Nelya Calev

Given the choice, which house would you prefer to buy?

House #1

House #2

In case it is not obvious, these shots are of the exact same house and even the same rooms. Of course, the first set of shots were not used for the listing, but I have seen countless shots similar to them on the MLS.

So do you still think pictures don't help sell a house?

Recently I have heard a number of stories from other agents about individuals who could not qualify for loans under the new tightened standards. In almost all of these cases the buyers were putting only a few percent down on the house and had poor credit scores. Several of these buyers were furious that they could not obtain funding and in one case the buyer called a representative at the bank and chewed him out - saying the current mortgage crisis is due to people like him.

Let me say this bluntly.

Owning a home is a privilege, not an entitlement.

The reason we are in this mess right now is because too many people believed that owning a home was their given right. It is not a right. It is something that requires hard work and dedication. Saving at least ten percent for a home certainly is not easy, but it is possible if you manage your finances and work hard.

I am glad that banks are tougher in their lending right now, because not everyone deserves to own a home. If someone cannot manage their finances now, how will they manage them with the added burden of home ownership? If someone saves for years and cannot gather at least ten percent of the price of the home, how can they be expected to make the payments on the property - along with the repairs and higher utility costs associated with home ownership?

I can tell you first hand what will happen to these people. They will be unable to make their payments and the bank will be stuck with the home once again. Therefore, I certainly cannot blame the banks for being picky.

I have stated on numerous times that I am strongly in favor of home ownership. It leads to a dramatic improvement in self esteem and quality of life, but it is not guaranteed to everyone. Home ownership is a privilege for those who are capable of managing their finances and saving towards a goal. The economy has already corrected itself once because too many people learned this the hard way. Let's not make it self correct again.

Last week, I went out with my five year old door knocking to raise money for his school. I expected that he would be the 'cute face' that would encourage our neighbors to donate to his school's walkathon but little did I know that I was about to get a lesson myself.

At first he was a bit nervous. "What will I say?", he asked. My response was to say "I'm raising money for my school. Anything will help." He repeated the phrase over and over and over to himself, eerily just like Mike Ferry's would teach us How to learn scripts.

The first neighbor gave him ten dollars, to which he raised up his arms and shouted "yes!". He was now encouraged, and nothing would stop him.

Several doors down where two sisters live, the first sister came to the door and gave him two dollars.

He looks at me and says: What's this?

Looks back at the woman: This is two dollars! (as he shakes it up and down in his hands)

Looks back at me: Mommy, she gave me two dollars.

Looks back at her: This is two dollars! Everyone else gave me five and ten dollars!

The situation did not improve for her when her sister came with ten dollars and overheard Eitan. She reproached her sister, who was so embarrassed she came back with another ten, at which Eitan's eyes lit up again.

At another house, the person said she didn't have any money at the time.

You don't have one dollar?

No... I didn't go to the bank today, so I have no money. Perhaps another time...

OK, can I come back tomorrow or Thursday?

I am standing there and going WOW!!! How do I utilize this in Real Estate? He is making his appointments right on the spot, he doesn't take "no" for an answer. That was absolutely brilliant. I am a great negotiator, but I must admit I would hate to be on the other side of the transaction with him.

All in all he raised over a $150 dollars for his school just from visiting a few houses. He was very persistent at each house and almost always came away with something.

Recently our synagogue set out to hire a new cantor after the old one retired. For those not familiar with the job, a cantor is the person who sings the prayers every Saturday and during special holidays. It requires a great deal of discipline and learning and there aren't that many around.

After a long search, we found a cantor from Israel and moved him and his wife to the United States. They lived here for several months and then desired to visit their family in Israel. On coming back to the United States, his wife (who had been living in the United States) was denied entry because she did not have a work visa.

This has of course caused serious trauma for them and the synagogue is helping with legal fees to get her back in the country. It was really pointless for them to deny her as I'm sure with a number of lawyers involved they will get her here. All the border agents did was put more stress on a non-profit organization that is already having financial difficulties.

Another friend of mine moved here with her husband and daughter, but her son was not allowed to move here because he was over 21 years old. After several years, he flew here to visit from Latvia. While his mother was waiting for him at the airport, they detained him for six hours. Finally they explained to him that he will not be allowed into this country because they felt he would stay here (which probably was correct). He said that he understood and asked if he could just see his mother, who was waiting for him in the next room, before he left. They said no and she cries about it to this day 3years latter. Why couldn't they have let him at least see his mother - perhaps through a window at least?

He will eventually wind up in this country anyway, as his parents will become citizens next year and can then sponsor him.

My uncle worked for several years to get his wife and kids into this country. I find it ironic that after he wrote a personal letter to Dick Cheney, his request was finally granted.

I am just very Thankful that my family moved here without any problems, well we did have few hick ups, but not as bad as people I know.

Today I will discuss one of the most glaring issues - the preapproval letter. The truth is many banks don't care if you have personal letters from the World Bank President indicating that you are the wealthiest person on the planet.

If you want to have any hope that they will accept your offer, you need to be approved with thier lender. This does not mean that you need to finance with that bank. You can submit your offer before being approved by the owning bank, but the bank will not accept your offer until they have approved you themselves, which means you need to supply all the necessary paperwork in short order. Same goes for cash offers. Must provide proof of funds even if money is out of the country.

If another buyer gives a similar offer and is approved before your clients are, that buyer's offer will be accepted. I have also seen situations where very good offers were rejected simply because the buyers and buyers' agents took too long to submit the paperwork that the bank needed.

So if you want to succeed in your offer, ask very early on what is necessary to get approved by the bank. Or simply what you need to do to get your offer accepted.