Trip around Lake Erie

Okay so I'm going to show you another side of myself. Yes at 50 I have joined the growing midlife crisis Harley crowd. Jack bought his motorcycle 2 years ago and we have been having a lot of fun riding around and going on short day trips. The great thing is he has this crazy thing for Harley shops. Where ever we go he has to go to the Harley shop and buy a T shirt. From the beginning he said anything I need to do with the Harley he will buy it for me! Good deal! So every time we go into a Harley store I get to go shopping. I have not taken advantage of this too badly. Got some great boots! Anyway we are planning this trip around Lake Erie. All this time of living here, I have never thought about driving around it. Of course he is traveling with the luxury queen so you know we won't be camping. I thought I would write about the trip as we go around the lake. We leave Wednesday and our first stop is Windsor Ontario. We are going to stay at the Caesars Casino resort. Sometimes when we check into a hotel all bikered up they don't react so well. Once a little girl refused to get on the elevator with us! We don't even have any tattoos!I guess the wind blown look is enough. So keep checking back I will keep you posted on this adventure! Right now I have to figure out how to pack 6 days worth of clothes in a saddle bag the size of a purse!

Update on Real Estate Financing

It is the old Chicken or the Egg dilemma, Catch 22. We are faced with a Real Estate crisis comparable to the Great Depression of the "30's" . So what does the Fed do but tighten all the loan products out there. They have put harder rules out to stop all these bad loans. The problem is common sense has gone right out the door with it.
Getting a commercial loan is like finding gold in the mountains. This is so stupid, because we have all these foreclosed homes that could become investments and retirement vehicles for those who still have a job. There are no investor loans out there that don't rob you blind. The banks that are giving investor or commercial loans want "A" property. New development. So what happens to all this foreclosed property? If you don't have cash you can't buy. I would love to take out my 401 k, whats left of it any way and invest it in one of these bank owned foreclosures. My goal would be to pay it off in the next ten years so that I might have a chance to retire and use the rental income to live on. The old days if you had 20 to 25% down on an investment property good credit,and a relationship with the bank you could get a loan on that property based on the income flow of the property. I just had a bank turn down a perfectly good loan because the bank decided they didn't like the property. The buyers had excellent credit and income. The property brought in more than three times the amount of the loan payment, the buyers have other income property, but no they turned it down 6 weeks after it sat on the banker desk! The terms were horrible. Either they were willing to give a 6.5% deal adjusted every three years amortized over 20 years but only a 15 year commitment with nasty pre payment penalties or a 4.25% one year adjustable with no pre payment penalties amortized over 20 year with only a 10 year commitment. Now I know some banks got burned,but the loans they were doing had no common sense. People with sketchy credit and unverified income got low down payment loans with nasty ARM adjustments. I am no rocket scientist but it seems to me that if we want to heal this housing crisis we need to put some loan packages together that are targeted toward getting rid of inventory. We can couple this with an incentive to buy the neighborhood foreclosure and use your IRA to fund it. This investment then becomes another investment tool for the future of the buyer.This will help fix the next crisis of a bunch of aging baby boomers with no income to support themselves in their golden years. Maybe we need to speak up and start a grass roots campaign before this crisis gets out of hand. If you can't finance these properties the values will continue to fall.
If you are going to buy one of these to live in you can get an FHA 203 k loan at 3% down and if you qualify you can get a 2% grant from OHFA so that you only need 1% to buy and then with the 203 k loan you can finance the repairs into the original loan. This avoids second mortgages and works extremely well. They should have this package for the investor but require 20% down. I feel if someone has shown good credit and the skill of owning rental property they should be able to qualify for an FHA 203 k investor loan. The problem is there isn't one. Maybe if we write our congressman and use the term FHA 203 K investor loan long enough they will make it happen.Kind of like putting the cart before the horse!

Cleveland City workers freedom to move elsewhere

I suppose if I have a Cleveland Real Estate Blog I should put my two cents in on the latest news regarding city employees having the right to live where they choose. Just that sentence alone puts it kind of in perspective in my book. Isn't that the idea of being an American and living in The United States? The right to live where you want to? The reality is that you probably want to live somewhere else but you can only aspire to live on the lake or in San Francisco etc. That is what our country is made of Aspirations, Goals, and Dreams. The consensus is that now that the city workers some 8000 I hear can move anywhere they would like to, the city might implode! Well out of my last five sales in Cleveland on one of them "had to live in the city". The family that "had to live in the city " would of bought there anyway. They are members of a church in a community of people that draws them there. The other four sales three of them were in the medical field and they wanted to be closer to work and save on the extra taxes you pay when you work outside the city you live in. The fourth one just happened to find the house he liked best in Cleveland. No matter what you say or how you spin it. You still get a lot for your money in the city. Cleveland has pocket neighborhoods some stronger than others. Westpark,Tremont,Old Brooklyn and Ohio City are examples of areas that continue to thrive. When you travel to different cities in other towns I have found that the successful ones have these little niche places. China Town and Little Italy (which we have)can be found in New York,Toronto, and even Detroit Michigan. Taking our common interests and letting them shine attracts more attention,business and economic development. Whether it is culture,art, or religion focusing on what makes an area tick is what will keep these communities strong. Rules to make people live in certain locations may have an small impact on value but I believe it will even out. As long as you get more bang for your buck people are still going to live in the City.(picture by Hector M. Vega)

The state of our Health Care

I recently had the opportunity to see first hand how our medical system is doing.
Since the first time buyer market has been so alive I am running as fast as I can trying to be everything to all and get every possible sale. We don't know what the future holds here in Ohio . Well I guess I over did it a bit. About a week ago I had chest pains. So I took and aspirin and a very nice glass of scotch and settled into a nice hot bath. This worked very well. Then a week later I had the same feeling chest pains anxiety, sweaty shaky feeling. I just read an article in More magazine (magazine for 40 an up)about women and heart attacks and how the symptoms are tricky. Jack my fiance and Lynn my girlfriend who works for the clinic talked me into driving to the hospital. I was really scared. I started to cry. I called me oldest son just in case he was around. When he answered the phone (which is rare) My little voice came out. You now when you try to talk normal and you sound pathetic! He was at work and said he would be right there. Of course I told Jack to stay at work because we don't want him to lose his job. Sometimes when I look back at the way I think I find it strange. Amazing my loved ones hang in there with me.
Once I got to the hospital I kind of felt stupid. Here I am dressed for work in a skirt and high heels. When I went to park they asked me why I was there . To get past the guard arm and into the parking lot I had to tell the guard that I am bringing myself to the emergency room. That was just weird. If it was someone else who said I AM TAKING HER TO THE EMERGENCY ROOM! It just seems okay then. I get in there and have to wait for triage. I am standing there thinking I might faint! If I do will I split my head open too! Finally someone comes out of the door to talk with a man and I say excuse me I think I am having a heart attack!
She says come with me so I follow her her thinking this is strange. My legs are shaky, I am a nervous wreck and I think I might cry. She drops me in front of a desk of nurses and doctors and says to them can you take this she thinks she is having a heart attack. One guy says follow me. So I do and my legs are still there they haven't gone out from under me yet. I am shaking but no one really seems to care. He gets to a room and he says to me to wait outside he needs to clean it up. Great. No one offers a chair. I am still shaking and my chest feels tighter and I am now crying
My phone is ringing Oh, I have a business call, I let it go to voice mail. In fact I just turn it off at this point.I am feeling like I might just sit on the floor right there in the emergency room, high heels skirt and all. I am a germ Phoebe though and the thought of what is on that floor keeps my head busy enough to keep me standing. Finally they put me in the room and I sit down with relief that I am not going to crash down on the floor. These people act like I know my part here. Finally this guy says we need you to take off you shirt and bra, we have to hook you up. Oh okay and that's when their little party started! I am a real scared cat when it comes to needles. Before I know it I have a needle in one arm electrodes all over me. They had me aspirin. Give me Nitro. Shoot my belly with something that really hurts. I have oxygen. My blood pressure is very very high. They keep asking questions about is this normal for me. Of course not!My son gets there and shortly after that Jack arrives. They are concerned. It takes a few hours to get me blood pressure down. I have my blood drawn every three hours always from a different source. They admit me it takes hours to get a room. I am going to share a room with a ninety year old lady. She looks very nice and excited about the company. Oh no this isn't good at all. They tell me they are going to keep me for observation.I tell them that's okay I can go now I feel fine. The tell me that I am not allowed to leave on my own free will. I have been admitted which really means committed. I have lost all free will. They poke and prod and draw blood. The room next door sounds as though there is a party going on. People talk in loud voices at 2 am nobody is allowed to sleep. What happened to those lovely nuns who tiptoed down the hallway shushing people to be quiet and the gentle touch of a caring person. I am a human pin cushion. I haven't had a drink of water,or food for over twelve hours. Jack tells me I am not a good patient. He gets me a Walkman so I can plug my ears and not appear to be unfriendly. he brings me a book and recharges my phone/blackberry. What a wonderful man I have found! He takes really good care of me. Now it is my goal to get out of there. They schedule me for a Sono gram of my heart. Finally it is my turn for this test. I pass with flying colors. I talk to this very charming heart specialist with a beautiful accent. I tell him that I liked my scotch treatment a lot better then his. He laughs and schedules me for an out patient stress test and thankfully releases me from that mad house. The sweet roommate of mine is sad to see me leave as I can't get out of there fast enough. I get home and sleep until the next day. This whole time I have manged to do business via blackberry. The first day back I am up and running like a hamster on the wheel all over again. Lucky for me Memorial Day is coming and I can get a little break! Never once while I was in that hospital did anyone ask me my preference of treatment. They didn't care if I was a vegetarian or if I wanted holistic care. It was drug upon drug upon drug. The nurses would show up and administer what the doctor told them. The doctor spoke to me maybe 3 minutes total once I was admitted. The emergency room nurses and doctors seemed more human to me. The emergency staff talked to me like I am a person. I will never go to the hospital again unless I am carried in or kicking and screaming. That is an ordeal that I hope I am lucky enough to avoid. There needs to be changes to this system beyond billing and giving available care. We need to bring some peace and comfort through those doors. I felt like I was trapped in a horrible medical experiment. It is very clear to me that these nurses are overworked. The stress on their faces were apparent. There was a big management meeting the day I was there and everyone was talking about it. I think they have too many Chiefs and not enough Indians. Everyone seemed fearful of losing their jobs. I gotta say the place was packed they certainly were working at full capacity from my standpoint. Somethings gotta give. Unless you are a big money donor to the hospital the care is comparable to flying coach. They squeeze as many in, offer few choices and cut the staff to bare bones. Not my idea a quality care!

Spring Market

As soon as The Obama $8k credit was issued the market thawed. I have been running seven days a week showing houses like it was 1985!! Thank you I am thrilled to be working hard again and selling property. It is still a tough market. The prices are still down and the homes that sell are either a rock bottom price fixer upper or the best priced and in the best condition. This goes across the board. All neighborhoods and prices ranges. The buyers out there wants a deal. If you find yourself thinking about selling the sooner you realize that you are going to take a hit on your price and make it up on the other end the faster you will get your home sold. I have seen pristine homes priced what seemed to be fair just sit there. If you are listed for sale and you are not getting showings the market is telling you that you are priced too high. I recently got engaged. My Fiance is getting ready to list his house. We have redecorated every room in the house. Added new carpet and a new roof. 10k later we are ready to put it up. Some guys don't get this( I'm lucky Mr Right got it) so I always tell them if you were going to sell a car what would you do? The first thing they say is clean it and shine it up. Well that is what you have to do to sell a house too. Remember when your house is on the market you are showing it, living in it is what you do when you are not showing it!

Stimulus plan and the current real estate market

I am feeling optimistic for the first time in two years. Since Obama passed the stimulus plan I have been showing houses like the old days! I am working a 7 day work week happily. Whether you agree with this new president or this stimulus plan, I have to admit my phone is ringing. I feel like the market is picking up and that I may actually have a good year. This feels so much better than the downward spiral my business was experiencing. The good news is that all the pencil sharpening I have done will help expedite my recovery.

I don't know if the worst is over yet. I do know that I have seen some changes in the real estate industry since this downturn began. Gone are the days when an agent would run a contract to close it at midnight. Brokers opens that used to be packed with agents looking to see the latest listings, have become an outdated method of selling. Along with Thank Goodness! Open houses. Yes, you still can get a few buyers through and yes you can still sell a house through an open house. Open houses also have a bad side in that it invites complete strangers into your home to wander through, and depending how busy it is sometimes unattended. If the home is vacant it puts the agent in danger as we have just seen two attacks on Realtors in the recent news. The Internet has made it easier to view listings on line helping to eliminate a lot of homes that just would not do.

The biggest change is the way the agents are doing business. They have also lost that urgency. It used to be you would write a contract and get it presented usually in person. Now you fax it off or email it to the listing agent and wait to hear the outcome. With the invent of cellphones, email,text messaging,scanning the real estate agent can handle the contracts anywhere. In the past I have missed my sons second birthday party, Left a dinner party or a picnic, that I was giving, cancelled a date with friends all just to close a deal. Because when that buyer decided to write an offer it wasn't closed until delivery. Delivery meant that like superman I would drive through a snow storm to get an initial on a contract(which I have done).No wonder I've been divorced twice! Now we simply email it off and fax it forward. This is good news.

With all this technology we have also gotten some lazy Realtors out there. This past weekend I was denied 5 showings! With all the news about how hard it is to sell a house in this market you would think that you would at least be flexible about getting people in to see your home. I talked with several other agents and they have complained about the same thing. Some of these homes have been on the market for over 300 days. Maybe they are just tired of showing it. One was removing wallpaper so we rescheduled. There are still some many houses on the market that you don't always get a second chance. If I try to show it a second time and they can't accommodate me I just take it off the list. One agent I talked with said, oh well my buyers wrote on something this weekend(lucky her) so whoever denied a showing lost out.

There have been big changes over the last ten years. I think that this market has made me a stronger agent. The thought of a seller having to write a check at closing to get their home sold used to be unfathomable. After losing money myself and taking the hit I can only sympathize. It just is, what it is! I have watched people pay off their credit cards with the equity of their home and live large off the equity and expect to sell with no consequence. I find myself saying frequently I am no magician! Hopefully this stimulus will get buyers not only out there but buying. That will help get things moving such as the banker and the title company, the movers and the carpet industry. When people buy new homes thry spend more money in decorating, and landscaping ect. Hopefully this will employ more people which starts the cycle moving round and round instead of plunging further down. I am no economist. I do believe if people are buying homes, that means people are spending money on other things related to their home purchase.
I'd love to hear your comments! Sandymaline@gmail.com

Our Political system

Is everybody crazy out there? I am so appalled by the corporate and political greed. There is no shame in what we used to call white collar crime. Not only have these large corporations robbed their companies blind but it as if they are raising the bar on white collar crime. They even have the audacity to ask our government to bail them out!! Then we vote in a new president whose entire campaign was around stimulating the jobs of the middle class. The republicans stood on the podium and took pieces and parts of the bill and made jokes about it. For instance there was some money appropriated toward wetlands in California. Part of this project was to get a certain rodent that is good for that environment back to a healthy number. This senator (I don't remember which one) called it a 3 billion dollar bill for rodents! That is not what it was but if you are a senator and don't feel like reading the 1000 page bill all through the night you might have believed him. This is not fair or healthy politics. I would hope that they would sit down and go over line by line of this 1000 page bill together and work out what is best for all of us. Instead they stood on podiums and picked things apart so that the truth and the problems were too hard to see. I don't believe this is what our fore fathers had in mind. I believe when Barack Obama talked about partisanship he meant working together. This wasn't working together on either side. How can you work with someone when they are taking pieces and parts of a bill and making a mockery of it. Maybe it is time for the common man to start having the opportunity to hear all these bills that are to be passed by the government. It is the computer age! Why can't we put a copy of this bill in front of the senate out there for all to read. Why can't we update it as things are negotiated. Why can't we cast an Internet vote about how we feel about these things. We are the ones paying for it after all! Let me know what you think! Sandymaline@gmail.com