Hi folks. Yesterday was the day I did my monthly market update to send out to all of my Sellers. I put these updates on my other blog BrokerBryant.com and then send the link out to my customers. I've found this to be a very good way to utilize a blog. By writing articles and then linking to them it really makes our jobs easier and shows our customer/clients that we are on the ball. So if you are not using your blog as part of your communcations you need to start. It's a little harsh but my Sellers need to know these things. Here it is:
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OK, it's time for Broker Bryant's July market report. Let's get right into the stats for Poinciana Fl including all of the 34758 and 34759 zip codes. As of today, there are 1,712 houses on the market. Of those, 616 are priced less than $200,000....259 less than $175,000 and 80 priced less than $150,000. Folks this was unheard of 12 months ago. Property values are coming down and they are coming down rapidly! Out of the 1,712 houses on the market 628 were built in 2005 or later 1,287 were built in 2000 or later.
In July of 2006 there were 116 closings. In July of 2007 there were 47. That's a decrease of 60%. No surprise. It's been down 60% all year.
From 1-1-06 to 7-1-06 there were 926 closings. This year same period 377. Again a 60% decrease in closings. Out of the 377 that have closed 138 of them were less than 2 years old.
Now folks, what does all of this tell me? Simple. Poinciana is in dire straights. If your property is not priced BELOW market value, it will NOT sell. Period. You will not get lucky. If you don't NEED to sell, take it off the market. If you NEED to sell, lower the price until it sells. Call me and we can discuss a strategy to get it sold. Just don't be caught off guard if I suggest a very low price. The market is going to get worse. This is a long term down turn. Things will NOT be changing anytime in the near future.
OK, now that I got all that negative reality out of the way, let's talk about what Tutas Towne Realty has been doing. My business has actually picked up some since the beginning of July. We had a few closings in July and have several more properties under contract to close over the next couple of weeks. I currently have 25 homes on the market.
I have been updating and adding on to my Internet advertising for your properties. All of my listings can now be found on Craigslist and numerous other web sites. Here's a link to an article I wrote with this update. So, I am continuing to move forward to try and get some of your properties sold in due course.
Now lets get to the big issue in Real Estate right now. The mortgage market. Folks, I'm not a mortgage expert nor am I a big economics guy but let me put the current state of affairs in a nutshell for you. The mortgage market is crashing. Over 100 major lenders have gone belly up since the beginning of the year. This week American Home Mortgage filed bankruptcy. They were a HUGE lender and did tons of loans in Poinciana. The sub-prime market is no more. If a Buyer doesn't have money and good credit they will not be buying a home. It's simple: No available mortgages...No Buyers...No sales. Here is an excellent article that you need to read. It will put this crisis in terms you will understand. Again, it ain't purdy AND it's getting worse.
We are now smack dab in the middle of the worse real estate market in 20 years and, in my opinion, Poinciana could be the worse real estate market in the Country. Some of you may remember interest rates as high as 18% in the late 80s? Well hold on tight. Major change be a comin'.
Well, let me see if I can end this on a positive note. Folks, as always, I will do every thing I can to get your properties sold. We have to work together to get through this. I can't perform miracles but I can keep you informed with what's going on and help you to price your properties accordingly. Things are changing daily. Heck, we may reduce your property and a week later I may call and ask for another one. Bottom line: The market is what it is. I can't get you equity that doesn't exist. BUT if we work together I can get your equity out before there is none left.
Here are some links to some of the new web ads I have been working on:
Please feel free to give me a call with any questions or suggestions.
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So what do you think? Too brutal? I've actually already had two of my Sellers call REQUESTING price reductions! Folks, we are doing our customer/clients a disservice if we are not being brutally honest with them about this current market. They MUST know these things. We are getting paid for our experience and knowledge. So if you haven't already I challenge you to contact your Sellers today and lay it out for them. Have you? Will you?
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Give me a try for professional and attentive service. My 14 years experience and good "Old fashioned" hard work will fulfill your Real Estate needs. My wife is expensive and I can't afford to lose!:
Hey Mozilo....Your cash ain't nothin' but trash!!
"We don't have any money or credit. Can we steal your house?"
"Broker Bryant, how much is my home worth?"
Helpful listing tip from Broker Bryant. Mister Lister....can you spare a dime?
Pricing and negotiating "short sales" in Poinciana FL.
Fishing for foreclosures in Poinciana FL.
Buying foreclosures in Poinciana Fl.
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Reserved Parking For "The Lovely Wife"...TLW...ROAR!
Blog Boy...
Well. Like I said yesterday I like the way you never 'sugar coat' it. To do that is just dishonest.
Shooting straight from the hip there dude :) BAM!
TLW...ROAR!
Billie is speechless? lol
Not too brutal BB. Our clients deserve the truth and they would have a right to be upset afterwards if we never told them. I think using your blog this way is great! I've been contemplating doing the same thing. Thanks for the reminder!
P.S. I loved the show!
Nope. TLW was reserving her parking spot :)
I just had first hand experience as to how Billie is able to get that coveted first spot. LOL
And the hits keep comming. Stop the bleeding!
Down 60% since last year!!! Holy crap! We may have to take up a collection to feed you and TLW. =D
Hey guys....I had to play the video while reading. I understand all about the extra blog thing...I was having a hard time understanding the "excessive" linking and what that was all about....I then saw the 300 some odd links in one post directing everyone to the writers websites and blogs.
Anyway, I tried to create a blog (my website offers free blog page with my website stuff) and I ended up knocking my whole "old" website off. That's okay...got me in gear to finish the new one. Now...let me go learn about creating a blog that I can send TRUTH newsletters out from? I got a lot to learn.
I have I will ... Sam I am... Green Eggs and Ham... opps...
Got distracted there... still thinking about Ms. Diaz... anyway... Honesty is the best way... I am brutally honest and I am not for everyone... but I do get the job done... I am very grateful my market has stabilized. Have a good day!
BB:
I read this on your other blog.... Blunt? I think not. I think it was honest, fair and a straight shot at the way things are today.
Jolly Good Work!
BB, you are making me drool. What is the replacement value of these ever-depreciating listings? You said something about "rents" being the equalizer on prices in another post, but I think replacement cost is. demand is somewhat constant from year-to-year for users. Demand varies significantly for speculators and investors (they are not necessarily the same animal). So tell me what a buildable lot is worth in Poinciana and what the real cost of construction is. Maybe the bottom is already here, hear?
Bill Roberts
Bryant,
You were honest, not brutally so. Brutally so is telling your wife, "Yes," when she asks if she looks fat in these pants.
So...keep up the honesty; I know I will.
The truth, the whole truth and nothing but the truth.
There is no other way.
Works for me.
BB,
I like the funny posts better :0) Seriously though, we are in a bad time and people don't realize how things are going and they will only get worse, until something changes, when American went under they laid off over 4000 people, so anyone can be in this boat, and without the proper loan products to give to our clients, we will have no where to go, I do like FHA, but I don't know if it will be the fix it for all and I know alot of people on A/R really seem optimistic that FHA, will save us, but I really don't know...
Take Care,
Tom Weiss
Maggie...Coveted. LOL. I am numero uno...Baby...numero uno :)
Lisa...That won't be necessary. We are old. We've been through worse and have learned not to put all of eggs in one basket. Only a 'Rookie' would starve in our market :) But hey...If you want to send food, I say go for it. I don't cook and Blog Boy loves to eat :)
Woo Hoo...Glad your making some headway on all of that :)
Fran...How about does my fat arse make my fat arse look fat? :)
TLW...ROAR!
Sometimes people aren't ready to hear the truth. That is why they resort to doing the sign overload in your video. At some point sellers will catch on. I like being the second realtor in those cases. They are ready for the honest truth. Sherry
Great idea's, they all look good and I think you have to do different things. My moto is be everywhere on the internet you can be. You never know where a buyer will come from. So many portals to enter.
Use Vflyer and pimp your blog out with your listings utilizing the listing widget. Either you or TLW is welcome to call me if you want me to give you a verbal step by step!
THe brutal truth works for me as well. It is what it is.
Come on down let's play To Tell the Truth... I always premise my listing presentations...You may not like what I tell you, but I won't lie to you. Great letter!!!
Similiar up here... We are down 36% over last year which is 25% over the year before.
Jason, I'm bookmarking that statement:)
Renee, You know I have so many buyers calling me right now they are driving me crazy!!!!! I think I'm going to hire another BA. I'm looking for a bi-lingual(Spanish). So this is my job ad if anyone's looking. I do like the Vflyers though. The little widget thingie is nice.
Missy, You know I've never been big on putting my properties out there since I don't work with buyers BUT times they be a changin'!
Sherry, those signs cracked me up when I saw them!! I just had to take the picture. Love the one in the tree:)
Tom, I really feel for all the folks that are losing their jobs. We never talk about them. That's a shame.
Lenn, Thanks for stopping by. I knew that about you:)
Fran, If I told TLW that she would feed me to the gators:)
Bill, Lots are around $30,000 to $40,000. 7 years ago they were $5,000. In 2005 they got as high as $80,000!!! Not sure what construction costs are. But I do know we have not hit bottom yet. Still have aways to go. Most of the builders have closed up shop in Poinciana.
Hi Fran. I feel like I've been so negative lately. I keep looking real hard for the glimmer of hope but just can't seem to find it in my market right now.
Desiree, I love your attitude. I figure if folks don't like the way i operate then they don't have to hire me. It'll save us all a lot of aggravation.
Sally, you can get free blogs at wordpress, blogger or typepad. All are easy to use. Now go get one!!!
Lisa, send all money and food to Broker Bryant's Marlin Fishing Fund 123 Del Ray Marina Costa Rica.
Hi Maggie, Your blog is looking good. Utilize it. Your customers will love it.
Bob, You snuck in on me!! Thanks for stopping by my friend. You know, I've found that the sellers already know this stuff. They just need us to reiterate it.
I do appreciate your idea of doing the market report blog and then sending a link to your sellers. I agree, very good use of your blog and also that important continual contact with the seller.
I hope that you are still on target for this year now that we are over halfway through it.
BB,
Sounds oh so familiar to me...same situation here. Oh well that's the way the ball bounces.
Not too brutal at all. Honesty is what is needed to help your sellers to understand the market!!
Bryant - You have to tell it like it is - you owe it to your clients. When the market turns again they will remember you, especially since half the agents will no longer be in the real estate business. Have you noticed agents leaving at all there?
Tell the truth and keep on writing. I'll keep reading. Thanks for the post. The sign I had to laugh at that I saw on a yard "FOR SALE or LEASE".
Excellent, BB. We gain nothing by not being honest. The sellers will find out anyway - better from us than the competition. So what DO you like to eat?
Jeff
BB - No sugar coating here. Unfortunately, even though the truth must be told in order for the doctor to get the patient to understnd why he needs to take the meds that will heal him.
Not too brutal at all! Reality is what it is. I will tell you that while things are definately tightening up on the mortgage side, it's not totally dried up. I can still do 1 day out of bankruptcy and I just recently closed on two 100% deals. Both of the 100% deals went through with absolutely no problem.
Bob Mitchell
ValueList Real Estate Services, Inc.
I saw this earlier when you were over at my blog - super straight-to-the-point, pick-your-___-off-the-floor and call me before your life falls apart even more...I like it!
Maybe we should all raise our listing prices.... advertise the heck out of them out of the area and find sleezy agents to think they are priced right and bring up the market at the same time.... opps.... I am dreaming agin.... thanks for the wake up call
Excellent post, BB. Timely advice for the sellers in your area. I'm sad to see the way the market is there and I hope there is a turn-around sometime soon.
Honesty is always the best policy....for me there is no other way.
Jo
BB, your sellers HAVE NO CHOICE, and kudos to you for presenting the facts, and explaining the WHY. People that are unreasonable often lack the big picture- your sellers are VERY LUCKY to have you in their corner, good news or bad.
Well hey everyone. Sorry it took me so long to get back here. Been working on getting my new point2agent website up and running today. Theor sites are pretty cool. And they're FREE!!!!!! I appreciate you guys stopping by as always.
How do you like my new site. I haven't pointed my domain yet but did this whole thing in about 4 hours today. I think it looks prety good!!!
Broker Bryant...Your Market Report is absolutely fabulous. You're taking it to another level. Your results prove that tough times simply make the best get better!
Broker Bryant- Honesty is the best policy right, every human being deserves at least that. I really appreciate your style and I am sure your seller's do to! It's funny you should mention it, I was on the phone with my dad tonight, he asked me if we had a buyer yet, I told him no and we talked about a price reduction on their house. It's coming...
I feel for Neal but he is doing an excellent job....
Great post Bryant.
Just told TLW that we're out for a few days with buyer in Reno. It's pretty much the same market report most places these days. And good opportunity for Buyers does exist.
Thanks again for your comment on something we did earlier, and we very much paid attention to your advice about the delete button... and some things dog.
Cheers
WOW!! BB... 60%!!!!!!!!! Craziness!
I do agree that price is king in this market and you need to be priced where you will ACTUALLY SELL your home, not be JUST ANOTHER LISTING!!! Weekly tabs on what prices are doing is a good thing.
Hi Katrina, Yep price is everything. But of course, it always has been.
G? R? thanks for stopping by my friend. Good luck in Reno. Woof:)
Midori, I bet Neal is feeling the pressure. He SO wants to be successful with your father's house. He'll get it done.
Lola, Thank you. Adversilty is good for us.
Great post Bryant! Nestor always shoots straight like this. I leave that part to him. We are thinking about doing the blog thing for the seller market reports but we have some non internet sellers who don't even check email! Katerina
Wow! I'm very impressed of your interpretation of your challenging market.
Well thank you Tracy. Sellers really need to hear these things. It makes my job easier when they know what we are up against.