Voices of Real Estate

Appraisal Update, Posted by Charles

2009-07-02T18:07:35Z

I just returned to Texas after a whirlwind trip to the east coast, where I met with the New York Attorney General’s office and officials from the Federal Housing Finance Agency and Fannie Mae. The topic: appraisals, and specifically the concerns and perspectives that you, our REALTORS and appraiser members have raised about the implementation of the HVCC.

First and foremost, I want to thank all of you for sharing your comments on the Voices of Real Estate blog this past week. Steve Brown’s entry, “All’s Not Quiet on the Midwestern Front” has received more than 120 comments – all of them very insightful. In fact, your thoughts were so important to the discussion that we shared them directly with the staff from the New York Attorney General’s office as prime examples of the problems we are seeing. We also shared the results of a recent survey of members, which highlights the overall impact of appraisal challenges on the mortgage transaction.

Those of you who have met me know that I don’t pull any punches. So, let me give you my honest assessment of my meetings:
1. All of the officials we met with wanted to hear about our experiences, and they conceded that there are problems.
2. All agreed that we can and should immediately address gaps in communication and education to help resolve how the HVCC is being applied.
3. How we resolve other more fundamental problems is not yet clear and will likely require a longer-term effort.

So what’s next?

First, in the weeks ahead NAR will be working closely with everyone in the industry, including Fannie Mae, Freddie Mac, the Appraisal Institute and government officials, to clarify the HVCC and how it should be applied. As many of you noted in your comments on this blog – pointing fingers is not the solution, we have to work together to improve the process for everyone.

Second, NAR is working with Congress to move legislation that would place an 18-month moratorium on the Home Valuation Code of Conduct, so that we can consider how best to modify the HVCC and to resolve additional concerns that many of you have raised about it and other appraisal issues in the current environment.

As always, we will keep you posted on our efforts on this blog and on Realtor.org. I encourage you to check out our HVCC Myths and Facts for more information. We also will be updating our FAQ to answer many of the questions you have raised in your e-mails and posts.

Of course, we encourage you to continue to share your thoughts and experiences with us whenever you can. With your participation, we will move the housing market forward, “United Toward Tomorrow.” – Charles McMillan, 2009 NAR President

Uniting to Revive Commercial Real Estate, Posted by Gary

2009-06-23T21:32:20Z

Let’s face it, it’s rare in the business world to see people putting their own agendas aside in favor of what’s best for the majority. But I had the pleasure of witnessing such sentiments at NAR’s Commercial Real Estate Industry Outreach Meeting last week in Washington, D.C.

NAR gathered representatives from 19 commercial real estate associations and firms to find solutions to the serious liquidity and credit issues facing commercial real estate. I'm talking below with Jan Sternin of the Mortgage Bankers Association and Blaine Walker (right), Chair of the REALTORS® Commercial Alliance.

From Coldwell Banker Commercial to the Commercial Mortgage Securities Association to The Real Estate Roundtable, I found myself overly impressed with the quality of all the participants and everyone’s passionate commitment to finding a solution to revive the commercial industry.

I felt especially honored to sit with Congressman Paul Kanjorski, chairman of the Capital Markets Subcommittee, the night before at dinner. Rep. Kanjorski couldn’t attend the meeting, but his candid remarks at dinner and openness to hearing all sides of the issue showed he’s a true friend to REALTORS®. He not only understands the problems commercial REALTORS® are facing but is as committed as we are to finding a solution.

At the meeting, we talked about the difficulties we see, brainstormed ideas, and unanimously decided to draft a policy statement from which we can make recommendations to lawmakers. In the next two weeks, we will touch base again to fine-tune the statement.

Commercial real estate influences the residential market as well as plays a major role in the life of our entire economy. It’s critical that we revive this sector of business. I’m thankful NAR took the initiative to convene this meeting and press towards a solution.

We will keep you updated on our progress. In the meantime, I’m going let this meeting serve as a reminder to me that when several people unite toward a common goal, success seems like a greater possibility. – Gary Thomas, 2009 NAR Vice President and Liaison to Government Affairs

My Father’s Best Leadership Lesson, Posted by Ron

2009-06-21T22:03:38Z

It is Father’s Day 2009, and I am so aware of my great fortune. I have been blessed with an exceptional family and three awesome children. Each shared his or her best wishes, love and thoughts with me today. It was touching and heartwarming. Being a father is the best part of my life: it is the rainbow, the sun, the moon, and the breath of my being. It is who I am.

Yet, I feel hollow today because I miss my father, who passed away five years ago. In between two open houses, I visited my father’s gravesite. We talked, or rather I talked, and he listened. It is really hard today to hear him. He was an exceptional father who taught each of his children to be people who lived lives of service to others and to do one’s absolute best. He was one of those rare people who understood that teachers are most effective when they live the lessons they teach. He did.

This past May, I was voted in as the 2010 President-Elect by the NAR Board of Directors, and I will become President the following year. People who know me well commented on how proud my father must be. I agreed with them, but I still wanted to celebrate the accomplishment with him. He was a procuring cause. He encouraged this fulfilling journey.

In leadership, you realize that you achieve as the result of great mentoring and teaching.
No one gets into leadership without lots of help. In truth, my teacher and mentors are numerous. My father’s best lesson was to find the best teachers and mentors, then study them and learn from them. Give them a stake in your progress. It is a great life lesson. You cannot become a NAR national leader without lots of help.

This past week a small group of REALTOR® leaders met to make 2010 Vice Chair of Committee selections. The challenge was to choose just one person for each position when so many capable and talented people had applied. We are working to complete the process. I cannot help but think about the example of my father: pick the best person for the position. We are working hard to do that, but how do you do that when you have so many “bests?”

It is also a privilege working with such a talented group of people on the leadership team. They teach my father’s lesson by example: be the best. Moreover, Charles McMillan, Dale Stinton, Vicki Cox Golder and I all have sons getting married on the 25th of July. Who says that the stars do not line up? It is my prayer for each of our sons, that they know unconditional love from their wives and children. We are part of a very special, extended family, the REALTOR® family. Our family includes all of YOU.

Thanks, Dad.

--Ron Phipps, 2009 NAR First Vice President

All is not quiet on the Midwestern front, Posted by Steve

2009-06-19T19:47:00Z

Here in the trenches, on the front lines of real estate in Ohio, we continue to face challenges:

First, there is an oversupply of houses, and home values are still in a general decline.

Second, although the average sale price is up, we have unprecedented marketing times and nervous appraisers (or at best very conservative appraisers). With sales nearly 20 percent below the previous year, many appraisers working on behalf of banks are brought in from out of town appraisal companies. They are only familiar with the market through Internet information. As a result, we have appraisals coming in as much as $100,000 below contract sales price – effectively killing the sale.

Third, too often foreclosed homes have been left without any care by the banks that now own them and the condition is deteriorating. The impact on neighboring homes is devastating.

Fourth, mortgage approvals are taking longer than ever, not uncommonly going beyond contract dates. (So much for "time is of the essence".)

Two recent Federal Acts: the Home Ownership And Equity Protection Act (HOEPA) and the Housing and Economic Recovery Act (HERA) are contributing to these problems. These regulations were intended to: a) provide greater financial education for consumers, thus aiding them in their financial lending choices; b) create safety checks in the lending process so consumers would not be victimized by predatory lending practices; and c) support more rigorous and transparent regulation of the real estate industry.

However, when Fannie Mae and Freddie Mac adopted the new Home Valuation Code of Conduct (HVCC) to assure appraisers would not be unduly influenced by lenders in the appraisal process, costs rose, while accuracy took a nosedive.

Although the goals are good and necessary, these laws were created and implemented without due consideration of how they would actually work for those of us who are in the "trenches." As a result, the time delays and cost increases are hurting the very consumers they were meant to protect.

We have heard from many of you, and I assure you that we "get it". NAR is lobbying federal legislators to correct and modify these laws. We also are pushing for a meeting with Federal Housing Finance Agency Director Lockhart to request a moratorium on the HVCC. Stay tuned for more news on this front next week.

Thankfully, the real estate industry and America’s real estate consumers have NAR to protect and defend us. In time, I hope our efforts will finally bring peace and quiet to the Midwestern front, and to the entire market. – Steve Brown, VP & Liaison to Committees

Health Care Reform Hot on the Hill, Posted by Gary

2009-06-18T21:12:15Z

It’s only mid-June, but Washington’s feeling the heat. Congress has set an aggressive timeline to debate healthcare reform, and it plans to deliver a final bill to President Obama to sign by October 15.

A lot of work and talk will transpire between now and then, but no matter how hot the debate gets, NAR will continue to stand firm on Capitol Hill, meeting with Administration officials and lawmakers and advocating for legislation that supports small businesses.

However, when it comes to decision time, we will need all REALTORS® pitching in and contacting their representatives in Washington. Whether NAR will ultimately come down for or against the drafted legislation, we want lawmakers to clearly know where REALTORS® stand. With 1.2 million of us, our voice should be one of the clearest out there.

Charles McMillan just outlined NAR’s position on healthcare in his audio podcast on Tuesday. I hope you’ll listen to it to get the details.

]]> Here’s our position in short: First, any healthcare reform legislation must address the needs of the self-employed and small employers. Second, we are still urging lawmakers to pass the Small Business Health Options Plan Act and the CHOICE Act. Lastly, we oppose any effort to alter the mortgage interest deduction to help pay for healthcare reform.

We created a new landing page at Realtor.org/healthreform, which outlines our position as well as provides a host of other healthcare information.

So after you listen to the podcast and check out the landing page, what are your questions? We want to know. Send them to the President’s Report inbox at presidentsreport@realtor.org and put “healthcare” in the subject line. At the end of each week, we will post a Q/A on Realtor.org.

One of our top priorities is communicating with members. We want to know what you think, and we want you to know what we’re doing every step of the way. Because down the road, we will need to stand together on behalf of the healthcare needs of all REALTORS®. Gary Thomas, 2009 NAR Vice President and Liaison to Government Affairs.

Give Credit Where It’s Due, Posted By Charles

2009-06-12T19:29:50Z

According to NAR research, the percentage of first-time homebuyers has risen from roughly one-third of all buyers in January to just under half in March and April. Why the sudden jump??

The answer is simple: those buyers have an $8,000 incentive, in the form of a tax credit, to buy now.

We’ve heard from a lot of members lately who would like to see the tax credit expanded.

I recently asked our Chief Economist Lawrence Yun what the impact on the market would be if Congress extended the credit through 2010 and offered it to all homebuyers. According to Lawrence, those changes could result in 800,000 additional home sales this year, raising the total from 5.4 million to 6.2 million. That would certainly take a big bite out of inventory and help stabilize prices.

And, that’s not all…

When you consider that for each home sold in the United States $62,000 is pumped into the national economy, the resulting impact of expanding the credit could be nearly $50 billion. That’s what I call a true economic stimulus!

NAR is working with members of Congress to introduce legislation that would expand and extend the credit. We will keep you posted on those efforts in the months ahead.

In the meantime, we would love to hear your stories about how the tax credit is helping consumers in your local markets. Post your experiences right here on the Voices of Real Estate blog, and we’ll share them with lawmakers. Help us tell Congress to give credit where it is due – to ALL homebuyers. – Charles McMillan, 2009 NAR President

Brokers Help Raise Our Voice, Posted by Vicki

2009-06-05T20:08:28Z

There is no doubt that this year has been important for real estate and our economy on many different levels. What matters most to REALTORS® is how changes in the industry and government policy affect our clients, customers and our businesses.

One of my greatest concerns as an NAR leader is that members feel helpless; that they do not have a voice in the changes that are happening in the industry; that too many of us have spent our entire careers building something that may not survive the current downturn.

As the largest trade association in the world, yes, NAR’s voice on Capitol Hill is very important when it comes to resolving the issues facing the economy. Fortunately, members of Congress and regulators are seeking our input to solutions to this housing crisis.

Consider how much influence we have now, imagine what would happen if more of our members responded to NAR’s “Calls for Action” when asked to do so.

The new Broker Involvement Program is designed to give the principal broker a quick tool to enlist your company’s agents in bring to Congress’ attention issues of concern to you and your business. The program provides agents a direct communication link to their lawmakers and in just seconds allows agents to express their opinions on those business issues with a personal letter that’s ready for them to sign and send.

We have discovered in the past year that when brokers alert their agents to key issues, agents listen and respond. In fact, since this program was initially launched, we have gone from just 30 brokers participating to now well over 1,000. Our goal this year is a 15 percent response rate, and with your help, I am certain we will achieve it.

If you are a broker and would like to join the effort – or, if you are an agent and would like your broker to participate – please contact Ed Lawler at elawler@realtors.org. Your involvement in this important program will strengthen our REALTOR® influence in determining outcomes of legislation that is important to our industry.

Please don’t sit back and see what happens. You DO have the influence to shape our industry and your business. –Vicki Cox Golder, 2009 President-Elect

REALTORS® Put Experts In Touch With Reality, Posted By Steve

2009-05-29T13:28:56Z

After a couple of weeks, two impressions remain with me from NAR’s Midyear Legislative Meetings and our first-ever Real Estate Summit.

First, it never fails to amaze how both in-touch and out-of-touch real estate and public policy “experts” are with the realities of the market.

All the Summit speakers expressed profound insights into how the whole housing debacle occurred. All made good suggestions as to how we could recover. However, few, if any of the speakers understood the realities of our market until one REALTOR® stood up and talked about challenges that military homeowners in Honolulu, Hawaii, are facing. You could hear the gasps as she described how those serving our country are being forced into foreclosure when they change duty stations.

Another REALTOR® explained how the short sale process – or lack of a consistent one – is really hurting home buyers, home sellers and REALTORS® across the nation. Finally, another REALTOR® related how lenders are now telling clients to stop paying their mortgages so they can get help. Everyone knew about that, but what this REALTOR® pointed out to our panelists is that everyone who does this is out of the market for five to seven years, meaning this “short-term” problem will have major long term implications for housing and our nation.

These are real people with real problems.

I watched the speakers, including FDIC Chairman Sheila Bair, HUD Secretary Shaun Donovan, Alan Greenspan and others, listen – really listen – to what we shared. I realized that, until then, they had not fully grasped the long-term effects. It took REALTORS®, who are in the trenches, doing business each and every day, to help these experts in charge of finding solutions to more fully understand the scope of these problems. Judging from their honest hesitation in answering the questions raised by our members, I think they finally began to see what needs to be done.

And so my second impression, which is really more of a conclusion, is that in order to effectively move forward, REALTORS® must be at the table to help government leaders develop policies to stabilize our industry and the economy. As the "Voice of Real Estate", the country needs us. -- Steve Brown, VP and Liaison to Committees

Short Sale Process Getting Shorter? Posted by Gary

2009-05-26T21:00:00Z

You can’t be a REALTOR® working today without facing the problem of short sales. I constantly hear from members about how the arduous short sale process hampers business and keeps prospective home buyers from becoming homeowners.

So I wasn’t surprised two weeks ago at NAR’s first-ever Housing Summit at the 2009 Midyear Legislative Meetings in Washington, D.C., that an array of panelists (we’re talking about policy experts, economists, academics, journalists, and REALTORS®) loudly called for streamlining the short sales process.

The great news is that the Obama Administration heard REALTORS®’ concerns. Last week the Treasury Department and HUD announced that it had created incentives under the Making Home Affordable Program to do just that.

Where modification is not possible or the homeowner can’t make the new payments under the MHA program, homeowners and servicers can qualify for monetary incentives (like $1,000 for servicers for the completion of a short sale or $1,500 for the homeowner to help with relocation expenses) that encourage homes getting sold and save more homeowners from going into foreclosure. Other new guidelines also provide for a more uniform and transparent process.

For members working in this challenging market, you will be pleased to know that concrete steps are being taken to hopefully speed up short sales. While there is more work to be done, this is a solid first step that wouldn’t have happened without REALTORS® getting involved and voicing our concerns.

Speaking of getting involved, I had the pleasure of presenting the very first GABBY Awards at the Midyear Meetings to state and local associations who have successfully used the GetActive program to mobilize their members on state and local issues. Through GetActive, REALTORS® sent over one million letters to elected officials last year.

While I certainly hope the new short sales incentives and guidelines make a difference in the market, I want to urge REALTORS® to continue to stay active on legislative issues. The Administration heard our plea regarding short sales. This is proof that when we get involved, we do make a difference! Gary Thomas, 2009 NAR Vice President and Liaison to Government Affairs

I Love the Now, Posted by Jim

2009-05-22T19:00:46Z

"I love the now…all the faces and places, I love the now…all the rats and the races…Tomorrow's right around the corner, I'll get there somehow, But I'm stuck in meantime, and I Love The Now." --Jimmy Buffett

One week ago, I sat with the NAR Finance Committee reviewing the 2009 Budget Adjustments and looking over (one last time) the 2010 budget before presenting it to the Executive Committee and Board of Directors. 2010 is the third year of NAR’s three-year budget cycle. The budgetary process we use is a well-conceived plan. It forces us to think ahead and to “noodle” over what could and should be.

The recent economic woes of our industry have caused everyone from the Leadership Team right down to each staff member to reconsider what we thought was the right thing to be doing as of two years ago.

Still, NAR has made a conscious decision to remain fully engaged in the services our membership needs (Right Tools, Right Now initiative). We are and will be using reserves over the next two years. In 2009, we carry a budget deficit of approximately $7.8 million. In 2010, we are projecting a deficit of about $4.3 million. NAR has reserves of nearly $197 million and members' equity of $269 million – not bad for an association that represents so many people that do so much for the betterment of everyone.

We are a strong organization in many ways. Most associations envy our fiscal strength. Interestingly enough, most associations also envy the REALTOR® three-way agreement between the local, state, and the national associations. They also envy our grass roots efforts with regard to legislative matters. Finally, I think some are baffled by our ability to move forward even when times are not what we expect them to be. All of that and the REALTORS® Federal Credit Union, too!! How cool is that?

The Midyear meetings were an interesting study of our membership. Nearly the exact same number of members attended these meetings as do every year. Even as our industry suffers from the country’s economic problems, our membership came together, made decisions that affect all 1.2 million of us, and found time to network and enjoy each other’s company for a few days.

As I sat in the Board of Directors meeting, I realized how lucky we are. Even with my sales and leasing efforts well below the goals I established for 2009, I love the now. I can’t find a better place to be. Summer is coming….Memorial Day is upon us, and I’m still in the best profession I can think of. Best to all of you. Jim Helsel, 2009 NAR Treasurer

Why the Leadership Team Model Works, Posted by Ron

2009-05-21T14:16:56Z

As the newbie on the leadership team, I have lots to learn! Much of what happens in leadership is process driven. In an organization of our size, 1.14 million members, and complexity, there is a lot to do and a tremendous amount to study. While engaged in that process, you cannot help but notice how great the "system," works.

Specifically, there is an amazing collaboration between the volunteer leaders and our professional staff. Each year the volunteer leaders change, people leaving the team, people joining the team. This year they include President Charles McMillan, President-Elect Vicki Cox Golder, First Vice-President Ron Phipps, Treasurer Jim Helsel, Immediate Past President Dick Gaylord, Vice President of Committees Steve Brown, and Vice President of Government Affairs Gary Thomas. Dale Stinton is the Chief Executive Officer, who with his equally amazing team, forwards the ambitious agenda and critical mission of this organization. This is not an easy task. You cannot help but smile when you think about the different personalities of the volunteer leaders that pass through leadership. As soon as the professional staff gets used to one presidential personality, a new one is in office.

What is amazing is that it works and no one sees or knows of the challenge. It is always a balance. The volunteer leaders are responsible for mapping the strategic course of the organization. Dale and his staff work with us on the plan, but they are responsible for the execution of the programs.

The Right Tools, Right Now initiative is a great example of the effectiveness of this model. Last fall, the leadership team meeting included a discussion of how badly our individual members were faring. This was as the result of an e-mail sent by a Realtor® member from North Carolina. As leadership, we were listening, but "felt" unable to do more than encourage people to simply "bear it." After the first of the year, Dale and his team stepped up and came up with the Right Tools, Right Now initiative. More people have used it than we would have imagined. It is effective. To promote Right Tools Right Now, President McMillan and I recently discussed the initiative in his President’s Podcast.

Also amazing is the "espirit de corps" that develops among the leadership team. You have friends, mentors, and co-leaders. Each one is so committed to doing right by the organization and the membership. Sometimes we commiserate. Sometimes the challenges are overwhelming, but the team members support each other. When we need to fill in for each other, we do. When we deliberate issues, it is issue-centric not personality driven. It takes time to create that level of trust and respect.

The leadership team model works. Leaders listen and things happen. – Ron Phipps, 2009 NAR First Vice President

Reaching the “Summit”, Posted by Vicki

2009-05-14T19:53:41Z

On Tuesday May 12th, NAR hosted our first-ever Real Estate Summit to advance a dialogue to finding solutions for a housing recovery, which will help spur a badly needed economic recovery.

Thousands of Realtors® witnessed experts from housing, academia, media, finance and government testify to the importance of a stable real estate market as fundamental to a healthy economy.

One of the most exciting developments occurred when Shaun Donovan, secretary of the Department of Housing and Urban Development, announced that first time homebuyers will soon be allowed to use the $8,000 tax credit as part of their down payment. The room erupted in applause. NAR has been calling for this initiative, which will allow FHA approved lenders to “monetize” the tax credit immediately through short-term bridge loans. This is a great success, and will go a long way to bringing buyers back to the market.

Our members heard from notable speakers such as Alan Greenspan, former Federal Reserve Board Chairman; Robert Reich, former U.S. Secretary of Labor; conservative commentator Pat Buchanan and former U.S. Rep. Harold Ford Jr., D-Tenn. They all explored solutions to the credit crisis and examined the lending challenges confronting residential and commercial markets, providers and customers.

We also heard from two distinguished panels moderated by Ron Insana, senior analyst and commentator, CNBC, and Jane Bryant Quinn, contributing editor, Newsweek that explored “Reshaping Real Estate to Sustain Communities” and “Financing Real Estate for Tomorrow.”

I heard from many members who commented that we focused on what business is really like in our communities. They also said how we should all be engaged with resolving the issues facing our industry, and the Real Estate Summit inspired them to get more involved.

With comments like that, I was so proud to be a REALTOR®. It is our pride and spirit that makes us a guiding force for revitalizing the housing market and advancing the U.S. economy. – Vicki Cox Golder, 2009 NAR President-Elect

Still Learning, Posted By Dick

2009-05-08T23:25:11Z

In 30 years in the real estate business, whenever the prospect of handling a short sale came up, I cringed. I avoided them at all costs.

Earlier this year, I listed a property for a client who owed the bank more than the home was worth. I thought, “the only way we are going to sell is through a short sale.” So, we prepared all of the materials and submitted them to the bank about three months ago. One month ago, we got an offer and the bank was willing to accept, contingent on the inspection.

As some of you know, in any short sale, a full inspection is required – just so the buyer understands the condition of the property. During the inspection, they found 32 items that needed repair or attention. I had never seen that in 30 years in the business, and I thought to myself, “There goes the offer.”

But, the buyer said: “Let’s get a contract, and if the seller is willing to reduce the price by $25,000, we will proceed with the transaction.” One week later the bank accepted the offer, and we closed on the deal.
My experience is certainly not the norm, but it taught me a valuable lesson.

Before I tried a short sale, I was scared. I knew nothing of the process, and I didn’t want to get involved. Now, I realize how they work, and I see that I can actually make money on them. I am already working on my second one, and I would love to do more.

The point is, after 31 years in the real estate business, I am still learning. I am grateful that NAR offers me the resources I need to learn about short sales and foreclosures, and other areas of the business that are growing. In fact, our short sale classroom course is available now, and the online version will be available through REALTOR® University at the end of June. I encourage all members to take the time now to learn new skills. If I can do it, you can, too. – Dick Gaylord, 2009 Immediate Past President

Change for the Better? Posted by Steve

2009-05-01T20:23:19Z

Oh, how things have changed over the past six months, or so! And, I am not just referring to the economy. After 30 years in real estate, I am seeing real changes in how I do business, and how the business is changing me.
For the first time ever, I negotiated an entire lease by texting. The prospective tenant was an incoming first-year resident at one of the area hospitals. We had only one brief face-to-face meeting, and that’s when I showed him the property. All subsequent conversations and communication with him were via text message.

What surprised me most is how quickly the buyer responded to this communication stream – it was, essentially, instantaneous. I could learn to like doing business this way. Think of how much I could do if all my clients were instantaneous!

In another deal, the listing agent on the property “preferred” that all communications were emailed, including all paper work in connection to the lease of the building. For an industry and community that prides itself on personal contact to get things done, this is REAL change.

Considering that I travel quite a bit, doing business via text and e-mail is not only convenient for me, but the other agent also had no clue that I am working out of the state the entire time.

]]> Given these changes in the business, it is not surprising that my most profitable contacts these days are not my client base of 35 years, who all seem to have fallen off the planet, but the first-time buyers I have connected with through Facebook and other social networking sites. I go to these networks every night before I go to bed, just like I used to go to meetings. It works about the same, only it takes less time.

My clients are experiencing other changes, too. I recently received a pre-approval letter from another agent that read: “Buyer has been approved through desktop underwriting. However, ultimate approval is subject to underwriter approval and a level-one and potentially a level-two audit”. Needless to say, this “pre-approval” did not leave me thinking I had much of a “pre-approved” buyer.

Worse is the offer I wrote for a first-time home buyer nearly three weeks ago. Her parents are going to help her with the down payment of 20 percent. She has perfect credit. We are still waiting for an approval. In this case, change isn’t for the better.

For years we have been talking about how thing will change, but it seems that the day-to-day reality of change (both good and bad) has really, finally and fully hit – at least where I am. If I were unprepared and unaware of what was happening, I know I would be one scared selling broker. But, I am not scared. I am prepared to do what I need to do, thanks to the education I have received from the REALTOR® organization. And, yes, I am really using the resources and support NAR provide.

The truth is I am also looking at NAR differently than I used to. Not just because I am involved in the leadership team this year, but because I think of NAR now as more of a partner in my real estate life, rather than just a big organization I belong to. And, I am not alone. I have hundreds of colleagues and friends who continue to encourage me during this time of change.

Of course, I would have preferred not to change…I liked the way things were. But, now I am beginning to see the advantages of negotiating through texting from the Lake, rather than being trapped, sitting on the phone and faxing from the office. I guess some changes are good! – Steve Brown, Vice President & Liaison to Committees

REALTORS® Make Gains on Mortgage Reform Bill, Posted by Gary

2009-05-01T17:50:03Z

I wanted to give you an update on the latest good news for REALTORS® and consumers coming out of Washington. On April 23, NAR President Charles McMillan testified on behalf of the House Financial Services Committee on mortgage reform. On Wednesday, the committee finished revising language on HR-1728, “The Mortgage Reform and Anti-Predatory Lending Act of 2009.”

REALTORS® made gains on two fronts. First, the bill excludes real estate professionals from being considered “mortgage originators,” unless they are indeed receiving fees for acting as lenders or mortgage brokers. The means REALTORS® can continue to provide the same level of high quality service that homebuying consumers have come to expect without having to obtain a second registration or license as directed by the original text of the bill.

Secondly, the bill makes space for sellers to finance one transaction every three years of their own real property. This is important because when credit is tight a seller can offer the buyer the financing they need to make a sale on their own property. Thus, bypassing traditional lending institutions.

The bill still has to go through the Senate. But for now, REALTORS® have secured the right language in the House bill that looks out for our best interests and benefits consumers.

One step at a time. That’s how these battles go. We will keep you updated on this issue as well as our other interests on Capitol Hill.

One amazing upcoming opportunity to hear more about what’s going on in Washington with housing and the economy is the “Real Estate Summit: Advancing the U.S. Economy” on Tuesday, May 12th at the 2009 Midyear Meetings & Trade Expo in Washington. The all-day summit (the first in NAR history) will feature panelists and key speakers like Alan Greenspan, Harold Ford, and Pat Buchanan discussing solutions to the present economic crisis and how we can avoid a crisis like this in the future.

The program is going to be first-rate. If you’ll be at the Midyear Meetings, this is a must-see event. I hope to catch you there. Gary Thomas – 2009 Vice President and Liaison to Government Affairs