To-do lists as therapy

I’ve started to realize that I’m not alone in my obsession with to-do lists.  And while some people talk through their stress, and others absorb it (not healthy), I chose to make lists and clear my brain of whatever mess is occupying it.

I don’t have a favorite style – I’ve done graphic flow charts, project plans, outlines, bullet points.  I recently did a fairly complex “network diagram” to describe my life.  I told you, I’m obsessed.

This weekend a few unfortunate miscommunications occurred and had me running in circles – worn out and frustrated.  So here I am at Barnes and Noble, drinking a coffee and making my newest list, designed to create more order and efficiency in my head.  Since we bloggers are simply exhibitionists behind computers, I’ll share it with you:

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Things I have to accomplish on a daily basis

·         Make Lunches for daycare/work

·         Dishes

·         Laundry – at least one load and put away dry stuff

·         Plan Dinner (or delegate)

·         Fun outdoor activity with Grant (walk, park, etc)

·         Work – lead followup, twitter, blog, check in on 10 members of my network and introduce self to 5 new people I’ve never talked to before.

Be more efficient: Only clean up toys twice: At lunch and bedtime.  Plan dinner the night before.  Make lunches while grant is having breakfast.  Do dishes while Seth gives grant a bath (or vice versa)

Things I have to accomplish on a weekly basis

·         Cleaning the floors

·         Cleaning the bathrooms

·         Cleaning the stove, microwave and fridge

·         Grocery shopping

·         Weeding

Be more efficient:   Choose one big chore per day that I’m home with Grant: Tuesday – floors, Friday bathrooms, Saturday – Stove, Microwave and fridge, Sunday – weeding.

Menu planning on Friday night for weekend grocery shopping at swap meet, costco, etc.

Things I would really like to accomplish that aren’t in the normal routine:

1.       Update website

2.       Custom Blog background

3.       Matching custom twitter background

4.       Paint master bedroom and bathroom

5.       Get a new rug for Grant’s room

6.       Steam clean carpets

7.       Plan an outdoor toddler party to celebrate the new picket fence being completed

8.       Finish “Daddy and Me” Scrapbook (in time for fathers day)

House projects (in order of priority)

1.       Picket fence (in progress)

2.       Attic vent

3.       Paint house and plant front yard tree (non-fruiting plum? NF Olive?)

Falling in love with my home again

For most of my life I’ve trained myself to look ahead: This is nice, but what is the next thing I want?  College is fun, but what comes next?  This job is fine, but how can I make more money?  I bought this house, but one day I’ll buy a better, bigger one.  I’ve gotten into a pattern of always looking ahead, always planning and goal-setting.  It’s kind of addicting… to set goals and reach them, but I think it makes me sort of manic: constantly antsy and unsatisfied.  I’ll surely never stop goal setting, but in the last few weeks I’ve started to become aware of the simple beauty of life, and love, and nature, and I’ve re-evaluated they TYPES of goals I’m setting… less materialistic and more around personal and professional growth.

It’s probably completely counter-productive of me to bring this up as a Realtor, but I’ll be candid and tell you I’m rethinking the “bigger house” goal.  First of all, our place is a really cute little house on a great street in Cambrian (San Jose).  My neighbors are absolutely amazing… so supportive (we recently had our dog Phoebe put down, and they were so supportive – bringing over gifts and offering kind words).  Plus, our local elementary school is phenomenal (Sartorette – Cambrian School District), and there are lots of kids in the neighborhood.  There are so many people that struggle with either bad neighborhoods or bad neighbors, or who truly have outgrown their current place.  We are so blessed that none of these are issues.  On top of that, our house has a great floor plan - very open with a good sized eat-in kitchen and room for a dining table.  We have hardwood floors and good sized bedrooms.  We have a huge front yard which we plan to put a picket fence around in a couple weeks.  It’ll make an awesome play area for Grant and will be great for play dates and birthday parties.

So now that I’m falling in love with my house again, I’m looking at “her” with new eyes, and I’m not so sure I’m willing to part with her yet… why mess with something that works so well?

Fun and Cheap: Summer Activities for Toddlers

This post is really just a brainstorming list for my own purposes, but I thought I might as well do it here so that others can benefit!  What I’m hoping is that I get some comments sharing other good ideas…. (hint, hint).  For the record, my son is 1 and a half, so if these activities seem basic, that’s because we have a limited attention-span and skill set we’re working with here.  I will probably add more to this list as I think of new things.

1) Red Light, Green Light.  We just discovered that Grant LOVES this game.  Say “Green Light” and run around until someone says “Red Light” and then freeze.  Repeat until exhausted or bored.

2) Play Dough.  I need to go buy a set of play dough.  Note to self – must supervise carefully to prevent eating.  Here is the play dough website with a bunch of cool ideas, including recipes for new colors.  If you’re really crafty, you can make your own play dough.

3) Playing in the sprinkler. Nuf said.

4) Exploring parks in San Jose. Here is a list of San Jose parks that have play grounds – http://www.sjparks.org/Features/playgrounds.asp 

5) Sponge painting.  Take a new kitchen sponge, cut it into pieces, and have him dip it in non-toxic Crayola paints in a tupperware bowl and dab it on paper.  Swirl a couple colors together for more interesting pictures.

6) Go on a Choo Choo Train in the Santa Cruz Mountains: Here is the website for Roaring Camp Railway.  So much fun!!!

7) Buy some wooden clothspins and play Clothespins in the Basket outside.  Kind of like a toddler version of Horseshoes.  Here is a How To article.

Ok, that’s enough ideas for today…. Will perhaps add more later!

Top 5 to-do items for future home buyers and sellers:

Alright kiddos, since so many of us are finding ourselves in waiting mode as we watch the stock markets and the housing markets, (and interest rates, and the whites of our employers eyes – layoffs?), I thought it would be appropriate to give you my Top 5 To Do Items for both future buyers, and future sellers.  Hey, you might as well get a jump start!  It’s all good stuff:

Buyers

1. Get your credit checked and work on ways to improve it.  Aim to achieve scores of at least 720.  If you have debt, do not hire a debt consolidator.  Negotiate with the credit card companies yourself.  Debt consolidation will further damage your credit.  I had a client successfully negotiate his credit card debt from $40,000 to $4,000.  No joke.
2. Work on increasing your downpayment.  Even if it’s just to start keeping a big jar for all your spare change.  When it’s full, cash it in and designate it for the future house.  Don’t laugh! Every little bit will help.
3. Confirm your future budget based on new interest rates and underwriting rules.  Call a mortgage broker to help you crunch numbers (let me know if you need a referral).  Assume you will have to put 20% down to get the rates they initially quote you, and if you can’t afford 20% down, tell them, because that will cause your interest rate to go up pretty significantly.
4. Once you have a new, conservative budget in place, start looking online at listings.  For California Bay area listings you can go to my website to search.
5. If you have to sell a home in order to buy, review and follow the To Do list below.

Sellers

1. Spring is here, so do a thorough Spring Cleaning and have a garage sale. 
2. Make a list of all the little fix-it items around the house (that ding in the wall, the light bulbs that need replacing, the spots that need touch up paint, the fence post that wobbles, etc.)  Walk around your home with a pen and pad of paper and get really detail-oriented about it.
3. Go across your street and look at your house.  Imagine you are a future home buyer.  What could you do to improve the curb appeal?  New address plate? New paint? How about repairing the sidewalk that has become uneven and poses a tripping hazzard?  Put it all on the list and “git er done.”
4. Spruce up front and back yard landscaping and do a thorough weeding.  Prune (or if necessary remove and replace) any bushes that have gotten old and overgrown.  Get your lawn healthy and green.  Trim the trees. Get your sprinklers and drip systems fine-tuned if they need it.
5. Start packing.  Yep, it wouldn’t hurt to gather a few boxes and start stashing away excess nik-nacks, books, china, etc.  Pack things that you don’t need to have around on a daily basis that contribute to the clutter in the house. 

Well, that should keep you busy for awhile!  And hey, even if you end up staying put, your nest will be freshly refeathered, and you’ll be better off financially.  Have fun!

Avoid Loan Modification Scams

Loan modification is legitimate and you could qualify if you have had a decrease in income and you are still current on the mortgage for your primary residence.  To find out if you can qualify go to this website.  They will tell you exactly what to do.

However, there is no need to go to a company to have them do this for you.  Do it yourself by calling your bank directly.

Spotlight: Local Schools – Saratoga Union Elementary District

Time for another shout-out to an excellent and very well thought of school district here in the Bay Area: Saratoga Union.  Comprised of only 3 elementary schools and 1 middle school, this school district is top notch and has the API scores to prove it.  In addition, Redwood Middle School’s band recently marched in President Obama’s innauguration parade!  According to the San Jose Mercury News article, “nearly 1,400 groups applied… Only 100 were chosen nationwide, and Redwood is the only middle school band and the only band from California.”

Congrats guys – that is amazing.

A huge factor in these schools’ successes is due to the “amazing parent involvement” that is referenced in the Greatschools.net parent reviews I have read.  Kids are inspired to work hard and achieve more by multiple forces – parents, teachers, and peers.

Elementary Schools:

Argonaut - API: 965  Read Reviews.

Foothill – API: 949  Read Reviews.

Saratoga – API: 951  Read Reviews.

Middle School:

Redwood Middle – API: 958   Read Reviews.

New habits, new philosophies, new (and improved) outlook.

“It is not the strongest of the species that survives, nor the most intelligent, but the one most responsive to change.” -Charles Darwin

I had gotten very used to my lifestyle.  Adapting has not been easy.

I never thought about budgeting, or shopping on the sale racks, or needing vs wanting.  However, if I were to tell you that my income as a Realtor hadn’t declined over the last year I’d be lying.  See, Realtors don’t get laid off.  We just stop earning as much income as we used to.  Unfortunately, like many others, my family’s lifestyle had risen to match our rising annual salaries. We were living within our means, but not by much when you consider the mortgage, shopping, etc. 

So when the housing market tanked and my clients went into paralysis-mode, my husband and I had a choice to make.  We could “weather the storm” and not make many changes – hoping that it would end quickly, or we could plan for the worst and make changes that would keep us sustainable through good times and bad… for as long as they last. (hopefully not long)

We chose to adapt and change our spending habits and lifestyle.  I’ll admit, it took a little awhile for me to see the light and be truly happy about this decision, but now that we have shifted gears, we feel in-control, happy, and able to focus our energy on our beautiful baby and not our stress over the economy, the news, and our eTrade account.  I’ll tell you what – I am a changed person.  I plan to continue many of these new habits indefinitely. I think so many of us had gotten too focused on material possessions, like what car we drive, what type of handbag we’re carrying, what new electronics we recently purchased, that we forgot about the simple things.   I’m finding so much pleasure now in making a good home-cooked meal and enjoying time with family and getting outdoors and exploring a new park with my toddler. 

Basically, I think my priorities have shifted as a result of this economic crisis, and I think I’m a better person for it.  I also think I’m a better Realtor for it to tell you the truth.  I enjoy coaching my clients now on building up assets, improving their credit, and making fiscally sound and conservative purchases.  

After all, we should probably all adjust our mindset – owning a home is now, for many people, a lifestyle choice, not an investment vehicle.

The fundamentals of business development

Seth Godin hit the nail on the head today with his blog post.

Any time you decide to expand a business or create a new one, ask yourself if you have the following:

1. A group of possible customers you can identify and reach.
2. A group with a problem they want to solve using your solution.
3. A group with the desire and ability to spend money to solve that problem.

This is very basic stuff, but it’s amazing how few of us really think about these simple necessities.  Probably a good exercise to go through any time you are trying to expand your business to reach another group of people.  If I decided, for example, to launch a marketing campaign aimed at landlords, my answers would be:

1) Can I locate my audience?  Yes, find non-owner occupied homes via title records.

2) Solve their problem:

• Group A) People who are having to pay money each month to keep their rentals and who want out from under the investment. 
• Group B) Non-local landlords who find it a hassle to manage their properties and want to be done with it. 
• Group C) People who want to liquidate one of their real estate assets.  Perhaps they have a lot of equity tied up in houses, but would like to use the funds for living expenses or increase the cash reserves they have in the bank (very smart to do right now).

3) Does each of these groups have the ability to hire a Realtor and sell?  Group A might not.  Groups B and C would be better targets, especially if I can identify the people who have owned their properties for quite awhile.

See?  That’s how it’s done.  Now, should I put this campaign in place??

Pent up and perturbed.

This is getting rediculous!  My poor clients.  One by one they are having to put their plans on hold.  There is so much pent up demand for housing.  Everyone wants to move forward but can’t!

Couple 1: Cute couple with a toddler wants to take advantantage of low house prices and low interest rates.  They put an offer in on a property and then read in the paper the next morning that her employer (high tech bay area) is planning a major re-org.  So stop the presses! Put that plan on hold until further notice.

Couple 2: The small home they own is just far too tiny for this outgoing couple and their two growing boys.  Salaries are good, ready to move, but job stability is on shaky ground and on top of that, where is the inventory?  Sellers are being slow to put homes on the market until things improve.

Mother of 2: Finances got hijacked, and thinking it was the smart thing to do hired a debt consolidator.  (Horrible for credit scores.)  Now working hard to become a homeowner and take advantage of the $8000 credit this year, but will her credit scores get in the way?  We’re exploring FHA loans…

Newlyweds: Anxious to find a nest, this adorable and hard-working couple are receiving help from mom and dad for the down-payment.  We had an offer on a short sale that finally got approved (after MONTHS of waiting) but by then it had become clear that economic trends had caused both the down payment and the monthly costs to be too high for this family.  Put those dreams on the shelf for now!

And those are just four examples from my database.  There are many more.  I am CONFIDENT, that all of these deserving people will see their plans through.  It’s just a matter of timing.  Remember, good things come to those who wait! 

We will make it happen!

Negotiating as a Home Buyer

Negotiations in Real Estate are fierce these days.  Everyone is trying to hang onto absolutely every dollar possible.  Despite what many home sellers assume, not all buyers these days are sharks with big egos.  None of my clients have the “I’m in power” mentality in regards to negotiations.  It’s just that people are feeling conservative and somewhat fearful of the market.  And rightly so.

I’d like to tackle a few of the basics (and some of the not-so-basics) of Buyer Negotiations.  As someone who acts frequently as both a Listing agent and a Buyer’s agent, I feel I can provide some additional insight into the process:

1) Do your homework - thoroughly:  Look at all recent sales as well as pending sales, and have your Realtor try to find out what the Pending sales sold for.  Also, if the home was older, remember that repairs were probably negotiated, but in this market lenders usually only allow a credit at closing of about $6000 or so. (has to be less than your closing costs.)  A good question to ask the Realtors of the other sales would be: “Was the section 1 work completed (pest work) and for how much? Were any other major repairs done by the seller during escrow? And were closing costs paid for?”

2) Search out bargains, and be able to identify them when you see them:  Some listing agents price low.  It is their habit to do so in order to get the fastest possible sale.  If you know the market because you have been shopping for awhile, and a house seems to be a really good value compared to everything else you’re seeing, you are right.  Be prepared to write an offer quickly to cut off the competition.  If the house is priced below market value and has everything you want, don’t write a low-ball offer or you may lose your chance.  You are already getting a deal.  Instead, negotiate all the repairs you can once you have secured the property.

3)  Negotiate all Repairs Possible: If the seller hasn’t done any inspections, it can work to your advantage, especially with an old home (as is typical here in the Bay Area).  Hire a thorough Home Inspector and Pest Inspector and have a contractor’s phone number handy to get bids on work required.  After you have estimates on all the work required, renegotiate the price and ask for more than it will cost you.  Afterall, you will have to go through the hassle of the work, and it would be nice to be reimbursed for the inspections as well.  Also, it is better to renegotiate the price rather than ask for cash because lenders have rules on how much cash they allow as a credit from the seller.  I’d rather see you get your new price AND get a credit to buy down your rate (see details below). 

[Also note: there are certain repairs that the seller is obligated to fix per the contract (and all contracts are different).  Consult with your Realtor on the specifics of your contract.]

4) Ask for a home warranty:  Usually costing about $400-$600, the Home Warranty is a one year warranty that allows you to get major home repairs/appliance replacement done for the low cost of the deductable (usually $40-50).  Examples include water heater failure, furnace failure, AC, refrigerator, etc.)  Make sure you have your agent order it, so that you get the “premium upgrades” as well as upgrades for specific appliances included in the sale. 

5) Ask for a rate buy-down:  A popular term nowadays is called a Seller Buy-down.  The seller pays a point to buy down the rate of your loan.  This is a great option, as it can save you hundreds of dollars on your monthly mortgage bills.  This would far outperform an equal amount of money ear-marked for “HOA dues” for example.  So, use your credit wisely.

6) THIS IS IMPORTANT: Whatever terms you negotiate during escrow, remember that banks have gotten incredibly picky about wording on contracts and may not allow cash back from the seller at the close of escrow.  OR, they may want the work done prior to closing if you mention the problems in the contract.  This can kill a deal and prevent your loan from funding if your Realtor isn’t careful.  In California, we usually use the following wording for all seller credits: “Seller agrees to pay $___ in Buyer’s Non-Recurring Closing Costs (NRCCs).”