Your Home’s SW Florida Listing is the Sum of Parts, Naples, Ft. Myers, Bonita Springs!

 Your Home’s SW Florida Listing is the Sum of Parts, Naples, Ft. Myers, Bonita Springs! The art of selling a home begins with the SW Florida listings. Much serious study is continuously given to what works best when it comes to listing language and detail, yet a good deal remains a purely creative exercise.

That qualifying “somewhat” is necessary because creating a SW Florida listing does have a scientific component. In fact, of the two most important elements (that is, the two that listing readers pay the most attention to), one is mathematical. The first is the artistic “hero shot” photo of the home, ideally pictured at its curb-appealing best. The second is the asking price, which is an unambiguous number of dollars.

The photo grabs attention either by fitting a pleasing archetype—or by just being pretty. The asking price number works (or fails to work) by either being too high, just right, or intriguingly low. If it’s too high, the listing price can sometimes draw further attention out of curiosity (“what are they thinking?”)—but will probably result in listing readers moving on. If the number is just right or lower than expected, serious house hunters will be engaged—taking the first step toward a showing and sale.

Further down as influencers are each of the listed facts about the property. Any one or two of these might either pique further interest or take the place out of the running. But SW Florida listings also contain another creative element: the language. Modifying adjectives can persuade by setting a mood or a tone—or even making a promise. Accuracy is paramount—when I compose a listing, I’m summoning the most exciting language that accurately describes the property, because exaggerating can spoil the atmosphere when we get to the showing stage.

A few years back, IBM’s app Wordle was used to address the question of what the most frequently used listing words were. After analyzing 300,000 listings, the resulting compilation demonstrates that almost all the top rankers had adjectives attached:

1. Beautiful
2. Hardwood (with “floors”)
3. stainless (with “steel appliances”)
4. private
5. great (with “room”)
6. dream
7. granite
8. wood burning (with “fireplace”)

There were also some creative action-oriented phrases:

9. Priced to sell
10. Build your dream (with “home” or “house”)
11. Must see
12. Move-in ready

Your Home’s SW Florida Listing is the Sum of Parts, Naples, Ft. Myers, Bonita Springs! Listings are the Grand Opening of the business venture that is the selling of your {Your Town} home. I make it a focus as we launch that venture—but it’s only one step in the process that ultimately ends in your handing off the front door keys to your satisfied customer!

For SW Florida Real Estate Investors, a “Bubblicious” Rebuke, Naples, Ft. Myers, Estero!

 For SW Florida Real Estate Investors, a “Bubblicious” Rebuke, Naples, Ft. Myers, Estero! If you are one of SW Florida’s real estate investors (or have been interested in how real estate stacks up against other investment classes), the insights of AIG investment honcho Doug Dachille would likely get your attention. Dachille is American International Group’s Chief Investment Officer. That makes him the decision-maker for the insurance giant’s $350,000,000,000 (that’s billion) portfolio.

Last Friday, Bloomberg TV aired a candid interview on the subject of how he feels real estate investors are likely to fare. The attention-getting interview ran under the heading, “AIG’s Dachille Rejects ‘Bubblicious’ Critique of Real Estate.”

It might seem that your typical real estate investor in SW Florida has little in common with the director of such a gigantic bankroll, but that’s not necessarily the case. It turns out that insurer AIG—just like any local real estate investor—labors under the necessity to safely maximize returns in order “to back obligations to policy-holders.” With government debt interest rates unappetizingly low, it has set the giants (like AIG, MetLife Inc., and Prudential Financial Inc.) scrambling for investment outlets. One answer has been to enter the arena of real estate investors, principally as lenders.

“Insurers hold funds for long periods of time…[so they] have been counting on real estate lending to obtain higher yields available to investors who are willing to sacrifice liquidity.”

So where does the “bubblicious” headline come in? It turns out to be a rejection of an earlier analyst who appraised the current real estate market as looking “a little bubblicious”—one that could face shocks should interest rates climb. That kind of worrisome analysis could cause some sleepless nights for SW Florida real estate investors with memories of the previous real estate bubble.

A return to peaceful snoozing would have been restored if they happened to catch Dachille’s response. With a very sizeable ($22.9 billion) portion of AIG’s stake in direct commercial mortgage loan exposure, he sees the ability to raise rents as a satisfactory counter to the inflation risk. “Commercial real estate is very similar to an inflation-protected bond,” he said; “What’s…bubblicious?”

Dachille regards the sector as presenting an attractive place for long-term returns—with a risk factor on a par with alternatives currently offering much lower yields. He revealed that AIG has been scaling back investments in hedge funds for a number of reasons. One that might ring true for SW Florida real estate investors is many funds’ relative lack of transparency. As Bloomberg summarized, “He was uneasy about funds when he can’t track their trades.”

For SW Florida Real Estate Investors, a “Bubblicious” Rebuke, Naples, Ft. Myers, Estero! Investors like AIG’s Dachille have a peculiar—and stupendous—problem in having to find suitable venues for billions in assets. For local investors, it’s a lot less complicated to uncover single opportunities in today’s SW Florida real estate market. Call me if you are interested in exploring them!

For SW Florida Buyers & Sellers, Home Inspections Mean Jitters, Naples, Ft. Myers, Estero!

It’s probably just an inevitable part of the human condition.

For SW Florida Buyers & Sellers, Home Inspections Mean Jitters, Naples, Ft. Myers, Estero! For almost everyone, awaiting any SW Florida home inspection is pure, unadulterated jitters time. Nail-biting time. Edge-of-your-seat time.

It isn’t because anyone seriously expects any of our SW Florida home inspectors to be ogres. Certainly the inspectors I recommend are uniformly courteous, professional, and quite empathetic. They should be empathetic, because of the situation—which consists of a buyer standing by, ready to become the proud owner of seller’s SW Florida dream house. With only the home inspection remaining to be conducted…

In other words, the inspector is asked to perform a professional service, the purpose of which is to uncover any previously unknown defects.

Potentially derailing the otherwise blissful scenario of uniting of buyer with house.

That is why, in the backs of both seller’s and buyers’ minds, there is usually some form of this scenario: the seller is in the act of dropping the front door keys into the outstretched hand of the buyer, only to have the home inspector snatch them out of the air. Caved-in roof has suddenly materialized; termite-infested inner walls discovered; fireplace housing found to actually be made of strawberry jello (all right, I made that one up). The point is, if you have house-hunted extensively to little avail—then finally found THE place of your dreams, you really really don’t want your SW Florida home inspection to turn up any bad news. Ditto if it’s your home about to be sold. With the additional factor that if some defect turns up that you knew nothing about, you still could wind up looking like a jerk…

Given the tension and anxiety involved with the profession, it’s just short of miraculous that our home inspectors aren’t all fighting peptic ulcers. The reason is probably because, when all is said and done, performing a thorough home inspection is a high-skill accomplishment—one of great value to both buyer and seller.

For the seller, the home inspection ritual is an exercise that bolsters the buyer’s confidence in the wisdom of such a momentous transaction. Without it, who knows how many homes would not change hands as readily? For the buyer, even when no defects are discovered (as is often the case), the home inspection report serves as an invaluable handbook, filled with useful details about the nature and status of the residence’s structure and systems.

Some agents believe they should spare jittery home buying clients a nerve-wracking experience by counseling them to stay away during the actual home inspection. However, accompanying the inspector is a valuable way to get in-depth knowledge about the workings of their new residence. Plus—there’s no better way to get over those jitters than to acquaint yourself with the real value you are about to acquire.

For SW Florida Buyers & Sellers, Home Inspections Mean Jitters, Naples, Ft. Myers, Estero! Having an experienced SW Florida agent on your team is an excellent way to prevent any jitters from developing in your home buying process—another good reason to call me!

Your SW Florida Listing May Become a World Traveler! Naples, Ft. Myers, Estero

Your SW Florida Listing May Become a World Traveler! Naples, Ft. Myers, Estero. The SW Florida listings are one piece of what is now a towering real estate marketing colossus. Our MLS is like the bulletin board at the local supermarket where you pin-up your garage sale notice or picture of the old lawn mower you’d like to get rid of in that it’s simple to use and, for the sellers, free. The difference is that today’s SW Florida listings are on the internet, so instead of just being available to the shoppers in SW Florida, it’s posted for the whole world to see. Literally.

And people from all over the world, instead of just wheeling their carts past it on their way to a parking lot, are increasingly paying attention. The most recent survey had foreign buyers plunking down $104 billion for about 8% of total existing homes sales dollars. In other words, people in China are checking out the homes for sale in SW Florida. (Fewer people in SW Florida are checking out the homes for sale in China, but there are ample reasons for that). Real estate magazine The Real Deal points out that in some U.S. markets, Chinese buyers have claimed the title of top foreign buyers because of internet buying. “Indeed, prospective Chinese buyers are increasingly relying on websites…” 

How foreign buyers come across likely purchases is hard to track, but it’s a cinch that the same listings we use are frequently splashed onto screens across Canada, Mexico, Great Britain, China, etc. When the simplest in-home showing involves the hassle and expense of foreign travel, you can be sure that the still photos and virtual tours integrated into the local listings are close to decisive when foreign buyers are the prospective buyers.

You might think that wealthy Chinese prospects in particular would be mainly attracted to the highest-end trophy properties, but some of the most recent statistics don’t bear that out. Business Insider last reported that in the U.S., “Chinese buyers spent an average of $425,000 on homes.”  Because of the difficulty U.S. lenders have in verifying borrower financial data, these are largely cash purchases.

Your SW Florida Listing May Become a World Traveler! Naples, Ft. Myers, Estero. When a residence goes up on the SW Florida listings, it’s one more reminder of how wide-ranging the potential audience will be. We expect to be viewed by out-of-towners, of course—out-of-staters, sure…but now, increasingly, way out-ofs! With eyes from all over the world joining those who will be giving a property the once-over, we’re again reminded how powerful the visual element of our listings become. It’s why I take great pains to help assemble the finest onscreen presentations for every client…and another good reason you should give me a call!

SW Florida Spring Selling Season Moves into Vacation House Season

SW Florida Spring Selling Season Moves into Vacation House Season. As SW Florida’s spring selling season edges toward summer, the allure of vacation houses is more likely to emerge as a front burner issue. The practical rewards of having a second home as a vacation retreat—sometimes one which can also be rented out part-time—is more likely to become an action item as the summer months near.

Earlier this month, we learned about some national trends in a report that detailed the numbers from last year. The NAR^® released the summary which went into detail about 2015’s vacation house purchases and the buyers who claimed them.

Prices across the nation were up significantly, which explained why the volume of year-to-year sales had slightly contracted. Even so, they were still the second strongest since 2006, with more than 900,000 changing hands. More than a third of vacation house buyers intended to use their property for vacations or as a family retreat—roughly twice as many as planned to use it for retirement. The lion’s share were single-family residences, with a quarter preferring condos, and fewer still opting for a townhouse or row house.

None of those figures should come as a surprise for SW Florida readers who are considering the purchase of their own second home. As the rising cost of vacations combines with a seemingly endless escalation in the amount of stress that air travel entails (it’s been called the “anti-vacation” experience), everything seems to argue for practical getaway alternatives. The NAR report showed that typical vacation houses didn’t demand an airport experience. They were distant, but not too distant: the median location was “driving distance” away (about 200 miles).

The biggest turnabout came via the median sales price vacation houses rang up for the year. It’s no exaggeration to characterize the rise as “soaring.” The median sales price was $192,000—a massive 28% jump above 2015 prices! They made up 16% of all residential sales transactions for the year, and although that meant a decline from 2015, last year’s volume had comprised a virtual “explosion” (CNN Money’s characterization): an uptick of 57% over 2014.

SW Florida Spring Selling Season Moves into Vacation House Season. The NAR report also sampled the opinions of the buyers, finding that 80% said they believed that now is a good time to purchase real estate. Since they had just purchased vacation real estate, that doesn’t seem to be much of a surprise—although I do have to admit I agree with them! If you’re inclined to agree, I hope you’ll give me a call. Right now SW Florida’s market has a wide roster of great offerings at prices for every budget!

SW Florida Luxury Real Estate Survives April Fool’s Day Report

SW Florida Luxury Real Estate Survives April Fool’s Day Report. SW Florida Luxury Real Estate Survives April Fool’s Day Report. It looked like another chuckle-worthy April Fool’s Day dispatch: CNBC’s webcast “Is NYC luxury real estate about to go bust?” It was barely 7 in the morning on April 1—but only the most bleary-eyed SW Florida web watchers were likely to have been caught off-guard.

Pranksters had already made mincemeat of the credibility Friday news dispatches normally deserve. Web parodists had started early (against all common decency, the day before). Late on Thursday, Gizmodo had announced the sale of the “Moon Watch”—its $27,500 price tag justified by a housing made from genuine moon rock brought back to earth by the Soviet’s 1974 Luna probe. Sure.

Even before the sun came up, Google Express made its first sky-enabled delivery. Not by drone: the first delivery was an axe, dropped by parachute.

Duolongo advertised a miraculous new product—a pillow that uses Morse code to teach you a language while you sleep (“I went to bed speaking only English, but woke up bilingual. Buenos dias a todos!”).

So CNBC’s projection of doomsday for Manhattan luxury real estate—for April-Fools-wary SW Florida  readers, at least—would not have been taken very seriously. The problem was, it actually was authentic. Sort of.

The webcast was a segment lifted from the CNBC Squawkbox show, presumably aired that morning. The blurb promised, “CNBC’s Robert Frank takes the wraps off a new report that shows the luxury real estate market in NYC is about to crumble.” And it did have a promising setup for what (to anyone living outside The City, possibly including a few SW Florida residents) might take to be breathtakingly unsustainable price levels. Some of the new records posted:

• Average apartment sales prices top $2 million (for the first time)
• Price Per Sq/Foot = $1,713
• Number of sales = 2,877 (a jump of 8%)

But…so where is the promised luxury real estate “bust”? It didn’t seem readily at hand—especially after we were shown a 5-bedroom Central Park coop. It had been bought in 2003 for a pittance ($12 million). Now it had sold quickly. By regular SW Florida standards, at least, that didn’t seem to evidence much luxury real estate crumbling, since the selling price had been $35 million. Frank explained that the owners had done “some renovating”—so we were momentarily left wondering if the crumbling was because they’d had to go to so much trouble…

No! The reason put forth was that many of the record sales resulted from contracts signed as much as 18 months earlier. So maybe it was possible that these high prices and sales volumes might not be sustainable. There was no evidence beyond nervousness about China and the stock market tumble (which had just reversed, oddly enough).

SW Florida Luxury Real Estate Survives April Fool’s Day Report. SW Florida Luxury Real Estate Survives April Fool’s Day Report. That the report on NYC luxury real estate was not an April Fool’s joke was a sort of April Fool’s joke in itself. Here in SW Florida, those kinds of worries were less widespread. China seemed a bit remote—and the stock market had already come roaring back—but neither seemed to be key to Town’s luxury real estate. If you would like some authentically real-world market info, do give me a call!

SW Florida Investors’ Top 5 Tips for Managing Real Estate Managers

SW Florida Investors’ Top 5 Tips for Managing Real Estate Managers. Much of the financial press has been sounding a recurrent theme for a while: the complaint that the interest rate slump has left growth-oriented investors with few choices other than a Wall Street gamble. SW Florida investors may find that some degree of risk is tolerable when you have a lifetime of earning ahead of you, but it’s a lot less tempting when the savings from that lifetime of hard work is already in the bank…barely keeping pace with the real inflation rate.

 Happily, one of those “few choices” is in our own backyard. A residential real estate investment in SW Florida brings with it the built-in peace of mind that comes with an investment that is right here, where you can keep an eye on it. And it also has the additional appeal of offering flexibility in the degree of involvement and control you decide to exert. With a single or multiple-family rental property as your SW Florida real estate investment, you can either decide to be a property’s hands-on landlord, or choose to play a more passive role by letting one of SW Florida’s reliable property management companies handle the operational details.

If that is your choice, you can sit back and let the professionals do their job. All you need do is a bit of top-down managing of the managers. Every property has its own unique characteristics, but you will be able to rely on the best property managers to diligently accomplish these “Top 5” performance bench marks:

1. Keeping in touch. Beyond simply answering your requests and questions, the best property managers report to you on a monthly basis.
2. Finding quality tenants. Filling any vacancy in short order (and with good tenants) is one key way professional property managers make it financially worthwhile to employ them. Good tenants are valuable!
3. Tenant-handling. You should not have to be involved directly with tenant concerns or complaints. An important part of your property manager’s responsibility is addressing repairs or problems rapidly and efficiently.
4. A stitch in time saves nine is especially apt when it comes to keeping your real estate investment in top shape. That translates into regular inspections, at least once a year, inside; more frequently, outside.
5. The optimal result of a great SW Florida real estate investment is both growth in its underlying value at the same time that positive cash flow is generated. Bottom line: the cost of property management should leave you smiling at the end of the year.

 SW Florida Investors’ Top 5 Tips for Managing Real Estate Managers. When your real estate investment is handled properly, each of the Top 5 performance bench marks will be met without fail. Of course, what makes it all possible is the sound investment that underlies the whole enterprise…which starts with a call to my office!  

SW Florida Real Estate Benefits from Events…and Non-Events!

SW Florida Real Estate Benefits from Events…and Non-Events! A couple of recent developments made the news recently that promised to impact SW Florida’s real estate scene either now or in the future. The one that got most of the attention last Wednesday came from a familiar source: Federal Reserve Chair Janet Yellen. Her news conference’s less-than-stirring pronouncement (“Caution is appropriate”) made headlines nonetheless because of the accompanying action (actually, inaction): no increase in interest rates.

SW Florida real estate watchers will remember that when the Fed increased their Fed Funds target rate by a quarter of a point last December, they nudged it upward from zero to .25%. It was the first move in nine years, and was accompanied by a statement that they anticipated making three or four similar small increases throughout 2016. Thus it was expected that another quarter of a percentage point would be announced by now, so the news marked a mildly surprising turn—one that will be welcome to anyone contemplating buying or selling real estate in SW Florida. The continuation of a miniscule Fed Funds rate translates into significant savings for everyone, particularly when measured against the historical norm of 2%-5%.

Soooo: as for the first development, ring the bell: good news!

The other development had come earlier. It was one that might turn out to benefit real estate activity—but it could conceivably have the opposite effect. It, too, dealt with government and finance, this time in the realm of real estate taxation: a bill introduced in Congress. H.R. 4494, the Renters Fairness and Equality Act, would amend the IRS Code to give renters a federal tax break. It would put renters on a footing similar to that which allows SW Florida homeowners to deduct mortgage interest and property taxes.

As in all things Washingtonian, the proposed details are complicated. The total amount of rent paid would become federally deductible, but only for some (tenants in very expensive areas wouldn’t qualify). The way such proposals become law, the final rules could differ—and in any case, there is faint likelihood of swift enactment. The legislation had been introduced by a lone Democrat, and was now sitting in the Republican-led House Committee on Ways and Means, where it was predicted to evoke continuous and profound inactivity.

But even if that turns out to be its fate, H.R. 4494’s introduction was an interesting development—an idea that might someday catch on. Around here, it raised the question about whether this would be good news for SW Florida home values. The federal tax break is a major inducement prompting renters to buy, so a number of prospective buyers might go missing. On the other hand, many renters who have been priced out of the market because they’ve been unable to save for a down payment would get meaningful relief. Additionally, the prospects for SW Florida investment real estate could benefit greatly if consumer demand for rental accommodations were to expand—as groups promoting affordable housing projected.

SW Florida Real Estate Benefits from Events…and Non-Events! The promise that mortgage rates will continue to provide a welcoming backdrop for this spring’s selling season comes as unambiguously exhilarating news for Town’s real estate market. To investigate further, do give me a call!

First Step for Choosing the Right SW Florida Real Estate Agent

First Step for Choosing the Right SW Florida Real Estate Agent. When interviewed following the successful close of their home’s sale, a convincing majority of homeowners say that one of the most decisive factors came early on: choosing the right real estate agent. The reasons given go further than simply chaperoning the business transaction. The right agent does more than pare down the stress level that can creep into the process at any moment; does more than handle the numerous contractual issues that need to be addressed before a sale can reach a tidy conclusion.

The right agent lets you rest easy, knowing that your listing is getting the full energy and professional attention it deserves. When the choice is the right one, you know that your property is on display 24-7—being presented to the potential buyers most likely to buy.

Unless you inherited the property, you probably have clear memories of the SW Florida agent who was there when you originally bought. If it’s a positive image of a friendly, knowledgeable professional who tackled the details with skill and energy—and who seemed to make everything somehow easier than you expected—then that someone is sure to have the inside track.    

If that’s not the case (or if enough time has passed that he or she is no longer available), you’ve got to choose your agent.But rather than letting the impending task loom as an arduous undertaking, take heart! Consider that you are in the proverbial catbird seat (whatever that is). Just look at it from my perspective, as a real estate agent in SW Florida.

Every SW Florida real estate agent is engaged in a sort of retail business. The homes for sale are our “products” on the shelf. Now, although it’s true that every real estate agent in the area is able to expose their buyer clients to the entire “inventory”—including the other SW Florida agents’ homes for sale—it’s much more desirable when our own “shelves” are stocked with great properties.

That means that your home is in strong demand among SW Florida real estate agents, and most of them will do their best to make hiring them as painless as possible. If you have some direct questions you’d like to ask (but would normally be too polite to do so), you needn’t hesitate. “What homes weren’t you able to sell last year…and why not?” is a good one. So is, “Can you give me the contact information for three recent clients?”

The right real estate agent—the one you want—won’t make you feel as if you’ve posed an awkward question. A great agent will be able put you at ease in any situation. If he or she fails to do so, that’s not the right agent! (and finding that out means your interview succeeded).

First Step for Choosing the Right SW Florida Real Estate Agent. Selecting the right SW Florida real estate agent to sell your property is the logical first step because it makes all the following steps so much easier. I hope you’ll include me on your list of the most likely candidates…and give me a call to prove why you should!

SW Florida Home Prices Affected by Renovation Decisions

SW Florida Home Prices Affected by Renovation Decisions. Here’s an instant spot quiz— (see what comes to mind within a second or two):

If you decide to sell your SW Florida home, if you had a crystal ball, what’s the most important detail about the sale result?  Quick! Answer!

If you’re like seven out of ten people, you were curious about the bottom line: “what price did it sell for?” Some people come up with “how long did it take?”—but usually, that’s the second or third choice (“what were the buyers like?” is another contender).

It’s hardly surprising that the closer they get to putting their own house up for sale, home prices are foremost in people’s minds. Yet most homeowners assume that the ultimate sale price will be determined by market forces outside their control. That’s sort of true, but not entirely so. Home prices aren’t set in stone. Homeowners do have a degree of control over what their property will bring—if they choose to exercise it. One key to seizing that control is the smart application of remodeling dollars to areas that pay off.

For SW Florida homeowners who plan to continue living in their homes for the foreseeable future, it’s less of an issue. They can be comfortable putting their remodeling project dollars in the directions that make the home more comfortable and agreeable to their own family lifestyles. They can safely follow their own priorities without worrying too much about where current tastes and trends are heading, unless you are someone who just enjoys being counted in the fashion vanguard.

But if you’re fairly certain that you will list your SW Florida home sometime soon, you should remember that a property’s salability can be greatly affected by the remodeling direction that’s taken. Rather than making those decisions guided solely by your personal preferences, it makes good sense to take into account what buyers consider valuable, if for no other reason than the likelihood that those dollars will come back! There are three areas that deserve consideration:

Kitchens always seem to get the most attention when it comes to boosting home prices. A homeowner may prefer a warm, comfortingly cozy space for the center of family activity that the kitchen usually becomes—but many prospective buyers go the other way. Light and bright is vastly preferred over cramped and dark for buyers who are comparing kitchens—and the resulting home prices offered usually reflect it. If your property will be among the SW Florida listings anytime soon, think about directing some remodeling energy there.

The master bedroom is growing in importance, too. Many buyers who in earlier eras may have valued a formal dining room, now forego it altogether—preferring an attractive master as a sanctuary from the stresses of the outside world.

Living rooms can also add to the bottom line a home winds up fetching. An open, bright multi-purpose area that’s easily envisioned as a center for family entertainment and social gatherings can give a strong boost to perceived value. Simple renovation ideas like removing dated window coverings or replacing worn carpet can be dollars well spent.

SW Florida Home Prices Affected by Renovation Decisions. If selling is anywhere on your horizon, it won’t be long before keeping tabs on trends in SW Florida home prices becomes a new personal priority. Whether early on or last-minute, calling me for a no-obligation consultation can make a big difference for maximizing your sale’s result!