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Forced E-mail Verification - A Case StudyREW Steven announced via his blog last month that as part of the anti-spam updates to the new 4.2 CMS users would be required to verify their AOL, Yahoo and Hotmail e-mail addresses after registering on REW sites using the 4.2 system.

Steven's hope is that by requiring that users double verify with us, he will have more leverage with those providers should they decide to block us arbitrarily for sending unwanted or unsolicited mail.

Whether this will prove to be the case is still unknown.

I personally have not used e-mail verification until recently and have instead just used forced registration after visitors have viewed 3 detail pages.

I have had intermittent problems with e-mail delivery to some of the providers in the past, but most have been resolved quickly.

I am fairly certain that Hotmail is sending me to user's spam folders, but other then that I don't think I am being completely blocked by anyone.

When questioning Steven about the verification process on his blog, it became clear to me that no real research had been done on what rate we can expect users to verify after registration, whether requiring verification will impact return traffic, and whether requiring verification will improve lead quality in general.

There was also no set of best practices for implementing the verification process, nor had there been any live testing and refinement of the process for users.

So in an effort to help clarify what to expect for other users, I decided to run an experiment and implement forced verification for all my users for 30 days. I kept track of the daily numbers and my thoughts on this forum thread.

The first 6 days of the experiment helped uncover some glaring issues with the way the process was set up in the 4.0 front end. There was a complicated and confusing form that users had to fill out to verify, along with a non-descript e-mail that was also confusing.

During that period 6.2% of new visitors who came to my site registered while 53% of them verified after being sent a verification e-mail.

My suspicion at that point was that a significant number of users were not verifying because of flaws in the verification process, rather than just not wanting to verify or providing bad e-mails.

Based on my feedback, Steven made some adjustments to the on-site verification process and the verification e-mail that helped clarify what was being asked of users and made the process much simpler.

For the next 24 days of the experiment an average of 5.2% of new visitors to my site registered while 66% then verified after being sent an e-mail. The changes Steven made had improved the verification rate by 12%.

However, there were still about 1/3 of new registrants that weren't verifying after registering.

Some of these were registrants who had provided obvious fake names, e-mails and phone numbers, but others appear to possibly be legitimate leads. But for one reason or another they have not verified.

Rather than giving up on them entirely, I sent each non-verified user a verification e-mail once a day for 3 days following their initial registration. I had a custom e-mail tag created for the verification link, so I could send the e-mails in bulk each morning.

I found that even with the additional e-mails, only a handful of the non-verified users verified after the fact.

I may implement a system to call them as well, but have not done so yet, because my agents do the phone follow up with leads and they are currently only receiving verified leads.

I also noticed that a large number of users who provided Hotmail accounts were not verifying, so I decided to check the verification rates for the major providers.

I found that the verification rate was 57% for Yahoo users, 36% for Hotmail users, 69% of AOL users, and 72% for Gmail users.

My hunch is that Hotmail users have a lower verification rate due to verification e-mails being captured as spam themselves. Unfortunately, I can't be sure whether this is the case or not.

The fact that verification e-mails themselves could be viewed as spam is a major bottleneck in the system that concerns me. It is completely possible that users that want to verify, won't be able to, due to providers blocking the verification e-mails. I'm not sure what to do about it, but it is a concern going forward.

Another main concern I had when turning on forced verification was whether or not it would have a major impact on return visitors. So far it does not seem to have done so. Although, that may change with a compounding effect of 33% fewer leads being captured and e-mailed to each month. It may be that those leads were never going to return anyway. Hard to say. Here is a graph of my return traffic for the period.

The final question I had about forcing verification was whether or not it would improve the quality of the leads passed on to my agents.

I could not figure out a way to track the quality statistically, so I just decided to poll my 9 agents as to whether they felt there was an improvement.

Most of them felt that it was an improvement, but that there were still quite a few bad phone numbers and low motivation leads. Most of the agents want to continue with using forced verification as a way to filter out low quality leads.

There are still a handful of go getter agents on my team that still want the additional leads that are now lost due to lack of verification.

My guess is that over a year, there are probably going to be opportunities lost in the pile leads that don't verify.

During the 30 day experiment 233 of the 620 registrations we captured were not verified. Over a year that could add up to 2,834 leads. If only 1 out of a 1,000 of those leads purchased or sold a property, that is still 3 transactions. Odds are the numbers would be higher than that.

The question is whether or not focusing more energy on the remaining 4,708 leads that did verify will lead to a larger increase in sales than could be lost from the non-verified leads.

There is also the matter of whether avoiding the non verified leads will keep us from getting blocked by e-mail providers, which could have a major negative impact.

Unfortunately, I have no way to A/B test that at this point. We will just have to wait and see how the new 4.2 users fair in the future.

Hopefully the testing I was able to do and the data I was able to collect will be useful for other REW clients considering upgrading to 4.2 or using forced verification on older versions.

If anyone has any questions, please feel free to leave a comment below.

They point to the fact that as an industry, we are dependent on homes exchanging hands.

Not only do we need homes to sell to make a living, so do lenders, inspectors, title companies, escrow companies, contractors, movers, furniture stores, appliance stores, landscapers, painters, stagers, etc..

They report that in 2005 nationwide there were 7 million home sales, most of which are assumed to have not been foreclosures, while in 2010 there were only 4.9 million sales.

Of the 4.9 million home sales in 2010, 1 million were foreclosures and another 400,000 were short sales. So only 3.5 million of the sales were traditional sales, which would be the lowest since 1981 and if adjusted for population growth would be the worst real estate market ever.

TBWS's argument is that without foreclosures there would be a significant decrease in the number of homes changing hands, which would in turn have significant negative impact on the amount of money being generated in the real estate industry and all industries associated with it.

Here in Placer County, CA we have seen the number of bank owned listings added to the market fall 66% over the past year, and while we have seen the number of short sales closing improve, closed short sales only rose 8% in July compared to last July, which does not make up for the missing bank owned homes.

This lack of foreclosure inventory has lead to a lack of inventory in general and has been responsible for increasing home values, but it has also left a tremendous amount of economically stimulating money on the table.

I can confidently say that if there were twice as many homes available for sale right now in Placer County, CA, the market could easily absorb them.

The process of losing a home to foreclosure is certainly not awesome for the homeowner losing a home.

That being said, if a bunch of new foreclosures were listed in our market or if short sales were suddenly getting listed and approved at a higher rate, it most certainly would be awesome.

]]> Wed, 15 Aug 2012 12:14:35 -0700phakehttp://www.realestatewebmasters.com/blogs/phake/infographic-banks-keep-promising-to-approve-more-short-sales-my-question-is-when/show/http://www.realestatewebmasters.com/blogs/phake/infographic-banks-keep-promising-to-approve-more-short-sales-my-question-is-when/show/
Infographic - Banks keep promising to approve more short sales - My Question is When? There are 999 homes in the short sale process in Placer County, yet only 135 closed in June.

Short sales pending sale have more than doubled in the past 3 years, yet closed short sales are down 18%.

Sellers want to sell their underwater homes, buyers desperately want to buy them and agents are working deligently to make that happen.

The banks have promissed over and over that they are ready to start approving them.

]]> Wed, 25 Jul 2012 07:36:53 -0700phakehttp://www.realestatewebmasters.com/blogs/phake/the-3-best-golf-course-communities-in-placer-county-ca/show/http://www.realestatewebmasters.com/blogs/phake/the-3-best-golf-course-communities-in-placer-county-ca/show/
The 3 Best Golf Course Communities in Placer County, CAPlacer County, CA is home to numerous wonderful and beautiful neighborhoods and communities.

Some of the most popular and sought after communities are those built around and within country club and golf course settings.

Having had numerous clients purchase and sell homes in these communities over the years, I have become quite familiar with them and learned to truly appreciate them.

There are many great golf communities in the area, but these are my three favorite:

Winchester - Meadow Vista, CA

The community is nestled amongst gorgeous pine trees, meadows and rolling hills.

The 30,000 sqft clubhouse has extravagant views of the course, fine dining, a bar, pro shop and beautiful practice facilities.

Members of the club also have access to a fitness facility, pool and tennis courts.

Residents of the community have access to miles of walking, hiking, biking and equestrian trails.

There are still quite a few lots available in Winchester for those that would like to build a custom home to suit. For those that would prefer to move right in, there are custom homes frequently available ranging from modestly luxurious to ultra luxurious.

Whitney Oaks - Rocklin, CA

Whitney Oaks is a master planned community built around and throughout the Whitney Oaks Country Club and golf course in Rocklin, CA.

The community is situated amongst gently rolling grasslands, oaks and granite outcroppings.

The country club is open to the public and offers access to a challenging but fun 18-Hole course.

The club is also home to the Pyramid Bar and Grill where residents can enjoy a bite to eat or drinks with friends.

Residents of the area have access to miles of hiking, biking and walking trails, along with access to a fitness facility and two pools.

There are still a few lots available in the community where a new custom home could be built, but for the most part the community has already been built out.

Directly surrounding the golf course are extravagant custom homes. Along the perimeter of the course are large semi-custom homes. Some with incredible views of the valley. On the outer edges of the community there are even easy maintenance town-homes. There is truly something for everyone.

Catta Verdera

The Verdera community is located in the wonderful town of Lincoln, Ca which is known for a small town appeal combined with modern amenities.

Verdera is also home to the private Catta Verdera Country Club and golf course, which has one of the most beautiful clubhouses in the area.

The clubhouse has a pro shop, two restaurants and a members only bar and grill.

The course and practice facilities are positioned throughout the natural landscape of grasses, oaks, rolling foothills and wetlands.

Residents have access to miles of walking, biking and hiking trails, many of which have beautiful views of the Sacramento Valley, the Sutter Buttes and the local skyline.

Homes in Catta Verdera range from easy to manage single story homes on approximately 1/3 acre, all the way to ultra luxurious 5,000+ square-foot custom homes on the golf course. There are also numerous vacant lots still available, if you prefer to build your home specifically to your needs.

It is a pleasure for me and my team to have the oppurtunity to work in such a wonderful place as Placer County, filled with so many wonderful communities and neighborhoods. If you are interested in purchasing a home in any of these communities, if you have a home in them you would like help selling, or if you would just like to ask us some questions, please feel free to give us a call at 916-728-1981 or follow the links below.

]]> Sat, 14 Jul 2012 15:41:17 -0700phakehttp://www.realestatewebmasters.com/blogs/phake/the-true-shadow-inventory-underwater-home-owners/show/http://www.realestatewebmasters.com/blogs/phake/the-true-shadow-inventory-underwater-home-owners/show/
The True Shadow Inventory - Underwater Home Owners The housing news lately has been very positive. Rates are at record lows, prices are rising in Placer County and homes are flying off the shelf.

We have very little inventory to sell, and it appears we won't have much for quite awhile, so prices will probably continue upward.

Even with all that being the case, I think it is important that we still keep in perspective how deep the hole still is.

Even with appreciable increases in prices, due to the lack of inventory, there are large groups of underwater home owners that will be ready to sell at each subsequently higher price point, because they haven't been able to at lower prices.

I know numerous of these people myself.

They have wanted to move for all the same reasons that people always move: new jobs, new kids, marriage, increased pay, etc..

But, they have been stuck in a home that does not fit their needs, because they owe more than their home is worth.

As soon as the market climbs back out of the hole, or they can save the money to pay the difference, they plan on selling and moving.

Until then, they just wait in the background as a huge hedge against further appreciation in the market.

While banks undoubtedly own some real estate they don't currently have listed, and there are quite a few homes in the foreclosure process that may eventually become listings, it is this much larger group of underwater home owners that is the true shadow inventory.

So long as such a large group of people remain stuck in their homes waiting for an exit, there will be downward pressure on the market and a drag on further appreciation.

]]> Mon, 25 Jun 2012 17:07:35 -0700phakehttp://www.realestatewebmasters.com/blogs/phake/we-have-chosen-your-offer-now-lower-it-before-the-bank-sees-it/show/http://www.realestatewebmasters.com/blogs/phake/we-have-chosen-your-offer-now-lower-it-before-the-bank-sees-it/show/
We Have Chosen Your Offer, Now Lower It Before the Bank Sees ItOne of our clients has been searching for a home in the Rocklin, CA for a few months.

As with many buyers looking in the area, they have found a few homes they liked and missed out on them due to multiple offers, sometimes as many as 10 to 15 on one home.

Initially they had a hard time believing that it was necessary to bid well over the asking price to get an acceptance, but with each subsequent offer lost they realized they needed to be more aggressive.

Finally they made a bid on a short sale that was quite a bit above the asking price and it was accepted.

Here's where it got weird.

As soon as the offer was accepted, the listing agent contacted us and told us that they wanted to rewrite the contract for the initial asking price, which was well below the price my clients offered.

Their logic was that if the appraisal came in low, which is a real problem in upward moving markets, and the short sale bank had seen the initial contract price already, they would be hesitant to reduce to the appraised value.

I have personally seen numerous transactions go bad recently due to appraisals coming in low, so I could see the logic in doing this.

I’m not sure if the seller or the listing agent owes it to the bank to let them know the price had been bid up higher.

Because it is a short sale, the seller will not see a dime either way, so their main focus was simply to get an approval.

Our client was happy to possibly pay less, and we are happy to do what we can to improve the likelyhood of the short sale actually going through.

It is an unfortunate fact that while 66% of the homes for sale in Rocklin, CA are short sales, only 34% of the homes actually sold in May were short sales.

There is a huge disparity in the number of attempted short sales and the number of successful short sales.

A large part of that disparity can be attributed to hard headed, incompetent or overworked loss mitigators at the bank, and/or their management, which can often seem unwilling to accept reality.

With short sales, I have found the more problems we can prepare for and avoid upfront the more likely the process is completed and our clients are happy.

Which is of course our ultimate goal.﻿

Whether this strategy works in the long run, I don't know. We haven't received a bank approval for the offer yet, so the appraisal has not been ordered. We will have to just wait and see.

]]> Mon, 04 Jun 2012 18:02:44 -0700phakehttp://www.realestatewebmasters.com/blogs/phake/when-purchasing-a-home-in-roseville-ca-be-mindful-of-high-school-attendance-boundaries/show/http://www.realestatewebmasters.com/blogs/phake/when-purchasing-a-home-in-roseville-ca-be-mindful-of-high-school-attendance-boundaries/show/
When Purchasing a Home in Roseville, Ca - Be Mindful of High School Attendance BoundariesMost home buyers assume that when they purchase a home, their children will be eligible to attend the schools that are closest to that home.

In most cases, I have found this to be true. Unfortunately though, I have found it to be untrue in enough cases that I always suggest that clients confirm where their children will be attending school.

There was a tremendous amount of growth and new construction in the Western side of town during the construction boom in the mid 2000s'. There were plans for even more construction, that eventually went on hold as the market and economy slowed.

Due to the downturn, the lack of projected new tax revenue and building fees, the city decided that they did not have the funds to build the new high school on the Western side of town as planned.

At the same time, the older Eastern side of town saw a shift in demographics, where older Roseville residents remained in homes after their children had grown and moved away, and were not replaced with new families and new children to attend the schools.

The lack of familiies around the old high school on the Eastern side of town, meant there was room to spare.

The answer to both these dilemmas was to begin busing high school students from one side of town to the other.

Oakmont High School, the school that the students are bussed to, is a great school. But for many residents on the Western side of town, it is pain to have to bring their children across town.

There are many other examples like this in other areas.

When you are moving to a new home it is important to inspect it from top to bottom, but is also important to verify things outside the property as well, including school boundaries.

The best resource you have to do so, is your real estate agent.

If you need a great agent to help you in the process in Roseville, let us know.

]]> Sun, 12 Feb 2012 14:46:08 -0800phakehttp://www.realestatewebmasters.com/blogs/phake/15-repair-items-to-watch-for-when-buying-a-foreclosure-using-an-fha-loan/show/http://www.realestatewebmasters.com/blogs/phake/15-repair-items-to-watch-for-when-buying-a-foreclosure-using-an-fha-loan/show/
15 Repair Items to Watch for When Buying a Foreclosure Using an FHA Loan FHA loans comprised 23% of the financing used to purchase homes in Placer County, California during August 2011.

During that same period 24% of the properties sold in Placer County were bank owned and 28% were short sales, which means 52% of the homes sold in the County were a foreclosure in one way or another, not counting the flipped foreclosures purchased by investors at trustee sale.

Unlike most "traditional" home sales, foreclosure homes are typically sold "as-is" with items needing repaired that may have been taken care of by a non-foreclosure seller.

Some banks will make repairs on the properties they own, but most will not make repairs on short sales which they do not own yet. Most owners of short sale properties will not make repairs on short sale properties, because they will not be able to recoup the cost of making the repairs when the property sells.

That is why it is important as an agent and as a potential FHA buyer to be aware of some of the most common items that FHA appraisers will require to be repaired when present in a property being purchased using an FHA loan.

This can help determine whether a home can be marketed to FHA buyers in its present condition and it will help prospective home buyers avoid the time and cost of getting tied into an escrow on a property that won't work for them when using FHA financing.

Here is a list of the 15 most common defects called for repair during FHA appraisals:

Hot water heater strapping - In California all hot water heaters not installed in a closet must be properly strapped to the wall, so they will not fall over and start a fire, should an earthquake occur. This is required even in areas of the state that very rarely feel earthquakes.

All utilities must be on and functioning - An FHA appraiser will not finalize an appraisal until the water, electric and heat are functioning for a property. Some vacant foreclosure properties will have these turned off, so it is important that listing agents turn them back on after escrow is opened, if they want a prospective FHA buyer to purchase the property.

All appliances must be in good working order - If an oven is missing or inoperable it will need to be installed or repaired to pass an FHA appraisal inspection.

There must be a source for heat in good repair- Air conditioning is not required, but there has to be a reliable heat source in the home.

The Roof must visually be in good repair - The roof must look water tight or have a roof certification from a licensed roofer.

Windows cannot be broken - Windows can have small cracks, but they cannot be shattered or missing.

No peeling paint on pre-1978 homes - Due to lead based paint issues prior to 1978, homes with peeling paint prior to that year must be repainted.

Out buildings must be safe and in usable condition- Sheds, storage buildings, barns, etc. must not be in hazardous condition.

No water leaks - If evidence of water leaks is found, such as staining or wetness, an FHA appraiser will most likely call for a pest clearance from a licenced pest company.

No standing water around the home - If there is standing water around the property, an FHA appraiser will most likely call for extra drainage to be added to avoid possible damage to the property's foundation.

Firewalls must be in place between the garage and living space - Many homes will have holes cut in garage doors for pets or holes cut in the attic above a garage. These must be repaired to maintain the integrity of the firewall between the garage and home.

Exposed wires must be properly terminated- Any exposed wires in the property must be properly terminated.

Fixtures must be installed- Along the same lines as the exposed wires, It is common for homeowners to remove light fixtures from foreclosures before vacating. Often times they will leave exposed wires in their place. These exposed wires need to be properly terminated or have another light fixture or appliance installed in their place.

Stair railings must be in good working order - If stair railings are broken or unsafe, they will need to be repaired.

Flooring must be in generally good condition - Highly stained, torn or otherwise non-functional flooring will need to be repaired to minimum standards.

This list is not a complete list of all the issues that an FHA appraiser might call when doing an appraisal, but it is a list of some of the most common issues.

If you can think of others that should be on this list, please feel free to leave them in the comments section below.

]]> Thu, 15 Sep 2011 17:16:36 -0700phakehttp://www.realestatewebmasters.com/blogs/phake/how-to-fix-the-market-speed-up-foreclosures/show/http://www.realestatewebmasters.com/blogs/phake/how-to-fix-the-market-speed-up-foreclosures/show/
How to Fix the Market? Speed up ForeclosuresCNN Money posted an article yesterday proposing that what is needed to save the housing market is an acceleration of the foreclosure process, rather than the continued effort to slow it down.

It was refreshing to see this idea presented in the mainstream media.

I continually hear the point made that we need to stem the tide of foreclosures and help underwater homeowners stay in homes in order to save the housing market.

While this policy sounds compassionate and seems like a good idea, all it has really done is given people false hope and extended the housing recession indefinitely into the future. It has also kept current home buyers from having the opportunity to purchase homes that should be on the market.

It would make a lot more sense to help underwater homeowners free themselves from over-indebted properties and start re-establishing their credit to buy again someday, hopefully with a better understanding of what they can afford and at prices that are much more attainable.

Almost every person I know who has either been foreclosed on or has sold their home short is better off because of it. They are no longer burdened by the stress of trying to make payments they can't afford and by the overwhelming debt that hangs over their property. Many of them who went through the process early on are now in the position to buy again with historic low rates and incredibly low prices.

What they thought was a financial calamity turned out to look like a very shrewd financial move.

Some could argue that the market cannot support an influx of bank owned properties, which is completely false, at least in our area. Just recently we measured the total number of months inventory in one of the main communities we serve, Rocklin, Ca. For the month of June, Rocklin had 1.8 months of total housing inventory and .65 months of inventory of bank owned properties. A neutral market is considered 6 months. We could have 7 times the number of bank owned homes listed on the market in Rocklin, and we would just then be at neutral.

We see similar levels of inventory throughout the Placer County region.

The demand for housing is there, but there are no homes to purchase, because the average home owner is so far underwater they cannot sell, the short sale process is a mess and the government is intentionally helping banks stall the foreclosure process.

It may not seem like the politically warm and fuzzy thing to do and it would probably upset the banking industry who are now happy to "pretend and extend", but it is the right thing to do.

If we are going to ever get out of this mess, the foreclosure and short sale process need to be streamlined and accelerated. The funds and time now being wasted on trying to slow it down should be used to help those who lose their homes to re-establish themselves financially and find rentals, along with helping new home buyers and investors purchase the homes after foreclosure.

]]> Thu, 01 Sep 2011 06:40:50 -0700phakehttp://www.realestatewebmasters.com/blogs/phake/huge-increase-in-short-sale-pending-sales-not-leading-to-increase-in-closings/show/http://www.realestatewebmasters.com/blogs/phake/huge-increase-in-short-sale-pending-sales-not-leading-to-increase-in-closings/show/
Huge Increase in Short Sale Pending Sales not Leading to Increase in Closings I keep a pretty close eye on local real estate statistics here in Placer County, California.

While doing my monthly statistics reports over the past few months, I have noticed a very interesting trend.

Since the the start of 2011 we have seen the number of short sale homes pending sale increase each month by a large margin, while sales of short sale properties have remained relatively flat and in many cases down compared to a year ago.

I first noticed this when analyzing Placer County specifically, but then found the same trend when I expanded my analysis to the four county region around Sacramento, including Placer, El Dorado, Sacramento and Yolo counties.

The following graph will show how short sale pending sales have increased every month while at the same time closed short sales have stalled out.

Year over year, there has been a 121% increase in the number of short sale properties pending sale, while at the same time actual closed short sales have fallen 20%. Month over month, there has been a 30% increase in short sales pending sale, while closed sales fell 5%.

By any normal understanding of how pending sales and closed sales correlate, we should have seen an increase in closed short sales by this point, not a decline in sales.

Some of this may be due to listing agents moving more short sale listings into the status before there is a full bank approval of the sale, but I find it unlikely that the numbers would have suddenly taken an upward swing all at one time if that were the case.

If there was a memo sent out instructing agents to move short sales into pending sale before contract approval, I didn't receive it.

I suspect that it is more likely due to incompetence by the banks processing the sales and/or a conscious effort on the banks' part to extend and pretend.

I wrote recently about my own issues getting a "pre-approved" short sale closed in Rocklin, CA, where the bank first instructed us to move with haste to get it closed quickly and then suddenly, inexplicably dropped the file and then restarted the process from scratch as though no work had previously been done.

I assumed that my bad expierience in that case was an anecdotal representation of how bad things can get when processing short sales, but when looking at the statistics it appears that it may be more common than not.

The question is, how long can banks continue to play the games they have been playing with short sales and other pre-foreclosure properties?

I assume that at some point they will have to pay the piper and realize their losses.

For now it just seems that they will continue to kick the can down the road as long as they can.

If they ever actually decide to follow through and approve the sales, we may see a very large increase in monthly sales.

But until they do start approving more the sales and actually closing them, I think it is also important to keep this issue in mind when national and local media outlets report that pending sales are on the rise.

It is clear now that the relationship between pending sales and eventual closed sales has been severely diminished by how banks are processing short sales.

]]> Tue, 02 Aug 2011 15:08:35 -0700phakehttp://www.realestatewebmasters.com/blogs/phake/if-the-buyer-walks-thats-on-them/show/http://www.realestatewebmasters.com/blogs/phake/if-the-buyer-walks-thats-on-them/show/
" If the Buyer Walks, That's on Them" I am currently representing a client in the purchase of a short sale home in Rocklin, Ca.

My clients initially lost out on the home months ago during a multi-offer negotiation.

I stayed in contact with the listing agent over the next few months to let him know that my clients were still interested, should the original buyer decide to walk.

The original buyer did end up losing patience with the process and decided to walk.

Lucky for us, they lost patience just before the seller received short sale approval from their lender.

Bank of America, the servicer of the sellers’ first loan instructed the listing agent to upload my clients offer and that the transaction would be pushed through in an expedited manner, because the previous offer had already received approval.

That was a month ago on Monday.

We have since been passed around and told on numerous occasions that we will have an approval in a few days.

Just yesterday we received the following as part of an e-mail response to a request we made for an update:

"At this time the external partners have to do their tasks and when they do, you or I will be tasked. There is nothing more that I can do except ask for your patience. If the buyer walks that’s on them."

Is that really an acceptable level of follow up for a large financial institution dealing with a transaction that has a financial consequences in the tens of thousands of dollars range?

I realize that there are countless numbers of these transactions occurring, but what could be a more important use of the bank's time and manpower than to make sure they control their losses on these transactions and deal with them as efficiently as possible.

Sending one way requests to "external partners" to complete "tasks" and then not following up proactively to get things done is negligent and irresponsible.

Can a phone call not be made to the "External Partners"?

Who exactly are they? Why can’t I or the listing agent deal with them directly?

What could possibly take a month for them to complete, especially after the transaction had already been previously approved?

If the sale had already been approved before for less, why do we need to repeat the process again?

Why not slide the offer in and get it done?

The level of inefficiency, lack of initiative and ineptitude in the banks' short sale processing departments is enough to make me want to scream, cry and laugh.

There is no reason why these transactions could not be moved through in half the time they are.

Unfortunately, it seems that the banks are happy to process short sales with the same level of thought and service they put into processing orders for new checks, or changing the address on a savings account.

Rather than recognizing that each short sale transaction is a substantial event, they instead attempt to commoditize them and process them as if they are inconsequential.

I hope changes can be made to how banks and servicers view short sales, but I don't have a lot of hope that they will be.

Until short sale processors are compensated appropriately for performance and are held responsible for each and every transaction being dealt with efficiently and professionally, nothing will change.

So long as short sale processors can point their fingers at the system or at the mysterious “External Partners”, the process will continue to be slow and inefficient.

Ironically, I received the following e-mail from Bank of America just as I was finishing this post. My favorite line is “As an example of our commitment to improving the short sale process.” What a joke.

]]> Wed, 13 Jul 2011 12:03:10 -0700phakehttp://www.realestatewebmasters.com/blogs/phake/the-5-most-expensive-homes-sold-in-placer-county-during-the-first-half-of-2011/show/http://www.realestatewebmasters.com/blogs/phake/the-5-most-expensive-homes-sold-in-placer-county-during-the-first-half-of-2011/show/
The 5 Most Expensive Homes Sold in Placer County During the First Half of 2011 During the first six months of 2011 there were 2,534 homes sold in Placer County in Metrolist MLS. The following homes were the 5 most expensive homes sold in Placer County during that same period, counting down from the 5th most expensie to the most expensive property sold.

#5 7110 Loomis Hills Road - Sales Price $1,695,000 -

This home is located in the exclusive gated community of Loomis Hills in Loomis, CA. The 5 bedroom, 3 1/2 bath, 5,954 square-foot home was in built in 2003 on 5 beautifully landscaped acres with gorgeous local views of vineyards, a koi pond and two rock waterfalls leading into an extravagant pool. The architectural highlights include stone facades, arched doorways and solid wood beams. - Sold By Joey Aronson of Lyon Real Estate

#4 201 Rua Esperanza - Sale Price $1,920,000

This home is located in luxury golfing community Catta Verdera in Lincoln, CA. The 6 bedroom, 6 1/2 bath, 9,670 square-foot home was in built in 2007 on just over 1 acre, with spectacular views of the Catta Verdera Golf course. The home has a European style with large beamed ceilings, an ornate library and a massive three slab kitchen island. - Sold by Dan Morrison of Morrison Real Estate

#3 8845 Bella Terra Place - Sale Price $2,000,000

This home is located in the ultra high end gated community Bella Terra in Granite Bay, CA. The 6 bedroom, 4 1/2 bath, 7,000 square-foot home was in built in 2006 on just over 2.3 acres. The home has an amazing outdoor living area that includes an outdoor kitchen, luxurious pool and spa, sports court, playhouse and koi pond. The home has a French style with soaring ceilings and a kitchen fit for a chef. - Sold by Nick Sadek of Sadek N. R. Real Estate

#2 8505 Sheba Court - Sale Price $2,300,000

This home is located in the luxury gated community Sheba Lakes in heart of Granite Bay, CA. The 9 bedroom, 5 1/2 bath, 7,300 square-foot home was in built in 2007 on 7 acres, with gorgeous views of two man made lakes. The home has a Mediterranean style with a luxurious master suite, marble flooring, a gourmet kitchen and outdoor bar and a extravagant pool. - Sold by Nick Sadek of Sadek N. R. Real Estate

#1 8914 Collina - Sale Price $2,800,000

This home is located in the exclusive gated community Bell Terra in Granite Bay, CA. The 8 bedroom, 7 full bath, 7 half bath, 15,800 square-foot home began constructions in 2008 and was finished this year prior to its sale but the lender that owned it. The home is situated on 2.3 private acres and is actually more than just one home. It is a main home, a guest home and a caretaker home. The home also includes a private theatre and a motor court with a 7-car air-conditioned garage. - Sold by Nick Sadek of Sadek N. R. Real Estate

]]> Sat, 09 Jul 2011 16:14:02 -0700phakehttp://www.realestatewebmasters.com/blogs/phake/which-home-in-this-video-is-overbuilt-for-the-neighborhood/show/http://www.realestatewebmasters.com/blogs/phake/which-home-in-this-video-is-overbuilt-for-the-neighborhood/show/
Which Home in This Video is Overbuilt for the Neighborhood? A local appraiser friend of mine from Sacramento shot the following video when doing an appraisal recently.

Can you spot the home that is overbuilt for the neighborhood?

]]> Fri, 08 Jul 2011 18:21:15 -0700phakehttp://www.realestatewebmasters.com/blogs/phake/beware-content-scrapers-may-be-stealing-your-rew-blog-content/show/http://www.realestatewebmasters.com/blogs/phake/beware-content-scrapers-may-be-stealing-your-rew-blog-content/show/
Beware!: Content Scrapers May Be Stealing Your REW Blog Content I recently made the decision to start using an REW blog to post some content about my area and other random observations I have made about real estate in general.

Typically when I write something new on a blog I will check the title in Google within a few days to make sure that it has been indexed.

I am happy to say that blogs written on REW get indexed fairly quickly, which is a great advantage to posting on the network.

Unfortunately, I discovered something else this morning that is not so great.

A scraper site has taken my post word for word and republished it, and is now ranking above my post for the same content.

Better still, the page has all of links removed, so as to not pass any benefit back to my site. They have even removed my video and blog signature.

I would link to them now for reference, but I don't want to give them any additional benefit, even if links are no-follow on REW.

Here is a screen shot:

I typically only publish a summarized RSS feed on my other blogs, so that this type of thing does not happen. It appears that the RSS feed for REW blogs are full feeds, which makes it easy for scrapers to re-post entire articles.

It is possible that the owner of that blog simply copied and pasted my article, but I doubt they spent the time to do so.

If you look at my RSS Feed you will see that it is exactly how the article is republished on the scraper site with the video and my signature removed.

I am tempted to upload new photos with the same file locations with something embarrassing, because they are using the photos directly from REW's servers.

What I will probably do instead, is chalk it up as a lesson learned and make a few modifcations in my postings in the future.

Going forward, I will manually enter my signature at the end of posts, rather than having it added automatically, After looking at the RSS feed, it appears that the signature and related links portion of the page do not make it to the feed.

Adding my signature to my post will not fix the problem of having the content outrank me, but it does create the outside possibility that if someone clicks on it, they may contact me or manually input my url for more information.

The scrapers may manually remove it, but at least I may still get some possible benefit from those sites that automatically post scraped content and remove all links.

Maybe if the REW team reads this, they can makes some changes to have the blog signature and the related links portion of the page added to the RSS feed, which would remove the necessity for me to do this.

I hate to have to do it this way, but here we go:

Patrick Hake is a Broker Associate and team leader with RE/MAX Gold in Auburn, CA. He owns and operates the regional real estate website www.PlacerCountyHomesandLand.com and can be reached at 916-728-1981 or found on Facebook or Twitter.

]]> Fri, 08 Jul 2011 07:42:11 -0700phakehttp://www.realestatewebmasters.com/blogs/phake/5-fun-things-to-do-outside-in-sun-city-lincoln-hills/show/http://www.realestatewebmasters.com/blogs/phake/5-fun-things-to-do-outside-in-sun-city-lincoln-hills/show/
5 Fun Things to Do Outside in Sun City Lincoln HillsSun City Lincoln Hills is an active adult community located in the rolling foothills of the Sierra Nevada mountains in Lincoln, CA, just outside of Sacramento.

The term "Active Adult" is not used incorrectly when describing Sun City Lincoln Hills. There are numerous sporting activities, clubs, facilities and events to keep residents busy all year long.

For many residents who move to the community, the idea of being able to remain physically active is intriguing and exciting.

Here are five fun activities available to homeowners in Sun City Lincoln Hills who are looking forward to being able to stay active into retirement and enjoy the outdoors.

Golf - Sun City Lincoln Hills is situated amongst and associated with Lincoln Hills golf club, which has two top tier 18-hole golf courses and a practice facility. If you live in Sun City Lincoln Hills, not only can you play golf, you can live golf.

Tennis, Basketball and Softball - If team sports are more your thing, there is a sports complex with a regulation size softball field, numerous tennis course, bocce ball courts and basketball courts.

Hiking and Biking - There are 19 hiking and biking trails that weave throughout the community. Perfect for going on a brisk jog, walk or bike ride with a friend. Sun City Trail Map

Swimming - Sun City Lincoln Hills has both an indoor and outdoor pool, for those who want to stay cool in the summer or get a brisk workout in any season.

Nature Watching - The Sun City community is surrounded on all sides by open space. In fact the design of the community was planned around including hundreds of acres of wetlands, riparian areas and grasslands. All of which provide an excellent environment to observe birds, flowers and other indigenous inhabitants.

All of these activities and more are availalbe to Sun City LIncoln Hills residents without ever leaving the community.

There are even more activities available to do outside, if you are willing to take a short drive, but the details for those activities will have to come in another article.

If you have questions about the Sun City Lincoln Hills community, or if you would like to schedule a tour, please feel free to give my team a call or drop us an e-mail, we would be happy to help.

]]> Thu, 07 Jul 2011 16:50:31 -0700phakehttp://www.realestatewebmasters.com/blogs/phake/recent-changes-in-fannie-mae-cash-out-refinance-rules-should-spur-cash-investment-in-rocklin-homes/show/http://www.realestatewebmasters.com/blogs/phake/recent-changes-in-fannie-mae-cash-out-refinance-rules-should-spur-cash-investment-in-rocklin-homes/show/
Recent Changes in Fannie Mae Cash Out Refinance Rules Should Spur Cash Investment in Rocklin HomesInman News has reported that Fannie Mae has now changed their long standing rule that properties purchased via cash must wait a minimum of 6 months before refinancing and taking the cash back out.

The new rule allows for investors to purchase properties via cash and then almost immediately refinance the property and pull out as much as 65-70% of the original investment.

This in theory should allow investors to use cash to gain an advantage during negotiations and multi-offer scenarios when going after short sales and REO properties, while at the same time allowing them to free up the cash shortly after to reinvest in another property or make improvements to the existing property.

With 20% homes sold in Rocklin in the first half of the year being purchased with cash, you can see how allowing those home buyers to refinance right away could create a large new group of perspective home buyers.

In Sacramento the number of cash buyers is even higher at just over 30% in June.

With cashflows better than they have been in over a decade, it is likely that many investors will take advantage of the new lending guidelines to quickly purchase multiple investment homes.

We will have to check in again in 6 months to see how the rule change has impacted the number of homes purchased with cash. I suspect that they will increase.

]]> Wed, 06 Jul 2011 20:39:34 -0700phakehttp://www.realestatewebmasters.com/blogs/phake/apartment-complex-mandates-that-dogs-submit-dna-samples/show/http://www.realestatewebmasters.com/blogs/phake/apartment-complex-mandates-that-dogs-submit-dna-samples/show/
Apartment Complex Mandates that Dogs Submit DNA Samples The Huffington Post has reported that an apartment complex in New Hampshire has now taken monitoring of their residents to a whole new level by mandating that they submit samples of their dogs DNA, so that they can be compared to dog poop that has been found throughout the complex.

The complex manager turned to this tactic after numerous attempts to get residents to pick up after their pets were ignored.

The story indicates that the DNA samples are requested to be given voluntarily, but it is easy to see how this could eventually become a requirement within leases or HOA documents.

Stories like this are a good reminder to anyone considering purchasing a property in an HOA that they should understand that they are agreeing to be bound by the HOA rules and that in fact they are joining a small goverment, which can be ran like a democracy or a small dictatorship.

They are also agreeing to be bound by any new rules that are agreed to under the bylaws of the HOA agreement.

So even if the current rules are agreeable, it is important that homebuyers determine the direction of the HOA from recent meeting notes and that they participate in future meetings once they purchase the property, so they don't end up stuck with rules they can't live with.

Some HOAs have reputations for being very strict and intrusive, while others are known for ignoring rules or even sherking on thier responsabilities to repair common areas.

The condo or home you may be considering could be in an HOA that has dog poop everywhere and doesn't inforce the rules, or it could be in an Orwellian HOA where big brother HOA is DNA testing your dog.

Most people would probably prefer to live in an HOA somwhere in the middle of those two, so its best that you check before finalizing the purchase of a property.