Kelda's Blog

With all the recent drama in the national housing market, I can’t help but wonder…..How big of an effect will this have on our local and national rental market? Undoubtedly BIG. Probably more so on the national scene then here in Fayetteville, NC. We have always had a steady, healthy rental market here anyway, but I have already seen it picking up. Rentals in general seem to be increasing quickly, but what caught my attention is the recent rise in the “high dollar” rentals. Even a few years ago you’d have been hard pressed to find anybody willing to justify paying too much over a $1,000 a month in rent, now $1500+ seems to be no big deal. Even some builders have resorting to offering leases on new construction homes.

Really, though, why not? The housing market will bounce back. Maybe not today or tomorrow, but it will bounce back. Lenders will loosen up too. In the mean time, if it’s a viable option for you, don’t count renting out. In all reality it may be worth it to rent your home, hang on to it until the market is a little friendlier for sellers. Property management companies take a lot of the hassle out of renting out your home. They handle all the rent, accounting, paperwork, showings, and field all the incoming phone calls. This of course is especially helpful and important if you are going to be out of state, or are generally pretty busy.

I have noticed another trend of people moving to our area without be able to sell their prior residence in whichever market they moved from. These people are choosing to rent, and often choosing to rent homes that they might have the option of buying in a year or so. Many are getting a double dose of renting, as they also end up renting out their prior residences, to people they hope will consider purchasing their home in a year or so.

So, in short, while rentals have always been around, it is my opinion they will continue to grow and thrive in light of economic conditions. That’s ok too, they serve as a wonderful option to people who know they need short term housing, people who are building credit, going through a major life change, or people who just can’t commit. Rentals have also proven to be wonderful investments for folks who have the time to wait on longer term investments.

Ok, for this blog, let’s take an inside look into the “behind the scenes” life of a Realtor. We all know the stereotypes, almost every industry has them. Are the stereotypes about Realtors accurate? Let’s break a few down.

1. We are all filthy rich. We make thousands and thousands of dollars on every transaction, and we close numerous deals every week. Well, not quite. I would say this popular myth is far from accurate, but has come about honestly. There are many agents making very good money, there are millions of dollars worth of commission paid out yearly. It’s true, that we get some pretty big checks (as well as some pretty small ones), but the average agent doesn’t get them weekly, or even monthly sometimes. We also have a lot of expenses to pay out of those checks, and that’s after we give our company their portion. Of course we do nothing to help distill this common misconception because part of our “job” is to portray success, whether we already have it, or we are still working towards it. I think longevity is a good barometer of an agents true success, after all, how long can you stay in an industry if you are not making a profit?

2. We don’t really do anything, except lunch. This one is definitely not accurate. Of course we make it seem effortless, that’s because we don’t mind going the extra mile to make things as easy as possible for our clients. The truth is, we do a lot. Before we ever meet Mr. and Mrs. Client we spend countless dollars and hours marketing, advertising, networking, researching, and getting industry education. Then when we do meet clients, it’s a lot more than just looking at homes and writing offers, or listing a home and accepting an offer. There are countless aspects of what goes on behind the scenes. A lot of which has to do with making arrangements with cooperating agents, contractors and vendors for repairs, inspections & closings. Rarely do these things go off without a hitch, so we are there to put out fires, make sure everyone is doing what they are supposed to be doing, and coming up with innovative ways to ensure that everybody is happy. Yes, we do tend to go to lunch a lot, but they are mostly business lunches.

3. Getting your real estate license is a walk in the park. True in the sense that you do not have to go to college for 4 years and earn a degree to become a real estate agent. However we do have to go to real estate school (In our state 75 hours) and the material and final exam are challenging. Once we are able to pass the course exam, we then apply to take the state exam. We also submit to an extensive background check, and provide detailed explanations for anything in our past, including some traffic violations. Once licensed we must immediately obtain additional ethics training, take an oath, and finally be inducted into the Association of Realtors. From that point on we are still required to take & pass mandatory continuing education courses every year. We have the option of taking other courses to obtain additional designations.

So, why do we do it? Simple, we love it. We love real estate, we love people, we love learning, we love the freedom & flexibility of being our own boss, and we love knowing that our earning potential is a direct reflection of our hard work and efforts. We are helpers, educators, researchers, negotiators, marketers and community advocates. We are proud and honored to be held to the high standard of “Realtor”. We know all about hard work, and we also know how to have fun.

This blog is strictly opinion based meant for entertainment value only. There are exceptions to every rule, myth & stereotype. There may be filthy rich agents who don’t do anything besides lunch and thought that the process of getting their real estate license was a walk in the park :)

With all the news about the market, a lot of people are wondering if it’s a good time to buy or sell real estate. The news may have leaning towards no, but what’s the reality? Well, we live in a military town, perhaps “The Military Town” Fayetteville, NC (Ft. Bragg) and that really does change things a little. There’s no denying that certain factors undoubtedly determine desirable conditions for real estate investing. These factors include, but are not limited to, interest rates, foreclosures, number of homes for sale and favorable lending terms. What about the average American though? I don’t know about you, but most of the people I know, buy a home to live in it, and sell it when it’s time to move on, move up or downsize. Most of us aren’t real estate investors. We are people pursuing a dream of home ownership and its many benefits.

It’s true that for a pretty generous period of time, many people were able to take advantage of a booming housing market. Young families were able to move into their dream home at a relatively young age. Homeowners found themselves with enough equity to move to a nicer, bigger, more expensive home. Hopefully, they stopped there; hopefully they got in and got out without getting burned. If only the “Jones” would stop giving us so much to keep up with, and when exactly did the “Jones” become billionaires anyway?

That was then. Now? The bottom line is, the real estate market will always fluctuate, as will the market in general. We can’t have highs without having lows. Think about it, if any market was always great, always getting better….would it really be great? Or would it get totally out of balance? When the market was booming house prices were soaring too, eventually nobody would have been able to afford anything anyway. What goes up must come down. The market can’t ever cease to exist, why? Because there are always people who want to buy a house, or need to move and sell their house. Which brings me back to the significance of a military town; we have a steady supply of people on their way in, and on their way out. We are significantly less impacted by whatever is affecting the national scene. We also feel a very sincere responsibility to take care of those who are risking their lives to take care of us. Ensuring their best interests and ease of transaction is not something we take lightly. Enjoying a far steadier real estate environment then most other parts of the country is not something we take for granted.

If you or someone you know has a real estate need in the Ft. Bragg area, please contact Specialty Properties at (910)864-7299 or (910)977-2915 or visit us at SpecialtyProperties.net