The Facts May Not Always Be The Whole Truth

Many people falsely assume that when one gathers the facts, he always finds the truth. While many times that may turn out to be the case, there are many other times when facts don't lead someone automatically to the truth. Pete Townsend wrote, "The facts don't always reveal the truth, but the truth always reveals the facts." Although, at first, this may seem somewhat inconsistent, in far too many instances it is the case.

1. Not all situations are automatically "black and white" matters. In many real life instances, there are often cases where there is far more "gray." Statistics, for example, are often manipulated to offer a certain desired set of facts, but those facts are often not the entire story. How a survey item for a poll, for example, often determines the results that might be gathered. For example, in today's world, most of us have been, at least somewhat, adversely impacted. Therefore, if the question asked, "Are you satisfied with the economy?," nearly everyone would answer no, and the number would show a large dissatisfied situation. However, if questions such as, "Do you agree with the President's approach towards the economy?," the numbers might show different results. But, if the question was, "Do you agree with the President's approach, the opposition party's approach, or neither?," we most probably would get an entirely different set of responses. It then, of course, depends on who is being asked, and how the data is being collected. Another example might be that it might be a fact that membership, for example, diminished during someone's tenure in office, but does that make the truth that it had to do with that person's leadership? Or was the situation inherited? As you can see, there are a number of variables involved.

2. On the other hand, when something is the truth, all the facts must align with that truth. Truth is based on legitimate facts, and the legitimate and honorable handling of those facts, as well as the ability to accurately interpret things. So many leaders fail to achieve their objectives because they simply see a set of facts, and those facts end up forming what they perceive as truth. Truth is composed of various and numerous facts, and without the training to interpret them, or the commitment to research the details, or the integrity to utilize those facts in a non- biased, non- prejudicial manner, many individuals in leadership mishandle facts to "prove" their version" of the truth. Honest and real truth cannot and does not have versions - it is simply the truth!
How many times have we heard people use a certain set of facts to justify or prove their point of view. Just because a particular set of facts might be interpreted in a certain manner, that does not make that the truth.

On the other hand, beware of those who abandon the facts for the sake of expediency or personal gain. Factor in the facts, adhere to truth and absolute integrity, and do so in a way that integrates the entire, bigger picture, as well as ramifications.

Whose Expectations Do You Live Up To?

Have you ever noticed how few individuals actually appear happy, or satisfied with themselves and their lives? Even the majority of those many consider successful in their field of endeavor, often seem unhappy, or even somewhat miserable? Do you strive to meet or exceed your expectations, or the expectations of others? How much time and attention do you pay worrying about, or thinking about, or pondering what others think about you or what you do, as opposed to committing to absolute and meaningful introspection? Do you do what you might consider the best course of action, or because that's what others do, or how everyone else does something?

1. Are your goals and expectations yours, or others? The most important thing for each of us to consider and remember is that you can only control yourself and what you do, and aspire to achieve, and, while one might hope to positively influence others, the only one you can really control, and are actually responsible for, is yourself! Beware of playing "follow the leader," because solely because someone else may be in a position of leadership or influence, often does not mean that he is even close to perfect, and automatically correct. Each of us must make our own personal decisions, and must assume responsibility for what we do, attempt, aim for, or expect! Don't let what others do, say, etc., be your only consideration! How much time do you commit to personal introspection, positive expectations, and creating and preparing a personal action plan that aligns with what you wish to achieve?

2. If you commit to excellence, and maintain a truly positive attitude, your expectations should be both progressive and meaningful. If you fail to believe that you will be great (and better than the norm, or crowd), the reality is that there is little chance to achieve greatness. Whatever one's mind conceives of, and actually perceives, will usually direct what is achievable! Unless your goals are your goals, why would they motivate you? Why would you expect someone else's goals to motivate you to persistent and consistent actions and behaviors?
Each individual has his own personal perspectives. These inner feelings, thoughts, goals and mindset, are normally our greatest influencers! Are you willing to take personal responsibility for every aspect of you, and your behaviors and actions? This begins with how you anticipate what will happen, which transform to your expectations, which often control your behaviors and feelings. Only when you opt to strive to live up to your own expectations, rather than those of others, can you become the best you can be!

How To Select A Consultant?

Many individuals represent themselves as qualified consultants. These people often represent themselves as experts in specific fields of endeavor, with special skills, knowledge and expertise that makes paying their sometimes exorbitant fee justifiable, and even a necessity. Many so called experts are simply trying to set some product, service or program that often benefits the consultant to a greater degree than the organization.

If one is searching for a consultant, I would strongly advise staying away from any consultant who insists on using a one size fits all approach. A good consultant is an effective listener, who thoroughly listens before making any recommendations or proposals. I have witnessed far too many so called consultants who made self serving recommendations that ultimately are harmful to their clients. In my three decades plus of consulting, I have worked hard to develop a reputation for always placing my clients first. I steadfastly object to those that soil the reputations of all consultants by acting in unscrupulous manners, and hurting the image of the many honorable and reputable consultants.
When considering retaining a consultant, it is essential to get recommendations from others. However, like so many other times, the individuals given for recommendations are either friends or others that are certain to only give glowing recommendations. Consultants should dedicate themselves to their clients, and serve the need of their clients.

It is the responsibility of a consultant to listen thoroughly before making any proposal. Each organization has a different ethic and culture, different needs, different financial considerations, different demographics, and different membership and leaders. Professional consultants have learned to always collect their fee up front, because otherwise it may be difficult to give an unbiased and honest opinion. After observing and listening thoroughly, a consultant must help the organization to create a risk/ reward chart, and be certain that the leadership of the organization fully understand and appreciates the complete ramifications of all actions. Consultants must also be able to explain that doing nothing is in and of itself, taking an action. I believe that a good consultant needs to explain to an organization's leadership that taking no action very often has far more dire and adverse results that even taking the wrong action. Far too many organizations do many things less than optimally. They often budget incorrectly, do not see the big picture, spends too much on certain items and too little on others, and almost universally, spends an inadequate period of time effectively training its leaders.
Many organizations can benefit from using the services of a consultant, but it must be the right consultant. Choose wisely.

Happiness Comes From Helping Others (& Making a Real Difference)

The Founder of the renowned civic organization, Grand Street Boys, the late Judge Jonah Goldstein was fond of saying, "Happiness is the one thing in life that multiplies by division. The more you give to others, the more you have for yourself." Goldstein used this expression repeatedly at meetings in the 1940's. If everyone followed this, wouldn't the world be a better place? Dictionary.com offers two definitions for happiness: "1. the quality or state of being happy 2. good fortune; pleasure; contentment; joy." At the same time, Dictionary.com offers three definitions of happy: "1.pleased or delighted 2. pleasing 3. bringing good luck; fortunate." Obviously, Judge Goldstein felt strongly that for one to be truly happy, he must repeatedly bring joy to others as well as himself, thus providing one with a sense of joy, pleasure, delight and contentment.

So many people today seem to follow the "What's in it for me?" philosophy. It seems that too many people today often only "do the right thing" if they believe it will somehow materially benefit them. However, when one realizes that many of the wealthiest individuals in the world are also amongst the most miserable, it takes far more than merely the accumulation of material things, or self- satisfaction, to bring about true happiness. How many truly happy people can you honestly say that you know?

Besides being a well known judge in New York, Jonah Goldstein was famous for founding a civic and philanthropic group known as Grand Street Boys. Almost all the members of Grand Street Boys were professionals- - most of which were attorneys. The legal profession has often been much maligned, yet it is one of the first professions or occupations with an organized methodology of "giving back" to the most needy, via the "pro bono" process. Attorneys are regularly expected to, and do, perform a certain amount of "pro bono," or free legal work, for those unable to afford the cost of legal representation. Judge Goldstein encouraged widespread discussion and fabulous debating during the Grand Street Boys meetings, and in an interactive manner, encouraged members to "give back" to society, in any number of manners.

Why are so many "troubled" individuals so very unhappy? Some people have attributed this unhappiness to a variety of items, including financial reversals, financial pressures, "personal problems," or the often-stated, "He's just not a very happy person." Yet, all evidence points to the fact that those individuals that appear to be "happiest" are often those that "give back" more to society and to mankind. "Giving back" does not have to be financial, but it can be. However, merely donating money generally does not create the level of happiness that non- financial volunteerism does. Think about the people you have met who are the happiest - - - aren't they invariably the ones who volunteer more, are more charitable, and/ or more philanthropic? Should this not be a valuable lesson to all of us, and to society, especially in these difficult economic times, when many worthwhile charities so much need assistance?

Doesn't this, at least partially, explain why so many seemingly successful individuals, still appear unhappy and unfulfilled?

Judge Goldstein was certainly a sage. He was an incredibly successful man professionally, yet he got more pleasure, fulfillment and happiness from "giving back" than from anything else. Wouldn't our world, especially in these troubling and trying times, be far better off if more of us emulated him?

Home Owners Should Realistically Price Their Home To Sell!

People come up to me all the time and ask, "How's the real estate market doing?" Although I would really enjoy giving a simple answer to this question, the real answer is far more complex. In certain parts of the country, the housing market has been stronger than in many other areas, although, prices are lower than they were at the peak of the market. However, many homeowners who list their homes have listed them at unrealistically high prices, and then been inflexible in terms of reducing their price. I have observed homeowners list their houses at prices higher than homes sold for at the peak of the market, and then becoming disappointed when their homes don't sell. Some homeowners explain their asking price by explaining how much money they have put into their homes, or how beautiful and exceptional their house is. Often, these same homeowners have owned their houses for many years, and they seem to conveniently forget how little they originally paid for their houses. Yet, the reality is that the price one receives for one's house is not related directly to how much one may have paid, or how much one may have put into the property. In the end, houses generally sell based on what buyers are willing to spend for the house, and that is generally related to the real estate market at that time.

These homeowners are generally hurting their own chances of selling their homes by listing their homes at unrealistically high prices. Houses that are "priced right to sell" from the start have a far better chance of selling than those priced too high. Today's buyers study the internet, and many realize what comparable houses are realistically selling for. A basic reality of real estate is that in most cases, the best offer a homeowner will receive for his house is received in the first few weeks after it goes on the market. New listings are "hot" to potential buyers, while houses that remain unsold often elicit questions from buyers as to what was wrong with the property - why it hasn't sold?

Many owners interested in selling their homes interview several real estate agents and brokers, and ask for recommendations as to pricing, as well as many other questions. Many owners want to believe the agent that tells them their house is worth the highest amount, as if saying it will automatically bring forth a higher price. Instead, owners should demand a professionally prepared Comparative Market Analysis, including pricing and a marketing plan from their realtor. In most cases, a homeowner will do best going with an agent that acts professionally, markets professionally, and justifies both the pricing, and how the marketing plan will work.

In addition, even if a "stranger from another planet" decided to pay an unrealistically high price for a house, most buyers need to get a mortgage to finalize the funding for the purchase. Lending institutions, for a number of reasons including some unwise lending decisions during the height of the real estate "bubble," are doing far more complete and conservative comparative market analysis of their own, and if this comparison (known as "Comps") do not justify the price being offered, the lending institution will deny that amount of funding because it does not "comp out."
Since for most individuals, their home is their most valuable asset, doesn't it make sense to objectively ask the same questions as an owner that potential buyers will ask? The main question should be, "How does this house compare with comparable homes in comparable areas in comparable condition? Owners should also ask, "If I were buying a home, would I pay that much for this house?"

How Do I Know When To Buy Or Sell A Home?

How does one really know when to buy or sell real estate? There are many factors involved, and without a crystal ball, you can't be 100% certain! Every day, the media publicizes a lot of confusing information, and it is very difficult for the average person to know what it really means.
We all know that during all of 2009, 2010, and 2011, and most of 2008, in most areas of the country, housing prices fell  in most areas by more than 30% since the height of the market. 2012 was a more stable year, and prices began to come back during the past two years. However, many people tend to forget that the real estate market has experienced these down cycles before, albeit usually not as severely. What is unique about this "cycle"is that the dramatic drop in prices has been accompanied by record low mortgage rates! While one would logically think that would create a buyers market, the combination of high joblessness and under-employment, combined with the lower stock prices, and extraordinarily tight credit market (making mortgage loans much more difficult to get), has caused buyers market pricing conditions but neutral market market conditions. The number of buyers has been inconsistent - especially the number of qualified buyers. Buyers realize that they do not have to act with the urgency that they did when the market was higher because there are very few bidding wars out there. It took sellers quite a while to realize, or at least accept the fact that they were not going to be able to sell their houses at the pricing when the market peaked, and thus many homes either did not sell, or sold only after numerous price adjustment (PC way of saying "price drops"), and the number of days a listed home remained on the market increased dramatically. However, understand that this is a region - by - region scenario, and therefore the purpose of this article is more to point out the uncertainties than to be specific.

Qualified buyers - - those with good credit (credit scores of 700+), at least 20% to put down, and sufficient demonstrable income - - got some "great deals." Lending institutions received billions to "bail" them out, but very little of this money went to loosening credit. Most of that money simply made the banks more profitable. The typical American's credit score was "arbitrarily" lowered because of how it is calculated, and the impact that most credit card companies lower the vast majority of individuals credit limits. This caused the credit ratios to change, and thus credit scores to be lowered. This, in turn, tightened the mortgage market even further, because individuals with seemingly good credit, saw their credit scores lowered because of bank policy that had nothing to do with them specifically. The continuous of this "circle of circumstances" was that this policy created even fewer qualified buyers, thus causing additional havoc in the housing market. Although mortgage rates have remained at or near record lows for a few years, other economic uncertainties (include the job market and world economy) have impacted home selling and buying patterns and perspectives.

The fear of the recession and the joblessness rate created many potential buyers to shy away from house hunting. The Federal first-time housing credit, combined with the extension and enhancement of the program to cover many that have held homes for more than five years, helped bring out some additional buyers. Since this program expired in mid-2010, there was, temporarily, an added incentive to buy a home. The indication that the recession has or is close to coming to an end, has created somewhat of an increase in consumer confidence, as has the general feeling that the joblessness rate has or neared its top, and has come down somewhat since 2011 (albeit that unemployment is still somewhat high, but of higher concern may be that under-employment has continued and the "real wages" indexes have had less than stellar results). Hopefully, consumers will continue to gain confidence, and the balance between supply and demand will be healthy enough to increase home buying in the next several months. The government has been indicating that it will exert pressure on lending institutions to make consumer loans, including mortgages, more readily available, which should also be a plus, but somewhat confusing signals have been received because of sterner government review of banks and their reserves, etc.

Therefore, with near - record low mortgage rates, somewhat low home prices, and a slight easing of the mortgage loan availability, there was a limited window for qualified home buyers to take advantage of a great circumstance, in the first half of 2010, that has been renewed to varying degrees since then. The real estate market, however, has been rather inconsistent since then, and appears to be in a "wait and see" type mode. Obviously, as the economy hopefully continues to improve, and consumer - confidence goes up, and mortgage rates eventually rise, and markets stabilize, the cost of home ownership will increase. A serious home buyer should take advantage of these conditions, before we return to less favorable buying conditions. Remember that the real estate market is cyclical, and there may not be a better time to buy a house for many years than there is today!

Why A Seller/ Homeowner Should Use A Real Estate Agent?

When one decides to offer his home for sale, he has the choice of either listing it with a real estate broker, or doing it himself. When one handles the transaction himself, it is known in the industry as For Sale By Owner (or FSBO), and the homeowner thus decides to handle all advertising, promotion, showing, listing and paperwork involved in the process. On the other hand, one can choose to use the services of a real estate broker.

When seller decides to use a broker, he has the option of giving an Exclusive Listing or a Multiple Listing. An exclusive listing means that the house will only be shown by the brokerage house that "signs" up the homeowner (thus exclusive). A multiple listing is when it is publicized via the Multiple Listing Service, and thus all Realtors in that state will have access to the listing. Obviously, statistically, homes that are on multiple listing sites will be seen by more potential buyers. I have seen many agents and/ or brokers that attempt to convince a homeowner that giving an exclusive listing will provide more incentive for that broker's agents, and while that might be true, I do not believe that in any way compensates for the reduced number of potential "views." Each homeowner must decide what is better for his situation.

The main reason usually given by homeowners as to why they decide to try to sell their home without using the services of a real estate professional, is to save on the commission. While it is true that a seller does pay a broker a commission, the homeowner should realize that the broker will be providing services such as advertising and promoting the home, exposing it to far more potential buyers through the real estate professional's network, vast exposure via the Multiple Listing Service, as well as other Realtor sites such as http://www.Realtor.com, etc., experience and expertise, screening potential buyers, pre - qualifying potential buyers, etc. In addition, statistics have consistently indicated that houses sold through a broker consistently fetch higher prices on average than those that don't, and thus the net amount of the proceeds will generally more than compensated for any fees or commissions paid.

However, a homeowner must feel comfortable with his broker and agent's abilities including especially marketing and negotiation, as well as advice. Anyone selling their home must be convinced that the professional they "hire" will have their best interests in mind, that the personalities and objectives are compatible, and that there is a comfort level.

Of course, since I am a Licensed Real Estate Agent in New York State, I may have a somewhat biased perspective on this matter, but I earnestly feel, that if a homeowner selects the right broker and agent for them, that it is certainly in their best interest to use the services of a professional. Statistically, even most people who begin trying to sell their homes themselves eventually turn the procedure over to a professional. Just as there is an adage that one should not represent himself in court, it often takes an objective professional, who has the right type of experience and expertise, to best represent anyone interested sincerely in selling their house.

Why A Buyer Should Use A Realtor?

While anyone interested in purchasing a home has the alternative of either doing it alone, or using the services of a licensed real estate agent, I heartily recommend use of an agent. Of course, some might say that my point of view is someone biased because I am a licensed real estate salesperson in New York State, I truly believe that a buyer's interests are better served using an agent.

However, each individual should find and locate an agent that he feels comfortable with, and listens to your wants and needs, and places your interests first. In New York, an individual has the option of using an agent either as a Buyers Agent or a Sellers Agent. The difference is that while both have legal and fiduciary responsibilities, and are legally bound to the truth, a sellers agent's allegiance is to the seller (or homeowner) while a buyer's agent represents the buyer's interests. For that reason and others, a buyer is a Buyer's Agent's client, while being a Seller's Agent's customer. In New York State, each buyer is to receive a Disclosure Form upon the first serious real estate discussion, and this form explains the different forms of agency. I believe that it is in the best interests of most buyers to be represented by a Buyer's Agent.

In today's internet savvy society, buyers are able to "look" online at publicly listed houses, and thus they can actually see much of the same information that the professional can. However, in most cases, the degree of detail is different, and professional, serious and qualify agents preview a large number of houses as they are listed on the market, and thus have a more three dimensional and realistic understanding of the house listed. Many houses appear better online than they do in person, and for some, one does not get the full perspective of a house from its listing. In addition, real estate professionals can answer questions for you about the area, including about transportation, school districts, shopping, etc.

A qualified real estate professional often makes a major difference for a buyer, especially when "hired" as a Buyer's Agent, in understanding and performing the necessary negotiating skills, understanding real estate "mentality," and once a "deal" is done, can usually offer excellent recommendations regarding real estate lawyers and home inspectors, etc. The professional can also often cut through some of the frustrating "red tape" that often "pops up" during the transaction.
Buyers should understand that the price of the house already includes the commission to any and all agents involved, and that it is paid out of the proceeds of the sale. That means that the Seller receives a net amount after the commission is deducted from the sale price.

A qualified professional can offer a buyer peace of mind, "hand holding," professionalism, and expertise. I highly recommend that buyers take advantage of those qualifications, with the warning that a buyer should feel personally comfortable with whichever agent he selects.

Why Buying or Selling A Home Is Often Confusing?

Several decades ago, the home buying and selling procedures seemed far less complicated. Nearly everyone bought and so homes through Realtors, who generally all charged the same six percent commission. There was predominantly one type of mortgage (fixed rate), most people put at least twenty percent down, and almost all mortgages charged the same rate (for many years, in many parts of the country, this was 8 1/2%). Houses, in most cases increased in value based on the inflation rate, and whatever improvements were made to the house, as well as its condition and location. Houses were sold with "For Sale" signs, and newspaper ads, as well as through "Open Houses." It seemed like, in most parts of the country, almost all agents were Seller's Agents (meaning they represented the seller in the transaction), even if they were selling the house to their customer. Obviously, houses were far less expensive, but average incomes were also substantially lower in most cases. Home ownership certainly appeared to be part of the "American Dream."

Today the procedure is far different. Houses are predominantly promoted via the internet, with Realtors involved in most sales, but with a far larger number of "For Sale By Owner" (FSBO) transactions taking place. While there are still Open Houses, in many areas even those are by appointment only, because of the increased concern with security in today's world. Before the mortgage fiasco that occurred a few years ago, there were many different types of mortgages, including fixed rate, and a variety of variable rate loans. Until the mortgage and banking crisis, there was far too much leniency in deciding who to give loans to, and it was not at all uncommon for someone to get a little down payment, or nothing down mortgage. Many home appraisers were appraising homes for far more than they ended up being worth. Which, obviously, when the economy suffered, and the real estate market reacted dramatically negatively, caused many homes to have mortgages larger than their values. This ended up with cash crunches, which led to many people losing their homes to foreclosures or short sales (selling a house for less than the amount remaining on the market). This then led to banks trying to eventually resell many of these properties, which then further exacerbated the drop in prices in those areas.

Since the banking crisis, and the government bailout, it has become far more challenging to get a mortgage. Banks have dramatically reviewed their home appraisal systems, which has led to individuals only qualifying for far less mortgage monies. Rather than paperwork being decreased in our supposed paperless society, the amount of paperwork, etc., in this process has become voluminous, often repetitive, and somewhat redundant. In addition, banks began nearly arbitrarily reducing credit card credit lines, which because of the way credit scores are calculated, lowered many individuals credit scores, through no action of their own. Then, of course, banks began requiring higher and higher credit scores to qualify for a mortgage, so it is obvious how that further complicated manners. With so much attention paid on today's low mortgage interest rates, there has been a large increase in the amount of refinancing, which besides the positive impact of lowering homeowner's monthly burden, has also created somewhat of a windfall for banks (fees), appraisers, and governments (collecting taxes, such as mortgage taxes, etc.

In addition, many sellers still expected to receive the same price people received at the height of the market, while at the same time, many buyers had somewhat unrealistic expectations as to how low they could buy a house for.

My advice is that the first thing is that both buyers and sellers must become more realistic, so that they can come to some fair meeting of the minds. Next, banks should be far more careful than they were, but far more reasonable than they are now. America needs a robust housing market, because the worst possible scenario would be if large numbers of Americans begin to feel that home ownership is no longer part of their version of the American dream.

Have You Committed To A Personal Financial Plan?

How many times have you heard the adage that most people don't plan to fail, but that they often fail to plan? Few individuals purposely or at least consciously decide to avoid planning for their financial planning, but at the same time, many people never formally create their own financial plan, and even fewer actually commit to following that plan. Everyone has certain financial needs, and these include: planning for retirement; creating a funding source for a child's education; having a reserve for emergencies and/ or contingencies; having an opportunities fund, real estate/ owning (or renting) one's home, etc. While we all have different priorities and needs, goals, and aspirations, those that formally plan and then commit to their personal financial plan generally live a far less stressful and worried existence.

1. Retirement: Those who believe that Social Security will provide their major source of retirement funds are often devastated when they retire. While this program provides a safety net, with what goes on politically, no one can be absolutely certain in what form this might exist in the future, nor even when the official retirement age might be. Therefore, wise individuals plan by focusing on what they will need when they do retire, at least in present day dollars. Then they adjust that figure by an average inflation rate, and then determine what they need for their retirement needs. The best way to do this, for most individuals, is to, on regular and consistent basis, put away a regular dollar amount. Doing this, for example, on the same day each month, creates a habit of saving, is more easily achieved, and creates what is referred to as a dollar cost averaging (putting away the same amount on the same date every month, so that fluctuations become far less of a factor). Reliable mutual funds which diversify are generally a relatively easy way to do so. It is recommended that you speak to a professional financial planner or adviser or attorney who specializes in this area.

2. Children's Education: Do you really want to put your child into an enormous amount of debt before he even begins his work career? Many students discover that they are $100,000 or more in debt when they get out of school. Doesn't it make sense to begin planning for this need when a child is very young, so that a systematic, periodic investment plan can significantly reduce this burden?

3. Emergencies, Contingencies, and Opportunities: Don't let something unexpected put you in a real bind! Rather, create your own emergencies and contingencies fund. Have you ever wished you had the resources to take advantage of a great opportunity, but had to pass on it because you didn't have the funds to do so? The solution is planning in an organized manner?
Like most aspects of our lives, those who plan meaningfully and act strategically end up with the best results. Would you rather plan to succeed and achieve your financial needs and goals, or would you prefer to merely fail to plan and let the chips fall where they may?

4. Housing/ Real estate investments, etc.:  What is better for you, renting where you live or owning your home? If you want to own, is a stand - alone single - family house, a co - op or condominium, etc.? If you feel owning is for you, how have you prepared? How have you positioned your finances so that you are prepared with necessary downpayments, closing costs, and credit - worthiness to qualify for a mortgage?

Houses Sell When They're Priced Right!

There is an expression in the real estate industry that any property can and will sell, if the owner is negotiable on price. Obviously, we have all gone past properties and houses in undesirable locations, yet someone lives there. Houses abut highways, water towers, garbage dumps, cemeteries, etc., yet someone lives there.

Similarly, all houses are marketable in all market conditions. Obviously, that doesn't mean that they will sell for the same price, or at the same speed (days on market) in poor economic times as in stellar ones, but they will sell. However, when I say they will sell, that is assuming that the seller is realistic in his pricing, and prices his house correctly from the start. Whether it is an up - market, a steady one, or a down - market, these concepts apply.

Unfortunately for many homeowners who wish to sell, either greed, over-optimism, or lack of a firm grasp of reality, makes many owners select their listing real estate broker based on who tells them they will get them the best price. What that causes is an artificial inflating of their asking price, which, then, in effect, results in the house being shown very few times, and generally even fewer legitimate offers. There is only one way that the asking price of a home should be determined, and to the surprise of many homeowners, it is not at the whim or desire of their Realtor. Instead, houses should be based on a Comparative Analysis (also known as "Comps") of their house to very similar houses that have sold in the recent past. Especially in a "depressed" real estate market, sellers should not price their houses either on what it sold for a few years ago (which may have been the peak of the market), or on the Asking Price of houses. The only thing that really matters is the selling price, and what accurately priced houses presently on the market are being "listed" for. Real estate agents do not determine the price that a house sells for; only the marketplace and market conditions do. In most cases, housing prices are determined by a combination of factors, including market conditions, mortgage rates and availability, supply and demand, overall economic conditions, consumer confidence, etc.

If a homeowner really wants to sell his house, he should only deal and list his house with a reputable real estate agent, who justifies his recommended asking (listing) price, by using recent "Comps," present houses on market, etc. Houses priced in the mid-range of houses on market in comparable condition and locations will have the best chance of selling, because potential buyers will look at these more often. Sellers should realize that in today's internet savvy marketplace, most buyers do their homework, know how long a house has been on the market, and notices pricing of comparable houses. It is now, as it has always been, a fact of real estate reality that sellers will generally receive their best offer in the first few weeks after it goes on the market. Realistic sellers can and will sell their houses if they follow these few basic rules.

All Consultants Are NOT Created Equal!

Every year, thousands of corporations and organizations enlist the services of either an individual consultant, team of consultants, or a consulting firm, to address items that their leadership envisions need addressing professionally, by an impartial eye. Unfortunately, however, nearly anyone can represent himself as some sort of consultant, either in a specific area, or in a variety of areas, and while some of these individuals are excellent, and provide a fabulous, valuable service, others use consulting as a rouse to sell some sort of product or service. Major areas that consultants are called in regarding include, but are not limited to: business, financial, fiscal, and budgetary items; strategic planning; event planning, negotiations, coordination and organization; Board training and evaluation; business planning; etc. These concepts should also be used when determining who might best serve the real estate needs of either a buyer or seller, because one's agent should not merely be a salesperson, but rather consult and advice his client in many aspects that relate to the transactions and/or potential ones.

1. Your preliminary discussion with any honorable consultant should be a getting- to- know- you type of meeting, and should be free of charge to the organization. Observe whether the consultant listens and asks pensive and examining questions, more than he speaks and tries to sell himself. Do not be overly impressed by fancy brochures and literature, or even elaborate presentations. You should be looking for a consultant that does not try to use a one- size- fits- all approach, but customizes his service directly to your needs and your organization's idiosyncrasies. Don't be overly impressed by fancy rhetoric or techno- jargon, because it often has little true value.

2. When a consultant is used for event services, he should guarantee his services will do several things for your event. Firstly, he should take away the hassles and headaches. Secondly, he should be able to negotiate in all related areas and foresee your needs. He should be someone who does his homework before he begins to negotiate, in order to find out what is needed and what the priorities and objectives of the event are. He should gather historical information, in order to gather am historical perspective and better understand the group's heritage and needs. He should never impose his will, but also stand up for what he believes should be done, and be able and willing to explain why. His negotiations should save considerably more money than the total of his fee and reimbursable expenses. He should fully explain his fee up front, and explain what he will do, how he will work intimately with the group's organizing committee, and make relevant suggestions.

3. Beware of any consultant who makes too big a deal about making governance changes, in order to address systemic problems and challenges facing the organization. While in a mostly healthy organization, certain governance models might work better for a specific group, governance should only become a priority during a healthy or relatively healthy stage, and not when there are other challenges. These governance recommendations are usually followed, in gradations and steps to follow, by meetings that you are charged for consultant's time, training sessions (also at a charge), and often with a beautifully prepared governance manual, that often is less valuable to the stability and well being of the organization than the paper it is printed on, etc.

4. In the real estate process, carefully interview potential agents. Since for most people, buying or selling one's home is either their largest (or at least one of the largest) financial assets. Select the agent that fully explains what and how he will perform his services, and ask questions that might help focus on which one will offer the best services for your particular needs and mindset.

Always ask a prospective consultant about his fees, thoughts, methods, approaches, and what he feels he might be able to do for you, before you agree to his contract. Many organizations have cost themselves dearly by not carefully considering all of the ramifications. While many consultants are great and provide a wonderful service, like in everything else, there are always some "bad apples."

Why Negotiating is Both An ART & SCIENCE?

Have you ever thought about how many aspects of life are related to, or involve negotiating? Isn't it a fact that nearly everything we do ends up more successfully if we are capable negotiators? However, despite the fact that it is so important, whether we are involved in transacting real estate, any type of selling, leadership, contracts, any business aspect, as well as in our day - to - day interpersonal dealings, very few individuals ever fully explore the needs, requirements, components, techniques, or nuances that are so relevant. Unlike many other techniques, effective negotiations must be understood as both an ART, as well as a SCIENCE!

1. The A, R and T of ART should help propel us towards creating the best opportunity for success. Of course, it begins with the right attitude, which must be positive, proactive, and one that willingly cooperates. When this becomes the opening mindset, the negotiations are approached to bring forth a win - win scenarion, rather than an adversarial beat you opponent one!
2. Never go into a negotiation unless you do so by seeing reality the way it is, rather than merely the way you might wish it to be! This requires a commitment and search for actually understanding needs and nuances, and going forth with an open mind, rather than prejudging.
3. No negotiation, no matter how well trained or qualified the negotiator may be, will bring forth the results you desire unless you understand that there must be mutual trust between negotiating parties. However, one can't just hope for, expect or ask for this type of trust, but rather must earn it, by a combination of his actions, empathy, and commitment to absolute integrity.
4. As essential as the ART is to this activity, it must also be understood that there is also a SCIENCE involved. This must always begin by focusing on your search for agreement. How can this go anywhere meaningful unless both sides commit to, and seek agreement/ meeting of the minds?
5. It is important to aim towards some degree of common ground, where neither side feels he is merely winning or losing.
6. While you can use all your efforts and best intentions towards achieving these necessities, one can never control what others do or how they may behave. Therefore, it is important to proceed with ingenuity and absolute integrity.
7. Listen effectively, and view needs from the eyes of the other party. Only when there is a focus on empathy can progress be made the way you desire.
8. Remember that things are rarely simply black and white! Effective negotiating requires mastering the various nuances.
9. You must have a certain degree of clarity and consideration, if you want to end up with a contract where both sides feel resulted in a fair and reasonable manner.
10. Is your energy level maintained at a the highest possible level, in a positive, meaningful and significant manner? Lethargy and negativity are generally the cancers to successful negotiations!

The better you understand what negotiating involves, the more effective you will be. The combination of a variety of skills, perceptions and attitudes, used in a synergistic manner, will usually get you to the point you wish to be.

Investments Using Real Estate

There is almost no one that does not realize that there are investment possibilities using real estate. Some people will tell you that they invest in real estate because they own a home, and they expect it to increase in value over time. While historically real estate has, in fact, increased in value over time, there have been periods where that has not been the case. When it comes to our homes, we should only look at them secondarily as possible "hedges" against inflation, over the long haul, but primarily we should consider where we live to be our residences, and the places of habitation, where we live. For example, people who have purchased homes three to five years ago, have seen the market value of their houses fall. While most of us believe that will be "corrected" over time, it is important to stress that we should not look at our personal residences as short- term investments. Others have shied away from real estate investing because they felt they could not afford the amount necessary, while others have often improperly bought investments with the intention of "flipping" them in a relatively short period. There are numerous ways, in fact, that one can invest in real estate.

One of the most obvious methods of investment is to purchase a property or properties, and then rent them. Those considering this option must realize that there are risks involved, as well as positive possibilities. The positive possibilities include certain scenarios. One such scenario is buying a house or condominium at a very reasonable price, and being able to rent it out. In some situations, it is possible to generate a positive cash flow, meaning collecting more rent than the amount expended. One should remember however that there is also something known as the opportunity cost of money, which compares what might have been made if the money used, for example, for a down payment, were able to be invested elsewhere for a greater return. Another consideration should be the very real possibility that a tenant may either be slow in paying rent, or "skip out" completely, that the property go vacant for any period of time thus not bringing any money in while the owner still must pay the carrying charges, etc. In addition, one should figure in the wear and tear, insurance, utility costs, etc. Of course, the owner also gets certain tax advantages including such things as depreciation, cost deductions, and possible profits, as well as the possibility of the property appreciating in value over time. So, as you can see, like in most things, there are pros and cons in that scenario.
People using the above scenario should also make the decision whether they will be actively or passively owning this property. I advice speaking to a knowledgeable tax professional so that you fully understand the requirements of each.

Another way to invest in real estate is through a Real Estate Investment Trust (REIT) or as a partner in a Real Estate Limited Partnership. In both these cases, professionals manage the properties, and you are an investor. In most situations, your liability is limited to your initial investment. I recommend doing thorough due diligence on the general partner and/ or manager, as well as discussing all tax ramifications with a knowledgeable tax professional. Potential investors should always be vigilant and remember that there is no such thing as a "sure thing."

Many people have done very well investing in real estate, while others have suffered financial losses. Real estate, like many other things, can often be a value portion of an overall investment strategy, when used in the right set of circumstances for the right person. Real estate is often not nearly as liquid as other forms of investment, so that should also be kept in mind.

Home Buyer Guidelines

As a Licensed Salesperson in New York State, I am constantly coming into individuals with varying degrees of interest in the house purchasing process, from those actively seeking a new home (or first home) to those who are merely curious. This article will address the needs of those who are seriously interested in purchasing a home.

Firstly, a buyer should realize that it is his choice and option as to what type of agent to deal with. One type of agent is known as a Seller's Agent. This type of agent has been "enlisted" by the seller of a house to represent his interests in the sales process. By definition, a seller's agent owes the seller the following fiduciary duties: undivided loyalty; confidentiality (non disclosure of any personal information regarding the seller); full disclosure; of course, reasonable care; obedience (to the client's- i.e. the seller's legal wishes and needs); etc. While a seller's agent must still be honest, fair and act in good faith, and disclose any material issue that affect the property's desirability, this type of agent's primary allegiance is to the seller. This type of agent may also at times be referred to as a Listing Agent.

A Buyer's Agent is "hired" by the buyer to represent his interests. This type of agent actively negotiates in the best interests of the buyer. He has the same types of obligations and allegiances to the buyer as the seller's agent has to the seller. While a seller's agent represents the seller and his interests primarily, the buyers agent has an allegiance to the buyer, and does not represent the seller.

A Broker's Agent is one that cooperates either with the listing agent or the buyer's agent, while not working for the same firm as either the listing agent or buyer's agent. This type of agent does not have an allegiance or direct relationship to either the buyer or seller. Because of this and the fact that the buyer or seller do not give instructions directly, this agency situation does not involve any type of "vicarious liability" (direct responsibility for actions of another), and therefore either the buyer's agent or listing agent will have the responsibility regarding liability for this agency type.

The last type is a Dual Agent, who is permitted to represent both the buyer and the seller, as long as both give written and informed consent. Obviously, this type of agent will have limited fiduciary duties compared to other forms of agency. Dual agents must fully explain any possible conflicts that this might present, and the steps and care that will be taken. Some Brokers, in order to avoid the appearance of conflict, use a situation known as Dual Agents with Designated Sales Agents, with a separate agent handling the buying and selling aspects and interests.

Buyers must also begin their search by getting pre-qualified for a mortgage for a specific amount, so as to know what price range they should be searching in. While some buyers appear hesitant to fully confide their information to their Realtor, if that is a concern, then a Buyer's Agent agreement and arrangement is the way to go. Truly interested buyers should ask their agent to provide them with "comps" of houses that have recently sold in the area, as well as on the market presently, so that any offer made will be realistic. While it is acceptable to give a significantly lower than asking price for a house that appears overpriced based on comparable houses, doing this will fairly priced houses will generally result in a "souring" effect, if the buyer is actually truly interested in a particular property.
Buyers should understand that a Seller, once he receives an offer in writing, can either accept the offer, reject it, or propose a counter- offer. Then the procedure begins again. Buyers should consult their professional agent for suggestions as to the best way to proceed.

The Facts Are Not Always The Same As The Whole Truth!

Many people falsely assume that when one gathers the facts, he always finds the truth. While many times that may turn out to be the case, there are many other times when facts don't lead someone automatically to the truth. Pete Townsend wrote, "The facts don't always reveal the truth, but the truth always reveals the facts." Although, at first, this may seem somewhat inconsistent, in far too many instances it is the case. This concept is particularly relevant when it comes to understanding, appreciating, and selecting, as well as making key decisions regarding real estate. The whole truth often only begins with those bare facts, and then requires a willingness to fill in the gaps/ details!

1. Not all situations are automatically "black and white" matters. In many real life instances, there are often cases where there is far more "gray." Statistics, for example, are often manipulated to offer a certain desired set of facts, but those facts are often not the entire story. How a survey item for a poll, for example, often determines the results that might be gathered. For example, in today's world, most of us have been, at least somewhat, adversely impacted. Therefore, if the question asked, "Are you satisfied with the economy?," nearly everyone would answer no, and the number would show a large dissatisfied situation. However, if questions such as, "Do you agree with the President's approach towards the economy?," the numbers might show different results. But, if the question was, "Do you agree with the President's approach, the opposition party's approach, or neither?," we most probably would get an entirely different set of responses. It then, of course, depends on who is being asked, and how the data is being collected. Another example might be that it might be a fact that membership, for example, diminished during someone's tenure in office, but does that make the truth that it had to do with that person's leadership? Or was the situation inherited? As you can see, there are a number of variables involved.

2. On the other hand, when something is the truth, all the facts must align with that truth. Truth is based on legitimate facts, and the legitimate and honorable handling of those facts, as well as the ability to accurately interpret things. So many leaders fail to achieve their objectives because they simply see a set of facts, and those facts end up forming what they perceive as truth. Truth is composed of various and numerous facts, and without the training to interpret them, or the commitment to research the details, or the integrity to utilize those facts in a non- biased, non- prejudicial manner, many individuals in leadership mishandle facts to "prove" their version" of the truth. Honest and real truth cannot and does not have versions - it is simply the truth!
How many times have we heard people use a certain set of facts to justify or prove their point of view. Just because a particular set of facts might be interpreted in a certain manner, that does not make that the truth.

Customer Service - The Key Component of Marketing and Sales

Many businesses find themselves facing the choice of taking alternative approaches or following certain approaches to marketing and/ or selling their products and/ or services. While it is often possible to make a particular one - time sale based on offering a low - ball price, this approach rarely creates any long - term allegiance. When one observes a variety of business models, there are numerous examples of different levels of customer service or support, as well as different levels of training that businesses offer to their customer service representatives. What those who fail to prioritize or pay sufficient attention to this process may still enjoy some degree of success, invariably it is the quality and consistently of their customer service representatives that dictates their longer term sustainability and acceptance. Every great real estate professional emphasizes customer service!
 
1. It is certainly true that a business can make a sale by offering a lower price, that behavior rarely develops a committed customer, and certainly never leads to the very desirable client relationship. However, we often observe companies that initially react to down periods by diminishing and reducing customer service and the related expenses. Nothing could be more counter - productive, because in the bigger picture, customers remember how they were treated far beyond the period that they recall the price they paid. Consider how you personally feel when you go into any store, or make a call to a company, and how the initial treatment irreversibly impacts your perception and opinion of that business. Effective service means a real and concerted effort to make the buying experience a far more positive one for customers and clients, and differentiating yourself from the competition. Isn't it funny that so many businesses spend so much money and time doing post - process interviews, while often ignoring or certainly not paying enough attention to how they treat their customers or potential customers, in the first place? Who would you want to business with, a real estate agent who provided valuable service, or one who tried to buy your business with a lower than market rate commission rate?
 
2. There are many essential components to assure that a quality procedure is consistently followed. It begins, as so many things in business, management and leadership do, with a prioritized commitment to everything that makes the buying and/ or shopping experience a better one! It must begin with not simply acting like you care, but actually doing something. When businesses spend more effort on serving their customers than simply thinking about selling, their sales are enhanced rather than diminished. Successful organizations always understand that exceptional service creates a positive word of mouth, which is the most powerful and meaningful form of marketing.

After more than three decades of extensive consulting to hundreds of businesses and organizations, it has become obvious that the most sustainable behavior is professional, quality and consistent service. Businesses must come to understand that it is not the sales you make today that count the most, but rather how you are perceived and appreciated by future potential customers and clients.

Economic News - The Reality vs The Hype

No wonder most people don't understand the economy. Often what might seem good on one hand, has bad side effects on the other. For example, the stock market rises- one would think that was good! But that was mostly due to the rising price of oil- bad news (and vice versa). But, often the price of oil rises because the "experts" believe the economy is improving and thus more oil will be needed in production- good news! But that rise in oil prices causes the cost of living to increase- bad news. Recently, oil prices have dropped significantly (which should logically be considered good news), but since some industries profit by high prices, there is often a somewhat negative response)! But rising oil prices help the Gross Domestic Product (GDP)- good news! But that then causes inflation- bad news. But that inflation means the economy is improving- good news! But then the Fed becomes concerned about inflation and raises interest rates- bad news! Which causes the value of the dollar to improve- good news! But that hurts exports because now American products cost more overseas- bad news! But that means foreign products cost less in the US- good news! But that hurts American companies competitiveness- bad news! You get the point?? 
 
If we think that political analysis and political chatter is often more hype than anything else, the same can certainly be said about analyzing economic news! You can readily see why economic news often seems co confusing. Economic news often seems confusing because it is - - what is good for one consumer, might be bad for another- what is good for one company, bad for another- what might be good for one sector of economy- bad for others.

The stock market is often the most confusing. On days when there is "bad news," the market often goes up, while on some "good news" days, the market sometimes goes down! While the Dow, or the S&P, etc., might go up, it does not mean that the stock(s) you own, will follow suit.
Too often, for the sake of a sound-byte, the media tries to over-simplify economic news. Yet the economy is by definition quite complex. The one issue there should be some agreement on is that high unemployment is not good. Yet even in that case, the "experts" can't agree upon, nor act upon a viable solution.

The best way to think about the economy is this-- the difference between a recession and a depression is that it's a recession when it happens to someone else-- it's a depression when it happens to you!
It is my belief that a healthy economy requires certain factors to be in place - - low joblessness; high consumer confidence; a strong manufacturing sector; and reduced government deficits. That is what we must demand!

The ABCDE Of Professional Negotiating

How often have you confronted a situated when you realized how helpful it might be to you if you were a better and more proficient negotiator? Isn't it somewhat disconcerting that while most of us recognize how important negotiations are to our personal, professional and organizational lives, there are so few who are truly proficient at the process? In order to become a truly professional negotiator, there is a need to understand the ABCDE of being competent and professional in our negotiating abilites, skills and practices. This means that negotiations are dependent on a combination of: attitude; belief in your position; clearly articulating your needs; delivering on any and all promises made; and expanding your mind to create and understand alternatives.

1. Like most impactful activities and skills, negotiating effectively begins with our attitude. This means believing in our positions, being comfortable in our positions and own skin, and believing in our skills and abilities. It also means being positive in our approach, thus focusing on ways to make the process work rather than on the reasons why it might not! How can anyone be effective as a negotiator if he begins with anything less than a positive and productive attitude?
2. Do you believe in the positions or stances you are taking? Are they honest and forthright, thus enhancing your ability to develop a relation with your negotiating adversary, converting the process from adversarial to cooperative? Do you behave in a manner of absolute integrity, expressing your needs, while understanding the process and needs of the other side of the negotiations?
3. How clearly do you articulate your needs and/ or positions? How can you expect to be productive and get the results you need and desire if you don't clearly and express these items? Do you describe your priorities, advantages, and limitations, as well as any concerns you might have?
4. Never make promises during any negotiating that you are not certain that you can deliver! Many individuals who participate in a negotiation approach the process with the false belief that they need to deceive and exaggerate, while the reality is generally that there is little less productive activity one can take during this process. When cooperation, integrity and transparency is the ermphasis, the results are optimized exponentially!
5. Expand your mind's ability and willingness to consider alternatives! When both sides understand each other's needs, they gain the ability to see how each might benefit, thus helping each other, by doing things in a different manner, thus creating the optimum win - win scenario. For example, in a hotel/ group negotiation, when the group envisions ways to save the hotel money that can then be utilized to reduce the group's costs and expenses, this win - win may be achieved and enhanced!
If you are to begin negotiating, do it the proper way! Understand the components, adhere to them, and become proficient in their use!

What Ever Happened To Customer Service?

In the "old days," when many stores in numerous industries were what we would consider "mom and pop" stores, whenever you entered the store, you were greeted by your name, and often you would enjoy some personal time conversing with the owner. In today's world of few small stores and many large stores, much of that personal touch is ignored, and there seems to have been a departure from the concept of serving the customer and his needs.
In my town, there are a number of cleaners, some large and some much smaller. While the larger ones are often lower priced and have faster turnaround time, I still prefer using a small "Chinese Laundry" that has been in this area since 1947. Every time you go in, they know who you are and they chit-chat just enough (Enough to be friendly and welcoming while not so much as to waste your time). As you enter, even before you hand in your Claim ticket, they are already retrieving your cleaning, and pay particular attention to detail. While I would be very hesitant to bring some of my better custom made shirts to the other cleaners, I don't hesitate to bring my shirts here. They combine superior customer service with quality.
When I go into my favorite cell phone store in town, they fully understand and cater to my needs. They are patient when I don't understand something or one of my kids invariably lose or destroy their phone. They never try to "nickel and dime" me to death, and I never hesitate to refer others to them. Contrast that with the cell phone store nightmare stories that I have heard from others where someone tells me about the great "deal" they were offered, only to vehemently complain shortly thereafter when the inevitable complication or problem occurs. I know that my store, which has been in business far longer than most in its industry, does more business, more repeat business, and is more successful than most of the others. Their commitment to their customers is what sets them out from the rest.
Many of us have heard auto mechanic horror stories, how someone was either lied to, overcharged, charged for something that wasn't needed or done, or given shoddy service. Again, in my town, I have been fortunate enough to have found an honest mechanic who stands behind his work, and goes the extra mile for his customers. While my mechanic may or may not always be the least expensive, to me having the peace of mind and honest service is far more important than shopping around simply for price. Why aren't there more like these?
As a Licensed Real Estate Salesperson, I often witness the difference in attitudes between various agents. While some are truly caring and focused on their client's best interests, others often appear to merely go through the motions, and only following the apparent path of least resistance, rather than following my trademarked philosophy, "I'll always tell you what you need to know, NOT just what you want to hear."
 
All of us have gone into stores, offices, department stores, warehouse stores, etc., where we are either unable to find any assistance, or the assistance is rude, pushy or otherwise unpleasant. Smart stores, regardless of their size, understand the importance of customer service, yet few make it the priority it is. Just think about that the next time you are placed on hold with a recording that tells you to type in your account number, etc., only to be asked all that same information once you are "lucky" enough to get a live person on the other end of the line.