The final results will be interesting; so far the things are split pretty much evenly between “better,” “same” and “worse.”
Date Archives March 2008
RESPA reform in the spotlight
For example, title insurance companies do not chose to spend their advertising dollars on general public promotions because a title company can have a much stronger effect on market share by focusing on the people who are in a direct position to refer lots of business: Mortgage lenders and Realtors.However, this possible arrangement is codified, so-to-speak, in the Virginia Association of Realtors’ standard Contract to Purchase.BROKERS: LICENSEE STATUS: (a) Listing Company and Selling Company may from time to time engage in general insurance, title insurance, mortgage loan, real estate settlement, home warranty and other real estate-related businesses and services, from which they may receive compensation during the course of this transaction, in addition to real estate brokerage fees. The parties acknowledge that Listing Company and Selling Company are retained for their real estate brokerage expertise, and neither has been retained as an attorney, tax advisor, appraiser, title advisor, home inspector, engineer, surveyor or other professional service provider.And even the Realtor Code of Ethics addresses such arrangements – Article 6 REALTORS® shall not accept any commission, rebate, or profit on expenditures made for their client, without the client’s knowledge and consent. When recommending real estate products or services (e.g., homeowner’s insurance, warranty programs, mortgage financing, title insurance, etc.), REALTORS®shall disclose to the client or customer to whom the recommendation is made any financial benefits or fees, other than real estate referral fees, the REALTOR® or REALTOR®’s firm may receive as a direct result of such recommendation…. (2) the payment to any person of a bona fide salary or compensation or other payment for goods or facilities actually furnished or for services actually performed, (3) payments pursuant to cooperative brokerage and referral arrangements or agreements between real estate agents and brokers, (4) affiliated business arrangements so long as (A) a disclosure is made of the existence of such an arrangement to the person being referred and, in connection with such referral, such person is provided a written estimate of the charge or range of charges generally made by the provider to which the person is referred.Matter of fact, one of the home inspection companies I recommend tell my clients about sends me a check for fifteen or twenty bucks whenever a client buys a home warranty that I told them about.
You weren’t meant to have a boss
The beauty and persistent, driving fear of being a Realtor is that I don’t have a “boss” (other than my wife). This essay by Paul Graham is simply wonderful and accurately describes personality traits held by many successful Realtors and other entrepreneurs I know.I was in Africa last year and saw a lot of animals in the wild that I’d only seen in zoos before…. Lions in the wild seem about ten times more alive…. And seeing those guys on their scavenger hunt was like seeing lions in a zoo after spending several years watching them in the wild.
A match day loss and possible substantial gain
Received this morning from a client who was anticipating Matching at the University of Virginia – Unfortunately I matched at my second choice not my first … definitely a bit disappointed but still excited to get the next part of my life started. THANK YOU for being such a wonderful resource for me these last few months – I have learned a lot… and I appreciate the time you spent with me.
Notes from a mortgage broker in Charlottesville
Thanks to a conversation in a closing yesterday morning:1 – Many of his lenders are eliminating second mortgages in favor of PMI (which is tax deductible).2 – The 22903 zip code may be marked by Fannie Mae as a “declining market” – our closing yesterday indicated as much.Lesson:Times are changing; choose knowledgeable representation you trust.
A brief lesson in reputation management
It’s a relatively small-scale example, but for small, yet rapidly growing craft brewery, it’s huge.
Buy Local, save money (and energy)
The Charlottesville area offers quite a few options for buying local, including the City Market; who knew they consumed as much energy as 18 homes? People will buy local when it makes economic sense – and right now, buying local makes a lot of sense. Take a moment and look around for local options.The HooK has a critical analysis of the above-referenced Daily Progress article. This is the CSA we just joined, Regarding the “60 miles” number – I noticed last week that the local Chipotle is getting their pork from Polyface Farms – “60 miles from farm to fork.”