Unless you've been under a rock, you have heard about the furor over 'Joe the Plumber.' (Actually I understand that his full name is actually Samuel Joseph Wurzelbacher.) But at a time when 'Joe Six Pack' and the 'Bridge to Nowhere' have captured the national spotlight, it's no surprise that our attention has been riveted by the the question 'Joe the Plumber' asked Presidential hopeful Senator Barak Obama during a routine campaign stop in Columbus, Ohio.

"How Will Your Tax Plan Affect My Plan to Become A Small Business Owner?" (my paraphrased version)

Joe concern centered around his perception that his personal tax rate might be adversly impacted by the senators proposed tax plan. Thus, a worldwide debate sparked about what would be best for Joe!

Well, I've been thinking about Joe's welfare too. Because in a tangible way, Joe symoblizes everyman. Everyone of us who is wondering what to do next in the face of an increasingly complicated world. Everyone who has tried to cut through the noise and confusion and struggled to figure out what in the world makes the most sense today.

GOOD NEWS: It has occured to me that unlike the bizzare direction of much of the current political debate, real estate professionals have some real solutions at their disposal which can help Joe and countless millions like him actually reach their financial goals. The fact is that Joe wants what all of us want.

1. A Good Value for His Investment

2. Relief from Excessive Taxation

3. Something that he can call his own!

THE FACTS: Owning ones own home continues to be a solid investment. Despite, the crisis in the subprime lending industry and the subsequent economic chaos which ensued, the fact remains that the vast majority of Americans, (over 96%) continue to pay the mortgage on their home in a responsible manner. Here in Grand Rapids, MI real estate professionals have continued to sell homes despite the enormous challenges that our state has faced through this economic crisis.

MORE GOOD NEWS: The Value Proposition for Buying a Home remains a sensible way to get the best bang for your buck...especially TODAY, when we have pretty near historic lows for interest rates and a remarkable inventory of homes on the market for sale.

This week, Scott DeWolf, a manager and Senior Loan Officer with Exchange Financial completed the second part of a 2 Week Series on The Financial Markets and Loan Options for the team at Audu Real Estate. He shared these facts with our agents.

On the purchase of a $120,000 home, in Grand Rapids, MI today, the average buyer would enjoy the following:

1. An interest rate of approximately 6.37%

2. A principle, interest, insurance and tax payment (PITI) of $932/month

3. An upfront investment of 3% on an FHA mortgage and 1% on a MSHDA mortgage

4. A nice sum of $116 going towards the principle of their mortgage monthly for a total of $1392/yr

5. Access to a $7,500 TAX CREDIT through the IRS if he buys his first home before July of 2009

6. A gain of over $7,000 that he wouldn't have flushed down the toilet by paying rent! *

Compare this to paying between $700-800 for a 1-2 Bedroom Rental Unit!

*This information does not include the tax credit that homeowners get for owning a property. The gain in the example above only reflects the difference between paying yourself $116/month towards your equity rather than giving $8,400 to a landlord to pay down their equity!

So, What can 'Joe the Plumber' get for $120,000 TODAY in the Grand Rapids, MI market? Well, it turns out to be a whole lot of Value and a generous supply of homes. In fact, today a search on the local MLS revealed that there are over 4,303 homes, some of which can be viewed here.

The current housing market offers remarkable opportunities for 'Joe the Plumber' and other straight talking Americans to review the facts and determine whether they'd be best served by purchasing a home after the Tax Rebate option expires in July 2009 and when interest rates have increased OR if the better plan of action is to take advantage of some unique options which are available to qualified home buyers today!

At Audu Real Estate, we help people to make smart decisions. Buying a home may be the largest financial investment you will ever make. Don't allow the politicians, media mavens and the barons of Wall Street to scare you or cloud your options. Talk to a qualified real estate professional who can help you determine what choices will be of the greatest benefit to you Today!

Copyright 2008 Audu Real Estate All Rights Reserved

picture is courtesy of Mike Licht on Flickr.com

A blind date has got to be one of life's scarier moments! Many of us have been the recipient of this form of 'relationship assistance' at some point in our lives.

Although, it's exciting to not know exactly who you will be meeting, the experience is fraught with much angst and trepidation for precisely the same reason...you don't know exactly what you'll get when your date shows up in person!

Today, online dating has spawned hundreds of thousands of successful unions.  However, we all suspect that for every success story, there are oodles of folks who don't have a storybook outcome. 

We all worry about the potential for this:

• A person whose in person appearance is not even remotely connected to how they appear online

• Fake Testimonials which promise more than they deliver

• Individuals who are not what they purport to be...ie the 'pretend doctor' syndrome with fake credentials

These issues are also a concern for millions of consumers who are now going online to select professional services like those provided by members of the real estate community.  Data from the National Association of Realtors indicates that more than 80% of all consumers will utilize the Internet as a part of their selection process for choosing an agent and/or home.  Selecting the right agent for your specific concerns can make all the difference in the world.

Although, there are no guarantees that even your best efforts will yield the results you desire, taking the time to do some preliminary research will greatly enhance your prospects for a successful match.  Let's examine some critical aspects which you should consider as you review potential prospects.

Do You Know if they're the Real Deal?

I mean this literally.  Make sure you're dealing with a real person or business.  Do some checking.  It's pretty easy.  Here are some suggestions:  Contact the local real estate board to inquire about their membership and status.  If they indicate they hold certain awards or designations, call or go online to see if they are on the membership roster.  Google the physical location/address and if you still have doubts, do a drive by.  If things don't check out at this basic level, there's a problem.

Are their Products Visible?

You'll be hiring a real estate agent to market your home.  The disappearing agent who sticks a sign in the yard and NEVER calls is well documented in real estate folklore. 

But what about the disappearing listing? When the home is placed on the market, it becomes a part of the real estate companys' listing portfolio. 

Did you know that there is a dramatic difference between the levels of exposure which your home may receive on the Internet? Did you know that your agent's understanding of Search Engine Positioning and Optimization will be key determinants of your exposure?

For instance, a good online real estate agent can literally put your home on the map...the google indexing map that is.  Imagine being able to say to your friends and family...did you google my home?  If you're competing with 50 other homes for sale in your community, this may make all the difference in the world.

Do They Know What They're Talking About?

Here's the area where the Internet can be of the greatest benefit.  While an increasing number of agents and their agencies have websites, these will provide you with only static information about their listings and services.  To dig deeper, it's prudent to see if the agent you are considering also writes a blog.

Blogging provides a tremendous amount of benefit to the consumer who is in the process of selecting an agent.  For starters, it can save you TIME!  In reading a good agent blog, you will be able to determine the areas of an agent's expertise, their style with clients, the kinds of transactions they handle, and the way they resolve conflicts and solve problems.

Can You Interview them Without Extra Hassle?

You'll find that reading an agent's blog is similar to conducting an interview.  What's great is that you can e-mail or respond in the comment section if you have any additional questions or would like clarification on certain issues.  This type of dialog can be tremendously informative and provides a great platform to become comfortable with someone before hiring them for the job.

It's important to hire the right agent to get the job done.  Using this simple list will improve your chances of selecting someone who has the skill and personality which will be most in alignment with your specific needs.  If you are in the Grand Rapids, Michigan area and are looking for an Online Real Estate Expert, the real estate specialists at Audu Real Estate would be happy to explore how we can assist you.

Where Should you be looking?

Our listings are advertised in a number of Venues which include:  our website, numerous blogs, the Grand Rapids Association of Realtors Multiple Listing Service, the NAR (National Association of Realtors), Zillow, Trulia, Real Estate Shows, Google, Yahoo, Oodle, Twitter & Flickr.  Contact us to discuss how we can create an Internet marketing strategy which makes sense for you!

Copyright 2008  Audu Real Estate  All Rights Reserved

In a real estate market in which just under 1 out of 2 homes which are actually SOLD are Short Sales or Foreclosures, more home sellers in the Grand Rapids, Michigan area are inquiring about if a Short Sale may be a viable path to consider.

It is no secret that there has been a precipitous slide in home prices over the past year.  This coupled with the sub-prime mortgage mess has placed some home owners into a situation in which the Value of their home is LESS than what they currently owe  on their mortgage payment.  In some cases...way less.  As a result, some home owners are bringing thousands of dollars to the closing table to make up the difference owed to the bank.

But what can you do if you don't have Thousands of Extra Dollars sitting in a bank, savings or retirement account?  Unfortunately, this is a question, many home owners are asking.  Individuals who have to move due to a job loss, illness or divorce.  Individuals who can no longer afford to stay in the home they bought.

Short Sales are complex real estate transactions.  Although banks do not want to 'own' real estate, they are often less than cooperative in situations in which the debt obligation to them will not be fulfilled.  To make the case to the bank about the specifics of your situation and your intention to try to fulfill your obligations to the best of your ability, it is wise to hire a real estate agent who has successfully completed Short Sale negotiations and who understands the intricacies of the process.

There are several stages within a Short Sale Negotiation.  The first determination is to gain a comprehensive understanding of your specific situation.  Questions which need to be answered include your payment history and a complete analysis of your financial resources; including a detailed rendering of any extenuating circumstances which may impact your ability to repay your obligation.

The home in question must also be verified through a market analysis to substantiate the loss in Value.  This will often include not just a real estate broker evaluation but also an independent appraisal or Broker Price Analysis from another source.  Then the home must be marketed aggressively, as NOTHING proceeds forward until you obtain a viable buyer.

Once an offer is tendered, the real 'fun' begins.  In some instances, we have encountered Loss Mitigation Specialists assigned to handle up to several hundred files at a time.  The pressure on them is enormous and they often fail to answer their phones or respond to any attempts of communication.  It is here that hiring the RIGHT agent makes all the difference in the world. 

It is important that your real estate agent/broker possess the following qualities when negotiating a Short Sale.

1.  They must UNDERSTAND the process...knowledge of the different aspects of foreclosure & short sale

2.  They must KNOW how to price your home to actually SELL

3.  They should have a good INTERNET presence to attract the largest pool of buyers

4.  They must be PERSISTENT in their negotiation efforts

5.  They should have an inherent grasp of the DETAILS to ensure that all parties remain informed

6.  Your agent must be DETERMINED to represent your best interest

Successful Negotiation of Short Sales is a mandatory element of the training which the agents of Audu Real Estate receive during their 1-2 year apprenticeship.  Audu Real Estate has successfully short sales on behalf of our clients. 

We strive to conduct our negotiations in a way which honors the dignity of those involved and protects their privacy.  If you'd like additional information or a private consultation regarding your Short Sale options, please contact us at: info@audurealestate.com.

Related Links:

Additional Real Estate Short Sale Articles by Audu Real Estate

It's Friday night. If you're anything like me, Friday Nights are nights when you let down your hair and relax a little...perhaps dinner, a movie, or a show.  This past Friday is no exception.  We've still got a teenager at home who doesn't drive, so Friday night involves playing part-time taxicab driver too. 

As we're preparing to go out, I notice that he's busy at the computer.  I'm a "quasi hip" mom, so I presume he's checking out Facebook to see where everyone will be hanging out.  Imagine my surprise when he tells me he's downloading music because he's going to be the DJ!  I can barely contain my surprise..."You're downloading music for the dance onto your iPod?"  He barely gives me a sideways glance...continues tapping the keyboard and says..."Ya."

Now, you've got to understand, I can still remember the days of vinyl records.  The DJ's table was exactly that...a sturdy looking structure with various turntables, speakers, gadgets and microphones.  By the time things went totally digital...I'd started having kids and sleep was far more important than dancing into the wee hours of the night. So...for the me the trajectory was turntables, to CD's and then things dropped off.

Until they resumed this Friday night with my iPod DJ downloading songs for the party at school onto  a device that fit neatly into his back pocket.  I asked him how they would hear the songs.  He replied in mock disbelief.."We'll hook the iPod up to the speakers and if they don't like my selections, we'll hook up someone elses."  Wow...talk about feeling old fashioned! This type of DJ experience is not even on my radar...

So, it seems that while I have been sleeping, the world of dance music and entertainment has become much more portable.  Music travels hipster style to where the party is...not the other way.  It's a fluid movement of exchange and interaction which allows anyone with the right mix at the moment to step up to the turntable, hook in and share what they've got playing on their iPod.

It occurs to me that in a sense, this is not unlike what is happening in the real estate industry today.  The conversation online about real estate moves with fluid grace and sometimes jolting jerks...either way, it's a continuum of moving parts which includes websites, news feeds, blogs, video casts, podcasts, social networks and the mainstay of the real estate genre...MLS systems. 

Today, real estate buyers are surfing for the hottest offerings online.  The average buyer is visiting numerous websites to sample what's out there. 

Recently, I looked up a certain price range for homes in our local area online.  The results were interesting.  In the top 8 Search Results, the number of listings in "a particular search area" ranged from 1 home  to 32!  No wonder buyers feel they must look at all options...landing on the wrong site means that you may not be seeing 90% of what's available for Sale. 

That's one reason why connecting with a good real estate who is pluged in to one or more MLS systems as well as many of the other frequently visited sites which feature Homes for Sale is so critically important.  This is a partnership...a dance which requires coordination and synergy.  As a home buyer, you should move in perfect sync by:

1.  Clearly thinking and writing down what you would like to find in a home

2.  Choosing a real estate agent to assist you...preferably one who is connected online

3.  Link up with a good mortgage specialist to make sure your finances are in order

4.  Create your own Playlist...Surf online, take virtual tours, research various blogs and sites

5.  Be prepared to sync up with your agent on a regular basis, learn from them and create winning solutions.

What's wonderful about this new emerging conversation is that it is so portable.  You can find listings everywhere.  You can download them to a number of devices.  You can search for homes by Street Name through the  Search Engines.  Don't snooze now or you loose.  The best deals won't wait...they'll just twirl around to the next available player!

Vector photo courtesy of Sabrina Campagna's photostream on flickr.com

Dance photo courtesy of firutin's photostream on flickr.com

Copyright 2008  Audu Real Estate  All Rights Reserved

11 Quirky Questions to Ask Your Realtor ® Before You Hire Them for the Job!

Hiring a real estate agent to sell your home is an important task.  Most of us are far more skilled at answering questions when searching for employment than thinking of creative ways to interview a real estate agent to help us to sell our home.  Since standard questions are often anticipated, they will provide limited insight into how a person thinks and functions. Because the sale or purchase of a home is the largest investment that most Americans will make, it might be prudent to go beyond the "standard" when evaluating who you select to provide service in this area.

Many home owners have limited experience with hiring real estate agents.  The average home owner will only interview one or two agents within a 3-5 year period. The questions they are often advised to ask are fairly simplistic & usually flow along these lines: 

While these questions listed above may address the nuts and bolts of the transaction, they will do little to give you insight into the nature of the individual you are hiring.  Statistics can be manipulated and may not tell the whole story.  For instance, a well trained newer agent with enthusiasm and passion may actually do a better job in marketing and selling a home than a cynical, jaded long time real estate agent who has collected a slew of accolades.  Since you will be working with a real estate agent for a few months or considerably longer, it might be important to understand more about an individual than their statistics.

Sometimes, going off-track in your questions will yield an entirely different perspective of the real estate process and give a new dimension to your understanding of the service level you can anticipate during the duration of your contract.  It may be helpful to intersperse quirky questions with commonly asked questions to truly enhance the experience of getting to know and rate any real estate professionals that you are considering.  So, here are some "quirky questions" to spice up your next real estate interview and add a little more fun into the process too!

 1.  What aspect of your job makes it Fun to get out of Bed in the morning?

2.   Describe Your Oddest Experience on the job to date.

3.  What Would you like to be doing 5 years from now?

4.  What's your source of Inspiration?

5.  Define your idea of the "Perfect Real Estate Transaction."

6.  Describe your idea of the "Perfect Client."

7.  If you had the commission from the Sale of My house in your hand right now...what would you do with it?

8.  What's the most important thing you've learned, heard or read about in the last month?

9.  What aspect of your career has challnged you the most?

10.  How has your real estate career impacted your life?

11.  What are you doing to do to make sure that I don't have to ask anyone else these questions with regards to selling my home?

Before you ask these questions...think about the responses you anticipate and what is important to you in selecting a real estate agent. Remember that a good agent will be evaluating you as well.  This can be a fun and unusual way to conduct an interview. Be courteous and polite.  Not every single question will be appropriate for every agent, but every question is sure to add a different dimension to the interview process!

Copyright 2007 Audu Real Estate  All Rights Reserved

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