Millie Legenhausen, CRS, GRI, CIPS, MBA

Lately I've been humming a few of those depression era songs. They are so bright and positive - perfect for gloomy times. I am, by nature, a positive person. I remind myself that these tough economic times will pass, just as they did in the mid 1990s in Connecticut. The early 90s was a time of bank failures, insurance in crisis and the end of the cold war. It is said that when the Berlin wall came down, it came down on Connecticut. With peace, came a big reduction in government military spending, and as a consequence, job lay-offs. At the time, I would comment that the state of Connecticut was being shaken, and its people were falling off and landing in the Carolinas. It seemed that everyone wanted to relocate. Our recession lasted until 1996, but I continued to sell real estate throughout the period, because people need housing, whether the economy is good or bad.

Housing prices in Greater New Haven are down 10% or so from their highs, but rents are not followng suite. How much are your "potential" clients spending for rent? Have you considered a seminar for renters? Low mortgage rates + great prices = a great time for renters to consider buying. I find, however, that many people have awful credit. You may want to host a seminar on credit in conjunction with a banker or credit union officer. It is a topic of value for the public and can create a pool of potential buyers for you, now or down the road. Mortgage money is available for people who have their financial house in order.

The theme for the day is to stay positive. This market will turn around with time. Practice visualization - it is a great mental exercise. Write down a few sentences that describe your thriving business, with a steady stream of referrals from colleagues and previous clients. The idea is to describe yourself as you wish to be, but keep it in the present, as though you have already achieved it. The mind is literal. If it believes it is successful, your business will be too. Never present a negative side to your clients. You can be professional and state the facts as they exist, but then present the opportunities. When clients say they would rather wait this market out, state that it is almost impossible to time the market, whether in real estate or finance. If they need housing now, you can help them find something within their budget. As April 15th (tax day) nears, point out that they may want or need a deduction for the following year. Fear works against us. I recently heard the term fear described as "false expectations appearing real". Gives you something to think about, doesn't it?

Use this time to think positive and move your business forward in preparation for the next economic upturn.

I say this to every seller I meet. It gets them thinking about making a favorable impression. I walk around the house and yard with them, asking them to play the role of the potential buyer. It can be enlightening - or not. Sometimes sellers will speak with pride about renovations or redecorating they did 40 years ago and how much value that adds to the proprerty. We may have to work with that, so my mantra with sellers is Quality-Order-Serenity.

Quality: It is imperative that everything be in working order, even if it is not modern. I ask sellers to fix all those small things they have been putting up with, such as leaky faucets, loose hinges, doorknobs that come off in your hand, and windows that don't open or stay up. I try to highlight architectural features, such as moldings, fireplaces and mantles, built-ins, or a bank of beautiful windows. Many homes in Hamden built in the 1930s and 1940s have wonderful architectural details. Some have stone front porches, porticos or tudor features.

Order: With our busy lives, we seem to be a bit messier. Clutter must go! Clutter confuses my buyers, who often want to just leave the house rather than focus on what may be under the clothes on the floor or the stacks of boxes in the corner. Clutter is ugly and can be hazardous. I see blocked back stairways in multifamily units all the time, and shudder at the thought of an emergency evacuation in the middle of the night. I recently met a Feng Shui practitioner, and am quite fascinated by the concept. Feng Shui literally translates into "wind-water". It is a discipline that strives to make our lives more harmonious by integrating humans with their natural environment. It focuses on energy flows throughout the home. Much of the modern contruction and decor borrows from this, including open floor plans, the placement of oversized windows and furniture arrangement. Feng Shui abhors clutters, which blocks energy. Some houses have a wonderful energy. They are light, they are spotless and there is a natural flow or traffic pattern to each room. Furniture is scaled to the size of each room. These are the houses that sell almost immediately, if they are priced right.

Serenity : The purchase of a home is an emotional, as wel as major financial, undertaking. Buyers want to come home to a house they love, to help them justify the expense. Sellers need to appeal to all the buyers' senses. The house should sparkle and should smell good. No fish fries the night before an open house. (True story!)Master bedrooms should look peaceful, with beautiful bedding and no work stations. Dining rooms can set the tone for the home - formal, relaxed, or playful. With baths, think "spa". A beautiful framed mirror over a sink can give the impression of luxury. Rolled towels and fine toiletries can add to the spa feel.

Remind your sellers that selling a house is a cooperative endeavor. Together you can have some fun working to make that first impression a lasting and positive one. I welcome your comments.

Think of me when working with clients relocating to the Greater New Haven area.

One of the basic rules of investing is diversification. We are advised to have a basket of investments - a variety of stocks (small cap, mid cap, large cap), some short term bonds and some cash. We should consider adopting this rule for our own business. Most real estate agents choose to farm locally, often their own neighborhood. While this can be an excellent practice, particularly if you become "the expert" in the area, it doesn't guarantee sales when the general economy slumps. Going global may be an option for diversifying your business in a slow economy.

As a Certified International Property Specialist (CIPS), I belong to a network of agents around the world. I receive emails of listings outside of the United States. Often they are from Panama, Costa Rica, Mexico and the Caribbean. Agents in the U.S. can do business in these countries, if they partner with a local agent. Panama is fast becoming a favorite spot for U.S. retirees due to the fabulous climate, booming real estate market and the local currency, which is the U. S. dollar. The Panama Canal is being expanded, which should bring in more global business to the country. Costa Rica has been a favorite for years, but prices have soared. You may want to consider Honduras, Nicaragua or Belize, which are still emerging real estate markets. I was in Honduras two years ago, and was amazed at the number of foreigners investing in the country. The country is fast becoming a favorite destination for eco-tourism. A number of high end hotels have opened to accomodate this trend. You may want to suggest these destinations to your local builders and developers.

Widen those horizons! Attend a NAR convention and make connections with agents across the country and around the world. CIPS is a National Association of Realtors designation, and there is an area for international brokers at the convention. The brokers are grouped by country. They are happy to meet American realtors and form referral relationships. For more information about CIPS, contact www.realtor.org/international. CIPS offers a variety of courses relating to doing business in different parts of the world. There is training in local customs, local financing practices and how to conduct business in an appropriate way for each region.

International training is well worth the time. Our world is becoming smaller. How many businesses in your city do international trade? How many manufacture overseas? Approach them and ask to get on their roster of real estate agents for their international employees. They may not need you, but your request will probably get their attention Is there a university nearby? I meet and work with people from all over the world, coming to New Haven County to work at the local universities. Relocating international professors would benefit from your training. It's a big exciting world, and opportunities are emerging for agents willing to go beyond their traditional borders.

Think Oh, Suzanna had it bad? It's warm and icy today in Hamden. We had an ice storm overnight which left northern Hamden frosted and lovely, and now warmer temperatures and a rain storm to finish things off. This disparity mirrors our real estate market. Great prices and low mortgage rates should equal a hot market, but buyers are giving real estate the cold shoulder. My office is in Whitneyville, a little jewel of a community, just north of the New Haven border. We have tree lined streets, sidewalks and an active merchant community. Prices are moderate. Today there are only 11 houses for sale (on the MLS) in the neighborhood, ranging in price from $160,000 for a fixer upper to $360,000. Most homes are mid-century colonials, with arts and crafts details. If you need gourmet food, you go to Whitneyville Foods. Want to read a book? There's the library on Putnam Avenue or Books & Company, where you can buy or trade a book, and read it there over a hot cup of coffee. We have a great Irish Pub called The Playwright on Whitney Avenue. Feeling a little tense? Try yoga at The Connecticut Yoga Center. This vintage community is a prototype for future urban planning. It is a walkable, sustainable neighborhood. Houses here should be selling like hot cakes, but they are not. They are on the market for months, and when they do go on deposit, it is as "show" status. Getting the mortgages seems to take forever. Buyers are hesitating to buy, just at the time they should be jumping in. We need a catalyst to break these doldrums. Maybe it's CHFA.

CHFA is Connecticut's answer to the Housing Finance Authority (FHA). These insured mortgages are now approved for sales prices up to $347,000 in New Haven County. Buyers can get more than 100% towards the purchase price - up to 106% financing. The rates are fixed and the loans can often close in a month. There are also programs for construction loans. It is worth telling your buyers about this. It may get them to make an offer sooner rather than later.

It may also make sense to contact agents with listings near to yours, if you are thinking of doing an open house. Buyers are often drawn to open houses, if there are several in an area. No need to discuss anything other than that you are having an open house. We don't want to be accused of price fixing or collusion. It is just a way to get some energy in this real estate market - kind of like a neighborhood sidewalk sale. The upside of a slower market is that we agents have to work cooperatively, and that's always a positive, particularly in a convoluted market.

Remember me for your relocation clients coming to Greater New Haven.

Those of us that have a little extra time right now before the Spring market may want to use it to get back to the basics of real estate. That means training, educating our clients and honing our marketing skills. This is a continuing education year in Connecticut, which gives us an opportunity to pick courses that will expand our horizons. As president elect of the Connecticut chapter of the Certified Residential Specialists, I want to plug our next course offering on March 26th and 27th. It CRS 206, "Technologies to Advance Your Business", designed to help you maximize your productivity through the use of the latest gadgets. This is an area that both fascinates and overwhelms me. My "twenty-something" clients are all about technology and want information in the time it takes to request it. We all need to know how to meet this demand. The course will be offered at the Holiday Inn (formerly the Connecticut Grand Hotel) located at 2580 Main Street in Waterbury, Connecticut. For information, please contact Debra Cummings Waldorf at 860-354-6441 x 11.

In addition to educating ourselves, we need to educate our clients about market conditions, the local inventory and credit issues. We want our customers to make good financial moves when buying real estate. That means getting them qualified by a reputable lender and staying within their budget and comfort zone. This is a good time to suggest the purchase of multi-family homes in strong rental markets. Prices have come down to more realistic levels - now related to cash flow (again, back to basics), rather than future appreciation. There will always be a need for well maintained apartments, particularly in college towns like Hamden and New Haven. "Well maintained" is the key phrase here. I always advise my clients to "take care of the house and the house will take care of you." No one loses money with real estate, held over the long term, if the property has been well maintained. The only downfall is the repeated borrowing against the equity of the house for purposes other than repairs and updating. Once equity is eroded, the client's financial stability is at risk.

Now is the time to distinguish ourselves with a new marketing program. Sadly, many of our colleagues are going to be out of the business, as sales drop. Internet marketing may be a cost effective way to grow your business in a changing market. In good markets, we often get lax about regular customer contact. It's time to make those lists, check them twice and contact past customers. Ask for the referral. Get out there and meet with new people in related fields such as banking, law, insurance and accounting. Ask for the referral. Get the point? Asking a colleague for a referral is the most cost effective way to get a qualified lead. To ensure even greater success, ask the colleage to make the introductory call for you. It can be very impressive to potential clients. With a few new strategies, we'll weather this market cycle.