Thursday, March 10, 2011
Real Estate in the Buff(ington Building): Clarksburg Area Supply and Demand Chart February 2011
Real Estate in the Buff(ington Building): Clarksburg Area Supply and Demand Chart February 2011
Clarksburg Area Supply and Demand Chart February 2011
Here is the Clarksburg Area supply and demand chart for February 2011. The Red lines are the active homes, blue under contract, and green are sold. The absorption rate is determined by the number of homes on the market and the number of homes selling that month.
Clarksburg's absorption rate for Feb 11 is inline with the Montgomery County numbers. Since this report only looks at resale home, the new home numbers need some attention as well. We are seeing the new home activity spike in recent weeks.
On February 19 and April 2 our New Home Info Center will be open from 10-2 at the RE/MAX Clarksburg Office (23214 Brewers Tavern Way Clarksburg MD). It is a great way to get ALL of the builder information in one spot.
Now is the time when savvy sellers and buyers make their moves.
Absorption Rates:
February 2011 12.7% absorption rate
February 2010 18.1% absorption rate
February 2009 5.7% absorption
Clarksburg Area Supply and Demand Chart February 2011
Here is the Clarksburg Area supply and demand chart for February 2011. The Red lines are the active homes, blue under contract, and green are sold. The absorption rate is determined by the number of homes on the market and the number of homes selling that month.
Clarksburg's absorption rate for Feb 11 is inline with the Montgomery County numbers. Since this report only looks at resale home, the new home numbers need some attention as well. We are seeing the new home activity spike in recent weeks.
On February 19 and April 2 our New Home Info Center will be open from 10-2 at the RE/MAX Clarksburg Office (23214 Brewers Tavern Way Clarksburg MD). It is a great way to get ALL of the builder information in one spot.
Now is the time when savvy sellers and buyers make their moves.
Absorption Rates:
February 2011 12.7% absorption rate
February 2010 18.1% absorption rate
February 2009 5.7% absorption
Monthly Supply of Inventory for Montgomery County Feb 2011
Monthly Supply of Inventory Chart
Here is MSI chart for Montgomery County MD for Feb 2011. MSI is Realtor lingo for "how big is the inventory of homes for sale". Look at it this way, if no other homes came on the market, how long will it take to sell all of the homes currently available. That is MSI.
Most experts say that 5 months is the equilibrium point. More than 5 months, its a sellers market, below 5 its a buyers market.
MSI for Montgomery Co Feb 11 is:
3.2 months
Here is MSI chart for Montgomery County MD for Feb 2011. MSI is Realtor lingo for "how big is the inventory of homes for sale". Look at it this way, if no other homes came on the market, how long will it take to sell all of the homes currently available. That is MSI.
Most experts say that 5 months is the equilibrium point. More than 5 months, its a sellers market, below 5 its a buyers market.
MSI for Montgomery Co Feb 11 is:
3.2 months
Thursday, January 20, 2011
What I Learned about My Real Estate Business from Running a Marathon
On Oct 31, 2010 a very large item was crossed off my "bucket list". I ran in the 35th Marine Corp Marathon, 2500 years after the legendary runner Pheidippides ran from Marathon to Athens. The experience taught me a lot of things, but most important it reinforced habits and characteristics in my business.
Coaching:
Marathon-Last year I would have said there weren't any sports more solitary and simple than running. I started training in June by myself. About a month in, I realized that I was lost. I wasn't sure how much to train, when to train, where to train, or what to train. It wasn't until I spoke to one of my wife's friends who has run several marathons (we will call her Coach) that I could wrap my mind around the task at hand.
Problem: I was never sure how long or often to run.
Solution: Coach gave me a weekly schedule of runs.
Problem: I could never carry enough water in a bottle for my long runs,
Solution: She told me to wear a Camelback water backpack.
Problem: I got tired on long runs.
Solution: Take Powerade Gel packets every 6 miles.
Problem: My feet would chafe against my socks.
Solution: Glide.
When it came time for the marathon, I went looking for more advice online. I was bombarded with advice (sometimes conflicting) about supplements, equipment, length of training runs...you name it. I got worried so I called Coach. Every question I posed, she repeated one question.
Me: Should I use an electrolyte patch?
Coach, "Did you use one in training?". No.
Me: Should I take Gel packets every 3 miles?
Coach: "Did you do that in training?" No.
I quickly began to realize that 4 months of training was to get your body ready for what to expect on race day. Therefore give your body exactly what it expects on race day. The advice was invaluable.
Real Estate -Real estate can be a very solitary profession. No one will go on the appointments for you. You also have so many options on how to run your business that it can be extremely complicated. The best advice is to get advice. Not just any advice. Find a trusted partner, who knows your business personality and is willing to listen. The right coach/mentor/manager can help your career.
Divide and conquer:
Marathon-No question about it running for 4 plus hours is hard work (mental and physical). An hour into the marathon I crossed the 6 mile mark, I was hurting, there was still 20 miles and 3 plus hours to go. At that moment, a runner behind me yelled, "Great! We only have 10 2mile runs left!". I instantly understood what he meant. This big task can be broken up into smaller more manageable parts. At the 13 mile marker, we were half way home. At mile 17, single digit miles left (9). During training, my wife and I did a 5 mile run along the Chesapeake Bay. It was an effortless scenic run. So at mile 21, I thought back to that run. "5 great miles". This enormous challenge (26.2 miles/4+ hours) became a handful of doable tasks.
Real estate-You too can break down a real estate career into daily activities. How do you sell 20 homes in one year in real estate? Its simple...Daily tasks. Make 3 phone calls, write 3 personal notes, mail one marketing piece to a client, and meet with one client for lunch. The daily tasks will accumulate into weekly appointments. Those weekly appointments will turn into monthly closings. We tend to complicate the business at hand. Keep it simple, but keep it consistent and success will follow.
Goals:
Marathon-Last year, if you told me to go run until I couldn't run anymore I would probably run for 30 minutes then quit. Without a bigger picture, it is hard to get mind and body in sync. 10 months ago I gave myself a goal. On Oct 31, 2010 I will run (not walk) 26.2 miles. I had a singular focus: finish the Marine Corp Marathon. Running 25 miles wasn't going to do it, nor would running 26.2 miles on November 1. One day, one distance. Throughout my training I was able to modify the time I thought I would finish the marathon. Initial I hoped to finish in 4 hours, a month later it was 4hours 30 minutes. The week before the marathon, I felt I could run it in 4:20. Then after I stubbed my toes and strained my calf, 4:50 was my new time. When the alarm clock rang at 5:30 am on Oct 31, I knew exactly what I had to do. At the beginning of the race when runners ran by me, I knew I had to set my own pace and not try to chase them. At mile 20, when it seemed like everyone around me began to walk, I knew I was not going to walk, no matter what. My goals became personal laws that I had to abide by and live within.
Real estate-Goals work hand in hand with your daily tasks. One is pointless without the other. Create goals and stick to them. We tend to give up on our goals too soon because they do not come to fruition immediately. Agents tell me they want to work with more listings next year, or more buyers, or relocation clients. You need to be prepared that your consistent efforts may not produce results for up to 18 mos.
Injury:
Marathon-I hurt my left calf the week leading up to the marathon. I was worried, anxious and somewhat depressed. 4 months of training, entry fees, time away from my family, weekends sacrificed...Was I NOT going to run? My wife answered the questioned succinctly, "You are going to run and finish this marathon." She had to say it a couple times during the week, but those simple words became my mantra. As soon as the race started, my calf began to hurt. I looked up and there was a US Marine running with a shirt that said "Pain is weakness leaving the body". I envisioned that the pain of my calf was actually making me stronger. It sounds crazy, but I got my mind to convince my body that the pain was actually making me run stronger.
Real estate-Bad things happen and they happed when we least expect it. Sometimes it seems like they happen at the worst time or they pile on. Many bad things are unavoidable. What is avoidable is focusing on those "injuries". Surround yourself with positive people, read a good book like Raving Fans or Energy Bus, find inspiration from others...
Days off:
Marathon-One of the most critical parts of training is NOT training. Your body needs time to recover. Muscles need to recoup as well as your mind. Training everyday without breaks can make you HATE running.
Real Estate -I hear fellow Realtors brag that they haven't had a vacation in 5 years. A rested body, mind and soul is a productive one. The opposite is true as well. An overworked, tired, and depressed Realtor is not one I would want to work with.
Fans/Support:
Marathon- I carried little inspirations from my children and wife with me. Before I left the hotel room the morning of the race, my 4 yr old son rolled over and kissed my arm. He said that it was a "running kiss". When I was hurt, I would think about those "running kisses". When I was tired I would think about my 2yr old riding in the jog stroller for some of my training runs. When I was uncertain about finishing, I would think about my 6yr old daughter wanting to run a marathon with me someday. The best part of the Marine Corp Marathon is the finish. There were thousands of screaming spectators, US Marines lining the road, and of course my family.
Real Estate-My business has been built almost exclusively on referral. When you do good work and earn the respect of your clients, they will want their loved ones, co-workers and friends to work with you. You need fans in your business too.
Life is all about perspective. It is not until we push the limits of what is possible that we uncover strengths and skills we never knew existed. Don't let arbitrary barriers stand in the way of your ambition, dreams and goals.
Coaching:
Marathon-Last year I would have said there weren't any sports more solitary and simple than running. I started training in June by myself. About a month in, I realized that I was lost. I wasn't sure how much to train, when to train, where to train, or what to train. It wasn't until I spoke to one of my wife's friends who has run several marathons (we will call her Coach) that I could wrap my mind around the task at hand.
Problem: I was never sure how long or often to run.
Solution: Coach gave me a weekly schedule of runs.
Problem: I could never carry enough water in a bottle for my long runs,
Solution: She told me to wear a Camelback water backpack.
Problem: I got tired on long runs.
Solution: Take Powerade Gel packets every 6 miles.
Problem: My feet would chafe against my socks.
Solution: Glide.
When it came time for the marathon, I went looking for more advice online. I was bombarded with advice (sometimes conflicting) about supplements, equipment, length of training runs...you name it. I got worried so I called Coach. Every question I posed, she repeated one question.
Me: Should I use an electrolyte patch?
Coach, "Did you use one in training?". No.
Me: Should I take Gel packets every 3 miles?
Coach: "Did you do that in training?" No.
I quickly began to realize that 4 months of training was to get your body ready for what to expect on race day. Therefore give your body exactly what it expects on race day. The advice was invaluable.
Real Estate -Real estate can be a very solitary profession. No one will go on the appointments for you. You also have so many options on how to run your business that it can be extremely complicated. The best advice is to get advice. Not just any advice. Find a trusted partner, who knows your business personality and is willing to listen. The right coach/mentor/manager can help your career.
Divide and conquer:
Marathon-No question about it running for 4 plus hours is hard work (mental and physical). An hour into the marathon I crossed the 6 mile mark, I was hurting, there was still 20 miles and 3 plus hours to go. At that moment, a runner behind me yelled, "Great! We only have 10 2mile runs left!". I instantly understood what he meant. This big task can be broken up into smaller more manageable parts. At the 13 mile marker, we were half way home. At mile 17, single digit miles left (9). During training, my wife and I did a 5 mile run along the Chesapeake Bay. It was an effortless scenic run. So at mile 21, I thought back to that run. "5 great miles". This enormous challenge (26.2 miles/4+ hours) became a handful of doable tasks.
Real estate-You too can break down a real estate career into daily activities. How do you sell 20 homes in one year in real estate? Its simple...Daily tasks. Make 3 phone calls, write 3 personal notes, mail one marketing piece to a client, and meet with one client for lunch. The daily tasks will accumulate into weekly appointments. Those weekly appointments will turn into monthly closings. We tend to complicate the business at hand. Keep it simple, but keep it consistent and success will follow.
Goals:
Marathon-Last year, if you told me to go run until I couldn't run anymore I would probably run for 30 minutes then quit. Without a bigger picture, it is hard to get mind and body in sync. 10 months ago I gave myself a goal. On Oct 31, 2010 I will run (not walk) 26.2 miles. I had a singular focus: finish the Marine Corp Marathon. Running 25 miles wasn't going to do it, nor would running 26.2 miles on November 1. One day, one distance. Throughout my training I was able to modify the time I thought I would finish the marathon. Initial I hoped to finish in 4 hours, a month later it was 4hours 30 minutes. The week before the marathon, I felt I could run it in 4:20. Then after I stubbed my toes and strained my calf, 4:50 was my new time. When the alarm clock rang at 5:30 am on Oct 31, I knew exactly what I had to do. At the beginning of the race when runners ran by me, I knew I had to set my own pace and not try to chase them. At mile 20, when it seemed like everyone around me began to walk, I knew I was not going to walk, no matter what. My goals became personal laws that I had to abide by and live within.
Real estate-Goals work hand in hand with your daily tasks. One is pointless without the other. Create goals and stick to them. We tend to give up on our goals too soon because they do not come to fruition immediately. Agents tell me they want to work with more listings next year, or more buyers, or relocation clients. You need to be prepared that your consistent efforts may not produce results for up to 18 mos.
Injury:
Marathon-I hurt my left calf the week leading up to the marathon. I was worried, anxious and somewhat depressed. 4 months of training, entry fees, time away from my family, weekends sacrificed...Was I NOT going to run? My wife answered the questioned succinctly, "You are going to run and finish this marathon." She had to say it a couple times during the week, but those simple words became my mantra. As soon as the race started, my calf began to hurt. I looked up and there was a US Marine running with a shirt that said "Pain is weakness leaving the body". I envisioned that the pain of my calf was actually making me stronger. It sounds crazy, but I got my mind to convince my body that the pain was actually making me run stronger.
Real estate-Bad things happen and they happed when we least expect it. Sometimes it seems like they happen at the worst time or they pile on. Many bad things are unavoidable. What is avoidable is focusing on those "injuries". Surround yourself with positive people, read a good book like Raving Fans or Energy Bus, find inspiration from others...
Days off:
Marathon-One of the most critical parts of training is NOT training. Your body needs time to recover. Muscles need to recoup as well as your mind. Training everyday without breaks can make you HATE running.
Real Estate -I hear fellow Realtors brag that they haven't had a vacation in 5 years. A rested body, mind and soul is a productive one. The opposite is true as well. An overworked, tired, and depressed Realtor is not one I would want to work with.
Fans/Support:
Marathon- I carried little inspirations from my children and wife with me. Before I left the hotel room the morning of the race, my 4 yr old son rolled over and kissed my arm. He said that it was a "running kiss". When I was hurt, I would think about those "running kisses". When I was tired I would think about my 2yr old riding in the jog stroller for some of my training runs. When I was uncertain about finishing, I would think about my 6yr old daughter wanting to run a marathon with me someday. The best part of the Marine Corp Marathon is the finish. There were thousands of screaming spectators, US Marines lining the road, and of course my family.
Real Estate-My business has been built almost exclusively on referral. When you do good work and earn the respect of your clients, they will want their loved ones, co-workers and friends to work with you. You need fans in your business too.
Life is all about perspective. It is not until we push the limits of what is possible that we uncover strengths and skills we never knew existed. Don't let arbitrary barriers stand in the way of your ambition, dreams and goals.
Tuesday, December 14, 2010
Friday, August 27, 2010
Renters Beware
I would first like to thank Terry Hogan at the Olney Gazette for listening to my concerns and writing an article about this problem. Please read the following article about Craigslist scams on rentals:
Real estate agents are warning residents to use caution when using Craigslist to search for houses to rent, saying some of the properties they are trying to sell have ended up on the online site as rental properties.
A Montgomery County Office of Consumer Protection official says he is aware of this type of scam and warns users to be careful when using such Internet sites.
Attempts to reach Craigslist for comment were unsuccessful.
Denise Fox, an Olney Re/Max agent, said she listed a house for sale in a Mount Airy senior community on several websites, including Craigslist.
She said someone used the pictures she had posted on her listing and posted the property as a rental property, "listing it for a ridiculously low price to make people want to act quickly."
Although she did not list a second property in Frederick on Craigslist, it appeared online as a rental, she said.
She said people began driving up to the house, looking to rent it. She eventually placed a sign in the front yard stating that the property was not for rent and the Craigslist ad was a scam.
She said both incidents were similar — the person posing to rent the property said he had to leave the country quickly and therefore was unable to find someone he trusted enough to leave the key with. After receiving an application, complete with personal information, and a security deposit, he would make arrangements to send the key.
"I believe they must be getting money out of this, because they continue to do it," she said.
She said her clients, especially the couple living in the senior community, were shaken up by strangers knocking on their door.
Fox said she likely will continue using the free, online classified site.
"I will carefully monitor it, and if any of my listings show up I will flag them, and Craigslist will pull them immediately," she said.
Michael McGreevy, branch manager at Olney Long and Foster, said agents in his office also have found their listings and photographs as rental properties on Craigslist, and the listings typically follow the same scenario — hot property; need deposit quickly; will send the keys overnight.
"At least once a month I have an agent come tell me that they are getting phone calls for one of their listings that was listed as a rental on Craigslist," he said.
He said the problem has been going on for more than a year, but has become more pervasive during the past six months.
Joe Buffington, manager of Olney Re/Max Realty Centre, said the company has asked its agents to monitors Craigslist carefully.
Buffington said that if something is too good to be true; it probably isn't.
"You need to find out who you are renting from and who owns the house before you hand over any money," he said.
Eric Friedman, director of the county's Office of Consumer Protection, said that although the county does not have a lot of reports of this type of scam, it is aware of it.
"You just have to be careful," he said. "Craigslist is like the wild, wild West, as is eBay. A lot of good things happened in the wild, wild West, but there were also a lot of pitfalls. You never know who's at the other end of an online transaction."
He said all rental properties must be registered with the county's Department of Housing and Community Affairs, and landlords must be licensed.
Real estate agents are warning residents to use caution when using Craigslist to search for houses to rent, saying some of the properties they are trying to sell have ended up on the online site as rental properties.
A Montgomery County Office of Consumer Protection official says he is aware of this type of scam and warns users to be careful when using such Internet sites.
Attempts to reach Craigslist for comment were unsuccessful.
Denise Fox, an Olney Re/Max agent, said she listed a house for sale in a Mount Airy senior community on several websites, including Craigslist.
She said someone used the pictures she had posted on her listing and posted the property as a rental property, "listing it for a ridiculously low price to make people want to act quickly."
Although she did not list a second property in Frederick on Craigslist, it appeared online as a rental, she said.
She said people began driving up to the house, looking to rent it. She eventually placed a sign in the front yard stating that the property was not for rent and the Craigslist ad was a scam.
She said both incidents were similar — the person posing to rent the property said he had to leave the country quickly and therefore was unable to find someone he trusted enough to leave the key with. After receiving an application, complete with personal information, and a security deposit, he would make arrangements to send the key.
"I believe they must be getting money out of this, because they continue to do it," she said.
She said her clients, especially the couple living in the senior community, were shaken up by strangers knocking on their door.
Fox said she likely will continue using the free, online classified site.
"I will carefully monitor it, and if any of my listings show up I will flag them, and Craigslist will pull them immediately," she said.
Michael McGreevy, branch manager at Olney Long and Foster, said agents in his office also have found their listings and photographs as rental properties on Craigslist, and the listings typically follow the same scenario — hot property; need deposit quickly; will send the keys overnight.
"At least once a month I have an agent come tell me that they are getting phone calls for one of their listings that was listed as a rental on Craigslist," he said.
He said the problem has been going on for more than a year, but has become more pervasive during the past six months.
Joe Buffington, manager of Olney Re/Max Realty Centre, said the company has asked its agents to monitors Craigslist carefully.
Buffington said that if something is too good to be true; it probably isn't.
"You need to find out who you are renting from and who owns the house before you hand over any money," he said.
Eric Friedman, director of the county's Office of Consumer Protection, said that although the county does not have a lot of reports of this type of scam, it is aware of it.
"You just have to be careful," he said. "Craigslist is like the wild, wild West, as is eBay. A lot of good things happened in the wild, wild West, but there were also a lot of pitfalls. You never know who's at the other end of an online transaction."
He said all rental properties must be registered with the county's Department of Housing and Community Affairs, and landlords must be licensed.
Wednesday, May 12, 2010
Post Credit Deadline...Whats Going On?
If our real estate company is any indication of the real estate market post credit....
Things are going to be OK. So 12 days into the world of "no credit" real estate, we have created 13 new contracts (about 1/day). The credit was a very helpful and good thing, but it wasn't the only reason to purchase a home. Jobs and good interest rates are by far and away the 2 biggest incentives for buyers.
I don't believe that these 13 buyers were procrastinators, nor do I think they were unaware of the credits available if they had only put in their offers 2 weeks earlier. These are buyers who are making LONG TERM decisions based on a multitude of factors. That is a great sign! Sure $6500/$8000 is a lot of money, but its not enough incentive for buyers to buy the WRONG home. And that is OK.
Things are going to be OK. So 12 days into the world of "no credit" real estate, we have created 13 new contracts (about 1/day). The credit was a very helpful and good thing, but it wasn't the only reason to purchase a home. Jobs and good interest rates are by far and away the 2 biggest incentives for buyers.
I don't believe that these 13 buyers were procrastinators, nor do I think they were unaware of the credits available if they had only put in their offers 2 weeks earlier. These are buyers who are making LONG TERM decisions based on a multitude of factors. That is a great sign! Sure $6500/$8000 is a lot of money, but its not enough incentive for buyers to buy the WRONG home. And that is OK.
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