2009 National Association of REALTORS Profile of Home Buyers and Sellers

With all of the turmoil in the residential real estate market, one of the best steps a consumer can take is to become educated. Annually, we look forward to reading the new National Association of REALTORS Profile of Home Buyers and Sellers. We’ve been reading it since 1999, and the raw data is always interesting to review. Here are a few results from the 2009 survey, along with our take on the meaning of those results.

Don't do a short sale ... until you have answered these questions

According to a New York University School of Law report (Time Magazine – 10/24/09), in 2008 as many as 86% of foreclosure victims did not have legal counsel. Distressed homeowners have difficult choices to make about what to do if the equity in their home has evaporated. There are many potential solutions. The one thing they have in common is that real estate brokers are not qualified to advise homeowners on which one is best.

MLS4owners.com Market Update - Statewide Open House June 27-28

1. Market Update Topics
2. Statewide Open House
3. Legislature changes Seller Disclosure Requirements
4. Improvements in the Marketplace
5. Updating your listing if it is a Short Sale

What is the difference between a distressed sale and a short sale?

These real estate phrases are sometimes used interchangeably, but the meanings are very different. Following are oversimplified definitions for the state of Washington.

WARNING to sellers - guard your prescriptions and cash when prospective buyers are in your house.

Thank you to the Northwest Multiple Listing Service for looking out for the safety of sellers. We received this warning about keeping safe at open houses in the Seattle area, but it applies to all sellers everywhere.  As the NWMLS encourages its members to educate their customers, here is their April 17, 2009 bulletin in its entirety:

Do buyers have to tell you the source of their down payment?

Following up on our last post about "Debunking industry myths and fairy tales", here is another myth busted by Washington REALTOR News. Myth Number 6 is shown below in its entirety, and is reprinted with permission from Washington REALTORS(r). This article is not legal advice. You should always consult your own real estate attorney, REALTOR or tax specialist.

Myth Number 6: Buyer has no obligation to disclose the source down payment

There is a version of this myth that is true. But, the extension of this myth to all buyers leads many buyers to commit an act of fraudulent inducement.

Debunking industry legends and fairy tales

We read an interesting article in Washington REALTOR News, called "Mythbusters: Debunking industry legends and fairy tales." Myth Number 4 is shown below in its entirety, and is reprinted with permission from the Washington Association of REALTORS. This article is not legal advice. You should always consult your own real estate attorney, REALTOR or tax specialist.

Myth Number 4: The buyer's financing contingency expired.

FREE Pollution Liability Insurance?

Do you have a have a home with oil heat, with an underground or aboveground storage tank? The Washington State Pollution Liability Insurance Agency offers free pollution liability insurance to owners of oil tanks used to heat their home and businesses. According the State of Washington, this insurance is free to the owner because it is partially funded by a fee dealers pay per gallon of oil they sell.

The Agency has more information on its website or by phone at 800-822-3905.

The $35,000 mistake - Why you should review your title report.

You hire a broker to represent you in the sale of your house, and eventually you get an offer you can live with. The buyers are ready, willing and able to close the deal. Sounds great, right?

Well, not if your driveway encroaches on the neighbor's property and you can't deliver clear marketable title to your buyer. A Mississippi court recently ruled that the seller owed more than $35,000 to their listing broker because the seller was unable to perform even though the broker bought them a ready, willing and able buyer.

This is an example of why we recommend eliminating surprises by ordering your preliminary title report upfront.

Puget Sound Real Estate Sales - Mixed results so far in 2009

The good news for home sellers is there were more sales in January than there were in December, and inventory is down a little from a year ago. The sales results are not surprising, as there are always more sales in January than December. The bad news for the month is there were fewer reported pending sales this year than in any January of this decade, for King, Pierce, Snohomish and Kitsap counties.

Analysis of results is published monthly by the Northwest Multiple Listing Service and continually linked in the Real Estate News section of the MLS4owners.com website. If you need information about market activity in your neighborhood, let us know and we would be glad to help.

Signs, signs, everywhere a sign

When ordering extra signage from us, it is important to be aware of your local sign ordinances and practices. While each community is different, here are a few links that may help:

Summary Chart of 2008 ordinances: from the REALTOR associations of Seattle-King County, Tacoma-Pierce County, and Snohomish County-Camano. You can check for updates on this matrix by visiting NWRealtor.com and clicking on the Tri City Sign-Code Matrix.

City of Redmond Sign Ordinance: from Redmond Neighborhood blog

The City of Bothell also sent out a notice on January 26, 2009 requesting compliance with its ordinance, which according to the Northwest Multiple Listing Service states:

• Up to four off-premise open house signs may be used.
• Signs may be place in the public right-of-way (off the roadway) except where landscaped with anything other than a lawn.
• Signs may not be placed in an intersection or traffic island at any time.
• These signs may be placed where they do not block pedestrian, bicycle or handicapped access.
• Signs may be posted only during daylight hours when the agent or property owner is in attendance at the property.
• Directions/stake signs are not allowed.

For more information on sign ordinances in your city, please contact your local government office.

New Website for MLS4owners.com - Announcing Self Service Realty

This week MLS4owners.com’s new website debuts. The address hasn’t changed, but the design has been changed to provide more information than ever for sellers who are using Self Service Realty from MLS4owners.com. With Self Service Realty, MLSowners.com enables YOU – the seller – to be in control, while giving you access to all the essential tools of a listing agent. We provide massive advertising exposure, and we enable you to research and understand the market so you can complete your sale efficiently and cost-effectively. Among the new website features you will find are:

- Seller Contact information embedded in the marketing remarks of our customers’ listings
- Improved and indexed Questions and Answers
- Easy online payment system

Take a look around the new site and please let us know what you think. There is a short survey you can click on at Questions & Answers / Contact Us.

New Septic Inspection Rules for King County

Thanks to our friends at the Northwest Multiple Listing Service for alerting us to this new rule that went into effect on January 19, 2009. In King County, the seller of any single or multi-family residential property served by an on-site septic system is now required to have a monitoring and performance inspection prior to transfer of title. King County will require the inspection and report to be completed by a King County licensed On-Site System Maintainer (OSM). A copy of the inspection report must be submitted to the Health Department and the buyer prior to transfer of title.

To obtain more information, including a copy of the inspection form and a list of licensed OSMs, visit King County's website.

REALTOR® Association appoints MLS4owners.com broker to its Board of Directors

We are always trying to make the voice of our customers heard, so this is good news.

Chris Nye, founder and President of MLS4owners.com, has been appointed to the Board of Directors of the Seattle-King County Association of REALTORS®. “Chris brings a valuable perspective to the board with his business experience and vast amount of work with state and federal government on anti-trust and consumer issues,” says the Board’s President Keith Nelson. “We look forward to his expertise and input.”