Atlanta Real Estate Blog - Jarvis

We've been so busy with short sales and stopping foreclosure we forgot to share our successes in November, December and January 2010!

Here's the homes, and the banks that we closed in just these three months!

For those out there working with short sales, just keep your head up, you have to wait it out a few months and your "pipeline" is longer but the reward is great.  You get to help homeowners avoid foreclosure and you get to feed your family.  Not a bad way to do real estate.

Short Sale Homes Closed by the Jarvis Team from Nov 2009 to January 2010.

 

• 3180 Hartness Way, Kennesaw, GA - Lullwater - Bank was Citi & Wells Fargo (2nd) - Short sale took us about 3 months and we were thankful enough to have multiple offers.  Eventually it closed around $160K. 
• 1562 Country Wood Trail, Hoschton, GA - Trilogy Park - The bank was Suntrust - This Short Sale was difficult until we found the perfect buyer that was willing to wait for the bank to approve it.  We pushed it through and sold the home for $250,000. 
• 1427 The Lane, Lawrenceville, GA 30043- This bank was EMC and they approved it quickly.  We went through about 4 buyers for it, but the buyer got a home for $150, with a a full basement and nearly an acre.
  
• 2926 Winn Drive, Lawrenceville, GA - Chase was the short sale bank on this one and they took nearly 6 months to approve it.  Luckily for us the buyer was very patient and with the tax credit extension he was willing to wait.
  
• 102 Red Hawk, Dawsonville - FHA short sale here made working with the bank so much easier.  They gave us an approved price which we had already gotten a buyer and it closed without any problems.
  
• 6784 Foxfire Place, College Park, GA - This home had 2 mortgages, one with Litton and one with LCS Financial who negotiated tough with us.  In the end, it was a quick deal and a cash buyer that we were able to pull this one off.
  
• 4402 Pond Edge, Snellville, GA - Metlife shorted this sale (along with Citi) and it took nearly 4 months but in the end everyone was happy with a home in this condition in one of the best school districts in Gwinnett County.
  
• 1204 Kingsbury Lane, Powder Springs - HSBC is probably one of my favorite banks.  The approval letter came in 60 days but they stayed in contact with me even telling me what to list the home for.  The wrinkle for us in this deal was getting the roof redone before the closing!
  
• 2462 Huntington Trail, Acworth, GA - GMAC, EMC and/or Homecomings - by the end of this transaction no one knew what the bank was calling themselves, but they sold this huge ranch on a basement for $360K, more than $100K less than originally purchased for.

I woke up this morning and someone sent me an email about this, Google is taking on Mortgages.  It's limited to a few states and it's not as interactive as other sites so time will tell if buyers will flock to it. It's not currently offerrred in Georgia.

Here's my thoughts on it, if you care. I don't want to go to far out here and say that LendingTree buyers are less sophiticated than folks who get referrals, but it would seem so.  Instead, this Google offerring seems to target the bankrate types of people.  I think it will ultimately fail in generating the leads to it's sponsors at the INITIAL offerring but watch for it in the coming months and years.

With all the Google talk, don't think real estate domination isn't behind, with Google in talks with Trulia and others.

With the new year, comes new short sales.  I thought I would share with you what we are seeing in the market place and hope that you might share with us so we can all grow.

• HAFA is getting rolled out and if you don't know, be sure to read up on it.  It'll likely streamline the Fannie Mae and Freddie Mac loans with some wrinkles, such as possibly having to wait for you clients to be denied a loan mod first.
• FHA Short Sale loans are still awesome to work with, but for Bank of America FHA Short Sales, you must have the customer call and demand to be a part of the Pre-Foreclosure Sale.  Most of the phone people don't know what this is, so they will have to go to someone who does.
• Property Preservation companies are still a pain in the rear when it comes to vacant short sales.  I have noticed that they use the same keys, so be mindful of that.  If you have one or two of the keys for this contractor then you might not have to wait for them to mail you a new one.
• Faster approvals are coming, but their coming from your favorite banks, Wells Fargo Short Sales, Citi, and Chase.
• Some banks only want financial statements (worksheets) not proof of anything to start the process.
• HSBC is proactive, they will call you!
• Suntrust still doesn't put names on the approval letters, which is the only thing I like about their process.
• People are a bit more savvy about short sales this year.  I'm going to have to add wording that protects my time if they file bankruptcy - for a bankruptcy attorney, filing is always a good option.  Hard to argue with an attorney.
• Deed-in-lieu's still baffle me.  Why anyone would do this in Georgia, I have no idea.
• BPO (Broker Price Opinion) agents are requiring someone to be there lately.  Sounds like a good thing for us (so we can show them the problems with the home), but can anyone verify if this is correct or is it just because most BPO agents don't really do real estate... anymore.
• A Bank of America Short Sale is still taking the longest and is still the hardest to deal with.  They've added call centers, electronic filing systems and even a third party.  All their running around isn't helping when it's their process that is flawed.

That's all for me! 

Remember, It's not about specializing in a Niche or short sales, it's about being knowledgeable enough to actually help people.  Even if you refer it to an agent that specializes (which we recommend) at least you are up to date on the changes.

Courtesy of the Orlando Association of Realtors

Pre-Listing Activities

1 Make appointment with seller for listing presentation

2 Send seller a written or e-mail confirmation of listing appointment and call to confirm

3 Review pre-appointment questions

4 Research all comparable currently listed properties

5 Research sales activity for past 18 months from MLS and public records databases

6 Research "Average Days on Market" for this property of this type, price range and location

7 Download and review property tax roll information

8 Prepare "Comparable Market Analysis" (CMA) to establish fair market value

9 Obtain copy of subdivision plat/complex lay-out

10 Research property's ownership & deed type

11 Research property's public record information for lot size & dimensions

12 Research and verify legal description

13 Research property's land use coding and deed restrictions

14 Research property's current use and zoning

15 Verify legal names of owner(s) in county's public property records

16 Prepare listing presentation package with above materials

17 Perform exterior "Curb Appeal Assessment" of subject property

18 Compile and assemble formal file on property

19 Confirm current public schools and explain impact of schools on market value

20 Review listing appointment checklist to ensure all steps and actions have been completed

Listing Appointment Presentation

21 Give seller an overview of current market conditions and projections

22 Review agent's and company's credentials and accomplishments in the market

23 Present company's profile and position or "niche" in the marketplace

24 Present CMA Results To Seller, including Comparables, Solds, Current Listings & Expireds

25 Offer pricing strategy based on professional judgment and interpretation of current market conditions

26 Discuss Goals With Seller To Market Effectively

27 Explain market power and benefits of Multiple Listing Service

28 Explain market power of web marketing, IDX and REALTOR.com

29 Explain the work the brokerage and agent do "behind the scenes" and agent's availability on

weekends

30 Explain agent's role in taking calls to screen for qualified buyers and protect seller from curiosity

seekers

31 Present and discuss strategic master marketing plan

32 Explain different agency relationships and determine seller's preference

33 Review and explain all clauses in Listing Contract & Addendum and obtain seller's signature

Once Property is Under Listing Agreement

34 Review current title information

35 Measure overall and heated square footage

36 Measure interior room sizes

37 Confirm lot size via owner's copy of certified survey, if available

38 Note any and all unrecorded property lines, agreements, easements

39 Obtain house plans, if applicable and available

40 Review house plans and make copy

41 Order plat map for retention in property's listing file

42 Prepare showing instructions for buyers' agents and agree on showing time window with seller

43 Obtain current mortgage loan(s) information: companies and & loan account numbers

44 Verify current loan information with lender(s)

45 Check assumability of loan(s) and any special requirements

46 Discuss possible buyer financing alternatives and options with seller

47 Review current appraisal if available

48 Identify Home Owner Association manager if applicable

49 Verify Home Owner Association Fees with manager - mandatory or optional and current annual fee

50 Order copy of Homeowner Association bylaws, if applicable

51 Research electricity availability and supplier's name and phone number

52 Calculate average utility usage from last 12 months of bills

53 Research and verify city sewer/septic tank system

54 Water System: Calculate average water fees or rates from last 12 months of bills )

55 Well Water: Confirm well status, depth and output from Well Report

56 Natural Gas: Research/verify availability and supplier's name and phone number

57 Verify security system, current term of service and whether owned or leased

58 Verify if seller has transferable Termite Bond

59 Ascertain need for lead-based paint disclosure

60 Prepare detailed list of property amenities and assess market impact

61 Prepare detailed list of property's "Inclusions & Conveyances with Sale"

62 Compile list of completed repairs and maintenance items

63 Send "Vacancy Checklist" to seller if property is vacant

64 Explain benefits of Home Owner Warranty to seller

65 Assist sellers with completion and submission of Home Owner Warranty Application

66 When received, place Home Owner Warranty in property file for conveyance at time of sale

67 Have extra key made for lockbox

68 Verify if property has rental units involved. And if so:

69 􀂃 Make copies of all leases for retention in listing file

70 􀂃 Verify all rents & deposits

71 􀂃 Inform tenants of listing and discuss how showings will be handled

72 Arrange for installation of yard sign

73 Assist seller with completion of Seller's Disclosure form

74 "New Listing Checklist" Completed

75 Review results of Curb Appeal Assessment with seller and provide suggestions to improve salability

76 Review results of Interior Décor Assessment and suggest changes to shorten time on market

77 Load listing into transaction management software program

Entering Property in Multiple Listing Service Database

78 Prepare MLS Profile Sheet -- Agents is responsible for "quality control" and accuracy of listing data

79 Enter property data from Profile Sheet into MLS Listing Database

80 Proofread MLS database listing for accuracy - including proper placement in mapping function

81 Add property to company's Active Listings list

82 Provide seller with signed copies of Listing Agreement and MLS Profile Sheet Data Form within 48

hours

83 Take additional photos for upload into MLS and use in flyers. Discuss efficacy of panoramic

photography

 

Marketing The Listing

84 Create print and Internet ads with seller's input

85 Coordinate showings with owners, tenants, and other Realtors®. Return all calls - weekends

included

86 Install electronic lock box if authorized by owner. Program with agreed-upon showing time windows

87 Prepare mailing and contact list

88 Generate mail-merge letters to contact list

89 Order “Just Listed” labels & reports

90 Prepare flyers & feedback faxes

91 Review comparable MLS listings regularly to ensure property remains competitive in price, terms,

conditions and availability

92 Prepare property marketing brochure for seller's review

93 Arrange for printing or copying of supply of marketing brochures or fliers

94 Place marketing brochures in all company agent mail boxes

95 Upload listing to company and agent Internet site, if applicable

96 Mail Out "Just Listed" notice to all neighborhood residents

97 Advise Network Referral Program of listing

98 Provide marketing data to buyers coming through international relocation networks

99 Provide marketing data to buyers coming from referral network

100 Provide "Special Feature" cards for marketing, if applicable

101 Submit ads to company's participating Internet real estate sites

102 Price changes conveyed promptly to all Internet groups

103 Reprint/supply brochures promptly as needed

104 Loan information reviewed and updated in MLS as required

105 Feedback e-mails/faxes sent to buyers' agents after showings

106 Review weekly Market Study

107 Discuss feedback from showing agents with seller to determine if changes will accelerate the sale

108 Place regular weekly update calls to seller to discuss marketing & pricing

109 Promptly enter price changes in MLS listing database

 

The Offer and Contract

109 Receive and review all Offer to Purchase contracts submitted by buyers or buyers' agents.

110 Evaluate offer(s) and prepare a "net sheet" on each for the owner for comparison purposes

111 Counsel seller on offers. Explain merits and weakness of each component of each offer

112 Contact buyers' agents to review buyer's qualifications and discuss offer

113 Fax/deliver Seller's Disclosure to buyer's agent or buyer upon request and prior to offer if possible

114 Confirm buyer is pre-qualified by calling Loan Officer

115 Obtain pre-qualification letter on buyer from Loan Officer

116 Negotiate all offers on seller's behalf, setting time limit for loan approval and closing date

117 Prepare and convey any counteroffers, acceptance or amendments to buyer's agent

118 Fax copies of contract and all addendums to closing attorney or title company

119 When Offer to Purchase Contract is accepted and signed by seller, deliver to buyer's agent

120 Record and promptly deposit buyer's earnest money in escrow account.

121 Disseminate "Under-Contract Showing Restrictions" as seller requests

122 Deliver copies of fully signed Offer to Purchase contract to seller

123 Fax/deliver copies of Offer to Purchase contract to Selling Agent

124 Fax copies of Offer to Purchase contract to lender

125 Provide copies of signed Offer to Purchase contract for office file

126 Advise seller in handling additional offers to purchase submitted between contract and closing

127 Change status in MLS to "Sale Pending"

128 Update transaction management program to show "Sale Pending"

129 Review buyer's credit report results -- Advise seller of worst and best case scenarios

130 Provide credit report information to seller if property will be seller-financed

131 Assist buyer with obtaining financing, if applicable and follow-up as necessary

132 Coordinate with lender on Discount Points being locked in with dates

133 Deliver unrecorded property information to buyer

134 Order septic system inspection, if applicable

135 Receive and review septic system report and assess any possible impact on sale

136 Deliver copy of septic system inspection report lender & buyer

137 Deliver Well Flow Test Report copies to lender & buyer and property listing file

138 Verify termite inspection ordered

139 Verify mold inspection ordered, if required

 

Tracking the Loan Process

140 Confirm Verifications Of Deposit & Buyer's Employment Have Been Returned

141 Follow Loan Processing Through To The Underwriter

142 Add lender and other vendors to transaction management program so agents, buyer and seller can

track progress of sale

143 Contact lender weekly to ensure processing is on track

144 Relay final approval of buyer's loan application to seller

 

Home Inspection

145 Coordinate buyer's professional home inspection with seller

146 Review home inspector's report

147 Enter completion into transaction management tracking software program

148 Explain seller's responsibilities with respect to loan limits and interpret any clauses in the contract

149 Ensure seller's compliance with Home Inspection Clause requirements

150 Recommend or assist seller with identifying and negotiating with trustworthy contractors to perform

any required repairs

151 Negotiate payment and oversee completion of all required repairs on seller's behalf, if needed

The Appraisal

152 Schedule Appraisal

153 Provide comparable sales used in market pricing to Appraiser

154 Follow-Up On Appraisal

155 Enter completion into transaction management program

156 Assist seller in questioning appraisal report if it seems too low

 

Closing Preparations and Duties

157 Contract Is Signed By All Parties

158 Coordinate closing process with buyer's agent and lender

159 Update closing forms & files

160 Ensure all parties have all forms and information needed to close the sale

161 Select location where closing will be held

162 Confirm closing date and time and notify all parties

163 Assist in solving any title problems (boundary disputes, easements, etc) or in obtaining Death

Certificates

164 Work with buyer's agent in scheduling and conducting buyer's Final Walk-Thru prior to closing

165 Research all tax, HOA, utility and other applicable prorations

166 Request final closing figures from closing agent (attorney or title company)

167 Receive & carefully review closing figures to ensure accuracy of preparation

168 Forward verified closing figures to buyer's agent

169 Request copy of closing documents from closing agent

170 Confirm buyer and buyer's agent have received title insurance commitment

171 Provide "Home Owners Warranty" for availability at closing

172 Review all closing documents carefully for errors

173 Forward closing documents to absentee seller as requested

174 Review documents with closing agent (attorney)

175 Provide earnest money deposit check from escrow account to closing agent

176 Coordinate this closing with seller's next purchase and resolve any timing problems

177 Have a "no surprises" closing so that seller receives a net proceeds check at closing

178 Refer sellers to one of the best agents at their destination, if applicable

179 Change MLS status to Sold. Enter sale date, price, selling broker and agent's ID numbers, etc.

180 Close out listing in transaction management program

 

Follow Up After Closing

181 Answer questions about filing claims with Home Owner Warranty company if requested

182 Attempt to clarify and resolve any conflicts about repairs if buyer is not satisfied

183 Respond to any follow-on calls and provide any additional information required from office files.

 

There's actually a lot more that are a bit more important but I though this would a great place to start. 

It's too early for me to make a prediction about the company that has my phone ringing off the hook with people excited about their purchases, since the Zestimate is over inflated. 

Here's the great e-mail I received. 

As a valued member of the Zillow community with a home posted for sale on Zillow, we'd like to notify you of an important change.

Beginning today, in order to post a home for sale on Zillow, you can either buy a Featured Listing for $9.95 per listing for a 180-day period, or, if you have 50 or more listings, you can send us a listings feed, for free.

Since you currently have a home posted for sale, your listing will expire on January 13, 2010 unless you extend it by purchasing a Featured Listing. We feel this change will help improve the quality of listings on our site, which will provide a better customer experience for the millions of buyers who visit Zillow each month.

Zillow isn't a platform that is working for me in Atlanta GA, so I'll keep on plugging away here. 

This Alpharetta Luxury Home was inspired by Frank Lloyd Wright, Le Corbusier and others.  

380 Spyglass Bluff in Alpharetta GA 30022 was built completely without the aid of a blueprint.  In addition, the home has many eco-friendly features and no expense was spared to preserve the beautifully private lot. 

The master suite is a separate wing of the house, connected to the main house by a conditioned (enclosed) bridgeway. The master suite is on two levels, and has approximately 1700 ft2. It was built on piers, so that healthy trees could be maintained close to the structure, making this area like a tree house.

The entry level includes the bedroom (with its own art / tile gas log replace), sitting area (overlooking the woods and, when the leaves are off the trees, the golf course), master bath, a large closet and a private access deck.

The lower level includes an office area, steam room, sauna, exercise area, laundry room, mechanical area and deck. There is an unconditioned storage area at the lowest level which is unfinished.

An apartment is situated over a detached two car garage on the opposite side of the motor court. This apartment includes a loft, kitchenette, bathroom and sitting area, and can be utilized as an in-law suite, guest house, office studio, or a space where your teen can take up the drums without disturbing the rest of the house. This part of the house is accessible either through the courtyard or through the detached garage. It overlooks the waterfall site

Who's that walkin in your front door?

I was already a little thrown off by MOVOTO, but if you check your listings you'll see a new (old) kid in town has a quick search for my new listing at 380 Spyglass Bluff shows that Redfin as number 2 (when I checked) on Google.  I'm not even on that page for the listing.  It brings back the question about how we feel about that.   Do we get upset that Redfin, Clickspace or Movoto, or trulia can out market our listings or are we happy that it gives our listings more exposures. 

I'm fine with Trulia, Realtor.com and others because they at least FEIN that they want to HELP agents, but Redfin is a brokerage that is outclassing the local agents.  

Dont get me wrong.  I am not suggesting anything should change.  What I am suggesting is that ... 

IT'S ON

Local Brokerages that want my license hanging in their office better take note.  If you can't out market our listings vs a large national company then we have got problems.  GOOD LOCAL content should aways win out! 

We'll see, to me REAL ESTATE JUST GOT FUN. 

With all the Short Sales in Atlanta, Foreclosures and lack of construction, one neighborhood still is crankin' out homes and selling them at a premium. Village at Deaton Creek is a active adult gated community with everything but their grocery store in terms of amenities.  

Recently, the Hall Chamber has a meeting discussing the active adult communities in the area and how many people are bypassing Florida altogether to come straight to Atlanta. 

Village at Deaton Creek offers all the expected amenities found in the usual Broward County locales but features 4 full seasons without having insurance payments exceed the mortgage. 

Twiss (from the chamber) said some of the trends people look for when looking for a retirement community include "a place that’s in a great location, a place with beautiful surroundings that is close to their families and a place that is in the south, but not all the way in Florida."

Twiss told the crowd that the focus of Del Webb is to provide this type of community for those 55 and older who want to live a vibrant lifestyle... through being involved in social clubs, activities, and different classes.

See Village At Deaton Creek Homes For Sale

What do you get when you take a Georgia Tech Architecture Graduate ask him to build a sustainable home without harming any of the natural surroundings, ask him to use the solar energy to be the most effecient in a Golf Community in Alpharetta? An Atlanta Luxury Home?

Here's a hint:

Inspired by Le Corbusier & Frank Lloyd Wright among others, this home has just been put on the market, perhaps someone in Atlanta Celebrity Real Estate will pick it up.

This home features Eco-Friendly designs, natural elements - it has soulfulness, that you won't find anywhere else. 

With an Alpharetta, GA address and a John's Creek convenience, this home has views!  On one side it's a wonderful waterfall on the other side is a Golf Course!  What more could you want?  You can see the full Alpharetta Luxury Tour on my site, but there are some great details here. 

The main house incorporates a two car garage, great room, dining room, kitchen, foyer, breakfast room and half bath on the entry level.  The great room features a unique and dramatic tiled  fireplace and views on to the waterfall.  In addition, the retaining walls in the terrace are sculpted with inset tile to incorporate an artistic representation of one of the prominent rock formations on the site.  The lower level of this part of the house includes a large game / media room, food storage, wet bar, half bath and mechanical areas.  This area also looks on to the waterfall. The upstairs section of this part of the house includes a pod of three bedrooms, two bathrooms and a laundry room

The master suite is a separate wing of the house, connected to the main house by a conditioned (enclosed) bridge way.  The master suite is on two levels, and has approximately 1700 ft2.  It was built on piers, so that healthy trees could be maintained close to the structure, making this area like a tree house.

The entry level includes the bedroom (with its own art / tile gas log fireplace), sitting area (overlooking the woods and, when the leaves are off the trees, the golf course), master bath, a large closet and a private access deck.  

The lower level includes an office area, steam room, sauna, exercise area, laundry room, mechanical area and deck.  There is an unconditioned storage area at the lowest level which is unfinished.

An apartment is situated over a detached two car garage on the opposite side of the motor court. This apartment includes a loft, kitchenette, bathroom and sitting area, and can be utilized as an in-law suite, guest house, office studio, or a space where your teen can take up the drums without disturbing the rest of the house. This part of the house is accessible either through the courtyard or through the detached garage. It also overlooks the waterfall site.

If you've been reading Active Rain blogs at all in the past month or so, there's been a lot of discussion about the value of a real estate agent and the possible stagnation and extinction of our field.  There's a few places that referenced the sequel to Freakonomics, Superfreakonomics. In the new book, there is a comparison of Realtors to Pimps which is an upgrade over the KKK in my opinion.  

"A Realtor and a pimp perform the same primary service: marketing your product to potential customers.- Steven D. Levitt and Stephen J. Dubner"

Luckily, we don't JUST MARKET the property.  Of course, the pimp usually comes with some sort of protection, then again, the pimp's clients might need protection from the pimp.  I haven't beat any of my clients for a price reduction, even if they felt that way. 

I've always contended to my clients that I am more like a Sports Agent then a Real Estate agent.  OF COURSE I MARKET THE PROPERTY! but what you are paying me for is to get the best deal in town or if you are selling, then you want me to get the most money.  If you take this to new heights you can even excel at short sale negotiations. 

If you think that Real Estate Agents are extinct because clients are looking online at homes, then I have a suggestion if you are an agent - go ahead and try your Plan "B" if you are a buyer, PLEASE COME VISIT my listings. 

No offense to my readers, but if you are unrepresented or poorly represented, my client will win.  I won't go over the top and say that I will "eat you alive," but get your check writing hand ready.  The simple fact is that I do this every day and I spend time getting better at negotiations.  

NOTE TO THOSE THAT THINK AGENTS ARE FACING EXTINCTION:

While you are busy searching for real estate information while you are supposed to be working, I'll be working on my skills to maximize my client's position.  By the time you figure out that Real Estate negotiations often has more to do with than just the offer price (closing costs, earnest money, closing time, moving out, inspection negotiations, etc) it'll be too late. Not to mention, I'll get paid double compared to what I normally do. 

We aren't going to be extinct, we'll just have to evolve.