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Incilne Village Home Sales YTD May 15 2008

May 17th, 2008

This year, 13 homes have sold in Incline below $1M and 12 have sold over $1M. This is a shift from 17 homes sold below $1M and 29 sold over $1M for the same period in 2007. In the below $1M range, we are seeing nicely remodeled homes and “move-in” condition homes that are priced attractively selling quickly- there are buyers looking for value (I have represented buyers in 2 of these this spring). We are also seeing homes over $1M with unique or attractive features- cloe proximity to the lake, lake views, golf course location, large/level lots, and QUALITY homes selling. Fixer-uppers in great locations need to be priced to sell, and newer construction or great remodels are selling in these desirable locations, if priced fairly from the initial listing. Overpriced listings often deter buyers.

View Incline Home Sales YTD May 2008

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The Inman Conference- Conquering the Social Media Universe

August 3rd, 2007

With a fantastic venue in the palatial halls of the Palace Hotel, over a thousand real estate and technology entrepeneurs and seasoned agents colluded in this 3 day event, each conspiring to conquer this new universe of social media soon-to-be-giants.

As a mignon in this world of collosal idea makers, I scan the registration hall and pick out whom I think might be some of the industry’s founders, CEO’s and heads of these newly emerging technologies, one even going by “Virtual Earth Technical Evangelist”. Of Microsoft, no doubt. I meet two guys who have flown from Australia for the conference, excited to be in San Francisco, if not somewhat jetlagged.

Blogging has become a new media outlet that real estate professionals are jumping into with both feet. Many view this as a way to share their voice with their clients, and clients begin to feel that they have come to know these writers they follow and it helps them choose who they would feel comfortable working with. Blogging has also brought news, market data and heated topics of discussion to the readers, allowing them to comment and lead the discussions.

With dozens of new outlets coming online daily in the areas of real estate listing sites, social media, multi-media, communications and blogging platforms, there was a wealth of information to be had. New API and Widgets allow users to incorporate useful content and tools such as mapping into their own websites. This open source revolution is putting access to great features into our hands, the users, and enabling our brands and services to become a part of the industries.

One of the notable leaders in new technology that I was especially pleased to talk with is Jason Spencer, Co-founder of Street Advisor. I stopped by the vendor booth for streetadvisor.com interested in the neighborhood ranking feature that they pioneered. Google’s satellite mapping combined with ortho-photography (3-D) mesh with the results and detailed narratives of neighborhood reviews, commenting on everything from schools and parks in the area, to the best cup of coffee (71 Irving Place in Manhatten), to notable neighbors- have you ever heard of Cyrus Field?

After coming upon a vacant computer, Jason walked up and introduced himself with a charming Australian candor, and offered me the tour through this user-based city and neighborhood guide. I was pleased to hear they are coming out with API to allow integration into user’s sites. He offered to email me when this feature comes out, and I offered to link to his site in the meantime. This one-on-one with the man behind this new, user-centric software renewed my admiration for the entrepreneur who believes in technology, but more importantly, takes the time to connect with users directly. How many people has he offered to email when new features come out? He must be very efficient in his correspondance!

Pete Flint, co-founder of Trulia, also engaged in such a personable manner which stood out in this mass of media display and technical nomenclature. I didn’t have anything specific I wanted to ask him, but just wanted to put a name and a voice behind a software that has made such a strong presence in the new Real Estate cache of tools.

Hugh MacLeod, of Scottish Highland ancestry, really showed everyone what was under his kilt (figuratively), in telling the sotires of how an English Tailor, a South African Winery, and a Kula-obsessed culture in the South Pacific turned simple “social objects” into cult-followings. He brings home the message that a story worth telling is one that is close to you and the things you love. His cartoonist depictions make their way into blog posts, and have driven multitudes of people to a small tailor in England and an unknown winery in South Africa.

Hugh told me one of the things he has embraced is never to denegrade competitors. The English Tailor he brought into the limelight was asked to set himself apart from another very good tailor down the street. He simply told the customer, “You should go to him and have him make you a suit, he is the best”. The customer came back to him later, and told him he really wanted a suit from not from this other tailor, but from him, yet the tailor would not sing his own praises. That, says Hugh, is how to be true to your own message.

There were speakers on SEO and Web Marketing, Video and New Media for Real Estate, Luxry Marketing, Real Estate Portals and much more. The idea of branding quality, consistency of presence in marketing your brand, and featuring your listings as a lifestyle were important messages.

Energy ran high in the conclusion of the event, with Innovators recognized in an award ceremony, and Brad Inman sending a strong message in this diverse conglomoration of techies and real estate leaders. I look forward to the next phase in the new world of Web 2.0.

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Should You Sell Your Home in Today’s Real Estate Market?

June 8th, 2007

In this current declining housing market, homeowners who can wait for the market to rebound to sell their homes should. However, homeowners who need to sell now to move to another area can still do well. If you are selling in one declining market, you won’t get the price you could have in the hot market of 2004-2005, but you are also paying less in the market you are moving too. This is providing the new area you are moving to has an equal or better likelihood to rebound as the market you are moving from.The problem in today’s market is sellers can’t let go of what their home was worth a few years ago.

Many overpriced homes are sitting on the market, not moving, because buyers won’t pay the high prices and sellers refuse to lower them. If a seller is not motivated, the long listing period may not be of concern, and if the home doesn’t sell, they can take it off the market with nothing lost.

Other sellers get caught chasing a down-cycling market. Say you are selling your home in Sacramento and moving to Reno for a new job. You list your home for $500,000, which you pay $2000 a monthly mortgage payment. You find a new home in Reno for $500,000 that you purchase, and have a $2200 second mortgage payment at a higher rate. Now you need to sell your home. The problem is, you listed your home 5% higher than other comparable homes that were selling, the market has continued to decline, and you end up chasing the market and selling their home for $450,000 6 months later, 10% less than your original asking price. You just lost $25,000 in the sale of your home, plus 6 months mortgage payments at $2200, totaling $38,200.

This financial loss coupled with the stress of watching your funds dwindle for 6 months could have been avoided by picking a realistic selling price at the outlay. If a seller is willing to acknowledge a loss on their original investment, they can price their home to sell in this market, and move into a similar market at a low entry point, and stand to gain when the market turns around. This seems like a simple concept, until you are in the position of the seller and have to make this humbling decision and accept the loss on your investment. If you look at the bottom line and the life or your long-term real estate investment, you will gain in the long run.

What are markets that have potential for strong rebounds? Yesterday in Forbes article  ”Most Resilient U.S. Real Estate Markets” by Matt Woolsey, growth projections for real estate markets in major US cities were discussed. Cities like Seattle have already hit bottom, and posted double digit gains since. Seattle bottomed 1st quarter 2006 since gained 12.3% . Tampa and Phoenix had a sharp downturn starting in 2005, as a high investors owned approximately 1/4 of all properties, leading to vacancy rates over 3%, when many pulled out. But because the job market is very good, both markets are expected to rebound nicely, with 10.6% annual gains in Tampa after the projected bottom in early 2008 and 7.7% projected gains in Phoenix after bottoming in late 2008.

Here is the rundown on several other cities reviewed by Forbes:
Tampa
Market trough: First quarter, 2008 Annual price growth following trough: 10.6%
Phoenix
Market trough: Fourth quarter, 2008 Annual price growth following trough: 7.7%
Las Vegas
Market trough: Second quarter, 2009 Annual price growth following trough: 7.2%
San Diego
Market trough: Second quarter, 2008 Annual price growth following trough: 5.3%
Los Angeles
Market trough: Second quarter, 2008 Annual price growth following trough: 3.6%
San Francisco
Market trough: Second quarter, 2008 Annual price growth following trough: 3.4%
Boston
Market trough: First quarter, 2008 Annual price growth following trough: 3.3%
Providence, R.I.
Market trough: First quarter, 2008 Annual price growth following trough: 3.3%
Washington, D.C.
Market trough: Fourth quarter, 2008 Annual price growth following trough: 2.6%
Orlando, FL
Market trough: Second quarter, 2008 Annual price growth following trough: 2.5%
Minneapolis
Market trough: Second quarter, 2008 Annual price growth following trough: 2.4%
Sacramento
Market trough: Second quarter, 2008 Annual price growth following trough: 2.4%
New York City
Market trough: First quarter, 2009 Annual price growth following trough: 2.4%
Denver
Market trough: Second quarter, 2008 Annual price growth following trough: 1.6%
Detroit
Market trough: Third quarter, 2007 Annual price growth following trough: 0.9%
Milwaukee
Market trough: Third quarter, 2008 Annual price growth following trough: 0.4%

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Lakeshore Drive home sales picking up

May 19th, 2007

By the number of boats we’ve seen on the lake this past week, it seems summer is here. Is the market activity rising with the tempreratures? In this past week, Chase alone has put two Lakeshore listings into escrow, totaling four so far this year. Are the serious buyers beginning to see value in the market?

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Lexi Cerretti, Tahoe Homes Realtor
Lexi Cerretti

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Incline Village Real Estate
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