Great Party - No Friends!

Imagine giving a great party for your closest friends. To save the expense of printing you buy some generic invitations. To save time you write "occupant" on the envelope and ask the post office to see that they get delivered.

When the time for your party arrives, you are in for a surprise. As guests begin arriving, you don't recognize any of them. You had planned a black-tie affair, but they're dressed for a back-yard barbecue. Before long, you realize they are perfect strangers, not at all the guests you had planned to entertain.

Sounds ridiculous, doesn't it? Yet, when homeowners decide to sell "by owner," they create a similar scenario. The generic sign appears in the yard as an invitation to complete strangers to knock on the door at all hours for information. The other invitation, an ad, goes in to the local newspaper.

The "guests" arrive right on time, too. They are an interesting collection of bargain hunters, investors, and "tire-kickers." Each plans to feast off the homeowner's equity – by making a low offer to purchase the home or, in the case of the tire-kicker, to just enjoy the free hospitality.

When it's time to sell your home, choose an agent who understands the invitation process. "Black-tie" buyers work with agents who can introduce them to homes that are the "talk of the town."

Knowing Exactly When the Market Will Change

How would you like to know when the real estate market has hit the bottom and prices can be expected to appreciate again? Wouldn't that knowledge be worth a great deal? Well, believe it or not, I can tell you when that will happen. And if you want, I will share my knowledge with you.

You see, it's actually not all that difficult to forecast. The reason for our current depreciating real estate market is simply that more homes are coming ON the market than are going OFF the market. About 19 months ago in the area I sell real estate (the Massachusetts North Shore), for the first time in more than 10 years, more homes came on the market than sold. And this trend then continued for the next three months. That was the beginning of the decline in home values on the North Shore and we quickly went from a Seller's Market to a Buyer's Market. The trend continues today with 404 new (single family) listings coming to market in January on the North Shore (22 towns) and only 209 properties going Under Contract.

So . . . Still want to know when prices will begin appreciating again? Quite simply, when we have three consecutive months when more homes are selling than are coming on the market the trend will have reversed and you can expect the return of an appreciating (Seller's) market.

I carefully track the inventory data every month so that I will know and be ready for the shift. If you would like to be ready as well, feel free to contact me. I am pleased to share the data and with it the knowledge of when the market will change.

Regards,

Jay Burnham

How Do You Conduct a Harmonious Sale?

When you sell your home, how many individuals will have an impact on the final sale, the closing date, and the amount of money you receive from the sale? Five? Ten?

You may be surprised to know there are over twenty of them:

• Your real estate agent
• The buyer
• The buyer's spouse
• The buyer's attorney
• The lender
• The lender's attorney
• The loan originator
• The loan processor
• The loan underwriter
• The credit bureau
• Home inspectors
• Termite inspectors
• Your attorney
• The Registrar of Deeds
• The local property tax authorities
• The federal government
• Title insurers
• Property insurers
• Escrow agents
• The buyer's employer
• The buyer's creditors
• Bankers
• And numerous others!

Just imagine how difficult it must be to coordinate the activities of each of these individuals so that the final result is the satisfactory sale of your home, at the right price for you. Is there any one person who can oversee the entire process for you and make it happen?

There is one person, the first on the list – your professional real estate agent. Choosing your agent carefully can be compared to selecting a conductor for symphony orchestra. That single individual can blend together many musicians playing different instruments, each of which plays a different tune, and produce a harmonious and gratifying concerto – a pleasant and profitable home sale for you!

A Commodity in Danger of Becoming a Liability

Have you noticed that many For Sale signs (especially on the Massachusetts North Shore) appear to have put down roots on the front lawns of the homes for sale? And how about the number of signs dotting our neighborhoods? It's staggering!

In some instances, it appears that the only people that are not clear on the direction the real estate market has been going for the past 18 months are the ones with the "rooted" For Sale signs. You see, homes are still selling at a decent pace on the North Shore. But frequently it is the new listings that are accounting for the sales.

Why? . . . Because they have been priced correctly on day one, without the extra 5%+ "wiggle room" sellers traditionally added on when prices were appreciating. In fact, the very smart sellers today are often reversing that old trend and choosing to price their homes slightly BELOW what appears to be the Fair Market Value at the time they put their homes on the market. The result? Many such homes are actually receiving multiple offers (you heard correctly!) and sometimes even selling OVER asking price. The point, however, is that they are sold.

So if your home has been been lingering on the market with a rooted For Sale sign out front, perhaps it is time to speak with someone who can tell you what you need to know instead of what you want to hear. Call me and let's talk about how to avoid the danger of your home becoming a liability.

Regards,

Jay Burnham, VP
Coldwell Banker Residential Brokerage
Direct: 978.233.2828

20/20 Perception!

Beauty is in the eye of the beholder. Each of us sees the world with a different set of eyes, don't we? So of course, we each view it differently.

The same holds true for buyers for your home. The buying public comes from every conceivable walk of life, and each individual is looking for something special. Some buyers look for convenience in a home, some look for beauty, and some for practicality.

Based on their own set of life values, buyers each have a different yardstick by which they measure your home and the final price they would consider paying for it.

Real estate agents understand the many variations in buyer personalities, and can provide you with an accurate picture of your home's likely final sales price. Then, by applying that price to your home, your agent can locate the most likely buyers.

Your agent will show you prices at which similar homes have sold, and will be prepared to discuss the features your home offers that would be attractive to the many available buyers. By creating a marketing plan which accents your home's strong points, your agent will position your home so that it attracts buyers who are likely to be a good match.

Pricing and presenting your home favorably are just two of the benefits you receive from the agent with "20/20 perception." Want to know more? You can find me/fax me/voicemail anytime: 978-233-2828

Keep In Touch!

You've just listed your home "For Sale." As your agent is leaving, you shake hands, then say to the agent, "Keep in touch!"

To an active, dedicated real estate agent, "Keep in touch!" means much more than just "call me now and then." Keeping in touch is what your agent does best – but not just with you. Finding the right buyer for your home involves continual contact with a variety of people, letting them know about your home and encouraging them to refer buying prospects.

The activity of your agent in a single week can be impressive. Interacting with a wide variety of individuals, your agent is able to generate broad exposure for your home, an element that is critical to locating buyers. Those contacts might include bankers, surveyors, courthouse personnel, mortgage loan officers, local insurance people, appraiser, tax collectors, other real estate agents, local merchants, and lawyers.

Since each of these has a wide circle of contacts themselves, your agent quickly gains the attention of many who can and will refer buyers for your home.

Placing advertisements in the newspaper, a sign in front of your home, and adding your listing to the website are all important. However, the behind-the-scenes activity carried on by your agent supplements and reinforces the process of locating buyers interested in your home.

Look for dedication, commitment, and total involvement in a real estate agent. Buyers will follow!

Mass North Shore High End Homes are Moving!

Considering that the trend for home values on the Massachusetts North Shore real estate has been the lowering of prices for about 18 months, it is encouraging to note that a certain sector of the market is moving along at a steady pace. I'm talking about homes priced over $1 million.

And in the "even higher" category of 2+ million homes, the news is even more exciting. In the towns of Beverly, Gloucester, Hamilton, Manchester, Rockport, and Wenham, 20 properties priced at $2 million or higher have sold or been put Under Agreement since September 1, 2006!

Of these 40 transaction SIDES (there are two for each sale...the List Side and the Sale Side), Coldwell Banker has participated in 24. That's an incredible 60% market share held by Coldwell Banker for that time period. Our next closest competitor achieved only 12.5% market share during that period.

On an annual basis (1/1/2006 - 12/31/2006), Coldwell Banker's North Shore market share stands tall at 74% (see pie chart) in the over $2 million range, which begs the question, "Why would anyone in that price range even consider listing with any other company?"

The reason for our unrivaled success?

A lot of it naturally has to do with the success of our brand, but beyond that Coldwell Banker has the best trained agents in the industry and the resources to provide true cutting edge systems and processes designed to market our clients' homes to the widest possible audience. More buyers = more sales = better value for our clients.

Sometimes it's nice to have the "800 lb. gorilla" on your side, especially when it comes to marketing and selling an asset as valuable as your home.

Thinking of selling? You owe it to yourself to discover how our unique marketing system will help you achieve your real estate goals. You can call me direct to schedule a confidential interview and analysis of your property's value.

Regards,

Jay Burnham, VP
Coldwell Banker residential Brokerage
direct: 978-233-2828