I’ll be posting a market report on Yorktown in the very near future, but I thought I’d give a more specific snapshot at what $472,000 buys these days. 

This is a 3 bedroom split colonial with a den and 1.5 baths on a quiet street in the Countryside neighborhood that just closed yesterday. It sits on a beautifully landscaped .4 acres with a rear patio and backyard that backs up to woods. It has new vinyl siding, new windows and a new roof. It also boasts an eat in kitchen with lots of cabinets, first floor laundry, hardwood floors throughout, formal dining and living room with bay window, updated half bath, lower level family room and a poured concrete basement. Countryside is walking distance to the Triangle shopping center and 5 minutes from the Taconic parkway. It is a fantastic location.

There is plenty of parking, and the 2-car garage is also quite deep. 

As I said, it closed yesterday, and we were delighted to help Scott and Leslie buy their first home together. We wish them many happy healthy years there.  

Westchester Fixer Uppers for Sale

I have recently listed two awesome opportunities for a buyer to get instant sweat equity in their ownership of a home. These are both rehabilitation opportunities, in need of complete renovation but priced very low for a fast sale. Neither are short sales and both can close quickly with clear title. 

1. 11 Bradley Drive, White Plains, NY 10607: 1300 square foot handyman special ranch in the Ardsley school district on a quarter acre. 3 bedrooms, 2 baths, 2 car garage, patio and close to highways. Very quiet street. $399,900. Just listed!

2. 27 Harrison St, Mt Vernon, NY 10550: 3 Bedroom pre war colonial on a quiet street in need of complete renovation. Full basement, large front porch, formal dining room, very close to shopping, schools, transportation, parks. Excellent commuting location to Manhattan. $125,000. Cash or rehab loan. Just listed! 

We find  and list handyman and fixer upper properties frequently and they sell fast because they are priced right. These are not foreclosures or short sales. They are owned by private individuals who are liquidating them and pricing them for the condition for a fast sale. They will not last at these prices, so you need to act quickly. Check back for new listings that are priced for instant sweat equity. We get new ones all the time and they do go fast. 

I very seldom re blog another author, but this was, in my view, a very timely message. All too often, it is suggested to me that that those I refer my clients to, such as lawyers, mortgage officers or home inspectors, are somehow in my pocket. Nothing could be further from the truth. No transaction is worth my reputation or license. One of my favorite inspectors, Frank Hope, had a fantastic “bedside manner” to be sure, but he played it straight and accurately, and there were times that deals died because of his findings. Yet there were those who thought he was conspiring with me to smooth deals over. 

It seldom came up, but I never heard a peep again from anyone when Frank inspected the home I bought for my family back in 2007. He was good enough for me. Frank has retired, and I sure miss him. 

The bottom line is that if I recommended an inspector or other professional for that matter, it is because they’ll do right by you, the client. That is paramount. Deal come and go, but you only get one reputation. And one license. 

Upon occasion I get a call from a cooperating agent who is calling to show one of my short sale listings. I welcome these calls- anything I can do to equip the buyer’s agent with data to help the sale is something I am eager to do. They might have questions on the layout, condition, showing instructions, and even parking, which is a big deal in many parts of New York. The one thing I can’t answer on a home with no offers is the status of the short sale.

Have you contacted the bank?

Have you started the process with the lender?

How close is the bank to a decision on the short sale?

There are dozens of variations, but until the lender has a full package with a signed contract, there is no short sale status to report on (even then, there are no exit polls- we know when the decision is rendered). Until I have a buyer, the question is a non-issue. This is the same in New York as any other place in the country with short sale agents I have communicated with. 

The reason for this is simple: the short sale decision process is a serpentine odyssey of red tape with a cog in the machine of a huge monolithic financial entity, a revolving door of contacts at the lender, the whim of whatever negotiator I might be fortunate enough to contact, and after the whole crapshoot, it often goes to the “investor,” which is a whole other nonsensical conundrum. There are no partial short sales. We can’t get a head start with the lender, try as we may in some cases, because the lender will not consider an incomplete package.

Without a buyer, there is no scope for a decision or progress report. I appreciate the buyer agent wanting to feel things out for their buyer, but the status of the bank’s decision does not exist until their buyer signs a contract. 

Just over a year ago, Westchester County settled a lawsuit with the government that called for it to build 750 affordable housing units in mostly white part of the county. The background of the case is lengthy and the local discussion of the matter has been heated in some quarters. The bottom line was a promise from the county to put over $50 million toward the housing. 

Earlier this month, plans were announced to build a 51-unit complex in Larchmont, replacing a project which would only have 5 of the 51 units be deemed “affordable”. Larchmont is small, just over a square mile, and has a population of 7,000. There is a concern about development and environmental impact among residents, but I doubt that the project will not go forward. Other towns have plans for expanding affordable housing as a result of the settlement as well, and while you can’t fight city hall, city hall can’t beat Uncle Sam. 

There will be more on this as the remaining 699 units get planned and developed. 

Two parcel of land, one on the Byram River and another on Willett Avenue in Port Chester are being developed for a combined 183 apartments. According to the Journal News, The Mariner will be a 100-unit complex on the river and the castle will be an 83 unit project with street level retail units. Demolition has already begun on one of the sites. 

Port Chester is near and dear to my heart; my father worked there for many years and I have sold there. It is a terrific village in the town of Rye with a lively downtown with great food and shopping, all a stone’s throw from Greenwich, Connecticut. The article touches on the question of whether or not the units would be condos or rentals, but the developer, Phoenix Capital Partners, appears to be leaning toward rentals. Luxury condos have had their problems in the area, and the rental market may be healthier. 

I concur. Port Chester does have plenty of condos already, and one of them, The Landmark in the old Lifesaver Building, just had to pay a mint to handle problems with an old management company and to fix a faulty parking garage, which had residents parking on the street. A new project won’t have those problems, but the real story here is development. This is a housing start, and a big one. That is a big win. This project will put people to work and put more affordable housing in Westchester County. It will also add tax revenue to the village of Port Chester, and the domino effect of progress will be underway. I hope more developers get into the act. 

From 1945 until 1984, 60 Main Street in Sleepy Hollow (then known as North Tarrytown) was a battery factory operated by Duracell. It was a Superfund site due to toxic contamination, but was then de-listed after a 1993 cleanup. The village bought it in the 1990’s for $1 from Gillette, who had acquired Duracell in the interim, and the acquisition was not without controversy- the then mayor was opposed by the village legal team and the planning board, especially in light of the fact that there was not a thorough environmental vetting of the site, which is now a parking lot. 

Fast forward to 2008, and the area’s history is still not lost on area real estate buyers, one of whom had the soil tested on a home they were considering purchasing on the south side of the property. Mercury levels were measured at 5 times the acceptable level, and lead was high as well. 

The village is now facing an environmental cleanup that may exceed $1 million, a massive amount of money for a village of 7000 people. Why? Because Gillette hasn’t owned the property for 7 years, and the responsibility may lie in the lap of the village. 

One can only wonder why the mayor would buy that land without an extensive environmental due diligence study. One can only wonder what the contamination did to residents, who may have severe health consequences that have yet to manifest themselves. Sleepy Hollow now either has to pay a massive legal bill to get Gillette to pay up, or pay a massive cleanup bill themselves. 

And to think it all started with a home purchase soil test. 

In light of this article in Tuesday’s NY Times on the poor October in real estate sales, I thought it worthwhile to inject a little sanity into the implications for local market conditions. According to the Empire Access MLS, in Westchester County in October 2010, there were 285 closed sales of single family homes at a median price of $576,500. In October of 2009, there were 336 closed sales in the same category at a median sales price of $575,000. That is a 15% drop in volume with virtually the same median price, albeit $1500 higher. 

That is far below the national decline, and while any 15% drop is significant, it is safe to say that Westchester stunk it up far less than most parts of the country, which were down 40 and 50% according to the piece.

Consider the following:  

2009: 2668 sales at a median price of $590,000 from 1/1/09-10/30/09

2010: 3461 sales at a median price of $640,000 from 1/1/10-10/30/10

Overall, sales volume is up by almost 800 closings, or 30%, and median price is up $50,000, or 8.5%. 2010 has already torched 2009. It isn’t even close. There are currently 731 homes under contract, so eclipsing 4000 closed deals is well within grasp. That would make 2010 the best year since 2007, which had over 5000 closed sales-but here’s the big asterisk- the sub prime meltdown didn’t occur until later in 2007. There were barely 1000 closings the last quarter of 2007 because so many banks were failing, scuttling a ton of pending transactions. 

What’s it all mean? The numbers indicate that Westchester is overall ahead of the national curve, and is doing far better than last year. Beyond that you’ll need to buy a fortune cookie. 

I have a day where I can catch my breath and veg out. I am surrounded by things I am thankful for, so I’ll share some of the reasons for my gratitude. 

• I am thankful that my parents made the sacrifices they made so I could build the life I now enjoy. 
• I am thankful for my brothers, who tease, support, advise, annoy, and understand me. 
• I am thankful for my wife, who puts up with a tsunami of difficulty every day being the wife of a self employed lunatic, the mother of 4, one of whom has special needs, all while co -owning the firm with me and all that comes with it in this economy. 
• I am thankful that my company has weathered the storm of the housing crash and has in fact grown to 18 agents since 2005. 
• I am thankful for my agents, all of whom have honor, integrity, and loyalty. 
• I am thankful for Luke, our oldest son, who is in 3rd grade and is a whiz at building things. 
• I am thankful for Catherine, the first daughter born in our family since the 1890’s, who is, in one package, strength, sass, an artisan, and the apple of her father’s eye. 
• I am thankful for Gregory, who despite his difficulties, is pure sincerity and authenticity. He is also very affectionate, a trait his mother and I treasure each day. 
• I am thankful for Mark, the caboose, who is like the payback for every difficult moment we ever had with his siblings. He is a dream child and steals his mother’s heart daily. 
• I am thankful for Max, our rescued German Shepard, who is 100% devoted to his humans. 
• I am thankful for the community I live in, and that I am fortunate enough to be an American. 
• I am thankful for my health, my ability to communicate, and my curiosity.
• I am thankful that I can speak my mind, go where I wish, read what I wish, and associate with those whom I wish, free from fear or intimidation. 

Happy Thanksgiving to all!!

It sort of amuses me to see questions asked by people online these days, such as on Trulia Voices. I was inspired to comment on one with the “foreclosure mentality” of many buyers, but it was actually posted a long time ago. Everybody wants a foreclosure. The perception that they are a wonderful bargain is overblown, but you can’t fight the tide. And the questions I see on Trulia Voices do amuse. Many of the answers are classic too. 

I want a foreclosure in <insert absurdly exclusive, wealthy suburbs here>! Why can’t I find any? The answers are a bunch of agents screaming “pick me, pick me!!” when the people are asking for homes that in all likelihood do not exist, not agents who are all too plentiful. 

How come my mortgage loan officer asks me for so many things? Because when the banks didn’t ask for much from the borrowers we got this economy. 

I have a really complicated, nuanced situation and I am going to give you really sparse facts. What should I do? Beats me. This is another crazy thing- how people can put more credence into anonymous online advice rather than that of their hired professional. 

Can you tell me if my co-op will allow <whatever>? This is a good one because all co ops are different and their rules on renting, purchase, board approval requirements and other arcane things can vary enormously. They can always call their co op, especially given that they don’t tell us what co op they live in. Yet there are agents (pick me! pick me!) offering answers on a co op they know nothing of. 

There are others, but the platform seem to be drying up, at least in our area. There are questions from 2008 and 2009 showing as “most recent,” most likely because the value of such interactions are so limited. If you have a question, ask your agent or broker. He or she has a vested interest in your well being. 

The time around Thanksgiving and Christmas is typically when the inventory is often at its lowest level in general, as people tend to get more into the holidays. Homes buying often resumes after the holidays, and there is a phrase that says that spring begins January 2nd in real estate. This past July, Ossining had 146 active single family home listings available on the MLS. One week short of December, Ossining now has 144 active and available listings for sale. Inventory has not gone down, indicating that buyers continue to have excellent choices in the so called “off season” and probably a more motivated pool of sellers as well.

People who love Ossining are attracted to the river views, close proximity to Teatown, Maryknoll, good shopping, beautiful homes, lovely downtown, and of course the attractive commuting distance to New York City on the Hudson train line of Metro North. 

Prospective home buyers no longer have to have to put on a hat and scarf to search for homes in Ossining these days, especially if they are just starting out. Most brokers, including myself, have online home searches that allow you to search for homes, see the photos and specifics and compare features on their website.

Our firm has a number of online home searches, and the Listingbook home search is one I highly recommend. It allows you to search homes on the same MLS database as agents use, the Empire Access MLS, with high functionality. Registration is free and confidential. My clients love it, and there hundreds of registered users since we unveiled it. It isn’t just Ossining homes for sale, it covers all of the Westchester, Putnam, Dutchess and Bronx county inventory on the MLS. 

Buyers have good choices, even now in the so-called “slow” season, and online search tools make finding a good home easier than ever. 

Previous posts on Ossining, NY

There are times when I wonder if the public really knows what it takes to run a decent business when they bring up our real estate commission. Today, for example, we got our error and omission (E & O) insurance premium for fiscal 2011 and it was over double what I paid in 2010. And I never had a claim. I could see if they had to pay a liability claim of some sort, but I’ve never had one. We don’t assess our agents any part of our premium the way large firms do. I started my own firm in large part because I didn’t like getting nickeled and dimed. That policy will not change. But it doesn’t mean I have to be delighted for having my premium doubled for stellar conduct. The reasoning for the increase was higher revenue this year than last. A happy reason perhaps, but I’d expect a lower premium for no claims, not a doubled one. 

Being self employed in this environment is no picnic. I have a government that defines me as part of the wealthier class if the business makes a commensurate profit with revenue, and over on my side I have 4 children to feed, clothe and educate, one of whom may well need assistance all his days. That’s a worthier cause in my book than 90% of what the federal government throws money into. 

Not long ago, I had a listing expire unsold when the owners refused to accept an offer that was on the table toward the end of our term. Really sadly, our cordial relationship blew up at their dining room table when my client informed me that he was going to let the listing expire, then sell to the prospective buyer after the end so he’d be exempt from paying me. When I reminded him that he’d have to wait until the protected period was over, he was unapologetic. It was “business.”

I got a call from his attorney the following day asking for a copy of our listing contract. Of course the client had a copy; he either lost it or misplaced it. I told the attorney, whom I had been plenty friendly with beforehand, that I knew full well what was going on- he was going to see where he could find an “out” so his client could squirm out of paying my fee. He got nasty when I said this, but I learned a long time ago when an attorney calls with a chip on his shoulder asking for paperwork nothing friendly ever comes of it.

The crux of all this, ironically, is a walk in closet. My client’s home was paid for, and his retirement was secured.

He was moving south after he sold to a less expensive area, where he and the missus would live in their dream home. And it had to be the model with the walk in closets.

This guy wanted me to subsidize his retirement. He couldn’t live in what he earned. I had to chip in and work for free. People that put their hands in my pocket stink. People that put their hands in my children’s pocket should lose that hand. 

I think I put the fear of God in the guy and his attorney after that little episode. As far as I know, they did not sell, most likely because the buyer walked after they waited out the terms of our contract. Serves them right. My heart goes out to those folks out there who  have little or no equity and face hardship. Paying for food, clothing and necessities are tough enough these day, let alone a real estate commission. I know that. Interestingly, those are the people that give me the least grief about fees. But people with no such hardship who want me to subsidize their lifestyle on the backs of providing my family and livelihood don’t get it, and that is a shame. 

I have a listing that recently expired. A deal fell apart on it and my client lives out of state. That’s all I can tell you. Apparently, Central Hudson Gas and Electric can’t reach him, so they harass me. They want me to let them in the house so they can cut the power. 

One problem: I’m not authorized to do that. Do I have a key? Yes. Am I allowed in the house? Probably still to show a possible buyer. Can I let a creditor of my client in? No. No, I can’t do that. 

So here’s the message the utility left for me in my office:

Phil, Sabrina from Central Hudson Gas and Electric called regarding XX XXXX. She said you spoke last month about getting in to lock the gas meter. If access is not given they will transfer the bill to your business name.

Now that’s chutzpah. Transfer the debt to the broker. I’m not a lawyer but I don’t think they get to do that. Sabrina and I are going to have a little conversation Monday, and if I don’t set Central Hudson straight, my attorney will. I am about as liable for my client’s gas bill as his dentist.  

White Plains condominium 15 Stewart Place 1C will be help open today from 1-3pm. 

Spectacular 1,238 square foot 2-bedroom condominium at Heritage Towers! Features a bi-level first floor with a step-down living room, high ceilings, glass wall of windows, and patio, plus a lovely dining room & eat-in kitchen. Sprial staircase takes you up to the Master BR, 2nd BR, plus Full Bath; the hallway closet can be converted back to a Full Bath if desired. Doorman building, 1 assigned indoor parking space, plus convenience to shopping, bus and train add to making this a terrific duplex unit!

cd=400,000. Roman Numerals. 

I have posted on each of my millennial milestones, and with each marker I am more humbled by the impact on my business than the point total. What a trip. 

I discovered Active Rain while researching a scam out of Colorado. I created a profile and little else for about a year. I began blogging in earnest in December of 2008, but by the summer of 2009 my activity began to tail off as the local market tanked and I devoted time to chasing deals. Around that time I met the late legendary Joe Ferrara at the Lucky Striker Social Media Club, and it inspired me to resume more writing. When I spent some quality time with him again at Triple Play in Atlantic City in December, he gave me the thumbs up, which was incredibly gratifying. I never stopped after that. 

Whenever I got a call from a reporter or a referral I’d post on it, but as the points piled up and time went on I tailed off on that practice, not because it doesn’t happen, but because it could consume the content, and the blog isn’t about me. But suffice to say that I have one deal in contract where my first contact with the client had her tell me that an entry I made was as if I were reading her mind, a fact checker called 2 days ago to verify information I gave a reporter on a story to be published soon, and there are probably another half dozen deals in process (under contract) right now that I can attribute to blogging. 

So for me, it is not about the points, features or accolades. It is about business. If you see my cheesy grin on the dashboard that’s me working to feed the kids. According to MLS statistics, I am ranked 18th out of 7,258 agents for closed transactions in 2010, which puts me in the top quarter of the top 1% of a brutally competitive suburban New York market. A huge amount of that business has been either directly sourced or greatly aided by my blogging.

So, if you are new to this Active Rain thing, or just less active than you think you could be and looking for a reason to get inspired, consider this: I started out ranked 8000th in my state the same way you did. I get no shows. I have buyer clients disappear and post their new house on Facebook with a congratulations message from some other agent. I have sellers refuse to price right, clean up, or honor appointments. I get snooty phone calls from unconnected agents who figure I am a nobody because I’m not big in their town. But I am on here consistently, and even when I have nothing to say (rare, I admit), I read. I comment. I post market stats. One day at a time, I build. And two short years later, yes, I have lots of points, but more importantly, thanks to this platform, I am doing business. 

I will at a future point post on another enormous benefit of being here, and that is the relationships I have made with good people all over who mean a great deal. I could write a book on that one too. 

Not long ago, I decided to create a new website for a specific niche I wanted to focus upon, and an idea for a new website was born. It is currently under construction, and the need of a good logo arose. There is only so much a busy guy like myself can do with Windows Paint, and between the dearth of time and inclination to not drop a mint on hiring someone, a vague recollection of the last New York Raincamp (thanks you, Google Documents) had me check out Logotournament.com. 

Logo Tournament is awesome. Here’s how it works: You pay at least $250, explain what you want, and then pick from ideas that the designers on the site offer. You start by providing details in their “logo brief” process about the logo you seek, such as color scheme, theme, tone and layout, and then you rank the submissions, which often start after only a few hours. The whole thing is genius. I had my first submission in about 3 hours, and with 67 hours left in my 5 day “contest” I now have 69 logos to choose from. 

It gets better. You can search the designers, see their work in any industry you specify, and invite submissions based on those you think could help, and even give feedback on what they offer. You can search current public contests (some are private). You can search designers. You can search by industry. You can not search at all and let the submissions come on their own. I sought out some good real estate designers and got them to submit. 

Once a submission from a designer is made, you can make comments, feedback and suggestions. You rank the submissions so designers can see what you prefer, and when a winner is chosen at the end (contests run from 5-7 days) you own the logo. I bid $350 on mine to try and attract a higher caliber of design, and I even saw some higher bids. But where can you get a professional logo for 10 times that amount? I am getting really quality submissions from Asia, the US, Europe and Canada. 

Given the price I may give the company logo a face lift, and there are other possibilities. Agents can make their own logo. Teams can create their symbol and tagline. You might have a side business that is a logo and good WordPress site away from having a more professional presence. The mind boggles. The wallet doesn’t. 

My Saab story has a happy ending. My last car was a beige 1996 Saab 900 that I drove for many, many miles. It was a 5 speed with a huge trunk and groovy windows. I loved that car. I was driving on route 6 to a showing in Orange County midway between Bear Mountain and Monroe when the thing just died. Kaboom. Whimper whimper. Stop. I reached my buyer on their cell in the hope that they could pick me up en route. They went a different en route. I was en screwed. 

A parkway cop stopped and said he’d call for help. He was sorry about my lost opportunity to make a sale, but that’s baseball. He told me to expect a call from the tow company any time. Off he went, and while my car couldn’t race my mind sure did. What to do? I needed a ride. These people were stoked about seeing this house.

This is where friends and teammates come in. I called one of my agents, Tom Ricapito, and told him of my plight. Tom was relaxing at home with his brother, who was home from college on Las Vegas, but drove out to Orange County to collect me. He took me to the house and waited with his brother while I showed my people through. They decided to make an offer. We parted company with the clients, and Tom deposited me back at the car.

After I waited what seemed like an hour, my police officer friend appeared again and asked if I had gotten a call from the tow truck. No, I said, I hadn’t. He said he’d call them again and apologized for the wait. I shrugged my shoulders. “Actually,” I said “I got a ride from a friend and I sold a house, then just got dropped off again.” 

“HA! Sure you did,” my cop buddy said. Then he asked for my card and said he’d make sure a tow truck called ASAP, which they did. I don’t blame him for not believing me, because 3 years later it’s hard to believe it myself.

But Tom was there, and he can vouch.  And the deal closed!

OK, perhaps I’m being a tad dramatic, but this is a plea to all you anxious home sellers out there: Stop declining showings. I have been on both sides of this today, and in both cases the cost of the declined showing outweighed any benefit the seller might have perceived in passing on the appointment.  

On the buying side: I drove all the way out to Stamford, CT to work with buyers I have been with since the spring. Two deals have died, although one of them was on the seller’s side. We had three homes to show, and gained entry to only one. The evening ended with us in a darkened front yard, in a light rain, in the cold, wondering why I got a text message cancelling the appointment. My buyers were frustrated, and wondered aloud if the sellers wanted to sell. I have eager, pre-approved buyers standing in the rain outside a darkened house in this shit economy with sellers not allowing us access. 

On the selling side: Several of my seller clients are understandably anxious. We often speak of open houses, pricing, nearby sales activity, competing listings, strategy, and all the other nuances of adding honey to our marketing to attract the buzz of a buyer. And no fewer than two of my sellers declined showings today. There wasn’t enough notice. The place is a mess. It’s a bad time. My dog ate it. I didn’t inhale. I don’t dispute that selling your home is WAY DIFFERENT than living there, and showings are inconvenient, uncomfortable and troublesome at times, but honestly, unless there is a steaming pile of dragon dung in your living room you really need to assume the sale the way a good salesperson does and open that door. 

I have said before that outside of a wedding or a funeral in your living room, you need to allow showings to proceed. I have sold houses when we walked past guests from out of town, college students crashed all over the floor on semester break, and barking, foaming at the mouth dogs. I still sold them. Because if it feels like home, they buy. And if people are putting on warm coats and galoshes in November a week before Thanksgiving to look at your home, they are probably serious. 

Let them in. Buyers are too rare to squander over convenience or discomfort about the housekeeping. 

PS We can talk about no-show buyers next week.