacation; with favorable climates, beaches, an international ambience, and tourist attractions … did I forget to say Disney! Hard hit by foreclosures and the declining prices Central & South Florida became a Mecca for rental investment opportunities. Canada, the single biggest source of foreign buyers in the U.S., is experiencing a real estate boom, partially fueled by Asian investors, which some fear is actually a bubble waiting to burst. We in the Western world see China as an emerging market however speak with the Chinese and they will tell you that they see the world as an emerging opportunity. This is especially true when it comes to real estate; Chinese buyers purchase real estate for three main reasons: education, immigration and investment. Recent research shows that 85 % of China’s wealthy are looking to educate their children overseas, and 60 % of China’s wealthy are actively engaged in international investment or immigration. Policies put in place by China’s central government to curb China’s own real estate boom have also encouraged Chinese buyers to turn their eyes overseas. These policies include higher interest rates, higher down payment requirements, and limiting the number of homes families can buy in more than two dozen cities across China, including Beijing. On a more localized level; the Orlando area accounted for 14% of international sales in Florida in the 12 months through June 2011, 2nd only to the Miami area, according to NAR’s 2011 Profile of International Homebuyers in Florida. Orlando is the sixth most searched city for foreign site visitors on Realtor.com and Trulia, and the 2nd most searched city on Point2Homes (after Las Vegas, also on this list). Osceola County is the 2nd most popular location searched by consumers in the United Kingdom, behind Los Angeles! Between May 2011 and January 2012, 6.9 % of sold homes in the Orlando metro had a foreign mailing
address listed for the buyer on the property deed. Of the three counties that comprise the area (Orange, Osceola & Seminole), the two in which Disney World is located, Orange and Osceola counties, have the highest percentages of foreign buyers. Osceola County had the highest share, at 14.7%, followed by Orange County, at 6.5%. The third, Seminole County, had a 3.5% share. In all three counties, resale condos were the most popular property type: Foreign buyers accounted for a quarter of all resale condos bought between May 2011 and January 2012 in Osceola County. New homes were the second most popular property type, with foreign buyers accounting for 17% of new-home purchases in Osceola County. Canadians made up 46.1% of foreign buyers using a foreign mailing address during that time, followed by the U.K. (10.3%) and Brazil (7.6%) Your Global Alliance Committee is working to help our members capitalize on the appetite of the foreign buyer / investor. To this end we are putting in place various educational courses, presentations, and social activities to help our members become better equipped to deal with the International buyer. • We recently had a super presentation by Carol J. Kairis, CIPS, e-Pro, RCE, RSPS, SRES – NAR managing Director, Global Business on: Global Real Estate Trends in the U.S. & Florida and how it translates into $$$ for the REALTOR®. • On July 17th, 2012 we are having a presentation by attorney, Charles Castellon on legal issues and Selling to European buyers • On August 1st, the first course towards getting the Certified International Property Specialist Certification will be held right here at OSCAR • August 8th – 10th, 2012 At the Florida REALTORS® Convention – Global Alliance Participation • November 3rd, Gala Event! • On an ongoing basis, we are working with the Association to develop a complete database of our membership to identify languages spoken, country of origin, etc. This will be used to give our members the edge when people are searching for REALTORS® that they can relate to. Members are encouraged to provide their comments, suggestions, etc. Remember this is your organization and your involvement is always welcomed!
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OSCAR Osceola County Association of REALTORS® 1105 Shady Lane • Kissimmee, FL 34744
OSCAR
WELCOME NEW
MEMBERS
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OFFICES
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