Kingston, ON

In a report released Wednesday, Dec. 3, 2008, Re/Max said Canada's average house prices will fall three per cent in 2008 and another two per cent next year. This decrease comes in spite of gains in 22 major cities across Canada and has been driven mainly by smaller centres where manufacturing, automotive, forestry, oil, gas and mining downturns have stalled the economy. More optimistically, some cities such as Ottawa, are predicted to merely see prices remain flat next year.

A report that averages the whole country becomes quite meaningless because results are so different in each region. I've been asking many local realtors over the past few weeks how things are doing here in Kingston. They all tell me we are just fine. Similar to Ottawa, our local economy is stabilized by the large number of government and military jobs.

In fact, the Kingston & Area Real Estate Association reports that the 3rd Quarter unit sales are up over the same quarter of 2007 by 2.2% and the Median Sale price year over year is up 3.8% to $216,000. No recession here.

Like most problems, looking at things another way reveals an opportunity. To first time buyers lower housing prices will be good news. The panel on Bankrate.com predicts this week that mortgage rates will continue to drop, more good news for first time buyers.

As a seller, how do you attract the first-time buyers and make this your good news too?

Simply answered, understand your target buyer and make the product (your house) appeal to them.

So what do we know about first time buyers? They are young with an average age of 30. Their average income is typical of the average for their area - they are working on their careers. Their average family size is 2.7 persons - they are just starting families. Not surprisingly, the homes they are buying are smaller and less expensive that those chosen by move-up buyers.

In past, many first time buyers were willing to buy a home they could fix up. Not so much anymore. The rising prices over the past ten years made it so they can't afford the repairs and renovations required in any older home where the purchase price would fit their budget.

Over three quarters of them have mortgages and one third have borrowed 95% of the value of the home. The zero down mortgages were discontinued in October so over half of first timers have to use up their savings for the down payment. They realize they won't have a lot of money to put into fix-ups. High carrying costs have changed their buying strategies.

Location, as ever, is important. The summer's skyrocketing gas prices made the cost of the commute a big issue. Energy consumption is becoming more of a concern too, cited by 90% of buyers.

Assuming you have a house that is in the price range which would be affordable for first time buyers, you can greatly improve your chances of selling by making it move-in ready and attractive to busy young professionals. Low maintenance and energy efficient improvements will be important.

Here are some other features which will appeal to first timers - in no particular order.

• a backyard or play area
• central air conditioning
• a garage, large if possible
• three bedrooms, two bathrooms
• hardwood or laminate flooring
• granite or granite look countertops and updated kitchens
• fresh paint, neutral colours, no wallpaper or dark wallboard
• clean neutral carpeting
• ample storage space, closet organizers
• upgraded electrical and mechanicals
• open concept floor plans in the kitchen, dining and living areas.

Basically, it's what we stagers have been telling you all along. If you think it's too much work to fix up, so will the potential buyers. The theory that the new owners will want to pick their own finishes doesn't work anymore with today's first time buyers. They'll pass you by for the turn-key property.

Buyers want move-in ready homes and they are willing to pay a premium for them. Well prepared homes sell ahead of the competition and for more. The first step in the staging process is to go over your home in detail with an objective buyer's eye and get a solid plan of action. That's where a stagers' objectivity, experience and market knowledge can help sellers be competitive in any market, recession or not.

BODY PARTS GO MISSING

GANANOQUE, ONTARIO: Organ Thieves

"You've heard about people who have been abducted and had their kidneys removed by black-market organ thieves. Well....

My thighs were stolen from me during the night a few years ago. I went to sleep and woke up with someone else's thighs. It was just that quick. The replacements had the texture of cooked oatmeal. Whose thighs were these and what happened to mine?

"You've heard about people who have been abducted and had their kidneys removed by black-market organ thieves. Well....

My thighs were stolen from me during the night a few years ago.

I went to sleep and woke up with someone else's thighs. It was just that quick.

The replacements had the texture of cooked oatmeal. Whose thighs were these and what happened to mine?

I spent the entire summer looking for my thighs. Finally, hurt and angry, I resigned myself to living out my life in jeans. And then the thieves struck again.

My butt was next. I knew it was the same gang, because they took pains to match my new rear-end to the thighs they had stuck me with earlier. But my new butt was attached at least three inches lower than my original! I realized I'd have to give up my jeans in favor of long skirts.

Two years ago I realized my arms had been switched. One morning I was fixing my hair and was horrified to see the flesh of my upper arm swing to and fro with the motion of the hairbrush. This was really getting scary - my body was being replaced one section at a time. What could they do to me next?

When my poor neck suddenly disappeared and was replaced with a turkey neck, I decided to tell my story. Women of the world, wake up and smell the coffee! Those 'plastic' surgeons are using REAL replacement body parts -stolen from you and me! The next time someone you know has something 'lifted', look again - was it lifted from you?

THIS IS NOT A HOAX. This is happening to women everywhere every night. WARN YOUR FRIENDS!

P. S. Last year I thought someone had stolen my Boobs. I was lying in bed and they were gone! But when I jumped out of bed, I was relieved to see that they had just been hiding in my armpits as I slept. Now I keep them hidden in my waistband"

~author unknown

** more comments can be see at Susan Emo/ Gananoque/ Leeds County

TOUR GUIDE OR REALTOR??

There are days when I feel the public just doesn't understand what we do or why we do it. From the people who just want to tour Open Houses to the ones that can't grasp the concept of a Buyer's Representation Agreement.

Of course we love nothing more than to spend hours showing people through listing after listing to have them decide they're just not ready or worse, go back to their brother-in-law or Auntie to prepare an offer for them. NOT! If I never hear the words "we want to sleep on it" again, I'll die a happy woman! You know exactly what will happen the next morning when you call . . .

"Congratulate us, we just put in an offer on that ranch you showed us yesterday! Isn't that exciting!!!??!!"

Why yes, "exciting" is exactly the word I was thinking of! Now don't get me wrong . . . I know there are personality types that need to think things thru and are unable to make a quick decision. I am not referring to those special few.

I'm talking about the ones I used to have that just loved the pleasure of my company for hours on end. I would find them exactly what they wanted and then find out they had Auntie Agent draw up an offer or worse, the listing agent draw up an offer for them. AFTER having the process explained to them over and over, in many different ways, I would cringe to hear them say, "oh were we not supposed to do that?"

Please note I said "used to". No more! I am the one agent locally who will not allow anyone to infringe on my time any longer without signing a Buyer's Rep Agreement. Now in saying this, I will tell you I have had a few 'Buyers' walk away from me but that only confirms my belief - they had no intention of buying thru me in the first place and I saved some precious time - mine! I can see absolutely no reason for a Buyer to not sign something that can only protect them unless they plan to provide someone else with the commission from their purchase.

In our part of the world, we have many agents from communities close by who advise their clients to have us, the local agents, show them thru the homes and to provide them with all the local information, only to have them run back to them to draw up the offer. It has happened over and over again. I honestly believe that the Buyer is totally unaware of what they are doing to us. I've even had cards sent to me thanking me for being 'nice enough to help them find their new home'!!

We can not be seen to negatively comment on another realtor can we? It would be me taken before our Ethics committee!

I now go to great lengths to fully explain our business to prospective purchasers. We do what we do with an expectation of compensation at the end of it, regardless of how long it takes to find their perfect place. They need to know this. I swear many believe we do this as a hobby or out of the goodness of our heart! I let them know that I will help them find their next home in many different ways and I provide them with a Buyer´s Package (thanks to Rick DeLuca and his Idea Club) to increase my credibility and show my competence. As he says, "It makes the process of buying a home MUCH MORE SERIOUS." Some of his quotes that I now use faithfully, are below:

"If we find a home today that fits all your needs, are you in a position to make the decision whether to buy it?"

Get them pre-qualified to determine their motivation. (Only appropriate in mid to low price ranges)

Home Buying Process ? explain how home purchases take place in your market area vs. the market they may be moving from. It is amazing how different they can be!

I now make sure they know the following: (I never assume)

"Whether You Find A Home By: ads, word of mouth, signs, Open House, Internet, I CAN SELL ANY OF THEM TO YOU!"

Explain to them the "How I Work For You" flyer that is in their package:

HOW I WORK FOR YOU

1. Tell me your most important considerations in selecting a home.

2. I will search for homes by...

Reading all ads of homes for sale

Checking homes on the Internet

Driving through selected neighbourhoods

Calling for sale by owners

Contacting expired listings - when permitted

Checking my company listings

Searching other real estate office's exclusive listings

3. I will be glad to make appointments to show you those that interest you.

or

Give you the address and you drive by to check the area and exterior. You call me if you would like to look inside.

______________________________________________________________________________________________

I absolutely ask them for the 3 most important things a home absolutely must have in order to even consider living in it.

I'm not too interested in their entire wishlist at this point. I need to khow the short answer. When I give them the address and they don´t drive by within 24 hours, they are not very motivated. They are no longer my top priority!

Hopefully, this is what seperates me as a professional Realtor from a Tour Guide!

The ABC's of Real Estate Marketing

Do you Does someone you know :0) operate their Real Estate business like this:

a) Advertise themselves (usually with their facial photo where someone can sit on it)

b) Bang a For Sale sign into the ground (on that special angle that makes others cringe)

c) Create an ad for the paper (maybe run it if they had a deal close that week)

d) Download the listing onto the local MLS (no other sites of course, that would take too much time)

e) Encourage their office to show it ("come on, I showed your mobile home last week")

f) Figure an Open House couldn't hurt (haven't met Nosy Nora next door yet)

g) Get on their knees and pray that it will sell ! (not that this would hurt in any way!)

This is the way that Real Estate has been practiced for the past 100 years (or so it seems)! And, it is still the way many Realtors operate today, however . . .
these traditional methods have proven to be less and less effective. That is why the latest technology and proven consumer innovations which go far beyond this antiquated ABC approach, need to be considered, implemented and co-ordinated with good old commen sense and a Golden Rule attitude.

We have to be seen as the Professionals we are. Continually striving to provide the best of service and innovation to our clients. Doing everything in our power to represent them with integrity and competence. No more excuses about how you don't trust computers. Forget about using their home as a lure to attract clients. If you don't know how to market you, your business or real estate in the new millenium than hire someone who does, or take a course, ask . . . help yourself to all that is available.

In saying this, don't forget the common niceties that your Grandmother taught you:

1. Remember your manners - be on time!

2. ALWAYS send a hand written thank you note ( I send 5 a day)

3. Have respect for another's property - take off your shoes

4. Ask everyone, "who do you know"? Find out what is happening in others lives

5. Live the Golden Rule: Do onto others as you would have them do onto you. This will always be the answer you are looking for for any question.

I would love to hear what others are doing that is BEYOND the traditional ABC's and also the lessons you've learned along the way. Together we can finish Great in 2008!