The Residential Specialist, May/June 2015

SETTING THE

STAGE

Staging can make the difference between a fast closing and a show that never ends.

CRS-010

intelligence and

integrity

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contents

May 20 June 15 vol. 14, no. 3

18

THE WORLD’S A STAGE

Whether doing it yourself or hiring a professional, staging can boost a listing’s chances of being sold more quickly in any kind of market.

Photo: Eric Millette

By Regina Ludes

$

features

30

$

THE MOST-WANTED LIST 22 Going green, connecting to nature and creating cozy spaces are just a few of the trends CRSs are seeing in 2015.

$

By Daniel Rome Levine

26

H

INSIDE THE MILLENNIAL MIND

Young buyers are becoming a major force in the real estate market. Here’s what you need to know to work with them effectively.

By Gwen Moran

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L YOUR LOCAL FORECAST

Take an inside look at how four local markets fared last year and where they are headed in 2015.

By Gayle Bennett

The Council of Residential Specialists

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May June

contents

departments 4 VANTAGE POINT

May 20 June 15 vol. 14, no. 3

14

5

By Dale Carlton, CRS

5 SHORT LIST

Metro areas see a steady growth in city centers, and do REALTORS® feel safe while on the job?

9 COOL STUFF

Advancements in technology can help protect us from whatever the world wants to throw our way.

10 SMART SOLUTIONS

Online real estate listing services continue to captivate the public, but REALTORS® have the final word.

By Donna Shryer

12 INSIDE TRACK

A community-based marketing approach revolves around dollars and sense.

By Samuel Greengard

14 WINDOW OF OPPORTUNITY

37 16

Avoiding these common mistakes can help you do right by your client.

By Cheryl Winokur Munk

16 PEER TO PEER

Sven Andersen, CRS, RE/MAX Leading Edge, Winchester, Massachusetts

34 WORK + LIFE

inside CRS 37 NEWS FROM THE COUNCIL

Industry experts talked about the future of real estate at Sell-a-bration®, and next year’s event will be held Feb. 8–9, 2016, in Orlando, Florida.

The Monopolists: Obsession, Fury, and the Scandal Behind the World’s Favorite Board Game, by Mary Pilon Reviewed by Allan Fallow

+ Kitchen Confidential

New kitchen designs and products make kitchens more than just a place to cook.

40 CRS CONNECT

11

48 ASK A CRS

Advice from the country’s top agents

ON LY A T TR S MAG. C OM THE RESIDENTIAL SPECIALIST ONLINE Visit the new website at trsmag.com to access the digital edition of The Residential Specialist.

BE DISTINCT, NOT EXTINCT The zero moment of truth: when users decide whether to stay or click away from your site.

SET THE STAGE What percentage of agents stage homes and how does it affect the sale price?

Coming Next Issue ...

B US I N E S S I N TE L L I GE N C E F OR TH E CR S PR OFE S S I O NA L

Inspections 101 How important are inspections in the listing/sale process, and how have inspections changed over the years?

Lessons from top producers How can typical REALTORS® improve their performance based on advice from top producers?

EDITOR Michael Fenner mfenner@crs.com 800.462.8841 2015 COMMUNICATIONS ADVISORY PANEL Moderator: Lois Cox, CRS Co-Moderator: Marylea Todd, CRS 2015 COMMUNICATIONS ADVISORY PANEL MEMBERS Paula Angelopoulos Urbinati, CRS Bradley Fry, CRS Daniel Kijner, CRS Susanna Madden, CRS Colleen McKean, CRS Sandy McRae, CRS Georgia Meacham, CRS Margie Medlin, CRS Thai-Hung Nguyen, CRS Sandra Nickel, CRS Vivian Pike, CRS Debbie Solano, CRS Paul Wilson, CRS Arleen Yobs, CRS CONTRIBUTING WRITERS Gayle Bennett Samuel Greengard Daniel Rome Levine Regina Ludes Gwen Moran Donna Shryer Cheryl Winokur Munk STAFF WRITER Charlee Gibson OFFICERS: 2015 President Dale Carlton, CRS Chief Executive Officer Lana Vukovljak 2015 President-Elect Janelle Pfleiger, CRS 2015 First Vice President Leigh Brown, CRS 2015 Immediate Past President Ron Canning, CRS

PUBLICATION MANAGEMENT 847.205.3000 www.glcdelivers.com Publishing Manager Phil Malkinson Art Directors Scott Oldham Ivette Cortes Advertising Manager Michael J. Mrvica M.J. Mrvica Associates, Inc. 856.768.9360 mjmrvica@mrvica.com The Residential Specialist is published for Certified Residential Specialists, General Members and Subscribers by the Council of Residential Specialists.

The magazine’s mission is: To be a superior educational resource for CRS Designees and Members, providing the information and tools they need to be exceptionally successful in selling residential real estate.

The Residential Specialist is published bimonthly by the Council of Residential Specialists, 430 North Michigan Ave., Suite 300, Chicago, IL 60611-4092.

Periodicals postage paid at Chicago, IL, and additional mailing offices.

Change of address? Email requests to crshelp@crs.com, call Customer Service at 800.462.8841 or mail to CRS at the above address.

The Residential Specialist (USPS-0021699, ISSN 1539-7572) is distributed to members of the Council as part of their membership dues. Non-members may purchase subscriptions for $29.95 per year in the U.S., $44.95 in Canada and $89.95 in other international countries. All articles and paid advertising represent the opinions of the authors and advertisers, not the Council.

POSTMASTER: Please send address changes to: The Residential Specialist, c/o Council of Residential Specialists, 430 North Michigan Ave., Suite 300, Chicago, IL 60611-4092.

COPYRIGHT 2015 by the Council of Residential Specialists. All rights reserved. Printed in U.S.A.

crs.com

Vacation and second homes Do people have more resources now to spend on a second home? Find out how the market has changed since the recovery began.

Work-Life balance Learn tips and strategies to use to unplug and live your life while continuing to be a successful and responsive professional.

PLUS:

Construction of rentals is increasing, but are apartments being overbuilt?

Have perspectives on homeownership shifted?

Would you like to be a source for a future story in The Residential Specialist? Send an email to mfenner@crs.com

to be added to our potential source list. To see a list of the topics we’ll be covering, check out the magazine’s 2015 editorial calendar online at crs.com.

WHO ON YOUR

TEAM could benefit by receiving a personal copy of The Residential Specialist?

STAY INFORMED The Council of Residential Specialists provides superior education, exceptional networking opportunities and critical resources. The Council’s flagship magazine, The Residential Specialist, delivers the latest industry trends, success stories and proven strategies to grow your business.

To subscribe for yourself or a colleague, call 800.462.8841.

Note: Members of the Council of Residential Specialists receive the magazine as part of their member benefits.

[vantage point]

from the desk of Dale Carlton, CRS, 2015 president

A NEW

model ďƒ˜

Photo: Adam Murphy

Last year, the CRS Board of Directors approved a new plan to reorganize the structure of our chapter organization. Since then we’ve been working hard to lay the foundation for an organization that enables all CRS members to get involved.

The new structure will provide a supportive community for CRS members and a voice for the designation. Each state or region will have a network of members who, with support from the Council, will coordinate local activities such as education, networking, mentoring, public awareness and outreach. Every member will have more opportunities to participate, network and volunteer.

This change eliminates the need for chapter dues, requiring only one CRS annual membership dues payment. This single payment will include all your CRS member benefits as well as access to your state/local affiliation.

Each state CRS will include a forum to enable members to communicate with their peers online and a single calendar to help members choose how and where they would like to connect.

I have taken advantage of the many opportunities CRS has offered since I earned my CRS Designation in 2005.

I am proud to say I am a CRS and I know my involvement has taken my career to a higher level. As your 2015 CRS President, I am confident that this restructuring will result in a host of positive changes for our members by increasing member benefits, simplifying the member experience and encouraging stronger connections.

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T HESE CHANGES WILL BUILD MEMBER BENEFITS, SIMPLIFY THE MEMBER EXPERIENCE AND ENCOURAGE STRONGER CONNECTIONS.

[short list]

+ industry headlines + statistics + trends



THINGS WILL BE GREAT WHEN YOU’RE

downtown

A decades-long trend toward decentralization of employment in major metropolitan areas seems to have turned around, according to a recent study by City Observatory. During the latter half of the 20th century, as many people moved from the city to the suburbs in search of low-density housing, many retail and service businesses followed them. Likewise, many corporations moved their downtown operations to sprawling suburban office campuses far from the city center.

During the economic expansion from 2002 to 2007, this trend of job decentralization still ruled, the study finds. City centers saw employment growth of barely 0.1 percent per year, while the outlying suburban areas grew 10 times as fast.

But today, a growing influx of talented young workers are moving into urban neighborhoods, and employers are taking notice, the study concludes. A growing number of firms report they are choosing downtown locations in order to tap into this growing talent pool of young workers.

Since 2007 — the period coinciding with the onset and early recovery from the Great Recession — the 41 metropolitan areas tracked by the study showed a 0.5 percent per year growth in city center employment while outlying areas recorded a 0.1 percent decrease. While only seven city centers outperformed their surrounding metro areas in the 2002–2007 period, 21 outperformed the periphery from 2007–2011.

.5

%

per year growth in city center employment

CITY LIFE

Livability.com recently released its 2015 list of the Top 10 Best Downtowns, and Pittsburgh took the top spot due to its vibrant population of downtown residents, low vacancy rates, large number of new homeowners, walkable neighborhoods and many cultural amenities.

Similar to Pittsburgh, many cities that made Livability’s list continue to grow in population. Most feature walkable streets and thriving art scenes.

And as Americans are increasingly shortening their commute by living closer to their jobs, they will continue to seek out downtown areas as an ideal place to work, play and live.

The top 10 most livable small to midsize downtowns in America are:

1. Pittsburgh 2. Minneapolis 3. Indianapolis 4. Greenville, South Carolina 5. Salt Lake City 6. Alexandria, Virginia 7. Fargo, North Dakota 8. Lincoln, Nebraska 9. Somerville, Massachusetts 10. Evanston, Illinois Source: Livability.com

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[short list]

+ industry headlines + statistics + trends



ALL LANES

now open

The Federal Communications Commission approved regulations that will protect the Open Internet, commonly known as Net Neutrality. NAR supported adoption of these regulations that will “be essential to ensure that REALTOR® content may be freely and efficiently distributed online,” the association says.

The rules prohibit Internet service providers from creating what amounts to paid prioritization of Internet traffic — in other words, fast lanes and slow lanes. In a statement, the FCC said: “These new rules are guided by three principles: America’s broadband networks must be fast, fair and open — principles shared by the overwhelming majority of the nearly 4 million commenters who participated in the FCC’s Open Internet proceeding.”

The FCC decision points out that as the Internet has evolved, broadband service providers “have even more incentives to interfere with Internet openness today.” The new rules prohibit blocking, throttling or prioritizing of broadband service.

“We cannot have a two-tiered Internet with fast lanes that speed the traffic of the privileged and leave the rest of us lagging behind,” FCC commissioner Jessica Rosenworcel said in a statement. “We cannot have gatekeepers who tell us what we can and cannot do and where we can and cannot go online.

And we do not need blocking, throttling and paid prioritization schemes that undermine the Internet as we know it.”

The decision ensures that consumers can access video and other content on a REALTOR’S® website just as fast as they can access video on YouTube or Netflix.

DANGER UNDER THE SURFACE

Drowning surpasses all other causes of death to children age 14 and under in Arizona, California and Florida.

After a long and dreary winter in many parts of the country, children and adults alike will be anxious to open up their swimming pools once again.

But homeowners with pools should be wary — backyard pool drowning is the second leading cause of unintentional injuryrelated death in children (those under the ages of 5 are most at risk). Here are some statistics to keep in mind:

May June

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The Residential Specialist trsmag.com

NAR President Chris Polychron, CRS, said the new regulations “are essential to the modern business of real estate that is increasingly conducted online.”

“NAR is pleased that the FCC will implement net neutral practices and prohibit paid prioritization, which would have created a two-tiered Internet and put REALTORS® and other small business owners at a competitive disadvantage,” he said. “The new rules are a victory for consumers, and for REALTORS® who embrace technology and online resources to meet the needs of their clients.”

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300 69 children under the age of 5 drown in swimming pools each year.

%

of those children were not expected to be in or near the pool, but were found drowned or submerged in the water.

77

%

of the accident victims had been missing for five minutes or less when they were found in the pool.

MOVING TARGETS Nearly half of American households plan to move at some point in the next five years, according to a survey conducted by the Demand Institute.

Seventy-five percent of participants who plan to move report that location is a top consideration for moving, and 47 percent feel that the location is more important than the home itself.

Many movers are not going far: The report finds that 59 percent are only moving within 30 miles of their current home. Thirty percent of those surveyed plan to move out of state, hitting a record low since 2000. The Western and Southern U.S. continue to be the top destinations for those seeking a

How close do homebuyers want to be to neighborhood amenities?

Those who say a short drive is OK Y S T ORE

S

22 %

RES

40%

D GR E E N S

HC A RE SER V IC

62%

P

10%

35 %

R E TA I L

ÉS

RANTS AND CAF TAU

AN KS

ALT

A CE

PAR

63 %

56%

Those who want their amenities within walking distance

HE

OCER



The U.S. homeownership rate slipped from 64.4 percent in the third quarter of 2014 to 64.0 percent in the fourth quarter, according to a study by the U.S. Department of Commerce. The homeownership rate is now the lowest it has been in 20 years, and the decline has affected all four of the nation’s regions. The fourth-quarter 2014 homeownership rate was 1.2 percent lower than the Q4 2013 total.

Both the rental and homeowner vacancy rates declined in the fourth quarter of 2014. National homeowner vacancy rates ended the fourth quarter at 1.9 percent, down 0.2 percent from one year ago.

National rental vacancy rates in the fourth quarter of 2014 decreased 1.2 percent from a year earlier.

Homeownership rates in the fourth quarter of 2014 were highest for homeowners age 65 and older, at 79.5 percent, and the lowest for those 35 years of age and younger, at 35.3 percent.

ES

GR

OWNERunOCCUPIED

location with ideal climate or those seeking a location to retire.

Although more than 90 percent of households own at least one car, Americans still tend to place importance on walkability and neighborhood amenities they have close to home. The survey found that walkable communities register stronger growth in home prices compared to less walkable communities. Those surveyed living in a highly walkable community are 16 percent more likely to report their quality of life has improved in the past few years compared to those who do not live in a walkable neighborhood.

20%

57 %

Pillar To Post Home Inspectors offer these critical safety tips for pool owners: ÄÄ Vigilance by the caregiver is critical. ÄÄ Children cannot be left unattended near the pool even for a brief time (most drownings occur even when the parents are supervising). ÄÄ Install a physical barrier system around the pool area. ÄÄ A fence or gate should be at least 4 feet tall and vertical openings should be spaced no more than 4 inches apart so that a child cannot squeeze through. ÄÄ Do not leave toys in the pool or deck that will entice children (keep them in a bin in a separate area). ÄÄ Install an automatic safety cover over your pool.

12%

ÄÄ Invest in a water disturbance alarm (designed to sound if a water disturbance is detected such as a child falling into the pool). ÄÄ Keep an emergency telephone by the poolside. ÄÄ Have basic rescue equipment easily accessible and in working order, such as a rescue hook or throw float.

Ensure your pool is safe and you and your family can enjoy the summer months well-protected and accident-free.

For more information, visit www.pillartopost.com.

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May June

THE AFFORDABILITY TRIFECTA

[short list]

A slight decrease in interest rates and lower median home prices gave housing affordability a slight boost in the fourth quarter of 2014, according to the National Association of Home Builders (NAHB)/Wells Fargo Housing Opportunity Index.

+ industry headlines + statistics + trends

The five lowestcost metro areas The five most expensive housing markets

The Index showed that 62.8 percent of new and existing homes sold between the beginning of October and end of December last year were affordable to families who earn the U.S. median income of $63,900. That’s an increase from the 61.8 percent

recorded in the third quarter of 2014. The national median home price declined 2.63 percent in the fourth quarter, from $220,800 to $215,000.

Meanwhile, average mortgage interest rates declined from 4.35 percent to 4.29 percent in the same period.

“Affordable home prices, historically low mortgage rates and an improving job market will release pent-up demand and help keep the housing market moving forward in the year ahead,” NAHB Chief Economist David Crowe says.

New York  Akron, Ohio  Dayton, Ohio  Harrisburg-Carlisle, Pennsylvania  Scranton-Wilkes} Syracuse, Barre, Pennsylvania.

Francisco-San Mateo-Redwood City, California  Los Angeles-Long Beach-Glendale, California  Santa Ana} San Anaheim-Irvine, California  San Jose-Sunnyvale-Santa Clara, California  New York-White Plains-Wayne, New York.

SAFE AS houses



The National Association of REALTORS® (NAR) safety survey, which was completed by nearly 3,000 REALTORS®, finds that the majority of REALTORS® feel safe while on the job. The survey also found that 96 percent of participants have never been the victim of crime, but 40 percent have found themselves in situations where they have feared for their safety or the safety of their personal information.

Most REALTORS® are aware of the risk their job entails and take precautions in one way or another. One-third of surveyed members carry a self-defense weapon, while 38 percent have participated in self-defense classes as a proactive safety measure, and 13 percent use a smartphone safety application to track their whereabouts or alert colleagues of an emergency. Many REALTORS® also are careful when showing a home to a stranger by first establishing a public meeting place, whether it be at their office or another safe location.

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40

%

of REALTORS® have found themselves in situations where they have feared for their safety.

Forty-six percent of respondents said their brokerage has standard procedures for agent safety in place, but 54 percent said their brokerage either had no safety measures in place or they were not aware of them. In response to the ever-growing concerns for safety, NAR announced that it will continue to expand its REALTOR® Safety Program in 2015 by unveiling new materials and applications for members and associations throughout the year.

“When I became NAR president last year, I pledged to make REALTOR® safety a priority and develop new education and resources for the industry,” said NAR President Chris Polychron, CRS, executive broker with 1st Choice Realty in Hot Springs, Arkansas. “It is important to know how safe or unsafe our members feel, what causes them to feel unsafe and what steps they are taking to keep themselves out of harm’s way, so that we can respond and provide the best tools tailored to our members’ personal safety needs.”

See the survey’s accompanying infographic at www.realtor.org/ infographics/realtor-safety.

safety

[cool stuff]

acquisitions on a theme

19.99

$

FIRST

BSAFE APP

The Bsafe app is designed to keep your choice of contacts aware of your location. The app alerts your contacts if you aren’t back home within a given time frame or if you activate an alarm.

Alerts include your current GPS location as well as video from your smartphone’s camera.

This app is available on iPhone, Android and Blackberry devices. The basic features of the app are free, but advanced features require a $19.99 yearly subscription.

bsafeapp.com

$

69.99

“You can never be too safe.” You have heard it before. Luckily, today’s advancements in technology can help protect us from whatever the world wants to throw our way. It’s up to all of us to prepare, and The Residential Specialist found some new tech tools that will help you safeguard your life.

KEYLESS ENTRY PADLOCK Fuz Designs’ Noke is a smart padlock you can unlock with your smartphone. There’s no need to carry around a key or remember a lock combination — you have enough on your mind. Even expert villains cannot get past the lock’s exterior, the company says, which is made of hardened steel and boron. The lock connects to your phone and can be unlocked from 10 feet away. The Noke will begin shipping in June 2015.

fuzdesigns.com/pages/noke

RING VIDEO DOORBELL

WIRELESS HOME ALARM SYSTEM

Too lazy to get off your couch and answer your door? So are the people at Ring. They have created a doorbell that is much more than a “ding-dong.” It includes an HD video camera featuring audio, and the live feed can be streamed wirelessly to your smartphone. That’ll help you decide if you need to answer the door for a friend or package delivery, or skip it if it’s a solicitor. Whether you $ 199.00 are saying goodnight to your kids or you’re across town at another showing, you can always see who is ringing your doorbell.

Trying to channel your inner James Bond? Skylink Net’s app-controlled complete home alarm system should put you on the right path. The starter kit includes one motion sensor, $ 149.99 a key fob, two window or door sensors and a main hub that connects to Wi-Fi. Once it’s all hooked up, you get a home security system that chimes if someone tries to break into a locked front door, creeps in through a window or somehow sneaks in and trips the motion sensor. The company says what sets this alarm system apart from the rest is ease of setup and lack of monthly fees.

ring.com

skylinkhome.com

249.99

$

STRATOS CARD

Fix a cluttered wallet with one card to rule them all. Stratos is a Bluetooth-equipped card that can hold all of your credit, debit, $ 95/oneloyalty, gift and membership year; $190/ cards in one. Cardholders make two-year purchases using a fingerprint, and the card never displays your account numbers. It also uses bank-level encryption.

A special Stratos smartphone app enables you to shut down a card in the event it is lost or stolen. stratoscard.com

“FOONF” CAR SEAT

Forget your keys again? Or were you in a hurry and forgot to lock your house? We have all been there. Thanks to the August Smart House Lock, you no longer have to turn the car around and head back home. The sleek Smart House home lock allows you to lock and unlock your home wherever you are via an app that allows you to easily control who has access to your home at any given time.

Although you cannot help but giggle at the name “Foonf,” child vehicle safety is no laughing matter. The manufacturer Clek offers a car seat made of 100 percent $ 400.00 recyclable materials and the same technology used to eliminate energy from impact as the outside of your car. The company says the car seat can reduce the impact transmitted to a child by up to 40 percent.

august.com

clekinc.com/foonf

AUGUST SMART HOUSE LOCK

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[smart

solutions]

streamlining your business through technology

DATA

crunch Online real estate listing services continue to captivate the public, but REALTORS® have the final word



Kimye, Brangelina, Bennifer … and now Zilia, the latest “celebrity” blending. The merger between Zillow, the most-trafficked real estate listing website, and its main competitor Trulia was finalized on February 17, when the FTC granted Zillow a green light to create the Zillow Group.

The union wrought two immediate results. First, the Zillow Group assumed top-dog as the dominant online real estate listings portal, accounting for nearly 48 percent of Web traffic for listings — not including local website traffic. Secondly, the merger recharged an ongoing debate over the pros and cons surrounding consumer-centric real estate search capabilities — and whether these sites affect REALTORS’® businesses.

The general consensus among REALTORS®? Online real estate listing portals, no matter how big or numerous they become, won’t significantly change existing market dynamics.

By Donna Shryer

Property buyers, sellers, renters and curious homeowners will continue to rely on real estate database websites for home-related information, statistics and facts.

Real estate agents and brokers must acknowledge that these databases are useful starting points for consumers but stress that they can feature misleading information, out-ofdate data and erroneous facts.

If It’s on the Internet, It Must Be True

There’s no denying that online real estate listing portals impact the way consumers approach buying, selling, renting and assessing their home’s value.

“I read that 90 percent of home searches now start online,” says Karrina Brown, CRS, broker associate with RE/MAX Executives in Springfield, Virginia.

In addition, online real estate portals add an element of fun to home shopping, says William True, CRS, broker/owner with Sarasota, Florida-based True Real Estate Inc. “You enter a zip code and see home videos and photographs. No one asks if the photos are staged or the facts are true. It’s a game.”

There’s also the issue of Zillow’s Zestimates, which use an algorithm based on property assessments. While the Zillow Group calls their Zestimates reliable, True challenges this A Pew Research Center survey reports that Americans love online research. This includes exploring websites for real estate information and then talking to an agent.

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claim, adding that many consumers mistakenly confuse Zestimates with official real estate appraisals. “Assessed value and market value are different things,” True says. “The assessor doesn’t know if my basement floods. Without this information, a home’s Zestimate could be inflated. Sure, the Zestimate is right there in print, but it’s misleading. Once the consumer realizes the truth and reduces the price — often suggested by a respected agent — the home’s been on the market so long that everyone thinks it’s a dog.”

which can waste time and create false leads.

For example, there’s “real estate voyeurism,” reports Quincy Virgilio, CRS, chairman of the board for MLSListings, and broker associate at Keller Williams Realty in Silicon Valley, California. “Zillow reports 80 million visits per month, but only about 5 million homes are sold in the U.S. every year. If you go deeper, 70 percent of those 5 million Online real estate listing porhomes are referral-based sales. Now you’re tals affect the way consumers looking at maybe 1.5 million homes sold approach buying, selling, renting from an online lead. So there is a lot of and assessing their home’s value.

Internet activity, but the lead conversion rate Truth Be Told remains small. It’s just satisfying millions of people’s curiosity.”

In response to consumers’ unwavering faith in Internet conIt’s also the agent’s responsibility to explain right from the tent, brokers and agents have had to change their opinions get-go that online real estate listing portals have limitations. of online real estate listing sites, stresses Julie Beall, CRS, “These portals are a comprehensive data source, but the broker owner of Julie Beall Inc. REALTORS® in Springboro, information is far more accurate for new condominiums vs.

Ohio. “It’s where our buyers and sellers get their information. older homes,” Brown says. “You could have two homes built To stay on top of things, we have to routinely scope out these in the 1940s, one in great condition and the other needing sites, so we know what our customers think they know — $150,000 worth of work. Zillow, for example, has no way of especially if they’re relying on bad data,” Beall adds. knowing that, so both homes may have identical Zestimates.”

A reputation for hyper-local insight brings referrals, which Cox stresses, however, that online listing sites do help conhave gained greater importance since the advent of online sumers come up with a “short list” of homes to view. “When real estate listing portals, says Lois Cox, CRS, sales agent with the client searches online for neighborhoods and homes that Berkshire Hathaway HomeServices Drysdale Properties, Pleasmeet certain criteria, they can do their own drive-bys and anton, California. “Online listings don’t have the specialized decide if a home stays on the list or gets crossed off. When information I have. As my clients’ trusted real estate advisor, clients do their own preliminary Find the listings I protect my clients’ rights and their financial investment.” search and viewing, this gives me and research time to do what I do best, which is to data that your clients are lookNavigating Speed Bumps help my clients make a smart investing at by visiting No one disputes that the information superhighway provides ment or complete a wise sale.” www.zillow. com and www. useful real estate data, but the current system also presents trulia.com. speed bumps that skew the buying, selling and renting process, Donna Shryer is a freelance writer based in Chicago.

Mac v s. P editi C on

G A D G E T I N S P E C T O R ❘ high tech tools & toys

THE NEW APPLE MACBOOK IS THE THINNEST AND LIGHTEST YET

MICROSOFT’S UNIVERSAL FOLDABLE KEYBOARD ALLOWS FOR TYPING IN TIGHT SPOTS

Apple’s newest version of the MacBook, released this April, is 24 percent thinner than its previous version, which was already incredibly thin. It also weighs only 2 pounds and still manages to feature a high-resolution, 12-inch Retina display. This new MacBook features revisions on just about all of the standard laptop features: a new keyboard with bigger keys and individual backlights on each key, a new touchpad with four Force Touch sensors that respond to varying pressures, and a cutting-edge USB-C port that is used for both powering the laptop and connecting external devices.

The Microsoft Universal Foldable Keyboard is a Bluetooth keyboard accessory that works not only with Windows devices, but also iOS and Android phones and tablets. The main difference between this keyboard and the many other Bluetooth keyboards on the market is its ability to be folded in half, making it similar in size to a CD jewel case, or about 5 inches x 6 inches and 0.45-inch thick.

This makes the keyboard easy to throw in your briefcase or luggage and carry with you to work on the go.

For more information, visit apple.com/macbook. Starts at $1,299.

For more information, visit Microsoft.com. Retails for $99.95.

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[inside track]

what’s trending in real estate

COMMUNITY

center

A community-based marketing approach revolves around dollars and sense.

By Samuel Greengard



These days, blog posts, articles and videos constantly tout the power of social media and digital communications. But while online marketing methods are cheaper and faster than conventional approaches, they aren’t always better. “Building a successful business in real estate requires a strong connection to the community,” says Sandra Nickel, CRS, broker and owner of Sandra Nickel Hat Team, a realty firm in

FIVE WAYS TO PUT COMMUNITY-BASED MARKETING TO WORK May June

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Montgomery, Alabama. “People have community-based marketing to to know you’re there and they have boost their business and forge to trust you.” deeper ties to the community.

Nickel takes community marWhile some join local civic and keting seriously. She serves on the philanthropic organizations, others board of directors for the Landchannel efforts into schools, youth marks Foundation of Montgomery, sports, law enforcement groups a local historical preservation and homeowners associations. Still society. She sponsors local festiothers distribute market reports vals and events, aids a community that homeowners value. theater and participates in the “Community-based marketing Chamber of Commerce and other makes a lot of sense for real estate local activities. Finally, she proagents because it can help increase motes her firm with a distinct logo name and brand awareness in the and marketing strategy, which she communities where they are marcalls the Smooth Move program. keting and selling properties,” says It’s used on her business cards, Brooke Jackson, owner of Bolt Marstationary, sales signs and vehicle. keting Group in Portland, Oregon.

Like Nickel, agents are quickly “It is natural, non-intrusive and can learning to connect to the power help increase customer loyalty and of local. They are turning to word-of-mouth marketing.”

Join civic and charitable organizations such as a Chamber of Commerce, a historical society, the PTA or groups dedicated to business or community improvement.

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Distribute real estate market reports and other materials that can serve as a resource for the community.

Beyond the Flyer transaction involving a family at “Engage people and partners who It’s no secret that people tend to do the school. She also offers veterans, also have a vested interest in their business with others they know and law enforcement, firefighters and community — an amazing chef, trust. Community-based marketing others a 25 percent rebate on her a local winery, a music store or is predicated on the idea that there’s commission as part of a national a nonprofit. With these partnervalue in forging strong ties — and Homes for Heroes program she has ships come unique opportunities,” people are likely to remember those joined. “It’s beneficial for everyone. she suggests. with whom they share a bond. “You All of this has led to referrals and Nickel believes that success really have to think about your new business,” she says. in community-based marketing interaction with any given person Community touchpoints are also revolves around following one’s and how it will benefit them,” states important to Kyle Killebrew, CRS, passions — all while creating Melanie McShane, CRS, an indepen- broker and partner at The Real consistent branding through a logo, dent broker for BrokerInTrust Real Estate Group Inc., in Springfield, stationary and more traditional as Estate in Arcadia, California. “They Illinois. “If you are too aggressive well as online marketing techhad something to write on before with marketing and advertising, it niques. “I would participate in all you gave them a notepad. They had can backfire. I don’t care to have the same activities and groups even a way to keep track of things before my name on bus benches or on my if I wasn’t involved in real estate,” you handed them a calendar.” vehicle,” he says. Instead, Killebrew she says. “I believe that my passion Several years ago, when McShane organizes neighborhood events lived in a gated Southern California to clean up trash and debris, fix “ You really have to think community where door-to-door swings and equipment at playabout your interaction with soliciting was forbidden, she was grounds, and take on other tasks forced to think more creatively that improve the community and any given person and how about how to promote her services boost home values. All of this has it will benefit them.” to 150 fellow homeowners. She catapulted him to the top of the —Melanie McShane, CRS, independent broker began contributing to a local agent sales rankings for the city. newsletter, organized block parties “If you are viewed as a community and became involved with the leader and a thought leader, people comes through and it creates more neighborhood watch group, at think about you when they require natural and valuable connections.” one point holding meetings at her a broker,” he explains.

It’s important to focus on the house on Saturdays. “It was a great long-term, McShane insists. “Success introduction point and because Passion Bears Fruits doesn’t happen overnight. You have I had a flyer that indicated I was There is no shortage of ways to to be visible in the community, build sponsoring the program, it was engage in community-based market­ relationships and make a commita way to get my name in front ing, including sponsoring a Little ment to help people or better their of them in a very positive and League team, co-sponsoring a local lives. Community-based marketing non-intrusive way,” she explains.

5K race or assisting with fundraisdoesn’t require a lot of money, but it Even after moving away from ers. Jackson says that the common does require diligence and perthat community she continues to denominator is a willingness to sistence. If you do it right, people sell an average of three houses adopt “a personal, boots-on-thesee you as someone per year there, McShane says. ground strategy … and learn more making a positive To build a reputation in your Meanwhile, her involvement with about your customers so you can, impact and someone community, local law enforcement and parin turn, become a better partner.” they know and trust.” volunteer with your local ticipation with the PTA at her Wendy Ogunsemore, owner of Chamber of son’s school has built additional the marketing firm 24Seven StratSamuel Greengard is a writer Commerce, bridges. McShane donates $1,000 egies in Seattle, agrees that a focus and author based in West Linn, School Board or food pantry. to the PTA for any real estate on partnerships can pay dividends. Oregon.

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Sponsor youth sports teams or races, such as 5Ks, 10Ks and marathons.

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Organize community events for litter pickup, graffiti removal or improving parks. Use Facebook and social media to create online communities.

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Develop a logo and unified branding message and use it on all your communications, and perhaps your vehicle.

The Council of Residential Specialists

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May 13 June

[window of opportunity]

strategies to grow your business

lose A NEGOTIATION

Avoiding these common mistakes can help you do right by your client.

May June

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HOW TO

The Residential Specialist trsmag.com

By Cheryl Winokur Munk

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Elaine Byrne, CRS, recently dealt with a REALTOR® who was so belligerent that her client refused to consider the bid he had submitted. Even though it was one of the best offers on the table, Byrne’s client simply didn’t want to deal with him.

“During negotiations, especially when there are multiple offers on a property, things like how the REALTOR® presents himself or herself become important,” says Byrne, a broker with Elaine Byrne Realty in Austin, Texas.

Negotiation is most definitely an art, but there’s also a certain science to understanding how not to act during the process. Even seasoned REALTORS® sometimes find themselves engaging in negotiation tactics that can delay a deal or make it an unnecessarily unpleasant experience. The trick is to learn from these experiences and try to avoid them in the future.

In many circumstances, it’s a big negotiation no-no when REALTORS® are too pushy or demanding. Even worse, perhaps, is when agents make snap judgments about an offer, or take it as a personal affront. This type of behavior can do irreparable damage to the negotiation process. “It’s not about the REALTOR®, it’s about the client,” says Byrne. “Whether you represent the buyer or the seller, do not insert yourself into the negotiation.”

It’s a hard lesson to learn and even more difficult when you’re on the receiving end of a tirade.

Mandy Becker, CRS, recalls a listing agent who took her indignation over an offer she considered low-ball to an extreme. Instead of reaming her out, Becker says the REALTOR® should have realized it was only an initial offer and been more willing to collaborate.

In the end, the deal closed for about $10,000 to $15,000 more, but the angst the agent caused made the whole situation unnecessarily unpleasant. “Offers are usually starting points. If you can get past the egos and get into the back

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For more information on how CRS can help you improve your negotiating tactics, visit www.crs.com/ education.

“ Offers are usually starting points.

If you can get past the egos and get into the back and forth of negotiations, there s really a good chance it can work out.”

$50,000 or $5 million transaction.

If the parties can relate to each other, it can help the negotiation process immensely,” she says.

Deals can also get derailed when details about an offer are not clearly set out in writing. Sandie —Mandy Becker, CRS Hea, CRS, an agent with RE/MAX Results in St. Louis, Missouri, and forth of negotiations, there’s really a good had a situation recently where another agent chance it can work out,” says Becker, broker/ presented a written offer, but then negotiated owner of RE/MAX Southern Shores in Myrtle the terms of the counter-offer verbally. This led Beach, South Carolina. to problems when Hea’s client, the seller, got a better offer in writing. After some back and Talk, Don’t Text forth, the original parties came to an agreement, While it can be a wonderful thing, technology but Hea says it would have gone much smoother can also hurt the negotiation process. REALhad the terms been TORS® must be careful not to rely on technology put on paper initially. too much while ignoring face-to-face and tele“Don’t do anything phone communications. You never really know verbally because it will how your email or text will be understood — or come back to bite you,” misunderstood — by the person reading it. she says.

Jackie Leavenworth, a CRS certified instructor Issues can also arise who lectures internationally about sales skills during negotiations The most recent NAR Profile of Home Buyers and Sellers and negotiation tactics, experienced this firstwhen REALTORS® inad- reports that 87 percent of buyers identified negotiation skills hand about a year ago after she sent an email vertently lose control as a very important quality for their real estate agents. There to a co-worker with the words: “You’re not still over their clients. Rich are numerous classes you can take to help brush up on your following up with the D.C. client, are you?” Leav- Sands, CRS, president negotiating skills, including some that count toward your enworth meant to convey that the co-worker of Rich Sands Seminars CRS Designation. These classes include: had tried hard enough and it was time to move in Aurora, Colorado, ÄÄ Client Negotiations: Unlocking Hearts vs. Locking Horns on. The co-worker, however, interpreted the remembers one instance ÄÄ Negotiation Tactics and Strategies email to mean that she hadn’t been doing her where the potential ÄÄ Negotiations: The Games People Play job properly and reacted defensively. buyers walked out of ÄÄ Win-Win Negotiation Techniques This example really drives home the lesson the closing because his that technology may be faster and more efficlient, the seller, was cient, but it isn’t always more effective. “If your such a bully. Sands managed to salvage the message can be misinterpreted in any way, or deal, but says in hindsight that he should have there is a decision to be made, don’t send it by done more to rein in his client earlier on. “I email or text. Talk to people,” says Leavenworth, kept thinking ‘We’ll get through this, we’ll get who also owns Jackie Leavenworth Seminars. through this,’ and we almost didn’t get through it,” says Sands, who teaches several courses for Find the Right Balance the Council of Residential Specialists.

Negotiation is a balancing act. It’s easy to get When it comes to negotiating successfully, carried away and inadvertently give too much REALTORS® will get a lot further by listening information that could disadvantage your carefully to all sides, trying to understand clients, such as their need to close quickly or everyone’s motivations, being respectful and the actual amount they are willing to spend on keeping their own emotions in check. “That’s a property. On the other hand, Joanne Stone, one of the hardest things I’ve learned over the CRS, a broker with RE/MAX Realty One in years,” Hea says. “It’s really the client’s decision.

York, Maine, finds it beneficial to share certain We can’t take it personally.” information about her clients that she thinks will help foster relationships. “Buying or selling Cheryl Winokur Munk is a freelance writer and editor based in a home is a very personal matter, whether it’s a West Orange, New Jersey.

BRUSHING UP ON YOUR NEGOTIATION SKILLS

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May 15 June

RE/MAX Leading Edge, Winchester, Mass.

What is the “ Being a CRS Designee difference between elevates the level of being a REALTOR® and a CRS? professionalism in my The Designation elevates your business practices. practice because you have Both personally and the opportunity to meet and for each process to see if it’s learn from the best CRSs in not work in real estate at all. professionally, I have the business. Networking working. When we conduct our He stays on top of everything. enabled me to ask for insights grown because of my periodic review, we alter anyI can’t be everything to into best practices so we thing that is not worthwhile. everybody — you lose focus CRS Designation.” don’t have to recreate the We spend so much money when you do that. That’s my wheel. In my opinion, being I understand that order. My listing coordinator/ in this business, you have to motto for my team. We are a CRS Designee elevates the you spoke at the assistant helps me in our make sure you’re keeping an prosperous because we are level of professionalism in recent Sell-aday-to-day activities and has eye on everything. For me, the experts in our marketplace my business practices. Both bration®. What did been instrumental in helping biggest help has been the and in building our business. personally and professionally, you talk about? me grow our team. Together book The Millionaire Real Estate I have grown because of my The do’s and don’ts of having we continue to keep our Agent, by Gary Keller. It is What is your CRS Designation. a real estate team; what to clients happy. In this business, the best book around. I look market like? do to keep your team focused, it’s rare to find someone who at it as the ultimate guide to We are eight miles outside of What aspect of and who you should hire and likes to do everything; the key leverage our business.

Boston. The caliber of clients being a CRS has why. I covered the best of to success is finding the right we deal with — professors, been most helpful what I’ve learned over the people to do the parts of the When you are doctors, attorneys, financial to your business? years it took me to grow my business they’re best at and looking to add to professionals — crave a I would say that sharing own team. continue to challenge them your team, what level of service they can’t get marketing ideas with other while giving them the tools to kind of person are elsewhere. We treat them CRS members has been the It sounds as if meet and exceed their goals. you looking for? Is well — we’ll pick them up at most helpful. We’ve formed you’re speaking it someone who has the airport if they’re coming a small marketing group to from experience.

What about the real a great track record in from out of town, and we float ideas. It is a real advan- I’ve made some mistakes in estate business gets in real estate or make sure they have a meal. tage to be able to bounce the past, but now I think we you fired up? someone with a key We educate our clients ideas off people who aren’t in have a great team in place.

I love the competitive spirit skill set? to make good business your market — people who For example, we now have of this business — competing I’m generally looking for decisions — we don’t “sell” to are happy to share because an operations manager on for listings, the process of someone with the right skill them. When you help clients you’re not competing board who manages three negotiating offers and helping set. Our operations manager with one of their largest directly against them. We full-time REALTORS® and my buyers’ agents. We are has all the right skills: He’s investments (typically real also have a group that gets their buyers, and who also currently building a buyer’s detail-oriented and knows estate), it is very rewarding together at Sell-a-bration®. acts as a closing coordinapackage to help our team schedules, but he was workand they truly appreciate you.

We review which databases tor. He manages the entire capture more buyers and to ing in a law firm and wasn’t That’s when they refer their are most helpful, and are process alongside our buyers’ have a streamlined process being challenged — he did friends and family. worth the money. Sell-aagents through closing and for conversion. bration® has been a great beyond. We also have a listing We have also put a system Sven Andersen, CRS, achieved his way to reconnect with other coordinator to manage the in place to measure ROI with CRS Designation in 2008. He can be reached at 617.571.5358, or visit him successful CRS members listings and make sure all our new operations manager. at www.theandersenteam.com. across the country. the pre-listing details are in We look at all the metrics

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Photo: Dominic Perri

[peer to peer]

profiles of people to watch

SVEN ANDERSEN, CRS

Sven Andersen, CRS, donates time at Mission of Deeds, a charity organization that serves veterans, disadvantaged families, elderly, refugees and others in need by providing basic home necessities, such as furniture, at no charge.

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May 17 June

perfect

practice

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stage Whether doing it yourself or hiring a professional, staging can boost a listing’s chances of being sold more quickly in any kind of market.

By Regina Ludes

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Photograph by Eric Millette

The purpose of staging is to engage the heart of prospective buyers to move them toward a sale,” says Carl Medford, CRS, with Keller Williams Realty in Fremont, California.

“We get them there much quicker with a staged home than a vacant one.”

According to the National Association of REALTORS® 2015 Profile of Home Staging, 81 percent of REALTORS® say staging makes it easier for buyers to visualize a property as a future home, and 46 percent say buyers are more willing to walk through a home that they viewed online.

The practice of staging — de-cluttering, cleaning and accessorizing a home before putting it on the market — has gained greater public awareness in the past 10 years, thanks to home improvement programs on HGTV. But bettereducated consumers mean higher expectations, and today’s buyers want to purchase a home that is move-in ready with no additional effort on their part. REALTORS® who offer staging consultations or services say staging helps sellers fix the flaws in the home and update the décor to current standards to make the home appear more move-in ready. Those efforts can pay off by achieving a quicker sale for close to the list price, leading to a win-win-win situation for the agent, buyer and seller.

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The Marketing Advantage

The practice of staging has been around at least since the 1960s, but most people did not know about it then, says Shell Brodnax, CEO of the Real Estate Staging Association. It has only become more mainstream in real estate since the early 2000s when the housing boom and subsequent downturn created a more competitive real estate marketplace and agents turned to staging to help them sell their listings.

Initially, stagers and agents used lower-end furniture and accessories, but now they use the best pieces available, says Brodnax. “Staging is all about marketing and merchandising, just like for any other product. The home is competing with others on the market, so you want to present it perfectly like a model home with all the correct pieces of furniture and accent pieces positioned in the correct places,” Brodnax says.

A stager will offer different levels of services depending on the client’s needs. The average homeowners might require only a consultation in which the stager will tell them what they need to do and whether they want to do the work themselves or hire the stager to do it for them, says Brodnax. For vacant properties, staging is necessary because “it is rare for someone to walk into a vacant home and see its possibilities.”

Carl Medford, CRS, and his wife, Sheryl, own The Next Stage, a staging company with a warehouse of furniture. Medford teaches local agents about staging techniques.

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The Council of Residential Specialists

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May 19 June

perfect practice

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Accessorizing a home enables homebuyers to more easily visualize the possibilities compared to a home that has not been staged.

The costs of staging can typically run between $1,800 and $5,000, depending on how much work needs to be done, the size of the home and how many rooms are staged, says Brodnax. “Most stagers will work within the seller’s budget and advise them how best to invest their dollars when preparing their home for sale,” she says.

How much staging is required depends on the price point of the listing, says Kelly Cobb, CRS, with Fonville Morisey, a Long and Foster Company, in Cary, North Carolina. For her listings, staging is more important for homes listed at $300,000 or higher because her market is more competitive at that price point. “Buyers don’t want to purchase a ‘project.’ They want a home that is move-in ready,” says Cobb.

Though she earned the ASP designation for stagers, Cobb offers all her clients a two-hour consultation at her own expense with another professional stager. “There are some things that a stager can discuss with my clients that I can’t bring up because it might be uncomfortable,” she explains. In those two hours, the client and stager work out a plan about what needs to be done to prepare the home for the market.

When clients are trying to decide whether to spend money on freshening up their home’s appearance, Cobb explains to them that the cost is usually much less than the first reduction in price if the home were to sit on the market.

“Spending money upfront will net less time on the market, which in our area, translates into a higher net price,” she says.

For all its advantages, some sellers still need convincing to have their home staged. “Showing before and after photos can present a compelling case for staging,” Cobb says. “You can also invite them to view other listings online to see what competing properties look like. When they see that their home looks dated and old, it’s an easier sell.”

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Photos courtesy of Carl Medford, CRS.

Setting the Stage

Double Feature

Whenever a client or colleague expresses skepticism about staging, Risé Johns, CRS, with Keller Williams Realty in Lago Vista, Texas, outside Austin, shares a couple of examples of how two of her listings sold more quickly after staging.

In one instance, a property languished on the market for nearly a year because buyers were confused by the unusual layout of the lower level of the home. “The feedback we got from people was that they could not see how the lower level was to be used,” Johns recalls. The space contained a tiny kitchenette and three rooms: one with no windows that was used as an office, a second area with a tiled floor that was vacant and a third room adjacent to it that was carpeted and used as a craft room.

Her stager, Susan Honning with Texas Staged Homes, converted the two adjacent spaces into one combo recreation area with a TV room and a game room with a table, chairs and a chess set. She also added a wine rack and glassware in the kitchenette, turning it into a wine bar. The overall presentation appealed to younger buyers, and the home sold in 45 days, far less than the 142 days average time on the market in her area.

The second example involved the sale of a friend’s home, which also had been on the market for a year.

“I had suggested staging his home on several previous occasions, and he always said ‘no,’” Johns recalls. This time, she invited him to visit the home with the unusual layout so he could see the effects of staging. After viewing it, he agreed to have his home staged.

“In the year my friend’s home had been on the market, a young couple had come twice to see it, but walked away because they could not see themselves living in it,” recalls Johns. After it was staged, she invited them to see it again.

“This time, the couple spent an hour walking through the house, admiring the way the rooms were decorated,” Johns says. The couple put a bid on the house shortly thereafter and closed on it quickly.

Johns says staging has the biggest impact on bedrooms. “Buyers believe bedrooms are too small for their needs and that the bed is actually bigger than it really is. But a bedroom with basic furniture appears larger than a vacant room,” she says.

“Most sellers are reluctant to spend money on staging. But when they see how other homes appear after staging and how quickly those homes sell on the market, they are willing to try it,” Johns says.

While concerns about costs and effectiveness remain, staging has proven to be a worthwhile practice that is here to stay.

before after

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“When we begin working with a client, I tell them it is just like watching HGTV,” says Medford, who attributes the growing awareness and demand for staging to programs on the popular cable network.

Medford and his wife have their own staging company called The Next Stage and a warehouse filled with furniture and accessories. He also teaches other agents in his area about staging techniques, and many of these agents turn to Medford for staging services. “We teach three basic things: the psychology of staging, overcoming objections and how to stage the property.

Most agents quickly figure out that they need to leave staging to the professionals because there is an art to decorating a vacant room,” he says.

“The majority of buyers today don’t have a clue about how to decorate a room, and they have no sense of scale or perspective. To walk into a room and see it arranged in an attractive way resonates with buyers,” Medford says.

Cost can be an issue for some sellers who don’t want to spend the money or can’t afford it. For this reason, Medford does not stage short sales because money is often an issue with the owner.

For critics and skeptics who say staging is contrived, Medford responds, “All advertising is contrived. Staging is about maximizing a property’s potential. Yes, that might be manipulation and influencing, but it’s about marketing the home. You’ll never see an unstaged model home from a builder.”

This home was on the market for a year because buyers were confused by its lower-level layout.

After Risé Johns, CRS, had it staged, the home sold in 45 days.

Photos courtesy of Risé Johns, CRS.

Learn more from NAR’s 2015 Profile of Home Staging at www. realtor.org/ reports/2015profile-ofhome-staging.

Regina Ludes is a freelance writer based in Chicago.

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Multiseason porch

MOST-WANTED

LIST Going green, connecting to nature and creating cozy spaces are just a few of the trends CRSs are seeing in 2015.

By Daniel Rome Levine

Dualpaned window

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Security camera

Smart thermostat

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In the Los Angeles area, today’s homebuyers are looking for properties that are as technologically savvy and environmentally friendly as they are.

When James Chen, CRS, president and managing broker of 13 East Realty, in Torrance, California, meets with prospective buyers these days, the topics they are most interested in are green features and technology updates. “Tell me about the impact we’ll be having on the environment if we live here?” is a question he often hears.

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May 23 June

dwelling points

Green Buyers that allows you to receive alerts on your cellphone when Most of Chen’s buyers are in their 30s and 40s and are puryou are away from home. “Automation and connectivity are chasing their first home. They are putting their money where huge features that a lot of younger buyers, in particular, are their mouth is, he says, insisting on green features such as a looking for,” says Chen. high-efficiency, tankless water heater; an artificial turf lawn Security cameras are another feature Chen’s clients want. or desert-friendly landscaping that doesn’t need watering; They typically place them at entry points and the garage, and energy-saving dual-paned windows. and they want to be able to view images remotely from a Chen’s clients are not alone. Across the country, homebuycomputer or mobile device. “There have been a lot of home ers are increasingly concerned about the impact their living break-ins and holdups in California, and people are nervous,” space has on the world around them. The National Associasays Chen. tion of REALTORS® 2014 Profile of Home Buyers and Sellers found that environmentally-friendly features are important No More ‘Swagger’ to buyers. Nearly 70 percent of survey respondents stated In Austin, Texas, Gail Boston, CRS, broker owner at Austin x that energy-efficient appliances and lighting were either very Boston Properties, says many of her buyers are also or somewhat important to them, while nearly 90 percent said focused on the environment. “I have a lot of clients who the same about a home’s heating and cooling costs. are specifically seeking green builders because there is What else are today’s buyers looking for in a such tremendous waste in construction,” she says. home? How else have their tastes changed over That eco-friendly mindset is also playing a role in The Learning Thermostat by time? To find out, The Residential Specialist the size of homes people are buying, she says. “I’m Nest Labs learns asked a handful of CRS members across the thrilled to say those big, what I call ‘swagger,’ homes your schedule and country to share what they are seeing. that everyone wanted when I started selling in 2006 adjusts your home’s temperature are relics of the past,” says Boston. “Some of my same to match.

Tech Savvy clients who bought 6,000-square-foot homes are now Many of Chen’s buyers want to make sure their buying 2,500-square-foot ones closer to town. People’s new home is automated and technologically conpriorities have changed.” nected. Smart thermostats are high on their lists.

Besides the environment, the shift is being driven, she says, Especially popular, he says, is the one made by by a desire to save energy. Many of her clients, especially Google’s Nest Labs. These thermostats learn empty nesters and millennials, are also looking to your daily patterns using motion detectors live closer to central Austin to cut down on their and automatically adjust the temperature commutes. according to when you’re at home and when you’re away. The thermostat can also be conCozy Comfort trolled and monitored from a mobile device.

Interior features that Boston says buyers are asking There is even a similar smart smoke detector for include “pocket libraries” and other small, intimate tucked-away spaces that provide privacy and help break up the big, open floor plans of today’s

BY THE NUMBER S most popular homes. “These cozy spaces are something we’re seeing Number of bedrooms in new single-family homes sold a lot more interest in,” says Boston.

“People still want open floor plans, but they want them broken up a bit to give the home a more intimate, cozy feel.”

Boston is also seeing more buyers turning away from granite countertops in 2 bedrooms or less 3 bedrooms 4 bedrooms or more favor of other options. “Granite is a great 76,000 339,000 115,000 1980 material, but it’s a little tired,” she says.

60,000 301,000 173,000 1990 “For the first time, I’m seeing people Granite is out.

Stone, laminates seeking out alternative materials like 75,000 456,000 347,000 2000 and marble are the Carrera marble, which is great for 612,000 541,000 2005 130,000 popular finishes bathrooms and kitchen wall splashes, in kitchens and 23,000 166,000 133,000 2010 bathrooms. stone composites and even laminates 26,000 186,000 218,000 2013 with interesting patterns.”

Number of houses

Source: U.S. Census Bureau

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THE WANTED SECTION

BY THE NUMBER S

–Gail Boston, CRS, Austin, Texas

Shower power

“A lot of people are foregoing the Jacuzzi tub that used to be the focal point for many bathrooms, and are instead going for really nice spa-type showers with extra faucets and sprays and steam. They are spending more money in the shower and foregoing the tub.”

–Judy Reynolds, CRS, Sterling, Massachusetts

2,598 square feet

2,330 square feet

2,095 square feet

1,725 square feet

1,660 square feet

2003

1993

1983

1973

Home offices

“People want a dedicated office space with Wi-Fi and Internet already hooked up. A lot more people are working from home now and they want a home with an actual office that is ready to go, not a spare bedroom they have to convert into an office.”

Source: U.S. Census Bureau

Silent snoozing

2013

Average square footage of new singlefamily homes.

What are homebuyers asking for? It’s not always what you’d expect…

“A lot of long-time married couples, who are now empty nesters, are discreetly asking for so-called snoring rooms, or a small extra room where they can go to escape their partner’s buzz saw and get a good night sleep. ‘I love my partner, but I also love my sleep,’ they tell me.”

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The rise in average square footage of new homes may be attributed in large part to a rebounding economy in which move-up buyers are looking for bigger new homes, while many first-time buyers are either priced out of the market or focused on more modest-sized existing homes.

—James Chen, CRS, Torrance, California

Connecting to Nature little gas stoves or gas fireplaces in these porches, Buyers are also looking for homes that she says, which make them especially inviting spots put them closer to the outdoors, she says. in the winter.

“People are now inviting nature to be part of the home in a whole host of ways,” says Planning Ahead Boston. That means more buyers asking for Among homebuyers who have become empty nesters, screened-in porches. “These have really made Reynolds is seeing a trend of designing new homes their way back after being out of style for a long with two master bedrooms, one situated in its traditional time,” she says. second-floor location and another on the first floor Outdoor spaces with Expansive outdoor kitchens are also hot items. for when the buyers anticipate they may have trouble kitchens and “Even as people are moving toward smaller climbing stairs. screened porches with homes, they are not giving up entertaining,” One buyer Reynolds worked with actually built stoves or fireplaces let homeowners connect says Boston. “Elaborate outdoor kitchen a first-floor, walk-in closet specially designed for easy with nature. spaces are very popular places to do that.” conversion into space for an elevator in the future Some 1,700 miles northeast of Austin, Judy when the owners may not be able to navigate the stairs.

Reynolds, CRS, a broker/owner with Evergreen “Buyers are not only putting in features they can Realty in Sterling, Massachusetts, is also seeenjoy right away,” says Reyning an increasing number of buyer clients olds, “but also ones that Check out who want their homes closer to nature. will benefit them in the highlights from the 2014 NAR “A lot of people are designing three- and future.”

Profile of Home four-season porches into their homes,” Buyers and Sellers at bit. says Reynolds. “They really want to conDaniel Rome Levine is a writer based in ly/1IVZb0m. nect to the outside.” People are installing Wilmette, Illinois.

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Young buyers are becoming a major force in the real estate market. Here’s what you need to know to work with them effectively.

By Gwen Moran

inside

illennial the

mınd 

Millennials haven’t had it easy. Also known as Generation Y, those people born between the early 1980s and the mid- to late-1990s, they emerged into the marketplace saddled with more student loan debt than any previous generation, only to face higher unemployment rates than the general population during and after the Great Recession. As a result, a 2014 Census report found that an average of 30.3 percent of millennials lived with their parents between 2009 and 2013.

But the times, they are a-changing. This economically battered segment, which represents 23 percent of the U.S. adult population, is poised to be the next big wave of homebuyers. The rebounding economy has helped many find jobs, and high rents are making home buying more attractive. Real estate listing site Zillow predicts that millennial homebuyers will outpace Generation X

homebuyers — those born between the early 1960s and the early 1980s — for the first time in 2015, with half of young adults saying they want to buy a home within the next five years.

Other market factors also favor that millennial buyer optimism. Mortgage interest rates are still near historic lows. In January, the Federal Housing Administration (FHA) cut the annual mortgage insurance premiums new borrowers will pay by 0.5 percent. In October 2014, U.S. regulators dropped a proposed rule that would require borrowers to make a 20 percent down payment for a mortgage.

At the same time, millennial buyers can still be a challenge. Student and consumer-loan debt affects their financing eligibility and their expectations may be incongruent with their budgets. However, REALTORS® who know how to effectively serve this market segment will reap the rewards.

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The Council of Residential Specialists

BY THE NUMBER S

73 There are currently

million young adults 18 to 34 years old, representing

23

%

of the total population.

Source: United States Census Bureau

crs.com

May 27 June

[feature]

trade winds

BY THE NUMBER S 1980

$

$

35,845 Median earnings for population ages 18 to 34 who worked full-time, year-round (in 2013 inflation-adjusted dollars) Source: United States Census Bureau

2000

1990

36,716

$

Taking the Kids to School

To effectively serve millennial buyers, it helps to understand their mindset, says real estate sales coach Travis Robertson, founder of Robertson Coaching International in Newport Beach, California. When baby boomers and, to a certain extent, Generation X buyers, entered the marketplace, they typically had an expectation that they would have to start with a modest home and move up or improve from there, Robertson says. Many were children or grandchildren of people who had lived through the Depression and didn’t have lavish homes. Millennials, who may have grown up in — or are often still living in — the large homes their parents acquired over time, may be in for a rude awakening.

“Agents will see them entering into this process going, ‘Gosh, we want these 10 features but can only afford these two. How do we find a house that has all 10?’ There’s sometimes an unrealistic expectation of what they can afford,” Robertson says.

At the same time it’s not like they don’t have resources. They’re in line to be the primary inheritors of the boomers’ wealth. More people are transferring wealth to their children during their lifetimes, so millennial buyers may be more apt to have resources from their parents, Robertson says.

But that doesn’t mean they have financial knowledge, says Charles “Chip” Morrison, Jr., a millennial REALTOR® with Team Realty Group in Atlanta, Georgia. Morrison, who recently purchased his own home, doesn’t hold back when it comes to talking about his generation’s financial acumen.

“ We re trying to get away from REALTORS® choosing properties.

Instead, we take millennials to the computer, sit down with them and do the searches with them. And they re engaged with it. They re participating in choosing the homes they see.”

—Mario Dominguez, CRS

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37,355

2009-13

$

33,883

“We have little knowledge, if any, to start with,” Morrison says. “Our money-saving approach, in most cases, is ‘Well, I guess I’ll just save some money from my paychecks, and when I have a lot of money, I guess I’ll buy.’ I can tell you that kind of attitude runs rampant through our generation.” Of course, that’s a bit of hyperbole, but he reinforces the fact that REALTORS® need to be prepared to educate millennial buyers throughout the home-buying process.

The homes that appeal to these buyers are generally low-maintenance and located close to amenities, says Mario Dominguez, CRS, who heads the Dominguez Realty Group at ERA Herman Group Real Estate in Aventura, Florida.

Dominguez is beginning to see an influx of millennial buyers in his market, and believes that to be effective, REALTORS® need to understand the lifestyle these buyers are seeking.

“The price is really what’s pushing those clients. Millennial buyers prefer convenience, access and short commute times over the size of the home. Social gathering places, restaurants and small specialty shops instead of large retail malls, within walking distance of their homes, are key factors in most cases,” he says. “To start themselves in their process, they’re typically buying small homes, town homes or condos.”

That reflects Morrison’s experience, too.

In his market, millennials are typically looking at starter homes ranging “from the high $100,000s to the $300,000s,” he says. While they don’t care about things like 9-foot ceilings, they do like luxurious touches such as granite countertops and tall cabinetry. And all that talk about how “green” millennials are? Yeah, they like those features, but not if it drives up the price, says Robertson.

Finally, homes in urban centers with high degrees of walkability are most appealing, Robertson says. “So many of them have not started families yet and so being in an urban center where, number one, the jobs are located, and number two, the other single people are living, that’s how they’re going to start to build these connections and these relationships that are ultimately going to extend them into the next phase of their lives,” he says.

trade winds

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WORKING WITH MILLENNIALS When it comes to working with young buyers, there are some definite do’s and don’ts to make the process smoother and better connect with them.

Manage expectations upfront.

Use social media.

Understand their communication styles.

Typically, more communication is better than less, and your millennial clients may want to hear from you more than once a week. They often prefer to receive updates by text rather than by phone or in person, but responsiveness is essential, says Mario Dominguez, CRS, who heads the Dominguez Realty Group at ERA Herman Group Real Estate in Aventura, Florida.

Millennial buyers expect to be able to find you online, especially on social media.

And if you haven’t updated your blog, Facebook page or Twitter account in six months, they’re going to notice, says real estate sales coach Travis Robertson, founder of Robertson Coaching International in Newport Beach, California.

“The reality is if you’re not on social media today and you’re not engaging with this audience on a social platform, it’s very likely you’re not going to be the REALTOR® they choose, because 10 of their other friends who are also REALTORS® have been doing that,” he says.

Learn about debt programs.

Charles “Chip” Morrison, Jr. a millennial REALTOR® with Team Realty Group in Atlanta, suggests that REALTORS® get familiar with student loan repayment and forgiveness programs such as those on www.studentaid. ed.gov, so they can counsel young buyers. Having contact information for your local nonprofit credit counseling service is also a good idea.

It’s essential to have an upfront meeting where you assess their debt load and get a sense of their budget.

Dominguez has a flow chart that reflects each step in the buying process, and he prefers to involve a mortgage broker early on to get a true sense of what the buyer can comfortably afford. He also tries to get his team to stop thinking in a gatekeeper capacity and realize that millennials are doing a great deal of research online.

Instead of choosing properties for clients to look at, agents should facilitate their clients’ efforts to find the property that fits for them.

BY THE NUMBER S

42

%

of millennials say they want to buy a home in the next one to five years, compared to just

31

%

of Generation X. Source: Dr. Stan Humphries, Zillow chief economist

The Parent Trap

Millennials are also the first generation to have so-called “helicopter parents” en masse, so when your client sits across from you in your office, he or she may be flanked by one or two parents.

CRS certified instructor Lee Barrett, CRS, founder of Barrett & Co., Inc., a brokerage in Las Vegas, Nevada, was recently helping a young couple who would have had trouble qualifying for a mortgage. They each had single mothers and, with their incomes, they were able to buy a house for all four of them.

Morrison says parents may also have other motivations to help their offspring launch into home buying, especially if they’re still living at home. “We have no idea when the ‘right’ time [to buy a home] is, to be honest. It could be

when mom and dad are tired of us eating all their food and living at home rent-free until we are 28, and decide it’s time to have a ‘talk’ about our future,” he says. Typically he finds that a REALTOR® who the millennial or his or her parents knows is a key driver in starting the buying process.

Millennial buyers certainly come with unique circumstances and challenges. However, agents who are willing to work to overcome these challenges, understand clients’ needs and wants, and deliver the level of service and attention they expect will be well-positioned to benefit from the wave of millennials who will enter the market over the next several years.

Learn more from the CRS Webinar recording, The Millennial Revolution: How to Prepare Your Business for a New Generation, with Travis Robertson: bit. ly/1GcBelz.

Gwen Moran is a writer based in Wall Township, New Jersey.

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YOUR LOCAL

FORECAST Take an inside look at how four local markets fared last year and where they are headed in 2015.

By Gayle Bennett

ďƒ˜

If in 2013 the housing market shook off the cobwebs of the economic downturn, in 2014 they stayed off.

Nationally, the median sale price climbed to $208,500, the highest since 2007 ($219,000) and a 5.8 percent increase over the 2013 price, according to the National Association of REALTORSÂŽ. And while the total number of sales in 2014 decreased 3.1 percent compared to 2013, with supply picking up in the second half of the year,

Seattle, WA

RealtyTrac reports that foreclosure filings in 2014 were at their lowest since 2006.

But all real estate is local, and every market is unique.

The Residential Specialist examined how four very different local markets fared in 2014 and what 2015 has held in store so far. While some areas are hotter than others, demand is steady in all four locales, and prices continue to climb.

$

H

$ Southampton, NY

$

Knox County, OH

L

Nashville, TN

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report

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$

Median sale price

$

1.5 million 2014

Southampton, New York Vacation homes are hot

Southampton, New York, is a beachside community located 90 miles outside New York City.

Over the last couple of years, this luxury-vacation-home market has boomed in tandem with Wall Street’s bull market, report Paul and Joan Robinson, both CRSs with Southampton Village Real Estate.

Compared to 2013, sales in 2014 were up (204 in 2014 vs.

144 in 2013) and the median price was down ($1.5 million vs. $1.9 million). However, another statistic provides some insight on that price decrease: There

1.9 million 2013

were 44 demolitions/tear-downs in 2014. “When there are 204 sales and 44 demolition/tear-downs, what that’s telling me is that a lot of people are just buying the land,” Paul Robinson says. “I expect this year the median sales price will be a record high because we’ll be looking at inventory of brand-new houses versus old houses that are being torn down.”

The Southampton ZIP code is 35 square miles and consists of the Village of Southampton and the hamlets of Shinnecock Hills, Tuckahoe and North Sea. Currently, the Robinsons report that houses in the

The Shinnecock Inlet, Southampton, New York, was created by the Great Hurricane of 1938.

$2 million to $5 million range in the Village of Southampton are very hot, but demand is high and supply is low throughout all sectors of the market.

“This year things are crazy because there’s very little inventory,” Paul Robinson says.

In fact, demand is so high that the Robinsons, who live in Southampton themselves, are consistently solicited by other agents to sell their home. “A week doesn’t go by without some real estate agent sending us an email or a letter asking if we’d like to sell our home,” says Joan Robinson. “That’s the climate that’s out here now; the demand is much greater than the inventory.”

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National sales in 2014 reached

4.93

million, a 3.1 percent decline from 2013’s 5.09 million.

Source: National Association of REALTORS®

May 31 June

regional report

[feature]

Nashville, Tennessee

Nashville’s 2014 sales increased almost 8 percent compared to 2013. The median price of a single-family home increased Interest in the urban core rises from $190,370 in 2013 to $208,467 in 2014, According to David Binkley, CRS, and median condo prices Nashville homebuyers with Village Real Estate Services, increased from $155,135 to are purchasing smaller the recession shifted people’s $167,283. Binkley says condos homes and favoring housing priorities in Nashville, in Nashville are generally more central locations.

Tennessee. Interest in the suburbs, high-amenity buildings in which had been high since the the middle of town. “They 1970s, started to wane. “When are selling for a high price things got tight with the economy, per square foot.” we noticed there was demand This year and beyond looks to be closer to town,” Binkley good for Nashville. “We are says. For many, 2,000-square-foot projected to grow by almost homes in the city that offered a a million people in the next much shorter commute were more 25 years,” Binkley says. This appealing than larger houses in population boom is fueled the suburbs. in large part by the growth Also driving interest in the city in the health care industry, was the fact that Nashville was — which along with the music and is — booming. “All these industry, is the core of Nashfantastic restaurants and bars were ville’s economy.

Median sale price ■ Single-family home popping up, the streetscapes were “I’m seeing investors go into ■ Condo improving and all the infrastrucareas that they would have $ ture was pouring in,” Binkley never touched before, buying 190,370 2013 says. “Even in the middle of the up little bitty lots around $ 208,437 2014 recession, the city was fueled by town,” Binkley says. “It’s a $ pretty good growth. And that just land grab. Everyone is seeing 155,135 2013 continues to flourish as Nashville the writing on the wall about $ 167,283 2014 grows like a weed.” the urban renaissance.”

Seattle, Washington Job market drives warmth in home sales

The national median existing-home price in 2014 was $

208,500,

the highest since 2007 ($219,000) and a 5.8 percent increase from 2013 ($197,100).

Source: National Association of REALTORS®

May June

32

The Seattle real estate market has been pretty warm for the last two years and is continuing to heat up, says Gordy Marks, CRS, with RE/MAX Northwest REALTORS® in Kirkland, Washington. Marks works in both King County, which is closer to most of the area’s tech jobs, and in Snohomish County, which is about an hour’s commute from many of the job-heavy areas, but is more affordable.

In 2014, sales in King County dipped slightly due to lower inventory, and the median price increased from $372,000 in

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2013 to $399,790. In Snohomish County, year-over-year sales increased slightly, and the median sale price increased from $279,950 to $308,000.

On the whole, single family houses are doing better than condos in the Seattle area. “The condo market in many areas has not completely recovered” from the fall from the heights of 2007, Marks says.

The hottest area right now in Seattle is West Bellevue in the Eastside region of Seattle. Marks sees a number of

regional report

[feature]

Knox County, Ohio Skies clearing over rural market

Numbers can be deceptive.

Year-over-year sales in Knox County, Ohio, a rural area north of Columbus, were similar (538 in 2013 and 536 in 2014), but the median sale price jumped by 13 percent, from $108,000 in 2013 to $122,250 in 2014.

However, that increase isn’t truly indicative of a double-digit jump in home values, says Sam Miller, CRS with REMAX Stars Realty in Mount Vernon, Ohio.

There were fewer bank-owned sales and short sales in 2014.

Since 2013 had a higher percentage of those sales, “they artificially made the sales prices appear lower,” Miller says.

But 2014 was still a good year, and Miller sees 2015 starting out well. “We are hot in the midrange of $100,000 to $150,000 because that monthly payment is not significantly higher than what someone would pay for a nice rental,” Miller says. Because

Knox County is rural, homebuyers can qualify for several federal low-down-payment and zero-downpayment programs. “That opens up opportunities for homebuyers who haven’t saved much money but have a decent income.”

Popular areas in Knox County include the waterfront homes in the lake resort area of Apple Valley, which caters to second-home and retired buyers. “That market is in short supply,” Miller says.

Also, non-subdivision properties that have 2 to 50 acres have been popular with the segment of homebuyers who want to own animals or grow their own food. “They are acquiring property here for that reason, and they can commute to work in Columbus,” Miller says.

Miller predicts 2015’s sales data will show legitimate growth. “This year we will see an increase in the average sale price — a real increase, not like last year, when it was due to lack of bank-owned properties.”

international buyers purchasing homes in the $1 million to $4 million range, often for cash.

Buyers are attracted to that area’s excellent schools and short commute times.

Houses in the outer suburbs in Snohomish County are seeing slower growth. “Our market is driven a lot by commute time,” Marks says.

Some areas in Snohomish County are still working their way out of short sales, which are now rare in King County.

Median sale price

$

108,000 2013 $

When Marks looks at the overall low inventory and high demand, he sees a strong 2015. He predicts sales price growth of 8 to 10 percent in King County and 5 to 6 percent in Snohomish County.

“We have a super-strong job market in tech, biotech and the medical fields. Google is doubling the size of its campus here in Kirkland, Microsoft has still been strong and Boeing has a tremendous amount of new orders on its jets.” $

372,000 $

$

Above: Monument in the central square in downtown Mount Vernon, Ohio; below: Main Street in the business district of Fredericktown, Ohio.

279,950 2013 $

308,000 2014

2013

122,250 2014

Gayle Bennett is a writer and editor based in Washington, D.C. Keep track of all the latest home sales data and information at www.realtor. org/researchand-statistics.

399,790 2014 Median sale price ■ King County ■ Snohomish County

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crs.com

May 33 June

resources for learning & leisure

BOARDWALK OF

shame

How a pillar of American leisure — the Parker Brothers board game Monopoly — lost its stranglehold on its own creation myth tucked inside every box of Monopoly that Parker Brothers sold for decades starting in 1935, unemVengeance — of the boardployed Philadelphia salesman game variety — is pursued and Charles Darrow had singlehandedly ultimately achieved in The Monopinvented the “world’s favorite board olists: Obsession, Fury, and the game” in his basement during the Scandal Behind the World’s Favorite Great Depression. The “scandal” in Board Game. In it, New York Times the book’s subtitle is that Monopoly sports reporter Mary Pilon tells is in fact based on the trust-busting how a Berkeley “Landlord’s Game,” patented by a professor triumphed freethinking young woman in 1904. over a corporate But when Parker Brothers acquired THE MONOPOLISTS: giant, Parker Brothers, Darrow’s version of the game, OBSESSION, FURY, in his quest to market Darrow assured the company that AND THE SCANDAL Anti-Monopoly, the Monopoly was “my brain child” BEHIND THE game he invented and “my idea.” That claim, writes WORLD’S FAVORITE during the oil crisis Pilon, “was somewhere between BOARD GAME of 1973 to teach a stretch of the facts and a lie.”

by Mary Pilon his young sons the Lizzie Magie, Monopoly’s overBloomsbury evils of OPEC. It’s a looked originator, was working as 314 pages, $27.00 tangled tale of crea typist in Washington, D.C., when ative attribution and she came up with the idea for the intellectual property Landlord’s Game in the early 1900s. theft that stretches from gilded-age She intended it less as a pastime America in the 1890s to the steps of than a parable — one designed to the Supreme Court in 1983. promote the economic theories According to the creation story of Henry George, a charismatic Reviewed by Allan Fallow



May June

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politician of the 1880s and 90s who urged freedom from taxation on all goods except a “single tax” on land.

Play the Market

In an age when Andrew Carnegie had cornered the steel market and John D. Rockefeller’s Standard Oil Trust controlled nearly 90 percent of the country’s oil, George attracted a following for insisting that “Land was not meant to be seized, bought, sold, traded or parceled up into city blocks where people were forced to pay exorbitant rents.” Good thing, then, that he died in 1897: George would have been aghast to see his ideals perverted in a board game sweeping the nation 40 years later.

Lizzie Magie was both a maverick and a dynamo. Not only did she save enough money on her own to buy a house and several acres in Prince George’s County, Maryland, but in 1893 she applied for — and would ultimately be granted — a patent for a gadget that simplified feeding paper into a typewriter. Her

Landlord’s Game, patented in 1904 and again in 1924, was designed to be played on a square board divided into 40 spaces, 10 to a side.

It featured “play money and deeds and properties that could be bought and sold.” In other echoes of the modern game, there was a railroad space midpoint on each side, plus corner spaces labeled “Go to Jail” and “Public Park” (the obvious forerunner to “Free Parking”). Even a proto-“Go” space could be discerned beneath its Georgist motto: “Labor upon Mother Earth produces wages.”

Magie hoped the game would teach players “the gross injustice of our present land system.”

Magie’s anti-agglomeration game was a hit with progressives, making its way from the utopian society known as the Village of Arden in Delaware in the early 1900s to a Quaker enclave in, of all places, booming Atlantic City in the mid-1920s. Drawn to the seaside resort from crowded Philadelphia, the Quakers hoped to establish “a healthy, fresh-air community, complete with modest accommodations and prayer lodges.” Ironically, some of the city’s most glitteringly elegant hotels would come to be owned by simplicity-loving Quakers.

At the home of Cyril and Ruth Harvey, teachers at the Atlantic City Friends School — funded by wealthy Quaker hoteliers — one aspect of the game caused real estate to collide with religion: “[M]any around the Harveys’ table who held silence to be a tenant of their faith were against allowing [noisy] auctioneering [of properties] to be part of the game.”

But with the game’s rules yet to be codified, a real estate agent who was a friend of the Harveys contributed a couple of key modifications: Jesse Raiford experimented with applying color sequences to the board, “finally deciding to divide the properties into groups of three.” And because Raiford’s work had made him “closely

familiar” with Atlantic City property values, he also felt confident affixing prices to the game board.

By the time a copy of this popular “monopoly game” fell into Charles Darrow’s hands in 1932, the Depression had thrown him out of work. Tragedy struck again when a bout of untreated scarlet fever left his younger son, Dickie, mentally disabled; the boy would require expensive care for the rest of his life.

YO U M I G H T A L S O L I K E …

THE THIN GREEN LINE

By Paul Sullivan [Simon & Schuster] 256 pages $ 27.00/hardcover A New York Times columnist shares tricks to emulate — as well as mistakes to avoid — from his years covering the wealthy and the decisions they make.

Guarding a Monopoly

Although Pilon rightfully makes Darrow out to be the villain of this saga — he began publishing the game on his own, the board emblazoned with the unsubstantiated claim “COPYRIGHT 1933 CHAS. B. DARROW” — it’s hard to assail his motives. Yes, Darrow hoodwinked Parker Brothers. But the game’s overnight success — it sold 278,000 units in 1935, 1.75 million the next year— enabled the Darrows to house Dickie at a facility noted for its humane treatment of the mentally impaired.

The endgame of The Monopolists re-creates a David-and-Goliath struggle, with Parker Brothers waging a 50-year war to guard its monopoly over Monopoly. Indeed, had the company not sent a cease-and-desist letter in 1974 to Ralph Anspach, the economics professor who would sell 74,000 copies of his homemade Anti-Monopoly game that year and 200,000 the next, Monopoly’s socialist roots might never have been exposed: Anspach dug them up during his decade-long legal battle with Parker Brothers, which cost him his marriage but won him a sevenfigure settlement from the firm.

Ralph Anspach never deluded himself that Monopoly is “just a game,” but there is circular justice: he was finally able to pass “Go” and collect a bit more than $200.

MINDFUL WORK

By David Gelles [Eamon Dolan/ Houghton Mifflin Harcourt] 304 pages $ 27.00/hardcover Large businesses are looking to meditation as a tool for cultivating a healthier, mindful workforce.

BOLD

By Peter H. Diamandis and Steven Kotler [Simon & Schuster] 336 pages $ 28.00/hardcover This follow up to the best-selling Abundance looks at using new technologies and critical thinking techniques to create wealth in the modern world.

CAPTIVOLOGY

By Ben Parr [HarperOne] 256 pages $ 27.99/hardcover Entrepreneur and investor Ben Parr interviews a wide field of experts to find the best techniques for capturing your audience’s attention.

Follow Allan Fallow on Twitter @TheFallow.

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The Council of Residential Specialists

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May 35 June

THOUGHT FOR FOOD

kitchen

resources for learning & leisure

YO U M I G H T A L S O L I K E …

CONFIDENTIAL Ø

For many families, the kitchen is the center of activity.

And anyone who has ever had a dinner or cocktail party knows that guests and hosts often end up congregating in the kitchen. Here are some emerging new kitchen designs, features and products that might help homeowners make kitchens much more than just a place to cook.

Go Green

Renewable, recycled, environmentally safe and energyefficient kitchen products have become commonplace — and more affordable. For example, This Old House points out that Teragren manufactures formaldehyde-free, food-safe bamboo work surfaces for kitchen counters and tabletops.

Industrial Strength

Freshome.com notes a growing trend in homeowners installing industrial kitchens that feature restaurant-grade appliances and a central kitchen island. Some of the newer kitchen island models can be moved from place to place within the room, and many feature stainless steel shelves.

Space Saver

Top-of-the-line kitchen cabinets have moved beyond featuring a simple lazy Susan or a built-in spice rack. Better Homes and Gardens (BHG) says new cabinet options, such as pullout trays, bread boxes and vertical narrow drawers for cookie sheets and baking pans, are the trend.

OPEN KITCHEN LEMON PRESS Williams-Sonoma ❘ $13 You’ll find it a lot easier to turn lemons into lemonade with this tool, which is also perfect to squeeze limes for summertime cocktails.

SMARTSTICK IMMERSION BLENDER Cuisinart $ 34.95 This hand blender helps home cooks blend soups and sauces quickly and easily right in the pot.

It also works great for making quick fruit smoothies, milk shakes or fresh whipped cream.

See Through

Glass-front cabinets can give the kitchen a fresh and modern look, and it provides a refreshing break from the look of wall-to-wall cabinetry, BHG says. These cabinets are ideal for storage of dishes, glassware and collectibles.

SWIVEL PEELER Oxo $ 8.99

Open Up

Love them or hate them, BHG says open shelves are becoming a more common feature in remodeled or new kitchens. It might be a good choice for homeowners who have especially nice dishware, glassware and cookware.

Read more about kitchen and other new-home trends in a report from the National Association of Homebuilders: http://bit.ly/1Hz2tpZ.

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The durable OXO Good Grips Swivel Peeler makes quick work of a pound of potatoes or a bunch of carrots. And the large, soft handle is easy to keep hold of — even with wet hands.

inside

SELL-A-BRATION®

makes a splash

CRS news from the council

Industry luminaries discuss key factors that will drive the future of real estate.



Sell-a-bration®, the flagship educational event of the Council of Residential Specialists, hosted nearly 800 of the most successful real estate professionals from across the U.S. and internationally at the Paris Hotel and Resort in Las Vegas, Feb. 16–17, 2015.

In addition to the keynote sessions, Sell-a-bration® featured 25 different educational breakout sessions presented by an impressive lineup of top-producing REALTORS® and content experts. These sessions enabled successful CRS Designees to gather tips and strategies for competing in an ever-changing market.

Session topics included: online advertising, Web lead strategies, paperless offices, lead generation, market data and housing Forty real estate professionals from Spain and Portugal, affiliated with UCI, attended Sellinventory issues. a-bration®. They are pictured with (in center, from left): 2014 CRS President Ron Canning, Attendees also had opportunities to CRS CEO Lana Vukovljak and 2015 CRS President Dale Carlton. meet in smaller groups and participate in more personalized discussions about key issues affecting consumers can buy relatively inexpensive drones equipped with their business. Both first-time attendees and Sell-a-bration® video cameras, it stands to reason that they would expect no veterans went home armed with fresh ideas, new contacts less from the REALTOR® who is marketing their home. and a renewed commitment to their businesses.

For sellers, such videos — filmed via drone or by more Stefan Swanepoel, the well-known real estate strategist, traditional means — may help their properties get seen visionary and best-selling author, kicked off his keynote by potential buyers. For buyers, these videos provide a speech by outlining a theme that would be echoed throughunique look at properties and surrounding neighborhoods. out his presentation and the entire conference: disruptive (The use of drones is regulated by the Federal Aviation technologies matter.

Administration.)

New-fangled tech, such as drones, wearable computing For people who have privacy concerns related to such techdevices, advanced wireless payment services and even robots, nologies, Swanepoel said: “Your privacy was gone a long time can have a deep impact on consumers’ behavior. But that’s ago, and it’s never coming back.” Homebuyers and sellers are not to say that the Next Big Thing in tech will obviate the comfortable with the idea of giving up some privacy if they need for REALTORS® in the future. receive value in return.

Technology, Swanepoel said, “is another tool. It doesn’t It’s a concept similar to the “rewards card” model: We’ll replace us. But it does change the way we think.” And more trade our privacy (for example, the list of items we buy at often than not, consumers still look to qualified REALTORS® Walgreens or CVS) if it will save us a few dollars on Kleenex to help them navigate an uncertain housing market. or laundry detergent. Home sellers, even those who might be A changing consumer mindset related to advances in techuncomfortable with a drone-filmed video of their home being nology has a big impact on the housing market far beyond what posted on the Internet, are a lot more comfortable with that many REALTORS® may realize, Swanepoel said. At a time when concept when their home sells quickly and for the right price.

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CRS news from the council

As consumers’ willingness to carry (and increasingly wear), communications devices grows, REALTORS® must respond not only to technology changes, but also consumer behavior, Swanepoel said.

Looking to the Future

Fifteen exhibitors showed off their products and services to event attendees (left). Below, CRS President Dale Carlton hosted a keynote panel session focused on the future role of the real estate agent.

Nobody has a crystal ball, but agents who want to prepare themselves for what the future holds might wish they had one.

In another Sell-a-bration® keynote panel session, CRS President Dale Carlton talked to several industry luminaries about the key factors that will drive the future of the real early 1980s to the early 2000s). This massive demographic estate business. In addition to new technology, panelists said, of 75 million Americans faces far different challenges than the growing wave of millennial homebuyers will affect the their parents did when it comes to buying a home. way REALTORS® do business for years to come.

For example, 65 percent of them have student loans from When it comes to coping with emerging technology, college. This loan debt is a huge challenge for millennial buypanelist Ilyce Glink, a syndicated real estate columnist, ers, and it’s pushing back the point at which they can afford author, consultant and talk-show host, said, “You have to stay to buy a home. The average age of first-time buyers is over relevant in a way that our parents and grandparents never 30 now, and the average age of marriage and parenthood has had to.” REALTORS® who can build a level of trust with their risen as well, Glink said. clients will find them coming back in the future, and “using “The desire to be a homeowner is still strong,” said paneltechnology to enhance that (bonding with consumers) allows ist Paul Bishop, NAR’s vice president of research. But many you to fish” for new clients, Glink said. It might take years, young potential buyers simply aren’t certain that they can but it helps agents cast a wider net. manage the investment. “We need to [help A growing problem for many agents is them] evaluate their desire to buy a home verkeeping control over the technologies they sus their ability to buy a home,” Bishop said. need to run their business, said panelist So for agents, “focusing on helping them find Marci Sepulveda, co-founder and managthe best home isn’t really what they’re looking for ing partner of Agent Publishing. Agents now,” Sepulveda said. You need to bring a host need help, but at the same time they need of skills to the table beyond telling them where to be able to run their systems themselves. there is a house that might fit their needs.

—Paul Bishop, NAR vice “I see a lot of agents who don’t have conFor example, can you connect potential buypresident of research ers with financial planners, mortgage brokers, trol over their own database or don’t use it to its full potential.” contractors and others who can help make their Panelist Ernie Graham, senior director of product manexperience better? If not, you’re missing a key opportunity to agement for Realtor.com at Move, Inc., agreed. “If you don’t win a client for life — and a source of valuable referrals. create a discipline right now around creating a return on Also, agents must monitor their social media reviews on investment” for your technology dollar, your problems will Yelp, Zillow, Trulia and the like, since members of Gen Y seemonly get worse as more technologies come into the market. ingly won’t go to a restaurant or a bike repair shop without And agents’ ability to interpret the mountain of data that is checking the establishment’s online reviews first. You have to available to them is the next big thing. Content is king, “so counteract the general sense of distrust that millennials have we have to get over our old behavior of guarding our content” about people they might want to do business with by being and be more transparent with consumers, Graham said. open, transparent and helpful, Glink said.

The other trend that will have a huge impact on real estate is As Graham put it, the millennials’ mindset is: “Don’t sell the wave of millennial homebuyers (Generation Y, born from the me. Show me.”

“ THE DESIRE TO BE A HOMEOWNER IS STILL STRONG.”

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sign up now

FOR SELL-A-BRATION® 2016 Are you looking to kick-start your business in 2016?



Join the brightest stars in residential real estate who will head to the Loews Royal Pacific Hotel in Orlando, Florida, on Feb. 8–9, 2016, for two days of unparalleled networking opportunities, education and the chance to hear insights from top-producing REALTORS® and industry leaders. Invest in the future of your business and register today!

Sell-a-bration® is the only event in the industry that is specifically for CRS Designees, candidates and those interested in building their business through world-class education. The annual event attracts hundreds of top-producing REALTORS® who are seeking to improve their business and increase their referral networks through high-quality education and networking.

Register now to take advantage of the Early Bird Registration price, good through Aug. 31, 2015. Visit www.crs.com/events/ sell-a-bration for details and registration information.

S AV E T H E D AT E

BACK TO SAN DIEGO

This year’s REALTORS® Conference and Expo returns to San Diego November 13–16 at the San Diego Convention Center. The event will feature: � Education sessions � Hundreds of industry vendors

� Special events and networking opportunities � Niche industry areas on the show floor

CRS meetings will be held Nov. 11–13 in conjunction with the event. And don’t forget to visit the CRS booth at the expo. We’d love to meet you!

Find registration details at www.realtor.org/convention.nsf.

REFERRAL DIRECTORY UPDATE If you miss the deadline for updating your information in the print edition of the upcoming 2016 CRS Membership Referral Directory, don’t fret: You can still update your online listing, including your photo, bio, mailing address, phone numbers, email addresses, website and blog addresses, and social networking sites.

Log in to www.crs.com with your email address and password to update your online directory information on your Profile page.

If you do not want to receive the print edition of the 2016 CRS Membership Referral Directory, log into the CRS website and follow the opt-out instructions located on the preferences tab in your logged-in profile.

If you have any questions about the directory update process, please call CRS Customer Service at 800.462.8841.

And don’t forget to download the “Find a CRS” mobile app, which is available now for iPhone and iPad at the iTunes App store at bit.ly/1bEUE3L and for Android devices at bit.ly/1CaECZo.

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CRS

connect

YOUR CRS

network

expand your network

Ø

As a recent CRS Designee, Louise Knight, CRS, of RE/MAX Partners in Groton, Massachusetts, had CONNECTION PERFECTION not yet taken full advantage of the networking and referral opportunities that CRS offers. So Knight was pleasantly surprised when she received her first CRS referral in January.

The call came from Bonnie Mehner, CRS, of Prudential Jack White Real Estate in Anchorage, Alaska. Mehner was calling to find her daughter, Bethany Mehner-Weiser, CRS, an agent to assist her and her husband in their relocation to New Hampshire. Knight was able to find the couple a beautiful home in the quaint town of Peterborough, New Hampshire, and they closed the deal in early March. “The buyers were such a pleasure to work with,” says Knight, “and it is nice to have a REALTOR® connection in Anchorage now! I am now even more excited about CRS and I am planning to attend the convention for the first time this year in Orlando!”

NORTHEAST

NORTHEAST

Diane Capodilupo

• Serving Massachusetts

Ranked #1 Selling Agent for Single Family Homes in The City of Boston

• 25 – 30% Referral Fees

Pittsburgh

area

I help clients make the Wright move Nancy Wright, ABR, CRS, GRI

RE/MAX Realty Brokers 5608 Wilkins Ave. Pittsburgh, PA 15217 OFS: 412-521-1000 x170 CELL: 412-508-0040 nancywright@remax.net

WEST

Since 1988

• 2012 Massachusetts

“I know great agents almost everywhere.

Want to join my referral network?”

RE/MAX Achievers

Bill.Kuhlman@iCloud.com

617-323-3670 office 617-823-9989 cell

BostonAreaHomesOnline.com

WEST

781-883-5554

WEST

WEST

Selling Lake Tahoe, NV for 25 years.

Craig Zager I Love Referrals!

Sell phone: 775.901.4663 craig@CraigZager.com

www.LakeTahoeAgent.com

The Residential Specialist trsmag.com

for the greater

CRS Chapter President

diane@dianecap.com

40

Your referral source

Bill Kuhlman

I WORK HARDER SO YOU GET PAID FASTER!

www.dianecap.com

May June

NORTHEAST

20 15

WEST

WEST

WEST

WILLIAM & WILL

Mike Kelly CRS, CIPS 707-322-8503 cell

ABR, CIPS, CRS, RSPS, SRS, SRES

Career Worth Having Business Worth Owning Life Worth Living

Top 1% of Brokers Internationally!

Serving Sonoma County for 36 years, Mike Kelly is your “Wine Country Lifestyle” specialist.

The Kelly-Norman Team is client-centered focusing on a successful transaction for your residential referrals. www.GreatEstatesofSonomaCounty.com

(626) 898-5810 CalBRE: 01903501

(310) 880-7356 CalBre: 0147783827

Serving: Southern California, Los Angeles County, San Gabriel Valley, Beverly Hills, Hollywood, Westside (UCLA/USC), and the South Bay

william@goldenlandinc.com www.goldenlandinc.com

Reach more than

30,000 CRS peers with your ad here. Contact Joe Stella: jstella@glcdelivers.com or 847-205-3127

CRS

CLASSROOM COURSES

CRS classroom courses earn either eight credits (for 100-level, one-day courses) or 16 credits (for 200-level, two-day courses) toward the CRS Designation. At press time, the CRS courses listed below were scheduled through Oct. 8, 2015. For more up-to-date listings, visit www.crs.com.

CRS 120 — Converting Leads Into Closings

CRS 121 — Win-Win Negotiation Techniques

CRS 200 — Business Planning & Marketing

JUNE 24 — AUGUSTA, MAINE [Maine CRS Chapter]

JUNE 23 — AUGUSTA, MAINE [Maine CRS Chapter]

MAY 21 — NASSAU, BA. [Bahamas Real Estate Association]

207.622.1234

207.622.1234

242.356.4578

JULY 23 — MANHATTAN, KAN. [Kansas CRS Chapter]

SEPT. 18 — CHEYENNE, WYO. [Cheyenne Board of REALTORS®, Wyoming CRS Chapter]

SEPT. 28 — BRANSON, MO. [Missouri CRS Chapter]

307.634.0363

Instructor: Edward Hatch, CRS

Instructor: Chandra Hall, CRS

785.587.7145

Instructor: Chandra Hall, CRS OCTOBER 2 — CORALVILLE, IOWA [Iowa Association of REALTORS®, Iowa CRS Chapter] 800.532.1515 x1

Instructor: Rich Sands, CRS

Instructor: Chandra Hall, CRS

Instructor: Chandra Hall, CRS

417.338.4555

Instructor: Rich Sands, CRS

CRS 201 — Listing Strategies

OCT. 1 — CORALVILLE, IOWA [Iowa Association of REALTORS®, Iowa CRS Chapter]

MAY 27 — LAS VEGAS [Southern Nevada CRS Chapter]

800.532.1515 x1

702.610.5012

Instructor: Rich Sands, CRS

Instructor: Jackie Leavenworth, CRS

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CRS

connect expand your network

CRS 202 — Effective Buyer Sales Strategies

CRS CLASSROOM COURSES

JUNE 25 — LEAWOOD, KAN. [Missouri CRS Chapter]

CRS 204 — Buying and Selling Income Properties SEPT. 15 — WICHITA, KAN. [Kansas CRS Chapter]

314.267.2691

Instructor: Jackie Leavenworth, CRS

785.587.7145

Instructor: Douglas Richards, CRS

JUNE 22 — ST. CHARLES, MO. [Missouri CRS Chapter]

AUG. 13 — COLORADO SPRINGS, COLO. [Pikes Peak Association of REALTORS®]

314.267.2691

719.633.7718

OCT. 8 — WAILUKU, HAWAII [Hawaii Aloha CRS Chapter]

SEPT. 2 — PORTLAND, ORE. [Oregon CRS Chapter, Washington CRS Chapter]

SEPT. 22 — MALVERN, PA. [Association of REALTORS® School, CRS Pennsylvania Chapter]

808.733.7060 x0

866.556.5277

610.560.4800

Instructor: Jackie Leavenworth, CRS

Instructor: Gee Dunsten, CRS

CRS 206 — Technologies to Advance Your Business

Instructor: Rich Sands, CRS

Instructor: Jackie Leavenworth, CRS

Instructor: Mark Porter

SEPT. 21 — AUBURN, ALA. [Lee County Association of REALTORS®] 334.320.6069

Instructor: Chandra Hall, CRS

SOUTH

SOUTH

SOUTH

GARY LANHAM GROUP

FORT LAUDERDALE, FL

Leading the Way in South Florida Real Estate Gary Lanham Group Leader Associate Broker CRS, CIPS, ABR, ePRO o 954.545.5550 c 954.695.6518 gary@garylanhamgroup.com www.garylanhamgroup.com

SOUTH

SOUTH

ABR, CRS, SRES, GRI, CDPE

Serving Northern Virginia and the Dulles Tech corridor Re/Max Premier offices in

Ashburn, Fairfax and Leesburg

Direct: 703-999-6535 Office: 571-210-SELL

lisacromwell@remax.net www.LisaCromwell.com

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Kent Redding BROKeR, gRi, CRs, ABR

the Kent Redding group Berkshire Hathaway texas Realty

512.306.1001

Austin, texAs Kent@CallKent.com www.CallKent.com SOUTH

CRS 210 — Building an Exceptional Customer Service Referral Business AUG. 19 — HONOLULU [Hawaii Aloha CRS Chapter] 808.733.7060 x0

Instructor: Mark Given, CRS OCT. 1 — ST. LOUIS [Missouri CRS Chapter] 314.267.2691

Instructor: Edward Hatch, CRS OCT. 15 — ALBUQUERQUE, N.M. [New Mexico CRS Chapter] 505.610.5025

Instructor: Mark Given, CRS

Elective Courses Elective courses vary in length and credits earned toward the CRS Designation.

Please visit the CRS website for details at crs. com.

February 8-9, 2016 Loews Royal Pacific Resort Orlando, FL

REGISTER NOW & SAVE $100 WITH THE EARLY BIRD RATE

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In 2016, the brightest stars in residential real estate will head to Orlando, FL on February 8-9 for 2 days of unparalleled networking opportunities, business building strategies, and the chance to hear insights from the top-producing agents and industry leaders. Invest in the future of your business and register today!

Duane Hosek, CRS

Honest-Skilled-Motivated-Full Time

605-391-8424

duanehosek@gmail.com www.duanehosek.com

CANADA

Early Bird Rate Ends on Aug. 31, 2015

Full Price After Sep. 1, 2015

Member

$549

$649

Non-member

$625

$699

VIP Upgrade

$100

$100

Pre-Conference One Day Course:

Member - $130

Non-member - $160

*Price increases on September 1, 2015

RE/MAX Hallmark Lind Group Realty Ltd., Brokerage Aurora Ontario Canada

crs.com/sell-a-bration

Toll Free: 1-888-727-8223, ext. 228 www.hallmarklindrealty.com

Fax: 905-727-2230

E-mail: lenard@hallmarklindrealty.com

ACCELERATE YOUR SUCCESS MOVE YOUR BUSINESS TO® THE NEXT LEVEL ATTEND SELL-A-BRATION 2016

SHARE YOUR EXPERTISE

Would you like to be a source for a future story in The Residential Specialist? Send an email to mfenner@crs.com to be added to our potential source list. To see a list of topics we’ll be covering, check out the magazine’s 2015 editorial calendar online at crs.com.

[resources]

reach out to the experts who made this issue happen

PERSONALIZE, REPRODUCE AND MAIL THIS NEWSLETTER TO YOUR CLIENTS

EDIT All the World’s a Stage

Inside the Millennial Mind

kelly@relo-expert.com

barrettseminars@gmail.com

Kelly Cobb, CRS Fonville Morisey, a Long & Foster Company

Lee K. Barrett, CRS Instructor Barrett & Co., Inc. &

Risé Johns, CRS Keller Williams Realty

Mario Dominguez, CRS The Dominguez Realty Group

Carl Medford, CRS Keller Wiliams Realty

Charles G. “Chip” Morrison, CRS, CCIM Team Realty Group

texaslady@homesonlaketravis.com

carl@carlmedford.com

mario5@bellsouth.net

chip@chipandkathy.com

Leave YOUR HOME as is, or personalize the newsletter by adding your photo, logo, address and phone number to the mailing panel.* You can also substitute any article in the newsletter with one of your own.

Edit the newsletter e­ lectronically by downloading the Microsoft Word version at crs.com/ yourhomenewsletter.

PLEASE NOTE: The images featured in the YOUR HOME newsletter may only be used within the PDF version of the newsletter. These images may not be reproduced or republished elsewhere outside of this newsletter format. CRS members are free to re-use the text of the articles contained in the newsletter, however.

REPRODUCE

Do it yourself with your office copier, or take the newsletter or electronic file (in addition to your photograph and any information you want inserted) to a printer who can prepare and reproduce the newsletter for you.

The Most-Wanted List

Your Local Forecast

gboston@austin.rr.com

david@urbanhousefitters.com

Gail Boston, CRS West Austin Properties

David Binkley, CRS Village Real Estate Services

James Chen, CRS 13 East Realty

Gordy Marks, CRS RE/MAX Northwest Realtors

Judy Reynolds, CRS Evergreen Realty

Sam Miller, CRS REMAX Stars Realty

james.chen@13east.com

judy@Evergreenrealty.com

gordy@bringingyouhome.com

samsells@sammiller.com

Joan Robinson, CRS, and Paul Robinson, CRS Southampton Village Real Estate robinson@hamptons.com

DISTRIBUTE

MAIL. If you photocopy YOUR HOME or use it “as is,” please note that it is designed to be folded in a Z fold with the words YOUR HOME facing out on one side and the mailing panel facing out on the other side. Postal regulations require that Z folds have three closures (tabs or tape) — one on top in the center and two on the bottom. For your convenience, we have placed asterisks (*) where the closures should be. Be sure to check with your local mailer or post office to make sure you have prepared your mailings properly.

ELECTRONIC FILE. Attach the customized newsletter file to an email to your clients or create a Web link to the file on your website.

Consult your webmaster or technician to make sure the file is prepared correctly for these purposes, since these basic instructions will vary by person and system.

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* This newsletter is for the exclusive use of CRS members.

your *

home M AY/J U N E 2 015

Tips and tre nd s for homeow ners, buyers and sellers

YOUR ULTIMATE

backyard Ø

With spring coming to an end, it is time to prepare your home for all things summer.

Whether you want to play host to summer barbecues or just want a place to relax in the sun, there are lots of options for outdoor recreation spaces. Working to build a premier outdoor area can not only serve as the ideal place to spend time with family and friends, but it can also add value to your home.

Here are some ideas for equipping your ultimate summer backyard:

Let There Be Light

Light up your outdoor space by installing lights along walkways or on tables, or stringing lights around a seating area. This lighting not only creates a relaxed atmosphere, it’s also great for night-time showings when it’s time to sell.

Create an Outdoor Kitchen Area

While only about 4 percent of affluent households have

outdoor kitchens today, 13.6 percent say they are planning to add one in 2014. A recent study by the National Association of Home Builders (NAHB) found that outdoor kitchens can add to a home’s value.

Upgrading your standalone grill to a built-in grill with additional counter space can go a long way.

Cozy Up

Adding outdoor couches, throw pillows and rugs creates the perfect ambiance for entertaining and invokes a feeling of comfort and serenity, according to the National Association of REALTORS® (NAR). These additions also provide value for staging and help potential homebuyers visualize themselves in the home.

Bug Off

There aren’t many downsides to the summer, but one of them is the return of the insects. To make your outdoor space critter-free, make sure you have citronella candles handy.

NATURAL LANDSCAPING

According to a study conducted by the National Drought Resilience Partnership (NDRP), the drought across the Western United States and parts of the Midwest region will intensify in 2015. With so much sun and little rain, homeowners will need to prepare their landscapes accordingly. If you live in one of these drought-ridden areas, an easy solution for an efficient and attractive yard is a natural landscape.

Natural landscapes are gaining popularity for good reason.

Plants native to a particular region have adapted to the surrounding environment, whether it features harsh winters, flooding or droughts. Native plants tend to flourish in local soils, and the Environmental Protection Agency (EPA) says these landscapes are good for the environment.

Aside from occasional pruning and weeding, maintenance on natural landscaping is minimal. Once implemented, native landscapes do not need fertilizers, herbicides or pesticides.

Natural landscapes usually require less water and minimal maintenance, which make them ideal for busy homeowners.

Another growing trend in drought-ridden areas such as California is “xeriscaping.” Plants required for this type of landscaping vary by region, but they are commonly wasteefficient and require extremely low amounts of water — if any at all, the EPA says.

Maintenance-free “hard elements” in a yard can include rocks, fences, walking paths or lawn ornaments. These features help fill your landscape and require zero maintenance.

Whatever choice homeowners consider when deciding how to create a beautiful outdoor landscape, NAR recommends keeping costs below 5 to 10 percent of the home’s value, so that you don’t over-improve.

BROUGH T T O Y OU B Y Y OUR A GEN T, A MEMBER OF T HE C OUNCIL OF RE SIDEN T I A L SPECI A L IS T S

Tips and trends for homeowners, buyers and sellers

SECURITY Ø

system

The kids are out of school and the sun is shining. You are finally able to take the family vacation that you have planned for all year. But when you leave the house and lock your door, is it really safe? Some of these best practices from Better Homes and Gardens will help you safeguard your home while on vacation.

Keep Quiet — Don’t discuss travel plans in public. You never know who might hear you say you won’t be home. Additionally, don’t post pictures or comment about your vacation on social media until you return.

Mail Arrangements — A full mailbox or pile of newspapers in your driveway can tip off criminals to an empty home. Contact the U.S. Postal Service to hold your mail and contact your newspaper to suspend delivery or ask a neighbor to collect the papers.

OV

E REFER RA LS!

IL

SAY YES TO CRS EQUAL HOUSING

Neighborhood Watch — Ask a neighbor or friend to keep an eye on your home while you are away and make sure they have a reliable contact number for you in case of an emergency.

Fake Your Stay — Set a timer for lights and televisions to turn off/on at night.

This gives the impression that someone is home and deters any intruders.

Lock Up — Although this might be obvious, take one last tour of the house to make sure all windows are locked and the alarm system is correctly armed. After this you are ready to lock the doors and hit the road with peace of mind.

Buying or selling a home can seem like an overwhelming task. But the right REALTOR® can make the process easier — and more profitable.

A Certified Residential Specialist (CRS), with years of experience and success, will help you make smart decisions in a fast-paced, complex and competitive marketplace.

To earn the CRS Designation, REALTORS® must demonstrate outstanding professional achievements — including high-volume sales — and pursue advanced training in areas such as finance, marketing and technology. They must also maintain membership in the National Association of REALTORS® and abide by its Code of Ethics.

Work with a REALTOR® who belongs in the top 3 percent in the nation. Contact a CRS today.

DO YOU KNOW SOMEONE WHO IS THINKING ABOUT BUYING OR SELLING A HOME? PLEASE MENTION MY NAME. This newsletter is for informational purposes only and should not be substituted for legal or financial advice.

If you are currently working with another real estate agent or broker, it is not a solicitation for business.

OPPORTUNITY

*

*

ATTENTION CRS DESIGNEES! RAISE YOUR PROFILE IN THE CRS NETWORK WITH A FEATURE IN

CRS CONNECT

More exposure = more relationships = more referrals!

To gain maximum exposure to our successful community of CRSs, take advantage of our newest marketing outlet—the CRS of the Week feature in our weekly e-newsletter, the CRS Connect.

With a circulation of over 45,000 real estate agents and industry leaders, a prominent feature in the CRS Connect e-newsletter can significantly raise awareness of you and your business within the CRS community—which could result in profitable referrals and relationships down the road.

CHOOSE FROM 2 PACKAGES AND SELECT THE BEST FIT FOR YOU.

• A prominent feature in one issue of the CRS Connect that includes your name, picture, business, location, contact Information, and link to your website, along with 200-300 words of additional content/information of your choice • A written interview with you published on crs.com, along with a brief bio, picture and contact information • Inclusion in a rotation of the “Meet a CRS” section of the crs.com website • A banner on the crs.com home page linking to your interview and profile

Cost $500

150px

FEATURED CRS OF THE WEEK PACKAGE

150px

Your Name, CRS

Link to Company Website Location

Your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio, your bio.

Description of your business, description of your business, description of your business, description of your business, description of your business, description of your business.

Your business philosophy, or reasons that you got designated and refer to other CRSs. Your business philosophy, or reasons that you got designated and refer to other CRSs.

Cost $150

125px

Your Name, CRS

Link to Company Website Location

125px

• Your picture, name, business, location and link to website listed in the “Get to Know a CRS Designee” section (along with 2 or more other Designees) in one issue of the CRS Connect • Inclusion in the rotation of the “Meet a CRS” section of the crs.com website

125px

GET TO KNOW A CRS DESIGNEE PACKAGE

125px

Your Name, CRS

Link to Company Website Location

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Find out more and reserve your spot at crs.com/FeaturedCRS

ask a

CRS advice from your peers

Q:

L E A D G E N E R AT I O N

Aside from CRS, what outlets have you found to be the best for lead generation and return-on-investment (ROI)?

“ Your best leads are the ones you can see face to face. Your dentist, dry cleaner, church group, gym clients, neighborhoods you live/have lived in and past clients especially.

I have tried 50 to 60 percent of the lead generation systems. There is little you can do to create loyalty with a prospective seller or buyer unless they trust you first.”

Barbara Avery, CRS  RE/MAX Northwest REALTORS®  Kirkland, Washington  seattlesuburbs@yahoo.com

“I have been in the business for 30 years and I can tell you that past clients and my personal sphere of influence are the most productive areas for generating leads and referrals. I spend the vast majority of my marketing efforts and dollars on these people with great success. Most of the leads that I have obtained from Internet sources have been of lower quality.”

Steve Oliver, CRS  Steve Oliver REALTORS®  Odessa, Texas  steve.oliver@realtor.com

“ Invest in some nice personalized note cards, call everyone in your database, have a nice chat and send a note card to follow-up using an actual stamp — or your photo/logo, which can be done on Stamps.com.

Aim to complete 10 each day. You’ll get farther, faster than you would with paid leads.”

Eric Reusch, CRS  Bunbury & Associates  Madison, Wisconsin  EReusch@BunburyRealtors.com

May June

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The Residential Specialist trsmag.com

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Participate in active discussions like this at the Council of Residential Specialists’ LinkedIn page at goo.gl/13ZXGT.

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INTRODUCING NEW 4-HOUR CRS WEBINAR BUNDLES

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Gain deeper insights and learn actionable strategies related to:

LISTINGS MARKETING BUYERS TEAMWORK BUSINESS PLANNING LOCAL EXPERTISE Each bundle includes 4 recorded webinars related to these topics and can help you earn 4 CRS Education credits toward the CRS Designation.

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www.crs.com/webinar-bundles

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