realtor - Hampton Roads REALTORS® Association
Transcription
realtor - Hampton Roads REALTORS® Association
HAMPTON ROADS REALTOR ® VOL. 36 ~ ISS. 11 NOVEMBER 2015 Published for Members of the Hampton Roads REALTORS ® Association They're so much more than just “initials” behind your name... Understanding Designations PLUS: INSURANCE AND THE 3-DAY RULE; HOW THE VELOCITY OF MONEY IMPACTS HOME LOAN RATES; VAR CONVENTION RECAP; HRRA'S CHOREY NAMED SUFFOLK FIRST CITIZEN 2015 Tr 7.8 Pr Co Let’s work together to help more buyers achieve their goals Recommend Wells Fargo Home Mortgage Your goal is to turn buyers into homeowners. Our goal is to provide financing to make that happen. And, as the nation’s #1 residential mortgage lender, we provide a wide array of products and programs. So no matter what your client’s home buying goals, we can help you by providing financing options to meet nearly any homebuyer need. • A wide selection of conventional loan programs • Fixed- and adjustable-rate mortgages (ARMs) • Mortgage options with built-in renovation financing • PriorityBuyer® preapproval • The attentive service of knowledgeable mortgage professionals • Purchase loans including FHA and VA programs No other lender is as dedicated to delivering quality products and services to you and your clients as Wells Fargo Home Mortgage. We’re ready to help you put buyers into homes. Contact your Wells Fargo Home Mortgage branch today. Virginia Beach — Town Center 757-493-4111 Newport News — City Center at Oyster Point 757-873-3308 Virginia Beach — Hilltop 757-448-6720 Kill Devil Hills, NC — 3118 N. Croatan Highway 252-441-7610 Chesapeake — Greenbrier Circle 757-420-6162 Elizabeth City, NC —- Main Street 252-331-6221 This information is for real estate professionals only and is not intended for distribution to consumers or other third parties. Information is accurate as of date of printing and is subject to change without notice. Wells Fargo Home Mortgage is a division of Wells Fargo Bank, N.A. © 2015 Wells Fargo Bank, N.A. All rights reserved. NMLSR ID 399801. AS1173379 Expires 12/2015 p. 2 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 CONTENTS HAMPTON ROADS REALTOR ® FEATURES 6 Will you designate a contribution to HRRPAC? 17 Designations are more than just "initials" 8 Behind the Scenes of the Dramatization of a Professional Standards Hearing 20 Determining the right amount of replacement 10 Promoting Portsmouth: Interim economic development director touts incentives with HRRA’s Commercial Alliance insurance 21 "Anatomy of a Home" students showered with knowledge 13 What is the velocity of money, and how does it impact home loan rates? & Trade Expo 24 Make giving thanks a year-round activity in 14 De-cluttering: pros & cons of the move 15 Use new federal home-buying guidelines to behind your name 22 HRRA shines during 2015 VAR Convention 12 Insurance and the 3-day rule your advantage your business 25 I am one® Supporter of the Month 27 HRRA’s Chorey named Suffolk First Citizen 2015 16 Government Affairs, REALTOR®/Lawyer and Resale joint meeting IN EVERY ISSUE 4 From the Chair 5 A Picture is Worth 1,000 Words 9 Legal Corner 18 Calendar of Events 19 Calendar of Education 5 8 10 22 26 Association to Association 27 Welcome New Members ADVERTISERS East West Realty - 7 E.T. Lawson - 25 Mary Kromer, Digital Marketing Consultant - 26 Procraft Inspection Services - 21 Real Estate Security Agency - 28 Servpro of Virginia Beach - 6 SimonTowne Mortgage - 23 Wells Fargo Home Mortgage - 2 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 p. 3 FROM THE CHAIR: Understanding designations’ benefits Rusty Hulett 2015 HRRA Chairman of the Board My fellow REALTORS®, this issue is dedicated to understanding designations, which are awarded to a REALTOR® who has increased his or her skills, proficiency and knowledge through educational courses and experience in a certain field of real estate. They are bestowed by the National Association of REALTORS® and its affiliated institutes, societies and councils. You may have seen another REALTOR®’s business card and noticed a whole bunch of letters following the agent’s name. Those acronyms are for the designations that person has earned. Let’s go over a few of the most common ones: Accredited Buyer’s Representative (ABR®) – This is for REALTORS® whose primary focus is dealing with buyer clients. Certified Residential Specialist (CRS) – This is the highest credential awarded to residential sales agents, managers and brokers. Graduate, REALTOR® Institute (GRI) – This is for those who have received in-depth training in legal and regulatory issues, technology, professional standards, and the sales process. Seller Representative Specialist (SRS) – This is the partner designation to the ABR®, except that it is for those who deal primarily with sellers. These are just a very few of the more common designations for residential real estate. Commercial real estate has its own designations, including Society of Industrial and Office REALTORS® (SIOR) and Certified Commercial Investment Member (CCIM). Please visit realtor.org/ designations-and-certifications to learn about all the designations available to you as a REALTOR®. So you’re probably saying to yourself that you don’t have enough time to get a designation or that you don’t really see the benefit to getting one. There are two really good reasons for getting one or several designations. The first is that you increase your knowledge in your chosen profession. Being knowledgeable in a certain field of real estate might just be the deciding factor for someone who is weighing whether to choose you or another agent. And that segues into my second reason for getting a designation: You make more money! According to NAR, the median income of REALTORS® without a designation was in 2013 was $33,500, while the median income of those with at least one designation was $61,100. That’s a difference of $27,600! My challenge to you is to research HRRA’s website for designations and earn one before the end of 2016. Cooperate. Educate. Advocate. ~ Thank You to our 2015 HRRA Partners PLATINUM BRONZE COPPER AMBASSADOR SM p. 4 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 HAMPTON ROADS REALTORS® ASSOCIATION Chairman of the Board: Rusty Hulett Chairman-Elect: Becky Claggett Vice Chairman – Finance: Sherry Maser Immediate Past Chairman: Amy Rhodes Executive Committee: Terry Gearhart, Priscilla B. LeMoine, Gary Lundholm DIRECTORS: Dayla Brooks Shirley Conner Jennifer Cool Mark Edwards Tonya Feamster Nikita Houchins Jimmy Jackson Tanya Monroe Kimberly Plourde Stacie Powell Carolette Reisner Maily Roberts-Jacobs Brooks Sinnen Carrie Williams Terry Fraley HAMPTON ROADS REALTOR® MAGAZINE Approximately 3,800 copies of each issue of the Hampton Roads REALTOR® are published monthly by the Hampton Roads REALTORS® Association, Inc. (HRRA), 638 Independence Parkway, Suite 100, Chesapeake, VA 23320. HRRA reserves the right to edit or refuse all submissions for publication. HRRA reserves the right to receive royalties from some programs and services. Views and advertising expressed in this magazine are not necessarily those of, nor endorsed by, HRRA. The Hampton Roads REALTOR® is created for the members of HRRA by Organization Management Group, Inc. (www.ManageGroup.com). Editors: Victoria Hecht [email protected] Kim Breeding-Mercer [email protected] Design/Layout: Kim Breeding-Mercer Advertising Sales: Connie Hedrick, [email protected] Copyright © 2015 Hampton Roads REALTORS® Association; all rights reserved. HAMPTON ROADS REALTORS® ASSOCIATION I am one. ® A Picture is Worth 1,000 Words Recent photos of HRRA members and events Foodbank, members score wins in HRRA’s Chili Cook-Off, drive – Members helped HRRA scored a touchdown in the battle on hunger September 17 during the Affiliates Council-sponsored third annual Chili Cook-Off and Tailgate Party. Hundreds gathered at HRRA headquarters for an afternoon of chili taste-testing, networking and camaraderie while collecting nonperishable food donations for the Foodbank of Southeastern Virginia. Attendees donated 432 pounds of food to the Norfolk-based nonprofit. REALTORS® competed against Affiliate members in a field of 20 contestants for bragging rights for best chili in the categories of People’s Choice and Judges’ Choice, with the latter chosen by firefighters from the Chesapeake Fire Department. Fulton Mortgage’s Holly Damalas nabbed first place in the Judges’ Choice category, followed by Royal Ferguson of Ferguson Insurance in second place and Howard Hanna William E. Wood’s Ed Culpepper in third place. The People’s Choice winner was Cindy Hawks of Keller Williams’ Hilltop office in Virginia Beach. Damalas won top Judges’ honors with a white chili recipe, while Hawks snagged the People’s selection with a vegetarian chili recipe. Attendees also participated in the REALTORS® vs. Affiliates Skills Challenge sponsored by George Mason Mortgage LLC, during which members tested their throwing arms for most yardage. Mike Karslake of Providence Computers scored 105 yards and the victory. The event also was attended by Old Dominion University mascot Big Blue and the university’s Ted Head Fore Heads, always a crowd favorite. – Victoria Hecht, HRRA Communications and PR Specialist See these photos and tons more at facebook.com/hrrarealtors HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 p. 5 Will you designate a contribution to HRRPAC? Ron Lovell HRRA Local Government Affairs Director Gordon Dixon HRRA State Government Affairs Director As a REALTOR®, you may already be aware of designations like GRI, ABR® and CRS, some of the more familiar and long-established ones that recognize different skills and knowledge in our profession. But did you know there also are designations to recognize support of the profession in the political action arena? Contributions to theHampton Roads REALTOR® Political Action Committee (HRRPAC) are like a business insurance investment that helps create and maintain a legislative and regulatory environment that provides for effective consumer protection and freedom to create your own professional business. In the political landscape today, it is essential that REALTORS® have a strong and unified voice when engaging the governmental structures that affect our business. At the national, state and local levels, HRRPAC contributions are one important way to support that strong REALTOR® voice. The basic contribution level is now referred to as the “Fair Share” contribution and recognizes a member contribution of at least $35 during a campaign year. The concept is that by making at least this level of contribution, a member demonstrates their understanding of broad support for the REALTOR® objectives. We encourage all members to do so. You can make this contribution at the HRRA website by logging in to “Members Only” at HRRA.com and selecting “Make a one-time p. 6 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 HRRPAC contribution.” Many members choose to contribute at higher levels because they understand the importance of keeping our REALTOR® voice strong in the political area. Additional levels for contributions within a contribution year are: In the political landscape today, it is essential that REALTORS® have a strong and unified voice. • Mayor’s Club – at least $100 • Capitol Insider – at least $250 • Governor’s Club – at least $500 • Sterling “R” – at least $1,000 • Crystal “R” – at least $2,500 • Golden “R” – at least $5,000 In addition to the annual recognition levels, the National Association of REALTORS® recognizes those members who make continuing contributions during their professional career by the designation of “Hall of Fame” when a member’s lifetime contribution reaches $25,000. Obviously, this level of contribution is based on the member valuing the importance of keeping our REALTOR® political voice strong. NAR acknowledges the members achieving this level at a formal induction ceremony during the national meetings. There is an additional level of contribution to political action with the NAR President’s Circle program. After a qualifying contribution to Hampton Roads REALTORS® Political Action Committee (HRRPAC), the member commits to additional direct contributions to NAR-designated candidates who support REALTOR® values. You can review HRRA member contributions to HRRPAC at HRRA.com/hrrpac/. This page is updated quarterly to reflect contributions year to date. And don’t forget that you can make a contribution by going online at HRRA.com or, if you like, just call one of us (Ron at 757-473-9700 or Gordon at 804-249-5716). 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Back by popular demand, the players showed a standing-room-only audience what happens when a complaint is filed against one of our REALTOR® members for a violation of the Code of Ethics. It should be noted that, while humor was injected into the recent dramatization, it is highly absent from a real hearing. Please note, too, that complaints filed based upon the National Association of REALTORS®’ Code of Ethics have nothing to do with license law, which is governed by the Virginia Real Estate Board. Also, please note that every step of the grievance process is 100% confidential. Setting the scene - HRRA’s Professional Standards administrator, Cathy Crossfield, typically receives a phone call from either a member of the public or another REALTOR® inquiring as to whether what is in their mind is a wrongdoing by one of our HRRA REALTOR® members. Once Cathy determines that the agent in question is indeed a member, she answers the caller’s questions without giving advice. Should the caller decide to file a complaint against the REALTOR®, Cathy will send the caller the appropriate paperwork. When Cathy receives the paperwork, she reviews it and then she forwards it to Russell W. Harris, who chairs the Grievance Committee. Russell selects five members of the Grievance Committee to participate in a teleconference to review the charges and determine if, on the merit of what they have before them, it appears that a violation of the Code of Ethics has occurred. The Grievance Committee has a specific list of questions they ask during their call. If all of the questions are in the affirmative, then the Committee reviews which articles are being cited and decides if they are correct or if others should be included or discarded. Once the committee votes that in their opinion the complaint has merit, the chairman notifies Cathy. (In the case of the mock hearing, they voted to move the complaint up to the Professional Standards Committee with possible violations of Articles 1 and 2, and the Grievance Committee added Article 9.) Cathy will now notify the complainant and respondent that the case will be moving forward to Professional Standards. At this time, the respondent will have an opportunity to provide documentation to demonstrate his or her side of the situation and send it to Cathy Crossfield. Each party is provided with the procedures used during this process (continued on page 11...) Thanks to the HRRA Players: Jo Cross and Ann Palmateer - Moderators; Cathy Crossfield - Complaint to Grievance; Carrie Williams - Betty Bamboozle (complainant); Jennifer Cool - Sally Steamed (respondent); Russell W. Harris, Sherry Snyder and Doug Albert - Grievance Committee; and Elaine Griffin, Nancy Souldourian and Jack Voss - Professional Standards Hearing Panel. p. 8 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 LEGAL CORNER: Ratification, conveyance, acceptance John F. Faber, Jr., Esq. Attorney, Wolcott Rivers Gates This month’s column feels a little like cheating. That’s because it is a reprint of a Legal Corner column from April 11, 2000. The reprint is timely, however, because it addresses an issue that has arisen in REALTOR ®/Lawyer meetings twice this year; once in May and once in September. Specifically, some confusion seems to persist between the concepts of when a valid contract is formed between a seller and a purchaser, and when that contract is ratified for purposes of measuring dates and other matters of contract administration. According to the Virginia Supreme Court in the Levy case discussed below, a real estate contract is formed when an offer has been made, the offer has been accepted and the acceptance has been communicated to the offeror, whether or not the written contract has been returned by the accepting offeree to the offeror. The Levy case is still good law and was cited in a federal court case as recently as May of this year. The current REIN from Standard Purchase Agreement sets forth a definition of “ratification” that appears to be meant to correlate with the contract formation rule in Levy, but that definition has not eliminated the belief that contract formation and ratification are two different occurrences. No reported decision of the Virginia Supreme Court appears to address ratification in the context of contract acceptance. A potential solution to the formation versus ratification question appeared at the end of the 2000 column, which is reprinted in its entirety as follows: A builder signed and sent a contract proposing to sell property in Virginia Beach to certain buyers. Six or seven days later, the buyers signed the contract. A day or two after that, one of the buyers telephoned the president of the builder and informed him that the buyers had signed the contract and would return it the next day with a check for the down payment. Before receiving the signed contract and the check, the builder informed the buyers that it was withdrawing its offer to sell the property. Those are the facts in the case of Levy v. Beach Investment Corp., which was decided in the Supreme Court of Virginia in 1971. The contract became effective when its acceptance was communicated by telephone. The buyers in Levy sued for specific performance, claiming that the communication by telephone of their acceptance of the builder's offer was sufficient to form a valid contract. The builder argued that the contract never became operative because it was not delivered to the builder before the builder revoked its offer. The Virginia Supreme Court disagreed with the builder, and held that the contract became effective when its acceptance was communicated by telephone to the president of the developer. The decision in Levy may come as a surprise to any real estate agent who has raced against the clock to deliver a fully-signed contract to another party to ensure that the contract was valid, or who has tried in vain to get another agent to return a fully-signed contract. The decision is unsatisfying because it seems to reward the party that is too lazy or discourteous to deliver the fullysigned document, and to deprive the other party of the chance to examine the final document to make sure that everything is in order. The decision can also make it more difficult to compute time periods that are measured from the date on which the contract is signed. Perhaps in order to counter the effect of the Levy case, the REIN form Standard Purchase Agreement employs the concept of “ratification” for determining the point from which to measure important contract deadlines. Paragraph 19 of the Standard Purchase Agreement states that ratification means “the date of conveyance of final acceptance in writing of all terms of this Agreement...” The intent of the quoted language appears to be to require the last signer to deliver the signed document back to the first signer before a binding contract is formed. Instead of using the word “delivery,” however, the contract uses the word “conveyance,” and is unclear as to whether it is the “conveyance” or the “acceptance” that needs to be in writing. A credible argument can be made that as long as the "acceptance” (i.e., signing the agreement) is in writing, the “conveyance” of the acceptance (i.e, communicating to the other party that the offer has been accepted) can be done verbally. That argument would be consistent with Levy, which remains the law in Virginia. If agents truly wish to counteract the effect of the Levy decision, the first sentence of paragraph 19 of the Standard Purchase Agreement should be replaced with a plain statement that a valid contract will be formed and ratification occur only when the last party to sign the contract delivers the signed contract, without additions or modifications, back to the party who signed first. ~ This column is not, nor is it intended to be, legal advice. You should consult an attorney for advice regarding your individual situation. HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 p. 9 Promoting Portsmouth: Interim economic development director touts incentives with HRRA’s Commercial Alliance Victoria Hecht HRRA Communications and PR Specialist Mallory Butler, interim director of Portsmouth’s Department of Economic Development, recently shared a presentation about the city’s strategic growth areas and target markets with HRRA REALTOR® members during “Incentives for Commercial Real Estate: What’s in the Pipeline for Commercial Development.” Butler’s breakfast address to the Hampton Roads REALTORS® Association’s Commercial Alliance was held on site this fall at JaniKing, one of Portsmouth’s commercial properties listed for sale in the Airline Boulevard corridor. Butler cited six strategic target markets for Portsmouth – community initiatives, including minority- , woman- and veteran-owned busi- Terry Fraley, HRRA Commercial Alliance chair and Mallory Butler, Interim Director for the Portsmouth Department of Economic Development. p. 10 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 nesses; craft breweries; maritimeand port-related industrial users; modeling and simulation; multifamily residential development; and retail—and noted $67.4 million in new investments in the multi-family segment alone. Butler also noted a local incentives program, including grants for façade improvements and safety and security; grants available within state-designated enterprise zones; and assorted zones and tax credits, and identified seven strategic growth areas with the city. The Commercial Alliance, a council within HRRA, represents Southeastern Virginia commercial REALTORS® who specialize in selling, leasing and managing commercial properties. Member-firm representation includes attorneys, appraisers, lenders, title companies, developers and other groups associated with commercial leasing and sales. Said REALTOR® Terry Fraley, who serves as chairman of the Commercial Alliance, “There is a vast underutilized real estate market in buying, selling and leasing that’s just waiting to be tapped by us all.” Look for Alliance events like “Commercial Lending - Come hear the experts” on November 4, seminars and other activities as HRRA seeks to grow this segment of the association and spread awareness about commercial real estate sales. Contact Fraley at myagentterry@ aol.com or 757-237-1030 to get involved. ~ (Professional Standards, continued from page 8) as well as a list of all of the members of the Professional Standards Committee. This gives both parties the opportunity to have members of the committee stricken from being able to participate in this hearing. They may challenge those members because of affiliation, prior relationships, etc.; it is their choice. The ultimate goal is that both the complainant and the respondent get a fair hearing. Once Cathy has assembled all of the appropriate paperwork, she then forwards it to the chairman of the Professional Standards Committee. The chairman reviews the entire case and then seats a hearing panel. When selecting committee members to sit on the panel, the chairman makes sure that no panel member is from the same company as any of the parties. If, for example, a complaint involves property management, the Professional Standards chairman will ensure that the hearing panel includes members proficient in property management. The chairman will seat one member to chair the panel plus four panel members and an alternate. Once the chairman completes this task, he/she never learns the result of the hearing. Confidentiality is paramount! The mock hearing - During the “Dramatization of a Professional Standards Hearing,” Carrie Williams portrayed Betty Bamboozle who felt that her agent, Sally Steamed, played by Jennifer Cool, did a terrible job representing her. Here is a breakdown of what transpired. Betty Bamboozle said that her money was tight and she needed the seller to pay her closing costs. She also wanted the stainless-steel, front-loading clothes washer and dryer. At the home inspection, the inspector said that she should request that the HVAC be evaluated by an HVAC technician and serviced as needed. When filling in the contract, Sally Steamed asked that the “Seller to pay 3% of buyer’s closing costs.” Betty was expecting over $8,000 in closing costs paid for her when, in reality, just over $240 in these costs were paid. Betty said she had to borrow from her 401K and, since she didn’t have sufficient time to show the 401K company that it was to buy a house, she incurred thousands of dollars in tax penalties. She said that Sally should have written “Seller to pay 3% of the purchase price towards buyer’s closing costs.” When completing the Property Inspection Contingency Addendum, Betty told the panel that the inspector recommended the HVAC be evaluated and serviced by an HVAC technician. All Sally wrote was to have it “evaluated.” (What good is an evaluation if they don’t make the repairs?) When Betty looked at the house, she fell in love with the stainless-steel, front-loading clothes washer and dryer. Since Betty is a single mother expecting her first child, she was excited to have such top-notch appliances to wash her baby’s clothes. You can imagine her shock when she went to the walk-through and found old, cheap appliances. Betty’s complaint was that Sally didn’t include any of the specifics of the appliances. Because Betty wanted to move on with her life and into her new home, she decided to sign at closing, in spite of her frustration and the extra money it cost her. In her response Sally Steamed said that she encouraged Betty to read the contract and make sure she got what she wanted. Sally explained how she fills out the contract on Zip Forms and, “You know, ‘click, click, click.’” Sally said that the REIN listing didn’t include the clothes washer and dryer and that Betty should be happy that she got this set. Sally also said that Betty wanted 3% of closing costs and that’s what she put in the contract. Sally felt that it was Betty’s responsibility to make sure she understood what she was doing and, if she didn’t, she should have asked for clarification. The hearing panel kept everyone on track and made sure that each of the participants agreed that they had a fair hearing. Prior to the hearing panel making its decision, moderator Ann Palmateer asked the audience for its take on the hearing. A dozen hands went up into the air, and a barrage of questions followed. The interaction and comments from the agent audience was spectacular. Their questions were insightful and caused for follow-up questions. The outcome was that the respondent was found in violation of Articles 1 and 9. They felt that the respondent didn’t look out for her client’s best interests and she didn’t ensure that all terms of the contract were written in clear and concise language. After the panel completed its deliberations and voted, the panel chair, played by Elaine Griffin, was permitted to ask to see the respondent’s REALTOR® record to see if she had any other previous violations. The sanctions that the panel would impose would be decided after they found out whether or not this was her first violation or if she was a habitual offender. Sanction choices include a Letter of Reprimand, education, a fine of up to $15,000 (rare) and suspension of membership in HRRA. Once the sanction was determined, the Findings of Fact would be prepared and submitted to the HRRA Board of Directors. Finding of Fact gives a succinct description of what happened and why the decisions were made. The HRRA Board of Directors receives a “sanitized” version of the Findings of Fact so that they do not know who the parties are to a hearing; confidentiality is maintained. The board approves the outcome or has the authority to reduce the sanctions but cannot raise them. The board can also refer the decision back to the panel for a new hearing, if concerned about procedural deficiencies. ~ Commercial Lending: Come hear the experts November 4, 2015 A panel of experts will be on hand to answer your questions. Register now at HRRA.com HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 p. 11 d n a e c n Insura e l u r y a the 3-d Scott Hunter Comparity Insurance Debt-to-income requirements have certainly had an impact on hazard insurance for home buyers, and now a new factor will increase those pressures. TIME! New mortgage lending rules that took effect in October could have a bearing on your closings, so let’s update you on how insurance can impact buyers in light of these rules. In essence, lenders will have to be able to give the borrower a firm closing expense calculation three days prior to closing, and the closing must be postponed for an additional three to 10 days if the numbers change during that period. Since hazard and flood insurance premiums are frequently a component of those costs, it is more important than ever for buyers to start the process early. Here are a few of the factors to keep in mind when a buyer is purchasing a home and ways that you can help. Estimates vs. quotes - Make sure your buyer is getting actual quotes. Estimates are a great way for a buyer to gauge his or her monthly costs, but they aren’t always accurate. The lender will need a firm annual premium in order to meet the three-day rule. In order to get an actual quote the borrower must be underwritten based on his or her credit as well as the features of the home being purchased. Check flood zones - Don’t wait for the lender to surprise you with a zone determination. If you’re required to order an elevation certificate (which is needed in most cases p. 12 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 if the home is in a required zone and was built after 1975), you need to allow for extra time. The survey can take several days to perform and process the necessary paperwork. Also, underwriting requirements may also take several additional days. Estimate that it will take five to seven days to get a flood Your buyer should begin shopping for insurance as soon as a contract is ratified. quote with a new elevation certificate and could take longer depending on weather, volume of requests, etc. Start early - Your buyer should begin shopping for insurance as soon as a contract is ratified. Many carriers have restrictions on locations so you don’t want your buyer to wait to contact their existing provider only to find out their new home isn’t eligible for coverage. While quotes are only valid for 30 days from the date quoted, the client can always be requoted within a few weeks of closing to ensure the rates haven’t changed. Compare and bundle - Policy costs can vary widely based on the provider, so it’s important to compare several options so that your buyer can make sure he or she is getting the right coverage at the best rate. In addition, encourage the buyer to compare auto policies in conjunction with the homeowner’s quotes. Bundling policies can save the client as much as 30 to 40 percent with some providers. Making sure that they are getting fair and reasonable rates can prevent debtto-income eligibility issues that could delay or derail your closing. Remember that a client’s satisfaction is largely dependent on how smoothly he or she perceived the transaction took place. Many clients, particularly first-time buyers, may not be familiar with the steps necessary to secure insurance for the home’s purchase and will rely on your guidance and knowledge. By helping your client to manage the timeline of events, you can prevent possible delays, make the process feel less stressful and leave a smile on your client’s face that will ultimately mean more referrals for you in the future. ~ If you’ve been watching the economic news, you’ve probably noticed that market experts and traders have been keeping a close eye on the Commerce Department’s Personal Spending and Personal Income reports. Obviously, those reports provide insight into the health of our economy, but did you know they also influence home loan rates? That’s right, personal spending can actually influence the interest rates that are available when you purchase or refinance a home. Here’s why. It has to do with something called the velocity of money. Even though the government keeps pumping money into the system, nothing happens until that money is spent or loaned—and passes from one hand to another or one business to another. The speed at which this money passes between parties is the velocity of money. With the job market still sluggish, consumers aren’t spending Darlene Kemp NMLS #173897 Atlantic Bay Mortgage Group FRcEaEtion Edu much money these days, and businesses are still reluctant to spend money to make investments in their business. With the present velocity at low levels, inflation remains subdued, and that’s good for home loan rates. That’s because rates are tied to There's an inverse relationship between good economic news and home loan rates. mortgage bonds, and inflation is the archenemy of bonds, so low inflation is good for bonds and rates. However, once velocity increases, the excess money in the system will cause inflation—which is bad for rates, since even the slightest scent of inflation can cause home loan rates to worsen. While we certainly want to see better economic recovery news in the near future, we have to remember that there’s an inverse relationship between good economic news, bonds and home loan rates. Weak economic news normally causes money to flow out of stocks and into bonds, which helps bonds and home loan rates improve. Strong economic news, on the other hand, normally has the opposite result. Currently, home loan rates are at a historically low level, but that situation won’t last forever. That means now is an ideal time to purchase a home or refinance before the velocity of money—and rates— change. ~ HRRA members can take 3 hours of Ethics CE/PL at NO COST. Contact Alpha today to learn more! 757-427-1740 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 p. 13 DE-CLUTTERING pros & cons of the move Paul Parten Security Storage & Van Co. As a real estate agent, you know that clutter often makes or breaks a sale, so it’s important to educate clients on the best ways to de-clutter a home. De-cluttering is defined as “the removal of unnecessary items from (an untidy or overcrowded place).” Here’s a four-step approach to home de-cluttering to share with clients. Have a garage sale. From the homeowner’s perspective, there are more advantages than just getting rid of items that are cluttering the home. The client’s pockets will get a little extra cash to offset moving costs, and it will lighten the load on moving day, which will save even more money! Give the homeowner your expert and honest opinion. As a real estate sales professional, help the homeowner by doing a walk- through of the home to identify problem rooms and areas. As my grandfather would say, “If I cannot get through the room without hit- Clutter often makes or breaks a sale. ting something, you need to pick up this clutter.” Use storage services. Want a surefire way to make a small room look larger? Storage is the answer. A moving and storage company can come out and move unnecessary possessions from the home and place into storage, or the company can provide a portable storage unit that can be filled right in the driveway and taken to a warehouse. By eliminating large pieces, the home- owner will open the floor plan and make the house look noticeably larger. This action will also quicken the move, too. Implement the “Four-Box Method.” This technique may be used to clear a room of clutter or help an owner to downsize. When you set out to de-clutter an area or a room, bring in four boxes, with one each marked as either Trash, Give Away, Keep or Relocate. Now go into a room. Look at each item in that room and place it into one of the four boxes (you may need to add additional boxes in certain categories). Each item MUST be considered individually. Some rooms can take an hour; others can take a couple of days. The technique and principles, however, remain the same. De-cluttering the room is job one. Happy de-cluttering! ~ Read all about it (and advertise, too!) Informative, amusing and timely...find industry and association news, member-generated articles and pictures galore in Hampton Roads REALTOR®, HRRA's monthly magazine. The well-read Affiliate and REALTOR®, like these fine folks at Keller Williams–Western Branch, never misses an issue. Please share your copy with others, and support the generous advertisers who sponsor this magazine. (Want to join them? Contact Connie Hedrick at [email protected] or 757-842-4832.) p. 14 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 Use n ew fe deral home guide -buying lines adva to your ntage Corrina Carter NMLS #212406 CMS Mortgage Solutions Inc. By now we’re all familiar with how the home-buying process changed dramatically on October 3, when the Consumer Financial Protection Bureau did away with the Good Faith Estimate and Truth-inLending documents. In its place, potential home buyers now receive a much simpler form called the Loan Estimate. Those changes level the playing field for home buyers. Is there an adjustment period? Absolutely. This guide offers you, as a real estate sales professional, ways to better prepare your clients for dealing with sweeping changes in the homebuying industry. Under the new rules, buyers are free to shop around with various different lenders without feeling obligated to commit to the first Loan Estimate that they receive. The new rule states that the lenders must give a loan estimate within three days of the application. The application requires ONLY the following six pieces of information to get terms from a broker/or lender: • Name • Property address • Social security number • Property value • Employment • Income However, getting important pieces of information together first can make the process go quicker. Submit critical financial documents with your application for a speedier process. Again, you are not required to have all of these key pieces to get a pre-qualification or Loan Estimate, but doing so could allow for your closing to happen sooner than the anticipated 45 days. Here is a list of the documents: Submit critical financial documents with your application for a speedier process. • Two years of federal tax returns • Two years of W2 forms • Thirty days of most recent pay stubs • Profit/loss statements or 1099 if you own a business • Three months consecutive banks statements (all pages required, including blank pages) • Photo ID and social security card • Two years of employment (name and address of each employer) • Residence addresses for past two years If you are serious about purchasing a home, it’s a good idea to “know before you owe.” Have a credit expert analyze your credit and seek a licensed mortgage professional on how much you can afford monthly on a home. The new Loan Estimate makes it much easier to see clearly how much you will be paying per month in principal and interest, taxes and insurance. Having these documents up front starts the process immediately. Timely inspections and appraisals on homes are more important now than ever. Agents will need to be on top of scheduling home inspections, termite inspections and appraisals. Without attention to detail, a closing could be delayed tremendously. With this new process, lenders send out a closing disclosure three days prior to closing. This document outlines all of the fees and costs related to the purchase of a home. This document will not be sent out until all final inspections, appraisals and the loan process are complete. Once buyers receive the Closing Disclosure they then have three days to review it electronically. If it is sent via mail, three mail days and three review period days are required. After the review period ends, then closing procedures take place. Timing is truly critical with this new process. If you have all documents up front, these new regulations could mean a smoother home-buying process for everyone. ~ HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 p. 15 Government Affairs, REALTOR®/Lawyer and Resale joint meeting Victoria Hecht HRRA Communications and PR Specialist HRRA members recently participated in a special presentation at headquarters on the new Virginia Real Estate Board (VREB) Regulations that go into effect November 1, impacting both agents and brokers statewide. Sandee Ferebee, a member of the governor-appointed VREB, shared the information and answered questions during October’s joint meeting of the association’s Government Affairs, REALTOR®/ Lawyer and Resale councils. Fe- rebee, with Berkshire Hathaway HomeServices Towne Realty, chaired HRRA in 1985, served as president of the Virginia Association of REALTORS® in 1990 and was honored as the state association’s 1994 REALTOR® of the Year. VREB licenses salespersons, brokers and firms representing others in property transactions and enforces Fair Housing Law in cases involving real estate licensees and their employees. A comprehensive overview of the regulations, signed by Gov. Terry McAuliffe on August 3, as well as a series of videos exploring the changes, are available at varealtor.com/node/142156. During the gathering, HRRA membership also held its annual election of officers for the association’s 2016 leadership, who will be installed in December. They are: Officers: Chairman of the Board - Becky Claggett, Century 21 Nachman Realty; Chairman-Elect - Sherry Maser, Howard Hanna (continued on next page...) (L to R:) Jennifer Cool, Resale Council chair; Terry Gearhart, Government Affairs chair; Sandee Ferebee, VREB; Dori Iwanowski, REALTOR®/Lawyer chair. p. 16 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 Designations are more than just “initials” behind your name Michele T. Fredericks, CSP, MCSP, CMP, GRI, SRES, ASP Vice Chair, New Homes Council For me, a designation isn’t about the designation itself, but rather knowledge, insight and the opportunity to interact with my peers. I have specialized in new home sales since 1993, so most of my designations are relevant to selling those dwellings. However, I learned pretty quickly that, as a REALTOR®, my focus was on much more than sticks and bricks. Thus, when I’m asked about all those “initials” after my name, I grin and say, “They represent the best me I could be to surpass your expectations as we walk the exciting journey to find (or build) your dream home.” Earning a designation is about knowledge of financing, buyer profiles, marketing, good negotiating skills, peer cooperation, understanding your seller and other facets. I began branching out and exploring the other designations—and those seminars that do not offer a designation—available to me outside of new construction. The quest Designations also are my opportunity to “pay it forward,” so to speak. for knowledge will make you the best you could be in the business and mean more than just “initials” behind one’s name. Designations also are my opportunity to “pay it forward,” so to speak. I made the decision to give back to my peers by becoming an instructor. Along my career path I have met and accepted guidance from many great people in real estate. It’s my way of saying “thank you” to those that have made me the REALTOR® I am today. I am now a part of helping others to gain knowledge and obtain their designations. With every class I attend, whether as a student or the instructor, I learn something new. It is a continual “sharpening of the saw,” one of my favorite “7 Habits of Highly Effective People” (which, by the way, is a great Stephen Covey book). Remember, understanding designations is about the search for knowledge and an investment that you make in yourself. ~ (Joint meeting, continued from previous page) William E. Wood; Vice-Chairman of Finance - Nikita Houchins, Keller Williams Realty; Immediate Past Chairman - Rusty Hulett, Hulett & Associates. Executive Committee At-Large: Gary Lundholm, The Real Estate Group; Jennifer Cool, Berkshire Hathaway HomeServices; Terry Gearhart, Rose and Womble Realty. At-Large Directors (two-year term): Margaret Richardson, Cross Realty; Tonya Feamster, Keller Williams Realty Elite; Elaine Griffin, Rose and Womble Realty; Dayla Brooks, The Real Estate Group. Council Directors (one-year term): Resale Council - Sherry Snyder, Rose and Womble Realty; Property Management Council - Maily Roberts-Jacobs, At The Mall Realty; New Homes Council - Carolette Reisner, Howard Hanna William E. Wood; Owners / Managers Council - Cindy Hawks, Keller Williams Realty; Affiliates Council - Jessica Whitt, Prosper Insurance Group; Appraisers Council - Betsy Hughes, BK Appraisals; Commercial Council (Commercial Alliance) - Terry Fraley, Century 21 Nachman Realty. Serving the second of a two-year term: Jimmy Jackson - Rose & Womble Realty; Mark Edwards, East West Realty; Kimberly Plourde, Exit Realty Central; Jeremy Caleb Johnson, Long & Foster. ~ HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 p. 17 EVENTS CALENDAR NOVEMBER Commercial Lending - Come hear the experts The Network 2016 Planning Session HRRA will be closed in observance of Veterans Day. Resale, Govt. Affairs, REALTOR®/Lawyer Joint Meeting Embrace the Shift! A Blueprint Reading Class Affiliates Council Property Management & Leasing Council The Network (YPN) Education Session New Member Orientation Common Interest Community Forum HRRA will be closed in observance of Thanksgiving. November 4 November 4 November 11 November 12 November 13 November 13 November 17 November 18 November 19 November 20 November 26 - 27 8:30 am 2:15 pm Virginia Beach Room Board Room Noon 9 am 9:30 am 12:30 pm 9 am 9 am 2 pm Virginia Beach Room Virginia Beach Room Portsmouth Room Virginia Beach Room Virginia Beach Room Virginia Beach Room Chesapeake Room DECEMBER ® Resale Council Government Affairs Committee Circle of Excellencesm Orientation Global Real Estate Advisory Group REALTOR®/Lawyer Committee Installation of Officers Owners / Managers Council New Member Orientation Common Interest Community Forum HRRA will be closed in observance of the holidays. December 1 1 pm Virginia Beach Room December 3 Noon Virginia Beach Room December 4 11 am Suffolk Room December 7 Noon Chesapeake Room December 10 1 pm Virginia Beach Room December 11 8:30 am Virginia Beach Room December 15 10 am Don’t Portsmouth miss your Room December 17 9 amto participate Virginia Beach Room chance in the December 18 HRRA 2 pm Chesapeake I am one® co-op ad* Room running the 3rd Saturday December 24 - 25 Don’t miss your chanceintoHome+Living. participate in the of every month HRRA I am one® co-op ad* running the 3rd Saturday of every month in Home+Living. ® 99 $ $ 99 ® Per Month *Must be a HRRA member to participate. Per Month be a HRRA member to participate. Please email the*Must below information to [email protected] Don’t miss your chance to participate in the HRRA I am one® co-op ad* running the 3rd Saturday of every month in Home+Living. 99 $ Per Month *Must be a HRRA member to participate. Please email theROADS below information p. 18 HAMPTON REALTOR ® to ~ [email protected] NOVEMBER 2015 • Would you like to run one month only? below information to [email protected] • WouldPlease you email like totherun one month only? • OR Would you like to your only? advertising space so it is • Would you like to reserve run one month automatically renewed month? • OR Would you like each to reserve your advertising space so it is automatically renewed each month? • Your Name and Phone Number • YourName Name and Phone Number • Company • Company Name • Headshot • Headshot Have questions? Have questions? yourMedia Pilot Media Sales Representative ContactContact your Pilot Sales Representative or call 757.222.5538 or call 757.222.5538 (HRRA does not fund or receive royalties from this ad. Any HRRA REALTOR® may participate.) EDUCATION CALENDAR NOVEMBER QUICKSTART© Broker Licensing: Real Estate Law Principles of Real Estate Principles of Real Estate Alpha will be closed in observance of Veterans Day. Continuing Education Required Topics Legal Update w/ Flood Credit Broker Management CE Short Sales and Foreclosure Resource (SFR) Continuing Education Related Topics Continuing Education Required Topics Legal Update w/ Flood Credit Alpha will be closed in observance of Thanksgiving. Principles of Real Estate Principles of Real Estate November 2 - 6 November 2 - 9 November 2 - 23 November 2 - 23 November 11 November 12 November 12 November 12 November 13 November 17 November 19 November 19 November 26 - 27 November 30 - December 18 November 30 - December 18 * 6 pm * * Chesapeake Campus Chesapeake Campus Virginia Beach Campus Newport News Campus 8:30 am 8:30 am 8:30 am * 8:30 am 8:30 am 8:30 am Newport News Campus Newport News Campus Chesapeake Campus Chesapeake Campus Chesapeake Campus Chesapeake Campus Chesapeake Campus * * Chesapeake Campus Newport News Campus 8:30 am 8:30 am 8:30 am 9 am 8:30 am 8:30 am 8:30 am 8:30 am 8:30 am Chesapeake Campus Chesapeake Campus Newport News Campus Chesapeake Campus Newport News Campus Chesapeake Campus Chesapeake Campus Chesapeake Campus Chesapeake Campus DECEMBER Continuing Education Required Topics December 3 Legal Update w/ Flood Credit December 3 Broker Licensing: Real Estate Appraisal December 3 - 7 Power Negotiator Playbook December 4 Broker Management CE December 10 Continuing Education Required Topics December 12 Continuing Education Required Topics December 15 Legal Update w/ Flood Credit December 15 Continuing Education Related Topics December 17 Alpha will be closed in observance of the holidays. December 24 - 25 * Check website for times. N.C. Instructor WANTED FOR NAGS HEAD CAMPUS Contact Deana Wilson at 757-427-1740 or [email protected]. Alpha Campus Locations: • • • • • 638 Independence Parkway, Suite 100, Chesapeake, VA 23320 - [757] 427-1740 (Classroom only) 11861 Canon Boulevard, Suite A, Newport News, VA 23606 - [757] 873-8884 (Classroom only) 184 Business Park Drive, Virginia Beach, VA 23462 - [757] 427-1740 (Classroom only) 5000 New Point Road, Suite 1101, Williamsburg, VA 23462 - [757] 253-0028 (Classroom only) 114 Maple Grove Avenue, Colonial Heights, VA 23834 For more details, please visit www.AlphaCollegeOfRealEstate.com Course schedule may change without notice. HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 p. 19 Determining the right amount of replacement insurance Kelley Carter The Braun Agency, Nationwide Insurance In general, people tend to be under-insured. This means that if someone experiences a loss, he or she would not have adequate coverage to replace or rebuild the home to the state it was in before the loss occurred. So, why pay for insurance if the valuation is not correct to replace one’s home? Check out these top points for how to calculate the right coverage, because (nope!) we don't just pick random numbers. How is property valued? On most forms, coverage is either valued on a replacement cost basis or an actual cash value basis. Replacement cost is defined as the cost to replace the property with materials of like kind and quality. Actual cash value is the replacement cost less actual physical depreciation. The limit of coverage you select serves as the maximum amount to be paid in the event of a loss. Building coverage: Selecting an appropriate limit of coverage for your building is relatively straightforward. To determine this, we look at features such as square footage, building construction, foundation type and updates to the roof, electrical systems, etc. A very important thing for real estate agents and mortgage professionals to note is that the building valuation is not equal to the cost of the structure. Insurance is concerned with rebuilding the physical structure of the home only, whereas the sale price valuation for a property takes features such as location, p. 20 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 school districts, land and other factors into consideration when calculating the price of the home. In other words, insurance isn’t “rebuilding” the dirty of the land, nor does insurance need to pay toward the nice location of the home. All homes should have a flood policy regardless of whether the location is in a designated flood zone. Insurance is concerned with the cost, including labor and materials, to rebuild the structure. That’s what the building valuation number reflects. Personal Property: Someone once told me that the best way to remember what personal property is was, “If you imagine turning the house upside-down, whatever falls out is typically personal property.” Personal property includes furniture, fixtures, appliances, clothes and your great-grandmother’s china set, for example. Your insurance professional should be having a conversation about how much personal property coverage your clients need when they are writing their home insurance policy. Here’s an insider tip: It is often significantly less expensive and often provides broader coverage to insure jewelry and valuables on your home insurance policy than on a separate policy. Flood Insurance: This topic has been extremely popular lately. While going into a discussion of zoning and FEMA details is a topic that is (more than!) an entire article within itself, a major point to emphasize and a quick take-away is that flood insurance is never automatically covered on a home insurance policy, and all homes should have a flood policy regardless of whether the location is in a designated flood zone. The Hampton Roads REALTORS® Association does a great job providing education for its REALTOR® members so that they can be experts in their field. If you’re a REALTOR®, use your Affiliate partners for closing. They’re experts in THEIR fields and love to help you make smooth, professional closings. Happy selling! ~ “Anatomy of a Home” students showered with knowledge Rain might come down, but houses must go up anyway. “Anatomy of a Home” participants—including REALTORS® eager to learn more about the construction of a house from the ground to strengthen their sales skills—learned that lesson during a soggy (but humor-filled) on-site tour of local home construction. Those enrolled in this recent New Homes Council-presented course led by builder Jeff Ainslie of Ainslie Group covered classroom materials at HRRA headquarters before heading into the field for a hands-on, bottom-to-top look at the home-building process. “Anatomy of a Home” was approved for eight hours of continuing education credits. – Victoria Hecht, HRRA Communications and PR Specialist w w w.procraftinspec tions.com 757.362.2300 Home Inspec tions Infrared Technology Energy Audits / Analysis Indoor Air Q uality Testing HVAC D uc t Testing EEM Cer tific ation Energy Efficient Morgages NAHB Cer tifier Energy Star New Home Cer tifier O ther Third Par ty Verifier Ser vices Available Convenient Online Scheduling Drone Technology Elec tronic Repor ts Tax Credits AVAILABLE for VB Residents just ask HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 p. 21 HRRA shines with member accolades, installations and Virginia REALTOR® Hall of Fame inductions during 2015 VAR Convention & Trade Expo Victoria Hecht HRRA Communications and PR Specialist Several of your fellow HRRA members marked notable achievements at the Virginia Association of REALTORS®’ annual Convention and Trade Expo, held October 6 to 8 in Williamsburg. The accolades came during the 2016 Installation and 2015 Real Estate Awards Program, celebrating excellence in myriad areas of real estate, including property management and brokerage. Virginia Beach’s Deborah A Baisden, GRI, and Norfolk’s Jay Mitchell, ABR, ASP, CRB, e-PRO, GRI, RSPS, SFR, SRES, were installed as immediate past president and vice president, respectively, of p. 22 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 the 30,000-member statewide association. Baisden, with Berkshire Hathaway HomeServices Towne Realty and a REALTOR® since 1989, has been an honoree in HRRA’s Circle of Excellencesm awards for 25 years and received the Omega Tau Rho Medallion from the National Association of REALTORS®, the nation’s largest professional trade association. She led HRRA as chairman of the board in 2004, received its Code of Ethics Award in 2005, and was HRRA’s REALTOR® Salesperson of the Year in 1999. Baisden, who has served in myriad leadership roles with the National Association of REALTORS® since 2010, was elected to a three-year term on the NAR Board of Directors during the statewide convention. Baisden is the 17th HRRA member to have led the state association as president since 1920. Mitchell, also with Berkshire Hathaway HomeServices Towne Realty, has been a real estate professional since 2004. He serves on VAR’s Board of Directors and chairs the state association’s Strategic Planning Committee, and is past chair of VAR’s REALTOR® Political Action Committee Trustees, Public Policy Committee and Legis(continued on next page...) (VAR, continued from previous page) lative Bill Review Committee. Locally, Mitchell has served as chair of HRRA’s Government Affairs Committee, Owners/Managers Council and Hampton Roads REALTOR® Political Action Committee – Fundraising, and twice been a HRRA Board of Directors member. Additionally, HRRA members Cindy Hawks, ABR, CDPE, CRS, GREEN, GRI, and Tanya Monroe, ABR, GRI, were elected to VAR’s Board of Directors, while Charlee Gowin, GRI, CRS, ABR, SRES, continues her 2014-2017 term on the board. Monroe and Hawks currently serve as chair and vice chair, respectively, of HRRA’s Owners/Managers Council. Hawks, with Keller Williams, is a member of VAR’s Virginia Leadership Academy Class of 2015. Gowin was HRRA’s chairman of the board in 2009 and HRRA’s 2011 REALTOR® of the Year. She and Monroe are with Berkshire Hathaway HomeServices Towne Realty. HRRA members Barbara M. Wolcott and John L. Powell, ABR, CRB, CRS, GRI, SHS, SRF, were inducted into the Virginia REALTOR® Hall of Fame during the awards program. VAR’s Hall of Fame recognizes those who have made extraordinary and distinguished contributions to the real estate profession and Virginia markets for at least 25 years. Wolcott, with Berkshire Hathaway HomeServices Towne Realty in Virginia Beach, was HRRA’s chairman of the board in 1986, served as VAR president in 1996 and was recognized as Virginia REALTOR® of the Year in 1997. Powell, with Long & Foster Real Estate, served as VAR president in 2009 and president of the Southside Virginia Association of REALTORS® in 2001. He received the SVAR Lifetime Achievement Award in 2012 and was 2011 Virginia REALTOR® of the Year. HRRA member Jan Rucinski, with Long & Foster Real Estate, was recognized with VAR’s Ann Swearingen Property Manager of the Year Award, which is presented to the industry’s highest-achieving association member engaged in the field of residential property management, with attention to professional development, business accomplish- ments and community service and service to the REALTOR® organization. Rucinski, the 2015 VAR Property Management Council chair, was HRRA’s Property Manager of the Year in 2008 and 2013 and has been a recipient of the local association’s Distinguished Property Manager Award each year since 1999. She also is a member of the National Association of Residential Property Managers. Three HRRA members were named Omega Tau Rho medallion recipients during the state awards and installation. These honorees are recognized for their service and dedication to the REALTOR® organization and the real estate industry, and become life members of the Omega Tau Rho fraternity. The HRRA inductees were Charles “Rusty” Hulett, Hulett & Associates; Durwood Scott, CRB, CRS, Scott & Associates; and Carmella “Cam” Templeton, Professional Realty Corp. Hulett is HRRA’s 2015 chairman of the board. Scott served as HRRA chair in 1987, and Templeton was on the Board of Directors in 1988-89. ~ HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 p. 23 Make giving thanks a year-round activity in your business Ramona Rice Rose & Womble Realty Co. November is an obvious time to show gratitude, and Thanksgiving is a popular time for real estate agents to give their past and current clients thank-you gifts. I’ve seen agents hand out pumpkin pies, cornucopias and even Pilgrim hats. This is absolutely fantastic, of course, but why are you waiting until November to offer thanks to your clients? By utilizing a strong content marketing schedule you can show your appreciation throughout the year in ways that will not only delight your clients but also bring in more transactions. One simple thing to do is to set up a reminder schedule to celebrate clients’ significant dates. While this may not seem like giving thanks, it does acknowledge people on special days. Even more kudos may come your way if you recognize an unexpected date that is important to your client. An example could be for your military service member clients. Why not mail a thank you note on Veteran’s Day? This is a Why are you waiting until November to offer thanks to your clients? classy way to say “thank you” that will be completely unexpected and very much appreciated. Another way to show thanks is to acknowledge where you get business. I love seeing agents post photos of happy clients at the closing table. This proof of production is a subtle way of letting your friends and family know you’ve just had a home sale. 2016 INSTALLATION LUNCHEON a n d A wa r d s C e r e m o n y Friday, December 11, 2015, at the Westin Town Center, Virginia Beach 11:30am: Cash Bar, 11:50am - 2pm: Lunch and Program Welcome your 2016 leadership, and congratulate special award winners, including: Outstanding Service, Broker/Manager of the Year, Affiliate of the Year, Affiliate Company of the Year, Rising Star, Lifetime Achievement, Code of Ethics, Volunteer of the Year, HRRPAC and Emeritus. Register online at HRRA.com today. p. 24 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 What’s even better is to do a separate post thanking the person who referred the business to you. This gives you an excuse to post something else about the closing and will delight all the clients involved. Finally, give thanks to clients who allowed you to do a listing or buyer presentation for them. This note needs to be in the mail so that the potential client gets it as soon as possible. I love a handwritten note, and this is just an extra step that many real estate agents will not do. This gives you the opportunity to move ahead of the pack and show the care you take with your clients. Don’t limit giving thanks to Thanksgiving. Spread the gratitude throughout the year so you can build a real estate business for which you can be truly thankful. ~ She’s got that “swag-ger” Meet Francine Goddard, ABR®, with Realty Executives Top Producers in Virginia Beach. Always dressed to impress and flashing a mega-watt smile, the one accessory she’s never without is the familiar blue “I am one®” button proclaiming her REALTOR® pride. Francine’s our “I am one®” Supporter of the Month for unfailingly supporting the association and spreading awareness of HRRA’s signature campaign. Thanks, Francine! REALTORS®, do YOU have the “I am one®” swag-ger ? We’re on the lookout for December’s Supporter of the Month, so wear your swag here, there and everywhere! (Download materials and learn more at www.iamone.com.) I am one. ® You’ve Closed The Sale … We’ll Close The Tank. If your client is abandoning an underground oil tank at the time of sale, the oil tank closure experts at E.T. Lawson can help – with Tripolymer® Fireguard Filling. Locally approved, this safe, economical, environmentally sound product has been used for over 25 years nationwide as a permanent tank abandonment medium. • Made from 100% water Realty Partnership Program based materials • Can be installed year-round • Nontoxic • Fire-resistant • Ultra-absorbent • Installed by E.T. Lawson’s factory-trained crew • Starting at just $995 for a 280-gallon tank Call E.T. Lawson today about tank abandonment … and ask about our free Realty-Partnership Program! Bioheating s Cooling s Plumbing s Electrical s Solar s Weatherization s Insulation P.O. Box 249 , Hampton, VA 23669 Visit our website at www.etlawson.com Peninsula (757) 722-1928 • Williamsburg (757) 229-2877 • Gloucester (804) 642-2161 • Norfolk (757) 491-1928 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 p. 25 ASSOCIATION TO ASSOCIATION: RAR’s focus: Where the puck is going John S. Finn Jr., CRB, CRS, GRI President, Richmond Association of REALTORS® Greetings from the Richmond Association of REALTORS® (RAR) and a heartfelt “thank you” to the Hampton Roads Association of REALTORS® for allowing me to share with you some of the ongoing efforts of our association. One of the many reasons that I’m a proud to serve as RAR’s president is that our association prides itself on being a highly responsive and relevant organization. This drive for relevance means that our orientation is always towards the future. Hockey great Wayne Gretzky once said: “I skate to where the puck is going to be, not where it has been.” That’s how we operate at RAR. We don’t look back. To the best of our ability, we seek to discern what the future holds for the real estate market, for our members, for the MLS industry and thus for our association. And as we look to the future, we do so without fear. We view the challenges on the horizon as opportunities for innovation, for leadership, and for exemplary service to our members. Let me give you some concrete examples of this. On October 21 we held our biennial TRENDS conference, which this year featured National Association of REALTORS® Chief Economist Lawrence Yun, a panel discussion with area school superintendents and a crash course on the new Virginia Real Estate Board Regulations effective November 1. Our TRENDS conference is just one of the many ways “I skate to where the puck is going to be, not where it has been.” - Wayne Gretzky that we keep our members apprised of market trends as well as legislative and regulatory changes affecting their daily business practices. Speaking of legislative activity, our Governmental Affairs team has been holding one-on-one meetings since March with local and state candidates who won’t even take office until next January. As I noted earlier, we are always looking to the future and using the summer and fall months to establish strong relations with future elected officials. One final example of our leadership’s willingness to envision what the future should hold is the Commonwealth MLS CoOp. This fall both the Chesapeake Bay & Rivers Association of REALTORS® and Williamsburg Area Association of REALTORS® will convert to the Matrix MLS system. When that occurs they will share one MLS system with our MLS—the Central Virginia Regional. For many of our members, this means they will save time and money, no longer needing to belong to multiple MLSs with multiple fees and multiple data entry tasks. For all of our MLS members it will mean the opportunity to work in a much broader geographic footprint with over 1,000 more agents viewing their listings. Making it easier to work in a larger area with more REALTORS® is recognition of how real estate is changing, and it is precisely the kind of innovative, futurefocused response RAR and CVR MLS are poised to accomplish. As we all know, where the puck is going holds far more excitement than where it’s been. ~ Our "Association to Association" feature is part of a continuing series from leaders of neighboring REALTOR® associations. a Sign up p. 26 HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 Colleg t Alpha eOfRea lEstate .com WELCOME NEW MEMBERS PROSPECTIVE REALTOR ® MEMBERS Brittani Anderson Jay Barot Billy Bernal Tiffany Blake Anthony Burke Dennis Cestra Cynthia Cwiklinski Otis Daniel III Anthony DiPasquale Sharon Dyer Mandy Farmer Jacob Gillette Catherine Hatcher Jennifer Hickman Eddie Hill III Michael Hogue Lester Hooks Jr. Corinne Jackson Tara Jones Frank Karlock Jr. Sean Karsen Mistyjo Kennedy Kolten King Frank Lloyd Terrie Lumpkin Carla Mauck Holly McNutt Raffaella Miller Carmen Mills Andrew Nagg Danielle Praver Keller Williams Elite Western Branch RE/MAX Ambassadors Rose & Womble Keller Williams Keller Williams Howard Hanna William E. Wood Century 21 Nachman Long & Foster The Real Estate Group Long & Foster Rose & Womble Windell Francis Realty, Inc Allison James Real Estate Long & Foster Realty Executives Top Producers Keller Williams Elite Western Branch Keller Williams Elite Western Branch Long & Foster Century 21 Nachman Howard Hanna William E. Wood The Real Estate Group Better Homes & Gardens RE MK Realty Group Berkshire Hathaway HomeServices Keller Williams Elite Western Branch Rose & Womble Keller Williams Rose & Womble At the Mall Realty 1st Class Real Estate Berkshire Hathaway HomeServices Jeanmarie Priola Marilyn Sanchez Paul Sean Sawyer Karen Spivey Nicole Stock Teresa Stone Pamela Suggs Ryan Thomas Ross Welty Jacqueline Wilson Exit Realty Central 1st Class Real Estate Eagle Realty of Virginia Century 21 Gold Market Realty Atkinson Realty Benham Real Estate Keller Williams Keller Williams ERA Real Estate Professionals Keller Williams NEW AFFILIATE MEMBERS Bucket of Suds Edward Jones Embrace Home Loans Providence Computers NEW BROKER FIRM Christopher Hamilton Hamilton’s Realty HRRA MEMBERSHIP AS OF SEP. 30, 2015 Active REALTORS®:3197 Pending Members: 106 REALTOR® Life: 83 REALTOR® Emeritus: 64 Affiliate Members: Affiliate Offices: Principal Firms: Branch Offices: 678 180 190 47 HRRA’s Chorey named Suffolk First Citizen 2015 Billy Chorey Sr., CRS®, GRI, RAA, broker/owner of Chorey & Associates Realty and a longtime HRRA member whose real estate career spans nearly 40 years, has been named Suffolk’s First Citizen 2015. The accolade is bestowed by Suffolk’s Rotary clubs to one who demonstrates “significant leadership through his/her time, talents and efforts in order to make Suffolk a better place to live.” Chorey is the 56th recipient. A Suffolk native, Chorey has a lengthy history of volunteer service to his hometown, Hampton Roads and the real estate industry. He is a former chairman and board of trustees member for Nansemond-Suffolk Academy, past director of the Better Business Bureau, former board member of the Suffolk Salvation Army and past director of the ACCESS College Foundation. A past president of the Suffolk Rotary Club, he was a trustee and secretary/treasurer for the Birdsong Trust Fund and served on the Virginia State Bar Professional Standards Committee. Additionally, Chorey served on HRRA’s Executive Committee in 2012, received the association’s Code of Ethics Awards in 1997, and was Broker/Manager of the Year in 2007 and Salesperson of the Year in 1995. He has received numerous sales awards. Chorey recently chaired the Suffolk Board of Equalization for Assessments, is a certified residential real estate appraiser, and has taught real estate courses at Tidewater and Paul D. Camp community colleges. A graduate of Suffolk High School, the new Suffolk First Citizen earned a bachelor’s degree in commerce from the University of Virginia in 1973 and a master’s in business administration from Old Dominion University the following year. Chorey will be formally recognized during the Suffolk First Citizen Award Banquet at the Suffolk Center for Cultural Arts on November 5. – Victoria Hecht, HRRA Communications and PR Specialist HAMPTON ROADS REALTOR ® ~ NOVEMBER 2015 p. 27 HAMPTON ROADS REALTORS® ASSOCIATION 638 Independence Parkway, Suite 100, Chesapeake, VA 23320 Phone: 757-473-9700 ~ Fax: 757-473-9897 www.HRRA.com I am one. Protect Your Client Purchasers Receive a FREE Home Buyers Warranty* 410-8086 Real Estate Closings . Title Insurance www.RESATitle.com *When buyer selects Real Estate Security Agency LLC as Closing agent. Available to purchasers of existing primary and secondary residences in Virginia. Title insurance recommended but not required for this promotion. Not available for investment property or when taking title as an entity or trust. MEMBER FDIC ®