July/August 2008
More than ever, a greener home is a more valuable home for the seller, for the buyer, and for Virginia’s REALTORS®
A journal for real estate professionals published by the Virginia Association of REALTORS® www.VARealtor.com
Tips for making and marketing a green home
61 Green
Means
Go
$6600
Minimum value added to a home by shaving $50 off its monthly fuel bill
Also in this issue: • Government programs for first-time buyers • Why aren’t you offering home warranties? • Legal Lines, the latest news, and more
If yo you u n do ee n’t d t ge og tt o t his o p co ag ver e1 , 4.
Your success will depend on your knowledge of the greening market.
THIS JUST IN
REALTORS® and the Internet vie for eyeballs
Who ya gonna call? The Internet Newspaper
When it’s time to buy or sell Real Estate Agent your home, who ya gonna Friends or Family call? The answer: The TV or Radio Internet and a REALTOR®. Probably in that order. 0 10 20 30 40 50 While NAR’s figures say that about 80 percent of homebuyers start their home search on the Web, a recent survey from the Pew Internet & American Life Project found some different numbers when it asked people how they chose a home. The Pew study showed that, when looking for a new place to live, 49 percent of people used the Internet, 49 percent used a newspaper, 47 percent asked a real estate agent for advice, and 31 percent asked friends and family. The takeaway: While most people will ask a REALTOR® for help buying a particular house, fewer than half will ask her about what or where to buy. (Unless they’re moving to a new city — then the numbers are a bit higher.) Another survey — this one by Coldwell Banker Residential Brokerage in Utah — found that “when it comes to selling a home, nearly 60 percent of [people] would first use a REALTOR® or a real estate company.” On the other hand, only 32 percent of buyers would go that route.
Get your Virginia housing-stat fix Like to keep up with housing trends around the Commonwealth? The folks at the Center for Housing Leadership at Housing Opportunities Made Equal of Virginia, Inc. (HOME) are putting out what they call the Virginia Housing Statistics Snapshot. It takes data from a variety of sources, aggregates them, and puts the details on its Web site, www.phonehome.org. You can even sign up for e-mail updates, which come out about eight to 10 times per year.
Scary stat of the day It’s not good to be the new guy. The National Association of REALTORS®’ membership profile found that REALTORS® with fewer than two years’ experience had a median income of $10,500 in 2007, down 32 percent from the year before. The Federal poverty level is $10,400 for a single person.
VOLUME 15 ● ISSUE 4
Signs, signs, everywhere are signs There’s a decent chance you use off-site signs to advertise some of the homes you’re selling, especially if there’s an open house coming up. Every little bit helps, right? (NAR says that something like 40 percent of buyers are attracted by signs.) But some of your fellow REALTORS® are finding out that, housing crisis or not, the local government wants you to keep your signs off its lawns. In Charlottesville, for example, off-site signs are verboten, as a recent article in C-Ville magazine reported. The city’s Neighborhood Development Services unit will take ’em down and destroy ’em. NDS director Jim Tolbert told C-ville reporter Will Goldsmith, “We get complaints about realtor signs being put up all over the place on a regular basis. Some of them just don’t get it.” Not only didn’t Tolbert bother to capitalize “REALTOR®,” he didn’t answer the obvious question: Who bothers to complain about ‘House for Sale’ signs? Complaints or not, you might want to check your local zoning ordinances before you pop up those “Open House Sunday” signs. After all, it isn’t like you can claim they’re not yours. ● JULY/AUGUST 2008
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JULY/AUGUST 2008 • Volume 15 Issue 4
PUBLISHED BY THE VIRGINIA ASSOCIATION OF REALTORS® The Business Advocate for Virginia Real Estate Professionals Pat Jensen, ABR, CRB, CRS, GRI President
How should you market a green home? It’s not an easy question. While natural light and efficient appliances are a start, there’s a lot more. So we went to the experts. They told us how to sell a home’s green side, and what it’s worth investing in before a house goes on the market.
14 Green means go Want to make a lot more money on a house? Invest in a little ‘greenification’ of appliances, paint, even carpets and floor. It’s good for your your wallet, your reputation, and, well, the earth.
John Powell, GRI, ABR, CRB, CRS President-Elect Cindy Stackhouse, GRI Vice President Melanie Thompson, GRI Immediate Past President John Dickinson, CCIM, GRI Treasurer R. Scott Brunner, CAE Chief Executive Officer scott@VARealtor.com Lisa G. Noon, ABC, CAE Vice President, Marketing & Communications lgnoon@VARealtor.com Ben Martin, CAE Director of Communications & New Media bmartin@VARealtor.com Andrew Kantor Editor & Information Manager andrew@VARealtor.com For advertising information, Jeff Rhodes at (410) 584-1968 or email var@networkpub.com
18 Greenspotting It’s easy to say a home is green, but — as Kermit the Frog so eloquently pointed out — it’s not quite so easy being green. Does Energy Star really matter? What kinds of paint make a difference? Here’s some help knowing what’s what.
10 Protect and serve Rookies in particular need to remember the value of a home warranty — it can protect the buyer from broken appliances…and you from a lawsuit.
The mission of The Virginia Association of REALTORS® is to enhance its membership’s ability to achieve business success. Commonwealth magazine (ISSN#10681388) is published bi-monthly by the Virginia Association of REALTORS®, 10231 Telegraph Road, Glen Allen, VA 23059-4578; (804) 264-5033. Virginia Association of REALTORS® members pay annual dues with a one-year subscription included within their dues. Periodicals postage paid at the Glen Allen, VA post office and additional mailing offices. USPS Per. # 9604. Postmaster: Send address changes to: Commonwealth magazine, 10231 Telegraph Rd., Glen Allen, VA 23059-4578. Custom Publishing Services provided by Network Publications, Inc. Executive Plaza 1, Suite 900, 11350 McCormick Road Hunt Valley, MD 21031
12 First-time charms The federal government has several financing programs aimed squarely at first-time buyers. If you’re working with a new homeowner, be sure to keep these government programs in mind.
DEPARTMENTS 1 4 8 22 26 28 34 36
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This Just In Legal Lines Living the Code RPAC Report Blogspotting VAR Update VAR Staff Directory The Last Word
JULY/AUGUST 2008
Why $6600? According to the Appraisal Institute’s Appraisal Journal, “[S]tudies suggest that home value increases by $11–$21 for every dollar reduction in annual fuel expenditures.”
VARbuzz.com. Your virtual café for real estate news, views, and issues. Read the perspectives of your fellow Virginia REALTORS®. Join the conversation at VARbuzz.com today.
Get it? Got it? Good!
In addition to the print version of Commonwealth, VAR publishes these electronic newsletters at regular intervals. Among them:
The online version of our print mag, published every month. If you’re not receiving these newsletters via e-mail from time to time, it may be that we don’t have your correct email address. Contact your local association of REALTORS® to enter your address in the database. Also, check the spam filter on your computer and authorize any email from VARealtor.com. WWW.VAREALTOR.COM
LEGAL LINES by Lem Marshall, VAR Special Counsel
When settlements are unsettling
VAR Legal Hotline: (800) 755-8271
“Buyer premiums:” Beware
Is it risky? Quick! To the Hotline…
Q.
The newest craze in creative use of the MLS is a comment in the remarks section that states “Buyer Premium.” A buyer agent with an interested buyer calls the listing agent to inquire, and is told the following: “The house is listed for $800,000, and if you want a commission, your offer will have to be at least 3 percent over that.” Would this hold up in an arbitration hearing? Is this a net listing? Can we do anything else goofy with the MLS?
A. My answers, in order, are as follows: I have long since given up trying to predict the outcome of arbitration hearings. Probably not. Almost certainly.
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A net listing is typically one in which the listing agent keeps everything in
Guidelines for Legal Hotline calls: All principal or supervising brokers are eligible to use the Hotline. In addition, one other designated person from each office (for example, an associate broker or office manager) may register as designees of the principal broker.
Before you call:
excess of the asking price, and is illegal
Please note that many of the routine questions the Hotline receives have previously been answered in Commonwealth articles; check the indexed Hotline archives at VARealtor.com before calling.
because it gives an enormous incentive to
How to sign up:
underprice the property.” Well, the inmates are now fully in charge of the asylum, aren’t they? I’m not sure this is a net listing, at least in the ordinary sense, but then I’m not sure what it is. A net listing is typically one in which the listing agent keeps everything in excess of the asking price, and is illegal because it gives an enormous incentive to underprice the property. But this does seem problematic, because it doesn’t seem to permit the selling agent to know what the offered fee is. For this reason alone it shouldn’t be permitted in the MLS. I also doubt that it qualifies for another reason: if the price is below the asking price, there’s no commission paid at all. If no commission is offered, the listing doesn’t belong in the MLS.
Refund sense
Q.
Another head-scratcher. A buyer has purchased and closed on new construction. The builder gave a $20,000 closing cost credit, part of which was used to pay seller’s grantor’s tax which the contract passed on to the 4
The VAR Legal Hotline is a free, members-only risk management tool that is among the top-rated services offered by the Virginia Association of REALTORS®. Through the Legal Hotline, you can receive timely legal information on the issues you confront day-in and day-out in your real estate practice. The VAR Legal Hotline has one major objective: to increase REALTOR® professionalism and decrease professional liability.
JULY/AUGUST 2008
Registration is easy. Complete the form found under the Member Services tab at VARealtor.com. You must register before you call the Hotline.
Hours of operation: Monday through Friday (except holidays) from 10 a.m. to 4 p.m.
How to contact the Hotline:
By phone: (800) 755-8271 or (804) 264-5033. By e-mail: hotline@VARealtor.com
Call handling process: When you call, please have your NRDS number ready, and include it with any e-mailed questions.
Questions?
If you have questions about the Hotline, contact Anita Bean at (800) 755-8271 or (804) 264-5033, or by e-mail at anita@VARealtor.com The VAR Legal Hotline should not replace your own legal counsel. No questions will be answered on matters that are unrelated to real estate, real estate brokerage, or pending arbitrations.
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LEGAL LINES buyer. The buyer did not use all the credit, so the builder added an upgrade with the unused balance. All the costs were shown on the seller’s side of the settlement statement. Now that the General Assembly has ordered the refund of portions of the grantor’s taxes paid at closing in the Hampton Roads and Northern Virginia areas because of the Virginia supreme court decision striking down the road-funding mechanism established the previous year, who will get the refunded portion of the grantor’s tax? Will the buyer have to show the contract to the refunding clerks, or will the buyer have to petition the builder for the refund after the builder gets it back?
A. Beats the heck out of me. It’s just odd to me that the buyer would expect the builder to refund a tax that is owed by the builder, passed on to the buyer by contract, and then paid by the builder in concessions. It was always the builder’s tax to pay, and it seems he could have paid it himself and just reduced the buyer’s concessions in the same amount, in which case the buyer would never have gotten it back. Either way, if there’s a refund coming, it would not cost the buyer anything for the builder to get
it back, unless the buyer believes that all savings on seller costs of doing business should be passed on to the buyer. I think buyer will have a hard time getting it back, but he can try to convince the builder of his entitlement. Builders are pretty receptive to that kind of thing.
Possession before the law
Q.
Buyer changes the time for settlement from 10:00 a.m. Friday morning to late afternoon. Recordation and disbursement will occur the following week. Buyer has said he has no plans to move in until Monday, but demands that the sellers vacate the house Friday. Sellers can get everything out, but want to keep bedroom furniture in the house and sleep there until Monday. Do the sellers have the right to stay in the house until Monday?
A. It’s hard for me to believe that people can actually say what the buyer is saying here with a straight face. The sellers have not yet received a dime for the property, and yet are having to beg the buyer – whose postponement of closing has caused this situation – for the right to sleep in the house. Let’s keep in mind that the sellers will have to continue paying their mortgage over the weekend because the buyer could not arrange his affairs to permit paying the seller when the buyer demanded ownership. Let’s keep in mind further that the buyer has not taken the deed from escrow and accepted it outright. In short, this buyer has not closed with the sellers, notwithstanding buyer’s signing his loan documents and closing, in escrow, with his lender. All I can say is that if you can read this question and not understand why the rest of the country rejects Virginia’s unique manner of dealing with settlements, you are seeing something I am not. ●
Legal Lines is written by VAR Special Counsel Lem Marshall. Please note that answers to Legal Hotline questions are informational only. Consult your own legal counsel for legal advice. More Legal Hotline questions and answers are indexed at VARealtor.com for your reference.
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JULY/AUGUST 2008
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LIVING THE CODE
Should you help someone choose their neighbor? THE SITUATION: A REALTOR® listed a property in a new subdivision. At the instruction of his client, the REALTOR® did not list the property on the MLS, did not place a “For Sale” sign on the property and did not advertise the property in the local newspaper. The seller told his REALTOR® that he wanted the sale handled quietly, with the new purchasers being people who would “fit into the neighborhood—people with the same socioeconomic background” as the other residents of the subdivision. The listing agent’s only marketing effort was to send a letter to other residents in the subdivision inviting them to “play a part in selecting your neighbor.” The letter encouraged residents of the neighborhood to forward prospects to the listing agent.
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No instruction from the seller could absolve the listing agent from his obligation to market properties without regard to race, color, religion, sex, handicap, familial status, or country of origin, as expressed in Article 10.”
Say your mother lives in the neighborhood and she forwards this marketing letter to you. Appalled, you file a complaint charging the listing agent with violating Article 10 of the Code of Ethics, as the listing agent’s approach can only be an act of deliberate discrimination against home seekers. The listing agent defends his actions, saying he was only acting on the wishes of the seller. The seller testified for the listing agent and confirmed this fact, adding that the entire block around his house had agreed on this approach if anyone ever decided to sell. The question: Was the listing agent guilty of violating the Code of Ethics? The answer: Yes, the hearing panel concluded. In their decision, the panel decided that no instruction from the seller could absolve the listing agent from his obligation to market properties without regard to race, color, religion, sex, handicap, familial status, or country of origin, as expressed in Article 10. ● 8
JULY/AUGUST 2008
Culture clash America has always been a melting pot of cultures; that has never been truer than it is today. If your career is to last, it’s in your best interest to understand how to work with clients who may well come from vastly different traditions. It’s imperative to understand that the laws in every country are different. It’s up to you to understand our laws and be able to guide your clients who are accustomed to doing business in other ways. You can also develop a competitive advantage in your market by becoming a resource for related services. If people see that you provide answers, as well as close deals, they are far more likely to turn to you with all real estate related issues. In short, you earn their trust. (And that applies to both clients and other agents!) Here are some tips: • If there’s a culture in your area that’s particularly prevalent, take the time to learn some of its nuances, especially in a business situation. Should you be direct or subtle? Are there formalities you can observe to make someone feel at ease? • Take the time to identify culturally diverse real estate related service providers in your market: lenders, real estate attorneys, insurance agents, etc. The more diverse your resources, the more vital you become to both clients and other agents. • Know when it is in your client’s best interest to refer them to someone more capable. This is critical to earning trust for your business. No one will think less of you if you turn to an expert, even if it means giving up a sale. In fact the reverse is true — people will be far more likely to work with you in the future. • Know what local or telephone-based translation services are available to you. Language will always be a barrier, especially with clients new to the United States. Plus, VAR member service partner LLE offers translation services. See their ad on page 5.
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ROOKIE READING
Protect
and Serve Home warranties are great for buyers, but they’re also a useful seller’s tool
by Clara Miles As it gets harder to sell homes in today’s market, many sellers and real estate agents are turning to home warranties — using them as an added value for potential buyers. These plans give buyers some peace of mind, knowing they’ll be covered for any unexpected repairs to their new home. Plus, they help protect real estate agents against claims from buyers wanting reimbursement for property defects that arise after closing. Home warranties are insurance contracts that provide for the repair or replacement of a home’s major appliances and other “operating systems” (think HVAC) for one year after closing. These policies typically cost between $250 and $600 a year and often the buyer can renew them indefinitely. In addition to the yearly premium, homeowners only pay a service fee for each visit — usually from $50 to $100 — for covered items.
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Some real estate professionals are now purchasing warranties as a gift for buyers and sellers.” A home is the single largest investment that most people will ever make, and the last thing new homeowners want to learn is that they’re facing an expensive repair. While an inspection may find many problems that could be covered by a home warranty, it cannot account for the kinds of issues that are beyond an inspection’s scope, or those that
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occur down the road. Refrigerators break, after all. And sometimes, when those refrigerators break, the buyer blames the seller…or the REALTOR®. So to help prevent those post-closing glitches, both sellers and REALTORS® are offering to include a home warranty in the sale of a home. It allows buyers to purchase with more confidence, and, for real estate professionals (who can offer the warranties as “gifts”), it’s a way to protect themselves from future litigation.
Brass tacks To help reduce your risk, you should not only recommend that your clients purchase a home warranty for their new property, you should provide them with a list of reputable companies to choose from. Do the research yourself, but encourage them to as well. While many home warranties are similar, there are some specifics the buyer needs to go over before choosing one. • How much is the annual cost of the home warranty plan? • How much is the charge for a trade service call? • Which components of the home will be covered by the warranty, which components are not covered, and what are the specific exclusions and limitations? Is additional coverage available for items like a swimming pool, heat pump, or washer/dryer? • What are the total dollar limits on the warranty, and what are the limits for individual items? • How long has the company been in business, and is it licensed? www.VARealtor.com
• Is the company’s customer service department available for requests 24 hours a day, 365 days a year? • Can the warranty be renewed? • Will a licensed contractor be used to make the repair, and what is the turnaround time? • What percentage of claims are paid? • What is the company’s customer retention ratio? Most importantly, you should stress the importance of reviewing a policy carefully before accepting it, paying particular attention to what is and isn’t covered. Some contracts come with loopholes that require proper maintenance or upgrades to current building codes before repairs will be covered. If your clients decline this valuable coverage, you should document this fact in writing and retain the waiver in your transaction file. No real estate professional wants to face a problem with a home after the close of escrow or learn that they might have to buy a new air conditioner for the
Volume 15 ● Issue 4
“
Most importantly, you should stress the importance of reviewing a policy carefully before accepting it, paying particular attention to what is and isn’t covered.”
homeowner. When problems arise after closing, the buyers don’t call the seller, they call the REALTOR®. Buyers invest their confidence in you about the condition of the home and look to you for guidance. A home warranty is one of the best pieces of advice you can give. l Clara Miles works for Pearl Insurance, a broker, marketer, and administrator of insurance plans for associations, affinity groups, and large firms.
JULY/AUGUST 2008 11
FIRST-TIME BUYERS
Charms First Time
Working with first-time buyers? Don’t forget government programs
by Ann Brown
There’s an upside to the nation’s mortgage crisis, and one REALTORS® should be prepared to take advantage of. The large number of foreclosed properties in the Commonwealth are a boon to first-time buyers, who may be able to afford a home that was previously out of their reach. Besides enabling some buyers to afford their first home, the rise in the number of properties in foreclosure is creating a growing market for REALTORS® ready to work with first-time homebuyers. That’s good news across the board, as increasing affordability for first-time homebuyers can help start or speed up a rebound of Virginia’s housing industry, especially with so much new construction targeted to the trade-up market, which is dependent on sales to first-time buyers. But the same economy that enables someone to afford a first home might also make it harder to obtain financing. Increased foreclosures and losses have made lenders wary, and they’ve tightened their mortgage lending guidelines. That means buyers will need larger down payments, higher credit scores, and will have to meet stricter qualifying standards on all conventional loan products. They’re going to need REALTORS®’ help to learn about and take advantage of the affordable housing market opportunities.
It’s the government, and it’s here to help Buyers who can’t get conventional financing naturally turn to options from the Federal Housing Administration (FHA) and the Department of Veterans Affairs (VA). Both federal agencies have maintained their flexible qualifying
On the Web VHDA’s education program: www.vhda.com/sf/edu.asp VHDA information in Spanish: www.vhdaespanol.com
12 JULY/AUGUST 2008
and have not imposed additional restrictions even on properties in declining markets. In Virginia, the Virginia Housing Development Authority (VHDA) can be first-time buyers’ best friend. In fact, the demise of most subprime products — along with those stricter guidelines of conventional financing — have increased demand for VHDA financing — especially for the authority’s FHA Plus loan product, one of the few remaining options for borrowers to purchase a home with little to no money down. Because of the increased demand and fallout from the subprime meltdown, VHDA has made some program changes that REALTORS® and their clients should know about. The organization suspended its FlexAlt and Step Rate loan programs (which had been geared toward subprime borrowers) and it now requires that all borrowers successfully complete its Intro to Homeownership class. “We feel these changes are the best way to balance our resources with loan demand, as well as reduce risk to our borrowers,” said Janice Burgess, VHDA’s loan programs manager. “We want to make every effort to keep our most beneficial products available to help first-time homebuyers purchase homes with affordable financing.” She focuses on the upside. “Fortunately, Virginia entered the mortgage crisis in far better shape than most states,” Burgess said. “Our economy remains among the strongest in the nation with very low unemployment. Even though the foreclosure rate has risen, Virginia’s rate is just half the national rate.” l Ann Brown is a senior copywriter at the Virginia Housing Development Authority. www.VARealtor.com
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A small investment in energy efficiency can raise a home’s value by thousands of dollars.
Simple green Gayle Fleming of Keller Williams Realty
in Arlington markets herself as “Your Going Green Realtor®.” She’s an advocate of making a house as green as possible before putting in on the market. Fleming Her take: Especially if you have to do some work anyway, you’ll more than make up for any added costs with a faster sale at a better price. She speaks from experience. In one case, she worked with a condo owner who needed to fix up a property before selling it. They decided to make it as environmentally friendly as possible and market it that way. “We went in and changed the appliances to Energy Star-qualified models,” she said. “Everything that could be Energy Star-rated was, including the furnace and heat pump.” Instead of replacing the worn carpet with standard nylon, they used PET recycled carpet, which is softer, stronger, and happens to be made out of recycled plastic bottles. The worn Formica kitchen counters were replaced with Marmoleum ones. Marmoleum, like genuine Linoleum, is a natural flooring made from linseed oil and rosin. It doesn’t leach chemicals the way vinyl flooring does. The whole place was painted with a low-VOC paints. (That’s volatile organic compounds — chemicals such as formaldehyde in paint, carpet, and furniture — that evaporate easily and get into the air.) The result? “When we got ready to market this property, we marketed it as an eco-friendly condo,” Fleming said. “It sold faster than anything in this particular development had sold, and higher than anything had sold for.” That client of Fleming’s made some major changes, but even minor ones can make a big difference. “The list is almost endless,” said Roger Voisinet of RE/MAX Realty Specialists in Charlottesville. “Changing light bulbs, repainting with the right paint, and refinishing the floors with a low or no-VOC finish.” Voisinet A seller looking to greenify a house can easily be overwhelmed with options. So before worrying about what kind of fibers are in the carpet, focus on Volume 15 ● Issue 4
the big, easy-to-market features. “The very first and most important thing any buyer can look for is energy efficiency,” Fleming said. “Replace those appliances with energy efficient, Energy Star-rated models,” she said, especially those that do any kind of heating or cooling: dishwasher, range, microwave oven, refrigerator. If the furnace needs to be replaced, make sure the seller installs one with a high SEER rating — that the Seasonal Energy Efficiency Ratio, a good measure of how efficient it is. Because if being able to say “new furnace” is a helpful marketing tool, imagine the extra oomph of “new high-efficiency furnace.” And if the existing furnace is staying, check it out. If it’s Energy Star approved you need to mention it. “A lot of REALTORS® don’t know to play that up,” Fleming said. “They might say ‘the furnace is only two years old,’ or ‘the furnace was replaced last year,’ but it could be a furnace with very low efficiency, so if it is Energy Star rated, you want to use that as an angle to sell it.” Ditto for one of the newest and best innovations in appliances: the tankless or on-demand water heater. They can knock a home’s hot-water bill in half or better. But don’t forget water in general. Fleming likes to see lowflush toilets and low-flow shower heads, even in older homes; they’re standard in newer ones. “If a listing agent is selling a house,” she said, “that’s really something they should talk about.”
Little green things But what if a seller isn’t interested in making a major investment in new appliances? There’s still plenty that can be done to add to the green appeal. “Even small things can make a differShaw ence,” said Nate Shaw, who bills himself as “Northern Virginia’s Green Real Estate Agent.” For example, he said, “wrapping the water heater with a padding blanket to keep it from losing radiated heat.” That will set the seller back all of about $20 or $30, and it shouts “Green!” at prospective buyers. The same goes for a $50 water-heater timer that shuts it down overnight. Don’t forget ceiling fans. “They can help offset energy JULY/AUGUST 2008 15
use in both summer and winter,” Shaw points out, by circulating the warm or cool air put out by either the furnace or the air conditioner. Seeing them throughout a home sends a positive message, especially because, unlike screwing in a few CFLs, ceiling fans take effort. “Even something as simple as heavy, good sun-blocking blinds and shades can make a big difference,” Shaw said. If you really want to impress a green-focused buyer, add a rain barrel near a downspout to collect water for use in watering the lawn and plants (which also lowers your overall water bill). Or go all out and add solar panels to the roof. “They’re very expensive in the grand scheme of things,” Shaw admits, “but they’re definitely going to add a lot of value and be really attractive to buyers who are looking for green houses.”
Clean and green Obviously not everyone looking to buy green is interested in helping the environment or even saving money. But even the most water-wasting, Hummerdriving litterbug wants to stay healthy. Ergo, look at the paints and carpets. They’re both so obvious they’re easy to miss, but their ubiquity in a home is what makes them so important. Most people don’t realize that paints emit fumes for a long time — years after they’ve been used. And as you walk on carpets or hardwood floors, you’re sending microscopic bits of fabric or finish into the air and into your lungs.
Green Products Galore Marmoleum flooring: www.forboflooringna.com Benjamin Moore Eco-Spec paint: www.benjaminmoore.com PET carpet made from recycled soda bottles: http://www.nps.gov/sustain/spop/carpet.htm PaperStone countertops made from recycled paper: http://www.paperstoneproducts.com/ Ice Stone countertops made from recycled glass: www.icestone.biz Method natural cleansers: www.methodhome.com The Resilient Floor Covering Institute’s FloorScore program for rating green flooring: http://www.rfci.com/int_FloorScore.htm
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That’s where low- or no-VOC paints and finishes — such as Benjamin Moore Eco-Spec or Sherwin-Williams GreenSure paints, or BioShield’s wood finishes — come in. If a seller is going to repaint anyway, using an environmentally- and health-friendly paint can be a good marketing feature. Just as with appliances, there are plenty of small things worth doing as well, from using milder cleaning agents such as those from Method Products to simply putting down a shoe rack so people don’t track-in who-knows-what from outside.
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But even the most water-wasting, Hummerdriving litterbug wants to stay healthy.”
“These are just more features for people who are interested in the healthier aspects of a home,” Voisinet said. “You try to get every feature out there that you can, especially if someone made the extra effort.” There, however, is the rub. One difficulty a selling agent will run into when pitching even the greenest of homes is how to tell buyers about it. It’s not as if there’s a checkbox in an MLS listing for solar panels. “Unfortunately, with the MLS you’re limited in terms of what you can do with the fields they have both for energy and for health,” Shaw said. “That sort of thing has to go in the Remarks section.” Still, she recommends mentioning these things in any marketing material, e.g., “have used all-natural cleaning products for the past X months.” When you’re marketing the green angle, it also helps to get someone else to give a stamp of approval: Get a home energy audit done. “It will show them where the leaks in their homes are,” Shaw said. “A lot of that stuff may not be cost effective to fix, but it gives you some indication of what’s going on in the house.” And the things you do fix you can use as a selling point: “‘Here’s the energy audit, we’ve fixed this, this, and this’.” Is all this extra work? Yes? Does it cost money? In the short term, yes, but in the long run it adds value to the home, something everyone can appreciate. l Read and comment on this article online at VARbuzz.com/Green
www.VARealtor.com
COVER STORY
Greenspotting
How green is that house? Here’s how to see past the hype by Michele Lerner
18 JULY/AUGUST 2008
GREEN IS IN. It seems nearly every magazine — including, now, this one — has had at least one issue with a green topic emblazoned on its cover, with articles offering tips about environmentally-friendly living. Consumer consciousness has been raised, and homeowners are wising up, opting for green choices in their light bulbs, paint, windows and HVAC systems. But for buyers looking for an environmentally-conscious home or office, the array of advertisements touting green features can be overwhelming. It’s hard to separate what’s a real environmental plus from all-too-common marketing fluff. Because of that, REALTORS® representing sellers who have gone the extra mile to turn their property into a showcase for sustainable living may want to find ways to demonstrate these features to potential buyers. And buyers’ agents need to know what’s real and what’s hype. While the Internet can provide a fountain of information on what it means to be green, REALTORS® may feel they’re being flooded with too much information. Sometimes green is obvious — energy-efficient appliances and low-odor paints, for example. But a quick Google search on “green building” turns up more than 13 million potential sources of information. Web sites from NAHB and The US Green Building Council (USGBC) include brief written for novices in the world of green building. USGBC, for example, includes a “What Makes a Product Green?” checklist as part of its “ReGreen” guidelines for remodeling projects. “It can be difficult to know if a property has been built according to sustainable building guidelines without a third party certification such as LEED,” said Ashley Katz , communications coordinator for the USGBC, referring to Leadership in Energy and Environmental Design, one of the most stringent programs for green building. LEED, in fact, is one of a number of certifications that have surfaced in recent years to help builders and buyers standardize on what it means to be green. “Third-party certification, such as an Energy Star rating or, in Virginia, the EarthCraft House Single Family Program — or LEED certification — is the clearest way for anyone to know that a building is green,” said Mark Waring, vice president of Bain-Waring, a green residential building company in the Richmond area, while Katz explained, “LEED certification is like a nutrition label for buildings documenting the energy and water conservation systems and the materials used in the building.” EarthCraft and LEED certifications, which are designed mainly for new or remodeled homes, are based on point systems. For EarthCraft, for example, a building must WWW.VAREALTOR.COM
earn 150 points to be certified green, including 75 points for energy efficiency and then additional points for items such as a green roof. The building gets those points for lots of things, big and little. “A third party will test the shell of a home for air filtration and test the duct systems to be sure they are tight, then inspect the insulation,” said Waring. “Other green concepts that can earn points include site planning for solar energy, Energy Star appliances and lighting fixtures, water management with low-flow toilets and faucets, and indoor air quality. I happen to like birds, so I even get points by adding a bird bath or bird feeder to a property.” (See the box, “Earning Your LEED Points.”) But the green movement, at least when it comes to buildings, is still new enough that finding a certifiably green home is tough. Instead, you’ll have to know what to look for yourself.
organic compounds) paint,” said Emily English, Green Building Program Manager for the National Association of Home Builders (NAHB). “Most people remodel their homes in pieces, so even if an existing home doesn’t have every single possible green feature, it can still be considered green if the owners have started working with anything in the whole smorgasbord of ideas that are involved in green building.”
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Green Eyes Open Start with the basics. If you see that a seller has replaced standard light bulbs with CFLs (compact fluorescent light bulbs), while it doesn’t mean a home meets the highest level of green standards, it’s at least an indication that they’re environmentally aware. “Anything you do to be more green is helpful, even if it’s just painting your home with low-VOC (volatile
It can be difficult to know if a property has been built according to sustainable building guidelines without a third party certification.” To be really green, though, a building needs a bit more than efficient lights or healthier paint. “Even if a place has bamboo floors and solar panels, it doesn’t necessarily meet the highest level of green building standards,” Katz said. She suggests that REALTORS® start by looking at a home’s appliances and fixtures to see if they’re relatively new and energy efficient. They should also consider hiring a contractor to do an energy audit which measures a home’s energy efficiency.
Would you like to learn more? REALTORS® who want to learn more about green building and green features have several places to turn to. • The National Association of Home Builders recently introduced a “Green Professional” certification program — a two-day class aimed at all types of real estate professionals, not just builders and remodeling contractors. “The Northern Virginia Building Industry Association (NVBIA) offered this certification program twice so far,” said English. “The program covers the pillars of green building; what they are, why they are important and how to understand how these systems perform in a home.” • The Association of Energy and Environmental Real Estate Professionals (AEEREP) offers the EcoBroker certification to any licensed real estate agent. According to EcoBroker International, “EcoBroker’s core curriculum offers innovative energy, environmental, and green strategies and tools for real estate professionals.”
Volume 15 ● Issue 4
• A nd then there’s self study, with a list of Web sites offering information: • NAHB green building guidelines and certification information: www.nahbgreen.org • The US Green Building Council www.Greenbuild365.org • USGBC “ReGreen” program: www.regreenprogram.org • USGBC green renovation checklist: www.greenhomeguide.org • Green builders and programs in Virginia: www.buildgreenvirginia.org • EarthCraft building guidelines: www.earthcrafthouse.org • Virginia Sustainable Building Network: www.vsbn.org
JULY/AUGUST 2008 19
Waring goes along with that. “Green building is based on energy savings,” he said, and the only way to know for certain if a home is truly energy efficient is to ask, and to ask for proof. “The first step a lot of homeowners take, which is a huge energy saver, is to install low-E argon windows,” Waring said. Those are windows with an invisible low-emissivity coating that reflects a lot of the heat from the sun. “Other big energy savers which are visible to REALTORS® and their clients include tankless water heaters, older appliances [replaced] with Energy Star appliances, and upgraded attic insulation.”
Testing Green Michael Strong, vice president of Brothers Strong
Residential Design-Build in Houston and the NAHB’s “Green Remodeling Advocate of the Year” for 2008,
Earning Your LEED Points In Virginia, the Arlington County government adopted the LEED rating system to measure the environmental performance of buildings in the county. It introduced the “Green Home Choice Program” in 2003 as incentive for residential builders to go green. The program includes listings of the techniques and products which make homes more environmentally friendly. REALTORS® can check homes to see if they incorporate some of these elements. According to the Green Home Choice Program, green home components include: • Specific construction practices to minimize and recycle construction waste; • Careful insulation practices; • Nontoxic interior finishes (low VOC paint, sealants, and carpeting); • Components made from renewable resources (such as cork or bamboo floors, wheatboard cabinetry); • Recycled content components (such as recycled glass tiles, recycled-content countertops); • Energy efficient appliances (Energy Star rated refrigerator, dishwasher, water heater, etc.); • Photovoltaic (solar) panels; • Water efficient appliances and landscape irrigation (front loading clothes washers and moisture sensing irrigation systems); • Stormwater collection (rainbarrels or larger cisterns); • Careful placement of shade trees; • Careful placement of windows to maximize interior light and ventilation. 20 JulY/AuGusT 2008
said it takes two steps to identify a home as green: visual inspection and mechanical testing. “A good basic home inspection can include a look at the insulation, light fixtures, appliances, sealants around doors and windows, HVAC system, and the windows,” Strong said. “It’s best if this type of inspection is done by a licensed or certified energy rater. In some areas, home inspectors are also green inspectors, but in others a separate inspection may be needed.” Homes that are more than ten years old should have both a blower-door test and a duct blaster test done, Strong suggested, because they can lose from 25 to 50 percent of their air through duct and sealant leaks. And while he agrees that the most objective and well-defined aspects of green building focus on energy efficiency, there are other elements to being green. “REALTORS® working with clients with health issues such as allergies need to hire someone to do an air-quality inspection,” said Strong. “This kind of air sampling can test for mold and mildew, for radon in granite, and for formaldehyde in carpets.” There’s more to a green home besides the obvious. “While energy efficiency is the biggest and easiest green feature to identify, consumers and REALTORS® should also look at things like proximity to public transportation, the way a home is sited on a lot, water-saving devices and indoor air quality when deciding whether a home is green or not,” said English. Of course, being green and staying green are two different things. Just as even the highest-performance car doesn’t do so well without occasional oil changes and tune-ups, even the most environmentally friendly home won’t stay that way. “Energy Star certification or another third party certification means that a building has the features to operate efficiently, but that doesn’t guarantee performance,” said English. “Homeowners may need the knowledge about what is in the house and what they need to do, such as changing the air filters, to make sure the green features are maintained.” And don’t lose sight of the big picture. Being green is more than a marketing gimmick or a way to raise a home’s price. It’s a better way to do things. ● Michele Lerner is a freelance writer based in Washington, D.C. Read and comment on this article online at VARbuzz.com/Greenspotting
WWW.VAReAlToR.Com
2008 RPAC Report
GOLDEN R INVESTORS ($5,000)
As of June 23, 2008, the following REALTORS® and local associations have joined RPAC of Virginia as Major Investors. For more information on the value of RPAC and how your investment works to protect your business, contact Meredith Cox at mcox@VARealtor.com or (804) 264-5033. Or, if you want to get invested today, please visit rpacofva.com.
Linda Belcher-Brown Coldwell Banker Residential Manassas
William Chorey Chorey & Associates Realty Suffolk
Dennis Cronk Poe & Cronk Real Estate Group Roanoke
Joseph Funkhouser, II Coldwell Banker Funkhouser Harrisonburg
Dorcas Helfant-Browning Coldwell Banker Professional Virginia Beach
Steve Hoover MKB, REALTORS® Roanoke
Thomas Jefferson, III* Joyner Fine Properties Richmond
Tom Jewell Carter Braxton Real Estate Co. Leesburg
Tom Stevens* Coldwell Banker Residential Vienna
Melanie Thompson Century 21 AdVenture Realty Fredericksburg
GOLDEN R ASSOCIATION ($5,000)
Fredericksburg Area Association of REALTORS®, Fredericksburg Northern Virginia Association of REALTORS®, Fairfax Richmond Association of REALTORS®, Richmond Roanoke Valley Association of REALTORS®, Roanoke
John McEnearney McEnearney Associates, Inc. Alexandria
Stanley Palivoda Century 21 Battlefield - Tappahannock Dahlgren
* Hall of Famers have contributed a cumulative amount of at least $25,000 to RPAC. Jack Torza Long & Foster REALTORS® Mechanicsville
22 JULY/AUGUST 2008
Commission Express Commission Express Woodbridge
www.VARealtor.com
CRYSTAL R INVESTORS ($2,500)
CRYSTAL R ASSOCIATION ($2,500) Harrisonburg-Rockingham Association of REALTORS®, Harrisonburg
Angela Dougherty Patricia Jensen William E. Wood Real Estate III - North & Associates Charlottesville Williamsburg
Michael Minnery Re/Max Allegiance Woodbridge
Todd Rogers Hometown Realty Mechanicsville
STERLING R INVESTORS ($1,000–$2,499)
Deborah Baisden Prudential Decker Realty Virginia Beach
Jerry Bartlett Jobin Realty Springfield
Mary Ann Bendinelli Weichert REALTORS® Manassas
Patricia Billheimer Long & Foster Real Estate, Inc. Sterling
Karen Bohlke Re/Max Select Hampton
R. Scott Brunner Virginia Association of REALTORS® Glen Allen
Charles Burnette Burnette & Company, Inc. Blacksburg
Florence Chittenden Long & Foster Real Estate, Inc. Nokesville
Billy Coons Realty Executives Virginia Beach
Julie Crist GSH Real Estate Hampton
Beth Dalton Coldwell Banker Townside Blacksburg
Tommy DeWitt DeWitt Real Estate & Auction Lynchburg
John Dickinson Hall Associates Inc. Union Hall
Mary Dykstra RE/MAX Valley REALTORS® Roanoke
STERLING R ASSOCIATION ($1,000–$2,499) Greater Augusta Association of REALTORS®, Staunton Lynchburg Association of REALTORS®, Lynchburg New River Valley Association of REALTORS®, Christiansburg Virginia Peninsula Association of REALTORS®, Hampton Angela Eliopoulos Long & Foster Real Estate, Inc. McLean
Sandee Ferebee GSH Real Estate Virginia Beach
Volume 15 ● Issue 4
Claire Forcier-Rowe Coldwell Banker Elite Fredericksburg
Karen Gaskins Rose & Womble Realty Chesapeake
Williamsburg Area Association of REALTORS®, Williamsburg
JULY/AUGUST 2008 23
2008 RPAC Report
STERLING R INVESTORS ($1,000–$2,499)
Katy Gilliam Coldwell Banker Traditions Williamsburg
Lynn Grimsley RE/MAX Peninsula Newport News
Kit Hale MKB, REALTORS® Roanoke
Margaret Handley M.C. Handley, Ltd. McLean
Eugene Hobart Long & Foster Real Estate, Inc. Haymarket
Amy Hudson Long & Foster Christiansburg/Blacksburg Blacksburg
Jo Anne Johnson Westgate Realty Group, Inc. Falls Church
Lilian Jorgenson Long & Foster Real Estate Vienna
Luis Lama Long & Foster Real Estate, Inc. Alexandria
Barbara Jean LeFon Rivah Realty LLC Montross
Tom Meyer Condo 1, Inc. Falls Church
Rita Huggins-Halstead Long & Foster Real Estate, Inc. Sterling
Betty Jasmund Coldwell Banker Elite Stafford
Andy Mason Mason-Davis Company, Inc. Onancock
G. Edmond “Ned” Massie, IV Grant Massie Land Company Richmond
Susan Mekenney Re/Max Allegiance Fairfax
Kayvan Mehrbakhsh Sperry Van Ness Vienna
Kathy Nunnally Re/Max Valley REALTORS® Roanoke
Lee Odems Buyer’s Advantage Real Estate Woodbridge
Forrest Odend’hal Long & Foster Real Estate Manassas
Gwen Pangle Long & Foster Real Estate, Inc. Woodbridge
24 JULY/AUGUST 2008
Gail Penman Century 21 Team Real Estate Stafford
Vinh Nguyen Westgate Realty Group, Inc. Fairfax
John Powell Long & Foster Real Estate, Inc. Colonial Heights
www.VARealtor.com
STERLING R INVESTORS ($1,000–$2,499)
Jane Quill RE/MAx Presidential Fairfax
Peter Rickert Coldwell Banker Residential Brokerage Alexandria
Gene Sampson Jobin Realty Fairfax
Dee Spraker Keller Williams Realty Dumfries
Trudy Severa Long & Foster Real Estate Reston
Cindy Stackhouse Century 21 Stackhouse & Associates Dumfries
Wes Stearns Mo Wilson Properties, Inc. Woodbridge
Suzy Stone Century 21 AdVenture Realty Fredericksburg
Thomas “Mack” Strickland, Jr. Strickland Realty chester
Patricia Szego ERA - Elite Group REALTORS® Haymarket
Christine Todd Northern Virginia Association of REALTORS® Fairfax
Kevin Turner Century 21 All Service-Bedford Bedford
Drake Van de Castle Envirian of Charlottesville charlottesville
Glenda von Dameck Long & Foster Christiansburg christiansburg
Robert Waring GSH Real Estate Virginia Beach
Karen Wilkinson First Horizon Home Loans Woodbridge
contributions are not deductible for income tax purposes. contributions to RpAc are voluntary and are used for political purposes. The amount suggested is merely a guideline and you may contribute more or less than the suggested amount. You may refuse to contribute without reprisal and the National Association of REALTORS® or any of its state associations or local boards will not favor or disfavor any member because of the amount contributed. 70% of each contribution is used by your state pAc to support state and local political candidates. Until your state pAc reaches its RpAc goal 30% is sent to National RpAc to support federal candidates and is charger against your limits.
When you’re good to RPAC...
RPAC’s good to you Get invested today at www.RPACofVirginia.com VoLUme 15 ● ISSUe 4
JULY/AUGUST 2008 25
BLOGSPOTTING by Andrew Kantor
Feeling the pulse of the real estate blogging community Short-free listings
Here are a few:
Frank LLosa at FranklyRealty.com really hates short sales.
Attractions & Destinations. Having something to do gives people a reason to come to a place — and to return again and again. Active Edge Uses. Buildings bases should be humanscaled and allow for interaction between indoors and out. Traffic, Transit & the Pedestrian. A successful street is easy to get to and get through. Shortcut: www.VARealtor.com/08072
In fact, he’s even created what he says is the first home search website to “scrub” for short-sale listings: FranklyMLS.com. “How do we know if it is a Short Sale? Since only 17 percent of Short Sale listing agents check off the ‘Short Sale’ box under Current Financing, we also crawl the Public Remarks for the phrase ‘Short Sale’ and ‘Party Approval.’ “Why do you want to know which are Short Sales? So you don’t get your hopes up. There has been much discontent amongst buyer agent REALTORS®, some even calling for a complete ban of Short Sale listings on the MLS since so many are ‘Fake Listings.’ (but they are starting to close, more soon on this, so subscribe to this blog). But now that we give them an *, you can quickly see which are which.” Shortcut: www.VARealtor.com/08071
Location, location, location Yeah, yeah, we all know how important it is. But what makes a great location? Some things are obvious — good schools come to mind — but others take a little thought. Phil Hardwick found a great list of those things at the Web site of Project for Public Spaces.
Ego check Daniel Rothamel spent some time at referee camp. (He is
the Real Estate Zebra, after all.) He came back with some lessons for his day job: “For the ones whose egos get a bit too large, it is important to remember that nothing is guaranteed. As quickly as the success came, it can be taken away. The most important game is always the next one, and be thankful that it is on your schedule. “Real estate is the same way. We are all independent contractors, running our own businesses. We are our own bosses. This does not, however, mean that we answer to no one. There are still responsibilities to clients, to colleagues, to family.” Shortcut: www.VARealtor.com/08073 ●
The buzz at
VARbuzz.com
If for some reason you aren’t checking in at VARbuzz regularly, here’s some of what you missed: ••••• “I just can’t see being a part-time agent without seriously diminishing my effectiveness and my professionalism. That isn’t to say that someone couldn’t sell real estate part-time but I believe their other vocational endeavors would have to be an offshoot of the real estate industry.”
26 JULY/AUGUST 2008
••••• “If you’re shooting a furnished room, shoot it from above — stand on a chair or stool or something. If you’re shooting an empty room, shoot it from below — kneel down. Both will help make the room look even larger.” ••••• “I suppose we are fortunate in that the media coverage of our local real estate market has leaned toward the ‘doom and gloom’ of the nation at large.”
WWW.VAREALTOR.COM
VAR uPDATe
What’s var doing for you? (answer: Plenty. Here’s the latest.) Nar’s Code of Ethics: Plain English, CE credit, and insurance discounts Face it: At more than 7,000 words, the REALTOR® Code of Ethics isn’t exactly light reading. That’s why VAR has its Code is Good Business campaign — to make it easier to understand, and to show how adhering to the Code helps REALTORS® earn the trust of their colleagues and clients — not to mention earn more money. We’ve added a new feature to TheCodeIsGoodBusiness.com: StraightTalk, where all 17 articles of the REALTOR® Code of Ethics are in layman’s language. If you need a refresher on the Code, or if you’ve ever felt confused by it, have a look.
“...to make it easier to understand, and to show how adhering to the Code helps ReAlToRs® earn the trust of their colleagues and clients.”
Also new: the 16 The Code Is Good Business ethics lessons been approved for one hour of ethics continuing education (or one hour elective for post license education) by the VREB, they might reduce your errors & omissions insurance premiums. When a majority of agents in your firm complete and pass the course, you may qualify for a lower insurance premium with the VAR-endorsed Pearl Insurance E & O program. See the lessons at www.VARealtor.com/ethicslessons and get more information about Pearl’s policies by writing or calling Debbie Bindeman at debbie.bindeman@ pearlinsurance.com or (800) 455-1154. Remember: As great (and helpful!) as we think Straight Talk is, it’s not a substitute for the real REALTOR® Code of Ethics. It’s the standard (and verbiage) of real Code to which you are held. Enjoy Straight Talk for its layman’s language, but make sure you know the Code, too.
28 JulY/AuGusT 2008
Let var keep you healthy Private health insurance can be, shall we say, on the pricey side — but it’s still better than doing without. And coming later this summer, VAR will be offering a limited medical benefits plan through TransAmerica. It’s a way to get basic coverage at an affordable rate, along with some other services — vision coverage, life insurance, pre-paid legal services, and even a 401(k) plan managed by Charles Schwab. The program is slated to be available in early August. Keep an eye on www.VARealtor.com/memberdiscounts for information as soon as it’s available.
ZipForms training online VAR member service partner ZipForm is offering two demonstrations of its Online and Desktop products for VAR members. Learn tricks and shortcuts to make your use of ZipForm as efficient as it can be. Both dates will offer demonstrations of both ZipFormOnline and ZipFormDesktop. Tuesday, July 22, 9:30 – 10:30 a.m. www.gotomeeting.com/register/902844412 Tuesday, July 29, 9:30 – 10:30 a.m. www.gotomeeting.com/register/857195910
Do not forget: mandatory ethics training All REALTORS® are required to complete 2 1/2 hours of ethics training every four years. The current four-year period ends December 31, so be sure to have your training completed by then.
WWW.VAReAlToR.Com
Confessions of your competitor... Hi, remember me? Your friendly competition? As “friendly” as we are, let me be brutally frank: I’m glad you haven’t registered for VAR’s Convention & Expo. It’s a tough market, in case you hadn’t heard, and I want every edge I can get over my
competitors. Here’s what I’ll be getting at the Convention while you stay home and hold down the fort: I’m going to network, face to face, with REALTORS®, brokers, and business leaders from all over the state. So I’ll be picking up new ideas, while you’re doing the same old, same old. Sure, you can read Robyn Waters’s book, but I get to hear her talk, in person, about trends specific to real estate. I might even stop her or Andy Sernovitz or Douglas Rushkoff in the halls and ask them some questions, one on one. So I’ll be just a bit better prepared for the next year. And you?
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Volume 15 ● Issue 4
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Every few months you may get to hear Lem Marshall speak on a topic or two. I’m going to be
able to catch him four times in a couple of days. You know how when you come back from a conference and you’re full of good ideas? That’ll be me. Not you. When you’re scrambling to meet your CE requirements, I’ll have already taken care of them Have you seen how many sessions qualify? I can go on a swanky harbor cruise and it’s a tax deductible business expense. Seriously. VAR is expecting more than 70 exhibitors at the expo. It’ll be one-stop shopping for marketing materials, value-adds for clients, technology, and a lot of other stuff. Stuff that you won’t learn about for months. So yeah, I’ll take a few days and spend a few hundred bucks. But I’m virtually guaranteed to close at least one more sale based on what I’ll learn and who I’ll meet at VAR’s Convention & Expo 2008. That’s a hefty return on my investment. And that’s why I’m glad you’re not going...and I am.
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www.varconvention.com
JULY/AUGUST 2008 29
VAR uPDATe
virginians stay ahead of the curve Every year NAR conducts a member survey, and it splits the results by state; it’s a good way to compare how Virginia’s real estate professionals stack up against the rest of the country. When it comes to technology, especially use of the Internet, Virginians are a bit ahead of the nation. For example, 93 percent of Virginia’s REALTORS® use e-mail every day (or nearly every day) compared to 92 percent of REALTORS® in the U.S. as a whole. In other areas, including their use of the latest technologies, REALTORS® in the Old Dominion have an even bigger jump on their colleagues across the nation.
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Register online and save $50 at www.VARConvention.com
There’s one surefire way to make a tough market even tougher . . . stop learning. Discover all the reasons why this year’s Convention & Expo is a perfect opportunity to set yourself apart from the competition at www.VARConvention.com
30 JulY/AuGusT 2008
WWW.VAReAlToR.Com
VAR uPDATe Commercial searches made easy We’re not allowed to call it an MLS, but it’s pretty much the same thing. A new Web site from the National Association of REALTORS® focuses on commercial real estate, and it includes a commercial-property database that covers all 50 states.
“Commercial information exchanges (CIEs), multiple listing services and practitioners may upload basic listings at no cost,” NAR tells us. “More comprehensive listing information can be added at a nominal pricing.” You can check out the new site at www.commercialcouncil-var.com. ●
ReAlToR®-to-ReAlToR®
To advertise in Commonwealth magazine, contact Jeff rhodes at (410) 584-1968 or var@networkpub.com 32 JulY/AuGusT 2008
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VAR Staff Directory VAR 2008 LEADERSHIP TEAM Pat Jensen, ABR, CBR, CRS, GRI President Real Estate III - North Charlottesville (434) 817-9200 re3@esinet.net John Powell, GRI, ABR, CRB, CRS President-Elect Long and Foster Real Estate Colonial Heights (804) 520-5600 john.powell@longandfoster.com Cindy Stackhouse, GRI Vice President Century 21 Stackhouse and Associates Prince William (703) 580-0880 c21cindys@aol.com John Dickinson Treasurer Hall Associates, Inc. Roanoke (540) 982-0011 jrdickinson@cs.com Melanie Thompson, GRI Immediate Past President Century 21 AdVenture Realty Fredericksburg (540) 898-2900 mqc21adv@aol.com R. Scott Brunner, CAE Chief Executive Officer (804) 264-5033 scott@VARealtor.com VAR MEMBER SERVICE PARTNERS PossibleNOW – DNC Solutions (770) 255-1020 (Security Code SC1795VR) www.VARealtor.com/DNCsolution Advanced Access (800) 335-1563 www.VARealtor.com/AdvancedAccess Cultivate – Professional Development www.VARealtor.com/InternalAudio Pearl Insurance (800) 289-8170 www.VARealtor.com/Pearl Liberty Mutual Insurance (800) 468-6634 ext. 245 (group number 4624) www.VARealtor.com/LibertyMutual Broadwing, Inc. (866) 564-6279 www.VARealtor.com/Broadwing UPS (800) 325-7000 www.VARealtor.com/UPS Bank of America (866) 438-6262 (priority code K22V) www.VARealtor.com/BankofAmerica FBRDirect (888) 200-4350, Option 2 www.VARealtor.com/FBRdirect Office Depot (301) 943-4762, Account 44618691 www.VARealtor.com/OfficeDepot Outstaffing (888)-OUTSTAFF (888-688-7823) www.VARealtor.com/Outstaffing NAR Store (800) 874-6500 (Promotional Code VAR2) www.VARealtor.com/REALTORstore LLE Language Services (877) 405-8764 x. 207 www.VARealtor.com/LLE
EXECUTIVE R. Scott Brunner, CAE Chief Executive Officer (804) 264-5033 sbrunner@VARealtor.com • Strategic Direction • Governance (including Leadership Team, Policy Board and Delegate Body) • Virginia REALTOR® Leadership Academy (VLA) • NAR Activities • Member Outreach Anne B. Taylor Executive Assistant ataylor@VARealtor.com • Governing Documents • Policy Board, Delegate Body, NAR Director & VLA Logistics • Leadership Team Support • Travel Planning ADMINISTRATION Debbie Talley, CPA Vice President for Administration dtalley@VARealtor.com • Financial Management & Budgeting • Local Association Liaison • Investment Management Committee • Facility Management • Special Projects Anita Bean Member Services Specialist abean@VARealtor.com • Receptionist and Concierge • Information Central Robbie Martin Mailroom Specialist robbie@VARealtor.com • Mailroom • Copying Accounting/Member Records Ann Kelly Controller akelly@VARealtor.com • Accounting • Budgeting • Financial Records and Reporting Kim Martin Member Records Specialist kmartin@VARealtor.com • Membership Records (NRDS) • Receivables Mike Shepherd Information Systems Manager mshepherd@VARealtor.com • Technology Systems • Website Management Meghana Bhatia Accounting Specialist meghana@VARealtor.com • Accounts Payable • Accounts Receivable
MARKETING AND COMMUNICATIONS Lisa G. Noon, ABC, CAE Vice President for Marketing & Communications lgnoon@VARealtor.com • Media Relations • Communication/Marketing Strategy • Virginia Home Sales Report • ‘The Code is Good Business’ Program • Research Ben Martin, CAE Director of Communications & New Media bmartin@VARealtor.com • Member Outreach • Social Media • Publications • Information Management Advocacy Group Jovan Hackley Marketing Manager jovan@VARealtor.com • Marketing Communication • Publications Amanda Arwood Sales Manager aarwood@VARealtor.com • Sponsorship Opportunities • Affiliate Memberships • Trade Expo Management • Member Service Partners Andrew Kantor Editor & Information Manager andrew@VARealtor.com • Publications • Web content Career Development Tracey R. Floridia, CMP Director Professional Development tfloridia@VARealtor.com • Conference Management • Education Program Development • Professional Development Advocacy Group • Instructor Training Lili Paulk Professional Development Manager lpaulk@VARealtor.com • Education Program Management • Continuing & Post-License Education • In-house Systems Trainer • Conference Services Glenda Puryear Conferences Specialist gpuryear@VARealtor.com • Graduate, REALTOR® Institute (GRI) Administration • Conference Services Amy Hafer Professional Development Specialist ahafer@VARealtor.com • Education Program Implementation
Member Services Carole Umbel, RCE Director of Member Services cumbel@VARealtor.com • Membership Policies (Rules and Regulations) • Specialty Education • Special Interest Group Liason • Membership Services and Recognition Lynne Wherry Specialties Manager lwherry@VARealtor.com • Specialty Affiliate Records & Dues • Special Interest Group Liason • Specialty Education and Event Management Scottie Bosworth Professional Standards & Member Policy Manager sbosworth@VARealtor.com • Professional Standards Education & Administration • NAR Member Policy • VAR Standard Forms Logistics • VREEF Trustee Liason LAW & POLICY John Broadway Vice President/Law & Policy jbroadway@VARealtor.com • Public Policy Development and Outreach • General Counsel • Broker Relations • Regulatory Relations • Coalition Building Martin Johnson Director of Government Relations/Chief Lobbyist mjohnson@VARealtor.com • Legislative Representation / Lobbying • Political Strategy • Public Policy Advocacy Group • RPAC Trustees Lawrence “Lem” E. Marshall Special Counsel lmarshall@VARealtor.com • Legal Hotline, Principal • Risk Management Education • Virginia Real Estate Board Liaison Meredith Cox Political Communications Manager mcox@VARealtor.com • RPAC Fundraising and Administration • Public Policy Communications • Federal Political Coordinator Program Blake Hegeman Associate Counsel bhegeman@VARealtor.com • Policy Analysis • Local Issues Resources & Management • Legal Hotline, Secondary • Risk Management Advocacy Group • Standard Forms Working Group
THE LAST WORD
Neighborhood watch
How for want of a speed bump, I’m losing my mind “YOU MAY BE wondering, Mr. Brunner, why we’ve assembled this informal gathering of our homeowner association members here in your front yard this morning.” “Uh, yes. I was just bringing the dog out to let him, um…. Could you let me throw some clothes on?” “That’s not necessary, Mr. Brunner; you look dashing enough there in your bathrobe.” “Um, thanks. Well good morning, uh, neighbors.” “I’ll get to the point, Mr. Brunner.” “Harriett, please call me Scott…I mean, like you usually do.” “Certainly. As president of our little association, I want you to know you’re among friends here, Mr. Brunner – friends concerned about the unusual zeal with which you have attempted to enforce safety rules here on our little cul de sac. Consider this an intervention, of sorts, Mr. Brunner.” “Well, I…” “We understand your interest in assuring our street is safe for the children. We share that interest. But is it not true that you have taken up the habit of accosting random service delivery vehicles here on our street and tongue-lashing the drivers for reckless driving?” “It wasn’t a tongue-lashing, exactly. You’re talking about when I shouted “slow down” at the mail lady as she whizzed by in her little truck, right?” “Well yes, that. And when you stopped the UPS man. And that Latino fellow from our grounds maintenance crew, who, I should 36 JULY/AUGUST 2008
note, was on a riding lawnmower at the time.” “He was going fast.” “He was mowing, Mr. Brunner.” “I see your point.” “You just about gave the poor man a palpitation hollering ‘Citizen’s arrest!’ the way you did.” “I’m truly sorry about that.” “Did you not also, Mr. Brunner, just last week right here in the street, with your arms waving and your bathrobe slightly – shall we say – askew, chase down the Fishers’ sixteen-year-old son and his friends in the boy’s car?” “Right. I apologize for that one, too.” “And did you not refer to him at the time as ‘Jeff Gordon and his posse’ and threaten to report him to the Bureau of Alcohol, Tobacco and Firearms – a governmental agency that, by the way, has nothing to do with traffic control?” “It was an unfortunate reference on both counts. I doubt Jeff Gordon would be caught dead in a ’97 Sentra with a busted muffler. But the kid was flying…” “He was pulling out of the driveway next door. How fast could he have been going…in reverse?” “What can I say? He struck a nerve. There are 12 children under age 10 living on this street, and like it or not, they sometimes play in or around the street. We don’t even have a speed limit sign.” “No, Mr. Brunner, we apparently, instead,
have you. It is, after all, not a playground. It’s a street, Mr. Brunner.” “And they are, after all, children… who sometimes don’t remember to look both ways. All I’m asking for is for is safer driving. Slower speeds. I’ve been thinking what we need is a speed bump…” “Perhaps that would explain the pallet of concrete you had delivered here to the front of your house yesterday, Mr. Brunner?” “Well…” “And the invitation neighborhood children recently received to what you’re billing as “Bob-the-Builder’s Bring-Your-Own-Trowel Street Party” later this afternoon?” “Just a bit of neighborly fun.” “There are child labor laws, Mr. Brunner. And permits, approvals, all of that.” “You know what they say about forgiveness being easier than permission….” “Mr. Brunner, the county builds speed bumps, not our homeowner association and certainly not individual citizens with a Barney Fife complex.” “Touché.” “And Mr. Brunner?” “Yes?” “Whatever you’re planning with that water cannon I can see there in your backyard, we urge you to rethink your plans.” ● Scott Brunner is VAR’s CEO and traffic control officer. Email him at scott@varealtor.com. WWW.VAREALTOR.COM