John Evarts

So, I know it has been a long time since I have done an update. I sincerely apologize. The last few months have been very exciting. I will try to do a "catch-up" update. Several significant one-time and ongoing occurences have taken place recently that are significantly impacting the rental market here in Santa Clarita. Let's take a look at a few:

• Positive and Negative Propaganda Regarding the Resale and Rental Markets
• Extreme Volatility in Interest Rates, Terms, and Qualifications for Home Loans
• Difficulty in Obtaining Investor Loans for Residential Property
• Sharp Drop in Quality of Rental Applications
• Extreme Number of Foreclosures

Ok, that should keep us busy for a bit. Remember, I state some "facts" and some opinions. I put facts in quotes, because statistics are extremely susceptible to manipulation and are often cited as fact. I will try to deliver to you only relevant statistics and ones that I believe hold true. Remember, we are talking about Santa Clarita, CA in particular. It may be vastly different just a few miles away. (It is totally different in Lancaster/Palmdale, CA.) Let's break the above bullet points down even further:

"Positive and Negative Propaganda Regarding the Resale and Rental markets". This is referring to your garden variety newspaper, Yahoo!, Google, etc... "news". I love that they call it news. We all know what it is, so let's call it what it is. Sales. Take a moment to read some of these and then ask yourself, "What expertise does this writer have in the field they are writing about?". Probably little to none. They were probably hired because they know how to write, not because they know the rental market. This propaganda has driven a popular perception that the rental markets everywhere are going up at an alarming rate. Not true. We have seen a trend in Santa Clarita that rent prices are actually going sideways and sometimes even down a bit year over year from January 2007 to January 2008. THE RENTAL MARKET REMAINS STRONG IN SANTA CLARITA, BUT NOT AS STRONG AS THE POPULAR PERCEPTION.

"Extreme Volatility in Interest Rates, Terms, and Qualifications for Home Loans" AND "Difficulty in Obtaining Investor Loans for Residential Property". I am grouping these together because they are having a similar effect. Both types of home buyers - investors and those who intend to occupy the home - are having difficulty obtaining loans. Of course, this isn't new, but it is still sharply affecting the resale and rental markets. "BUT JOHN, SHOULDN'T THAT DRIVE THE RENTS UP?" Not necessarily. You have to take into account the number of sellers who are placing there homes for rent as an alternative to selling. The current rental inventory seems to be enough supply for the demand. But the flip-side is also true. Although there is a larger inventory overall, there are more renters overall. Right now, it seems to be in balance. Rents are not moving very much.

"Sharp Drop in Quality of Rental Applications". This one is something that it seems not a lot of people are thinking about. We are seeing a significant percentage of our applicants (We will see over 300 applications this year) with poor credit (sub 600) and mortgage defaults. We are telling more applicants that they are not approved than we have in the past. Where do they go to rent? They go to one of two likely places. 1) Homeowners who are trying the renting game on their own and don't know how to screen tenants properly or 2) apartments. This may be why the news media is reporting that rents are going up. Apartments can "spread the risk" and take lower quality applicants. This allows them to charge a higher rent. Typically the media will call apartment complexes to compile rental data. Just speculation, I haven't done the research.

"Extreme Number of Foreclosures". This is a big one. There are a lot of people moving these days. The supply is there, but the turnover is fast. The foreclosures are hitting from two sides. One is the owner/occupant who is losing their home. The other is the owner/investor who is losing the investment property. Both result in someone moving.

So, here is what we are seeing. The number of rentals is going up. The number of renters is going up. They currently seem balanced. The quality of applications is going down. Buyers are still struggling to buy. Investors are still struggling to buy. Foreclosure are up. Infalation is probably on the rise which means rates will probably go up. Resale prices are dropping. We are in a recession (debatedly).

I hope you enjoyed this. I really do not intend to sound negative. I think this market presents an unbelievable opportunity for those who are willing to swim upstream, against the flow. But this is not the place to discuss that. Perhaps I will do another post about that very issue. For now, I gotta get to work. There are lot of houses to be rented, applications to be processed, properties to be listed, and people to help. Let's get to it!

BELOW IS A COPY OF A MARKET UPDATE I RECENTLY SENT TO OUR CLIENTS:

Dear Client,

In response to a recent survey of 75 clients, I am going to give quarterly updates on the state of the residential resale and residential rental markets in Santa Clarita and the surrounding areas. These updates are simply my opinion of the current market based on my studies of the current and past market reports for this area. I promise to never "sugar coat" anything I say. I will shoot straight, the way I see it.

As you may well know, the current resale market in Santa Clarita is in shambles. There are still a few optimistic reports trickling out, mostly from associations whose memberships stand to gain from a positive consumer attitude. Most reports are painting a "doom and gloom" picture, which, in my opinion, is not far from the truth. We have seen well over 10% depreciation, nearly across the board in the Santa Clarita market, since the beginning of 2007. The total depreciation since the beginning of 2006 is over 20% in some areas of Santa Clarita. (For instance, a Lower North Oaks home recently sold for $335,000.00. This same model sold for over $450,000.00 at the peak of the market. They were comparable in condition, location, etc...The home that sold for $335,000.00 was originally listed at $460,000.00. After being in escrow for $399,000.00, and $379,000.00, the owner took an offer of $335,000.00. This is not uncommon in many areas of Santa Clarita.)

Why is this happening? You may have read reports that the mortgage market imploded, exploded, or any other "ploded" that may apply, or you may have read about the weakening of the dollar, the rise or fall of interest rates, overbuilding, or any other number of factors. My question is this: If any of those were the reason, than why are there areas in the U.S. where double-digit appreciation is still occurring? I believe that the reason the market is adjusting so drastically is that the gap between the monthly cost of owning a home and the monthly cost of renting a home was so large. That gap occurred for some of the reasons listed above. That gap is closing. In areas where that gap is very small or nonexistent, home values are climbing.

When will the gap close? When will the market turn? No one knows for sure, we are all just guessing. There are many factors that can affect the market - rates, terms, loan restrictions, strength (or weakness) of the dollar, and a U.S. presidential election are just a few. My personal opinion is that in Santa Clarita we are going to level off quickly and then slowly adjust downward for another year or so before we see a real leveling of the market. I feel that it will be 3-5 years before we see appreciation, and then we will probably spike up for several years.

The rental market has been strong in 2007. We are seeing a slowdown right now, which is probably caused by: 1) The holiday season and 2) The influx of rental homes. While there are many people looking to rent (because they can't - or don't want to - buy), there are a great many people who have been trying to sell their home and have not had success and are turning to leasing out their home as an alternative.

I believe that the rental market will remain strong, but not quite what we have seen in 2007. 2007 saw very low vacancy rates and sharp rent increases in many areas. 2008 should bring slightly higher vacancy rates and slightly lower rent increases. Overall, however, it should be a very good rental market.

Remember, this is my opinion for the Santa Clarita area only. The Antelope Valley is a much different picture with rent decreases, much higher foreclosure rates, and less immigration. Other parts of the country are seeing different things as well. Miami, for example, is seeing sharp depreciation in home values, and sharp decreases in rents, in many communities.

What does it all mean? I believe that this market is preparing to transfer huge amounts of wealth from one group of people to another. Many people who are watching the market are going to start buying property and either "flipping" or renting them. Many people will lose their homes while many people will "gain" more homes. Which side are you on? If you are interested in buying, please contact me (unless you were referred by a realtor, then contact the realtor who referred you!).

I hope you enjoyed my snapshot of the current state of residential real estate in Santa Clarita. Feel free to let me know if you agree or disagree, and why. The easiest way is to e-mail me at john@rentwithclassic.com.

Best Regards,

John Evarts, CEO

KIVA.ORG is a great way to give. They have combined the elements of prosper.com with microfinance.

I am so excited about finding this website. After I decided to write a post about it, I did a quick search in AR to see if anyone else was posting about it. There was one guy. ART BLANCHET. He has written multiple posts about Kiva.org. Check it out. Thank you, Art, for writing your posts.

Here is how it works, in a nutshell: You pick a business you want to make an interest free loan to and, using any credit card via paypal, loan as little as $25 to that business. That business is "mentored" by one of many microfinance organizations who helps them manage their business and repay the loan. According to Yahoo!News, they have a 99% repayment rate. (Just so you know, that is UNBELIEVABLE!) They pay you back usually in around 6 months to a year. At that point, you can re-lend the money, or withdraw it.

When I first saw that you had to use paypal, I thought Wow! That has to get expensive. Turns out, paypal likes what the folks at Kiva.org are doing and PAYPAL DOESN'T CHARGE KIVA.ORG ANYTHING TO USE THEIR SERVICE! I was blown away. So, I dug a little to see who was partnering with Kiva.org. Here is what I found.

Something else, isn't it? I thought so, too. I first read about microfinance organizations several months ago in Fast Company. They were honoring companies who had found a way to profit and help the community. One of them was a microfinance organization. Then, shortly after, while at a Dodger game with JT, he mentioned wanting to get involved in microfinance. I didn't really dig too much after that night, until I read an article on Kiva.org and decided to explore a bit.

This kind of thinking, using the internet for good, connecting people in this way,

IS GOING TO CHANGE THE WORLD.

Kudos to Kiva.

THIS POST IS AN ATTEMPT TO ANSWER THE AGE OLD QUESTION: "SHOULD I BUY?" Of course, we are talking about real estate. I was first introduced to a concept called Dollar Cost Averaging when I was just a wee lad learning whether to buy stocks. It was taught to me by a financial planner who also taught me the Rule of 72.

Let's first look at Dollar Cost Averaging. Dollar cost averaging refers to a financial principle that shows how to spread your earnings over time in an attempt to look at true earnings. It was taught to me using an analogy of a cow farmer, so that is how I will present it to you.

Let's say that you are a cow farmer. MMMMMmmmmmmmmmmm, steak. Wait, different post. Ok, back to cow farming. You get into the cow market when cows cost $100 each. You commit to spending $100 a month on cows. The first month, you buy 1 cow. WooooHoooo!

The second month, the cow market tanks. I mean people-jumping-out-of-hay-silos tanks. The price of cows is now at $50. You get a bit nervous, feeling that you lost $50 on your first cow. But, you are a person of integrity. Your word, even to yourself, is your word. You spend $100 and buy 2 cows. You now own a total of 3 cows. You have paid a grand total of $200 and your cows are worth $150. Your parents tell you to sell. (Photo courtesy of Geerts-Walaszek Family's photos)

The third month, all hell breaks loose. Cows are shooting each other. Foreigners are buying horse bonds and its keeping the cow market down. Cows are now worth only $25 each. The chicken farmers were bought by Google and everyone is eating chicken. After some serious soul-searching, you decide to go one more month. You spend $100 and buy 4 nearly worthless cows. You bought cows that you couldn't sell if you wanted to. Your friends all sold their cows, your family sold their cows, and they are all laughing at you. Ha ha.

The fourth month, something happens. The Chinese got scared and quit buying horse bonds. They started opening McDonalds in India where the religions all decided that beef was ok. The market is on its way up! $50 a cow! You buy 2 for $100.

The fifth month, you are finally back where you started. The government decided that Google shouldn't own chicken farms. That would make them a monopoly. (Bill Gates has been lobbying). You stuck it out in a market that saw you buy at the top of the market, saw your cows go down in value, and over time rebounded to even. You spend your $100 and buy 1 cow, because that is what they are now worth. But, how did you do over all? Let's see.

So, you spent a total of $500 and your cows are now worth $1000.00!!! Was it ever a bad time to buy? You decide. Keep in mind, no one knew what the cow market was going to do.

Ok, now that you are ready to run out and buy cows, let's shift gears. The rule of 72. It's just a nifty trick to help you figure your Rate of Return. Here is the formula:

72 divided by interest rate equals the number of years to double your money (if you let it ride).

Or, 72/%=years to double.

You can work it backwards:

72 divided by years to double equals interest rate.

Or, 72/years to double = %

Nifty, eh? I heard that Einstein thought this one up. So here is what you can now do. Buy some houses, track the appreciation, and in the tax savings and rents, compare from every angle using the rule of 72 and then.......you will want to buy more houses.

Several times a day, my phone rings and the caller on the other end is a seller with their home currently on the market. Why do these people choose to call me? Well, I have a unique view on the real estate market. You see, my primary occupation is residential real estate management, but I still practice listings and sales. I have a sister company that strictly practices residential listings and sales.

My primary occupation as a real estate manager is what provides me with a unique view. Yes, many real estate agents talk about renting a home versus selling it, but many of them also find themselves in a quandary. "Do I sabotage my listing and encourage my seller to rent? Do I try to manage it for them so I can get the listing down the road? Do I simply push for another price reduction?" Do you see how this can cause a conflict of interests? There is no ill will, just a limited understanding of the options.

When I get the chance to talk to sellers who have found themselves "stuck" in this market, what we do is discuss all of the options that I am familiar with. If there is an option that I am not familiar with, I will recommend bringing in another professional who is familiar, e.g. tax attorney or certified financial planner. Here are the options that we normally discuss:

• Lowering the price aggressively and selling
• Renting for a short-term and then selling
• Renting for long-term
• Re-financing
• Owner carry-back financing or Lease-Options
• Not selling at all

Now, what we are trying to accomplish in our discussion is "what is the best decision for the client?". You see, when you find yourself "stuck" in a situation, sometimes the best thing you can do is get some fresh advice from someone who is not intimately involved. Have you ever found yourself in a disagreement with someone close to you, and you went outside the normal circle for advice? Sometimes, it just makes sense. Here are the steps I typically use to help someone decide the right solution:

1. What is the goal(s) you are trying to accomplish by selling?
2. Can this goal(s) be accomplished by doing something other than selling? (If the answer is no, then the solution is probably "lower the price aggressively")
3. If the goal(s) cannot be accomplished by any of the options presented, then can we adjust the goal(s)? (Even temporarily)
4. Do we need to bring in another professional for consultation?

Usually, by the time we have answered the above questions, we can start narrowing down the list of possible solutions and the discussion is progressing nicely. We keep the dialogue open and continue. Sometimes, time off from the discussion is required in order to "mull it over", or inform a spouse, or bring in another professional. However, the wheels are turning and a solution is much closer to being discovered.

Remember, the market is fluid, changing, dropping, and rising. In order to succeed in the market, you have to be willing to be flexible. Think outside the box. Get a fresh perspective. Bring in the appropriate professionals. List all the possible options, and then systematically eliminate the options until you are left the best options. Then, aggressively pursue them.

(photo of phones courtesy of typester at flickr and photo of jeep courtesy of tooms at flickr)

WHAT IS A MANAGEMENT AGREEMENT? A Management Agreement is the term used fairly widely referring to the contract used between a Management Company and an Owner of a property. What is included in these agreements varies widely. Not just geographically. You can see quite a disparity in contracts used by companies in the same town. Some companies will charge a monthly fee for vacant properties, others may not. Some companies will make a profit on repairs, others may not. Some companies will hold the security deposit, others may not. Some companies may negotiate fees, others may not.

DO YOU KNOW WHAT YOU SIGNED? Sounds like a pretty simple question, but most people will sign 1000s of papers in their lifetime without reading them. Now, don't get me wrong, I am guilty of this, too. However, sitting on the other side of the desk on this document, I know how important it is. The management agreement is a very important document that assigns duties, obligations, liabilities, fees, and limitations on both parties. And most of the time it is dealing with a fairly large asset. Not to mention that depending on how your assets are structured (trusts, LLCs, corporations, etc...), you may be exposed to even more liability than just the value of the property being managed under the agreement.

YOU SEE, I GET CALLS ON A DAILY BASIS ASKING FOR CLARIFICATION, things like: "John, what is this charge for?" or "John, I didn't give you permission to do that!"

Oh, yes you did.

PLEASE DON'T MISUNDERSTAND, I AM NOT SAYING THAT FACETIOUSLY. You see, my job is to take care of the property for the owner who has charged me with this. For instance, here is a line from our management agreement that causes a lot of questions:

•To contract for repairs or alterations at a cost to Owner not to exceed $250.00.

That line means that if a repair needs to be done, and the price is not over $250.00, I am going to get it done. However, I get more than a few calls asking why I did a repair. The answer is usually the same, "because it was broken".

I AM NOT GOING TO GET INTO WHETHER A REPAIR NEEDS TO BE DONE, that is a different post. I am simply trying to express the importance of understanding what you are signing. The MANAGEMENT AGREEMENT is a very important document. It allows the Management Company to do a number of things in your name that you are responsible for! For instance, if the tenant calls and tells the management company about mold, and the management company does not respond correctly, you could be held responsible for the management company's actions. It is very similar to power of attorney. Would you have a suit against the management company? Probably, but it would still be a long, arduous process. Better to understand the agreement and avoid entering into a contract that you don't want to be in.

OK, JOHN, HOW DO I DECIDE IF I SHOULD SIGN? Let me start by saying this: A good company is not going to want you to sign an agreement that you are not comfortable with. That is a recipe for complications down the road. That said, my personal opinion is that you should either 1) understand and feel comfortable with everything in the agreement or 2) have an attorney look it over. However, I must offer a "heads-up". If you pay an attorney to look over a document, they are going to find something. Please be aware that just because they found something doesn't necessarily mean it needs to be changed. It may just need to be completely understood.

I WOULD LOVE TO BE YOUR RESOURCE FOR ANSWERING ANY QUESTIONS YOU MAY HAVE ABOUT PROPERTY MANAGEMENT. Please do not hesitate to call or e-mail me. And remember, real estate is a very good investment. Oh, and by the way,

OK, HERE IS ANOTHER UPDATE FOR THOSE OF YOU WHO ARE HAVING A HARD TIME SELLING. The number of calls we are getting asking about the rental market, made by people whose homes are on the market, is skyrocketing. In fact, we are having trouble keeping up! The funny thing is, THEY ARE RENTING AS FAST AS WE CAN LIST THEM!

Remember the resale market of yesteryear? The one where you put your home on the market at midnight and had multiple offers by 6:00 a.m. the next day? Well, the rental market isn't quite that good here in Santa Clarita, but its pretty dang close. Even the Antelope Valley is picking up!

HERE ARE A COUPLE OF EXAMPLES:

1) 2900 square feet in Alta Vista, 5+3, listed at $3100.00/mo. RENTED IN 6 DAYS for full price!

2) 3+2.5 in Fair Oaks, $2500.00/mo., RENTED IN 4 DAYS for full price!

Yes, those are both in June of 2007. It has been one of the best Junes to date. In fact, May wasn't bad either. Classic Property Management rented 13 homes in May and as of June 28, we had rented 8 homes in June for a total of 21 HOMES RENTED IN UNDER 60 DAYS!

WHY IS THIS HAPPENING? Here is my opinion:

1) Rising interest rates (this is limiting the ability to purchase, increasing the number of renters)

2) Sellers becoming renters (those few who can sell are then renting)

3) 100% financing is very difficult to get (again, limiting the ability to purchase, increasing the number of renters)

4) Consumer fear (buyers are scared of buying in a down market)

5) Foreclosures are on the rise (those living in the house being foreclosed on, whether tenants or owners, need a place to live)

I AM SURE THERE ARE MANY OTHER FACTORS, BUT I BELIEVE THESE ARE THE MAIN ONES. Do I have a crystal ball? No. Do I KNOW what the market is going to do? No. Can I take an educated guess? Yes.

JOHN'S RESALE MARKET PREDICTION (next 12 months): down

JOHN'S RENTAL MARKET PREDICTION (next 12 months): up

There you have it, my Santa Clarita Residential Real Estate Sales and Management Market Predictions. Go ahead, bookmark this and come back in 12 months to see how I did. I dare you. If you can't wait that long, and want to rent out that 2nd mortgage payment NOW, then click on the link below my slightly scary photo and call me!

SATURDAY NIGHT, THE NIGHT BEFORE FATHER'S DAY, I GOT A TEXT FROM MY BROTHER......"brother, I just got a huge bust, my biggest prior was 4 grams, just got 47 grams, i am totally jazzed, talk to ya later".

MY BROTHER WANTED TO BE A COP SINCE I CAN REMEMBER HIM TALKING. It's in his blood. Our uncle is retired LASD, my cousin is active LASD. I remember when he finally got his badge. He had his dream job. Now, he had a huge bust. I was happy for him.

THE NEXT TEXT FROM HIM WASN'T SO GREAT........"A friend of mine was just killed on duty in a car crash. Don't call me. I'll call you. He trained me. He was working in Marion County near Salem. I didn't want you to worry if you saw something in the news."

KELLY FREDINBURG WAS KILLED WHILE ON DUTY SATURDAY NIGHT. We lost one of the good guys. Kelly was another guy who wanted to be a cop they day he exited the womb. He was born for it. His mother jokingly said, "He is a mother's nightmare!" remembering a night she talked to her son after an altercation with a perpetrator who was high on meth.

I WOULD LIKE TO SHARE THE STORY OF HOW HE DIED, NOT TO MAKE YOU FEEL SICK, BUT TO HOPEFULLY CHANGE THE WAY YOU LOOK AT POLICE OFFICERS.

Saturday night, a police officer responded to a domestic violence call. When he got there, he got into a fight with a perp and called for back-up. THAT IS A CALL THAT NO OFFICER IGNORES. Kelly immediately responded to that call for help from a fellow officer. He was driving fast, and had his lights and sirens going. He was driving on a two-lane highway. When he approached oncoming traffic, they did what they were supposed to and pulled over to the side until he passed.

As he approached more oncoming traffic, the first two cars pulled over. The third did not. The third car, for reasons still unknown, WENT AROUND THE FIRST TWO CARS INTO THE OPPOSITE LANE. Kelly tried to get out of the way by going off the side of the road. The oncoming car continued to drift over. They collided, head-on, at the fog line of Kelly's lane. Kelly's car flipped over and rolled several times before sliding to a halt and catching fire.

A young man who was near the scene rushed to Kelly's car. Kelly was trying to get out of the car, but couldn't because it was crushed tightly around him. The young man tried to free him. Two officers who were responding the same call Kelly was, stopped at the scene and also tried to help free Kelly from the car. The fire became too hot, and they had to back away. Kelly burned to death inside the car.

YOU CAN CATCH YOUR BREATH BEFORE READING ON. I KNOW YOU WILL NEED TO, BECAUSE I NEEDED TO WHEN MY BROTHER RELAYED THE STORY TO ME.

In fact, after telling me the story, there was a moment of silence and then my brother said, "I know its a kick in the balls to hear that. It was a kick in the balls for me and everyone who heard it. I can finally tell you without crying."

MY BROTHER DOESN'T CRY. EVER. BUT THIS MADE HIM CRY.

KELLY WAS A MAN WHO DEDICATED HIS LIFE TO KEEPING PEOPLE SAFE. HE DEDICATED HIS LIFE TO PROTECTING THE INNOCENT. That is what good police officers do. Kelly was one of the good guys. No, he was one of the GREAT guys.

AFTER THE MEMORIAL SERVICE AND PROCESSION, MY BROTHER CALLED ME. "I'm emotionally exhausted, brother. I'm just exhausted. I just wanted to call you and vent." I thought he was going to tell me how angry he was. How they thought the guy driving the other car was an unlicensed, illegal alien. How he wished the driver of the car had died. How he wished he could have been the one to respond to the scene. How he wished there had been a fire extinguisher handy. HE DIDN'T SAY ANY OF THOSE THINGS. Here is what he said:

"Brother, Kelly was a good guy. He reminded me a lot of you and Brian (a mutual friend). He had a lot of friends. He was the kind of guy who didn't listen to the radio when he drove around because there was always a friend or aquaintance to text or call.

When he changed from Polk County to Marion County, he tried to get all of us to go with him. He always stayed in touch. He joined the Elks lodge and then tried his best to get all of us to join with him. He was always there to help when a friend or neighbor needed it.

Brother, he gave my son a teddy bear the day he was born.

There were over 1000 people at the memorial service. There were over 100 patrol cars in the procession.

Brother, I am just emotionally drained. I'm gonna let you go, but I justed wanted to share that. I love you."

And I love my brother.

THE NEXT TIME YOU SEE A COP, WHETHER HE IS JUST DRIVING BEHIND YOU MAKING YOU NERVOUS, PULLING YOU OVER FOR DRIVING TOO FAST AND YOU WISH HE WOULD GO FIND THE "REAL" BAD GUYS, OR SPEEDING PAST YOU TO SOME UNKNOWN DESTINATION, NEVER FORGET WHAT THEY DO.

My mom later talked to my brother about what had happened. She relayed this to me:

"John, I am really impressed with how he is handling it. I thought he was going to be struggling with anger, but he is doing well. He is just sad. He said that the thing that really bothers him, though, is that there were people standing on the side of the road who didn't try to help. And there were people who DROVE BY AND DIDN'T STOP TO SEE IF THEY COULD HELP. Maybe if everyone who was there had tried to help, they could have gotten him out."

HERE IS MY PLEA TO YOU: DON'T FORGET WHAT THEY DO FOR US. DON'T FORGET. EVER.

KELLY FREDINBURG - "GONE, BUT NOT FORGOTTEN"

DID YOU EVER LOOK BACK ON SOMETHING SOMEONE YOU RESPECT SAID AT SOME POINT IN YOUR PAST AND THINK, 'MAN, THEY WERE RIGHT....WHAT A GOOD LESSON"?

That recently happened to me. I remember one time when I was about 24 years old, my dad, my brother-in-law and I were trying to spread topsoil in a big area of the church lawn. Man, that pile of soil was HUGE. It seemed like the more we worked, the bigger the pile got. And, it was HOT. We were sweating, getting blisters, getting sunburned, and in the case of my brother-in-law and I, CRYING LIKE BABIES.

"It's sooooooooooo hot!" "I'm tired!" "My hands hurt." Blah, blah, blah. My dad? He said nothing. AFTER ABOUT 8 HOURS, MY BROTHER-IN-LAW AND I QUIT. "We'll finish tomorrow", we said. My dad kept working.

So, we left. Went and had some beer.

The next day, we went back to continue working, and to our surprise, THE PILE WAS GONE! It was all moved! Every last speck. We couldn't believe it. "Dad!" I asked, "how did you do it? Did some people show up to help? How did you ever move that whole pile?"

My dad, in his infinite wisdom, looked me right in the eyes and said in a regular voice:

"One shovelful at a time."

Photos courtesy of Phil Bracey and Drew Tedlock.

BIG JON. BIG JON. BIG, BAD JON.

Some people call him "Jon".

Some call him "Little Jon".

Some call him "Sexy Jon".

I call him THE GUY IN THE ANTELOPE VALLEY WHO GETS IT DONE.

Jon Mitchell joined the Classic Team several months ago. Brand new, with a real estate license, he took on a tough market, and he is winning!

This guy set out to take out on the Antelope Valley, and the Antelope Valley audibly shuddered.

He is unafraid of change, the speed of change, the challenge set before him, or the obstacles between him and the finish line.

He is focused, calm, motivated, and inspired. Any business leader hopes for guys like him on the team. Here is what I have to say to those business owners. Kiss my behind, we got him first. Go find your own franchise player.

Jon, thanks for being a part of our team. When it is all said and done, we will look back and smile. I anxiously await that day. Until then, I say to LANCASTER, PALMDALE, AND ROSAMOND, "Lookout. You are about to be conquered by the fastest-renting property manager in the west."

Need to get a hold of the guy who can change your real estate destiny! CLICK ON HIS PIC.