Something to ponder.....what defines you as a leader?

Frequently we hear about leadership, whether it be at work, on the news, in school, on the court or the field, wherever.  The context is often one of the following...what does it take to be a good leader? What attributes do good or great leaders exhibit?  Or how do good/great leaders motivate others?  

You can go to any bookstore, brick and mortar or online, and find hundreds of books on the topic. Just google the word "leadership" and you get 480,000,000 hits in .40 seconds.  Derek Jeter just retired and that adjective  of being a "leader" was thrown out there countless times.  It's probably why his nickname was the "Captain".  But really, how are you supposed to filter out all the crap?

And who are these people really?  Entrepreneurs and self made millionaires who tell you "If I can do it, so can you!"?  Or someone of a certain political or social affiliation that thinks just because they believe it's true than it has to be?  Is it someone who thought that just because something worked once that it is the greatest thing since sliced bread?  Who knows...

Please do not misunderstand me.  There are many fine people in the world who are great leaders and are able to effectively wax poetically on the subject.  I have found that those I can relate to are the ones I am more inclined to listen to and take their advice.  There are others that I have to scratch my head ask "WTH?"  While I am no expert on the subject and I am most certainly not the sharpest spoon in the drawer, I do have a certain level of experience as a leader and perhaps you can relate to me.  

As a Senior Chief in the Navy leadership is a constant everyday.  As a Dad leadership is a constant everyday.  I believe that these two roles are what define me as a leader.  On a daily basis Sailors look to me for guidance and mentorship, as do my children.  With Sailors it is more of a conscious thought and effort to engage me in dialogue.  With my kids, well it's because I'm their Dad and it's my job.

I have found many similarities between leading junior Sailors and raising (i.e. leading) my kids.  Both feel as though they have some sort of entitlement in life.  Don't get me wrong, my kids are great kids but I feel as though it is a societal issue right now.  Both constantly feel the need to ask "why" and then pout when they don't get the answer they want.  Both will push me and try me just to see what my reaction is and how much they can get away with.  Both like to say "that's not fair!"

Both make me proud on a regular basis.  Both often go the extra mile to complete a job or homework assignment.  Both show great heart and spirit when dealing with their contemporaries.  Both say thank you and mind their military bearing or manners (respectively).  Both are learning their place in this world in which we live, work and play.

I do my best not to screw them up too badly.  I try to actively listen to them and understand where they are in their thought process; trying to determine what the intent is behind the dialogue.  When asked for an opinion I am straightforward and occasionally blunt.  With Sailors and kids, giving them bad gouge is no bueno.  Attempting to understand a junior Sailor or my kids, even though I was both, is mind-numbing at times.  :)

In any given conversation I strive to give them the most valuable information I can.  I'll give them analogies, I'll tell them of my own experiences and past, I'll try to relate it to current events, I'll tell them stories...I'll try anything I can to get through to them the best I can.  And then hope they make the right decision...the right decision for them, not for me.

Everyday I struggle with being just a little bit better at being a leader than I was the day before; for both my Sailors and my kids.  Everyday I pray to God for strength, wisdom and courage to guide my words; in order to have the biggest, most positive impact I can so they can make the right decision, now a later.  

My Sailors and my kids define me as a leader, what defines you?

It's been awhile....

Soooo...it's been quite a while since I've posted anything...well over a year actually.  My original intention was to use this as a forum to help build my real estate business.  Unfortunately real life, in the form of the Navy, got in the way.  I have been mobilized to active duty for about 18 months and loving every minute of it.

I figured that since I have this blog I might as well use it.  There is no plan or idea of what exactly is going to be posted.  It will be on things that interest me or tick me off or make me happy.  It may or not be political in nature.  It may offend someone or more than one person or even a whole group of people.

The grammar may not be correct and spelling errors might be present.  I am in no way perfect when it comes to writing and I may not even be good at it but I don't really care.  It's my blog and I'll write how I want about what I want.  Feedback is always welcome and encouraged...as long as it is constructive and not denigrating.

How Much Home Can I Really Afford?

Whether you are buying your first home or another home...take the time to figure out how much home you can really afford.

Are you thinking about about buying a new home?  2013 is a great time to make a move in the Hampton Roads  real estate market. Interest rates are at historic lows. If you research and compare today's 30-year fixed-rate average of between 3 and 4 percent to the mid to upper teens of the 80's you'll see why everyone is excited about the great deals to be had!

Right now homes are now at their most affordable on record. Across the nation, and in Hampton Roads, home values have dropped. Additionally, there is also a supply of distressed properties on the market which can sell for steep discounts.

With all these awesome deals, it's easy to get excited and perhaps even get carried away.  Keep in mind the lessons learned by millions of homeowners...buy within your means. Just because you're approved for a certain amount does not mean a) you should spend that much or b) you can really afford that much.

So, how much home can you really afford? Think about the following questions:

How much do you make per month? If your pay fluctuates (i.e. such as commission work), it's critical to consider both high and low income months.  If you make a steady paycheck (i.e. a salaried job), it is simple to calculate, review your paystubs.

How much is your monthly debt? Look at your reoccurring monthly cost of car payments, credit cards, student loans, child support, alimony, and other debts that must be paid each month.

Job market...Is your job secure?Today's job market is a little shaky.  Could you still make your mortgage payment if you lost your job?   

How much does it cost you to live each month? This will be different than your monthly debt. These are the extra expenses we all have...these include utilities (gas/electric/cable), internet and cell phone, gas, groceries, entertainment, shopping, any travel, etc.

Longevity...How long are you staying? Homes do not, and will not, appreciate as they did in the last decade.  In order to build equity you need to commit to staying for at least five years (or plan on keeping the property and leasing it).  

How much money do you have in savings? In an ideal world, your lender would like for you to put at least 20% down, in addition to any closing costs.  Do you have $60,000 to put down on a $300,000 home?  If you don't, you will have to obtain Private Mortgage Insurance (PMI).  This will add to your monthly payment.

Your best bet is to find a good mortgage officer to help.  They are the experts...they can help you figure out the correct amount you can afford.  Give me a call at 757.754.3107 or email me at homes@duncanmacleod.info and I'll be glad to point you in the right direction.

What I want to be when I grow up...

So, my daughter is in the process of looking at colleges and deciding where she wants to apply. I've asked her the question, "What do you want to be?" a number of times.

There has always been the expectation that she (and her brothers) will go to, and graduate, college right after high school. Where can you get these days without at least a Bachelors degree? A lack of one has caused me to hit a glass ceiling.

But is it truly the right advice to harp on getting a degree? Or should I emphasize the idea of finding out what she loves to do and then find a way to make career at that?

While it is true that a degree is often necessary, is it the only way to have a successful career? What's wrong with going to a vo-tech school (or equivalent) to get certified in a trade?

There will always be a need for HVAC technicians, car mechanics, plumbers, electricians, hair dressers, etc. I think that as a society we often push the idea that in order to be considered a success (or rich) that you have to have a degree and a white collar job.

I hope that she decides to go to a good college (with a great football team! Lol) and loves it. I hope that she chooses a career path that she will enjoy and excel at. I hope that she is happy. Not sure I can ask for much more than that.

As for me? I still don't know what I want to be when I grow up. ;) For now though, I'll settle for being a good father and husband, a good Chief and a successful real estate professional.

Sea Shore reaches another milestone...

I've seen and experienced Sea Shore Realty's tremendous growth over the last eight years.  It started in a little, itty-bitty office on the 2nd floor.  There was barely enough room for a desk and a copier.  My broker actually had a space cut out of the roof so she could have an "office."

in 2013, this phenomenal company has already ranked in the top 10% in sales for real estate brokerages in the Hampton Roads area...the only non-national franchise brokerage to do so.  

Sea Shore Realty has reached another milestone...we are moving from our current location on London Bridge Road (home for the last 8 years) to the corner of General Booth Blvd and Gunn Hall Dr.

Our contact info remains the same as does our top notch service.  When you have a chance, stop by to say "Hi" and check out the new office.

My house is worth...

One of the first things I hear when discussing the price point at which to list a home is, ”My house is worth more than that!”

I had clients, an older couple (Jim and Gail), who wanted to downsize.  They weren’t strangers or friends really; I guess acquaintances I had known for several years.  They had lived in their home for about 15 years.  They did not have to sell but wanted to because they had seen a home they wanted to buy.  There was plenty of equity in the home that would allow them to price it to sell and allow for flexibility.

What followed during the listing appointment was a relatively heated discussion between the husband and I.  Jim kept insisting that their home was worth $350,000, not the price I recommended, which was $320,000.*  I had showed him the hard numbers, the comparables in the neighborhood, what had sold and where it was in relation to his home.  I showed him what was on the market, what listings had expired and which ones had come back on the market.  All that supported a $320k listing price.

Jim’s thought process was a bit different.  He pointed to the landscaped backyard he had done.  He talked about the renovations and updates that had been done (10 years before).  There was a litany of reasons he had to “support” the notion that the home was worth $30k more than the market would allow.

This type of situation is where things can become delicate.  Try to force the issue and you lose the listing, and if you don’t advise your clients correctly, you’re doing them a disservice.  Damned if you do, damned if you don’t.

Eventually we compromised…it would be listed at $350k for two weeks.  If there was no listing activity then we would revisit the listing price and adjust it down.  I made sure that I notated on the listing agreement what the recommended list price was.  This covered me and ensured that Jim and Gail knew where we started.

After two weeks of zero showings I went back to their home to discuss lowering the listing price.  They agreed to lower it…by $5000.  So now it was going back on the market at $345,000 and we would revisit after two more weeks.  Two weeks after that, with zero showings, we dropped the price another $5k.  After that second price drop, we put an offer in on the home they wanted to buy.  It was a full price offer, contingent on them selling their existing home but not asking for any closing costs or any other concessions.

I heard back from the other listing agent within an hour asking about my client’s existing home: how long had it been on the market, where was it, what was it listed for, etc.  She was doing her due diligence before submitting my client’s offer to her clients.  An hour after that she called me back and told me her clients had refused my client’s offer and they would not entertain any counter-offers.  When I asked why she told me it was because my client’s home was not likely to sell at the current list price of $345,000.

Needless to say Jim and Gail were not happy to hear that, not at all.  Jim got more irate when I told him why.  He went on a tirade about how the other agent didn’t know what she was talking about and how the sellers had their head up their a$$.  His words not mine.  On and on he went until he vented himself out.  As much as I wanted to gloat, and tell him “I told you so” I did not.  It would have been unprofessional and uncalled for, besides Jim was smart enough to know it anyway.

The conversation that followed Jim’s outburst was very productive.  Jim and Gail REALLY wanted that other house so they agreed to drop the list price of their house to $320,000.  I called the other agent back and told her what Jim and Gail had done.  She told me that as soon as the price change had reflected in the MLS she would advise her clients to accept the offer.

Within the next 10 days my client’s home showed six times; resulting in one full price offer that was accepted and ratified.  Jim and Gail opening up to correctly pricing their home resulted in their home selling for full price and them getting the home they wanted.

The important thing to keep in mind is that just because you, someone who has a huge amount of time, energy, money and yes, love, invested into your home, and believe it is worth a certain amount, buyers are not likely to see it the same way.  Agents are not likely to either. 

Agents screen homes for their buyers.  If the home does not meet specific criteria then it will now show up in a search.  Jim and Gail’s home list price was so far beyond similar homes that it never showed up any searches.  If it doesn’t show up in a search, agents are not going to be able to show it.

Even if it shows on search results, the price alone would prohibit most agents from suggesting it to their buyers.  Why is that?  There are several reasons for this, some are that the buyer would not be approved for that amount or would not want to spend that much, the appraisal would not come in so it wouldn’t close, or the sellers would be offended when a low-ball offer was made.

There are a lot of emotions that both buyers and sellers have.  One of the huge benefits that agents bring to the table is objectivity.  Keeping clients grounded is a key ability any real estate agent must have.

While I always keep my client’s wishes and emotions in mind when listing their home, I am committed to getting the best deal for them in any given circumstance. 

* Not actual numbers: round numbers are easier to illustrate the point.

Mortgage rates reverse...go lower this week

Daily Real Estate News

 

Friday, March 22, 2013

Mortgage rates moved lower this week, just in time for the spring home buying season, Freddie Mac reports in its weekly mortgage market survey. After rising last week, the 30-year fixed-rate mortgage reversed course and inched back down. The 30-year fixed-rate mortgage — the most popular among home buyers — has remained below 4 percent for a year.

"Low and stable inflation is placing downward pressure on fixed mortgage rates,” says Frank Nothaft, Freddie Mac’s chief economist.

Here’s a closer look at mortgage rate averages for the week ending March 21:

• 30-year fixed-rate mortgages: averaged 3.54 percent, with an average 0.8 point, dropping from last week’s 3.63 percent average. A year ago at this time, the 30-year fixed-rate mortgage averaged 4.08 percent.
• 15-year fixed-rate mortgages: averaged 2.72 percent, with an average 0.7 point, dropping from last week’s 2.79 percent average. Last year at this time, 15-year rates averaged 3.30 percent.
• 5-year adjustable-rate mortgages: averaged 2.61 percent, with an average 0.6 point, holding the same as last week. Last year at this time, 5-year ARMs averaged 2.96 percent.
• 1-year ARMs: averaged 2.63 percent, with an average 0.4 point, dropping from last week’s 2.64 percent average. Last year at this time, 1-year ARMs averaged 2.84 percent.

Source: Freddie Mac