#KeriTV - Getting “REAL” about real estate: Recent Episodes
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I'm happy to announce another successful closing! While all closings tend to be difficult in one way or another, this deal, in particular, was extremely competitive.
With multiple offers on the table, we had to resort to tried and tested negotiating tactics to get the winning offer. As mentioned in previous episodes, the Los Angeles real estate market is more competitive than ever with inventory so low and the amount of homebuyers high. That is why choosing an experienced realtor is more important than ever.
Luckily for me and my clients, we were able to win the deal on this #Venice, CA home. Take a look inside this beautiful Venice home we fought so hard to close!
Millennials are officially the nation’s largest generation. #Millennials have officially surpassed Baby Boomers as the nation’s largest living adult generation according to estimations from the U.S. Census Bureau. With these types of numbers, they have officially taken over the real estate market. Millennials not only have strength in numbers, but they also have strength in spending power. Millennials are currently aged roughly between 25 and 40 meaning they are in their prime homebuying years. They are also the most educated generation ever and creating lots of wealth. In terms of purchasing, millennials are currently making up 38% of the first-time homebuyer market. From every angle you look, millennials are taking over the real estate market. Watch this week’s episode of #KeriTV to learn all about the millennial generation and how they are impacting the real estate market!
It is always a good day when a deal gets finalized. It is even better when a deal gets finalized in the beautiful city of Redondo Beach, CA.
For those unfamiliar with the Redondo area, #RedondoBeach is a coastal city in the South Bay region of the Greater #LosAngeles area. It is one of three adjacent beach cities along the southern portion of Santa Monica Bay and is truly a great place to live.
Redondo has it all from good schools to restaurants, coffee shops, and parks. My clients could not have picked a better place to live, and I couldn’t be happier for them! @jeffsun @nansenses
Marina Del Rey is a community of 39,000 people on the West Side of #LosAngeles that is best known as the host to one of the world's largest man-made small craft harbors. The community is in close proximity to Venice, Playa Vista, and Westchester which I previously mentioned is one of Los Angeles' hottest new markets.
Now available on 113 Fleet St., is an amazing five level townhome. Words can't express how beautiful this #townhome is. From stunning rooftop sunsets to vaulted ceilings flooding with natural light, this townhome truly represents the best of #MarinaDelRey beach living.
Walk with me on this detailed property tour of 113 Fleet Street in Marina Del Rey, California! @craigkizek
Thank you @primemediastudio for helping me produce this fun video!
If you follow #KeriTV, you know I am good friends with health and wellness coach Tania Mack. The last time she appeared on #KeriTV she helped me cook up a healthy meal plan. This time around Tania is helping me cook some delicious Thai yellow curry. This simple Thai yellow curry recipe is perfect for individuals on the go as the recipe is intended to be completed within 30 minutes. Ingredients include vegetable broth, tofu, coconut milk, and more. Watch this full episode of #KeriTV to learn a step-by-step process on how to cook some delicious Thai yellow curry!
Not only do I love providing a behind-the-scenes look into my real estate deals, but I also love sharing my personal life moments with you as well. Despite a busy schedule and a pandemic, my husband and I recently managed to sneak in a trip to Las Vegas, Nevada. From a stay at the Encore Tower Suites to COVID-safe gambling, our trip was action-packed, to say the least. If you've been thinking about taking a trip to #Vegas, perhaps my trip will encourage you to take the plunge! @ericcrumbaker
With so much focus on the amenities that a home can provide for us, the needs of other members of the family often get ignored. Those members I'm specifically referring to our pets.
Pets are a huge part of many people's lives and yet we often ignore the needs of our pets. It is important to pet-proof your home so that they can live in a safe and happy place.
From your kitchen to your living room, there are many ways you can pet-proof your home. Watch this week's full episode of #KeriTV to learn the many ways you can pet-proof your home!
Selling your home can be difficult. What happens if nobody wants it? Will buyers meet me at my asking price? These are questions home sellers often ask themselves before listing. While home selling is different in every situation, there are certain actions you can take to make your home wanted which can lead to receiving multiple offers.
For this Culver City #home, we received an astounding 15 offers and provided over 90 showings. What actions did we take to make this home so popular and receive multiple offers? Watch this episode of #KeriTV to find out!
Santa Monica is one of the most desired places to live in all of Los Angeles County. The beach, shopping, and great weather are just some of the few conveniences #SantaMonica provides.
Now available on 900 Euclid St., is a beautiful property for those looking to call Santa Monica their #home. Restaurants, cafes, and 3rd Street Promenade are just a short walk away as this property is located in the prime Wilshire/Montana area of Santa Monica.
Walk with me on this detailed property tour of 900 Euclid Street in Santa Monica, #California! Thank you to @primemediastudio for helping showcase this stunning property!
The real estate market is extremely unpredictable. There are so many factors that may affect the real estate market from the motivation of sellers to presidential elections; real estate transactions can be tremendously unpredictable. That is why it is important to create predictability in an unpredictable environment. While there are so many things you can’t predict in a future real estate transaction, there are some things you can predict such as who you will be working with side-by-side in your upcoming real estate negotiations.
Watch this week’s throwback episode of #KeriTV to learn how to create predictability in an unpredictable environment, as we wrap up the 15 lessons I have learned in my 15 years in #realestate!
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Despite the ongoing pandemic, the #LosAngeles real estate market is red hot. Competition is as high as its ever been and prospective home buyers are having to face some serious competition during bidding wars. With so much competition, how do you get the winning bid? While there are never any guarantees, there are certain strategies you can implement that can help your offer stand out above the rest. This #KeriTV episode provides six tips and strategies that can help you get the winning bid on a home in this crazy Los Angeles real estate market!
The thought of tearing down your home and rebuilding it can be scary. Luckily, the real estate market is filled with professional services that can make daunting tasks become that much easier.
The homeowners at 1059 S. Plymouth decided to take on the challenging task of tearing down and rebuilding their home with new replacement builder service Thomas James Homes. In a matter of a few months, this home was entirely rebuilt not only making the home much more beautiful but increasing the property value as well.
If you are frightened of tearing down and rebuilding your home, the journey of 1058 S. Plymouth may put you more at ease.
Every day it seems like new services are introduced into the #realestate market. The latest service taking the Los Angeles real estate market by storm is Thomas James Homes.
For those unfamiliar, Thomas James Homes is a new home replacement builder service. Thomas James Homes clients can build on a lot they own, purchase a showcase home, or build on one of the lots Thomas James owns across the state of California. Thomas James Homes' luxury designs are truly revolutionizing new home construction.
Watch this week’s episode of #KeriTV for a sneak peek of a recent closing in collaboration with Thomas James Homes! Stay tuned for this Thursday's video to see the entire process!
As a home buyer or seller, you may come across a situation where you are involved in a multiple offer setting. So, what exactly happens when multiple home offers are submitted? As a realtor, I am involved in many multiple offer situations. I was recently involved in a multiple offer for a luxury condo in Century City. Four days after listing, we had received nine offers on the property. How are multiple offers handled? How is the winner selected? Watch this podcast of #KeriTV to find out!
The #LosAngeles real estate market is more competitive than ever. This is in part due to low inventory. Properties in Los Angeles are going quickly and usually over the asking price. If you're a buyer, you may be asking yourself...how can you compete? Luckily, there is a new trade-in program that is shaking up the real estate industry and can provide the competitive advantage you may need to purchase the new home you desire. If you are a buyer that is relying on selling your old home to purchase a new home, you no longer have to wait to sell it to buy your new home.
2020 taught us a lot about the Los Angeles housing market. To start off with the good, interest rates continued to decline last year and are still in decline as of today. To provide some perspective, interest rates were 3.7% in January 2020 and are currently 2.7% in January 2021. Remember that a low interest rate environment is great for homeowners because it reduces your monthly mortgage payment.
The not so good is that Los Angeles is currently in a housing crisis. What does this mean? It means there are more people than available housing.
Watch this week’s full episode of #KeriTV to learn more about the current Los Angeles housing crisis!
We just completed another closing amidst the coronavirus pandemic in Los Angeles. This time, the transaction took place in the booming Jefferson Park area near University of Southern California (USC). The home is actually located in a HPOZ which is a Historic Preservation Overlay Zone. HPOZs are designed to keep the area's historical culture. After some back and forth, we managed to get a price reduction of $870,000 plus a credit in a highly competitive market which is quite the feat. At a time when home demand is increasing and supply is declining in Los Angeles, it is safe to say these buyers managed to get quite the baragin. Watch this week's full episode of #KeriTV to learn how we managed to get these clients an amazing deal and take an inside look of this beautiful #LosAngeles home in #JeffersonPark!
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The Los Angeles real estate market is experiencing massive growth and beginning to hit pre-covid numbers. On the Westside alone, we just had our largest number of new listings hit the market for single family homes with a total of 43 new listings and 39 new condo listings. The number of properties currently in escrow has also increased more than it has in the past three months totaling 21 properties. It is safe to say, the #LosAngeles real estate market is alive and well despite the pandemic. #California as a whole is also experiencing unprecedented growth in showing activity going up 56% in comparison to July of 2019. For individuals that were hesitant to buy or sell during the COVID-19 pandemic, the real estate market is alive and well. To learn the latest real estate market updates happening in Los Angeles and California, watch this week's full episode of #KeriTV!
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The #quarantine lockdown has changed the way the real estate market conducts business. From virtual tours to electronic offers, Californians have had to quickly adapt to the stay-at-home quarantine mandate as a result of COVID-19. But with recent talks of a “new normal”, there is no telling when things will go back to the way things were pre-coronavirus if in fact they ever do.
The following methods and practices are the type of things we are currently doing to make sure we are adhering to state and county guidelines during quarantine. For buyers, face-to-face consultations have changed to video consultations via Zoom, Google Chat, Facebook, or whatever your preferred video meeting software is. For sellers, virtual tours have replaced physical in-person open houses.
To learn more on how you can buy and sell properties during quarantine, watch this week’s full episode of #KeriTV!
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Buying or selling a home can be stressful - add in a global pandemic, and you’ve reached a whole new level of stress. From stay-at-home orders to virtual home tours and inspections, real estate transactions are not what they were just a few short months ago.
There is a “new normal” when it comes to real estate transactions and to get through yours successfully you need an agent with experience economy.
What IS experience economy? Find out today on an all new episode of #KeriTV!
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There is no denying the #coronviruspandemic took a toll on the real estate market. By mid February, buyers and sellers began to pull back as the uncertainty of the coronavirus began to make headlines. Fast forward two months and you see that predictions of a slow down (but not a crash) are coming into fruition. While sellers are taking a step back from the market, we are seeing there is no slow down in what buyers are doing.
ShowingTime is the real estate industry's leading showing management and market stats technology provider. ShowingTime stats for March 9th reveal showings went down by 70%. Two weeks ago, the showings were only down 27%. The #realestatemarket is definitely picking up proving amid quarantine there is still an ability to buy and sell. For more statistics and information on the status of the current real estate market, watch this week's full episode of #KeriTV!
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This closing was unique in many ways. This beautiful home located in Sherman Oaks, CA is one of the famous "Birdhouse" homes designed by William Mellenthin. We opened escrow for this home on the day the stock market crashed amidst the news of closures all across the nation due to the coronavirus pandemic. From appraisal renegotiation to loans not being approved, my client and I experienced every possible hiccup in the attempt to purchase this home.
But despite all the stress and roller coaster ride, the deal was officially closed. Watch this week's full episode of #KeriTV to learn how closings can still happen amidst the #coronavirus pandemic!
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With everything going on, many of you may be wondering whether we are heading towards another Great Recession as we experienced in 2008. While indeed a recession seems very imminent, things are a bit different today compared to the 2008 crash in regards to the housing market. While many people are speculating what will happen to the housing market, I did some research to compare what is happening today as to what happened in 2008.
For starters, the housing inventory available today in 2020 is much different compared to the inventory that was available in 2008. As of today, in Los Angeles, we are sitting at 1-3 months’ supply of inventory available for home buyers. During the 2008 recession, we had a 13 months’ supply. As you can tell, things are much different today as opposed to the 2008 housing market crash in terms of inventory. To learn more about key differences in today’s market compared to the 2008 crash, watch this week’s full episode of #KeriTV.
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If recent real estate trends have taught us anything, it’s that even amongst pandemic, real estate is STILL essential. Yes, inventory is tight. Yes, there is a fairly high buyer demand, BUT, the Los Angeles real estate market IS moving. Homes are being bought and sold with new listings each week, and we're also seeing less homes being taken off the market overall for both single-family homes and condos.
Where will the real estate market take us in quarter 2 and 3? Tune into today’s full episode of #KeriTV for a full market report and expert predictions.
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Meditation. Exercise. Diet. Sleep. Four things we ALL need to incorporate in our day-to-day lives to stay positive, collected and centered. Especially as we enter week five of #quarantine! Have you taken your MEDS today? Watch today's full episode of #KeriTV to learn more.
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The recent coronavirus pandemic has given birth to tons of fake news. From rumors, to social media, the spread of misinformation has been as rampant as never before. It is now more important than ever for individuals to stay well informed on factual information especially on topics that can have a very big impact on people’s lives. One of these topics is the latest eviction ban and rent/mortgage forgiveness laws. Many individuals are receiving false information in regards to this topic, so I am here to provide the truth about the latest California ordinance.
To start, the eviction ban states landlords must not evict residential tenants who are unable to pay rent because of loss of income from work, childcare costs related to school closures, healthcare costs, or “reasonable expenditures” related to COVID-19. In terms of actual rent/mortgage payments, you will still have to pay those, even if not at the moment. Watch this week’s full episode of #KeriTV to learn the truth about the latest #evictionban and rent/mortgage forgiveness ordinance!
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The California Real Estate Market continues to move despite the coronavirus outbreak. Since being announced as an essential service by The California Association of Realtors, we’ve seen more new properties on the market each week under new “safer at home” conditions, new contracts, and new opportunities for those who have the need to move, now!
Tune in to today’s episode of #KeriTV for a complete real estate market update of the Los Angeles area amidst the coronavirus pandemic.
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As quarantine goes on, the financial hardships continue to mount. Fortunately, congress just passed the CARES Act into law which will provide some relief to small businesses that are in desperate need at the moment. Under the new CARES (Coronavirus Aid, Relief and Economic Security) Act, businesses may be eligible to apply for two separate loans. One of these loans is 100% forgivable if it’s used for its intended purpose, and the other loan includes a $10,000 component that is intended to be forgivable in full as well! These loan programs are intended for small businesses with less than 500 employees. The first loan program available under the CARES Act is the Paycheck Protection Program (PPP). This loan is intended to cover short term payroll obligations and other approved expenses. The second loan program is the Economic Injury Disaster Loan (EIDL). This loan advance will provide up to $10,000 of economic relief to small businesses that are experiencing temporary difficulties due to the coronavirus pandemic. Watch this week's full episode of #KeriTV to learn more about the CARES Act and #PPP and #EIDL loan programs. Don't forget to learn more and apply for these program at: https://www.sba.gov/funding-programs/... To learn more about me and view my listings, connect with me on social!
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Finding and maintaining a work-life balance is the key to staying sane while under quarantine. For me that means having dedicated “working hours” as well as dedicated “entertainment hours.” Which leads me to the question… What's everyone doing to keep entertained?
Movies are high on the entertainment list for a lot of us, but, with so many movies to choose from, how do you decide? In this episode of the #KeriTV Quarantine Diaries I’m diving into some of my top 5 favorite movies in two different genres. Some of which just might surprise you. 😉
Which of these flicks will you be watching this weekend?
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This past weekend, residential real estate sales were added to the list of essential services from the U.S. Department of Homeland Security Cybersecurity and Infrastructure Security Agency. The California Association of Realtors announced Saturday, March 28, that commercial and residential real estate services were now part of the essential business services list. While this is definitely great news for the California real estate market, the coronavirus outbreak continues to negatively impact the market.
Recent data shows listings are detrimentally being impacted in the Los Angeles area with the ongoing coronavirus news. For an updated list of Los Angeles listings data and a real estate market update amidst the coronavirus pandemic, watch this week’s full episode of #KeriTV.
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It is now officially week two of the coronavirus #quarantine here in Los Angeles, CA. Despite the fact many businesses and markets have been shut down, the real estate market continues to move. Things such as virtual tours and the Matterport 3D walking tours have allowed buyers and sellers to continue to buy and sell while practicing safe distancing procedures and following local regulations. As of today, prices are still pretty strong but expect to see a dip in the coming days due to the ongoing #coronavirus news.
If you are a buyer trying to get a deal, the coming weeks would be a great time to make it happen. Sellers will be ready to unload and as a buyer, you should be ready to buy. Watch this week’s full episode of #KeriTV to learn the latest coronavirus (COVID-19) real estate market update.
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The coronavirus (COVID-19) has officially been declared a global pandemic by the World Health Organization (WHO). What was once a virus that was only affecting individuals in China has now become a global crisis. As the coronavirus continues to spread across the world, the fear and panic is beginning to affect several industries including the real estate market. Global events impact the real estate market and the latest coronavirus pandemic is no different.
Just how much is the coronavirus affecting the real estate market? As of today, not much. While the coronavirus will surely impact the real estate market, the effect will most likely be small and brief. Mansion Global has reported that approximately 20% of home buyers are indeed holding off from any real estate transactions due to the coronavirus news, but the remaining 80% are still moving forward and have not been affected with their purchase decisions. Amidst the coronavirus chaos, the #realestate market is still moving.
Watch this week’s full episode of KeriTV to learn how the #coronavirus is impacting the real estate market!
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Structuring your offer to purchase a home can be quite complex. While everybody loves a bargain, trying to lowball the seller can actually backfire and cause you to eventually lose the deal on a home you really wanted. With the recent closing of 12329 Gorham in Brentwood, we structured the offer in such a way that the seller would be enticed, and the result was the winning offer.
The West Side real estate market in Los Angeles is very competitive. As soon as we submitted an offer for the client, overnight another offer came in. Nonetheless, due to the fact we structured our offer really well, we managed to close the deal. Watch this week’s full episode of KeriTV as Tony Barsocchini and me, provide insight on how to structure your offer when buying a home.
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For those unaware, California is currently experiencing a major housing crisis. California’s severe housing shortage is driving up rents, which as a result is leaving many lower to middle-income families struggling to stay in neighborhoods they once could afford. For the 7th year in a row, more people left California than moved in and expect the same for the year 2020. Unfortunately, the crisis will only continue to get worse for the foreseeable future.
Nonetheless, knowing exactly what caused the crisis and becoming fully aware it exists, can help us deal with the crisis if it ever knocks on our front door. Watch this week’s full episode of #KeriTV to learn everything you need to know about the California housing crisis in 2020.
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Selling your home is not an easy process and neither is going through a divorce. When you combine both events and you must sell your home while going through a divorce, it can be an overwhelming and difficult experience. While nothing can make such a difficult process enjoyable, there are a few things you can do to make it easier.
A divorce usually results because two individuals don’t see eye to eye. Nonetheless, selling a home involves having to see eye to eye on a lot of things and that is why it is important to establish a common goal in which all parties involved get the most out of the situation. Watch this week’s full episode of #KeriTV to learn some simple tips that can help the process of selling your home while going through a divorce much easier.
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The real estate market is extremely unpredictable. There are so many factors that may affect the real estate market from the motivation of sellers to presidential elections; real estate transactions can be tremendously unpredictable. That is why it is important to create predictability in an unpredictable environment. While there are so many things you can’t predict in a future real estate transaction, there are some things you can predict such as who you will be working with side-by-side in your upcoming real estate negotiations.
Watch this week’s full episode of KeriTV to learn how to create predictability in an unpredictable environment, as we wrap up the 15 lessons I have learned in my 15 years in real estate!
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Due to the evolution of the internet and social media, there are many myths out there as to the buying and selling of your home. While there is a lot of great information now available thanks to the internet, there is also a lot of false information making its way to readers. One big myth floating around is that you do not need to hire a real estate professional when buying or selling your home. While it is true that by not hiring an agent you save the commission that would be paid to them, in the end you actually LOSE more money by not hiring one.
There are many things a great real estate agent knows and can achieve that the inexperienced buyer or seller does not know or simply can’t do. Check out this week’s full episode of KeriTV to learn why hiring a great real estate agent can actually help you save or get you more money than by doing things all on your own.
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I was recently a guest on the @PursuingFreedomOfficial podcast with the lovely Erin Bradley. Tune in as we chat about my real estate journey so far, daily disciplines that can help you in your business, and why I think real estate coaching is an absolute MUST! 👌🏻
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For those of you familiar with the Los Angeles real estate market, we all know Santa Monica is not the most affordable place to live. As a matter of fact, it is among the most expensive areas in Los Angeles. So when I received a referral who was looking for a 3 bedroom home or 2 bedroom 2 bath loft in Santa Monica for under one million dollars, I thought it would take quite some time (if ever) to find such a deal. So when a property to their preference actually became available, it was an unexpected surprise but I knew we had to jump on that property despite the buyers not being fully ready to make the purchase.
Find out the full story of how these buyers were able to receive such a bargain in Santa Monica and why it is important to be in the right frame of mind when you are looking to purchase a home on this week’s episode of KeriTV!
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I have been lucky to have been a part of many deals in my 15 year real estate career. Yet one of the top three most challenging deals of my career happened just a few weeks ago. Dealing with a sale contingency is difficult enough, but having to deal with TWO seller contingencies in one single transaction was quite the mission.
For those unfamiliar with seller contingencies, a home sale contingency is one type of possibility clause included in a real estate deal contract. With a home sale contingency in place, the transaction is dependent/contingent upon the sale of the buyer’s home. If the buyer’s house sells by the specified date, the deal moves forward but if it doesn’t sell by the specified date…the contract is terminated. Find out the details of one of the most challenging deals of my career and why it’s important to work with someone who is experienced with seller contingencies on this week’s episode of #KeriTV!
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For those that don’t know, mortgage pre-approval is basically a promise from a lender that you're qualified to borrow up to a certain amount of money at a specific interest rate, subject to a property appraisal among other requirements. If you are looking to purchase a property, getting pre-approved is one of the best steps you can take to make a worthy offer for the home you are seeking. In Los Angeles, many sellers will only take offers seriously from individuals who are pre-approved due to the nature of the real estate market in Los Angeles County.
Many individuals hold many false narratives regarding the pre-approval process, but we are here to break some of those on this week’s episode of KeriTV. In this week’s episode, I will also be talking about fast track lending and why it is extremely beneficial to have your fast track mortgage ready to show sellers you are a buyer who is ready to do business!
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Home ownership is one of the best ways to build wealth. According to the US Census Bureau, the median net worth of homeowners is 80 times larger than renters. There is no better example of this than the recent family I worked with that recently purchased a home in the Westchester area of Los Angeles. Not only did this family move into their dream home, but they also managed to make over 300% return on initial investment all while experiencing two recessions. If this isn’t an example of how to build wealth, then I don’t know what is.
So how did this couple manage to do this? Watch this week’s full episode of KeriTV to find out and learn how you can possibly replicate their success!
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Real estate transactions are not easy. During a real estate transaction, there are many forces that can work against you to prevent the deal from getting done and one of those forces is time. In terms of pace, escrow is like a sprint and not a marathon. Escrow moves fast and the faster you move, the sooner the deal gets done.
In order to beat time during escrow, you must be focused and follow the timelines as well as work with good people. Watch this week’s full episode of #KeriTV to learn what you can do to defeat time during escrow and get to the finish line by the scheduled date.
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If you've been looking to buy or start your search for a home in Los Angeles, you'll want to ensure you are listening to what the headlines really mean. With the start of the new year and decade, many of you may be wondering if 2020 is a good year for you to purchase or sell a home in Los Angeles, California. Every year, the major banks and real estate players such as Fannie Mae, Freddie Mac, CoreLogic, and Goldman Sachs make annual market predictions. After taking a look at all the major real estate players’ predictions and forecasts, I have developed a housing market forecast for 2020 in the Los Angeles area to help you decide what is best for you and your housing goals this year.
The Los Angeles real estate housing market is very unique compared to the rest of the country, so its best to stay up to date to find out what is happening in the #LosAngeles area. Watch this week’s full episode of KeriTV to get a full Los Angeles housing market forecast for 2020 and see the major changes happening in the real estate market this year!
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With the start of the new year and decade, many of you may be wondering if 2020 is a good year for you to purchase or sell a home. Every year, the major banks and real estate players such as Fannie Mae, Freddie Mac, CoreLogic, and Goldman Sachs make annual market predictions. After taking a look at all the major real estate players’ predictions and forecasts, I have developed a housing market forecast for 2020 to help you decide what is best for you and your housing goals this year.
In summary, 2020 will be very similar to 2019 with a few key differences. There will be more inventory and prices will change. Watch this week’s full episode of KeriTV to get a full California housing market forecast for 2020 and see the major changes happening in the real estate market this year!
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2019 was an amazing year. It was my wedding year and also a very fulfilling year for my professional career. To be able to top off the year in the Maldives for my honeymoon is something I will never forget. During my time in the Maldives I had an opportunity to recharge and reflect. One of the important things I realized on my honeymoon is the importance of letting yourself be present. I know, I know, easier said than done, right? WRONG! It CAN be done! It all starts with taking care of your clients and tying up loose ends before you hit vacay mode. We work ourselves into the ground 24/7 all year long that letting yourself detach and relax is not only refreshing, but a necessity. It allows us to recharge and come back to our work life with newfound energy, excitement, and ideas.
Take a sneak peek look at my Honeymoon trip and reflections I discovered during my unforgettable travels.
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As 2019 comes to a close, it brings on a time to reflect on all the things that were experienced and accomplished throughout the year. One of the highlights of my year was having the opportunity to help 40 families either buy, sell, or rent properties in 2019. Real estate is not only my career, but also my passion and nothing brings me more joy than helping individuals find a place they call home. As part of my resolution for 2020, next year I would like to help serve 50 different families and continue to try and be a positive influence in the real estate community. Thank you for everybody that has tuned into #KeriTV and expect greater things from the Keri White team in 2020. CHEERS!
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Are you currently in the market to buy or sell this December? With Holiday season upon us there is no better gift I can give to you all, than the gift of knowledge! This week's episode I am here to dispel The Myth of The Holiday, and why so many people are told this is a bad time of year to buy or sell. Tune in to hear my insight into the current market and necessary tips to get you through this season!
If you enjoyed this video, subscribe to my channel and stay in the know about the LA real estate market.
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Getting your home show ready can make a big difference when selling your home. Putting in the proper time and effort into home staging and nailing the pre-listing presentation can make all the difference during escrow and even your wallet.
For this townhouse that we sold in Sherman Oaks, we were able to get more money than other similar properties in the same complex. While other properties were selling for $630,000 and $620,000 we were able to sell for $659,000 for this home seller. Watch to see how you can get more money when selling your home with a pre-listing presentation on this week’s episode of KeriTV.
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I was recently referred to international buyers from Amsterdam who wanted to relocate to Los Angeles for a job transfer. They would be in town for only four days to look at properties and were hoping to find something they could move in to by the end of the four days. The buyers had a couple of requirements such as price point, area, walkability, and they wanted a condo.
With such a big task in front of us and with only a few days to achieve it, we got to work as soon as they arrived and started to look at properties in the West Hollywood and Beverly Hills areas. With no luck in those areas, we eventually found the perfect condo in Studio City. Watch to see the full episode of this crunch time condo search and how we found the condo they were looking for!
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Trust is important in any relationship, so why should the relationship between you and your real estate agent be any different? Buying/selling a home is a life-changing event so the person representing you and your property should be someone you absolutely trust.
Why is trust so important between you and your real estate agent? Because there are many things that happen unbeknownst to the buyer/seller during a transaction that the agent must act upon. Big decisions need to be made so it is best you are being advised by an agent you trust and not someone that is there to simply get the job done. Watch this week’s full episode of #KeriTV to learn why you must choose a real estate agent you absolutely trust!
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Sometimes you find the home of your dreams during an unexpected time. It can happen one day while you’re randomly walking down the street or you can discover it a few hours before your booked flight out of the country. Whatever the case may be, sometimes submitting an offer for a home just cannot wait….even if you are leaving the country.
At times, vacations and travel plans cannot be rescheduled nonetheless the show must go on if you want to purchase a home you really want. While it is not easy, you can indeed be in and get through escrow while you are traveling. Watch this week’s full episode of KeriTV to learn everything you need to know about traveling while in escrow.
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Thanksgiving is a time to be grateful for ALL of the people we have in our lives, as well as all of the lessons we’ve learned and the things we’ve accomplished. Today, and every day, I hope you can take some time out of your day to acknowledge the things that you are grateful for! In this Thanksgiving Special Edition of #KeriTV, I’m going through the 7 things I am most grateful for - and I’d love to know YOUR top 7!
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Homes that have been on the market for a long time usually have a negative stigma around them. Most buyers believe, if a home has been on the market for a long time it is simply due to the fact that the home has something wrong with it. This is not always the case as proven by the latest sale at 1020 Wilson Place, Santa Monica, CA.
This home just closed for $1,297,000 which is lower than the cost of most condos around the Santa Monica area. Just because the home was sold at a low price, it didn’t mean there was anything wrong with it. Upon inspection, the home turned out to be in great shape! Watch my immediate reaction as we close a great deal in Santa Monica, CA.
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For those of you unfamiliar with home staging, it is the act of preparing your home for sale in the real estate marketplace. The objective of home staging is to make your home look more appealing to potential buyers, thereby selling a property more quickly and potentially for more money. Home staging techniques focus on improving a property's appearance by turning it into an attractive property that home buyers want.
While home staging may sound easy and something you can do yourself, there are actual ‘home stagers’ that do this for a living. Find out all of the reasons why I recommend hiring a home stager and why home staging is a must if you are selling your home on this week’s episode of KeriTV.
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Real estate negotiations can be quite complicated. One thing that is rarely talked about when negotiating a deal is personal property. Does the microwave have to stay when you’re selling your home? Can wall paintings be taken with you? These types of items fall under the ‘personal property’ category and can end up playing a part in the negotiation.
Believe it or not, transactions have fallen apart over items that are considered #personalproperty. That is why it is important to know what is considered personal property and what is an attached fixture. Also, with the changing times and technology advancing, things such as solar panels and televisions are now also coming into play in the personal property segment of negotiations. Learn everything there is to know about personal property when buying/selling a home on this week’s episode of KeriTV!
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Closing real estate deals around Los Angeles is always a great feeling, but closing in historic neighborhoods such as Hancock Park are always a little more exciting. For those that don’t know, the Hancock Park neighborhood has a rich history dating all the way back 100 years. Movie stars including Mae West, Ava Gardner and Clark Gable made the neighborhood a hot spot in Hollywood’s Golden Age.
The house located on 1059 South Plymouth was just sold for $900,000. The buyers are going to be redeveloping the property and selling it for 2.5 million in approximately 8 months. For individuals looking to move into the central part of Los Angeles, keep an eye out for 1059 Plymouth. Watch my immediate reaction moments after closing a deal in historic Hancock Park on this week's episode of KeriTV!
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Hey everyone, it’s Keri TV. Fifteen Lessons in Fifteen Years. Make sure you subscribe to this YouTube channel. It is all the ends, outs, ups and downs in real estate and what I’ve learned in fifteen years of selling real estate in Los Angeles. Yup. It’s been fifteen years. Stay tuned for lesson number seven today.
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Alright. Last week we talked about lesson number six, which was about staying calm and bringing your Zen into the transaction. Have a plan. Today’s lesson number seven for fifteen years in real estate is about negotiation. Real estate’s a negotiation, right? Of course. What people may not realize is, once you get into a transaction, you’re just starting the negotiation. There are approximately twenty-five times during a transaction that you’re renegotiating. Not only do you start from the very get-go, negotiating when you can see a house, you start negotiating the price and the terms. Then you get into escrow and start negotiating all over again.
One of the biggest lessons I’ve learned, which is why this is lesson number seven, is that real estate is a huge negotiation. You spend the entire transaction, as somebody once said to me, walking down the hallway and both sides are trying to jump out. They don’t like this. They don’t like that. They want it this way. They want it that way. They want this price. They want this time frame. They want this to be included or not included. Et cetera. You’re trying the whole time to keep everybody in line and happy marching down the same path.
What are these types of negotiations that come up? Say you write an offer on a house and somebody else gets the house. You’re not the first buyer in position. You’re off looking at other houses. All of a sudden, you get a call. Hey, that buyer backed out. You’re like, oh, okay. Now the seller is doing a new renegotiation on the house they had already negotiated, and the buyer’s in a new position too because they didn’t do the first round of negotiations. There we go. Once you get into escrow, you then start negotiating everything under the sun from when we’re doing inspections, which inspections we’re using, and which inspectors we’re using. When you have a request for repairs, which I’ve talked about before, you’ve got two parties that come in. You’ve got all the contractors and vendors that are offering quotes, so you have to start negotiating with all these different people. What’s on their quote? Why is their chimney ten thousand and this chimney’s only two thousand? How come this person says the HVAC needs two thousand dollars’ worth of work? How come this person says that the air filter is only a twenty-five dollar fix to fix this, and not two thousand? What happens when you need more time on a contingency? You’re negotiating to see if you can get more days for the physical, but you can release the appraisal. We can deal with the request for repairs as long as we have more time on the closing.
Negotiation is the world of real estate. This isn’t “Million Dollar Listing”. Of course, our company has done that show. I love that show. It’s calling back. Okay, I’ll do it for this. This is my bottom line. Of course that’s important. That’s the nuts and bolts of the price of the transaction, but the negotiation goes into the actual dance of the deal. The people moving through. You want it to be a beautiful performance, and a lot of times, it’s a little chaotic. We’ve got people who are not calm – lesson number six, people who are not organized – future lesson, people with big egos – might’ve been lesson number one? The whole point is, get ready, when you’re in a deal, to negotiate. It’s like everything in life. You try to negotiate to get to the front of the line in the club, like my friend Megan. You try to negotiate to get onto the boat. That’s the VIP boat when you’re in Croatia. Your whole life is full of negotiations, even when we’re going out to dinner. Eric wants El Cholo. I may want Fig. It’s all a negotiation, right? Your life is full of negotiations.
Whether you’re in a real estate transaction or not, you have to know the ins and outs of getting through and what’s important to you. Staying calm, knowing once you get into a deal, and staying positive, because you never know if your offer is going to be the backup and chosen. You never know what findings you’re going to get and having to negotiate what works for you and what doesn’t. Do you want credits or not? Negotiate the time frames. What if something comes up and you need to lease back from the buyer if you’re the seller? Renegotiating that. Renegotiating close dates. What happens if you do need more time and you want to charge the buyer a fee per diem? It’s a whole world of negotiations.
My lesson today is talking about the negotiations that happened during the deal, what to be prepared for, and to be ready to suit up once you find a house or sell your house. Get going with your team. As I always say, it’s all about the team, the vendors, and the specialists. Know that real estate is just a big negotiation. Stay calm. Stay positive. It will work out the way it’s supposed to. We usually always have happy buyers and happy sellers. That is our goal.
That’s Keri TV for today. Lesson number seven about negotiation. Next week I’m going to do lesson number eight – we’re already at eight, woo! I would do some math on how many more lessons we have. Nope, I can’t do math right now. That is lesson number seven on negotiations. Lesson number eight, out of fifteen years in real estate, is going to be about personal property. What stays, what goes, and what we’ve learned the hard way about personal property and how it relates to you selling a house or buying and moving in.
Thank you for staying tuned each week and don’t forget to subscribe to all the latest and greatest of Keri TV, which is all about buying and selling real estate in beautiful sunny Los Angeles. Cheers guys. Thanks for staying tuned.
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Hey everyone, it’s Keri TV. Does the thought of buying or selling a home scare the – ooo! – emoji symbol out of you? Are you totally freaked out by the idea or the process? Well, stay tuned for lesson number six today about staying calm.
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Alright. We’re here with our Fifteen Lessons in Fifteen Years of Real Estate. Today is lesson number six. Last week was lesson number five. Real estate is a big jungle. It’s a big zoo of crazy people. I hope you got to take a look at that one. Today, lesson number six is about staying calm. Does the idea and the thought of buying or selling a home, selling your current home, buying a new home, or buying an investment property scare the living daylights out of you? You’re like, how in the heck does that happen? What is the process? What do I need to do?
Well, in these fifteen years, I’ve learned that staying calm – and thank you, Dave White, for that lesson many, many years ago when I first started – is the key ingredient to getting through this process with sanity. Now, staying calm is not the easiest. Buying or selling is a business transaction, yes. Your head is laying there at night. Yes, you’re making memories there. Important thing are happening. Think about all the things that have happened in your household with family members, boyfriends, husbands, and children. I mean, I might get emotional just thinking about it. That’s your life. That’s you’re everything, usually. When it comes down to buy or sell and make a transition, it’s hectic. Think about how emotional it is just, I mean, sometimes I get emotional at CVS when I’m not sure what candy I need to buy. Buying a car and buying plane tickets are all such an emotional process. Staying calm, having a plan, and staying in clear communication is key. There’s so much involved when it comes time to start looking for a house or selling your house.
As a buyer, if you’re out looking, you need to have a good agent with you to talk to you about how the process works. You get a plan and you work, step by step. If you just get out there in a car and start going to look at houses, you may end up in a situation where you’re at a house that’s not really the right house for you. You may miss out on a great house you like. You may not have your finances in order to make a decision when you want. When you work with an agent, they can guide you through the exact process and hit the checklist of all the important points you need when you’re starting to look for a house. Now, even with that process of what to expect – ha-ha – there’s always the unexpected. You’ve got your game plan. You’ve sat down with your agent. Remind yourself, I’m going to stay calm. When you’re out there looking, you may be seeing houses that you think, oh this is great. Maybe I like too many places. Is this the right purchase? Am I making a decision too quickly? If you’ve got trusted advisors on your side, they can help talk you through.
The only person that’s going to be able to make that decision is of course you. I always tell people to sleep on it. I love to sleep on things because I have a clear head in the morning. I’m a morning person, as most of you know. I love a fresh day, a fresh start, and a fresh look on things. When the unexpected happens during these transactions or during the process of looking, you need to learn to stay calm. Have a positive mindset, which of course is cliché. Know that you’re going to get a ton of stuff coming at you during this entire process. Looking at the plan, working with your trusted advisors, and having bulletproof communication is going to help you get through that process with a little more of a clear head.
Now on the selling side, it’s the same type of thing. Oh my god, I’m putting my home on the market. Strangers are coming into my home. What are they going to think? What’s the timeline like? Talk about taking things personally. Someone comes into your home and they’re not interested. What if somebody just comes in and walks right out? You may want to throw your shoe at them as they’re walking out the door, right? Well, taking things personally is also part of staying calm. It’s the same with the selling side. When you’ve got your property ready to put on the market, you get into good communication with your agent, you go through a plan, you go through a process, you work the steps to make sure it works for you, your family, and whoever’s involved, and then when you put it into place, you know to expect the unexpected. Things will happen. Things will pop up. No matter how much you’ve planned and how calm you’re staying, you cannot control other people’s reactions. You can’t control who’s going to buy it. You can’t control the market. You can’t control the property you’re going to buy. Just know that all you can do is stay in consistent, clear, and bulletproof communication with your agent and the people involved, whether you’re on the buying side or the selling side.
The other important part of this is the agent. Your agent needs to be the sane one. It doesn’t matter if they’re a little insane on the other side of real estate, but when it comes to your transaction, they have to be the one that’s level-headed and keeping you in the game. Some of the ways I stay calm, if you follow me, you know I’m an avid morning mindset person. I always take an hour to myself in the morning with no phone and no nothing. I do a lot of breathing exercises. I like to listen to my meditations. I like to listen to things that are positive. I do not watch the news because they’re all a bunch of nutso’s out there. I hang around with the people that I love and care about and show me that they love and care about me. In keeping my calmness and my sanity, I’m able to help my clients out. My clients go postal and go nuts, you know? I let them do it. I’m their punching bag. That’s fine. As long as I can get home and have a glass of wine or a bottle of champagne – totally kidding – it makes all the difference in the world.
Buying and selling can be a really scary process, but when you’re working with the right people, stay calm. Lesson number six is everything. Lesson number seven is next week for Fifteen Lessons. Stay tuned, because we’re going to talk a little bit about the negotiation process and what I’ve learned in fifteen years of negotiating. Stay tuned.
Thanks for watching Keri TV. Make sure you subscribe to the link below in case you missed the Instagram or the Facebook updates. You’ll get notified on YouTube. Cheers guys. Stay tuned and we’ll see you next week.
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Hey everyone! It’s Keri TV. Today I’m bringing you a special episode from the Fairmont Hotel, because I’m currently living here with my husband because of a water leak. I want to talk to you today about the importance of insurance. Stay tuned. Personal experience.
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Alright. When you buy a home, the lender requires that you have home insurance. There’s not really a way to get around this. I’ve seen it slip through the cracks a few times, but when you’re in escrow, they have your insurance information upfront. It goes through your closing costs. The lender makes sure that you have it. Now, if you’re buying a cash deal, you may not sometimes get insurance. This is my PSA, public service announcement, that everybody living in a home, renting or as a purchase, needs to have insurance.
I’ll tell you my little story. Our AC head leaked. It leaked through the wall. What happened was behind the closet, so it was an area we don’t see normally. A long back wall. It had leaked all the way along the carpet. It had started bubbling with black mold. Now, our place is only ten months old and I am an absolute neat freak, so I see every corner and every inch. Sometimes, when there’s a water leak and it happens in a place where you don’t access a lot, you don’t see it. Living in an environment with any type of mold is obviously not good for your health. Of course, right away, we left the property and they started working on things.
What’s so important about insurance is that, when you have insurance – and I’m not even sure if it’s good insurance, bad insurance, or if all insurance is good – but I know that Brittany Cook is the best insurance rep with Allstate. If you need good insurance, that’s who I recommend. They immediately took care of the claim. There was a limit of thirty-five thousand dollars for water damage and five thousand for mold. They take care of hotel stays, cleaning up any equipment used, any damage that happened, anything and everything, no questions asked. Within the first two days, they already had money wired into our accounts. I was trying to find the best deals on hotels in the area, which of course, September in Santa Monica, is not a very low season. It’s still summertime around here. The hotel options were basically all around four hundred, five hundred, and six hundred a night. Now, I’m on the phone with the rep saying, oh, I’m trying to find the cheapest hotels possible. She’s like, you don’t have to do that. You can stay wherever you want that’s comparable. You’re living in a nice place. You can stay in a nice hotel. When I found that out, after hopping between three or four hotels, I checked myself into the Fairmont, the hotel where we got married at. It’s fabulous, yes. Hotel living is fun. When you’re trying to get your car out of valet and get to appointments, it changes things a little bit.
The whole point is, whether you’re a renter or a homeowner, without insurance, where would we have gone? Would we just have been out of pocket? If you’re thinking four or five hundred a night for hotels, and you’re out two weeks, that’s a lot of money. All the money towards dry cleaning, the clothes that were ruined, the furniture, and replacement of the carpet.
Now, when it comes to water and mold, water is my favorite thing on the planet. If you know me, you know I always have a bottle of water with me. Water can be the most damaging thing to a property. If there is a leak, it’s one thing. Water can cause some damage with the flooding, furniture, and flooring. It also, when there is mold, becomes an even bigger issue, because mold needs to be remediated. Now, if you’ve got a crappy landlord or you’re not really sure what you’re doing, some people think you can just bleach out the mold, cover up the leak in the hole, and you’re all good. Sure, with time, mold dries and it’s not as dangerous to your health. Old mold is old mold. Current active mold needs to be remediated. This is a special company that comes in. They remediate all the mold. I don’t even know what remediate means, but we do it a lot in my requests for repairs. They rip out all the base boards, all the walls, all the floor, and anything that can be affected by the mold. Mold grows. When mold is taken out of one place, it tries to find somewhere else to live. You want to kill all possible places for the mold.
Now, this usually takes a week or two. Everything is pulled apart, which means everything has to go back together, which means you need to have everything in your house covered. You need plastic covering up your bed and your couch. You need to make sure that when you open up another hole, that there’s not mold that grows out that hole. The importance of working with the right people and making sure that you have good insurance and are covered, your insurance will cover you for your living expenses, meal expenses, and anything that’s damaged. They’ll cover you for materials, labor, and all of the above. If you don’t have home insurance, make sure you have it. If you have it, make sure your liabilities, your limits, are in a good place. Don’t ever underestimate the value of great insurance. When you need it, they will take care of you. You’ll be on your bootie if you don’t have good insurance in these situations.
That is my personal story, a public service announcement, on why home insurance is so important. Sometimes, living through things on the personal side makes it a little more relevant to talk about. I don’t want anyone else to be in a situation where they don’t have a place to live and they’re in an unsafe environment because of things that happened. You can’t control things like water leaks, fires, or theft. Even if your property is in good condition or newer, there are things that happen outside of our control. That’s why insurance exists. Insurance fan, over here.
That is today’s episode of Keri TV on why insurance is so important. Thank you to the Fairmont for our fabulous day. We hope to be in our beautiful home again soon. Cheers guys.
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KERI: Hey guys! This is Keri TV. We’re outside of 5640 Vesper, which Dave and I just closed on with some awesome past clients. It’s such a cute house. Three bedrooms, two baths. Nine forty-nine.
DAVE: Great house. One of the reasons the buyers really liked this house was because, in the back, they’ve got a guest house. He’s thinking of using it as an office or maybe his parents will move in there for visiting.
KERI: Office, in-laws, man cave.
DAVE: Right. There you go.
KERI: So many fun things. Yeah, so this was an interesting story. Our clients obviously bought it, but there were multiple offers on it. We put together a really great package and a nice clean offer. Of course, it helps that our clients were adorable for the cover letter. We knew the listing agents. We were able to network and get them in without a multiple counter, even though there were other offers on the property.
DAVE: The good thing about the property is, when the buyers wanted it, they got it. We came and they did several inspections on it.
KERI: Woo-hoo!
DAVE: Everything came out fine. It’s a great house.
KERI: Yeah. Roof, sewer, HVAC, general, and termite. What else? Plumbing? Sewer, yeah.
DAVE: Chimney.
KERI: The chimney, there you go. You know, sometimes you spend a little bit more on inspections, but you make sure you’re getting a house in great shape or you negotiate and get some credits for things that you need to do in the future. We’re super excited for these clients. They bought a condo from us five or six years ago.
DAVE: Right.
KERI: They’re expanding family-wise, so they’re going to move their little family here. That’s how the stages go in life, usually.
DAVE: Great family house for them, too. They’re going to love it.
KERI: So we’re super excited for them. Congrats. Just wanted to share this sale with you guys today. Keep watching Keri TV. Cheers.
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Hey everyone! It’s Keri TV. Today we are talking about the big buzzword, which is, ‘Recession’. You do not want to miss this episode.
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What’s the deal with the recession? What’s the deal with home prices? Are you waiting on the fence to buy because you think home prices are going down? What are you hearing? The media talks about the slowing of home prices. This is something I’ve highlighted quite a bit on my show over the last year; the media sensationalism and what actually is going on with home prices. It depends on which sector you’re in, of course. The luxury market has a bigger slowdown. The first time buyer and the move up buyer, especially in Los Angeles, the price point from seven hundred to two million is absolutely on fire. Things have not slowed down much. Now, like I’ve said before, when you’re accelerating at such a fast pace, which has been up to seven to ten percent some years, the last two or three years, it feels like you are coming to a big crash or a big halt because you’re used to seeing things go up so rapidly. Now, a normal market can be a two or three percent increase a year, which is normal and sustainable. These are the types of increases that properties are falling to. This presented a big shock and a lot of doom and gloom when it first happened, but now that things are getting normalized, people are starting to understand what’s happening with the housing market.
Now, the recession will happen. The economists and all the surveys happening about the recession predict that it’s going to be happening within the next twelve to eighteen months. No surprise there. Did you know that the last three of five housing recessions did not impact housing? In fact, housing prices actually appreciated in three of the last five recessions. Now, we’re creatures of habit. We have a strong emotional memory. 2008 was one of the worst housing crises in our history, they say, since the Great Depression. That being said, if you’re somebody who had a short sale or foreclosure during that time, you’re going to be a little bit nervous about buying something right now. All the economists that predicted that last recession that are predicting this recession are saying that home prices will actually continue to appreciate.
The recession. What will that be caused by? They’re saying the top three reasons are trade policy, stock market correction, and geopolitical crisis. Can we say global warming, what? Housing prices being the cause of a recession is actually number nine on the list. All these same economists are predicting anywhere from a two to four increase over the next one, two, and three years. Now, mortgage rates are so low that right now, you’re purchasing something that may be a million today, but a year ago, it was actually one point one million because of the interest rates. What is so incredibly powerful right now is how many people who own homes have equity in their home. They say fifty percent of homeowners across the US have equity in their home. About thirteen percent of those own their home outright. The amount of wealth that is being created within the housing sector is higher than it’s ever been in our entire lifetime. Pretty amazing, right?
Now, one of the big things to think about, if you’re buying or if you’re moving up to buy, mostly first time buyers, they’re waiting for values to drop. Of course. It seems like it has to happen. There are so many people I speak to all the time who are still renting or have bought before and are buying again who have this hope that prices will go down. I’ll buy when they go down. The market’s got to crash. There are so many people, especially in LA, who are saying the same thing. If prices start to go down, who are going to be the people coming out to buy? Everybody. Everybody’s trying to buy something in LA. The rents have only gone up. There is such a strong market here. So many jobs are coming to LA. It’s kind of insane. I’ve been in real estate fifteen years. I went through the last recession and the housing crisis. Things right now are so incredibly different than they were back then. There’s thirty-four out of fifty states that are predicted to not lower in price for the next two years. Now, that is from the Housing and Mortgage Market Review. There are six major housing resources that are predicting growth. Between Home Price Expectations Survey, Mortgage Banker’s Association, Zelman and Associates, Freddie Mac, National Association of Realtors, and Fannie Mae, they are all predicting between three and a half to four, on average, for this year. 2020 is two to four percent, and 2021 is about two and a half percent.
If you have not purchased yet or you are on the fence, there is not much predicting, per the experts, that things will go down. Of course, the slow down is here. With rates being so low, there is really no hope for any type of huge discount. Anything you’re getting into now is building your success and your equity for the future. If you’re waiting for prices to drop, I would not wait any longer. I would do whatever you can to secure yourself in something that you love and start to build your wealth and your equity, because renting will not get you anywhere. If you’re looking to move up, there’s a lot of different strategies. It can be very scary trying to figure out selling to buy, but that’s something we’re pretty good at. We’ve helped quite a few people do it. We can walk you through that too. People are pretty understanding of needing to sell to buy and they can work things out like with rentbacks, etc.
The big buzzword, recession, is the big media sensation. Media loves to sell ad space. They love to create hype. Of course, they’re going to be pushing this recession. You have to know the facts. You have to know what’s really going on and how you are personally affected by what’s happening. If you’re looking to buy a home in LA, I would jump on it now. If you’re looking to sell and buy I would move when the timing’s appropriate, depending on what you’re looking for. Know that your prices will continue to increase on your property and the same with the property you’re purchasing. Watch the market. Make sure you’re listening to the right sources because you do not want to be caught in a position where you do not own a property and you missed any sort of dip that you thought was happening. Whatever it takes, whatever type of investment, they’re saying millennials now are pulling from their stock and their 401ks’ to buy a property because they have time where they can replenish that. They’re doing whatever they can to get into properties, especially in LA.
That’s the big buzzword. Make sure you’re staying informed and talking to your experts. I hope this helps for anybody who’s in the market now or any of my clients who are waiting for a recession. You want to be careful and not miss out on this market. Cheers guys. We’ll be back next week with another episode.
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Hey everyone! It’s Keri TV. Today is lesson number five of fifteen lessons I’ve learned in doing real estate. Lesson number five is Real Estate is a Jungle. Stay tuned.
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Okay. Last week we did lesson number four, which is why ‘as is’ is not really as is. Today we’re doing lesson number five, why real estate is a jungle. If you haven’t subscribed to the channel, make sure you subscribe below so you get the latest and greatest every week in your inbox about the ups, downs, good, bad, ugly, highs, and lows of real estate. There are so many lessons you learn when you’re in this business that does not come in a textbook. All those lessons I like to impart on my clients and all the people that watch these so they can get a little insight into the real estate world. It is a fun one!
The reason why I talk about why real estate is a jungle is because of this lack of rules and systems. People get into real estate. They get the real estate license. There’s not really a minimum criteria to how many properties you sell a year once you do, so you get a little bit of a one-off. You’ve got all the buyers and sellers that are negotiating with each other without really a broad sense of rules. Then you have a big group of vendors: your escrow, the title, the people working on the home, and along with the real estate agents and all the personalities involved. When you get a big mix of this soup, it can be a little bit chaotic. Now, being in this little mix soup for all these years, we’ve learned strategies to put together checklists, systems, and really be in front of the issues that happen in real estate. That’s one of my biggest goals. Make the transaction as smooth as possible.
Now, why would it not be smooth if I put so much effort into place? Let’s start with the property on the market. You’re out there looking at homes or you’re going to list your property. There is no requirement for a set minimum or maximum price. A person can price their property on the market at whatever price they want. It can be low. It can be a dollar. It can be way overpriced. That asking price is not really an indication of market value. There are certain strategies that go into pricing, which we can talk about another time. A lot of times it can be confusing because there’s no set rule. If you price high, people will come in low. If you price low, people will overbid. You can’t guarantee either side and there’s no set rule for exactly how it’s done. You have to speak with your specialist about the right strategy that works for you, your home, and the timing of the market, right?
Now on the buying side, when you’re looking at a property, okay, it’s listed at a million. I’m going to make an offer. Well, its actual market value is one point two. It’s confusing, it’s emotional, and it’s psychologically a bit of a game. You think, well, I’m paying their asking price. Why wouldn’t I get it at that price? Well, it’s a marketing price. It’s priced below. There are also no rules for, when you list a property, the properties that you put up there, the access, and how it’s shown. You’ve got the most flaky industry. You set appointments and people don’t show up. Kids get sick, which happens. The dog gets let out. People don’t show up. You get locked out. You’re jumping fences. It’s a jungle out there. In the real world, you make an appointment. Everyone shows up. You see a house. It’s clean. You like it. In the real world, most people are usually not on time. Things get moved around. People don’t show up. You’re climbing fences. It’s pretty wild.
There’s a second part about this jungle. You’ve got all this access and pricing, which is a little bit chaotic. Again, when you talk to your specialist, they walk you through the likelihood of market value, etcetera. The second part is the offer process. There’s no jurisdiction on how that works. You make an offer. The seller reviews the offer. Now, what can happen is a seller has the choice – and the same with the buyer, who can walk away too – to accept the offer, counter the offer, or reject the offer. However, they don’t have to respond at all. When they get a multiple counteroffer, say they’re sending out a best and final. Normally, when you send out a best and final, it’s known that the person who comes back with the best that the seller likes, they take it. But is that a rule? No. Could they send back another counter round? Yeah. Could they counter more than once, twice, or three times? You can counter a hundred times, if you wanted to. There’s no rule on how that process is done. On top of that, say you have a counter, an offer due date, or a counter due date. The seller could also elect to take an offer at any time. They don’t have to listen to the exact rule that they put out there. Is that fair? Is that fun? No. It’s an emotional roller coaster.
On both sides, you have the ability to do whichever you want, as long as you’re acting within the contractual time frames. It can be very confusing on the buyer side if they write an offer, get a counter, and then, before the due date, the seller goes and takes something else before giving everybody else a chance. Can that happen? Absolutely. Somebody could walk on by, make an offer, and they could take it on the spot. They have no obligation to send everybody the same counter or give everybody the same time frames. That is why it is very confusing and emotional. Again, you need the people that can give you experience on, well, I’ve done this a hundred times, and this is the most likely scenario. Sometimes, when you have a best and final, they only counter one offer. They say, we like you the best. We’re going to give you a shot at it. Or, they counter everybody, or they counter three. Sometimes they take one before the deadline. It’s a bit chaotic, again, welcome to the jungle.
The third part of it – again, which we like to navigate – is your escrow, title, and your vendors. This is the part where I really describe a bunch of wild animals running around. Once you get into escrow, all the people in place are like different animals in a jungle. You’ve got your lions, tigers, bears, monkeys, and elephants. Can you think that all those people would move pretty differently in a transaction? Some are fast. Some are on top of it. Some are proactive. Some use DocuSign and sign electronically. Others don’t respond and are not very good on emails. They miss things. They don’t know how to DocuSign. Every time we get into a transaction, we look at all the steps that need to go into place and then we make sure that everybody else is doing their job. You don’t take for granted in this business that all the vendors that you work with are doing their job. Unfortunately, that’s just how life is. Even though we have escrow officers that send out instructions, sometimes we don’t get to choose who that officer is. Then, we have to go through and check for typos, names being misspelled, and prices being off. Oh yeah. It happens.
Then you’ve also got your agents involved. Every agent works differently. Back to the jungle. Sometimes agents try to be a little bit more aggressive, like a lion. They’re out there, sneaking around, trying to make trouble. Well, lions don’t make trouble. They just eat you if they want to. Then you’ve got a turtle agent, who’s very slow, doesn’t get back to us, and when we need to get appraisers in, they’re out to lunch. The biggest issue with all of this is all these people are integral to making the transaction happen. Now, no matter what a buyer or seller does, they can’t force things within this time period. That’s why the agents need to, by the checklist, make sure, boom boom boom, it’s happening. We’re running around after everyone else. No matter how much we want to help things during the transaction, all we can do is check in on people. On top of that, the lender can also be very chaotic, which I’ve talked about before in my videos. The point is, real estate is chaotic and a jungle. If you’re new to it, it can be a little confusing because so many things come up. When you’ve got a team around you and you’ve been doing it a long time, you go, alright. We’re out looking for properties. We’re listing your property. We’re negotiating. We’re going into escrow. Here’s a list of how to navigate through the jungle of real estate.
I hope that was helpful today. I feel a little bit more at peace, being able to put that out there as a video. Real estate’s a jungle. That’s why all the transactions are pretty stressful. We try to make sure that we get the play by play of all the ifs, ands, and buts, because if you think about it, if there’s a delay and you have a moving truck and kids, it can be a little stressful, right? Make sure you grab your glass of wine, your favorite pen, or whatever you do, and buckle up when you’re out buying and selling a house. When you work with great people, the transaction, the process, will be a lot better.
That was lesson five, Real Estate is a Jungle. Next week we are going to do lesson number six, which is about negotiations and what I’ve learned about negotiating after fifteen years in real estate. Don’t forget, subscribe! Subscribe! Thanks for watching guys.
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KERI: Hey guys, it’s Keri TV. Today we have a special episode. As you know, vendors are a huge part of our transaction and our business, and we would not be able to get our clients across the finish line unless we had the very best vendors and people to help us along the way. Everybody has a different specialty. Today I’m highlighting the two title representatives who work our area, who we work closely with. I want to explain a little bit what title is. What is title? How is that involved? Why do they have a living working with title? Stay tuned.
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KERI: Alright. Today we are here with two representatives from Fidelity National Title.
BRANDON: I’m Brandon Miller.
TAMARA: I’m Tamara Ortiz.
KERI: Tamara and Brandon, thanks for being here today.
BRANDON: Sure, thanks for having us.
KERI: Tamara and Brandon are our 911 emergency people. During a transaction, I feel like we’re only bugging them when there’s something crazy happening. What is title? Why is it important? What does it have to do with buying and selling real estate?
BRANDON: That’s a good question. We do spend a lot of time on the side of the road when we get that call, because first and foremost, our important role is so Keri can pick up the phone and, all title companies, Fidelity is a huge company, but she just needs that one or two people to call and have us do all the problem solving if something happens with a transaction. Title insurance. You cannot close a transaction in California unless the title company has the final say. They stamp the transaction and insure it with title insurance, and charge a fee to the seller. There’s another fee we can talk about that goes to the buyer. It’s basically us blessing the transaction and following through with our insurance if there’s any problems after the fact. Your seller, the new buyer, will never have to worry about going into their own pocket if they have to protect the ownership of their property.
KERI: Okay. Basically, title is a stamp of insurance that you are now the owner and no one else can come in and take it from you. There’s no other fees that you’re going to be slapped with.
BRANDON: Exactly.
TAMARA: Exactly.
KERI: Who likes hidden fees, right?
TAMARA: No.
BRANDON: There’s definitely fees and there’s stuff you’re going to get in the mail. At the end of the day, it’s the title company that’s guaranteeing whatever you’re going to receive, don’t worry about it. We’re insuring this transaction as long as you live there. It could be ten years down the road.
KERI: Mh-hmm.
BRANDON: If someone’s coming after you, we have a big team of attorneys. We’ll get in court with you and make sure you’re not going to have to pay anything out.
KERI: That’s awesome. What are some of the types of things that the insurance protects you from? What people can come and try to impact your title or put liens on title.
BRANDON: Right. Well, when we say that Keri is the owner of this property, we’re also saying that no one, if they decide to fudge the title – that means, if they decide to add themselves on. Try to make it so you’re not the only owner, but now there’s a new owner with you, or maybe they’ve recorded a deed on the property putting themselves on, and somehow you’re mysteriously pushed to the side. That does happen in Los Angeles.
KERI: It can happen.
BRANDON: We’re going to be there to guarantee that, no, Keri’s the owner. Whatever the person is trying to make your life not so easy by doing this, we’re going to basically step up and make sure it’s taken care of.
KERI: Insurance-wise, if somebody tries to attach themselves to title or file a mechanic’s lien, say if there was work that was not done, this could be the previous person who owned the house that somebody’s coming after them. The insurance from the title company ensures that nobody is able to do that to your property.
BRANDON: Right.
KERI: It’s kind of important, right?
BRANDON: Super important.
TAMARA: Super important.
BRANDON: In Los Angeles, we have a lot of new development. It’s putting a lot of people to work. A lot of contractors, a lot architects, and a lot of project managers. Money is just being shelled out left and right.
KERI: True. Yeah. A lot of people are involved on these LLCs.
BRANDON: Exactly. At the end of the day, real estate is collateral. It’s a hard asset where all these different works can use to try to collect money that they feel is owed to them. Whether it’s rightfully owed to them or not is a different question.
KERI: Yes.
BRANDON: That’s what they look at it as.
KERI: The fortunate and unfortunate thing is that it’s very easy to file a lien on somebody’s property for anything. For babysitting dues.
BRANDON: It’s pretty scary.
KERI: It’s scary, yeah.
BRANDON: It’s almost a flawed system with the county. They’re very understaffed. Anyone can walk in and just, here’s a document. Please record it. They’ll pay a fee and walk out the door.
TAMARA: We’ve actually been seeing that a lot in the past two years, where we’ll have a transaction and look at it, and all of a sudden, it shows somebody else on title.
KERI: Now that we’re sitting here, I remember a property we had in Santa Monica where it came through and the husband – there were all these extra liens and fees. I added them up and I’m like, oh my god. You guys owe a lot on this property. It turns out it was a different, let’s say it was Smith. It was a different Mr. Smith. What happens when you find your title and you owe money to somebody, that’s not yours? That’s why we need Brandon and Tamara here.
BRANDON: Yes, absolutely. Believe it or not, Brandon Miller, it may seem like an uncommon name, but there’s forty-four Brandon Millers in LA county.
KERI: In LA.
BRANDON: I found that out because, when I did my own transaction, all title companies have to have the owner fill out this statement of information, with your social security and all the personal info, so that they can make sure that I’m the Brandon Miller in charge of buying this house, and not the other forty-three Brandon Millers. Any liens or issues they may have tied to them are not going to be tied to me as well.
KERI: That’s a huge deal. I remember on that one, you were able to contact who you needed to. We didn’t even have to do anything. You guys took care of it and gave us a clean title back. That seller was very thankful for your help on that.
BRANDON: We want you to just focus on the relationship with the seller. When the problem arises, we take care of it. We communicate with you and you communicate back with the seller.
KERI: Exactly. That’s why, during these transactions, when your clients call and say x y z, we’re like, we’re working on it.
BRANDON: Right.
KERI: We’re calling our vendors, calling escrow, calling title, doing research, and all the things behind the scene, to make sure that all you get is yup, we’re done. We’re good.
BRANDON: Very true.
TAMARA: Actually, at the end of the transaction, the goal for all title companies, especially our title company, is to make sure that you have a clear title.
KERI: Clear title.
TAMARA: Clear title is the most important thing. Title companies will not, you’re not supposed to, close without having a clear title, so that the buyer is inheriting that property free and clear.
KERI: That’s a good point. What if the property is being financed cash. Do they still check to make sure that title’s clear?
BRANDON: Yes.
KERI: Who does that?
BRANDON: Okay, good question. In Los Angeles, about thirty percent of transactions are cash transaction.
KERI: Thirty percent of transactions are cash. The average price is around a million. That’s a lot of money.
BRANDON: That’s a lot of money. That’s what makes Los Angeles so great. Regardless of what’s happening in the rest of the country, LA is very financially strong. Even with cash, title companies really have to scrutinize that transaction a little bit more. There’s been cases of money laundering with very high level people in corporate America that like to use real estate as a mechanism to launder money.
TAMARA: Yup.
KERI: You’re dealing with some mob people.
BRANDON: Oh yeah. We have stories. There actually is a new law that was placed two years ago where the government has collaborated, using title companies, to monitor all cash transactions.
KERI: Oh, okay. That’s good.
TAMARA: It’s called FinCEN.
BRANDON: Don’t want to bore you with the details of how it works, but by law, we have to work with the government to give them, basically, some information on who the buyer is with the cash. They keep it confidential to themselves, just to make sure it’s no one on their naughty list.
KERI: Naughty list. Santa’s list.
BRANDON: Oh yeah. They have their list.
KERI: Interesting.
BRANDON: Also, they say, okay, you’re fine. We close the deal and everything moves forward.
KERI: That’s good to know. We actually just had that on a cash deal. We had to double check. That’s something I didn’t know prior. Obviously, you can see the importance of working with great vendors and all these things that go into these transactions that you don’t know about, even if you’re not that involved with the details. If you’re just buying a house through an app or something, these are the situations you can get caught up in and not be able to close or somebody else could buy the property with you that you don’t want to own it with you, etcetera.
BRANDON: Yeah.
KERI: It’s really important to be connected to great people. Thank you for sharing about title today and what it is.
BRANDON: Sure.
KERI: Hope that helps people. Just to leave, is there any situation that’s happened where you – I can think of a few – where you came in and saved the day from a property not closing in time, from someone losing a loan, or foreclosure. Are there any examples you can bring up just to close us out today on why you’re so awesome?
BRANDON: Yeah. There’s a story recently that kind of made everyone, including myself, feel great. There’s so many different scenarios out there, and sometimes we have long-time property owners. One transaction in particular in the west side was a pretty high-end transaction, three plus million. The owner kind of fell behind on mortgage payments. It was what they call ‘distress sale’. She needed to sell so she wouldn’t lose her home to the bank. She still had a lot of equity. It was a good position for her because she could still sell and make two or three hundred plus thousand.
KERI: That’s good.
BRANDON: But, the clock was ticking on her house.
KERI: Okay.
BRANDON: She had to close escrow as soon as possible, because once the bank starts the foreclosure process, they don’t really pay attention to what’s happening in escrow. They really don’t care. They start that clock and they’re going to follow through with it.
KERI: They’ll file and close whether somebody’s in escrow or not. It’s really important.
BRANDON: Exactly. We have a buyer purchasing a transaction. We have a seller who’s up against the clock. It all came down to the last day to which the bank was going to repossess the property, foreclose on them, and that means everything in there, all the equity, would potentially be wiped out.
KERI: Mh-hmm.
BRANDON: One day to operate, where we had to basically close the day before. Not the day of, because it would be too close.
KERI: Wow. Yeah.
BRANDON: We met this nice old lady. We went down to the county recorder in Norwalk. It’s pretty far away. Traffic in LA is not easy. We had the buyer also meet us, just to make sure, by having both the buyer and the seller, that we could walk into the county recorder with them, representing them on the transaction, and we did a special recording – which you’re not really allowed to do in LA.
KERI: Yup. Those don’t happen very often.
BRANDON: We used some connections and got the job done. We got the job done, because the next day, she was going to lose her house and have two to three hundred thousand wiped out.
KERI: That’s a lot of money to get wiped out, just because of title recording on the wrong day. That’s a huge asset. You want to make sure you have good people on your side throughout the process. Thanks guys, for being here.
BRANDON: Yeah.
TAMARA: Thank you so much.
KERI: Hopefully, some people watching this will get to experience working with them when you sell your house.
BRANDON: Awesome. Have a good one.
KERI: Thanks’ for being on Keri TV!
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KERI: Hey guys! It’s Keri TV. I am back again with my special guest, Dave White, because we have a very special topic today to talk about, a very complicated topic, that makes people a lot of money. Stay tuned.
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KERI: Okay. Dave, Dad, what is a 1031 exchange? What does that even mean?
DAVE: 1031 is an IRS code. That’s for investment properties. That means, if you’ve got an investment property and you sell it, and it’s going to be a tax liability, 1031 allows you to defer the taxes.
KERI: When you buy another property, right?
DAVE: As long as you buy another investment property. You can actually defer them for life. When the owner passes away and the children get the building, they don’t have to pay the taxes, because the building is sold at the stepped-up price.
KERI: Wow, that’s really nice. Basically, it’s a way to save money on taxes when you are purchasing property and reinvesting, because you could be paying a couple hundred, three or four hundred in taxes on your income for some of these properties, right?
DAVE: Right, but not when you’re purchasing your first one. When you already own a property and you want to buy another property, because you broke up maybe a million dollars of equity in the property, what’s the use of that?
KERI: If you’re paying a lot of taxes on it.
DAVE: Because you sold it, you should be paying twenty percent tax, ten percent to the government, and another five percent to somebody else. You end up with about fifty-five percent of your money.
KERI: Right. So the government put in this great tax code so you could actually take the money that you’ve earned, that’s grown in profit, and put it into another building. That keeps increasing your wealth as an investment owner. Who qualifies for a 1031? Anybody who owns property? No.
DAVE: Anybody that has a rental property.
KERI: An investment property. Okay. So not your primary residence. You can’t 1031 a primary residence, but you do have the tax-savings there, two-fifty to five hundred, based on being married or single. So, an investment property. What type of investment, is it going to be a condo, a house, or a multi-apartment?
DAVE: It can be anything that’s a rental property. If you sell your condo, your house, or your boat, the boat you’ve been renting out, you can buy another property. It’s called like kind.
KERI: Okay. What’s a like kind?
DAVE: That means, if you’ve got a rental property and you buy another property or business, it has to be a rental property. You have to make income off of it.
KERI: Okay. If it’s a condo, can you buy a condo or a house?
DAVE: Or a building.
KERI: You can buy anything. Okay. What about the price point?
DAVE: Price point. You have to buy, if you sold the place for a million, you have to buy something for at least another million. If you don’t, then, let’s say you bought something for eight hundred. They call that other two hundred boot and you’d have to pay taxes on the two hundred.
KERI: Okay. So the booty gets taxed. If you do find something that’s not the same price you’re selling for, you can still put part of it into the 1031 exchange.
DAVE: You can.
KERI: Okay.
DAVE: The biggest thing with the 1031 is, the whole reason people do it, is to get more property and increase their inventory. If you sell a property for a million, you’ve probably got eight hundred thousand in equity. Well now, having to put down thirty percent, you can go out and buy three properties.
KERI: You can buy three properties.
DAVE: Right.
KERI: Okay, this sounds like a great idea. If anyone’s watching and you have investment property, it might be time to give us, Dave, a call, about those investment properties. Talk to me about the process. To even start a 1031, how complicated is it during escrow? What do you do?
DAVE: 1031 is not complicated at all.
KERI: Okay.
DAVE: Actually, when you open escrow, you send a notice.
KERI: You’re getting very granular.
DAVE: You send the buyer of the property you’re buying a notice that you’re doing a 1031. You call a 1031 accommodator. That’s a special company. Because when you close escrow, the money has to go to the accommodator.
KERI: Basically, when you’re purchasing your next property, all you need to do is agree with the buyer and seller that there’s a 1031. It doesn’t impact the buyer. Then, you hire an exchange accommodator. We love Phil Antonin.
DAVE: We do.
KERI: Exchange resources. He’s the best. Those people are the best. Then, they facilitate the transaction. It doesn’t impact escrow at all, but all the funds and the proceeds don’t go into the seller’s bank account. It goes into the accommodator’s trust. Then, they use that to purchase the next property. That’s so they make sure the owner’s not pocketing any money, of course.
DAVE: Here’s the thing. Once it sells, you cannot even put it into your account for even one day. If you do, you’ve blown the 1031. The good thing about the 1031 is you get forty-five days to nominate your property.
KERI: Oh, that’s a good question. There’s a time frame with 1031s. Can you talk to us about that?
DAVE: Definite time frame. From when you close escrow on the property you’re selling, you have six months to close escrow on your new property, but you only have forty-five days to nominate the property you want to buy.
KERI: Okay.
DAVE: You can also nominate up to three properties, and out of those three properties, you still only have to buy one of them – or you can buy all three. If you nominate any more than three properties, than you have to start buying more of the properties. You cannot just pick and choose. There’s a few things you have to know about it.
KERI: Basically, we’ll call the property that you own now 123 Banana Street. Banana street closes today. 123 Banana Street. You have forty-five days from today to identify three properties.
DAVE: Right.
KERI: Of those three, you have to close on one in six months.
DAVE: Right.
KERI: Which you normally close on right away.
DAVE: Yeah, you can generally close in four to six months, but I know people who’ve had them come right down to the last day when they’ve closed.
KERI: Exactly. Now, talk to me about if somebody can’t identity another investment property in that forty-five days. Are there any options, usually, with buyers? Do we find flexibility sometimes?
DAVE: The only time they’ve found flexibility was when the California fires happened in the last eighteen months. They said, well, because you were involved in the fire, we’ll fix it for you. It’s the government you’re dealing with here. They are very strict.
KERI: They’re very strict.
DAVE: Forty-five days. You can’t do it on forty-six. It’s got to be forty-five. You have to close in six months.
KERI: So, an idea to anybody doing this, build into the contract with the buyer possible extensions to close, in case you’re worried about finding something. You’ll have to find a buyer that’s okay with that, but that is an option to kind of give you a little bit more time. The buyer usually won’t allow more than one, two, or three extensions, but it is a good way to do it.
DAVE: It’s a great way to do it. Sometimes, we write in the contract, if we even like the offer, that we’re only going to close when we’ve found our replacement property.
KERI: Yeah, that’s a great idea. Obviously, this is a pretty complicated process and you need experts, but it’s also one that makes you a lot of money, and that’s why we love buying real estate in 1031 exchanges.
DAVE: They’re the best.
KERI: They’re the best.
DAVE: It’s all we can do.
KERI: How many rental properties do we own? Or you own?
DAVE: Oh, about eight, I think.
KERI: Eight now.
DAVE: We started off with one, and we 1031 to 1031 and we 1031.
KERI: This is income property mobile right here. If you have questions, this is your guy. Thank you. Thanks for watching today, and we’ll get back to our fifteen lessons next week. I’m sure Dave will be on the show again soon.
DAVE: Hey, I’m looking forward to hearing about your 1031.
KERI: Mh-hmm. Bye!
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Hey everyone! It’s Keri TV. Today we are doing lesson number four of Fifteen Lessons in Fifteen Years of real estate. Check it out.
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Okay. Last week we did lesson number three, which was about closing costs. What they are, who pays for what, and the buyer and seller. Make sure you check that out. It’s very informative. Today we’re talking about lesson number four: things that I’ve learned while being in this business for fifteen crazy years in Los Angeles. If you’re just tuning in, make sure you subscribe to Keri TV so you get the latest and greatest every single week. We talk about the ins, outs, ups, downs, fun, not so fun things about real estate, and all things my world, so to speak.
‘As is’. My lesson today and what I’ve learned is that ‘as is’ is not really as is. There’s a few reasons why. I’ll get into them. ‘As is’ is a common misconception. If we get into escrow or we’re in counters and the seller goes, I want to sell this property to you ‘as is’. The misconception is the buyer thinks, okay. I have to buy it no matter what, because it’s ‘as is’. Also, the seller is not going to fix, repair, or offer any credits ‘as is’. This does not mean that you cannot do your inspection process. The ‘as is’ process means the buyer gets into escrow, they do their inspections, and the buyer can opt to cancel escrow or the seller can opt to fix things. No monies are lost. None of the deposit is lost. It’s just a first look.
There are three good reasons why the ‘as is’ gets renegotiated. One, some things are found during the home inspection process that you just don’t know about. You don’t really know what is under the house unless there’s been disclosures of previous inspections. Often you find issues with the sewer, foundation, and the heating and air system. When there’s surprise finds like that that you can’t see when you first visit the house or when you go back a couple of times, often that can be a good case to reopen the negotiations. Makes sense, right? You wrote your offer or you negotiated your counter based on what you could see. Now, to a degree, this still falls under ‘as is’ but a lot of times sellers have pride of ownership and they want to help the buyer out. Often, we come to a new agreement during this process. Actually, there are over twenty times, during a transaction, that you are renegotiating. It is a constant in and out, up and down. You have time frames, extensions, per diems, and credits. This is just one example of how those renegotiations happen.
The second reason could be insurance reasons. Often things are found at the house. Maybe an older roof or there’s a fire zone, and the insurance can’t insure the property. They have to make some adjustments. Another one is lender required repairs. Some lenders have some funky things that they want done. They definitely would like to see the termite report, most of the time. If there’s a little painting to be done or sometimes they want a garage door replaced. That is the third case where the ‘as is’ can be renegotiated.
As you can see, when you get into a transaction, don’t be scared by the term ‘as is’. Know that, probably, you’re not going to get any credits or repairs. Don’t try to renegotiate based on that, but if things come up and there’s some hurdles that go into these repairs needed, you can probably renegotiate. That’s just what I find. It’s nothing to be scared of. It’s nothing to want to walk away from before you actually do your investigations. A lot of times a buyer will get into escrow and then think they can squeeze the seller for more money after the fact. That’s why sellers usually say it’s ‘as is’. With that being said, some things we do to try to get ahead of this renegotiation of ‘as is’, is have the seller fill out all the sellers’ disclosures and do a pre-home inspection. Try to get everything and anything in detail, in writing, to the buyer and also ask for more on the buy side. This prevents a renegotiation once you get into escrow. Also, we, as agents, are here to walk our buyers and sellers through the process. We try to manage expectations. We try to set up both sides for a win-win situation and make sure everybody’s happy, cause that’s the point, right?
Lesson number five will be our next lesson. That one is going to be about the nitty-gritty of real estate, the reality of working in this world, and all the fun things that you learn along the way. That’ll be a fun episode. I’m still thinking of the best way to put this all together. Stay tuned. That’ll be a good one next week.
Bye guys. And subscribe. Cheers!
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Hey everyone! It’s Keri TV. We are back to our 15 Lessons in 15 Years of Real Estate. Today is lesson number three. What are closing costs? So stay tuned.
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Okay. Last lesson, we talked about online lenders versus your local mortgage broker. Today we’re going to go into closing costs. Now the reason I bring this up as a lesson is because I have been in transactions where, when it comes time to the last week before close, we’re like, okay, we’re ready for your closing costs. Escrow calls the buyer and goes over the statement with the seller. They go, what are these? What’s that? This is more than I expected? Or, I didn’t expect closing costs. Those types of things. This is a lesson I’m putting out there to be prepared for your closing costs.
So, what are closing costs? They’re fees associated with buying and selling a property in Los Angeles or in California. Every state is different, so keep that in mind. The closing costs are paid by both the buyer and the seller. They include your escrow fees, which are the costs to do the transaction. Your title insurance, both the seller-paid title insurance and the lender title insurance required for a buyer. They include any HOA document transfer fees. They include homeowner’s insurance. Property taxes are prorated through that. It’s not possible to pay for the other party’s fees. All costs will be prorated when you’re in escrow. If you’re closing, and most people don’t close on the first of the month, so any property taxes, HOA payments, and insurances will all be prorated. Often you can get a cushion or a credit and have it come back to you, but they’ll never come after you – I’ve never seen it happen – asking for more money.
How are these costs negotiated? Who pays for what? It’s a really good question and a very common question. Now, we have our standard procedures in Los Angeles, which is just the protocol and the norm. Of course, not everybody wants to just do it the normal way, but it’s the standard way that we expect when we are writing offers or representing sellers. So, this involves the seller paying, usually, around seven to eight percent. Seven to nine percent on the sale price. The buyer usually pays, give or take, two percent. Sometimes one, sometimes three. You can look at your purchase price and calculate a really rough estimate based on that. The actual best estimate will come from your lender and the escrow officer.
How do we divide up who pays for what besides the norm? The seller will pay for one of the bigger ticket items in the seller cost, the city and county transfer taxes. These are calculated, I believe, at four-fifty for the city and a dollar ten for county. Anytime you sell a property, you’re required to pay these taxes. Then, they calculate it based on the local sales tax bracket. Those are normally, ninety-nine point nine percent of the time, paid by the seller. They also pay the commissions. They also pay the title insurance. They’re making sure they’re giving the buyer a title that is free and clear.
Now, on the buyer’s side, they just pay for their escrow fees, their lender fees, and then they will also lump in their property taxes, which will get prorated, and their homeowner’s insurance. The lender will want to make sure that the buyer has homeowner’s insurance before they sign off on the loan. Makes sense, right? That’s usually who pays for what.
Now, how are they paid? When does this all happen? Right before closing, the buyer will bring their monies into escrow and, less their deposit and any credits, they’ll bring in the rest of their down payment, whether it’s ten, twenty, or thirty percent. On the seller’s side, whatever they owe on their loan, the money gets sent to that lender and then the rest of the money is the seller’s proceeds minus their closing costs and any credits or prorations. The seller is getting a check. The buyer is bringing in a check, and that’s calculated when you’re about to close. Now, a lot of times buyers want to know that amount upfront. They don’t know that until the loan documents come out from their lender. That’s always a question. What do I owe? What do I bring in? Can I book signing? Unfortunately, you can’t book signing or know the final exact amount until the loan documents come out. Then it’s go-go-go, get over there, wire your money, sign your docs, and get to closing.
There are other ways to pay for your closing costs. It is also possible to have the seller give you a credit towards your closing costs so that you do not have to bring in any additional monies besides your down payment. This is a good way to save a little cash, if you’re trying to do some remodeling or if you only have five or ten percent down and don’t have enough for your closing costs. What they do is they minus those closing costs and add it on to the price of your loan, so then you’re paying monthly on those closing costs. It just rolls into your mortgage amount. That’s a good way to save on bringing cash up front for your closing costs. Most people do it the standard way. It’s a pretty straight deal.
This is just a little info on closing costs, how they work, what they are, and I hope that helps because that’s a lesson I always want to impart on all my clients, buyers and sellers, on both sides. That is lesson number three. For lesson number four, we are still working on what we’re going to highlight next week because I have thirty lessons that I’m trying to talk about. I’m trying to minimize it, because there’s a lot to learn and know in real estate.
Alright guys, cheers. Stay tuned for our lesson number four next week, and then we’ll have another regular Keri TV episode after that. cheers!
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Hey everyone, it’s Keri TV. I’m taking a quick break from our fifteen episode series to talk about a great investment purchase that is closing today at 3520 Folsom. I’m just going to scoot back so you can take a look at this beauty. It is amazing. Beautiful early 1900’s craftsman home. Look at her! Look at her!
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Don’t forget, as always, make sure you are subscribing to the YouTube channel so you get these updates every week, and we’re going to get into why this is such a special purchase today. Stay tuned.
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Alright. The tale of 3520 Folsom. Why this property is super important and why this transaction’s important are really the people involved. These are some clients of mine. I’ve been working with them for, gosh, eight years between the sale and purchase of Burchett, Lorraine, Navoreth, and now Folsom. I’m so grateful for clients like that, that I’ve just been with for so many years. Every time we get into a deal it’s like, the dream team’s back! Anyways.
This property is super important because one, it’s an amazing investment value. You’ve got this beautiful craftsman here which is five bedrooms and twenty-four hundred square feet. It’s on a six thousand square foot lot. It has incredible views of Los Angeles. Kick-ass. I’ll take you around the back in a bit and you can take a look. It was tenant-occupied. They’ve moved out. I think the zestimate is six-fifty or six-seventy. As you know, zestimates can be eight percent off. They got this deal at six-thirty. They have written offers on so many investments and there are multiple offers. Things are going so crazy and out of control. They secured this at six-thirty. We’re closing today at six hundred and thirty thousand. What’s incredible about this year, Boyle Heights and the surrounding neighborhood, which is just outside of downtown LA, just east, is one, it’s an adorable neighborhood with a lot of really beautiful and history-rich homes. Also, this neighborhood is expected to go up eight percent over the next year versus LA as a whole, which is two percent. If you haven’t checked it out, I definitely would.
Now, this is important because, of course, the investment value, but also, my client’s husband grew up on this street a couple of doors down. He grew up here. They know the tenants who were renting here for thirty years. Having this and getting a piece of their family and heritage back, because the husband’s family is no longer alive, was such a sentimental as well as an incredible investment purchase. How amazing, to be part of this, with the family. I’m really honored. The process itself became a little challenging. The listing agent was a bit of a d-bag. I don’t mind saying that, because when agents are difficult, it makes transactions really difficult.
This house is adorable and the story’s adorable. That beetle’s not adorable. My clients are adorable. They are going to rent this out. They are going to make great money on this. Let me just show you the view back here. Keri White, Keri TV on a walkabout. Oh. Look at this. These views. This lot. This is just the second floor. There’s another floor up there with even better views. Views, views, views. Wow. They’re going to do a guest house here. There’s an opportunity to do another ADU here. There’s another entrance down there for a rental. An absolutely kick-ass purchase. That’s my lighting. I’m so happy for them and so grateful. I love having amazing clients, repeat purchases, and great deals. It’s good Friday.
Cheers guys, we’ll see you next week. We’ll be back to lesson number three in the fifteen episode series. If you’ve not already subscribed to Keri TV, hit this subscription button right here and subscribe so you can watch the full videos every week, because there’s a lot of fun and exciting stuff happening out here. Cheers!
Oo, oo. She’s so pretty.
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MALE SPEAKER: Hello.
Oh, woo-hoo. First time, new homeowner.
FEMALE SPEAKER: So excited!
Oh, free couch. This is great. That’s great when you get some free stuff. Very clean. Yay!
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Hey everyone, it’s Keri TV. Welcome back to this special series of 15 Lessons I Learned in 15 Years of Real Estate. Today is episode number two.
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Okay. If you haven’t subscribed to the channel, please do so now, subscription link, so you get updated weekly on the new Keri TV tips. Last week we started episode one which talked about checking your emotions and understanding the emotional rollercoaster of the real estate transaction. The second episode, today, comes from a property we just closed escrow on last month, actually, in June, and some of the complications that came up. This series is dedicated to walking you through some of the things that we deal with in each of our transactions and passing on that knowledge so you can watch out when you’re in escrow, house shopping, or selling a home.
This episode today is dedicated to the online lender versus the traditional local mortgage broker. Things are changing. The world’s changing, right? There’s a lot more you can do online, buy online, and research online. So, my point today is to make sure you do your research on each type of lender. I’m not saying one is better than the other. Know that there is going to be a completely different experience when you have an online lender versus a local mortgage broker.
First, it’s important to shop rates no matter where or who, online or locally. There’s a myth about knocking your credit a lot when you’re shopping. The mortgage bankers know that when you’re shopping around, there’s some lenience on that. Make sure you speak and ask those correct questions. You definitely want to speak to two or three different people. This isn’t advice on getting a loan. This is advice on the difference between the two lenders. When you’re working with an online lender, they often have lower interest rates. This could mean they have higher closing or they’re charging a point. There’s a lot of hidden fees. Online lenders aren’t known for their customer service. They’re strictly online, so they’re not going to meet with you in person. They’re not going to go over the options.
What happened in our transaction is some mistakes happened with the escrow officer. Now, when this was happening, we leaned on the lender. Okay, you’re getting these two different closing statements. Which one can we use? We need the closing statement in order to order loan documents to close. The online lender was completely MIA. We called. We texted. We emailed. For about a week straight, we had nothing back. Normally, a lender in this situation picks up the phone, looks at the closing costs, and figures out how we assign the seller credit and buyer credit because there’s a maximum credit you’re allowed when you’re buying a property. The seller is giving you a credit. There’s a maximum that the bank will allow. The escrow officer didn’t do the correct closing statement. The online lender was not giving us information. The buyer was trying to do his own calculations of what’s a seller cost and what’s a buyer’s costs. We don’t know what the lender or underwriting distinguishes as a seller buyer credit. They have weird ways of doing it. All this time, energy and chaos of trying to do the lender’s job for them. Normally, when you’re working with a mortgage broker, like my trusty friend broker Jason, who I love, they will pick up the phone. They will meet with you. They’ll go through exactly how it’s done, where the credits go, best case scenarios, and speaking with the escrow officer. We were in the middle, trying to get everybody to talk. It was just impossible. These online lenders were completely MIA. I’m not saying they weren’t able to close the deal. They were. The client was happy at the end of the day. The chaos and the way of getting there was intense. You have to look at what’s important for you as a buyer.
How the process goes, because that online lender, when they went MIA, could’ve cost our client the deposit. With the mortgage broker, they usually want to keep a good relationship with the real estate agent and help the client for future business, referrals and refinancing. There’s a personal touch that they bring into the transaction. The online lender finally assigned a closing person to step in and from that point forward, they were able to speak with escrow and get the closing costs sorted out, and then we only closed a couple of days late.
What’s scary is that, because of the delays in closing, the buyer was almost out of a place to live. The seller was delayed. They had all of their moving trucks and everything planned. They were going to be out of deposits. There was a lot of money on the line and a lot of stress. Those are situations that, when you have good customer service and a personal touch, they don’t happen. Luckily, they were able to sort it out. The seller could’ve canceled on us and we could’ve lost our deposit, all because of the lender.
So, with that being said, speak to all the professionals. Go through all and any hidden fees and closing costs. Make sure you’re fully informed and choose which lender you want to work with. Both are good. Both are just a different journey. That’s a tip on what to be careful with in escrow, because that could’ve been a scary situation. But, like most deals, we ended up closing it. Everyone works hard, overcomes the obstacles and we have a buyer, a happy seller, and a closing.
That’s the lesson for today. 15 Lessons in 15 Years, episode two. Make sure you subscribe below, because these are all the things that I have to go home and drink wine about at night. They’re happening and I’m sharing them with you on Keri TV in this special series. Thanks for watching. Tune in next week. We’re actually going to go over closing costs and fees when buying and selling a home. What you don’t know, what to expect, and what to look for. See you guys next week! Cheers.
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Hello! It is episode 1 of our new Keri TV spin-off; 15 Lessons I’ve learned in 15 Years in Real Estate. I know. I was licensed when I was five, obviously. Okay. So the first one may surprise you, but it is kind of the key for the everyday grind. It is, Save the Drama for Your Mama.
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That’s right. Check your emotions at the door. This business is so insanely emotional, so much back and forth, so much unpredictability, so many different personalities, and so many things you can’t control. What do people need the most? Consistency. What is real estate? A very scary unpredictable transaction. When you have a lot of those piled on top of each other, one after one, it can be a little crazy and emotional. The first lesson I learned, which I don’t know how many years I was in this before I really was able to let this go, is to check the emotions at the door. Never be attached to an outcome. Now, that’s easier said than done. If you are new in the business or struggling, you know, you’re holding on to every deal because you need an income. That’s why it can be challenging sometimes, working with agents who are newer or are desperate to get a deal done. They can push something forward on their own agenda, and not yours. When you’ve been established and you’ve worked with several different clients, it’s always disappointing if a deal falls apart, but it doesn’t impact you, your emotions, or your income, because you have a successful and flourishing career.
My clients’ interest are the most important. If they’re in a situation that’s going to end up costing them money or it’s a house that’s not going to be the best fit for them – of course, sometimes people want things regardless of my opinion – but I also let them know that cancelling is always an option. I’m always right by their side giving the best advice, whether it’s the right house for them, whether it’s the right time to sell, and what upgrades to do. Sometimes, when things happen out of your control and you can’t control the people involved, the other agent, the repairs, etcetera, it can be a little emotional. If your client won’t listen to you and you’re trying to help them get the deal, you may have the exact recipe. Hey. You want to win this multiple offer? Do x y and z. Then they go, I’m just going to do this. You could bang your head against the wall when you get the call and they didn’t get the offer, but that’s your client’s choice. You’re not attached to the outcome.
Along with that, not being attached to any outcomes, it makes you sleep at night. When you can’t get things done or pushed through, clients are being crazy, or agents are being rude, just go to bed and be like well, it is what it is. Nothing I can do. It doesn’t impact who I am as a person. I’m not worth any less. I’m not a bad agent because of this. That’s where a lot of agents can get tripped up, speaking on the agent’s side of things. They can be really hard on themselves when things don’t work out, and you don’t have to be. There’s so many things outside of our control. We are the facilitator. We just slide people through the transaction and try to make it as predictable, easy, and stress-free as possible. It’s not always to do that, but a lot of times, we shield the crap coming in during the deal. We don’t let the client’s know.
Unfortunately, sometimes, agents are jerks. They’re very mean in escrow. There are egos involved. Uh. Ninety-nine percent of the time, I never tell my clients when that’s happening. I just take it, get all the crap, and deliver it to my client. I’m just the messenger. There’s times where I speak to an agent. They go, don’t even send a request. Are you crazy? Don’t even come in with that number. I’m like, oh, I’m sorry. I forgot. You were the owner. I don’t mean to offend you. They make it about them and not about the client. They don’t know what their client’s going to do when they get a request, an offer, or anything of the sort. You don’t know what’s happening in someone’s personal life that may change their decision on an hour or a day when they’ve said one thing. You have to deliver all information to your client, no matter if it’s negative feedback. Why would you tell your seller that people think the house smells like cat pee? It would only benefit them if they had the house cleaned, have the smell gone and have the smell taken away. Feedback is so important.
Basically, save the drama for your mama. Leave your emotions at the door. Put your client first. Your ego and your agenda does not matter. You are looking out for them and letting all the other people roll off your back. Escrow officer that doesn’t know what they’re doing and the agent who thinks they’re cooler than you. There’s so many different things. Just try to help. Be a professional. Be full of information. Do things the right way. Write complete sentences. Keep your clients informed. Just check your emotions at the door.
I know that seems kind of basic, but being able to let go of that emotion when you’re an agent helps your client get through the transaction. They always say, how do you do this every day? I’m like, it’s been so many times of being beat up and beat up. I just let it go. You’re like, that’s cute. Click. So, leave your emotions at the door and go in for the ride knowing that there’s ups and downs. The ups always come down and the downs always come up. Be there for your clients. That’s what’s most important. That is my biggest lesson in fifteen years. It’s not anticipating a negative outcome, not worrying about things until they happen, not attaching myself to any outcomes, putting my clients’ first and taking the beating for them.
Stay tuned for the second episode of Keri TV. Make sure you subscribe. 15 Lessons in 15 Years. Episode 2 next week! What other lessons am I going to have? I don’t even know yet, but I’m going to think about it. I have a lot of lessons actually. So, I’m still talking. Cheers guys! See you next week.
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Hey everyone! It’s Keri TV. Today I’m introducing a new series, a spin-off from Keri TV. I want to tell you guys a little bit about it today and then what to expect over the next few weeks. Make sure you subscribe so you get all the latest and greatest every week to your inbox. Stay tuned.
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Okay. So today, it’s quite interesting because in a week from now, I will be getting married. That’s a huge deal. Slightly huge deal. I thought, what a great time to reflect on life, my career, and on the new journey as a partner and a wife. Happy wife happy life, right? That’s why I’m sitting in front of this. I can show you this now because this will be after the wedding. Oh yeah. Oh yeah. I did get neon signs for my wedding. I’m pretty pumped about that. Yup! That’s right. That’s what I’m getting married under. I am that crazy. Anyways, I’m super excited. It inspired me to launch this series. It’s part of Keri TV and it’s about fifteen lessons I’ve learned after fifteen years of being in real estate. Yes, I have been selling condos and homes for fifteen years. I worked a little before that in real estate, but as a licensed agent. I wanted to share a little bit about what that takes.
You’d probably be surprised to find out that eighty-seven percent of licensed agents that get into the business fail. Eighty-seven percent. That’s a huge failure rate. I think most people would be pretty surprised to know how challenging real estate is. There’s a whole variety of reasons. There’s a big myth that to get into real estate, you just walk around mansions in heels talking fast with big commissions. There is so much more. It’s very intricate. If you’ve been following my series you know a little bit about that, or a lot about that. What’s also really interesting is that there’s two million licensed agents in the US. The average income, probably also shocking, of American licensed real estate agents is forty thousand dollars a year. Forty thousand dollars a year. You cannot buy a home in California with forty thousand dollars a year income, unless you’re financing or paying cash for most of the home. Always a caveat, right? Never say never. Never say always. I’m going to share on this new fifteen episode series, as part of Keri TV, fifteen lessons about real estate that I’ve learned each year with a lesson. I think you will get a lot of great info.
Stay tuned. This is a short video today. I know, so sad. We are getting married next weekend. Things are crazy. I’m loving reflecting on everything that’s happening, just looking inward and all the relationships with people in my life, my bridesmaids, and of course, my future husband. So I’ll see you in a couple of weeks as Mrs. Crumbaker. What? Don’t worry. My real estate sign will say Keri White forever. Cheers guys.
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Hey everyone! It’s Keri TV. This week we are talking about a very hot topic that I talk about all the time that takes a lot of time and energy during the transaction. It is very important. It is the request for repairs. Not just the repairs, but the process of the request, how to prepare for it as buyer or seller, what it entails, the setbacks, and the good parts about it. So stay tuned to talk about requests for repairs during a transaction today. Thrilling, right? It is, trust me. Stay tuned.
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Okay. So, during a transaction, there is 14(b) per the contract, your inspection period process. Your inspection period time frame. During this time, a buyer can inspect. They can bring in everyone under the sun, including the homeless guy off the street. They have their time. They are allowed to have as much time per 14(b) as it’s stated to do their inspections. Now, for a seller, it can be a little annoying when they have twenty inspectors, but hey. They’re buying a house. It’s one of the biggest transactions of their life, most often. Everyone needs to be patient during this time period. It is very difficult to get inspectors all in at the same time, but that’s always the goal on both sides. So prepare yourself and be patient.
The way it works is you have a general home inspector who comes in. Think of them like your doctor. You go see your doctor, and if anything is wrong further than the regular check-up, they refer you to a specialist: pediatrist, optometrist, etcetera. The home inspector works in the same way. They do a general scope of everything at the property. If they think you need further evaluation of the roof, the heating and air conditioning unit, or the sewer system, you then pay additional inspectors to come out and inspect the property. Now, some people go and do all the inspectors right away, which can be around two thousand to three thousand dollars, because they really want to make sure. I would never advise not doing this, of course, because inspections and buyer beware. You have to do all your inspections. The seller doesn’t know everything that’s going on with their home. Surprisingly, most of the time sellers didn’t know when something comes up. There’s a leak under the kitchen sink? I didn’t know that. Don’t be alarmed on either side if you find something or if the buyer finds something.
During this time period, it’s important to note that the property is sold as-is. It is written in the purchase agreement. The property is sold as-is. Now, the seller and buyer may elect to negotiate repairs for credit. That is totally fine. That’s all part of the 14(b) contingency time frame. If a buyer submits a request for repairs to a seller, this does not eliminate their right to cancel. This does not mean that they agree to anything by sending a request. This goes along with the disclosure. The seller disclosures that are sent out by day seven include everything and anything they know about the property. It also includes insurance claims, past repairs, upgrades, things done without permits, environmental issues, and anything and everything that they know about. A lot of times buyers ask me, if I sign these, does that mean I’m giving up my contingency? No. Not at all. For a seller, just because you have those signed back by the buyer it doesn’t mean that they’re accepting it. They’re just acknowledging the information, which is very helpful.
The best way to submit a healthy request for repairs and the best way to present one to a seller is one that has quotes on it. If there’s mold that’s found, you have the mold company come out and give a quote for the remediation but also provide air samples to let them know that there is actually mold found. If there’s some shingles missing from the roof or some patching that needs to be done, have a roofer come out and tell you exactly how that works. Sewer system, maybe the pipes are old or there’s some roots, they need to come in, do a scope and let you know what needs to be done there and what needs to be replaced. There’s a lot of work that goes into these. It can be very complicated because if you get three different chimney guys out, you get three different quotes for a chimney. It’s really fun. It happens on every deal. Mostly every inspector says something different. You’ve really got to get together, whether it’s yourself that’s buying or with your partner, and go through them all with your real estate agent and say, what are we really looking at here? What’s the worst case, the best case, and the most likely case? As I always say with everything, best, worst, and most likely. So, the best way to have a request for repairs submitted is with all the quotes and explanations.
What types of things do you usually request? Great question. That was my question. Not to have the ceiling scraped, a repaint job, or things that are cosmetic. Generally, the rule of thumb is health and safety, electrical outlets that aren’t grounded, if there’s mold, or if the heating is not working. Things that do present a problem. There’s some things like balcony railings or steps that the code has changed so much that now they’re not to code, even though they were like that for years. Those are some of the pushbacks you get. It’s important to know that, really, the seller does not have to do any repairs. They might, just to keep things moving along, help with certain things that are surprising and not known to the eye or health and safety. Some sellers have an insane pride of ownership. They see that report and fix everything on it so fast. You’re like, wow, thank you so much. Others think my house is the bomb.com. Nothing’s wrong with it. Go do your own repairs. You get all sides of the spectrum. It’s a big rainbow of emotions and personalities when we’re dealing with the requests for repairs.
I’ve said before, it’s kind of like two parents that each have babies. They’re arguing over whose baby is cuter. One person’s like, your baby is so ugly. Your baby has so many problems. That person’s like, don’t talk about my baby like that. That person’s baby who’s ugly thinks their baby is the most beautiful baby in the world. House negotiations and requests for repairs are exactly like this. There’s a little bit of ego involved because, hey, it’s your home. It’s where you’re making memories. Someone’s coming in and telling you there are things wrong with it? Just keep in mind this is all part of the process and a way to have the buyers have a comfort level with what they’re purchasing. You don’t need to do everything on there, even if an inspector suggests it. Not everything that the sellers offer credit for the buyer will end up doing. It’s really a matter of getting comfortable with the process and seeing the real issues of the home.
Keep in mind that the process of submitting a request for repairs does not remove a contingency. When the seller responds, they have three options. They can accept it, great. They can counter it with terms or price, or they can completely reject it. I see, most often, people are giving something or trying to help to move things forward. It’s important to keep in mind that every report that the buyer does, inspection, or quote, must go to the next buyer. That is also something that happens during the escrow process. The seller most likely will try to help with things because they know the next buyer that gets in is probably going to want that fixed or credited for as well. It’s very important to keep that in mind. Everything gets disclosed per the contract to the next buyer.
Okay, something that’s really important. We come to terms with the request. Then, at that point, the items are done after contingencies are released and before escrow closes. You do a walkthrough. Or, the credit is applied to the closing costs. Keep in mind that when a seller answers, the buyer can also accept it, reject it, or counter it. Keep in mind if the seller offers something and the buyer comes back and changes it, the seller could take away everything that they already offered. You want to tread lightly on this. Try to be fair. I’m all about win-win scenarios where both the buyer and seller feel like they’re coming out ahead. Another super important factor with the requests for repairs, when you’re asking for repairs to be done, it is very challenging to have repairs done and check that contractor’s work. They’re fixing pool equipment. You go back in and everyone’s like, well, is it fixed? You kind of stare at it like an idiot or you pay all the people to come back. Or, one thing I suggest, besides asking for a credit, is to choose your contractor or say that you need to approve the contractor and get invoices and receipts. If you’re asking for items to be done, water heater to be moved, cords to be cut, sockets to be grounded, say I would like it to be done by a licensed and insured contractor. I would like to receive quotes and review their licenses. Or, ask for a credit.
It is sometimes tough when these things get agreed to, and guess who does the work? The seller! Which, in a lot of cases is fine, because sellers do a lot of stuff around their home. My dad could build houses. My dad’s amazing at everything in life. Keep in mind that you want to be careful going through the process to make sure that you cross your t’s and dot your I’s.
Requests for repairs is the number one reason properties usually fall out of escrow. It’s a very tricky and confusing process. I hope this video has shed a little light on how it works and how you’re protected. Good luck negotiating out there. I hope that was helpful today and we will see you guys next week. Cheers!
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Hey everyone, it’s Keri TV. Today I’m going to talk about – Keri TV! Oh my gosh. I’m such a nerd. Okay, so I want to talk a little bit today about doing these videos, because we are over forty episodes now. Oh my god, who has been listening to me for forty episodes? Comment below. Right now. Just kidding.
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Okay. The thing with videos is it is the way of the future. You’re either embracing it or you’re not. They say that most everything is going to be done in video soon where it used to be photos. Look where we went from Facebook, where it had all the text and now, it’s Instagram where it’s mostly photos. People don’t even read the captions. Now it’s stories. What’s really interesting is a lot of these are done on mute. The people that are doing these videos want to create a really compelling visual story. I wanted to talk a little bit about doing these videos and inspire anybody else who’s wanting to do something like this for their business, whether it’s real estate or elsewhere.
The first one is you will never, ever, feel like you’re doing a good job. Every video, you think, will be bad. It’s not about being prefect. Who you are in the camera is who you are every day. When you get up and look in the mirror, if you feel like that’s a good thing, that’s what you look like on camera. We can’t hide who we are, and people, if they’re your clients or people following you, they know what you look like anyways. The last time you showed up you looked like you. On camera, you’re still you. There’s no reason to be shy. These aren’t filmed live, or they usually aren’t. Take a hundred takes if you need to. Have a glass of wine before you do them. Just know that nobody likes being on camera. Well, that’s not true. I’m sure some people do. Most people come up to me and they’re like, oh, I could never do those. You’re just so good at them. I’m like, the self-talking that goes through my head before I do videos, trust me. I’m right there with you. But at the end of the day, I get so much enjoyment from the amount of knowledge that I get to push out to the public and the great feedback that I get from people, so screw it. I’m up here being big goofy me. It doesn’t have to be perfect. I can blunder my words. Whatever. It happens.
Two. Another tip for doing videos is lighting. Of course, lighting is something. That’s why they have those beauty lights. That’s why the YouTube bloggers use those lights, but make sure you’re doing your video somewhere where there’s light. A lot of times just standing in front of a window is great, like I’m doing now, or when you’re out and about where the sun hits, but if you’re in a dark room or somewhere dark, it’s not going to look as good. It’s also not visually pleasing when people are watching it, which is also leading into my next point, which is your equipment.
The iPhones are so technologically advanced. It is really easy to shoot it on an iPhone. I actually use a Sony camera, just because I think it’s easier. The only problem with using a camera like that is you don’t have the option to use a microphone. If I’m filming with people that are out and about or on the streets, it’s not as easy to hear me. That’s something I could upgrade. Maybe I could get a different camera. I’m not sure. I haven’t had time to research that. If you’re using an iPhone, you can get any type of microphone so it’s a lot easier if you’re interviewing somebody. When it comes to equipment, use some type of tripod. Sometimes, when I’m out and about I’m a little shakier because I don’t have the immobilizer for my Sony camera. I could get an immobilizer for my phone, but I don’t film on my phone. Again, use something to keep it stable, because people don’t like it when you’re shaking around. I have a little jovie tripod that I use. Sometimes I hang it from trees or from things, but using good equipment makes a big difference. Your iPhone is just your iPhone, but the Sony and Canon cameras are only three, four, five hundred bucks. Of course, you could go to a professional and do it that way, but that leads me to my next point.
You don’t have to spend a lot of money. A lot of people think you need a whole production and to hire a crew. Yes, you could do it that way. But the world is in a place where everybody wants something that’s raw and authentic. They want to just see you, whether it’s on a Sony camera or an iPhone, but they just want to see that authentic side of what you’re doing, your profession, or who you are. So, just be authentic. Don’t spend a lot of money. You really don’t need to. That leads me to my next point.
Get an editor. Maybe you can edit videos. I don’t know. I am not good at editing. I think it’s definitely a specialty. Take the money that you’re not spending on the production and put it into a great editor. Somebody who can really make the video flow, cut out any of your um’s and uh’s, and put some nice text graphics or something so that you can brand yourself. Keep in mind that branding is really important.
My last point is to be creative. Try to think of things that are engaging that people want to see. If you’re watching videos, what makes you stop? What makes you press play? What makes you go to Instagram TV? Get creative with it. Have fun with it. You know, if your job has some ups and downs, share the ups and downs. People love hearing about the story and the back side of things. The back side. The behind the scenes of things.
Those are just some tips on Keri TV that I do every week. People always tell me that it’s so easy and etcetera, but there is a lot. There’s a team that goes into making this happen. It’s important for us to get knowledge out, but it’s not the easiest to get these videos done every week. We are now over forty weeks in. Yay us! I promised I would do this until the summit, which is next month in August. We’re almost there. Cheers, guys. Enjoy your Tuesday!
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Hey everyone! It’s Keri TV. Today is a public service announcement. PSA. Stay tuned.
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So, if you’re just tuning in, my real estate channel is about tips, information, inside scoops, behind-the scenes, and just a little bit about everything about the real estate world and lifestyle in LA. If you haven’t been watching before, subscribe below.
Today’s PSA is about the current interest rates. There is so much going on with the market right now in the headlines. As we know, they are very sensational. They are trying to get you to open the link and read the paper. What’s really important is to listen to the actual facts of what they’re trying to say. The market has shifted in a way that is so different from how you would think. It has not declined. It’s not going to decline. The recession that’s happening will not impact real estate home prices. The last four out of five recessions, if you did not know, did not impact home prices. The last recession was caused by home prices. What’s important today is to look at the facts and to make sure that you are aligning your goals with buying and selling or buying your first home with what’s really happening in the market and making sure you time it so your lifestyle fits into what you need. You should never try to time the market. It’s something you can’t quite gamble on. However, you can look to see what the specialists, Goldman Sachs, Freddie Mac, Freddie Mae, and Wall Street Journal, are saying about pricing.
Now, we follow every day. We look at articles. We watch interest rates. We speak to our trusted lenders to see what’s going on. Now, what has been so incredible – and I can’t drill this in enough – are interest rates. Interest rates are at an all time low right now. You can have a rate change half a point to a point and it impacts the purchase price by fifty to a hundred thousand. Instead of waiting for prices to come down, follow the interest rates.
For example, interest rates last quarter, October and November, were up at four point eight, four point nine percent. As of last week, interest rates were at three point three seven and three point four. That is over a point and a half lower. To give you an example, on a million dollar purchase, your difference with putting twenty percent down on a thirty-year fixed, from three and a half percent to four and a half percent interest rate, changes your monthly mortgage seven hundred dollars. Just from one point of an interest rate. That means, if you’re out looking at a property for a million dollars, you’re actually getting it at a price of nine hundred thousand, because of the interest rate. Now, flip that to a two million dollar purchase. If you’ve got the rate of three and a half to four and a half, that monthly mortgage changes by fourteen hundred dollars. That is a lot of money. It has nothing to do with the home prices. So, if you’re wondering why things have picked up and been a bit of a sprint lately, it’s because people are trying to take advantage of those low rates. Even if you bought a property a year ago, or two years ago, you probably are paying less than what that person did, even though the prices are higher by maybe twenty-five to fifty thousand. It’s so important to know how the interest rate impacts your purchase. It’s not about the prices. It’s not about supply and demand. It’s about the interest rate.
With that being said, when it comes to supply and demand, there is such a demand for property in Los Angeles. It’s such a change. I’ve been doing real estate in LA for over fifteen years. I should say since 2005, in case you watch this five years from now. It’s a different market out there right now. There’s so many jobs coming into town. Google is opening up where they took out the mall where the Landmark Beaters are. I hope they’re keeping the Landmark Beaters. There’s so many jobs and people moving in from San Francisco, New York, and Texas. So much is happening. They have money to purchase. They have great jobs. They have stability. They want to be here. Who wouldn’t want to be in Southern California from the tech industry? Hello, it’s amazing. There’s a big difference in who the buyers are. We have a whole pent-up section of baby boomers who haven’t moved out of their housing because they’re living longer and they’re not moving into senior living home. I have to say that correctly. The ADU rise, Accessory Dwelling Unit, is insane, because people can now build a back unit and they can rent out their space. They can have an in-law so they need to move up. There’s definitely a pent-up demand that needs to be released, but for the time being, the recession that’s happening – not for the time being – but the recession that’s happening is not going to be impacting home prices.
The people predicting the recession are predicting that it will not impact home prices. Home prices are expected to go up three to four percent over the next year. If you’re waiting for some type of crash, I would stop waiting and I would jump in and do something. If you’re selling to buy, of course, that’s a whole different animal. There’s never a better time to get in when interest rates are low on your purchase.
Some things to keep in mind with what’s happening out there in the market. Of course, follow the interest rates. It is insane how much of an impact a half a point can have. You have about seven hundred between three and a half to four and a half on one million. You have about fourteen hundred on a two million purchase. The difference between a half a point, instead of speaking seven hundred and fourteen hundred, it’s about three fifty. On a million dollar purchase, even if the rate goes up half a percent, you’re spending about three hundred fifty more. If you’re buying a condo, because we have a lot of condos up to two million around here, that’s an HOA payment that you just wiped out, if the interest rate is half a point lower. So, make sure you follow the trends. Use your specialists. Follow the interest rate. It has never been a better time to buy due to these interest rates and due to the market appreciation. And just, hello? Living in LA.
That’s Keri TV today. For more latest information on the industry, what’s happening, tips and tricks, behind-the-scenes, and everything about the crazy world of real estate that [laugh] is at the agency with the Keri White team, then subscribe below. Cheers guys. Take care.
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Hey everyone! It’s Keri TV. We may have found a new home for these episodes. We just redecorated our offices. We are spring cleaning, summer cleaning, feeling the freshness, and that’s why I want to highlight today’s topic, which is, how to stay ahead of negativity and toxicity in transactions. Stay tuned.
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It is possible to clip the negativity from your business. If you are transparent, proactive, and upfront, you will eliminate a lot of the drama from a transaction or a relationship. These are the things that we focus on around here and try to be examples to the rest of the real estate community.
First, be transparent right out of the gate. There’s no room for grey area when you are clear cut on your expectations of how you work, who you work with, and what you expect out of a deal. This goes on all sides. The client’s expectations, agent’s expectations, and the transaction. We don’t like grey area because, even with the most difficult client, it’s not easy for them to be upset or frustrated by a transaction when you are clear cut on your expectations. We can’t control what happens in a deal, but we know how we solve them and how we show up to the deal.
Two. Don’t wait until tomorrow if it can be done today. Problems do not go away with time. They actually get worse. If you are aware of anything in a situation that is going on, let people know right away. They respect you more, there’s less of a headache, and you can all brainstorm and work together to make it happen. This could be if you’re going on vacation and you’re flying. You’re not able to sign docs. Maybe you’re not okay with a certain amount of repairs. Maybe somebody’s going on or off contract. Maybe you’re getting married. Make sure you all focus and work together today. Trust me, sleeping at night is a lot easier when you bring up any issues in a transaction or relationship as soon as possible. You don’t even realize how much it’s weighing on you.
Creating distance or boundaries. Now, we all know that we can be pretty 24/7 and pretty available all the time. All of us. Any side of the deal. Escrow and lender’s used to only be nine to five, but now a lot of times they’re working after hours. They’re available on weekends. We have their cell phones. This never used to be the case. What’s expected? What is demanded? Whatever way you work, make sure that you set those boundaries upfront. Maybe you are working in production and you’re not available at certain times during the day or it’s really difficult for you to meet and sign paperwork. Let everybody know. This is how I best operate. Let’s make sure everything is done at once. Say you have a baby that naps in the afternoon, on either side. Let people know. Hey, I’m not available at this time. I can’t show the property at this time. That way, everybody knows upfront what to work with. Maybe there’s a tenant at the property. Maybe the property is also for sale and you’re leasing it, so they have to allow showings. Letting things like this linger only gets worse. Make sure you’re clear cut with how and when you work, and people will be a lot happier.
Build your network. It’s very true that you are the average of the five people you spend the most amount of time with. If you are hanging around with people that are negative, frustrating, or mopey, you will be those things. You don’t really realize it. How often do you hang out with somebody who has an accent and then you find yourself speaking a little more like them when they leave or using some of the slang that they use? Maybe buying something that you saw them wearing that they told you where they got it from? Oh my god, that’s cute, where’d you get it? Zara, ah. Zara.com. Of course. Building a network around you with people that are positive and support you, and support each other in transactions and, unfortunately, some of the people involved are terrible. I mean, it’s frustrating. Letting them know how we operate and what we expect upfront creates a smoother environment for everybody involved. We really strive to create an environment that’s less toxic. We love working with people who also want the same things.
So, that is our Keri TV today. We’re liking our new setup. Everybody outside is really loud, but it’s fine. It’s fine, because my expectation was not to film this late in the day. There we go. Taking my own advice. Happy Tuesday guys. See you next week.
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Hey everyone, it’s Keri TV. In case you haven’t seen this channel before, we talk about all the important aspects of real estate, buying, selling, investing and, because real estate is a lifestyle, anything to do with my world. Hence, Keri TV. If this interests you, then subscribe below. Let’s go see what we’ve got in store today.
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Today’s topic is going to be the home inspection. The home inspection is the most important part of the home buying process. We are live here today at a home inspection. So what exactly happens during this home inspection? Well, you’ve got your five big guys that the inspector’s looking for and at. Your roof, your plumbing, your electrical, your structure, and your foundation. They’re also taking a look at big-ticket items such as your water heater, sewer cleanout valve, the HVAC, which is your heating and air, and things that could be most costly when buying a home. It’s also informative, letting you know where things are at, maybe things you could do in the future, and bearing walls. Lots of good information.
Here’s three tips I recommend when doing your home inspection. One, get a good home inspector. Make sure he’s certified, licensed with the state of California, and comes recommended. Ask your family and friends. Ask your realtor. Check reviews online. Make sure you’ve got a good quality person inspecting your future home. Two, be proactive. Go through each room of the house. Be prepared upfront to find out where the crawl space is for the attic, where the sewer cleanout valve is, and all these items that you’ll need to inspect during the time that you’re there. Three, read the report. I know it seems daunting and it’s sometimes thirty pages, but just go through and read, because not only are they speaking to you about any possible repairs or damage, but it also speaks to you just general information about the house. Where to find things. Where the HVAC is kept. Where, like I said, sewer cleanout, crawl space, attic space, where the sprinklers are, where your water shut-off valve is. All the things. That’s the basic play by play.
Keep in mind, all these inspections are done within your contingency timeframe. If you decide there’s issues that are too big for you or if you want to submit a request for repairs to the seller, you have that time frame to cancel or submit a request without forfeiting your deposit. Make sure you stay on top of your timelines with your realtor and that they’re informing you of when those time frames are up, and you’ll have a successful home purchasing experience.
Stay tuned for next week’s episode. Don’t forget, if you like what you hear, subscribe below.
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Hey everyone! It’s Keri TV. We’re going back through Webster’s Real Estate Dictionary today to define some more real estate terms.
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Today’s terms are specific to buyers. Last time we did one, we were focusing on sellers, but so many of the words are used on both sides of the transactions. These words today are both buyer and seller, but specified more so for the buyers.
So, the first one is appraisal. Appraisal is what a bank does to determine the property’s value to give them, the buyer, a loan.
As-is. This is important. Every real estate contract has a clause in there that means the seller is selling the property as-is. Does the buyer have a right to ask for repairs? Yes, but all properties are sold with an as-is clause.
BOM. Back on the market. I did this last time as well. This means the property was either on hold or in escrow, and is now back on the market. A BOM does not mean it was necessarily in escrow. It could’ve just been on hold or withdrawn for a little while for whatever reason. Don’t be too worried about BOM’s, but that’s a common word we use. BOM, DOM, days on market.
Back-up offer. What’s a back-up offer? Back-up offer means somebody else has an offer on the property that is accepted, but it’s subject to the current buyer, or the current escrow, canceling. The reason you would want to be back-up buyer is because, if that escrow cancels, it goes straight to you. You are then under contract, versus going back out to the market, the MLS, multiple listing service, which is another definition.
Multiple listing service is where we put all of the properties for sale and that are sold, so that all realtors who pay a fee and are part of the California Association of Realtors can access. This also is to syndicated out to Zillow, RedFin. Everything comes from MLS, the main hub.
Bidding war. Of course, when more than one offer is on a property, it’s technically called a bidding war.
Broker’s tour. You may hear broker caravan, broker tour, or broker preview. That’s specified for agents to go see the property. The public is allowed to go as well, but it’s just called a broker’s tour. Often people ask me, can I go if it’s a broker’s tour? Yes, you can.
Closing. What is closing? Closing is when you buy the property or sell the property. When the deed is signed, the money is transferred, and the property is closed. They call it a closing. Closed. It’s really not called many things besides that.
Transfer of title. It’s closing. With the closing you have a closing statement. On the closing statement it will go through all the costs involved of buying or selling. It’ll go through closing costs such as your escrow fees, lender fees, title fees, insurance, proration, taxes, etcetera. Your closing costs are just that. They are, again, the same exact costs I just laid out. It’s considered a closing cost. Through escrow, you only need to pay your inspection fee or your appraisal fee. All the closing costs are taken out of the close of escrow.
Credit score. This is a number ranging from 300 to 850, and is based on your credit history. This is what banks use to determine if you are credit-worthy and if they want to give you a loan.
Down payment. What’s a down payment? Down payment is what you put down towards your loan. This can range from, typically, three to twenty percent. You can do three percent, five percent, ten percent, or twenty percent. Again, consult with your mortgage lender, but that’s what the down payment is. That is not given until a few days before you close escrow. Remember what closing is.
Mortgage rate. This is the interest rate you pay on the loan. Right now, interest rates are really low, so it’s a good time to buy.
Pre-approval letter. This means that you’ve spoken with a lender and they have pre-approved you for a loan. Most offers are all written with a pre-approval letter.
Comparable. Comp. You hear this all the time. Run comps, what’s the comp, that’s a comp. Comp means comparable property, meaning it has similar features, size, shape, condition, location, and view, and you use it as superior or inferior to the property to judge the value.
Contingency. Refer to another episode where I talk about contingencies. These are certain requirements and expectations for the buyers and the sellers throughout the transaction.
How exciting is this video? It’s pretty thrilling, right? Buckle up.
What else? Counteroffer. What’s a counteroffer? When you write an offer on a property, the seller can either accept, reject, or counter. Counter means they have accepted all your conditions except for what is on the counteroffer. Then, you can decide if you’re going to accept that or counter that back.
Earnest money. What is earnest money? When you go into escrow, which is a trusted neutral third party, who acts on behalf of both parties, you put in your earnest deposit money, which is also called a deposit. That’s usually three percent of the purchase price.
The MLS we went through.
Pending. This is what I get a lot too. What does pending mean? What does under contract mean? Why did the property disappear? If the property is under contract, meaning the buyer has written an offer and the seller has accepted, it is then in escrow.
Under contract, again, lingo. Usually, when the contingencies are released, the property is then changed to pending, meaning it’s pending. It’s just waiting to close.
Walkthrough. Walkthrough is your final stage. It’s when you walk through to make sure that the house is still in the same condition as when you offered on it. Maybe there were repairs done, so you take a look at that. The walkthrough is the final time where you’re saying, yup, I love it. You’re wiring your money and then you go to closing. Escrow closes the property and then you become the new owner. I don’t think I need to explain what an owner is.
So, some quick tips and lingo. I think that’s really helpful for anybody out there listening to the way us realtors babble on and use all these terms. Cheers guys. Happy Tuesday, and we’ll see you next week.
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Hey everyone! It’s Keri TV. It is just after six in the morning. The reason why I look a little casual today is because, when I got up, I was really hoping to get that six am Pilates class in. It was just one of those mornings. 5:45 wasn’t going to do it. You know what? I got up and I thought, I’m not going to beat myself up. I’m going to do something different. That is, film an episode. My hair is up. If you watch me on Instagram you see this all the time. Today’s episode is inspired by, do the thing, have the power, the BTS of the morning routine, and your mindset. How it really all works and the rawness to it. Stay tuned.
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Okay. Most people think that I wake up and my pants are just on fire every day. I’m so excited to hit the road running. Well, of course, I’m a new day person. I’m a morning addict. I love the idea of a fresh start, a clean slate, and a new day to do whatever you want. The reason I felt compelled to do this today is to have a little bit of the rawness or the authenticity of who I am as a person, an agent, and what I want to bring to Keri TV. The whole point is that things are not always easy in your life. There’s sometimes situations that happen to you that can be extremely heartbreaking. Or people in your life may not be doing well. Breakups, losing a job, health issues, and so many different little things. As I’ve mentioned before, it’s a little bit of a spinoff of my “Sh*t Burrito” video. The point is, every day is a new choice and a willingness. Nobody is more inspired than the other person. Nobody has more drive. It’s just, you get up and you do the thing.
One of the most powerful statements I was told is, do the thing, have the power. For some reason, when I learned that in the Tom Ferry organization of coaching, it just made sense. Do the thing, have the power. When the alarm’s going off and I’m tired, I’m like, do the thing, have the power. When I don’t want to go to the gym, do the thing, have the power.
Starting with the morning routine, as you know if you follow me on Instagram, I’m usually up and at the gym doing some kind of workout in the morning. Of course I take off once or twice a week, but that’s just my jam. I get up, do my journaling, and get to the gym. Now, this morning, I realized that Eric and I were dancing last night practicing for the wedding and I’d worked out every day this week so I thought, you know what? I’m not going to do my workout. I’m going to talk a little bit on Keri TV about mindset. This year, particularly with wedding planning, hasn’t been that smooth sailing. Wedding planning is a lot of work. It’s a combination of many different things. Two families, friendships, finances, and time. That can all create a little bit of stress, especially when we work so hard to give our clients seven star service, so to speak. Having that extra boost this year and those extra minors of all the tools that I was taught years ago and applying them every day is so beneficial.
The first one is mindset. You don’t just get a positive mindset like that. It’s a muscle. It’s like working out. You have to work it and massage it every single day. When I understood or learned that mindset is the same as workouts and muscles, it just totally clicked to me. Okay, so I have to work at this. I have to keep doing it. Stretch it. Stay on the game. Sometimes I don’t go for a little bit. Sometimes I push too hard. That made all the difference in the world. They always say working out is good for your mindset. People either do it or they don’t, but that adrenaline rush, the endorphins, and all the things that are triggered when you’re moving your body, dancing, walking, or anything, it fires off this positive – I don’t know the science behind it, I’m not these people – it fires off something that elevates your mood like crazy. That’s why I’ve said, if you’re ever in a bad mood, go for a walk. But dancing? I was dancing all around the house all night last night, even though my calves were sore and I was exhausted.
The first thing in the morning that I do, and I love this, is my grateful journal. I know. You really do that every day? It is something that I have really made a priority. Now, this was actually back in 2016, I was in a group where we would text each other this every day. What we’re grateful for, reflections from the past day, affirmations, the month’s goals, and the year’s goals. I have sheets and sheets of these that I’ve done. We would text them to the group because we wanted to be accountable. Showing everybody what you’re grateful for, your affirmations and what your goals are, it’s a little, well, talk about being accountable. There’s times where I don’t do it for a little while. Then I get back on it. I have a new book from WIRE, Women In Real Estate, with the Tom Ferry program that I love. I’ve been so disciplined with doing this book. It goes through what I’m grateful for, my daily focus, my outcomes, my most important actions, and then at the end of the day, I give myself a score. What did I learn? What did I win? What are my goals for tomorrow?
Now, doing this every day really sets such a different intention. I say to the people around me, if I wake up or if anyone wakes up and they’re on emails right away, and they’re, ‘phphph’, it’s all about everybody else’s agenda. Wake up, get centered, do your journaling, your gratefuls, move your body, and then do the things that you need to do to have the power for the day, whether it’s important tasks or the hardest tasks of the day. Jumping on emails is all about everybody else’s needs. Of course, I’ll do a quick scan for any emergencies or anything super important that I know I need to let the team know we’re doing right away this morning, but the mornings are the most sacred time when no one else is around.
When people say to me, oh wow, you’re such a morning person, it’s not that I love to be up early. It’s just that I love the idea of my me time and my alone time. The time of the day is perfect. I don’t ever wake up where there’s already something wrong. Of course, things go wrong in the middle of the night, or your personal issues in life happen or you hear about something. There’s a shooting. All that horrible stuff. Morning is really the time of day where nobody has come in and tried to upset you, brought their ego into the deal, told you that you’re ridiculous, or any of the above. That’s one sacred time of the day where it’s just you.
I’ll be honest, it hasn’t been the easiest this year with all the pressures of the wedding planning, and I’ve had to hyper focus and double down on everything I do to make sure that I am being the best me, that I’m showing up as the best agent, the best team leader, the best fiancé, or the best daughter, and I just want to be open. It’s not just, jump out of bed with your pants on fire. It is something. It’s a training. It’s a mind workout. You just have to stay focused and do it. Because, do the thing, have the power. Surround yourself with people that make you feel better, encourage you to do better, and look at life in a positive way.
So, in closing, keep your mornings sacred, journal your gratefuls, get your body moving, focus on your intentions for the day, surround yourself with positive people, and just know that the days when it’s the hardest are the days that you have to push through. That’s a little bit of a rawness to Keri TV. It’s probably close to seven now. Do you think I’m going to go work out? Probably just shower and it’ll be my off day today. I’ll be honest. Alright, this is called active workout wear. Cheers. Have a good one.
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Hey everyone, it’s Keri TV. This episode today is inspired by Jessica, one of our awesome team members. Thank you, Jessica, for inspiring me to make this video about contingencies. What in the heck are contingencies? Stay tuned.
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Alexa, what is a contingency?
ALEXA: The noun contingency is usually defined as dependence on chance or on the fulfillment of a condition; uncertainty; fortuitousness.
[clap] Episode over. JK. Okay, so when you get into escrow, you have certain contingencies that are built into the contract. Now contingencies go along with time periods, time frames, and cancellation rates. As a buyer, when you get into escrow, there’s usually three common contingencies that you have. As a seller, when you get into escrow, you are not able to cancel unless the buyer defaults on the contract. It is the buyer’s right. It is the buyer’s playground, so to speak, once you get into escrow. It may not be a buyer’s market, but it’s a buyer’s playground once you get into escrow. Let’s talk about what these contingencies are.
Now, usually the contingencies are your physical inspection contingency, your appraisal contingency, and your loan contingency. Now, the contract has a standard of seventeen days for physical, seventeen days for appraisal, and twenty-one days for loan. Usually, the contract also closes escrow in thirty days. Now, most of the time, these contingencies are shortened. Maybe just the physical to ten days, but the loan and appraisal usually stay between seventeen and twenty-one. Sometimes they’re shortened down to seventeen on the loan side. The reason they’re shortened is to strengthen an offer, which is another video, but I want to talk about what these contingencies are, what the timeframes are, and what they mean.
When you get into escrow it can be a little bit daunting. I’m giving this three percent deposit. I don’t know enough about the property. These contingencies are built in to help protect a buyer get through their investigation process and it helps to keep the escrow organized because the seller has these time periods. They need to perform – get signed documents, get disclosures, and get information over to the buyer. The buyer also has to perform their due diligence and their inspections within that time period.
The first one, the physical inspection contingency, 14(b), as our favorite little 14(b), he’s the, I don’t want to buy it anymore contingency, so to speak. It has to do with your investigation of the property. Now, this is not limited to your physical property inspection, but it also includes all seller disclosures, documents, escrow documents, and any disclosure whatsoever in any shape or form. The seller has to deliver all documents within seven days. That’s in the contract for time periods, unless we have changed that, shortened it or lengthened it for any reason. After that the buyer has, if documents are delivered after the contingency date 14(b), the buyer automatically gets another five days to review those documents. Don’t worry if the seller gets you documentation late. It does not impact you losing your deposit by any means.
This is a question I answer a lot when it comes to offers. It’s the idea that, when the date comes up, you automatically release your contingency. This is not how the contract works. It’s not a passive contract. It’s active, meaning you always have to actively perform, sign, and do the thing. In this situation, if you were to get to say, today, Tuesday, the date for contingencies, and you haven’t released your contingency yet, the contingency continues. It’s called continuation of contingency and the buyer stays in escrow until the seller either sends them a notice to perform, and they have two days to cancel, or the buyer releases contingencies. There’s a common misconception that you automatically lose the right to your deposit. When it is time to release your contingency, meaning you have taken on the responsibility of what you found. You’re taking ownership. You are saying, okay, I know this is what’s going on with the property. I’m ready to go. 14(b) is the most important contingency because it’s you getting to know, do I want this property? Does this work for me?
Aside from that, the next contingencies are appraisal and loan. Every property gets an appraisal done. The bank sends out a person to appraise the property – appraiser. How many times can I say appraisal? They look at areas of comparables, within usually half a mile to a mile, that are similar, superior, and inferior. They have this long universal appraisal form. They send it to the bank and say, yes, this property appraises at this price. It is worth this much. The bank wants to know that nobody’s scamming them, one, or that the property is a good value. The bank does not want to loan on a property that’s not worth that much. Right? Makes sense! Now, if the property does not appraise at value, that appraisal contingency protects the buyer. They can then cancel the transaction and get their deposit back. If the appraisal does not come in at the value, they have the option to renegotiation. The seller does not have to renegotiate, though, that’s what’s important. This has happened a variety of times over the years. Sometimes the seller says, I don’t care. Other times the buyer says, I don’t care. It brings in more money. Sometimes they split it in the middle. Sometimes it cancels. There’s a lot of different scenarios for this. This usually happens within seventeen days. What’s really important, once you get into escrow, is to get your appraisal ordered right away. There’s some people, not often, that wait to order their appraisal until they do their physical inspection. Then we are so far behind the timelines. There’s no good faith being acted on. It’s a very stressful angry escrow. It’s just not fun. The contract is a contract, black and white. When you get into escrow, you play by the rules. This contract is all about negotiation, but each party has to play by the rules. You have to allow the buyer access and the buyer has to do their inspections and order their appraisal and work on their loan. You have two people in perfect harmony, most of the time.
The third contingency – and these aren’t just the three contingencies – but the third standard contingency is your loan. If, for some reason, your loan does not get approved, maybe you didn’t tell them that you had a secret child in another state that you’re paying alimony on, or you didn’t tell them about a secret credit card. There’s a few different things that can come up, but most of the time, lenders put you through pretty strict underwriting before you write an offer. If for some reason your loan does not get approved, then you can send a cancellation form. Now, of course, in that situation, you could try to renegotiate. You can also, on any contingency, request an extension. Nothing in the contract can be changed unless the buyer and seller have both mutually agreed, in writing, to do so. The contract is black and white.
Some of the other contingencies that could come up could be for sale or purchase of a buyer or seller property. If the seller needs to buy something to sell, they can add that contingency in there, which I have done a video on that before. A buyer could be buying something contingent on them selling something. It’s both sides. That was a bit confusing. Imagine how my clients feel. The basic contingencies are those three, but then you also have for sale or purchase of buyer or seller property. Those aren’t too common. What can be a bit confusing is that these contingencies time periods can change. That gets very confusing, and the fact that they’re not automatically released. Know that when you’re in escrow, you have to actively sign a document releasing your contingencies. It does not automatically happen. You can request an extension, and you do have the right, before you release your contingencies, to cancel and get your three percent deposit back with no issues.
Escrow holds the deposit. Maybe we should call this, where’s my deposit? Escrow is the neutral third party. They do not work for the seller nor the buyer. They work for both of them mutually to get to a common ending. The money is held in escrow, not with the seller. Those in the main contingencies, because you can extend them and change the time periods, it gets confusing when it comes to the seller delivery of disclosures or items the seller needs to do within a certain time period, or the buyer getting the deposit into escrow, but those are not contingencies. Those are just timelines. The buyer and seller have to act in good faith on the timelines. If they do not, they can be sent a notice to perform, but the contingencies are the most important parts of the transaction.
So, I hope this helps explain to any of my clients that are in escrow, because I do find myself saying this a lot and it is a very challenging concept. I guess Jessica, you’re going to be the one to tell me if I nailed this one or not. Alexa should know this already. That is the episode. Hopefully it was knowledgeable. Don’t forget to subscribe to this YouTube channel if you want more information in your inbox.
Cheers guys! Happy Tuesday.
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Hey everyone. It’s Keri TV. Today we’re talking about something pretty simple, but very important. So, stay tuned.
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Okay, so we’ve talked a lot about the intricacies of the deals, difficult situations, how every deal is different, and complicated situations. Wait a second, back it up. How do you even buy a house? How do you write an offer? This is something we talk about every day and every week. We’re always explaining this to our clients. Here is a step by step on how you actually write an offer and how you, technically, buy a house. So here we go.
First of all is the documentation. What’s the one thing you need when we’re writing an offer? Money. Cha-ching! Money, money, money, mo---ney. Now, this can come in all sorts of documents. You can have your checking, your savings, your retirement, your stocks, a gift, or any and all of the above to show that you have the financial means to put your down payment and your closing costs. Now, nothing is transferred up front. You’re not giving a check. You’re not wiring anything when you send an offer. You’re only showing that you have something to wire.
Second is your lender approval letter. Your lender will provide you documentation showing that you’ve been approved, you’ve been through the application process and that you have the financial ability to buy a house. Now, keep in mind you’ll have your contingencies in escrow because you haven’t been put through the full ringer of the loan process. You still need to go through underwriting, unless you’ve been fast-tracked, and you still need to have an actual purchase agreement for the lender to fully approve you. Signed purchase agreement.
The third thing is the offer. That is where we come into play. The offer is the California Association of Realtors Standard, CAR RPA, residential purchase agreement. We have a lot of slang and lingo in real estate that can be pretty confusing to the outside world. We have pretty much our own language. We’ve got those three things, and then, of course, if you’re trying to show the sellers who you are, include a lovely little love letter. We love those. A little ‘about me’ section. But the nitty gritty of what you need for the offer is those three items. Now, what’s involved with this offer? What does this mean? What’s the seller paying for? What am I protected against? Who does inspections? How does this all work? Now, let me tell you, this is all outlined in this offer. First, it goes through the property, the parcel number, and your purchase price. Now, anything on this offer can be changed with a counteroffer. The entire purchase agreement builds off of the entire executed contract or deal built off the purchase agreement. Ninety percent of the time there’s a counter involved. Every once in a while you can get the actual offer signed off. It’s a beautifully written offer, which we’ve talked about before. The offer’s written. Anything that’s written on the counter only changes that item that it references. It changes nothing else in the contract. A lot of times when you have a few counters and you go to sign it all, the seller’s like, well, why am I signing this? I didn’t agree to this price, or vice versa, depending on which way it was going, but it’s not about what’s on the contract. It’s checked off on one of the last pages, subject to the next counter, which can then be checked off, subject to the next counter. You have to get both parties to sign and agree on one counter to be the final word. Everything is built off the previous counters and the purchase agreement.
What’s next? It goes through your down payment and then your timeframes on contingencies, which is most important. Now, the first two are going to be your loan and appraisals. The standard for appraisal is seventeen days. Sometimes people lower this, but that’s a separate video. The standard for a loan is twenty-one days, and then your physical inspection, 14(b), again real estate lingo, is one of the most important. That’s you getting in, looking at everything, looking at the cost, getting contractors in, checking out the area, and going, do I really want to buy this house? Most cases, yeah, you do. But it’s also to find out what needs to be done at the house and what you’re willing to do. Just because there’s work to be done doesn’t mean the seller’s going to pay for it or it doesn’t mean you want to take it on. Maybe you do. It’s all a personal preference. Again, like I said, every transaction is super different.
The 14(b) not only includes your physical inspection report, but it also includes all the review of all the documents. You’ve got seller’s disclosures, escrow documents, preliminary title report, and NHD – national hazards disclosures. You have information from the area, neighborhood, escrow documents, just, there’s so many documents it’s out of control, but they’re all designed to keep both parties safe. So, sit back, have a glass of wine – nope. Sit back, drink some tea, and go through all these documents and make sure that you understand them. Have a list of questions, because at the end of the day no one can tell you have you feel about what you’re reading. You can ask for advice, of course, but, your preferences, where you want to live, and what you’re comfortable with is completely up to you. This is some time for you to go through, reflect, read, and think about the house.
Now, what else happens in this offer? Okay, so you’ve got what’s included. You’ve got this whole house. You’re thinking, what do I get? Basically, anything that you can pick up and take away, you do not get. Anything attached to the property, walls, doorknobs, windows, built-in microwaves, toilets, and kitchen sinks. Anything not attached goes with the owners. Basically when you’re going through the house, if you want something extra like a barbeque or some furniture, if you like certain pieces that they have, you can write that in. What’s really important about what’s included is your leased items. Leased, liens, or anything like that. When solar panels came in they became such an issue with transactions because buyers didn’t realize what they were buying into when it came to the lifetime of the solar panel or how expensive they were. A lot of times these sellers or owners are under contracts where they can’t get out of it. It can be anywhere from twenty, thirty, or forty thousand left on their payment, which can make a deal fall apart. In that paragraph, it asks for disclosures on the solar panels, sound systems or any of the above. They need to let the buyer know right away what those are and what those payments are. It could even be HOA fees. Sometimes they have, not in a condo, but in a community, they’ll have an HOA fee. All of that gets disclosed and what’s included, not included, what the buyer wants, and what the seller wants.
Another thing that’s included in this is all the inspections and reports that the seller is required to give you. So it will go through the government requirements, escrow requirements, and all the seller disclosures. These all have to be given to you in a certain amount of time per the contract, which is standard, seven days. Sometimes people lower that. Keep in mind this contract goes through all the timeframes that are important as you go through escrow. I mean, come on. What else does this contract not do? It’s frickin ten pages.
It also goes through the service providers. There’s a lot of ancillary services that we use throughout this process like escrow, title, NHD, home warranty, and who pays for it. The seller has to pay the transfer taxes at the city and county levels, which is pretty expensive. Most often, the buyer does not pay that.
So, that is pretty much the process in a nutshell. I tried to go through the questions I get every time I write an offer, but you’re protected with your contingencies. No money’s transferred. Everything that is who pays for what and the costs are outlined in the purchase agreement. You have some time to think about it. Then you can figure out if you’re buying the home or not and you’re protected. The only time you would lose your deposit is if you say you’re buying the property, release all the contingencies, and then for some reason, decide not to buy it. Then it’s a whole different situation with arbitration and mediation.
But that is the offer process and how to write an offer. We also have a list of everything I just talked about that we can send over to you so you’re fully informed and you’re ready. You’ll know what to do when you find that amazing house that you love or that investment property. You’re prepared. You know what’s going on throughout the transaction. Then, with the whole escrow process, hey, maybe that’s another video.
Thanks for watching guys, today, and if you like all these videos, don’t forget to subscribe to the YouTube channel.
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Hey everyone! It’s Keri TV. Today we are going to learn a new language. Yeah! The language of real estate. Stay tuned.
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Of course, every industry has their own norms, but real estate is known for its acronyms and really weird terms for everything. A lot of times when you hear people talking you may not want to be, hey, what are you talking about? This is my little A-Z guide. We’re going to focus on seller lingo. The Language of Real Estate, seller lingo. Here we go. Now, this could be confusing if you’re friends with me, because I also speak in acronyms in my own language. Stay tuned.
We’ll go in alphabetical order. First is the affidavit of title. This is one of the most important portions because this dictates who owns the property. The title is a written document that shows who owns it and how their names are on title. One owner, two owners, or a trust. It shows the chain of title. When they bought it, who they bought it from any inter-spousal transfer deed, notice of default, notice of sales, re-fi’s, and the whole shebang.
Second is agent. Yeah, that’s us! Agent is a licensed professional used to represent the buyer or the seller, buyer and seller separately. They’re licensed by the state of California, and they’re part of the National Association of Realtors. They have to abide by a code of moral ethics and standards. Just so you know, if you ever see someone doing something shady, they’re not supposed to be doing that. They could have their license taken away from them.
Next, appraisal. What the heck is an appraisal? Appraisal is a fancy word for a value. When you are in escrow, if the buyer has a loan, an appraiser comes in, that’s a neutral third party. The lender is not allowed to talk to him. Usually the buyer’s agent doesn’t have communication with him. They call the listing agent directly. They come up with a market value for your property. This is based on local comps and is a really important part of the transaction. Normally appraisers bring the price in at the purchase price unless it’s really off. Now, why do you need an appraisal? It’s actually because a bank does not want to lend on a property that is not really that value. It prevents scams from happening. If someone’s saying the property is worth two million and the appraiser comes in and all the comps are at three, they’re going to be like uh, no, sorry. It prevents fraud from happening and also gives the bank assurance that this property is the right value.
As is. The contract, the residential purchase agreement itself, has an as-is clause in there. That means the seller is selling it without doing any repairs. That is the basic. Now, what happens to it as-is, the buyer still has the right to elect to ask for repairs or credits. But it is sold as-is. A lot of times you’ll see sellers re-write on a counter as-is, and in all reality, it already is as-is. But they’re really trying to dig it in as-is. Okay, I get it. It doesn’t mean the buyer doesn’t have the right to inspect.
Next step. Bom. What? Bomb? No, just kidding. Back on the market, this is something we use way too often that we need to stop doing. Back on the market means that it was on the market. It was off the market. It could have been on hold, taken temporarily off the market or it could’ve been in escrow. It’s now back on. Fresh face. What do they call it? Makeover. It could be a variety of reasons. It doesn’t mean it’s a bad thing if it comes back on the market. A buyer could’ve gotten into escrow and had to fly to China for a job change or somebody in the family passed away or a variety of reasons. Most of the time, sometimes they’re just writing on a bunch of properties. They get one and have to cancel on one, unless they’re buying everything.
Back up offer. What is a backup offer? Are they in the back of the line? Are they backing it up? No. Back up offer is if you have an accepted offer on a property and somebody else is also interested. They can write an offer and be in backup position. You can be back up number one, number two, or number three. What’s cool about being a backup is if that first buyer, who’s in escrow, backs out of the contract, it immediately backs up to you and you automatically go into escrow. You still have your three days for your deposit and your inspection time frames, et cetera, but it gives you the opportunity to secure the property versus it going back on the market. We like back up offers. In this market, there’s about forty to fifty percent of properties coming Bom every day. It’s chaotic out there right now.
Bidding war. I love when people tell me they don’t want to be in a bidding war. Well, you may not buy a property. Bidding war is not a bad thing. A lot of times great properties have a lot of offers on them. Bidding war just means there’s more than one person bidding on a property.
Brokerage. That’s who we work for. We are independent agents underneath a name. We are at the agency, which we have a DBA, and then another, like Keller Williams, Prudential, or Compass. Those are the brokers. We are the individual agents.
Broker’s tour. Yeah, broker party! This is when all the brokers run around and see new property, so you may hear the word broker’s tour. They say, oh, it’s open but it’s a broker’s tour. People say, well, can I see it? Yeah. The more the merrier. You can come on too. The broker’s open. Broker’s tour.
Buyer’s agent and buyer’s market. I think you know what those mean.
Capital gain. If you’re in a property where you’re making money on it – yeah good for you! Make sure you talk to your accountant about your capital gain taxes. There’s certain limitations and certain taxes you have to pay if you sell before two years. There’s limitations if you’re single or if you’re married for how much you can write off against your capital gains. Talk to your accountant about that, don’t talk to me about it.
Closing. This is a fun word because we use this word all the time. What is a closing? What’s a close date? What happens at close? People are like, closing, what are you, who’s closing? Is that a door? Do they lock the door? What is going on? Closing means – I don’t even know why we use that – closing means it recorded. It should be called record. Anyway, when you get close to closing, that’s the time when your final down payment’s going in or the seller is getting escrow the information on where they want their check to go, yeah! To Vegas! Just kidding. To their bank account. This means that the funds are going into either the escrow or to the lender, and then it goes to the county recorder’s office and records. Nobody actually goes anywhere in person. The closing happens in the air, in the cloud. Well, it happens down at the LA county recorder’s office. You don’t have to be anywhere at closing. It’s a mythical place. You get notified and then you go get your keys. We’re not going to define keys today though, sorry.
Closing statement. Oh god, another closing thing. Closing statement, again, it’s like a recording statement. This is all the fees that you will need to pay. This is the seller’s side. All the fees, commissions, credits, per rate of taxes, etcetera. You won’t have to pay for any time you don’t live at the property, so don’t worry about that.
Commissions. This is the fee to the agents for all our hard work and dedication. Thank you.
Commission split refers to how much each side gets. Usually it’s equal, but not all the time.
Comparables. Oh my god, we’re only at C guys. Oh, do you have your popcorn? I always talk about popcorn. Maybe you don’t even need popcorn. Zucchini chips? Okay, comparable. Comparables are used in a CMA.
CMA is a common term we use all the time that people are probably like, what are they talking about? Comparable market analysis. This is when we take similar properties that are on the market, in escrow, and sold usually within usually a half to mile radius within a similar square footage that compare to the property. We explain why they’re superior or inferior and where the property should probably be priced at. Now, we don’t live in cookie-cutter tract homes here. Nothing wrong with that. All our properties are so unique that it’s hard to do an apples-to-apples comparison, which is normal in other areas that have tract homes. It is a little more challenging to do a CMA in our area, so you definitely have to give a little give and take. Every property is so different, the building, the view, the space on the street, et cetera.
Counteroffer. This is in conjunction with an offer. The buyer or seller can then send a counteroffer.
Curb appeal. This goes into staging your home and getting your home ready. When people drive by, they’re either going to be into it or they’re going to be out of it. Curb appeal is a big deal. People, when they’re driving up to a house, that first feeling they get when the look at it, ah, makes a big difference. That curb appeal, have that on check.
Days on market, DOM. DOM, like BOM. Days on market. This refers to when the property was actively listed. This can vary if it goes into escrow. When it comes back, there will be a bigger gap because of that time that it was in escrow. You have to take that into account when you’re looking at the Doms.
Disclosures. These are documents, a lot of documents. So many documents. You know why? They protect you. Disclosures come through the transaction and they have information, help, and knowledge for both buyer and seller. Disclosures come from the city, our resource companies and from the seller.
Earnest money and escrow count. This is the three percent deposit that the buyer puts in when you’re in escrow. It can be called a deposit or your earnest money, but this is what the good-faith is showing that you are ready willing and able to buy the property.
Fiduciary relationship. This is what your agent does.
FSBO. Have you heard that one? For sale by owner. Seller’s trying to sell without an agent and they want to go through all those fun disclosures all by themselves. Crazy.
Inclusions is everything you’re leaving with the property. Yup. We are only at I.
Lease option. These are really complicated. This goes into if you want to lease a property and a portion of that can go towards – I’m not going to talk about a lease option here – but basically, when you lease a property and plan to buy it. There’s various ways to set this up but that’s what a lease option is.
MLS. We use this all the time. MLS is the multiple listing service. What is that? It is the be-all, end-all, truth of all real estate where all the information goes into, and then it goes out to Zillow, Redfin, and all the other sites that take the information and then put it out to you. The MLS is the hub. The beginning. Unless you have a pocket listing which we do a lot of, that doesn’t go in the MLS.
Pending. What is pending? That is a great question. Pending, under contract, or back up offers are kind of all the same thing. Essentially, when a property goes into escrow, it’s accepting backup offers, even if it has one, it can have more. Pending is usually when the contingencies are released. It’s now no longer taking backup offers.
Preview appointment? What is a preview? What does that mean? Who wants to preview? Why would you preview? Preview means you go to take a look at the property to see if it’s worth your client going to see or an agent’s coming to the seller’s house to see if their client likes it. Previewing is great, because there’s a lot of things you just can’t tell from photos, kind of like dating. Don’t have to do that anymore.
Quitclaim deed. This is something that happens if a seller for some reason needs one of the people on title off. Maybe they buy it and then have to quitclaim it off, but it’s a notarized document that can change how you hold title.
Relist. This means the property’s going to be listed again. It’s the same thing as the listing. It just was listed. It’s kind of like somebody being single.
Transaction. The transaction is actually when you’re in escrow. It’s what we call it. You’re in the transaction before you’re closing. Again, all these terms we use are crazy. Transaction. People will say, I just closed a transaction, I just closed a deal. Really, the house just recorded and changed title.
Those are, again, the real estate language that we use. That’s fun, when you’re in a transaction, whether you’re buying or selling, it’s always an exciting time.
Walkthrough. We went all the way to W. We didn’t quite get to Z. Walkthrough is when you go through the property and make sure that everything is still in the same condition as when you purchased it and that the repairs were done. Nobody kicked holes in the wall. Walkthroughs are really important to do right before you close escrow.
So, can you believe I just went through A to, technically W, on house lingo? Get this, that wasn’t even the buyer’s one. Thanks for watching and it’s okay, you can still call me and ask me all these questions. See you next week.
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Hey everyone! It’s Keri TV, and today’s topic is how to win. Stay tuned.
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So, how to win. How to win in a multiple offer situation. What? Hasn’t this been happening for five years? What are you talking about? Why are there still multiples? Isn’t the market slowing down? I can’t even, what is it, May, June, we have written so many offers this year for our clients because the market is hot in certain areas. Of course it’s slowed down, but certain price points inventory is still slow, which I’ve discussed, and properties are moving quickly when they’re priced right. Regardless, even in a slower market, there still can be multiple offers on something when it’s a unique property or a great situation. So there’s a few different tips and tricks I use and the right combination of all of these can usually get a winning offer.
So, here’s the situation. Not every situation with a multiple offer is the same. There are no rules. There are no rules. There’s no rules in how it’s done, but my number one rule is, don’t be discouraged. Don’t stress out because you’re in a bidding war or you’re in competition. It happens. There’s limited supply of unique properties. Hey, it’s okay. If you’ve got the right combination of the price you want to pay, the terms, the right agent and seller, it will all come together. If this property happens to not work out, there is another, better one, for you. I believe in good energy and I believe the people I work with are in the same position, same boat, and same reasoning, and also know that something else will come along and be great. That’s kind of rules for life in general, right?
So, every situation is different with a multiple. Here’s how it can work. The seller can put their property on the market, an offer can come in, and they can take it like that. There’s no deadline. There’s no timeframe, no expectations. They get an offer, they take it. That’s fine. There’s other times where they can put a deadline. Now they wait for the offers to come in. They review them. They send out a counter with another deadline, a best and final, and then one is chosen. Uh, there’s another situation where they can set a deadline, whether it’s the first round or the counter-round, and someone can come in and write an offer and take the property before the deadline. Oh my god, are you serious? Yes. We’ll get into how to make sure that doesn’t happen, but we can’t always control it. There’s other situations where the agent won’t even talk to you. They go dark. They don’t answer calls or emails. They think they’re too cool. They have a bunch of offers so they don’t really care. It’s really unprofessional, it sucks, and it’s part of the industry, but we have to deal with that too. So, in that case you’re kind of in a silent auction sending in your best. Usually you get a call that you get accepted or you get a call that the property’s already gone. There’s some weird things that go on out there. Sometimes properties are listed and they’re already in escrow, so it can be frustrating if you want a property and you can’t hear back from anybody. However, most of the time, you have a general sense and communication with the other agent is what is most important. Now, that goes into my first point.
Having a great agent – ha-ha, I always say that, don’t I? Whoever you’re working with, make sure they know the rules of the multiple-offer situation and they put you in a good position to get your offer accepted. In this situation, communication is key. So, you need to build a rapport with the other agent. That makes them want to work with you, because at the end of the day, you’re going into this little thirty-day marriage, so you want to make sure that you like them. You get along with them, they’re not mean, they’re not aggressive, they’re not lazy, and they’re not disrespectful. Wow. I just described a lot of agents I worked with []. Again, we’re trying to make the industry better. That’s our goal. So, in these situations, you want to make sure that you build enough rapport and you show your client’s excitement, but you’re not too much. There’s times where, on my listings, agents will call you nonstop like a psycho ex-girlfriend. It’s super inundating. You want to have the right touch of, my clients are great and I’m great, and we’re very interested, but not too smothering. It is a fine line, because some people, I don’t know, they’re desperate or they think calling over and over again works, but it doesn’t. There’s a professionalism and a standard that needs to be handled appropriately by your agent.
So, some of the pricing options. Second, getting into pricing. This can be tough, because there’s really three pricing options. Go in at your best and final. Go in with a little room to budge. Or go in a little lower, turtle wins the race, and come in really hard and heavy on the final round and win it. Now, the tough thing is, when you don’t write your best and final up front and they end up taking an offering without countering. Crap. Yeah, that happens. That’s unfortunate. It’s also a situation where if you write your best and final up front, they shop your offer. Most of the time, it doesn’t happen but it can happen. It’s one of the unprofessional things that happen in our industry, but it does. It just does. So, coming in in the middle of the road, close to your top price and having some room to come up is usually the best way to do it.
One of the other little things is timing. If the offer deadline is Friday at nine am, which would never happen. Friday at twelve or something, make sure you come in close to that, just in case people are talking about your offer or giving information. It’s really nice to be right in at the end.
These are some of my super-insider tricks. For any agents watching who don’t know about this, your clients will love you. So, the initial deposit’s usually three percent. That’s standard. You actually can’t put any more down as a deposit that’s held as liability for arbitration and mediation, but you can increase your deposit in escrow, but that part will not be part of any situations with contingencies. Like, if you’re going to arbitration and mediation, you can’t hold anything more than three percent in court. That’s a whole other fun subject [].
Your down payment. Now, for your down payment, the best ones are cash, all down, but showing as much as possible. Twenty percent is really a minimum. Even though you can buy a property with less than twenty percent down, when you’re in a multiple, you want to show that you have the ability to finance with twenty percent down. When an agent’s looking at multiple offers, they go okay, where’s my price, there you go. Shortest escrow. Shortest contingencies. Cash, or largest down payment. Why does down payment matter? Well, in this situation of an appraisal, if an appraisal comes in lower – which sometimes it happens, oddly enough – if you are putting down more than twenty percent, then you’re fine. You don’t have to put down any more money because appraisals are down in a 80/20 to loan to value. You want to show as much down as possible. Good agent, three percent or more deposit, pricing, down payment, and escrow length.
This is fun. Most escrows are thirty days. Could they be twenty-one? Absolutely, if everyone is on their game, getting all their paperwork in, they’re working together, and nobody’s too busy. The lender sometimes can go AWOL and you don’t know what’s going on. They’re just too busy. Too many loans on their plate. If you’ve got a good lender and you’ve got all your paperwork in and they put you through the underwriting process, there’s also something called a fast track approval process, where you can – do I talk really fast – where you can have your loan pushed all the way through underwriting. They just need the property and, if it’s a condo, the HOA information to push it through. In that situation, you can reduce your contingencies down. The standard is seventeen days for appraisal and twenty-one days for a loan. If your lender has pushed your paperwork through to the underwriter, it’s possible to shorten this down to ten days, twelve days, or fifteen days. That means that the seller is looking at a lower time period of risk. Contingencies are a risk for the seller and protection for the buyer. A seller is looking for the highest price with the lowest risk. If you’re a buyer who’s financing, you want to shorten those as much as possible but not at your own risk or your own cost. So, speak to your lender, have them let you know what your shortest timeframe would be to release your loan contingences, which could be twelve or fifteen days, and how fast you can close. If they get into escrow and they get all the paperwork, the contract, and any HOA document information, they can usually close it within twenty-one days. It’s definitely happened, and on condos. That’s definitely a possibility with the right lender.
Another portion is the inclusions. Again, this is an agent talking to the other agent. If the seller doesn’t want to include certain things like washer, dryer, or fridge, let them take it. Who wants to move that anyways? But if there’s things that are important to the seller, let them have it. If they want to leave it, it’s fine. It’s standard that they usually leave these items because they’re a pain to move and they like to get new ones in their new home, but make sure you know up front. Is there anything leased that you need to take over? Do they want the wine fridge? Is there a special mirror that’s not attached that they want to take? Just make sure you have all the seller terms upfront, including those inclusions.
Another one would be if the seller needs time. Maybe they need longer than a thirty-day escrow. Maybe they need a leaseback. If you’re able to offer them flexibility where they close on their property and they lease the property back from you for less than thirty days, that could be a big benefit to someone who’s in a rush. There are people that can be in a rush. Maybe they’re moving out of their place or moving into a state and need short term housing or something complicated. Just being able to be as flexible as possible with the seller is prefect.
In all of these situations, every one can be different. Every seller can have a different length of escrow, different inclusions, and different points that are important to them. I’ve seen sellers take offers that are less in price because they’re cash. Not too much less, but if a seller is really a no-fuss person who’s tired and whatever, they may take an offer thirty, forty, or fifty thousand lower if it’s a seven day close. Or maybe it’s a seller who needs cash. Maybe the mafia’s after them. They’re going to take a quick close too. These are all the different points to making your offer really strong and the points that a seller looks for.
On top of that, there are a few other little tricks which the video’s already long enough, so you can call me and we can talk about those as far as timing, but it’s also including information about you. Now, I know the love letter is not a new thing. People have been doing it for a while. It makes a big difference. On top of that, a video – ha-ha, yes! Include your pets if you have them. But also, the agent to agent relationship. I have not been a stranger to delivering cookies, wine, or chocolate covered strawberries. They may sound like simple things and why would anybody care? But it’s just a human touch. It’s an old-school touch that people like. At the end of the day, people want to work with people who they like. So, if the buyer is a strong buyer, writing a strong clean offer, short contingencies, large down payment, and includes a cute letter, they’re most likely going to want to work with that buyer who has a really nice agent. Who’s not pushy. Who they know, at the end of the day when you’re getting into your thirty-day marriage, everyone’s on the same team. The buyer’s trying to buy, seller’s trying to sell, and agents are trying to help. Anybody who acts like they’re on opposite teams, it’s a battle, it’s a negotiation, or brings in their own personal drama, baggage, and ego into the deal, it just makes everything a little more frustrating, obviously. Have a good attitude about it all. In general, having a great attitude goes a long way.
Make sure you go through these important deal points with your agent, that they have great communication and timing. You know, if the property is meant to be, it’s meant to be yours. Hopefully that’s helpful. Trust me, we have a lot of multiple offers ahead of us this year. Stay tuned for next week’s episode.
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Hey everyone, it’s Keri TV. I talked in one of my earlier episodes about buying and selling when you own something and need to sell to buy, and I just had two real life examples I wanted to share with you today. I’m in the wild. It’s windy and it’s busy. You know what, I just want the sound quality to be a little bit better, so I’m going to take you guys back to the office and tell the tale of these two properties at 850 N Hudson. Stay tuned.
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Hey, so it’s my continuation from being outside the building. So interestingly enough, one of my very amazing past clients ended up selling his condo that we purchased together. He purchased, I helped him a few years ago. Four or five years, I think? He ended up selling and buying, and referred one of his neighbors in the building who ended up selling and buying four blocks away from him which I think is so cute. They were very identical couples in a way. Newly, not newly married, but married with babies. A baby on the way. They moved to a similar area, obviously, four blocks away, with great schools. I wanted to talk a little bit about this because I highlighted, in one of my first episodes as I mentioned, the contingent sale. Both of these people had a condo. They needed to sell it to buy another place. I know that I’ve mentioned that there’s three or four different ways to do this. I want to highlight both of these real life examples.
The first person was my past client. This was literally one of the smoothest transitions and not that likely. It was one of those perfect fairy world scenarios. I actually, at one point in the escrow, was down for Thanksgiving in Mexico with my fiancé, and we were talking on the phone. I kept telling him, this is literally a fairytale. I know you don’t do this everyday, but I’m telling you, you’ve had the best experience. It’s all good things and good people all working together. What happened was, I’m not going to name names, but they went out. They were looking for properties for a while. They found a great home that they liked and they decided, okay, we’re going to put an offer in. We have to sell ours in order to buy this property.
So, what we ended up doing was we put an offer on the property to see if we could get some traction or if this is something that would work out, because it’s hard to put your property up unless you have somewhere to go. We negotiate. We’re going back and forth on price, and that’s okay. We’re going to do this. We’re going to buy this. Let’s get my place listed. So, the whole circus, horse and pony show, everything. Everybody’s scrambling. We’re booking photographers and videographers. They’re doing everything to get their house picture-perfect. Get all the staging going on. I can’t even believe the transformation that they did to their place. I gave them instructions on what to do and what not to do. Colors and decorations. We got the photos up. We ended up putting theirs on the market. We opened escrow on their purchase. Mind you, they cannot make this purchase unless this property sells. We do inspections on their purchase. Theirs goes up on the market. We do an open house. They move forward. They do the appraisal on the purchase. We get an offer come in. It was actually on two and a half weeks, maybe two weeks, when we got this offer. They had a seventeen day inspection on their purchase. This person comes in and was an agent I know from my old fabulous Women in Real Estate days. Her client is cash, which is great. Her client wants to close in two weeks. What?
Okay. I was like, you guys [laugh]. This is a really good situation. They put an offer on it. With a condo, it’s hard to close really quickly because of the HOA documents, unless the buyer waives it. It does take a while for these HOA documents to come through because you have to order them through the HOA. It takes some time to process. You order them right away. It takes seven to ten days. Really, with a condo, unless people are waiving everything, it’s hard to close within a week. We have fourteen days. Also, with this buyer, they also allowed them to rent back the property. I forgot how perfect this was. Did I forget? No. We negotiated a little bit on the price. We got into escrow and do inspections very quickly. These buyers are ready to move forward. We have a rent back; I think it was for two or three weeks. The purchase for these sellers was forty-five days. They were able, right when this buyer was ready to release all contingencies, to release all of their contingencies. They were able to ensure that the buyer on their property was ready to move in and close. They were able to move forward and remove contingencies on their purchase, close escrow, and use a little bit of time for that rent back so they could then move. They closed on their sale before they closed on their next purchase. That’s why they needed the rent back.
It was such a unique situation because they were able to write on this new place. Mind you, there was another offer on this other property but they had written in a contingency of sale. Ha-ha! Yes, technically, they were contingent. They were moving quickly to make things happen. You know, I try to help people move between the pieces to make things happen when it’s not the easiest situation. I’ve got a few tricks up my sleeve that my clients know that we work with to make it happen. That’s only from years of experience. We were able to just get this killer deal done so smoothly. These people are just so amazing, lovely, wonderful to work with, and on top of it. We had such a great buy and sell deal. They had their rent back, cleaned it up, and moved into their new place. I kept telling them, you guys, this doesn’t happen everyday.
Then, the next buyer, the next referral from this seller in the other unit who was buying, I sat down with them around the beginning of the year and we talked about how this process works. I was explaining the different situations. At the end of the year last year, I had four different people selling that needed to buy something. Every situation’s different. I was working out the kinks, how to get it done, and presenting all the options. These sellers were a little bit different from the original clients I had upstairs. They said, what are our options? I explained to them about getting a loan, a short term loan, borrowing money, taking from 401k, putting yours up, doing a rent back, or just taking funds from your property or equity in purchasing. They ended up taking funds from another source of funds from themselves. They didn’t borrow money, but they took it from one of their other equity funds, their 401k. They ended up shopping for a home. They purchased and bought completely without selling their property. There was a time period that would come up that they would be paying a huge mortgage, so we ended up putting their property up after they bought their house. We put it up on the market, staged it, and they took their time moving things. They had flexibility. They did not have the pressure of ensuring that their house sold when they bought their other one.
The difference between them is they paid for the money that they took out. You pay to borrow money. That time period between owning two properties, they had a little bit of time where they were like, okay. We’re good here but once it gets to this period, we’re going to be paying double mortgages and we’re not okay with that. We put their property on the market. We got three offers on it in the first three weeks. The market had shifted a bit, as I’ve discussed in my videos. It got a little slower. Not going down, but slower. We ended up negotiating and got a cash offer again for a great price. Nine thousand under asking on this one. We ended up closing in a couple of weeks. They were happy. It was a smooth deal.
So, that’s just an example of two different contingent types of deals. All these transactions are so different, but I wanted to share about that because I know I’ve spoken about all the options. Those are two real life examples. Definitely, with the move-up buyer, probably just considering the amount of years I’ve been in the business and my age that I’ve worked more with move-up buyers now because a lot of people I sold to are buying and getting married. Like, I’m getting married. Do I talk about getting married in every video? Because I am.
That’s Keri TV today. Thank you so much for watching all these tips, tricks, and insights to what’s really going on in the market. All the facts you really need. We’re always here to help you.
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Hey everyone! It’s Keri TV. Today we are talking about the recent sale at 812 16th Street in Santa Monica. Stay tuned.
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We are closing today at 812 16th Street, and the owners are the cutest people ever. I’m leaving this sign for the new owners. The sellers are the cutest people ever. What I like to say about transactions, which I always tell everybody, is every sale is so different. Buyers are different. The seller is different. Motivation is different. Timing is different. Needs and wants are all different. With every situation, I try to be as neutral as possible when dealing with my client to make sure they get the best outcome. I explain to them that sometimes, we may be a little bit anxious to get things done, but timing always works out the way it’s supposed to. One of the common phrases that I’m going to talk about today is time on market equals less money. Ha-ha! Every agent is going to be like, what are you talking about? Yes! I understand that there is something to say with pricing your home correctly upfront. You get multiple offers and you sell fast. Now, with the Santa Monica condos similar to this one at 812 16th Street, most properties that sell under thirty days go two percent over asking. That initial come-out number is so important because, when it hits the market, the buyers get excited. They run to it. There’s a frenzy. They bid it up. Multiple offers. It goes for over asking. For any of those properties that don’t go right away, the average for thirty days to ninety days tends to be four to five percent under asking. Crazy.
Does it have to do with pricing or timing? Well, what happens is, from my experience, people tend to think my property hasn’t sold. What’s wrong with it? Buyers think, oh, it’s been on the market. There are no multiples. What’s wrong with it? Therefore, in cases where people are desperate, they tend to take a lower offer if one comes in or they move things at a lower price than they normally would have if they had the luxury of waiting. It’s tough sometimes, when you have to move. Maybe you have another mortgage somewhere. Every month you’re going down. Every month you’re losing money. Of course you want to get somebody in, even if it’s for a lesser price. You may end up making more when you move on, because you’re paying a new monthly mortgage. In this situation, the sellers were able to wait out that anxious period. What happens is, at the point of about eighty to a hundred and twenty days on market, once you get past that, oh my god, we’ve been on the market three months. What is going on? That average is about two percent under asking. Owners that are waiting out that period are actually getting much closer to asking price than people that are reducing after thirty days. I know this goes against everything that agents tell you. It goes against what I would say as well, but this market is a different market. There are many nuances. I even saw it with my fiancé’s place. After six months on market, he ended up getting full price. I think they had eight offers on that. There are a lot of situations where, even though there’s time on market and many offers come in, owners are getting close to or asking price after thirty days on the market. Isn’t that amazing?
It’s just interesting to note, especially seeing this case here at 812 16th. We went under contract within the first two or three weeks. We had a big fun open house. Sidecar, champagne, the way I like to do it. This is one of my favorite listings, by the way. It’s just a beautiful home. When they bought it I was so jealous. We got to sell it again, and it was great, to be in this beautiful home again and get to showcase it. It’s right of Montana here. Okay. Sorry. Moving on. We got it in a contract. We had a grueling round of inspections. These buyers were super picky, as they can be. They’re buying the biggest investment of their life, most of the time. They had a personal circumstance come up and unfortunately had to cancel escrow. We were right at the point where we were about to wrap everything up and go into the final week for closing. This was a bit of a step back. The sellers were about to go on their road trip to go to the next portion of their lives. We were back from the beginning. We were doing open houses, back to the donuts, and back to getting people through here. We sat, I believe, three weeks. A total of eighty-five days on market. We ended up getting an offer at asking price. We went through the whole inspection process. We are closing on this property at one point seven-two-nine. Full price, after eighty-five days on market. This is an exact example, like many others, that you do not have to sell much below market if you’re not in a hurry. Every situation is different and always depends on, of course, the market value. If your house is overpriced, you’re not going to sell it close to asking price, just because it’s been on the market ninety days. It’s just talking about the common myths and what people think.
I am so excited for these sellers. They’re such sweet people. I’m going to miss them here in LA. I’m very happy for the new buyer, of course, moving into this great place right off of Montana, behind Margo’s. Great fries. I just wanted to go into the persistence and patience that it really takes on all sides. Falling out of escrow is never an easy thing. It happens, unfortunately. Getting everybody in the right mindset, getting everything organized, putting it back on market in the right way, getting the right buyer, having all the documents prepared and making sure you have a smooth second escrow is the key to really making the transaction an easier one, especially for the sellers when they’re under that kind of timeline. Losing escrow is never easy. Super happy for everybody involved. Patience, persistence, and understanding that every transaction’s different is always a key in these deals in real estate.
Thank you for watching Keri TV, and we’ve got more stories, more tips, and more fun things to talk about soon. See you next week.
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Hey everyone, it’s Keri TV. We’re reporting today from our new office here in Brentwood. We have an ocean view and we’re really excited about continuing all this energy with this new environment. We’re going to decorate it and make it awesome. We’re going to have more clients in. Super excited about that. This is just a quick episode today because we do have so much going on and we’re really focused on servicing our clients, but I had to make a video today based on the recent information from this past week. Stay tuned.
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Last week, if you haven’t heard, big news. Mortgage rates dropped more points than they have in a decade. The rates are so incredibly low right now after the Fed predicted that they would be going up about four times this year. They’ve dropped the rate. They’re trying to keep economic growth happening. Because of this, a lot of the people that have been sitting on the sidelines have jumped back into the market. I know I’ve spoken about the growth that’s happened this year. With all the doom and gloom and everything happening, most everything that we’re writing on for our buyers has multiple offers. There’s a lot of competition. Some properties are going within a day of being on the market. It’s crazy.
This is, of course, speaking somewhat in the entry level, which in Los Angeles, that can be anywhere from a little under a million to two million, depending on where you’re looking and the type of property you’re looking at. Why is this so important that rates have dropped and people have been stimulated to get back out there? What’s so important to look at is, if you’re buying a home and if you’re a first-time buyer, if you’re looking at a rate of four percent, your mortgage is going to be about two-fifty to three-fifty lower than if you’re at four and a half percent. That means, whatever property you’re looking at, you know that you’re immediately building in an HOA payment or utility bills. Something. Maybe funds towards a vacation. If you’re at a two million dollar purchase, this spread is even bigger. It can be seven to eight hundred dollars a month. That’s a lot of money just because of the interest rate. It’s really important to follow these trends and know what’s going on. What’s really interesting is that they’re stating that Los Angeles has become more unaffordable. They’re saying around forty percent of the fifty biggest economies in the nation are becoming so unaffordable that people are either trying to move out or they’re starting to change their lifestyles so they can save money to actually purchase something. Home ownership is still something that’s very important amongst millennials, who are now the seventy-fourth percent of the homebuyers these days. That means people that are my age and ten years younger, I think, are now finding it really important to get into the market. Knowledge is everything. Being informed is everything. There’s so much information out there and so many people. They’ve got to make sure that you’re staying on top of how any changes in the housing market, interest rates, and the economy and how to fix you and your goals to build financial security, financial freedom and retirement.
Those are my points today. I hope this helps, this little short PSA, because we’ve got a lot of people to serve. We’ve got a lot of things to do. We’re always here to give information. Cheers, guys. Stay tuned, and we’ll give you a little office tour when we finish up here! Take care.
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Hey everyone, it’s Keri TV. Don’t I remember the other Euclid I stood on the corner talking about the ‘just sold’, and I kept having to stop because of all the cars going by. Here I am again, on another Euclid. Euclid and Wilshire. The reason I’m coming today to do a Keri episode on this one is because not only is it about an amazing transaction and the tale of that specific transaction, but it’s also highlighting my favorite clients. I’ve got a group of top favorite people that I love working with. I love so many of my clients, but there’s certain things these clients do that set the bar for the types of people that I love working with. So stay tuned for this week’s episode about the just sold at 1241 Euclid and about this awesome client.
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Of course, being in the industry a while, you get to work with some past clients and referrals, and usually you’ve built up a group of people who are pretty awesome. What about the flip side of that? How does an agent choose their client? Or, how does an agent rank enjoying working with their clients? I wanted to fill you in on why this person who purchased this property at 1241 Euclid is one of my top favorite clients. I’ve got a few top favorite clients. I adore them and love them, and wish they could buy and sell all the time so I could hang out with them and chat with them, but that’s just not the case. I wanted to highlight three things about working with this person that I considered to be one of my top and favorite clients. How fun is that?
First of all, one of the things that happened is that he was genuinely excited about the process. He would share with my photos he liked, take videos, talk about the negatives and the positives, and just had a general overall excitement for the process. It made me excited to hear from him. I always looked forward to hearing his feedback. I looked forward to finding great properties for him, etcetera. That general excitement and positivity, as we all know, is pretty contagious. One, excitement, enthusiasm, and positive energy.
Two, he trusted me like no other. A lot of times, although I’m always being extremely truthful, if people don’t know you yet, they don’t necessarily trust you. Having that foundation of solid trust from the get-go was amazing. It was a referral from somebody. We’d met two years ago. We had a meeting and chatted about what he wanted. It took a couple of years to actually buy something, which is fine. We got to know each other throughout the years and looking at property. He always had that general excitement about looking at properties. When it came to purchase something, he was able to review the comps with me. He knew that I was guiding him on the right purchase. He knew I was guiding him on the timing, the pricing, the condition of the property, the location of the property, and all of the above. What’s so killer about this – wow, that hybrid is so quiet. What’s killer about this is he scored an incredible deal. It is very difficult to find an updated condo under $1.2M close to the beach. Remember the tale of the other Euclid that sold on that corner. That was a good deal too. It was right during quarter four. Everyone was sleeping or thinking the market was going down. He was able to sneak in and get this deal. Of course, there were other people involved in the purchase. They all passed on that trust in me.
The third is that he was super grateful and organized. He was on top of everything he needed to do. He was always checking in with me. I didn’t have to chase him around to get things done. He wanted to make sure he was holding up his side of the deal and not letting any balls drop. It sounds so basic, but even the smallest things like showing up on time and getting paperwork back, people start to abuse that process a bit. Just think, someone else will take care of it or handle it. They think they can wait at showings or inspections. I definitely don’t take it for granted when people are so respectful of my time and everybody involved.
So we’ve got one, general positivity, two, trust in me, which he and everybody should. Three, respect and gratitude throughout the process. Thank you so much for making this such an awesome deal.
On top of that, a cool story about this sale, is that it had been on the market since October, November, and December. We got into escrow in January and, because everybody was sleeping, there ended up being multiple offers when we put an offer on it in January. It’s like, oh great. After all this time, now we’re back in multiple offers. We were able to use one of my tactics to get the winning bid before the other person had even countered. There are some things that I do here on the Keri White team to help my buyers when I know that they’ve found the one, but only when they know it’s the one. That is the tale of 1241 Euclid, and I am so excited for this person and this great deal. I hope everybody gets to work with their favorite clients and their favorite agents, too. Signing off.
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Hey everyone! It’s Keri TV, and today I’m talking about some of the things that make your home the smartest home out there. I go into a lot of homes, obviously, in real estate, so I see some things in your home that really will level up your lifestyle. Stay tuned for today’s episode.
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I wouldn’t be true to myself if I didn’t start with Alexa. Alexa is obviously the top choice for a smart home system. Whether you like her or you don’t, if you get to know how to work with this app, it will literally change the way your home exists. The reason is, this app connects into a lot of other different apps. You can do anything from locking your front door from anywhere you are, turning on and off your lights, setting your lights so they go on and off at certain times, you can connect them to your shades, you can set alarms, and you can set a morning routine. You wake up in the morning and can say, good morning. I have three in my house. Play my morning routine. She can start with a positive quote. Today I had some really weird Albert Einstein quote. I think I’m going to tweak it. A quote or a prayer. She can say your affirmations. Then, she can put on a book from Audible. She can put on a music playlist. Whatever it is that you love to do in the morning. I love that little tidbit. I just started adding that into my routine. She can also control the security systems and look up recipes. My favorite, and I use the most often, is music.
Of course you have to learn how to speak to her. Try to have Eric play Camila Cabello music. It took maybe ten times. Like anything in life, you just learn how to use it and once you do that, it frees up a lot of your time, so when you’re running around your house in the morning getting ready or trying to leave for an appointment, you can get your schedule, your calendar that day, hit your morning routine, listen to some Drake or Justin Bieber, you know how it goes. I highly recommend it. I’ve got three in my house and I love them.
Another one I want to talk about is the Smart Mirror. Obviously, if you spend some time in the morning getting ready, I just woke up like this, I’ve always wanted this. Something on my mirror that has everything going on that day. The weather, etcetera. There actually are smart mirrors that are in the works. I believe one released is the Capstone Connected Home Mirror, where you can check your Google Drive. You can write an email. You can check your schedule and the weather. It’s all displayed in front of you while you’re looking at yourself. The second mirror is from LG. It scans your body type and can suggest certain clothing and have them delivered to your door. The third mirror is an advancement on that. That’s made by Artemis. That uses artificial intelligence to predict your health and wellness. It will tell you about how a certain hairstyle will look, beauty regimes, body mass index, weight, and look at clothing. It’s a whole beauty wellness mirror. That is going to be twenty thousand plus, so I’m going to stick with the Google-enabled mirror. That one sounds pretty fun.
Okay. This third one is super cool. Smart fridges. Obviously, the health and wellness industry is huge and booming. Everybody wants to be on the forefront of being the best version of themselves. It comes with your food intake, meditation, and lowering stress. That whole thing. There’s such a huge push on this. You think, okay. What can they do to help us get one step ahead? Now these Smart fridges are so smart. They have an inside camera, so if you’re at the store and you can’t remember if you’re low on milk or eggs – I don’t even drink milk anymore – it has a camera so you can see inside your fridge. It also has a transparent screen on the front so you can just touch it and look to see what’s inside the fridge before opening it and using that energy. If you just like to open it and stand and look at it, you can still do that. Or you can just press a button, and look at it. I think the Smart fridges are really cool. Some of the main things they can do is coordinate the family’s schedules. You can set up notifications when food’s expiring or notifications that you need to buy that product, which is interesting. Then you can just tell Alexa to order it from Amazon, who will also tell you when your packages are arriving, so that’s pretty cool. So you can set the expiration dates. You can create individual profiles for each person. You can create recipes and get notifications of what you need to buy for that, and then have the cameras go inside the fridge. So many cool things. I think the Smart fridge definitely will be one of the top things that I get.
After you have dinner, obviously, maybe it’s time to watch some TV. I don’t like the way TVs look in certain bedrooms. I don’t have one in my master because I don’t like the way it looks. Either way, you could have a beautiful piece of artwork, maybe just a fireplace that you want exposed or a nice view. The disappearing TV is just a sixty-five inch sound bar with a 4K screen that rolls up that is completely invisible when it goes down. I know. You’re thinking, how is that even possible? Well, if you look at this link and look into it a little bit more for all you tech people, it’ll explain a little bit more about it. I know this is definitely something I will be getting, especially because it’s in 4K.
You’ve got all these apps in your home and you want to protect them, right? You’ve invested in the best technology. You’ve got a lot of personal information on it. What do you do? What do you need? It brings me to my fifth one. Security systems. There are many out there, Ring, Vivint, and Simply Safe, just to name a few. Again, all of these link into each other into Alexa. I didn’t realize I would have to film this video and not be able to say her name the whole time. Use your Echo Show? Anyways, all of these can tie into that app and you get notifications when people come to your door, whether that’s the doorman, not doorman. Whether that’s someone dropping off a package. You know something’s delivered. Especially if you’re leaving something out and someone’s picking it up. It’s just peace of mind to know that it was picked up. How many times have packages gotten lost? This way, you would know that, yes, it happened. I was able to film it. If you’ve got dog sitters or nannies, you can watch them coming in and out of the home. You can also use the cameras inside for pet sitters, nannies, teenage kids, real estate agents, and a lot of different things. You get twenty-four seven surveillance, and you get notifications when people are in the house and movement. There are all sorts of ways to set this up. The point is, you feel secure and safe with anybody accessing your home.
The Ring Peephole is pretty cool. You can also set up notifications on your locks, so even though you can use that from the Echo Show to lock and unlock your door, the security system can also have those apps. Then you can get a text when people open the door. You can set codes that expire, whether it’s an hour. If a contractor wants to go in, you can give them a code and have it expire. You get notifications when somebody opens the door and locks the door. There are so many ways to make your home extremely safe and savvy, tech enabled to give you a little bit more time to have you time. Even if you sit back and have the Echo Show read you a book. There are so many cool options. My favorite, as you know, is just, Alexa, play Drake, which I do all the time, but with alarms, morning routine, knowing the weather, and seeing my schedule, Alexa and I have a really nice relationship. There’s a lot of cool things out there. I hope this was helpful. I love knowing the cool and latest trends, and there’s a lot more I’ve got up my sleeve. If you want to chat further, you know where I am.
Thanks, guys. See you next week.
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Hey everyone, it’s Keri TV. Today we’re talking about what is in and what is out for 2019 in design. Stay tuned.
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Alright. The design trends for 2019, although we always use our specialists, our interior designers and our stagers, I was with a friend of mine who owns an amazing physical therapy clinic, if anyone needs some tweaking out. They’re doing a kitchen remodel. They started asking questions about the trends and what they’re going to do. I said, well, make sure you stay on top of things because we’re making a big shift. Of course, it’s always important to stay on top of things, especially if you’re doing a remodel and spending time and money. It inspired me to take a closer look to see what exactly the trends are for 2019 and make sure that I’m also doing the right remodels on my properties. Here’s the list. If anyone is into to – Pinstagram – Pinterest or Instagram, you probably know and see a lot of these, and you’ll recognize them, now that I’m mentioning them.
Of course, because of these two social media outlets, every trend is insanely magnified. You have this FOMO vibe going on. If somebody is moving into the farmhouse style with the rose gold, everybody wants to do the same thing. We’re seeing the same things happen now. The trends are shifting. Everybody wants to be on top of what’s next and what’s in, and make their house, if they’re selling it, super sale-worthy. If you’re fixing it to keep it, you may mix in a few of these different designs. It’s definitely a different idea if you’re flipping something or if you want to be super cool, super sleek, and super sexy.
Home remodeling is a four hundred and fifty billion dollar industry. In all of America, we grossed two point two percent from remodels. Now, why the sudden increase in all of this money spent on remodeling? One, housing inventory is low, and the ageing population is growing. Think of all your parents, my parents, and the baby boomers. They’re living longer and staying in their homes. Due to that, people are deciding to remodel. Maybe they don’t have enough money to buy a bigger house or they’re going to use the equity in the home. Half of Americans who have property have more than fifty percent equity. Anyway, remodeling is at its all-time high right now. It’s so much fun. Let’s go through some of these changes.
The first, white on white is out. Technically, today I’m white on white, so I’m out, which is good, because I’m getting married. I won’t be a white anymore. So, what’s in? Rich colors, like black. I love the black. Brown, green and blue. Really rich colors and the black and white combination. Black and white is in. Think rich colors and black on white, but that whole white on white is out. The tropical prints that we were seeing, a lot of the leaves, we’re now moving to geometric patterns, which are so cool. I love some of the Spanish geometric patterns I’m seeing, especially the black and white geometric patterns. If you’re not bold enough to do this to, say, the tile in your bathroom or backsplash, which are the two most common, you can do it in your accent pillows. You can make them something you can use for now and switch up later. Throwing in those bold black and white in tiling and pillows is becoming really popular. It’s super fun. Velvet – oh my god, I love velvet. I have my own blue velvet sofa that I got custom, thank you Leah. Believe it or not, velvet used to be old fashioned and stuffy. Now it’s luxurious and funky. Isn’t that hilarious? People love using velvet to make a room feel more comforting and inviting, yet still elegant. It’s pretty interesting. They’re getting a lot of attention with this velvet decor. They’re saying, actually, that velvet is 2019’s most sought after trend. I like it!
Now, matte finishes. The white on white also had a really glossy futuristic feel, but now, they’re doing the mattes. I actually love matte. I love matte bikes and matte cars. Just gorgeous. A lot of the finishes on covers are matte and a lot of the fixtures are matte. Instead of that glossy blue or glossy grey, you have a dulled-out color or dulled-out fixtures. That’s a fun trend that’s adding a little bit more comfort feeling to homes. As I mentioned, the rose gold is out, I’m so sorry! Rose gold champagne, though, is not out, so don’t worry about that. Copper is coming in. Copper and mixed uses of metals. You never would wear gold with silver or copper with gold, but now, that’s exactly what you’re doing in your entire living room. It’s pretty fun to be able to use a brass table with a gold dining table and have them all thrown in. I have a black and white cow pattern in my living room. I’m all on trend lately. It’s because I just moved.
Let’s look at another one. Wallpaper. Wallpaper’s back. Of course, how much fun of wallpaper did we all make growing up? We’d go into a house. Oh my god, that person’s house has wallpaper. It’s so terrible! It’s hilarious. Now, wallpaper is on trend. It’s up there with the velvet. Crazy, how old fashioned it used to be. People are loving wallpaper. They can do really fun designs and use really fun colors and put that wallpaper up. Hey, it’s not permanent. It’s not as hard to get off as painting a dark color would be. Going from brown to blonde; very difficult. Of course, less is more. I feel less is more is always a trend, but they’re saying even more so now. All that eclectic clutter is gone. Signs that say ‘kitchen’ when you’re in your kitchen, or ‘living room’, or ‘house of love’, those kinds of silly signs telling you where you are, are going out of fashion. A lot of simple, beautiful, and overall, we’re going from mid-century madmen to a seventies chic art deco.
It’s always fun to watch the design trends, stay on top of it and see what people are doing, what’s new and interesting. Of course, like any trend, they fade in and they fade out. Some of these are really fun. I’m really digging the velvet and the seventies feel. Those are some fun facts today about 2019 design trends. If you have something you love, send them to me. I’d love to see any remodels that you’re doing. Any before and after. I’m so into it. Things you love. I can repost. Thanks for watching guys, and stay tuned for next week’s episode.
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Hi everyone it’s KeriTV! Happy Tuesday! And I'm super inspired about this video today because of last week and how amazing my coach was and I wanted to share a little bit about why coaching is so great, so stay tuned.
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Okay so, just to clarify, my video series is not just about buying and selling property or investing or Los Angeles. The reason I called it KeriTV and thank you Stacey Flannigan, is I like to talk about all things that are in my life. Well, thanks I guess to anybody watching who cares about my life. Giving back on real estate tips on buying and selling, investing, renting , etc. But also just what it’s like in my world. The people I know, the business I go to, the clients I know, professionals I work with and just sharing all of my world. So thanks everybody for watching and today’s episode about coaching is inspired by last week.
So I coach with the Tom Ferry organization and it’s not about the coach you have, I think it’s just about a coach. So I get questions a lot, emails, texts, DM’s, phone calls. Should I get a coach? Does coaching work? What do you think? Coaching is not (like anything in life) some magic pill that you take and you’re healed or your successful or whatever. Everything takes work and as anyone knows who is a real estate agent, you’re your own business owner, you’re an entrepreneur. There’s no manual, hey go out and do this and it’ll happen, you know, like Forrest Gump.
So having somebody that can help you out that’s trained to coach people and be a leader is very beneficial. Now I want to dispell some of the myths that come with coaching. Most people think oh a coach is just rah rah rah, motivate you, make you accountable, and tell you that you’re doing a great job. Well sure, yeah, you can get a coach every week and get on the phone and say hey you woke up today, good job. I gotta tell you, my coach has never ever gotten on the phone with me and said go make some calls, go call some clients.
I’m in coaching because it’s all about leveling up my entire lifestyle. Some of the myths about coaching are that it’s just to have a cheerleader, it’s definitely not. It's a very high-level experience. There are people who believe in coaching, which I think you should have a coach, you should have a nutritionist, a stylist, a therapist, well everyone needs a therapist. Maybe just me. Anyways, I’m all about having specialists in your life to make your life better.
Some of the reasons why I’m so obsessed with coaching is because they take a look at where you are in your world and they look at the blind spots, things that maybe you don’t necessarily see. And they look at how you can fix those or maybe adjust those or maybe just have an understanding or awareness of them. There’s never been an issue with me with being in real estate so long, 15 years with buyers or sellers. You know I don’t really have questions on how to deal with certain people. I’m very grateful to work with all the clients that I do and of course situations come up that are difficult but it’s all a negotiation and staying positive as I’ve done many videos about.
But what has been so transformational in coaching is one, learning how to be a manager, and a boss, and a leader. And two, of three, changing who I am as a person. John Maxwell’s I think 12 Leadership Rules of Growth or something, 12 Laws of Growth? Irrefutable Growth? John Maxwell. That made me understand that to change your world and your success, you change yourself. Changing myself, my daily routine, my habits, everything that makes me me. And then also the people I’ve been introduced to through these coaching programs. So not only am I trying to be a better person and a better influence every day, but I’m learning how to level up in my business and how to grow and to work and inspire others to work with me and help my clients as well.
My advice to everybody out there whoever asks should I get a coach? Heck yeah you should get a coach! And I’m so grateful for last week, we had such a transformational session with my coach and really digging into some things that I didn’t realize. And you don’t know what you don’t know, so unless you have someone that is there helping you along the way, it’s hard to know what to do next, which way to turn. It’s not a plan, it’s not a roadmap, but it’s just learning, how do I better communicate? How do I better serve? How do I better lead? How do I better make a culture where people want to come to work every day. Right? A lot of people, oh boohoo Monday or oh can’t wait for it to be Friday. If I ever said that, nobody would want to work with me, right?
So this is a shout out today to all things KeriTV, in my world. I love to share about why I am the person I am, why I love working in real estate, why I love the people that are in my life, and I’m so grateful. So it’s not about who you coach with, I love Tom Ferry organization, I also love Steve Shull, I followed Zig Ziglar, I followed a bunch of Brian Buffini, all those people, but work with someone, get a group of people around you and go kick some butt!
So thanks for watching today, KeriTV, see you guys next week!
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Keri: The headlines are sensational! Doom, gloom, declining market? After all the booming and the growth in the real estate market, what in the heck does this mean? Stay tuned.
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Calm down, sit down, think, plan, and my favorite, act. Hey everyone, it’s Keri TV and today I’m talking about what is going on in the market. Of course I’ve touched on this in other episodes but it’s so great to put this out in March now that we’ve seen the appreciation that’s happened over the last couple months and really trying to help people figure out what all these headlines mean.
Now headlines sell. Hurricane 4 in Miami coming, everybody’s freaking out, what happens? Hurricane 2, almost 90% of the time. Headlines are the same way in real estate. If they say oh we went from 7 to 8% and now we’re at a slower appreciation this year. People are like “boring” that’s all we’ve heard about is appreciation in real estate. Headlines can’t wait for something to shift, something to happen. So the headlines read “sales declining, more price reductions, longer days on market, more inventory”...well, February 2018 there were agents doing seances and prayer vigils trying to get more inventory because they had nothing to sell. So now that there’s more inventory everybody should be excited!
Good, professional agents always know what’s going on in the ebb and flow of inventory. There are so many pent up people when things slowed down in October and some people took a break from buying those buyers still haven’t purchased anything. They’re still living with their newborn in their bedroom or their newborn in their second bedroom and need to buy. There are home sellers that have bought in the last 3, 4, 10 years that have been trying to sell but when a market is going up at 7% a year, good luck! It is very difficult. Although I have some tricks and tips which I talked about in another video, donkeys were included!
It’s definitely a much better market to be a buyer in or to be a move up buyer in because you have more inventory and more time. What happens is with a shift like this when there’s so little inventory and then there’s rising inventory it creates confusion and doubt. And as any person in the world, whatever they’re doing, people want certainty. They crave predictability, they crave knowing that they’re going to be safe. Probably comes from being a baby, infant maybe? So in this market where you’re rising at a rate of 6, 8 even 9% and you go 2, 3% it feels like a huge crash. Like whoa! No matter which way you slice it. So it freaks a lot of people out. So what do they cling to? What they know. What do they know? The last time housing sales declined and inventory rose there was a recession. So they think doom and gloom, I don’t know what to do, I don’t want to lose my money, etc. The problem is the misinterpretation of this data home sales declining means the number of homes that sell is less so instead of 10 homes selling, 8 homes, 7 homes. The price of those homes have still been appreciating and are expected to appreciate around 3, 4% throughout the rest of the year.
Steve Harney with Keeping Current Matters is a great source for information for what’s really going on in the market and interpreting the data. So he was saying that out of 100 housing economists, which I saw him speak in early February, and I listen to him every week, that 94% of them predict that home sales will appreciate, 2% say they'll be flat, and 2% doom and gloom the world is over. Of course, there are always the naysayers. What’s important is being informed. So if you’re looking to potentially wait out for a crash you may be sorely disappointed. And at the same time, when do you wait? How long does it go? How far does it go down? What if it doesn’t go down? And in any shifting economy with the ebbs and flows, no matter what happens, at the end of it you are always up more than what you purchased it for. So anybody who bought and sold and lost $100 or $150,000 in the downturn if they had held onto their property, they would still have their equity, their value would be back and they could make a move or stay for a little bit longer. But the market never lets you down in the long term.
Buying and investing in real estate is a long term gain. Do you know what is the most incredible factor? The average person who hasn’t bought a house yet is between 25 and 35 a “millenial”. So they’ve been saving, they’ve been waiting, maybe they’ve been making offers, but they haven’t been able to get into anything. Their two biggest concerns amongst everybody is retirement, saving for retirement, and buying a house. Now those two things go hand in hand, they’re a little bit of a marriage. The average renter at the age of 65 has a net worth in the bank of $5,700. The average homeowner at 65 years old, their average net worth in the bank is $300,000. Is that a retirement plan? Is that a savings plan? Pretty great right?
Speaking on a micro market level, on the west side, in the last 30 days, the properties that have been selling have been selling at 1% over asking in the first 30 days, 2% under asking in 30-60 days, and then 5% if it’s been on the market longer than 90 days. So basically, overpriced homes are getting reduced and sold at a normal price. Things are not appreciating as fast as someone who has pioneer pricing which is something that was happening in the last 3 years and going really well for sellers.
It’s a normalized market. And there’s nothing more exciting than a buyer or a move up buyer or a real estate agent who is gratefully very busy than more inventory and a bit of a slow down. Because it can be very challenging when you meet a new buyer and you’re like oh there’s 5 on the market, oh 3 have offers, 1 is falling off a cliff. Okay! I’ll call you next week! So it’s so important to speak to your specialists as I always say and get an accurate understanding of the market.
So for anyone out there who is still trying to buy, stick with it. It’s a better time to be in the market, for anybody selling it’s also a better time to do that, and at the end of the day, real estate is a long term game. So what better way to get security and investments and long term retirement than buying real estate? Now again as I’ve mentioned in other videos there is various ways to do this, you don’t have to buy your first home as your primary residence. If you like living by the beach in your $800 rent-controlled apartment that’s okay! We’ve got answers for you too! If you’re waiting to get married and have another income so that you can buy something bigger and better, why not try something out? For now maybe you can rent it out and then when hunny bunny comes along you guys can either sell that or buy something else together but no matter what, real estate is a great investment especially in LA right now with everything happening.
Of course there will always be the naysayers, at the end of the day make sure you work with the people who have gone through the trenches, know what they’re doing, have bought and sold real estate, themselves, have helped a lot of people, are honest, ethical, transparent, authentic. I try to be all those things. My focus is continually making real estate agents better people and continually providing the right type of information. So thank you for tuning in to doom and gloom sensational market! Cheers guys we will see you next week on Keri TV with more information!
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Hey everyone, it’s Keri TV! Happy Tuesday. I was really inspired today. Often, anytime I’m posting, doing stories, or any of the videos I really have to be inspired. Sometimes I don’t have a lot of inspiration, and then it hits me and I’ll have a meeting in ten minutes and I’ll be like, I’ve got to film. Anyways, today is a very on-the-moment inspired Keri TV episode. Stay tuned.
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When I went to a Tom Ferry conference summit in 2008, eleven years ago, there was only about seven hundred and fifty people in the room. Tony Robbins was the guest speaker. Crazy, right? That he would speak to such a small amount of people? This was a long time ago, before Tom Ferry or Tony Robbins were as big as they are today. One thing he had said that really impacted me was of course the way he wakes up in the morning; ‘yes!’
After that in 2008, every day when I woke up I would think about him. I should be waking up with a yes. But you don’t want to do that every day. The point is, slowly through time, through the masterminds I’ve been with, through the Tom Ferry coaching organization, and through an incredible company, I started to learn certain routines and habits. I know people like to talk about these routines and habits, but actually doing them is what makes an impact. I read a book called The Miracle Morning, which I highly recommend. It’s easy and on audible. It’s a quick read. It goes through something called SAVERS, which talks about the things that you do in the morning. Every morning, when you wake up, like today, I had a choice. How am I choosing to wake up? Am I grumpy? Am I tired? Am I complaining? Am I upset about something the day before? Do I not want to do my work out? Etcetera, etcetera, etcetera.
I’ve been learning to change my mindset so when I get up in the morning, I think, okay. Today is a new day. I can choose how this day goes or I can choose my reaction to this day. I can choose my morning. I can choose to be grateful. The first thing I do is write down my gratefuls. Sometimes, this happens after the gym. Sometimes this doesn’t happen at all. But I’d say four out of five days of the week, for sure, I do that. Hopefully five days. Weekends I take off. Then, after that I usually, ninety percent of the time, go on a work out. I don’t check my emails beforehand. If anything, if I need to do work before that, I still don’t check emails. I don’t want anything from yesterday or that’s coming today to impact my mood, my intentions, and how I’m living the day. With that being said, I do the gratefuls. There’re other things involved that will teach you, like doing affirmations, sitting in silence, and also writing down your intention for the day and your goals. Okay. That’s all well and dandy. What happens when you have a, excuse my French, shit burrito day?
Things after things after things keep piling up. Nothing is going your way. You’re losing the parking spot. You find out somebody you love is sick. You step into a puddle with your new shoes. Your sock keeps falling under your shoe. You lose a deal. Your friend gets mad at you. You miss a birthday. Etcetera, etcetera. All the things that happen in a day that build up and can be frustrating.
I know that my energy and what I do, my mood, my energy, and how I embrace everybody is crucial. Now, if a seller is entrusting me with listing their property, if I’m in a bad mood because of a stupid agent that yelled at me or a client that was rude – which, I don’t work with those clients – or the grocer yelled at me or somebody pulled in front of me or whatever, if I bring that energy into a showing or a meeting, that energy will push away anybody especially if I’m showing a property for a seller. I have to ensure that I know what to do when things like this come up.
The whole point of what I’m saying today and what I felt inspired about was, how do you get yourself out of a dumpy, poopy mood? When you’re feeling like you got served a shit burrito, and shit is not your favorite type of burrito, what do you do? Here’s what I do.
Besides the morning routine, because it’s so imperative, I’ll put on a YouTube by people that are positive. There’s a lot of cool YouTube mixes out there that have mixtures of Abraham Hicks, Brendon Burchard, Tony Robbins, Will Smith, Tom Ferry, and the evangelistic guy my mom likes. Joe, what is his name? Anyways. I’ll think of it. He’s on Success Magazine. Anyway, there’s YouTubes you can listen to that are very empowering that get your mindset right. Put on one of those YouTubes. I also always listen to audible in the morning when I’m doing my hair. Blow drying or whatever. I put the ear pods in and I can listen. I always know I’m doing something powerful during a moment when I can’t be doing anything else because I’m using my hands. If I’m in a crappy ass mood, excuse my French again, I won’t put on my audible. I’ll put on pumped up workout music and I will belt my lungs out while I get ready. I will take all that energy and just let it run through me. That was something I did this morning. Tainted Love is a good one. House of Pain, Jump Around is a good one. Billy Jean is a good one. I woke up today and just had a lot of things going on, of course. Sometimes things happen. Life’s not all peachy-keen. I made a commitment to myself this morning to turn around the last couple of days and be a positive impact on the world. Instead of just my small morning routine, I had a complete dance party.
When you’re feeling in a cranky mood and things are not working out, five things I recommend are: one, just smiling, laughing, and forcing yourself to. You could watch something funny. Find a funny YouTube or just laugh and fake it. That energy runs through your whole body. Call a friend. Call a good friend that will let you have a pity party. Call your mom. Call somebody and just be like, I’m a boo-hoo. Boo-hoo me, boo-hoo world. Get it out. Take a walk. Taking a walk actually gets you out of that environment and into the world. It gives you a chance to see and feel a different environment. Unplug from everything. Sometimes, if I take a walk, I won’t take my phone. I won’t take anything, or I’ll go into my car, because there’s no service down there. Be all, [sigh]. There are ways to easily pop yourself out of a bad mood. More importantly, you have to try. You can sit in your bad mood. You can sit in your bad mood all you want and just be in a bad mood. When the guy checks you out in the grocery store, you’ll be, meh, thank you. You know, we can all do that or we can choose to be the opposite.
I’m not saying it’s easy. Every day I wake up, it’s an intention to be a better person and be a better influence on the world and make sure that my poopy-ass pants don’t go on anybody else. You know, my clients hire me to be a positive influence on deals. It’s a little bit of a tip into my world and how I stay sane. You know, things happen in life. People aren’t fair. People don’t treat you right. People steal. People lie. People hurt you. How you react and how you train yourself to get through those moments is what creates your own happiness. Again, it’s all about you.
This was a little emotional. It’s 9:02 and I have a call at 9. Thank you for tuning in to Keri TV today. I felt really inspired. Again, sometimes these are a little personal and emotional, but it’s Keri TV. It can be a little bit about all sorts of life. Thanks guys, for watching. If you ever need any good tips on who to follow, message me. I’ll give you all the people I follow that can influence you and who you can read books on. Cheers guys. Have a good day.
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KERI: Hey guys, we are here with Dave, Jen and little Lucas. We’re celebrating a very successful closing. It was a very long story. We’ll fill you in later. I’m so excited to be able to cheers with them. We’ll do that in a little bit. Dave and Jen came into this open house in August. It was quite a long journey until January fifteenth, today. Yeah, hi! Hi!
DAVE: He’s excited too.
KERI: It was so sweet for you to say something nice about me Dave, you were going to say something nice?
DAVE: I will. It’s been a pleasure working with you.
KERI: Thank you.
DAVE: I think one of the best parts was that you’re always available. I was asking a lot of questions. We had a case where we were selling a place and buying at the same time. There was so much going on with us.
KERI: So much going on.
DAVE: [crying] As you can see, it was a very stressful situation. Yeah. I appreciated. I texted you at all hours with questions [crying].
KERI: Thank you. Don’t think you can text me at all hours. It’s only because they’re awesome. So, what are two things that made you choose me over all the agents that you know, which I was so appreciative of?
DAVE: Good question.
JEN: Well, Dave and I know a lot of folks in the industry. It was really difficult to make a decision. Coming in from a [crying] we kept our options open. We were looking around to get a better sense of the market. We thought, with your expertise and knowing this place, that it was perfect to work with you on the other side of this deal too. We trusted that you were fair and impartial through the whole thing and would be able to help us even though we know it was really complicated.
KERI: It was very complicated. Thank you!
DAVE: Yeah. Also, your knowledge about the Santa Monica condo market was helpful, because I was selling a condo.
KERI: Yes.
DAVE: And buying a new house.
KERI: Selling a condo in Santa Monica.
DAVE: All the different comps that you do.
KERI: Yeah. Thank you! I try to learn the market so I can be knowledgeable. I’m really appreciative to work with people like you. You’re one of my favorite clients. I hope they don’t ignore me when I follow up to come over and hang out.
JEN: We’re getting a wedding invite, right?
KERI: Oh yes.
DAVE: That’s on camera.
KERI: Count down!
DAVE: Next time you come over you have to bring champagne with you.
KERI: I always come with champagne. Every time.
DAVE: Yeah.
[all] Cheers!
DAVE: Thank you.
KERI: Thank you.
DAVE: Cheers.
KERI: See ya!
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Hey everyone! It’s Keri TV. Did you know that you can buy a property in Los Angeles with less than 20% down? Stay tuned
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Now I’m always trying to stay in tune with what’s happening on the consumer side of things. Of course being a real estate agent and working with real estate agents all day, we’re talking a lot about things on our side of the transaction but recently I found out that 49% of renters or non homeowners did not know that you could buy a home for less than 20% down. So a lot of people that have been saving to get every single penny to get into that 20% down mark could’ve been in a property a year, two, three years ago so I feel very compelled to share this information today for anybody who does not know because 49 percent of renters even watching this don’t know that.
And really quickly I wanted to really thank everybody who is a part of making these KeriTV’s, the people that help me edit them, put them up, help with content, the people that have been on the show. It really means a lot, I’m very passionate about making sure that we get these out every week and I wouldn’t be able to do that without an awesome team, you know who you are. So let’s get into this week’s episode.
So one of the best ways to get into a property in a market that is potentially rising in price or with interest rates rising is to look at other loan options that are not 20% down. Now there’s three types of those loan options. The 3% down, 5% down, and 10% down. Many people do not know about these options which was really surprising to me and that’s why I’m sharing. But due to interest rates it is now more affordable, it’s actually 28% less expensive to buy a home today than it was in 2006 during the recession. The average mortgage payment was $1275 in 2006 today in 2019 the average payment is $963. That’s about $300 difference and 28% less expensive and it’s all to do with interest rates. So take a look and make sure you’re informed about rates and how it impacts you and loan options.
So I want to get into these three loan options today and then of course keep in mind I’m a real estate agent I’m not a mortgage professional so I’m grateful for the people I work with, Jason Vanderpoort, love you, for giving me this information for me to share with you guys today. And any questions that you have I would always point them in that direction. So the first option is the 3% down. Yes, you can buy a property with 3% down. This is when you really want to get ready ahead of time and look at all the loan options and see when and where you can do that. These have mortgage insurance, some don’t have mortgage insurance but they have more limitations on them and the rates are definitely a little bit higher. So that’s one to be prepared a month, two, three months ahead of time. Now the 5%, you can do 5% down up to $1.5 million. That is awesome! And some of these loans don’t have mortgage insurance, some do. Mortgage insurance is an insurance you pay on loans less than 20% down which adds to your monthly mortgage. Now what’s nice about these is that the difference between 5% and 20% on a million dollar purchase is $50K-$200K. That’s a huge amount of money that you’re waiting to save when you could get into a property. Now the rates for these I’m told vary between 5.6% to 6.1% which is a little bit higher than what you’re paying on a 20% down. But a lot of times to get that down payment you’re relying on family, most often family, gifts of some kind. Not everybody has that luxury it’s a very nice luxury but not everybody has that. So instead of paying off your landlord’s investment and paying their mortgage, you can in fact get into something sooner and start to build your equity and wealth as a homeowner.
Now the 10% down loans, with the 10% down loan you can go up to $3 million dollars. Yes! How awesome is that? So you can buy an awesome condo, or a house on the west side up to $3 million with 10% down. That is one of the most incredible facts for homeowners out there and I’m sure if you’re watching this and you didn’t know that, you’re going to be calling me to buy a house or calling your real estate agent or starting to look. What’s cool about these 10% down loans is that it’s not just if you have only 10%. We find that even our clients with 20% down, they like to use these 10% down options because they save the other 10% for remodeling, for a safety net, maybe they don’t want to put their entire savings into a property so they can use it as a safety net, a cushion, or they can do painting, flooring, they can update the kitchen, bathrooms, you know the drill. Go on a nice vacation, The Bahamas, wait that’s just what I like to do with my money.
So that’s all well and great Keri, but what does this mean for me? How does this really break down? Well, let’s look at a million dollar purchase. So if you’re buying a million dollar property, and you’re putting 10% down, then your monthly payment will be about $3935 with a rate of 4.25%. And this doesn’t include your taxes and insurance. Okay. So now if you’re buying a million dollar property with 20% down, which is $200K, your monthly payment would be $4762 without taxes and insurance so that’s an $800 difference a month between 10% and 20% down on a million dollar purchase. Holy cow! It would take you ten years with that monthly amount to save up enough money to put 20% down. What could you be doing in ten years?
And you know if you’re a past client of mine watching this and you’ve bought and sold, most people buy and sell between 5, 7 years and now it’s 7, 10 years because inventory has been low. So the likelihood that you’re going to be using that equity and buying something else or refinancing in that time is huge. So the amount of time you’re taking and waiting and saving, you could actually already be in a home and be a happy homeowner. How cool is that? Some people are comfortable with it, some people aren’t but we know that buying a home is one of the best investments you could possibly make for so many reasons. So no matter what loan option you’re doing, it’s always important to work with your specialist ahead of time, get a game plan. I always have people come to me and they’re like oh I’m not ready, I’m looking in a few months, I’m like perfect! Sit your butt down! We’ve got stuff to talk about! Let’s talk about your monthly payment, what you want to be saving, any credit cards you need to clean up, etc. etc. Because there’s so many deadly sins we say when you’re getting a mortgage, it’s the most important part of the process, besides actually the house shopping side.
So I hope that was helpful today, it was definitely a shock to me to learn about this with not all buyers knowing about these options and the amount of renters that could already be in a home. How cool would that be? So of course line up your specialist, be informed, know about all these different options, because what you don’t know, you don’t know and it could hurt you. So stay tuned next week for Keri TV and again thank you everyone that helps put this together and everyone that tunes in. I really love being able to give back and inform people whether they’re working with me or not, it really means a lot to me. So cheers guys and we’ll see you next week!
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Hey everyone! It’s Keri TV. We just closed, like that door closed, on 12120 Sardis. We are celebrating. I have a story to tell you about this home. Stay tuned.
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This beautiful five-bedroom home that we’re standing in front of just closed for 2.135 million. The reason why I’m so excited to do a Keri TV episode on this property is because this is all about being positive and optimistic with whatever situation comes your way. For example, I took this listing back in May. When I took it, it was being leased as a sober living home. There were about ten to twelve boys living here. The rooms are all bunk beds. Of course, you know how boys can be, sometimes. A little bit messy, a little bit dirty. It was very difficult to show in general, just because of the condition of the home and working around all these different schedules. We took it on. We tried to do some new photos. We bought some of the old photos. This is a newer construction home, so it’s absolutely beautiful. Of course, when you’re a buyer and you’re coming into a 2.45-million-dollar home, you expect perfection. Right? You’re a turn-key type of buyer. Coming into this home didn’t have that emotional feeling when it wasn’t staged. They decided to move out. Okay. We waited a few weeks for them to move out. They moved out, get it cleaned up a bit, but there’s still some things that need to be done, painting, etc.
Then, we planned this big open house. We sent out flyers to the neighborhood and postcards. We did balloons. We get food. We go to an open house and it was in that heat wave. Do you guys remember that heat wave in, like, August? Was it August? We get here to do the open house and the power’s off. Not only is everybody melting, we don’t have cold drinks. It ends up being such a disaster. The second open house, I end up getting locked out. For some reason, the key was taken. The odds were all against me in getting it to look perfect. I have a very particular system for the way I list properties to get the emotional feeling and the pictures right. Everything. It was getting near the end of the listing period. Obviously, it’s a little difficult to show a property once you get locked out. They ended up deciding to list with another agent, which can happen of course. It was disappointing, considering I didn’t feel like I got a full shot or the right chance to sell it. It’s okay. I wish them well.
What happens when you have a listing is there’s something called an exclusion agreement. This means that anybody who comes to the property when you have it listed, if they come back and buy it afterwards, you still get to be the listing agent on that transaction. The current listing agent does not receive any compensation for it. Interesting, right? Do you guys know what an exclusion list is? Have you heard of that before? If you’re a newer agent watching this or any agent in general and you don’t get exclusion lists, do it. Every single person who comes to the property, get their name and register them. One day, this amazing couple walks in. It was when the power was out and we had all our food. They were the sweetest people. They were dream clients. They already had an agent and agent friends. We ended up following up with each other and chatting. I absolutely love them.
This is back in August. Yes. Heat wave, August. The property goes off the market. They really loved it, but they couldn’t do anything until the end of the year. We stayed in touch. They followed it. It gets relisted a month later in October with a different agent, as I said. The property’s all cleaned up, power-washed, repainted and it looks great! It’s got a little bit of a stigma because it’s been on the market awhile. The price has changed. Different agents, you know. Perception seems to be negative for properties like that. This reminds me a little bit about my 949 10th deal, the longest deal of my life.
We wrote an offer in September. It wasn’t accepted. This was just before it was relisted. We wrote a couple of offers and then finally, in November, this awesome lovely couple were ready to write. We write an offer. This time, we go for it. We write a great offer. They end up getting accepted by the sellers. They’ve had their time on the market. They’ve had enough. They took this offer. It had multiple offers at the time, so it ended up being the best offer. That current agent, unfortunately, did not get any compensation. I was able to represent this lovely couple who had their heart set on this home. I was able to represent them and the seller. The day we released contingencies, the other broker sign was taken down from the front yard and it was taken off the MLS. We didn’t nag them to take it down. Today, we just recorded, January 15, after getting this listing in May, doing all the opens, power outage, losing it, following up on it, working with this lovely couple, having the exclusion list signed, and the exclusion list was only six months. In a couple of months, that wouldn’t have even been relevant.
This is definitely a story about staying optimistic and staying positive. Never getting upset when you lose a client, a listing, or a deal, because you have no idea what’s coming around the corner. When you have somebody’s best interest at heart – well, I always have my clients’ best interest at heart. I was very concerned with making sure this was a positive outcome for everyone. The sellers were in a situation where they had some difficult circumstances. It wasn’t a traditional sale. I’m here right now. It is freezing could outside. I’m ready to pop some champagne with this awesome couple. I will be knocking on their door all the time because this house is absolutely gorgeous. It’s in Mar Vista. Great, popular Mar Vista.
This is the tale of getting a listing sold from an exclusion list, staying positive, working with great people, always wanting the best for your clients and everybody involved and things will come back to you, if that’s the case. Just sold. 12120 Sardis in Mar Vista, 2.135 million. Happy 2019! We’ll see you next week on Keri TV!
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Hey everyone! It’s Keri TV. I’m standing outside this great condo building that we just sold. I’m taking the lockbox off. Yes, it’s raining. When does it ever rain in California? I just wanted to share a little story about this and what happened during this transaction. Congrats to both the buyer and seller on this awesome condo in Mar Vista. There’s so much happening around here. So much being built. New shopping centers, retail, it’s awesome. Let’s head back to the office and tell the tale of 3998 Beethoven.
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Hey everyone. This is a little continuation from outside of 3998 Beethoven. I like to do these ‘just sold’ videos because every single transaction has a story. Every story is a learning lesson. I know a lot of people talk to each other when they’re in the market about what’s going on with their transaction or what happened with their friend, but it’s so important to note that every single transaction has so many different nuances. Just because your friend got a certain price, got a credit, or closed really quickly doesn’t always mean you can do exactly the same. In every situation, there’s three important factors.
One, the property. The property could be on a hill. It could be a condo. It could be a house. It could be old or new construction. There’re so many different factors that go into inspections or requests for repairs.
Two, the seller and the buyer. You could have sellers and buyers who have big egos, who are complicated, who love the fight, and that makes things a little bit more difficult.
The third thing is motivation and timing. If you’re in a certain position where you have to sell or have to buy, you’re going to negotiate a lot differently based on your personal needs. They always say the person who needs it less wins, so to speak. Not that anybody wins or loses in transactions, and actually, we always like to have a win-win philosophy, which is something I learned from my days at Keller Williams. It’s great for all the training that happened there. I took that with me to The Agency, a win-win philosophy. You want the buyer and the seller to both feel like they’re winning.
The point of this is to talk about my ‘just sold’ today at Beethoven. I thought this was interesting because my lovely client Sara, who’s become a dear friend. I love her. She’s awesome. Her energy is great. We’re members of the Santa Monica chamber together. Go Santa Monica chamber. I met her through a lovely other client. She purchased in 2014. At the time, it was super difficult to find anything under five hundred thousand. We found her this great condo on Beethoven in Mar Vista. Two bedrooms, two baths, renovated. It had these awesome orange walls. Orange and green walls. It was quite funny. I was looking through an old photo of us when we closed. That orange wall was there. She obviously repainted and did some upgrades since she was there. She wanted to live closer to the beach, but didn’t necessarily want to sell and buy something closer to the beach just yet. She rented out her place, luckily, for her rent covered her mortgage. She was happy as a clam. Maybe she was even making a little bit of money. Her condo became a little investment for the time being. When it came time to sell, she had purchased in the high four hundreds, four eighty-seven, I believe it was. She ended up selling for six hundred and eighty-four thousand, which is two hundred thousand more than what she bought it for. This was over the span of about four years. It’s incredible to make that much on your money, that kind of return on an investment, and she wouldn’t have made that if she had sold it right when she was moving into her new rental.
It’s a really great opportunity to know that you don’t have to live in the first place you purchase as your primary residence if you’re renting somewhere else. A lot of people think you have to own your primary residence. It’s awesome to have other investments. You can have condos, apartment buildings, you can buy a property somewhere where you don’t necessarily want to live but has a great rental value. Then, you go rent something in a place where you want to be everyday. There’s definitely a misconception that you have to live where you buy. Of course, it’s great to get a primary residence as your first property, but you’ve got to be flexible in real estate. You’ve got to be able to get in where you can get in and not limit yourself to things like price points and areas. If you’ve got a champagne taste on a beer budget – I like to think I’ve got a champagne taste on a champagne budget, but my accountant may not agree with that – you want to look at places that are good for investments. Use that profit and that equity and put it towards somewhere you actually do want to live. Or, buy another investment. Real estate is not just for your primary residence. Definitely understand that there’s options out there. Know that every deal is different.
I’m so stoked for Sara and what she made on this place. Again, maybe I’m saying too much personal information, but hey, that’s Keri TV, right? We share the facts. I’m so happy for her and I’m so honored to have worked with her all these years. Now we’re going to get her a sweet beach pad, right?
Thanks so much for working with me. Also, thanks guys, for tuning in today and hearing the facts about this ‘just sold’, how every transaction is different and how investments really vary. As always, talk to your specialist. We’ll see you next week on Keri TV.
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KERI: Hey guys, it’s Keri TV. Today I am with one of my favorite people, Sandie Bass. I am doing the best New Year’s spotlight edition ever. Stay tuned.
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KERI: Sandie, thank you so much for having me over today.
SANDIE: Thank you for coming.
KERI: I can’t believe it’s been five years, well, not since we met. But before that, since we’ve been in your home.
SANDIE: Yes.
KERI: Which is exciting. Sandie and I have stayed in touch. We love to go hiking together. We love to go to fancy Italian dinners together.
SANDIE: [laugh]
KERI: I thought, with the New Year coming up, it would be great to share what you do with my world, because goal-setting is so important and being prepared for what you want in your life is so crucial. Now that we’re in the New Year, I wanted to talk a little bit about what you do and how you help people. Spotlight you! What do you do?
SANDIE: Thanks! I’m a leadership coach. Career coach. I work with companies and individuals. With companies, I will work with leadership teams and help them be better leaders, work with emerging leaders and how to make the transition from being an individual contributor to managing people.
KERI: Okay. Leadership, career, and lifestyle type of coach.
SANDIE: Exactly. With individuals, I have a lot of individual clients who come directly to me because they’re ready to make a change in their career or they want to move up in their career.
KERI: Right.
SANDIE: They don’t know how to do it. Something’s holding them back. They can’t see it. A lot of us have blind spots. We simply can’t see.
KERI: One hundred percent, with the blind spots. I think a lot of people are in this world right now where they are transitioning from working for someone to making their own business, or there’s a lot of self-made businesses. People are making their own everything these days. I’m sure you deal with people that don’t have that direction or confidence, right?
SANDIE: The biggest thing for people is that they want to make a change. They want to start their own business or get a new job.
KERI: Okay.
SANDIE: Because there’s often no time limit on it, it’s not a like a boss told you, you need to get this done by 2/2 of 2019.
KERI: Right?
SANDIE: It’s individual goals. People have trouble really progressing without accountability.
KERI: Okay.
SANDIE: That’s a huge part of my coaching. Creating accountability for somebody.
KERI: Very true.
SANDIE: Also, part of coaching is looking for the fears that are holding people back. I get a lot of clients who say, I want to start a new business, but I’m not really good at selling myself. I’m really scared to do one thing or another. You really have to work to unravel those fears and look for strategies to get around them. You can’t just say, alright let’s get it done. You know? Let’s have this timeline and let’s get it done. You really have to help somebody understand, okay, here’s what’s holding you back. Here’s why it’s holding you back. Let’s dive into that.
KERI: Yeah.
SANDIE: Now let’s find a better way for you to move forward. Then, hold them accountable for moving forward.
KERI: Wow. That’s a lot. Not only are you structuring, but you’re getting into the emotion and the fear-based, which is probably what stops a lot of people from doing anything in life, of course. We’re all a little scared. Then, on top of that, client goals. It’s really both sides.
SANDIE: Absolutely.
KERI: That is incredible. What type of people do you work with? What’s a common client of yours like?
SANDIE: I would say I work with both men and women.
KERI: Equal opportunity.
SANDIE: [laugh] Equal opportunity. I usually work with people who are really smart and really well educated.
KERI: That’s nice.
SANDIE: Yeah. They’re really driven to do something different. I work with a lot of people who have been out of the workforce for awhile and who are trying to get back. Sometimes that’s a little difficult because people feel like they’re encountering ageism or they don’t understand how to explain away this gap on their resume where they haven’t been in the workforce. Yeah. I work with creative people, a lot of creative people. It’s not necessarily just for corporate people.
KERI: Right, of course. I love hearing about people’s success stories or client success stories that I see. I see it all the time from your emails. There’s so many of them. I wanted to highlight maybe one or two to show people the type of success that you have with clients. Would you mind sharing any of them?
SANDIE: Yes. I do need to keep them pretty confidential.
KERI: Of course.
SANDIE: I’ll keep it pretty general. One of my favorite stories was about a woman who was very highly educated and a really amazing person. Amazing background. She couldn’t understand why she wasn’t being promoted. She’d been at her company for awhile. She was doing really good work, but she could never get a promotion.
KERI: That’s a tough feeling when you feel like you’re showing up, doing a good job and you’re not getting promoted or any accolades. That can be hard.
SANDIE: Absolutely. It’s really hard to stay motivated in your job.
KERI: Yeah.
SANDIE: We spent some time trying to figure out what her work habits were and how she was showing up in the workplace and we uncovered a few things that were problematic.
KERI: Oh, wow. She had no idea?
SANDIE: She really had no idea. It was a little bit shocking. But she really had no idea.
KERI: [laugh] Get that.
SANDIE: Once we started talking about them, she said, oh my gosh. Yeah, I can see how that would be a problem. I challenged her to stop doing the certain things and also, one of her biggest things, was that she didn’t speak up in meetings. She would prefer to talk to people.
KERI: Observe.
SANDIE: Observe during the meetings and then talk to people one on one afterwards. Because she wasn’t speaking up in meetings, she wasn’t really being perceived as a leader. I challenged her to speak up. She had one assignment. In every meeting, you need to speak up three times.
KERI: Three times. So, from zero to three.
SANDIE: Yeah, that was her reaction. She said, really? Three times?
KERI: Wow, yeah. I agree. Yeah. Hi, my name is… does that count?
SANDIE: Nope [laugh].
KERI: Kay.
SANDIE: Yeah. It was pretty amazing because once she started to change these habits and started to speak up in meetings, she got perceived differently.
KERI: Yeah?
SANDIE: Sure enough, after three months, she got promoted.
KERI: Three months?
SANDIE: That’s amazing.
KERI: You guys, three months, with Sandie Bass.
SANDIE: [laugh] I take all the credit.
KERI: That is amazing. After all that time. Just three months?
SANDIE: Yeah. It was amazing. She was thrilled.
KERI: That’s amazing. What I’m hearing is that you have something very special to offer. What makes you different? What would your clients say about you? Why do they like working with Sandie?
SANDIE: I think a lot of people come to me in the first place because they like my background. I have a master’s degree in Human Resources Management and Organizational Behavior from Cornell.
KERI: Wow.
SANDIE: I also got certified as a coach through CTI. They like how I have a lot of corporate experience.
KERI: Personally.
SANDIE: Yeah, right.
KERI: Yes.
SANDIE: I was the head of Human Resources for one of the divisions of a Fortune 500 company.
KERI: Incredible.
SANDIE: I have non-human resources experience. I spent years as a marketing leader. I was the head of marketing communications for a two point five-billion-dollar division of a major medical device company. Huge.
KERI: That is huge.
SANDIE: Yes. People like to know that I’ve actually been out there. I have advised people on how to hire. I have hired lots of people over the course of my career.
KERI: Do you have five tips for people in the new year for creating resolutions or habits, so to speak? Resolutions are habits.
SANDIE: Yeah.
KERI: What would those five be?
SANDIE: I think the first thing would be to really make it specific. Make a specific goal.
KERI: Make a specific goal. That’s huge.
SANDIE: But also, make it small enough that it can be accomplished.
KERI: Very true.
SANDIE: Right? Instead of, find a new job, make it, update my resume.
KERI: Update my resume, there you go.
SANDIE: Something that’s really small.
KERI: McDonald’s is hiring. Be specific.
SANDIE: [laugh] Right. Be very specific. That really helps. Just to break it down into something small.
KERI: Something specific, something achievable.
SANDIE: I think also, make a daily commitment to whatever it is.
KERI: Accountability, so smart.
SANDIE: Again, small. I really like to do things in small increments. If you can say, I’m going to commit five minutes a day to working on my resume.
KERI: That’s perfect.
SANDIE: Oftentimes what happens is, you sit down to work on it and for your five minutes, you get so engrossed in it that you wind up sitting there for an hour and you just get it done.
KERI: So true.
SANDIE: If you tell yourself in your mind, five minutes, it’s a lot more palatable.
KERI: Yeah. Starting is the hardest part. People running marathons that have never run before have to start with walking a mile. Slow and steady.
SANDIE: Right. Which brings me to my next little tip.
KERI: Okay.
SANDIE: It is making the task so small that it almost seems insignificant.
KERI: What would a fit point be to those four grades. Achievable, accountable, small, and daily, for a new habit?
SANDIE: I think that the last thing would be to set your agenda the night before.
KERI: Oh, yeah. That’s a good one.
SANDIE: Yeah, because if you try to do it in the morning, mornings are often the best time to get things done.
KERI: Absolutely, me too.
SANDIE: Right?
KERI: Early birds, yes.
SANDIE: [laugh] Yeah. If you create your agenda the night before, by the time you have to be up, how much time do you have to do x, y and z, your other morning activities? Make sure to get those little tiny things on the agenda for the day. You’re setting yourself up for success.
KERI: That’s amazing. Thank you times a million for doing this with me today. I’m so excited to be able to share what you do to help people because I know that, in 2019, people that are involved in my life want to get ahead in life. You need the right support system and team, so you’re looking at the prime person for that. Thank you.
SANDIE: Thank you so much. Thank you so much for having me on Keri TV.
KERI: Of course.
SANDIE: It’s amazing. It’s 2019.
KERI: Where do I have people find you?
SANDIE: The best way to find me is through my website, EmergingOptions.com.
KERI: EmergingOptions.com.
SANDIE: [laugh] Yeah. I have a contact form there. Just reach out. I do free consultations.
KERI: Free, free, free!
SANDIE: Yeah [laugh]. It’s exciting.
KERI: Yeah, free consultants. EmergingOptions.com. You know you can always find her through me. I am very findable. Sandie Bass, thank you!
SANDIE: Thank you!
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Hey everyone! It’s Keri TV. Today I’m going to touch on January 2019, the real estate market, the trends, where we think it’s going and what’s happening in this current moment. Stay tuned.
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What’s happening right now in the market? Of course, there’s a ton of buzz. Last October everything came to such a screeching halt. It was crazy, as predicted. Things really picked up this January. We’re back into offers. Things are moving. I think it’s a better time than ever to be in the market because it’s not so crazy competitive. Recently, I was at a meeting with a specialist from CAR, California Association of Realtors, and some top execs from Goldman Sachs and they shared their insights about what’s happening in the market. These are people that only predict positives or negatives, they just predict facts. Some of the things we took away have been consistent with all the, not media, but all the specialists these days right now about what’s happening.
They say that prices will continue to rise but at a much slower pace of growth. If you have been in the market in 2017 and 2016, you know that you were running a sprint. You were not jogging. You were not walking. Everybody was running around like crazy trying to get into a property. Sellers were always getting offers over asking in most cases. Of course, every case is different. For 2019, Goldman Sachs says that the growth will be slower. It will not be like the boom that it was in 2016 and 2018. There’s not a crisis going on. There’s a very low risk of recession per Goldman Sachs. The reason it may feel like a drastic halt is because when things are rising really fast and they start to slow down, level off, and go up slowly, it feels like you’re going from eighty miles a mile to fifteen miles an hour. Imagine being in a car going that fast, boom, stopping. It feels a lot crazier than it actually is. It’s important to look at what the facts are. In addition to that, in 2017, home prices in California rose 7.2 percent. Seven percent on your money in 2017. In 2018, they also rose seven percent. That’s a really good increase in the last two years, fourteen percent. They predict this year it’s going to be three percent.
I have heard from many specialists over the last month that the rise will be anywhere from two to four percent. That means if you’re a seller, you should still consider selling. You’re not going to get a crazy amount above what the last person sold for, but if you price your property competitively and in line with the market and allow a little bit more time for it to sell, you will sell. Buyers, you should still definitely be in the market and not expect to get a better deal in two years or so, because prices are still going up. What’s more important, which I’ve spoken many times about, is the interest rates. They just had a rate hike in December. They are expected to have four more. The fed is going to raise the interest rate four more times in 2019. That means every time the rate goes up, the price of the home you’re trying to purchase also goes up because of your cost to purchase.
People may be asking why things slowed down at the end of last year. A few things. One, prices were getting crazy high, so people were like, I’m over this. I’m not buying this. I’m not paying this much. Two, when the interest rate went up, people took a step back. They were already on the brink of not being able to afford something. The third one is that the tax law changed. Which, in all reality, you should speak with your tax specialist about because there’s some differences in the tax write-offs. When you speak with a specialist, you’ll know that it actually doesn’t impact you too much. The lack of knowledge about the tax law change also slowed things down. A little bit of the tax tariffs and a little bit of stock volatility scared people off a bit. That number of things, along with the mid-term elections, made things slow. The biggest reason was that prices got too high. Interest rates started rising. If you’re a first-time buyer or you’re a move-up buyer, you’re like, woah. Even people looking for income property were having a hard time getting anything that makes sense financially. This slow down is welcomed. Hopefully people will be able to get on board and understand you can’t price your property too high and that buyers can still get a great deal. Which is really awesome.
The advice, like I said. Buy the right property. Do your research. If you’re selling, don’t be afraid to put your house out there. Do what you need to do to get it ready. That’s the round-up I have from this awesome meeting with Goldman Sachs and CAR. Of course, always consult your specialists and be prepared for the market. I’m super, super excited for January and for this entire year. Again, when am I not excited about everything, kind of?
Thanks you guys for watching today and stay tuned for more tips from Keri TV, bringing you the latest. Cheers.
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KATIE: Hi Keri, I’m ready for you.
KERI: Okay cool. Hey guys, it’s Keri TV and I am doing my community spotlight today. I’m so excited to present By Webb. It’s the hottest new hair salon in Santa Monica. It’s opened by a long-time good friend of mine. I’m coming out today to show you guys the best hair salon. I think it may even be better than dry bar.
KATIE: I’m Katie Webb. Thanks for coming and hanging out at By Webb. Basically, By Webb’s concept is we want it to be more of a den vibe. You can connect to Sonos if you want. You can watch sports. You can turn on a movie. You come and hang and I’ll do your hair. It’s just me in here, me and my sister. If you need a colorist we’ll send them in.
KERI: Perfect. What other services do you have here besides just blow drys?
KATIE: I do blow drys and event styling. I’m an extension specialist. We do hair cutting.
KERI: Hair cutting. Men and women.
KATIE: Yeah.
KERI: Tell us about the men’s experience with this.
KATIE: Yeah, men are into it. It’s really cute actually.
KERI: Of course!
KATIE: A hot towel. They’re just quick. They come in and leave. They’re always in more of a rush then we are. They come in and they really do enjoy getting this service done. It makes them feel more tidy. We’ll do a hot towel at the end of the service. You can get shampoo’d twice. That’s where the head massage comes in.
KERI: Head message. Did you hear that? Head massage.
KATIE: Yeah. You saw. It’s amazing.
KERI: Yeah. This space is really awesome and it’s different from most types of salons you go into. Do you want to tell us a little about why you chose this space and what you use it for?
KATIE: I just wanted a more intimate vibe. Hair salons, sometimes things get lost in translation. We’re fully functioning as far as hair goes, but really, the concept is to come and hang out. You can work, just like you were doing for the first hour. Then, oops, I’ll do your hair since you’re here, kind of concept.
KERI: Hang out like girlfriends.
KATIE: Yeah.
KERI: Love that.
KATIE: People bring dinner and stuff like that. It’s been really fun. It’s inspired by a house call, only you’re not going through my kitchen and I’m not going through yours. It’s just like a comfortable space, really.
KERI: That’s amazing.
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KATIE: I’m super stoked about these day beds, because she can lay in a fully reclined position.
KERI: So comfy.
KATIE: For men, sometimes, we’ll put a hot towel for them at the end of the service. You get your hair rinsed one time after the cut. Then, today on Keri I’m using purple shampoo to help tone out any of the yellow or orange tones in her blondes. We’re going to do a super lightweight conditioner. Then we’re going to wave her. I don’t have lights above you for a reason, I hope you really actually enjoy this. Usually, this is the only quiet time. This is the only seven minutes people take for themselves in the entire day. So, you can have the head massage in a fully reclined position where you’re taking a second.
KERI: Taking a few.
[hair blower]
KATIE: Look Keri.
KERI: Oh it’s perfect.
KATIE: It’s super tousled. Yeah.
KERI: And it stays.
KATIE: You can do this or this.
KERI: No. Eric’s like, that’s your go-to. I don’t know why.
KATIE: Yeah. This looks cute on you. It’s professional, but it’s still lived-in.
KERI: Professional but lived-in.
KATIE: Yeah, you don’t look super stiff.
KERI: Yeah.
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KATIE: To avoid you looking like Shirley Temple and you’re not feeling like it’s too glam or too bouncy. Really short hair is what makes this feel like it’s too curly. But, that’s the way it was in the seventies.
JULES: Oh my god, I love it. Thank you so much.
KATIE: You’re welcome! It looks so cute.
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KERI: Oo, and the finished product. By the fabulous Katie, the salon owner. Thank you.
KATIE: You’re welcome.
KERI: You guys, if you haven’t checked this out yet, you are missing out. What’s the address here?
KATIE: 1815 Stanford Street.
KERI: Yes.
KATIE: In Santa Monica!
KERI: Santa Monica. Thank you for being our spotlight here.
KATIE: Yeah, of course. Thanks for coming.
KERI: So exciting. Now I look fabulous.
KATIE: I know. This is so fun.
KERI: It’s great. Thank you.
KATIE: You’re welcome!
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KERI: Hey guys! It’s Keri TV and I am so lucky today. I have my wealth of mortgage information person guru here with me, Jason Vanderpoort. You do not want to miss today’s episode if you are in the market to buy a home. Stay tuned.
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KERI: Even when we’re not working together, I’m always asking him questions. He’s so amazing. He’s always there to help my clients out. Luckily we get to do a lot of deals together.
JASON: Yes, thank you.
KERI: Yeah. Thank you for being here on Keri TV.
JASON: Of course! It’s an honor to be here.
KERI: Yes.
JASON: It’s awesome.
KERI: Jason’s got some information for us about what’s happening in the market. First, I know there’s all this talk about the new conforming loan limits. We’re super excited about that. Fill us in.
JASON: Yeah, I think it’s great. These new conforming loan limits, we’re in a high-cost area in Los Angeles county.
KERI: Yes it is. High-cost area.
JASON: Yeah. I’d like to preface this, when your clients are talking to mortgage professionals and they’re buying outside of LA, they need to find out what that high-balance conforming loan limit is. It’s different.
KERI: Okay.
JASON: Versus Orange County, San Diego, and LA.
KERI: Good to know.
JASON: In LA county, the max is seven hundred and twenty-six thousand. Yeah. It’s great, because it will really help people to get into properties with a little bit more purchasing power.
KERI: Right.
JASON: Fifty thousand more. It was six fifty.
KERI: It went from six fifty to seven thirty.
JASON: Yeah. Fifty thousand dollars more in property. They might find something they really love and they can still do that five percent down where it’s a hard loan to get if they’re going to go into those portfolio jumbo type products.
KERI: Conforming loans allow a little bit more leniency to the clients.
JASON: Exactly. The reserves and qualifications. Yup.
KERI: People may make a lot of money but not have a lot of savings.
JASON: Exactly.
KERI: Or the reserves needed for certain loans, so it’s really good to have a lot of different options, yeah. We know recently, one of the second points we wanted to talk about today was some changes made on December 19th that impact anybody getting a mortgage. Tell us a little bit about that.
JASON: The feds are meeting December 19th.
KERI: This may come out in January.
JASON: [laugh] They’re basically meeting as they have throughout the year every few times, and the rumors are going to increase the prime index fed funds rating at two-five percent.
KERI: The fed rumor, they’re increasing by a quarter point?
JASON: Point two-five percent.
KERI: That’s huge, you guys.
JASON: We never know, right? Everyone was saying, with the administration and everybody talking about it now they’re not sure if they wanted to, but the feds are kind of back and forth. There’s a slight possibility they might not. I personally think they are. How it’s going to affect people? It will affect your credit cards right away. Check out those credit cards.
KERI: Oh my god! The credit cards! I get points and miles.
JASON: Your percentage will go up on that. It doesn’t always affect the mortgage industry, for the fixed. It already might be built into it. Sometimes they’re preparing for it, so they go, okay, the rates may have gone up a week prior are stagnate because they’re already built in assuming that’s going to happen.
KERI: Okay.
JASON: A lot of people think oh, a quarter percent, they’ll call me up and say, Jason, will the rates go from four to four and a quarter? No, that doesn’t happen. It’s different on a thirty-year fixed type of mortgage. Good for them to know. Still, keep an eye on it.
KERI: Yes. It depends on what type of loan you’re getting.
JASON: Yup. It depends on how the market’s going to react to it.
KERI: How the market reacts, yeah. They never really predict it. These are things you have to be watching for, whether you’re moving up from a smaller place to a bigger place or you’re in the market for the first time. These are all the trends you need to constantly be keeping in touch with your agent and your mortgage broker about, because these things impact you. They’re huge.
JASON: You talked about points on interest rates, right?
KERI: Exactly.
JASON: It’s good for buyers to know this when they’re talking to their mortgage professional and when they’re looking for properties with you. It’s good for them to know. Okay, let’s say their max purchase price is a million dollars. Their rate’s four percent. If that rate goes from four percent to five percent, just one percent up, they lose about ten percent of their purchasing power. That million-dollar property they love? Nothing’s changed. The income is the same. Everything’s the same. It went from a million to nine hundred thousand overnight, once that rate hits.
KERI: Say you’re out looking for a property and a million is your max, and you’re right there. You’re writing on things. You’re looking at things. You’re just not quite there on what you want. Maybe if you went to a million fifty or a million one you’d get it done. By the points going up one point, or the rate going up one point, you just – nine hundred grand is what you’re looking at. So you now need another one fifty or two hundred to really get what you want.
JASON: Correct.
KERI: This has a huge impact. Half a point or one point may not feel like much, but this is one of the most impactful things about your buying power.
JASON: Yeah. I think that’s why I always tell people hey, if you love a property and you find a property that you just want to make an offer on, don’t want and try to time the market. I see rates change overnight or within a week within a half a percent. Still, they’ve gone up. They’ve gone down and up. It’s been like this.
KERI: Yes. They’ve been kept low for so long.
JASON: It’s inevitable.
KERI: Yeah. I have a really good question. A lot of the people that come to me feel like they can’t qualify. They don’t have enough money or whatever it is. Are there loan programs that I can share with people that they may not know about?
JASON: Great questions.
KERI: Give us some tips on how people can get into a home when they don’t make a standard wage.
JASON: Yeah. There’re so many loan programs out there. Lenders are really trying to lend, right now.
KERI: Lenders want to lend.
JASON: Yeah, they really do. Besides full documentation, which is your tax insurance, your pay stubs, and your income that’s your normal.
KERI: Blood sample.
JASON: Conventional jumbo type loans. The best rates, but not everybody falls in that category. A lot of people are self-employed and write a lot off in their taxes.
KERI: Yes.
JASON: There’s great loans for these people.
KERI: Sorry, does anybody write a lot off on their taxes, though? Not me.
JASON: [laugh] Sorry.
KERI: Maybe five dollars last year. Okay. Sorry to interrupt.
JASON: We don’t want to pay, true. We don’t want to pay Uncle Sam. I get it. I’m in that same boat.
KERI: Yeah.
JASON: Finally, lenders are getting it. Okay, put more down payment. There’s actually some that are becoming more aggressive. Twenty percent down payment. Typically it’s thirty percent on these bank statement loan programs.
KERI: Ah, okay.
JASON: It gets them in the property. People understand this. Jason, I love this property. How can I make this happen?
KERI: How can I make this happen?
JASON: I’ve got a bunch of money in the bank but my tax returns show nothing. Hey. We’ve got great loan programs for you. So many investors do these bank programs, even stated incomes, coming back.
KERI: Yeah.
JASON: A lot of people go oh, gosh. I’m having a meltdown. They get nerves when they hear that. Banks are doing their due diligence now so they don’t get into trouble like they did before.
KERI: Ah, I see.
JASON: At least that’s what we hope and that’s what they’re saying.
KERI: They better.
JASON: There are some true stated income products coming out here. We went over the bank statement programs.
KERI: Okay.
JASON: Stated income.
KERI: Okay.
JASON: Actually, another one a lot of people talk about full documentation loans. A lot of people ask me, Jason, I need twenty percent down, right?
KERI: Right, that’s what people would think. Twenty percent down.
JASON: Many people still do, and you don’t.
KERI: You don’t. It’s amazing.
JASON: Five percent, ten percent. Investors can do ten to one-point five percent down. Two million, three million, depending on the investor.
KERI: It’s never too early to get in front of your mortgage rep.
JASON: Never.
KERI: Never too early. If you’re not buying for a year, people say that to me all the time. Oh, I’m not looking.
JASON: Yeah.
KERI: Talk to them.
JASON: Please.
KERI: Look at your credit. Look at your income. What do you need to save? What type of options are out there for you?
JASON: Yeah. There’re so many hurdles people don’t understand. And rightfully so. They shouldn’t know this until we educate them.
KERI: That’s true. Why would they know?
JASON: Our job is to educate these people and help them. I deal with clients that take three years to buy. That’s fine and that’s okay. Right? You get prepared.
KERI: We’re here forever.
JASON: Exactly [laugh]. I’m not going anywhere.
KERI: [laugh] Jason’s team is really good about letting my clients know what not to do during escrow. Some of these are really surprising. Give us a few things to leave today what not to do when you are in escrow.
JASON: Definitely.
KERI: Getting a loan.
JASON: Great question. This happens quite a bit.
KERI: I’m sure. You get a boat.
JASON: Yeah, we’ll lead with that. Don’t buy big ticket items when you’re purchasing a property.
KERI: Okay.
JASON: It will hurt your qualifications.
KERI: Yeah.
JASON: When you’re qualifying for a property, what you’re doing is adding more debt.
KERI: Okay. That makes sense.
JASON: Yeah. Even as little as a washer/dryer or refrigerator, buy those appliances after you close escrow.
KERI: Yeah.
JASON: Make sure you have the money aside for it. Go look for them. It’s exciting. Do it! Have fun. Just don’t buy it yet. If you’re thinking about it, you’ve got a great deal, call up your mortgage professional and say hey. They might go, you’re so strongly qualified, it’s okay to purchase that. Typically, they say ‘don’t’.
KERI: Communication.
JASON: Communication is so important. Try to stay away. The cardinal rule is to stay away from big ticket items.
KERI: Okay. No big ticket items.
JASON: No new cars.
KERI: No boats, washer/dryer, diamond rings.
JASON: [laugh] Congratulations.
KERI: Yes, right? It’s happening!
JASON: That’s one of them. Don’t move money around. A lot of people will start moving money around. It’s your money, you can do it. When you move money around, it becomes more of a headache during the loan process.
KERI: Yeah. They have to trace it. Track it. Where did that go? People feel like they’re going through the Spanish Inquisition when they’re getting a loan.
JASON: I get it. I feel bad for them.
KERI: It’s a gruesome process. But if they listen to these points.
JASON: It could be a lot easier.
KERI: It could be a lot easier.
JASON: Less turbulence, we call it.
KERI: Yes.
JASON: We’re going to have some turbulence in this flight, but there’s less turbulence if you listen to us.
KERI: Buckle up.
JASON: Yup, exactly. Yeah. Don’t move the money around and don’t pay off bills.
KERI: Don’t pay off bills. I wouldn’t know that.
JASON: I get this all the time. Jason, I want to buy but in six months, I’m going to pay off all my credit cards.
KERI: Yeah. [gasp]
JASON: Wait a second. Hold on. Let’s talk about your qualification. You might be doing ten percent down. All of a sudden, you paid off your bills. Yeah, it might help you qualify, but you don’t have enough money for a down payment, closing costs, and reserves, possibly.
KERI: That’s huge.
JASON: Yeah.
KERI: I would think the same thing.
JASON: I get it. I’ll halve my debt. I’ll be a strong qualified client. It’s not always the case. If it is, we’ll get in early. We’ll have to maybe pay off a couple of bills,
KERI: Yeah.
JASON: To get that to right debt to income ratio to qualify.
KERI: That makes sense.
JASON: The last one I could say is jobs.
KERI: Don’t switch jobs.
JASON: It seems like commonsense, but people have done it in escrow. They switch jobs.
KERI: Yes. It’s happened with us many times. Wait, what, you quit? What? Can you get your job back?
JASON: Yeah. The job, if it sucks, it sucks. Keep it until it’s over and then go get a new job.
KERI: Exactly. Thirty days. Thirty days.
JASON: If we’re talking early enough, Jason, I’m getting an offer for a killer job and making more money, good. You can do that, actually. As long as we know. Okay, you need this. We need one paystub. We’re going to need a contract. There’s communication again.
KERI: The fourth one, know that your mortgage broker, like your real estate agent, is on your team and they will prep you and put you in the best position possible to get you into your home. You can do painting and decorating and make your memories. We’re so excited to have had Jason here today. It was so informative.
JASON: Thank you.
KERI: I always learn something new. Just remember to speak to your experts. We are here to help.
JASON: Yes, we are. Definitely. That’s our job.
KERI: Yes, that’s our job. Thank you again.
JASON: We love what we do.
KERI: Let’s go out and get some people into homes!
JASON: Yeah, thanks for the opportunity.
KERI: Yes.
JASON: Thanks guys.
KERI: Happy New Year everybody!
JASON: Yes.
KERI: Cheers!
[music]
KERI: Hey guys, it’s Keri TV. I am so excited to bring you this episode today. We are in St. Louis. Yes, St. Louis, Missouri. It’s my first time here. I’m here with my mom. We’re going to bring you an episode about the markets of America.
[music]
KERI: We’re exploring some different markets in the States and seeing where it’s good to invest and if there’s any good places coming up. Come tour with us today in St. Louis.
[music]
KERI: I want to introduce you to a good friend of mine, Aman, who has two companies that do short-term luxury corporate rentals, which we’ll get a little bit into. It was so kind of him to invite myself and my mother, Cathy, here, this week, so we can explore markets in America, as we just went through. Today we’re going to go through some of the areas that are changing, what’s happening here in St. Louis and why we came here today. You’re in for an exciting day here. Aman, tell us a little bit about what we’re going to do, what we’re going to explore, and who you are.
AMAN: Excellent. Awesome to have you here.
KERI: Yeah.
AMAN: St. Louis is awesome. It’s home for me. I live in Santa Monica. We run two short-term rental businesses. We do corporate housing, Airbnb, short-term rentals and vacation rentals, operating in about fourteen markets from coast to coast.
KERI: Markets in America.
AMAN: We’re here in St. Louis today because there’s a ton of gentrifying neighborhoods and a ton of opportunity. The short-term market here in St. Louis is exploding. It’s a very affordable market.
KERI: If you are anyway related to properties, investments, and multi-family anywhere in America, especially in LA, this is your guide. Thank you again for having us. Let’s go explore St. Louis.
AMAN: Thank you for being here.
KERI: Yeah. Rock and roll.
[music]
KERI: We’re in an area similar to a lot of the streets here, I’ve learned today, in St. Louis. Kids screaming. They’re just going street by street, remodeling, tearing down, and building new houses. People are abandoning them and some are being foreclosed on. They’re gentrifying these neighborhoods, street to street. You have some that haven’t been done yet at all. There’s one for two hundred, and four hundred thousand redone. There’s incredible opportunity in this city. Markets of America! Here’s two more examples on this very street. Thank you gardener. These gardeners, man. Two more homes that they’re starting to do. I kind of want to go inside. Can we go inside? Oh my god. Okay. This is a scared cat thing. I heard someone walking. I’m not going to walk into that one. Oops. We might have found ourselves an opportunity. An old one for sale. A brand-new building. It’s like a science. How much are these ones, do we know? We’re working really hard. Team St. Louis. Yay! [laugh]
AMAN: We’re in Southwest Gardens next to the Missouri botanical gardens.
KERI: Hey mom.
AMAN: Four-unit building.
KERI: Okay.
AMAN: All one-bedroom units.
KERI: This is four units, oh my god.
AMAN: Four units. Two downstairs, two upstairs. We’re in the middle. We’ve completed the renovation on two units.
KERI: Oh, good.
AMAN: We’re going to start the renovation on the next few weeks on the other two units.
KERI: Wow.
AMAN: Furnish them all, and they’ll all be set up short term. This area performs extremely well on the market.
KERI: How much did you buy this for, did you say?
AMAN: I bought this for a hundred fifty-five thousand.
KERI: A hundred and fifty-five thousand for a unit. Can we get one too? Take a look at this cul-de-sac that it’s on. What kind of performance will you get on the short-term rentals here?
AMAN: This building, once we put eighty grand into it, we’ll be in it for about two-thirty, will gross over eight thousand dollars per month.
KERI: Alright. That’s a good investment guys. Let’s take a look inside. We’re starting in one of the units that is not renovated yet, as you can see here.
AMAN: They did paint this one.
KERI: This one was painted, yeah. Beautiful low windows with nice views to begin with, so that helps. Okay. Alright.
AMAN: Bathroom.
KERI: Oh. Not cute.
[Aman and Cathy talking in the background]
KERI: Oh my gosh. Old, old, old. This unit still needs to be finished, but most of it’s done. It has a similar feel to the one we were just in but look at what a big difference this is. Oh my gosh. About how long does this renovation take usually, on these units?
AMAN: Two to three weeks per unit.
KERI: Two to three weeks per unit.
CATHY: Fast.
KERI: Then you’ve got the bathroom. Beautiful tile.
CATHY: Yes.
KERI: What? Isn’t this amazing, what a renovation turns out to? New closet.
AMAN: This’ll rent for about a hundred ten or hundred thirty a night.
KERI: Amazing. A hundred ten for this one bedroom one bath.
AMAN: With about eighty percent occupancy.
KERI: Eighty percent occupancy.
AMAN: Yup.
KERI: The mortgage on this four unit is twelve hundred a month. Sidney Street in St. Louis, Missouri. We’ll go check it out inside, I guess. We are live inside an actual rental unit. No one’s listening to me. What’s exciting about this is this one is all done. It’s being rented. They bought this a couple of years ago in the two hundred thousand range for four units. One is still not converted and they’re getting that eight thousand a month on these. Gorgeous units. We’re taking a look around. This is one of the bedrooms. This open living room used to be a huge living space, but they put this wall up. Ah-hah! Turned this into a bedroom. Every bedroom gets more money a night, obviously. Checking it out. Touring St. Louis. Basic, yeah? How many people max are allowed to stay in this unit? Eight people?
AMAN: This one? Eight people.
KERI: You and seven of your best friends can stay here for the second biggest Mardi Gras in America, which is in Sular, right?
AMAN: Yup.
KERI: He says right. Just across the way is the other one. These are nicer and larger. Townhouse style.
[bell ringing]
KERI: Look at this. Unbelievable.
[music]
KERI: I am dying. Look at these houses. Apparently I’m on private property. This is called Maryland Plaza. Are you kidding me, with these houses? Oh!
CATHY: That’s so cute!
KERI: Thank you, thank you. Good part of Keri TV. They are so cute.
CATHY: Yay!
KERI: I like the jam. I’d live here. That is unbelievable. Scootering by. We are in Clayton, one of the nicest parts of Missouri. Look at these homes. Oh my goodness.
CATHY: That one on the left.
KERI: Look at that one? Don’t look at that one, mom.
AMAN: Oh, this one here, to the left. You can make a left here.
KERI: We’re out here on foot. There’s even music. The loop trolley. That is literally how people get around town.
CATHY: What’s the story about this area?
AMAN: It’s an incredible area. Super trendy. Close to the university. You get a mix of students and adults.
KERI: We’re still on the Del Mar loop. Look at this place. Oh my goodness. Little bit of Keri on Keri TV. This property is available off-market for two million. We actually put in an offer. We were rejected. [laugh] Isn’t this gorgeous? Two million dollars, in St. Louis. This is twelve units, or thirteen? Oh, the commercial one. This would be a great rental opportunity because of the location that we just walked through. We’re near the university. This is adorable. We’re going to Paget, for all you geeklings. You’ve got these rentals over here. You’re near the Del Mar loop. Mhm! That is adorable. Alright. Next step. There you go. Washington University. Gorgeous. Look at all the work they’re doing here. Let’s make it pretty. We’re on the other side of Forest Park which is bigger than Central Park.
CATHY: About five hundred acres bigger.
KERI: Five hundred acres bigger! Good to buy investments near places that have beautiful parks and universities, because people are always coming here.
[music]
KERI: What is St. Louis known for? Baseball. The arch, and beer! We’re going to tour Anheuser Busch, what is this? Anheuser Busch Brewery. I’m so excited for this. I did the Busch gardens in Virginia but not this one. Take a look! Woah! Hey buddy. Hey buddy. [laugh] That was sexy. [laugh] Hello, hello. We’re here for the tour. Here we are. We’re on the tour.
[background tour guide speaking]
KERI: You know what’s not featured in this video? The smell of horse poo. Look at these buildings.
[background tour guide speaking]
KERI: Oh my god. Look at that. It said we’re getting free beer soon. They said that ten minutes ago. How amazing is this place? 1800s. We’re getting a history lesson. Unbelievable.
[background tour guide speaking]
[music]
KERI: St. Louis at dusk. It’s been such a fun trip in St. Louis Missouri. Whoever thought I would end up here exploring this market? We’re ending our trip at the top of the Four Seasons. Cheers. It has this incredible view of the arch and the city, which is amazing. And the pool. It’s been amazing exploring everything here. It’s always good to diversify all your options in real estate, of course, to explore new cities and be open to new things, and just appreciate the world that we live in. Thank you all for tuning in today. It’s been an exciting episode, probably a long episode. Cheers. Safe travels back to the beautiful city of Los Angeles. Bye guys.
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