Sumner County Real Estate and Auction News!

I do hope you all are doing well, and that this coming weekend you have a great time enjoying the festivities. I always enjoy the holidays and the fun time we can have with family and friends.

Being in the Auction business now for 15 years personally, and around it since I was 5, I have often heard the question, and sometimes concern, about having an auction on or around a holiday. And this same question/concern came up this past week.

To be honest, I cannot remember a time when we as a family of auctioneers really gave much thought to holidays when booking auctions. Of course Thanksgiving, Christmas, and New Years Day were never considered (although I believe my grandfather would have had them on these days if asked to!), other holidays never really came into consideration (Memorial, Labor, Independence, etc….) We just worked on through, and with great success. For many years, the Fourth of July was a staple for our annual Firearms and Ammunition auction, and the crowds were unbelievable! Just this past Memorial Day Weekend (2009), we had a auction on a farm, antiques, and farm equipment, and the crowd was between 500-600. Last July 5th, we had an auction in Gallatin, house and lot and antiques, and again, a very large crowd.

So what are the ingredients that make holidays and Auctions a good mix? Here is what I have noticed:

1. No competition! The same concern you may have had about people coming, or traveling, is the same thing that kept anyone else from booking that date. When you have multiple auctions on any given Saturday, you are bound to cause a potential buyer to have to choose between you and someone else who may be offering similar items or land. The more competition you have, the smaller the crowd, the less return. With a holiday, you are sure to have very little, if any, competition, thus enhancing your auctions overall potential.

2. “I need a distraction/break.” People are driven in life. They all have schedules. Believe it or not, a long weekend sometimes can cause people to go stare crazy, and they just need somewhere to go. An Auction is a perfect environment for them to come and enjoy a show and maybe find that “deal” they just have to have. With family and friends in town, an auction also provides a great escape or diversion from the long weekend.

but most importantly,

3. If you sell IT, they will come! Auctions are often a once in a lifetime OPPORTUNITY to buy that piece of land or that rare antique, furniture, jewelry, or glassware piece. And if they know that this is their ONE chance, they will make any and ALL efforts to make that dream come true. When a farm is being sold, or firearms, or unique items, people will let nothing stand in their way of getting that deal. My dad told me for years, “Opportunity only knocks once, you better open the door!” And that is how people view auctions. So, like I told the person asking me about holidays and auctions, I said, “If you have what they want, they will show up on Christmas morning at 7 am to take a hold of the OPPORTUNITY!”

With these ingredients, 1.No Competition 2. Diversion/Break 3. OPPORTUNITY, mixed together, a holiday weekend makes for a perfect recipe for a Successful Auction!

Let us know if we can put these ingredients to work for you. RayCarman@gmail.com

Ray Carman

Wow! Is anyone else feeling the heat, or is it just me. In talking with my grandfather, he mentioned this being quite unusual for June, not remembering another time like this. Needless to say, we are experiencing different weather patterns in Sumner County TN than we have been used to over the past several years. So, what does that have to do with Real Estate?

As I hope you are aware, we are in the middle of a nice trend in the county, with more activity picking up in purchases of homes. We have not reached levels from last year yet, but we are definitely moving better than a few months ago when things were looking a little bleak.

With all this new activity, and the scorching heat, it is important you have your home nice and cool for any prospective buyers. As we melt outdoors, it is important that buyers know your house offers them a cool oasis if they decide to purchase your home. There is nothing more difficult to overcome as an agent in hot weather, than to walk in a house on a showing, and you and your buyers are looking for the exit because the house is not offering any relief from the heat.

So how can you make sure your house is not a sauna?

1. Have your unit checked and serviced. Offer to present the receipt for the work done showing the unit is in good order.

2. Have your windows and doors checked for efficiency. Be willing to fix or replace any trouble areas.

3. Keep lights to a necessary minimum during scorching hot days. Keep some lights on, but no need to be Candlestick Park!

So while its HOT outside, be sure you keep it cool in your home!

Ray Carman

This is a question I asked myself a couple of years ago? At that point I knew absolutely nothing about social media and/or blogging.  I was completely relying on my friends Bill Seaver with MicroExplosion Media and Craig Kendall of Kendall Media Group to teach me about this new way of communicating and advertising. What was Social Media and how would it work in Real Estate and Auctions? And, would it work in Sumner and surrounding counties in TN?

Before taking the Social Media leap, I relied solely upon some old school ideas for my business. Cold calling, Direct Mailing, and print media was all I had ever known. These forums did have their benefits and did produce leads. However, they were both very time consuming and very expensive. What I was needing was something capable of producing the results with less time and for much less money. This is where social media seemed to make sense.

Bill Seaver is one I consider a leader in this field. I begin to spend quite of bit of time reading his blog and using that to pick is brain. A one on one session with him proved to be very enlightening for me as well. Craig had set me up with a personal blog, and to my amazement, people actually took the time to stop by and read it. Without much personal experience, I decided to take the leap and made social media my #1 source of communicating and advertising myself and my business. I started this blog, as well as, started making some videos using PriorityOne.tv to promote listings and upcoming auctions.

To date, I can say with all sincerity that it has been a great decision. Taking a few minutes to write a blog post like this, or spend a few minutes on Facebook, Twitter, or IsurfSumner has led to some great business deals. It has also opened many doors for personal and professional networking. The main concerns mentioned with the other approaches were time and money. With social media, I have come to see your time is money. The cost for a blog, or FB account or Twitter is nothing. The time you put in is totally up to you. The content is also your choice as well as your target audience. One of Bill’s first lessons to me was to “choose your audience” and direct your content accordingly. And I have found, the more time and thought you give social media. the more return you can have from it. It is not necessarily about have something fresh every day or twice a day, but rather offering something of value to the person on the other end. Aka, content with meaning to your audience.

Now granted, I have not quite got it all figured out, and I have a-lot of learning to go, but I would have to say to date, my personal experience with Real Estate, Auctions, and Social Media has proven to me that they are a perfect mix.

What are some of your thoughts from a professional or personal experience. Do you find social media is beneficial to Real Estate and Auctions. Would love to hear the thoughts of other agents and clients.

I have been getting information, as I am sure you are all aware, that rates have taken somewhat of a jump over the past week or so. They have essentially increased 3/4’s of a point and are hanging on at about 5.5% right now as par.

The big question is, is this a trend to expect over the next few weeks, or a simple bump in the road? That of course is anybody’s guess, and the best place to get that information would be to speak to your mortgage lender. We all know that people everywhere have been taking advantage of these low rates to Re-fi their current loan. Some buyers have taken this opportunity to purchase new homes and get larger houses for the same monthly payments. These have all been beneficial to the market place and have brought a glimmer of hope to the economy.

Now with a slight bump, seemingly, people are starting to get slightly sideways wanting things to go “back” to the really low rates! But here is a few things to look at:

1. Rates, even at 5.5% are considered really good in the light of the market as a whole.

2, A steady market with a climbing economy shows interest rates hovering between 7 and 9%. So even at 5.5%, we are looking at great rates with which to buy!

3. A climbing rate usually reflects a climbing economy. Now whether or not this is a short term bump or the start to a more stable economy is yet to be seen.

Overall, with this slight increase in rates. we should still take advantage of lower lending cost than what we have seen in the not too distant past. I am personally too young to remember the rates of the 70’s (18-21%), but I do remember 10-13% in the 1990’s. People who bought then would have loved 5.5% or even 7-9 %.

All in all, take heart! There still has not been a better time in our recent past than NOW to invest some time and money into Real Estate in Sumner County TN!

Ray Carman.

In our present day market, we as agents are having to deal with multiple issues and seemingly new confrontations to a deal getting done. One of those issues today is having to deal with appraisals which are showing a value less than what the contract is for. This often leaves you with upset (sometimes irate) sellers or buyers, depending who you are representing.  So, this leaves you with the question of, “What now?”

Here are a few tips:

Pull your hair out and run around crying and screaming, “My life is over and the world is coming to an end!” Just kidding! Actually, try these!

1. Remain calm and let your client know you are looking into the issue and will see if there is anything you can do.

2. Open a professional dialogue with the appraiser. This could be the key to getting your deal worked out. Offering help vs demanding fixes is VERY important!

3. Sit down and review the appraisal. There may be slight mistakes or errors which can easily fix the situation.  and  I have had two of these in a week. Both were simple errors, which once corrected, went a long way to correct the amount.

3. Have your comparables ready to offer as alternates to the ones being used and explanations why you feel these are better suited for the situation. Be sure they are viable comps and not just trying to prove your point.

4. Prepare your buyers and sellers for possible renegotiation. This may be the only way to solving this issue.

5. And lastly, be prepared to walk away! If the appraisal cannot be reconciled and the clients will not renegotiate, then professionally walk away with your head held high and help your client, seller or buyer, move on to the next thing ahead!

That is my thoughts, what are yours?

Ray Carman

Set Apart = being different, one of a kind, known for uniqueness, standing out in a crowd!

These definitions are some very important keys in the world of real estate and auctions. They should be used on both sides of the scale, for agents/auctioneers and sellers. In a world filled with the “norm” and overcrowded with the “usual”, it is key to be Set Apart. Are you? Here are some things to ask:

1. What makes me / my house stand out from the rest of the crowd/

2. Why would someone choose me / my house over the next?

3. What factors make me / my house different, and what am I doing to exploit these things?

In a world of “norm” and “usual”, people are attracted to those who are Set Apart! Each person and house has something unique it has to offer, find out what it is and put your “blue light” on it so people will notice and be drawn to it! Find the place you / your house are Set Apart and Stand There!

Ray Carman

Every so often, you are asked to take a step back in life, by circumstances or other factors, and forced to ask yourself this question: :Why do I do what I do? What is it that motivates me to get up in the morning and do the ‘job/career’ or service that I presently do?”

Now this question has been a leader in helping people either stay motivated in their current position, OR, go out and find a new avenue in which they find a greater sense of self worth.

On occasion I am asked about my “position” or “job” and how I came to do it. My simple answer was to tell them who my Grandfather and Father are  (Gene Carman and Harold Gene Carman Jr), and that instantly answers the question for me. “Oh, so you were born into this job! You had a job before you knew what a job was!”  is the common response I receive. Of course we usually laugh a minute, but the facts are true. For most people born into our family, your career path was laid out many years in advance.

However, I can say with ALL my heart, I thoroughly enjoy my work and what it is I have been given to do! Prospecting, Marketing, and Selling Real Estate is the “what” of my job, but it is ASSISTING people in the pursuit of their dreams/goals that brings me my greatest satisfaction! It is what I was given to do by my Father, and I love every minute of it!

So to all you you have allowed me to enjoy my job by serving you, THANK YOU!

I read a great post this morning about a Car with Stickers! The writer of the post pointed out three very good points about how this car can lend some ideas for running your business. These questions got me to thinking about how we might incorporate these into the Real Estate and Auction worlds. How do we make our company and business more memorable to our potential clientale? In an uncertain economy, how do we do this without huge pulls on the finances? And lastly, how do we keep it fresh for our current clients who are already here?

So, I thought I would bring these questions to you, the public, and see what ideas you had. What can we be doing to stand out, save money, and stay fresh? Leave your ideas in the comment box below. Looking forward to your ideas!

This past week I had the opportunity to work with some clients who had found the house they wanted to raise their family in. This house was in the area they wanted and had everything they were looking for. The only problem was, to them it seemed priced somewhat too high. So therefore they were left with a quandary as to what to do. They had already contracted to sell their house, and needed a place to go, and this one seemed to be it. So, now what?

They started off with a simple offer for much less than what the asking price was only to receive a counter which they still considered to be over market value. After a few nights of thinking and praying, they looked one more time, and sure enough, this is where they wanted to be. Now they were left with the issue of either countering again or pay more than they thought the house was worth.

This is where we discussed doing some research and finding out exactly what things in that neighborhood had been selling for. What was the most expensive house EVER sold in the subdivision, and what was the average. They sent me off to do some homework, and I called them with the results. The figures landed exactly where we figured, but now they had to decide what to do with the information.

Here was my suggestion. “Make your offer and attach the comps we founds and explain how we came to this price. At that point, you have done all you can do to purchase the house and give fair market value.” So we did.

In this case, their offer, even though considered a “lowball,” was accepted. The homework paid off.

This may not always be the case, but, if you offer reasonable evidence that you believe your offer is in line with today’s current market, you have a better chance at having your offer seriously considered vs just throwing out a “lowball” offer!

Have a great weekend, and always feel free to contact me or anyone here at Priority One Real Estate and Gene Carman Auctioneers with your real estate  and auction questions!

Ray Carman

This weekend I attended a Court Auction in Gallatin. An estate had come up and the County Clerk was there to offer this 13.8 acres in two tracts. They had both had some preliminary soils work done and things look very good for the property. Being this was not an auction conducted by an auctioneer, there was not a huge crowd and there was no charisma in the chant.Before I went, I had estimated the property would sale for approx $5,000 an acre.  The tax appraisal was for $115k, so I figured my estimate would be about right in our market today.

When the sale opened, it became very clear that what my Grandfather, Gene Carman,  said about “NOW being the time to buy” is VERY true! This property sold for an average of $2500 an acre, half of what I estimated and 1/4th the tax appraised value from 2008. (this is not the new assessment.)

If you have been considering a place to put some money, I do not know how to offer better proof of NOW being a great time to invest in Real Estate. With huge amounts of money being printed, and the stock market still uncertain, and prices like those mentioned above, NOW is the time to invest money in some DIRT!

If you are thinking of investing, here are some quick tips:

1. Be prepared to write the check. Get your financing or money ready to go so you can move quickly.

2. Be patient and wait for a good deal, and when you see it, strike!

3. Have your Realtor on speed dial! This will insure your ability to make your move when you are ready.

4. Be creative in your seraches. Look on Craigslist, Realtracs, and also keep your eyes open on Auctions. ( IsurfSumner.com puts out a weekly article on area auctions that might have good investment potential.)

If you have any questions on making a good investment in Real Estate, please feel free to give me a call, 615-428-4920.

Ray Carman