Paradigms power perceptions and perceptions power emotions." 

Quote from Sarayu to Mackenzie in the book, "The Shack."

What's the color of anger when you're color blind and can't see red?  When it comes to emotional heat, each of us experiences the full spectrum of color in a myriad of different ways. 

Emotions arise out of our pre-disposed patterns of thinking and perceiving an event, person or situation.  Often these perceptions are so deeply held that we are startled by the response they generate when they emerge in living color.

A few weeks ago, there was a knock on my door.  When I opened the door, two young men stared at me...then burst out laughing.  I stared at them quizzically, although I had a fair estimate of why they were giggling uncontrollably.  Finally, one of them was able to collect himself and extend his hand.  He said, "Excuse me m'am, we didn't expect..." 

I understood what he was trying to blurt out between giggles.  He, a young African American man, knocking on doors in my neighborhood had not expected to see a face that looked like his own answering the door bell. The emotional rush created by his paradigm about 'who should live where' literally overwhelmed him when his perceptions of the reality facing him proved to be false!

Paradigms and perceptions are not regular topics of discussion in most real estate circles, but in many ways, they are a huge dynamic within our engagement in the profession of buying and selling property.  They impact how we handle transactions, respond to stress and treat other people.

I'll never forget a story I heard during a class on Fair Housing about a farmer who walked into a real estate office, with his farm clothes on, and requested the assistance of a real estate professional. Because he was in dirty clothes, most of the agents in the office didn't want to help him.  Well, the one who did ended up making a hefty commission. The farmer with the dirty clothes turned out to be a wealthy business man who bought a pretty good sized piece of property! 

Well, what is a paradigm exactly?  According to Wikepedia, a 'paradigm is a philosophic or theoretical framework of any kind.'  We all operate within paradigms.  These are the under-girders which support how we look at the world and frame our judgments.  Paradigms support our worldviews and provide the context in which we make our decisions.  They help us to discern what we think 'belongs' in any given space.

But, hidden within the familiar confines of a paradigm is an incipient danger.  It is the danger of misperception. You see, paradigms are simply philosophies and theories...they're not necessarily true or correct.  Yet, they can control how we think and are pre-disposed to respond even when the facts don't necessarily add up. 

Paradigms are costly because they influence who we are and how we react in ways that may not be obvious to the uninformed observer.  They also serve as the base foundation for just about every negative 'ism' you can think of...racism, sexism, communism etc. 

Our emotional responses can reveal a goldmine of information if we're willing to be honest.  When we respond to someone or something, it's helpful to take a moment to reflect on what perception colored the exchange and what the underlying paradigm which supports a potential misperception might be.  The power to change lies within unleashing the hidden charges which underlie negative paradigms so our perceptions become aids to our progress rather than hindering it. 

 Copyright 2008  Audu Real Estate  All Rights Reserved

Picture courtesy of brani's photostream on flickr

When the news broke that Grand Rapids was the 5th most affordable city in the United States, you would have thought there would be cheering and dancing in the streets.  After all, isn't affordability a great thing in the era of recession fears and increasingly dire economic news?  

Well, if there was such thing as negative miracles, somehow this normally great news is being apprehended by the boogie man...fear of the unknown.  News reports indicate that potential buyers fearful of further declines in the market are determining they won't buy now even though prices haven't been this low for more than 20 years!  Wow!

Well, I'm glad that I'm living in a parallel universe.  These past two weeks have been some of busiest we've had at Audu Real Estate.  We're taking buyers out and some of the deals that we're seeing are so good that we're being told that we're offer #2 or #3.  Today, I fielded several requests for home showings on homes we have listed!

When opportunity knocks, we have determined that we don't want to be sleeping.  We've found that it's better to open the door because often opportunity doesn't stick around, it keeps on trudging towards the next likely candidate.  What FDR said remains true... 'the only thing to fear is fear itself.'

So, if you're a homeowner who would like to sell your home or a home buyer who wants to check out what the incredible options are right now....give us a call or e-mail us at info@auduhomes.com. We're eager to be of service.

Click here to pre-view homes

Copyright 2009  Audu Real Estate  All Rights Reserved

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

This year has produced some major legislation affecting real estate and mortgage lending practices in the State of Michigan. Earlier in the summer, I wrote about a New Disclosure Law which went into effect on July 1, 2008 for Real Estate Brokers.

This disclosure provides a clear definition of the contract for services in hiring a real estate broker. The New disclosure also requires that a Minimum Service brokerage indicate which services they are/are not providing and reveal these limits to potential clients, thus hopefully clearing some of the confusion surrounding WHAT real estate brokers actually are DOING to provide VALUE to the real estate transaction.

Within the next 6 months, another far reaching piece of Legislation, Public Act 60, will also go into effect. This impacts the lending industry. The legislation has been in process for some time and predates the current lending crisis. Public Act 60 will require that loan originators in Michigan be registered with the State of Michigan to legally conduct business. A continuing education requirement has been added which includes 24 hours of Pre-licensing education and 6 hours of yearly Continuing Education Credit on a yearly basis.

Michigan now joins a list of 26 other state which require loan originators to be licensed. The Act does not cover banks but only applies to mortgage brokers. There are on going challenges still being resolved with the implementation of Public Act 60 which will be enforced starting January of 2009. Perhaps some of the most significant questions are:

1. What the Registration Process will cost

2. What the educational coursework will contain although broad perimeters have been established

One of the most important aspects of the Act, in my opinion is the requirement for criminal background checks for all loan officers. Readers of my blog may remember a post I wrote last year in which an individual interviewed for a job as an agent in my office. He was a convicted felon and yet was processing loans. The rub was that his conviction was for...fraud and financial theft.

In an article for the Ann Arbor Business Review, Carol Marshall offers a comprehensive analysis of the impact of the new law in addition to some of the cautions in regarding it as a solution to ALL the problems the industry faces. One lender is quoted as saying that just because someone can pass a test and a criminal background check does not mean that they are a good person or an ethical lender.

Well, that's the truth. We've had licensing requirements for agents and brokers for many years in Michigan and there are still bad apples in the lot. However, the process needs to start somewhere. It makes no sense to me that hair dresser and barbers in the State of Michigan still have educational requirements much more stringent than those required for real estate professionals and mortgage lenders.