Wednesday, July 31, 2013

When agents show your property…


By: Julius F Zatopek III – Broker/Owner – Zatopek Properties

When real estate agents show your property, wouldn’t it be nice to know what their clients really thought?  Wouldn’t it be nice to know that they actually showed up?  Wouldn’t it be nice if they showed up during their scheduled time?  Wouldn’t it be nice if they scheduled the showing within a one-hour window, versus two or three?
These are just some of the complaints sellers typically voice when they have their property listed for sale and an agent schedules an appointment.

Wouldn’t it be nice to know what the agent’s clients’ really thought about your property?  Maybe not!  However, it would be nice if all real estate agents would extend the professional courtesy to the listing agent, and more so to the seller, and give some type of feedback within a reasonable amount of time (i.e. 12 hours or less) after showing the property to their clients; especially when asked.  Most listing brokers use some form of automated system to schedule appointments and send feedback requests via email or text to showing agents.  When the showing agent does not respond, the system generally sends them another request – sometimes up to four times in a 24-hour period.  If the showing agent does not respond to any of the requests, it is not only irritating to the seller and listing agent; it also displays a total lack of professional courtesy and lack of professionalism by the showing agent.  Any feedback, whether positive or negative, is very much appreciated by the seller and listing agent.  Even totally honest feedback – for example:  I had a property listed with a gallery of windows from the master bedroom t o the kitchen, which ironically extended right past the front door.  An agent showed the property to her clients who informed her they like to walk around in the nude and would be afraid they may offend the neighbors who could see into the gallery!  Obviously, there is nothing the seller can do to correct the situation – however, at least they knew exactly why their property did not appeal to these particular buyers - and we all had good laugh, as well!
Wouldn’t it be nice to know if the agent actually showed up with their buyers?  Believe it or not, it is against the Houston Association of Realtors MLS Rules & Regulations for an agent to leave a business card, unless the listing agent informs the showing agent is asked to do so.  Without going into detail about the reasoning, I actually agree with the rule and never ask showing agents to leave business cards; even though some irresponsible and unprofessional agents who do not keep up with the rules & regulations still leave them!  Anyhow, there are multiple other ways to know if the agent showed up or not, but nothing beats feedback from the agent as mentioned earlier.

Wouldn’t it be nice if showing agents showed up during their scheduled time?  And, wouldn’t it be nice if they scheduled the showing within a one-hour window, versus two or three?  Without harping on the unprofessionalism of some showing agents, of course it would nice for showing agents to show up on time and within a one-hour window.  It is not very difficult to plan your showings and have a pretty good idea of when you may arrive.  Those that don’t obviously struggle with organization and planning – and if that’s the case, I feel sorry for their client since this agent is going to be handling one of, it not the largest financial investments for them.  I would like to have someone with that type of responsibility on my behalf to be organized and now how to plan.  However, in defense of most agents, sometimes things do happen and they will fall behind schedule.  If that is the case, most will call the showing service and inform them of their new scheduled time.  One other note about the one-hour window – many sellers feel the agent will be showing the property within this window – and most times they do – however, it merely means the agent will arrive sometime within that scheduled hour.


I made mention many times to the unprofessionalism of agents in the above article.  I do want to say that this is typically not the norm.  Most real estate agents I know are extremely professional and will go out of their way to extend their professionalism to all parties in a transaction and within our industry – and to all of you – THANK YOU!
For more commentary from Julius, pick up a copy of his book entitled “The Truths and Myths of Real Estate” – available at LuLu.com at:  http://www.lulu.com/shop/julius-zatopek/the-truths-myths-of-real-estate/paperback/product-21118216.html

Tuesday, July 23, 2013

Understanding Homeowner’s or Property Owner’s Associations (HOA/POA) when buying or selling a residential property

Most planned residential communities have a Homeowner’s Association with Restrictions, Covenants, and By-Laws that are designed to keep the original integrity of the neighborhood in good standing; and most do an excellent job of doing so, especially in our area.
When purchasing a home in a residential community with an HOA or POA, it is important that you are first made aware of the membership requirements.  Most communities have mandatory membership, but a very select few have voluntary membership.  The type of membership should be disclosed in the body of the purchase agreement, such as in paragraph 6.E. (2) of the One to Four Family Residential Contract (Resale) promulgated by the Texas Real Estate Commission (TREC) form # TREC 20-11.  It is extremely important that the purchaser read and fully understands this paragraph.   
Within the body of the above mentioned paragraph, it states that the buyer has the right to obtain a copy of the Restrictions, Covenants, Regulations, and By-Laws, which are all readily available at the County Clerk’s office as publicly recorded documents.  It also mentions a Resale Certificate, which includes along with other things the amount of assessments and frequency of such assessments, any lawsuits pending, etc.  In my opinion, the Resale Certificate is by far the most important piece to these documents; for it may disclose a transfer fee, a processing fee, the annual assessment, a special assessment, a reserve fund fee, etc.  These fees will most likely be payable upon closing of the property, or at least prorated in some instances.  At the bottom of this paragraph, in bold type, it states that if the Buyer is concerned with any of these items, then the TREC promulgated form #36-7 “Addendum for Property Subject to Mandatory Membership in a Property Owner’s Association” should be used.
Herein lies a few common misunderstandings of the paragraph in the purchase contract and the use of the Addendum:
First – the paragraph in the purchase agreement does not specify who pays for the retrieval and delivery of the documents.  There is generally a fee within the range of $150-$500, depending on the community and the documents requested.  Therefore, the Addendum should be used to specify what is requested and who pays, so there is no misunderstanding.
Second – Many communities make it mandatory for property owners to obtain the Resale Certificate – and some also have a mandatory Certificate of Compliance (such as in Greatwood) – that the seller must obtain and deliver to a potential buyer prior to closing.  Again, the use of the Addendum is almost required to specify the documents requested and the obligations for payment.
Third – The Addendum is a notice from the buyer to the seller of the documents requested and who is going to pay for these documents – not the other way around.  This is by the far the biggest abuse of the use of the form by Realtors, especially in our area.  Many listing agents/brokers will pre-fill the Addendum form and supply it with the seller’s other disclosures.  It is not a disclosure – disclosure was satisfied in the paragraph of the purchase agreement – this is a notice from the buyer to the seller and should be completed by the buyer, not the seller, and presented with the offer; just as it states in the paragraph of the purchase agreement in bold type.  Whenever I see an Addendum form pre-filled by a listing agent, I feel the agent is violating many of the National Association’s Codes of Ethics and misrepresenting the seller’s best interest.  I will not go into detail, but this form is specifically designed for the buyer to make his/her request to the seller to supply the documentation.  The Addendum has negotiable items within the context of the form, such as who pays, and should be treated as such.  Personally, I feel a seller should feel obligated to readily supply a potential buyer with all the requested and required documentation at the seller’s expense.  It should be calculated as part of the seller’s estimated closing cost; and a good real estate agent/broker will inform the seller of these potential expenses up front when taking the listing agreement.

For more commentary from Julius, pick up a copy of his book entitled “The Truths and Myths of Real Estate” – available at www.lulu.com

Monday, July 15, 2013

River Park - Land Clearing

What's going on with all the clearing of land by River Park? Amanda Jensen with CIA Services was kind enough to fill me in - 54 Acres have been platted for 138 single-family home sites as an expansion of River Park called "Enclave at River Park". Currently, homes will be built exclusively by MI Homes - Streets and infastructure should be completed by the end of the 3rd quarter or beginning of the 4th; and homes should start to appear by the end of 4th qtr 2013, or early 1st quarter of 2014.


Thursday, July 11, 2013

2013 Mid-Year Report - Greatwood

Home sales in Greatwood have been incredible in 2013!  The total number of SFR (Single Family Residences) that closed in the first half of the year was 115, compared to 103 during same time period the previous year; up over 10%.  Prices have also continued to increase with the average sales price for the first half of 2013 being $295,977, or $98.59 per square foot - compared to last year's average of $281,625, or $93.19 per square foot - up almost 5%.  The average DOM (Days on Market) for the same time periods was 37 days in 2013, compared to 58 days in 2012 - a 36% improvement!

So why are home sales so brisk in 2013?  In my opinion, it's simply basic economics of supply and demand.  There are over 4,200 homes in Greatwood and average inventory has hovered around 30 for the past several months; less then 1%.  With the rapid growth of Southwest Fort Bend County, the improved mobility with the expansions of I-69 (Hwy 59), Grand Parkway, Crabb River Road, etc., the new schools, medical facilities, historically low interest rates, and so forth - it has created a high demand for master-planned housing in the area.  With the high demand, and low inventory (supply) - it's only natural that prices will increase and days on market will decrease.

Speaking of DOM (Days on Market) - it is not uncommon, in today's market, for homes that are priced right and updated to receive multiple offers within a matter of days; or even hours, of hitting the market.  Many prospective buyers have lost out on homes that they wanted because they either could not make time to view the property the day it hit the market; or they thought they could make a "less than market value" offer and get the property.  Not in today's market - with multiple offers, you generally have one chance to make a good impression with a realistic offer to a seller that has a home priced correctly and that is in good condition with nice updates.

The charts below are provided as on overview of the Greatwood home sales in the first half of 2013.  If you are thinking of selling your Greatwood home and would like a more detailed analysis of your personal property, please don't hesitate to contact me.

Greatwood SOLD Properties - January thru June 2013















Single Family Residences (SFR) - 115 Properties Sold 1/1/2013 thru 6/30/2013
 SqFtBedsFBHBList PriceLP/SqFtSale PriceSP/SqFtAdj. Sale PriceAdj. SP/SqFtSP/LP %DOMCDOMYear Built
Min185022017500071.8816750069.8116650068.1388%001989
Avg30023.912.520.71303439101.0829597798.5929431498.0498%36.9363.351997
Max60005531050000175925000161.05925000161.05104%2855202007
Median276642125990094.5325000094.1125000093.2998%17221997















Townhomes - 7 Properties Sold 1/1/2013 thru 6/30/2013
 SqFtBedsFBHBList PriceLP/SqFtSale PriceSP/SqFtAdj. Sale PriceAdj. SP/SqFtSP/LP %DOMCDOMYear Built
Min148422015290086.9514800086.9914590186.9993%552001
Avg17892.8620.43183757102.7117817199.5917775499.3697%51.4351.572003
Max2529321219900117.5220000110.16220000110.16100%1481482004
Median1634320178500107.1174000106.18173500105.9997%15152004


















Current Inventory* - SFR



















Actives - 37 Properties Found




 SqFtBedsFBHBList PriceLP/SqFtDOMCDOMYear Built




Min201022019000081.62111990




Avg34464.052.780.84382172110.952.8986.971998




Max6169552699880162.2436615022007




Median3390431364900105.4134381998



















Option Pending - 8 Properties Found




 SqFtBedsFBHBList PriceLP/SqFtDOMCDOMYear Built




Min215132022490095.26111990




Avg30163.752.50.5341038113.0811.63121998




Max4382541479900127.9756562007




Median2759420.5314900109.364.551999



















Pending Continue to Show - 14 Properties Found




 SqFtBedsFBHBList PriceLP/SqFtDOMCDOMYear Built




Min216232021200083.77001992




Avg315642.710.64325886103.2617.1417.211998




Max4332541565000132.5752522005




Median287643126495097.5977.51997



















Pending - 14 Properties Found




 SqFtBedsFBHBList PriceLP/SqFtDOMCDOMYear Built




Min201032020000085.07111990




Avg28404.142.430.57288543101.627.3627.361997




Max4100631434000122.221161162001




Median2783.5421267000105.6922221999



















Current Inventory* - Townhomes



















Pending - 1 Property Found




 SqFtBedsFBHBList PriceLP/SqFtDOMCDOMYear Built




Min2052321225000109.6542422000




Avg2052321225000109.6542422000




Max2052321225000109.6542422000




Median2052321225000109.6542422000
















All data used for the analysis of this report was derived from the information available in multiple listing service of the Houston Association of REALTORS®;
it is deemed to be reliable, but not guaranteed.  It should not be used as a determination of value for property; homeowners are urged to seek the assistance
of a well-qualified REALTOR® to determine current market value for their personal residence.  May factors, such as: location, condition, size, functionality, etc. 
should be considered when determining value of a specific property.















The information provided above is the property of Zatopek Properties and its agents.  It is not to be distributed by
any other real estate licensee, whether active or inactive.  Property owners with questions about the above data
may call or email Julius F. Zatopek, III, Broker/Owner, julius@zatopekproperties.com , (281) 342-1997.



















*Current Inventory as of noon, July 11, 2013