Scott Miller

Have your listings presentations been going like mine lately? I remember when listing appointments were the exact opposite of what they are these days. Today I feel more like a psychologist or at the very least, a financial advisor, trying to help people out of the mess they're in with their homes, mortgages and mental health, since they are all connected.

Today I went to a typical listing appointment in a great neighborhood here in Boca Raton. This client was referred to me from a good friend. I knock on the door, enter, go for a quick tour, we warm up to each other, then sit at the kitchen table to review comps, current listings, and the listing agreement. I like to go over the paperwork and make sure my sellers understand each paragraph, then we both initial and sign. Sounds simple, right? Here's where the 'fun' begins, which is actually sad for so many.

At this point, I'm usually ready to take some great pics, answer any more questions the owner has, make them feel comfortable with the process, pet doggie on the way out and say goodbye. Not today. Nowadays, we have become therapists because of the meltdown in the financial, mortgage, and real estate markets.

My seller asks me point blank if I would lower my commission. I told her that I will be working very hard to sell her home and ask why would she want me to do this for her. She says that because of her two mortgages, there's a possibility that she will not be able to close because the total owed will be more than the sales price. Hmmm, we didn't discuss this on the telephone before my trek out to her home. I still would have prepared in the same way, the only difference being at least I'd know the true score of the mortgages against the home.

The numbers are something like $183K (1st) and $90K (2nd). Homes like this one are selling from $230-255K, in my most humble and professional opinion. We're going to need some help from the bank, I don't think we can overcome the difference even if I were to cut my commission to -0-. "How about a short-sale?" I ask, "if we short-sale your home, then we can pay the banks, get you out with minimal financial damage, an you go on your way." She told me that short-sales were bad for your credit and that she wasn't enthused by this option. "Well", I asked..."have you already tried to modify your loan with the mortgage companies?" She told me that they won't speak with her about modification. When I probed some more, I found out that she was still current on her payments, but will not be for much longer. I told her that she needs to be 3 months behind for the banks to speak with her, but I did not want to suggest she stop paying and give her this delicate advice from me.

I told her that the best thing to do would be to try to modify with an attorney that I could refer to her, and if this doesn't work, to short sell her home. The only other alternative would be foreclosure, I told her. My heart went out to this lady big-time. She was NOT a speculator. She wasn't a flipper. She was a hard working immigrant with kids, single mom, that bought this home in 2003, nowhere near the top of the market. She was stuck and I wanted to help her, even if it meant not listing her home, not earning a commission.

In real estate, nothing is truer than the words, "What goes around, comes around."

Scott Miller, Realty Associates, Boca (sexy) Raton, FL

Every morning I open my MLS and guess what I don't find? More inventory. I double-check all criteria to make sure I'm entering everything right because I honestly cannot believe that the numbers are dwindling so fast. Every time I look in one of my favorite neighborhoods, I see less and less homes for sale. Instead of 30 in Vistazo just a few months ago, now it's 12. Instead of 12 in Trieste recently, now it's down to just 3.

Disappearing inventory. Just to make sure I wasn't completely crazy, I went back and did a search of all homes SOLD in Boca Raton in the past 6 months. Almost 1800. How many current listings are there right now? About 3900. How many were there about 6 months ago? Over 5000. 1800 SOLD listings in the past 6 months is huge. That's a LOT of money transacted. Can we sustain the momentum? Here, yes. Elsewhere, I don't think so. Buyers still want Florida, but at the right price. And now everything is almost priced right but we're still sliding on values. That's okay by me, because it just means more interest in buying here.

Boca Raton is not overbuilt. We never had the building frenzy that Miami and Fort Lauderdale went through, so we're just not sitting on beach front skyscrapers with hundreds of vacant condos. Prices are fair for both buyers and sellers. There are houses to steal that are just a stone's throw from the beach, downtown, Mizner, for about $200K+-. The lots are big, the houses need fixing, but the location is a pure 10.0.

It's a GREAT time to buy.

Scott Miller, Realty Associates, Boca Raton, FL

Is the word 'sexy' one of the adjectives you can use when describing a house? Would it be fair to include in your ad the word 'sexy' when you post your listing on the web? What makes a house or condo sexy? What makes a house NOT sexy?

For me, this topic is easy! I've been in sexy houses before. I've showed them. I've sold them. I've owned them. So the answer to all of the above questions is an emphatic YES! Let me break this down a little and explain.

We all know that there are very COOL houses and condos out there. Cool isn't always sexy, but sometimes it comes close. I've seen some very cool and sexy homes that are contemporary, but they don't have to be (modern). They can be older, Victorian, heavier. Because of our location in SE Florida, we're already halfway there because of the ambiance we're surrounded by. Palm trees, sultry nights, an ocean breeze, Latin clubs, lotsa money, expensive cars....and the list goes on. So what makes a home sexy?

The first thing that comes to mind and really makes a difference is the layout of a home, how it flows, if it's functional. Are there open spaces? Or is everything crowded and crushed, confined? If I'm put off by the horrible layout and ridiculous angles, then I'm going to be distracted and not think it's a sexy home. Thumbs down. What about the colors of the walls and ceilings? Warm and inviting? Cool colors? Or the same thing I see in 99% of the other homes out there? How about the furnishings and accents? Is it clean? Or dirty and messy?

Sexy houses are easy to rent or sell. People want to live in them. Friends want to know when the next party is....they make you feel good, plain and simple!

Here are a couple of photos of sexy homes. Let me know what you think!

Scott Miller, Realty Associates, Boca (sexy) Raton, FL

http://twitter.com/ScottSellsFL

I have a good friend that I see on a regular basis that lives in my neighborhood. He is currently in the process of getting rid of the current HOA board and cleaning the financial mess the HOA is in because of mismanagement and worse.

Most residents living under HOAs and condo associations are unaware that there is a wealth of help from the state government in Tallahassee including how to recall a vote, remove board members and even start a complete financial investigation if you suspect fraud or worse, criminal activity and theft.

Many HOAs have attorneys on the board with a vested interest in keeping the money-flow back to the law firm in the form of large retainers and ridiculous hourly rates for frivolous letters, suits, etc. They need to be fired immediately, too. The attorney works for the HOA, not the other way around.

The first thing a group of residents interested in replacing the board needs to do is a recall vote. This entails getting each owner to sign a proxy vote and having a clear majority to remove the current board. Once this is done, it's possible to balance the books, get new bona-fide bids for contracts, rescind frivolous suits against owners and more.

There have been many stories of arrests of HOA board members in the media lately. Owners are completely fed up with the amount of fraud and payoffs going on in their associations. As agents, we should support wholeheartedly the efforts of owners to bring these people to justice with the help of the State of Florida.

The process takes time, effort and diligence, but it's well worth it in the end. Millions of dollars are being squandered, stolen, and mismanaged. Keep in mind how much easier it is to sell a home with a low/lower monthly HOA as compared to one that is ridiculously high. Big difference!

Scott Miller, Realty Associates, Boca Raton

http://twitter.com/ScottSellsFL

The downturn of the real estate market has led purchasers to reevaluate their once promising condominium/real estate purchases. If you have a client that is seeking to get out of their purchase of a condominium unit or other real estate purchase, you can help them.

There are experienced attorneys helping purchasers obtain all, or a portion, of their condominium purchase deposits back.

Your client may have a case if they've paid a deposit and the developer has done one or more of the following:

Violated the Interstate Land Sales Full Disclosure Act

Violated a state land sales registration statute

Made material changes to underlying governing documents for the condominium (i.e. changes to your Declaration, Rules and Restrictions, Purchase Agreement, etc.)

Made false or inaccurate statements with regards to completion dates or amenities to be provided with your condominium

Failed to provide a required state disclosure document

Purchasers may be able to get their money back, even after closing. Also, they may be able to get your deposit back on real estate purchases for new construction homes in a planned community.

Finding out if you can obtain your deposit is simple. In Florida you can call us, or submit your contact information, to find out if we can help in your situation. Not pursuing all of your options could lead to a purchase you do not want. Using us, you may be able to get out of that purchase. We've done this before with success.

If you're outside of the state of Florida and Pennsylvania, do an internet search for law offices representing buyers and specializing in returns of deposits.

If you help a client to get their money back, chances are that they will invest in another property with you down the road.

Scott Miller, Realtor®
Estate Specialist
Commercial RE
Business Broker
Realty Associates
561-716-4060 direct
561-451-9377 fax
http://www.LoveBoca.com
http://twitter.com/ScottSellsFL