Active Rain Q & A ~ Built-in Value All Around

Active Rain continues to progress and morph into yet another area that means recognition for us bloggers in the real estate industry.  The latest addition has been around a few weeks and is now gaining some strength.  If you don't know what I mean take a look at the top navigation bar, that's right look up and see something new!

Did you see what I am talking about?  The Q & A is brand new.  Click on it, no actually follow along with me, I'll do the heavy lifting. :)

Wow! How cool is this!  Now the public has their own non-threatening forum.  They can ask questions and receive answers from professionals in the field.

The best news to us in the industry is we can provide helpful assistance and maybe learn a trick, a concept or two from our worthy associates!  Now that is yet another win-win for the Rainers!

So now you will agree with me, we have yet one more reason to make Active Rain a part of our daily routine.

A Word of Caution

I realize everyone is going to want to respond to the public, but remember in your haste, be careful of your answers.  Real estate is local.  I have already seen a few answers that are so totally incorrect in my market.  I would hate for someone to be giving BAD ADVICE to a consumer.  I'm sure you will agree.

Maybe when answering here we need to post a "disclaimer" to our answers, something like "I am licensed in Colorado and practice real estate in the Denver metro area, so my answer to you is about how we do it in our neck of the woods.  Please be sure to ask your question to a professional who is knowledgeable in the area you are referring too. Not all real estate advice is deemed equal."

Consumers are looking for answers for different reasons ~ consider the source!

Sometimes the question we are being asked is going to relate to a SPECIFIC SITUATION, if we give advice that is contrary to what the consumer has agreed to in the contract we may be putting an associate in hot water for no reason.  Could that be considered an "interference with a deal?"

Keep in mind many consumers are looking for the answer they "want to hear".  I can best explain this by a question that was addressed last night.  The consumer asked "who pays for the appracy when is a bank own house ."   The question was not well written, but 3 of us jumped up to answer it.  Just for grins lets look at all the aspects of this question.  How do we know what the person was really asking?

• The consumer may want to know because they are looking to purchase a bank owned property. 
• They may be under contract and just discovered they have to pay out of pocket for an appraisal.
• They may be purchasing a REO from the bank with financing and the bank is either not requiring one (a worry for a buyer) or requiring one.

And the RIGHT ANSWER IS?

In Colorado Real Estate contracts allow for either the buyer or the seller to pay for the appraisal. It is just another one of the many NEGOTIABLE items on the contract.  Typically a buyer is expected to pay for the appraisal since it benefits him.  However we commonly see the seller paying the buyers closing costs or a portion of them. The fact that the property is bank owned has no bearing on who pays for the appraisal, other than what may have been agreed to in a contract.  Banks with distressed properties tend to make up their own rules and may or may not follow normal customs in Colorado.

Bottom Line

IF you are (i.e. not a licensed real estate person in the state to which the question is addressed) then I would suggest you refrain from giving answers, particularly CONTRACT LAW answers to consumers. 

Keeping It RELEVANT

Blogging and life are best when they are relevant.  Let's work hard to give good, relevant answers on the Active Rain Q & A.  If it gets filled with junk then the value will be depleted...oh how sad that would be.

Agreed?