Now where did I put that clipping.....

The newspaper ad has gone the way of the silent film. It's a novelty that some people look at sometimes, but really has no more significance in todays commercial market.

Think about the last print ad to which you really paid attention. Were you searching the ad up and down to find an internet address so you could run to your computer and get more information? Of course you were. I do the same thing. Because we have become an instant-gratification society, we want not only MORE information but we want it NOW.

I am approached all the time by sales representatives of print magazines for real estate. First of all, I know that people only browse through those types of magazines when they are bored or waiting for someone. Secondly, the magazine is FULL of other realtors and companies selling pretty much the same thing. No one stands out. Why would I want to lump myself in with everyone else and hope you see my ad on page 96 at the bottom left?

The internet is the place to be. Our website enjoys a huge number of visits daily because we offer helpful information, pictures of our listings, dramatic multi-media presentations and virtual tours and much more. People can get information instantly and that's what everyone wants.

So make sure your agent invests heavily in technology and internet presence. It's not 1956 anymore!

What else can be done.....

I recently received the following email:

"Our house has been on the market for 121 days with XXXX Realty. I don't know what is going on, but I wondered what else we can do to get this home sold. Our agent doesn't really tell us much...."

First, you need to meet with your agent or at the very least, have a conversation with him. What has been done to date to market the home, what activity has he seen and what does he suggest? If he's avoiding you, he probably doesn't know what to say which is a bad sign. Even if he has nothing to report, he should be telling you exactly that.

Do you have a recent market analysis to show if your home is comparably priced? Are there enough flattering pictures on the MLS? Are there other forms of internet advertising and are they done creatively? Does your agent spend part of every day trying to attract new clients?

Our company offers a free Builder's Evaluation to our clients. We have a builder on staff who will visit a potential or new listing and evaluate the condition. He will make suggestions about things that can be done to improve the showing appearance or that will increase the value.

Are you offering any incentives to buyers/buyer's agents? A popular incentive in this market is offering to pay the first year of insurance for the buyer, or assisting with closing costs (which is limited by many types of loans, so consult a professional).

As I've said before, communication is the key. If you don't know what's going on, you can't put your finger on the pulse of the market and know where you stand.

What your home is really worth....

As I've mentioned before, it is only fair to be sensible with pricing in this market. When I say "fair", I'm referring to agents who substantially overprice their listings and mislead their sellers. This is not a market in which to try to make a killing - it's a normal market in which sellers who must sell for whatever reason should take advantage of the buyers who are getting historically low interest rates on new mortgages.

But there are still some agents out there (more experienced than inexperienced) who think it's wise to take a listing at an inflated price so they have as many listings as possible when the floodgates open. It's not fair to those of us who choose our listings wisely, price them competitively and advise our clients honestly. Why do I have a listing at $375K and on the same street there is a listing for $630K? Is there that much difference in the home itself? It's the same neighborhood, nearly built in the same year and doesn't have many of the fantastic features that my listing does. But an agent decided to tell the sellers what they wanted to hear instead of what they should hear.

As a seller, you should want to know exactly what is on the market currently that compares to your home, what comparables have sold in the last 6 months and how many comparable listings have expired. The market tells us what buyers are willing to pay. It may be necessary to adjust the list price from time to time according to market activity, but that shouldn't be a problem with the sellers if the agent is honest up front about the pricing and does his/her homework.

An aside to agents: It's OK to pass on a listing you don't think you can sell at an inflated price! Clients like the agents who can sell and deliver on their promises; not the ones who have the most listings. Plus, think about the problems you are going to have with an appraisal. You definitely won't be the hero.

If I sound irritated this morning it's because I realize that in this market, we as real estate professionals must work together for a common goal; the satisfaction of our clients. If we don't, no one wins.

Oh, no thanks; I don't want to be paid.....

A lady came to my office yesterday to tell me she was interested in purchasing a home in North Carolina. She currently lives in the Tarpon Springs area and saw on our website that we can assist people with home purchases anywhere. She told me about her home in the area, and that she would have to sell that home before purchasing the other. Here's the conversation:

Me: Well, let me tell you a little about our seller services and then...

Her: Oh, I'm selling my house By Owner. There is no way I'm using a realtor. I need all the money I can get out of the house.

Me: I see. Do you work full-time?

Her: Yes. I travel a lot for work.

Me: So your house is literally off the market when you leave home. If you had someone working for you to sell your house...

Her: I am TOTALLY not using a realtor. I wanted to ask you if you had a buyer for my house and I wanted to see if you could show me any homes in North Carolina on MLS.

Me: But you'd pay a commission if I brought a buyer to you?

Her: Oh no! I can handle everything. I just wondered if you had any buyers who might be interested in my house. You could just tell them about it and I'll handle selling it myself.

Me: So you came here just to get a buyer?

Her: Yes.

Me: Ma'am, I sell my own listings first and if I happened to have a buyer interested in your home, I would expect to be paid a commission since I would be representing the buyers in the transaction.

Her: Well, I'm not interested in that. Anyway, maybe you can show me some homes in North Carolina.

Me: I'd be happy to refer you to a colleague in that area and they can...

Her: An agent at XXXXXXX in Tarpon Springs already referred me to an agent up there. I just wanted to see a few things on MLS.

Me: So, you've talked to another agent in the area, they have referred you to an agent in North Carolina and you came here to look at houses in North Carolina?

Her: Yeah. See, if you send a buyer to me and I sell my house, I might let you get me an agent in North Carolina.

Me: But you said you already had an agent up there.

Her: Oh I do. But I want to get a few so I have some choices.

As much as I enjoy helping people and providing information, is it really fair for the public to expect that we should work for free? It may have been her ignorance of the real estate business, but she was adamant that she was not paying any realtor ANYTHING -she just wanted our information. And apparently she had asked the other agent in Tarpon for the necessary form to sell a home. I don't mind providing assistance, but our services have VALUE and more people than not appreciate that.

A fantastic open house.....

After a drastic price improvement, we will be hosting an open house today from 1pm - 3pm at 1316 Riverview Drive in Tarpon Springs. You'll recall from an earlier post that this is a lovely 5 bedroom, 2.5 bath, 2 car garage pool home located in the Sunset Hills area of Tarpon Springs. The home is within walking distance to the Gulf beaches and all three schools. I encourage every reader in the area to stop by today and take a look - you won't be disappointed! If you'd like more information on the home, you can visit our website at www.MyLandmarkTeam.com.

I'd also like to offer everyone our newest FREE publication - "The Seven Most Important Things You Should Know Before Selling Your House". There are many pitfalls that sellers can encounter and it's incredibly important to recognize them before they occur. This is a great publication for people who have decided to sell By Owner as well.

Thank you for all your emails about the blog - I'm glad many are enjoying the posts. Keep the suggestions coming!

Have a great Saturday.

Leave no consumer behind.......

If a kid grows up without a formal education and lives in an environment where the parents communicate in hush-hush tones on a need-to-know basis, by the time that kid is a young adult he's, well, a dolt.

Take the real school of hard knocks, housing, for example.

There are so many ways to obtain housing information you can get some by virtually peering through home windows, yet most consumer knowledge of the market comes in the form of street smarts obtained only when it's time to buy a home.

It's like sex-education in the 1950s.

Most consumers typically don't learn how to put a roof over their heads until, well, it's time to put a roof over their heads.

Only a little more than one in three consumers said they know "a lot" or "a fair amount" about real estate agents, brokers and their services, according to AARP data sifted by the Consumer Federation of America (CFA).

What's more, only 34 percent of consumers polled knew that the local multiple listing service (MLS) is the most complete source of information about homes for sale, only 26 percent were aware that commissions can be negotiated, and only 30 percent knew that states regulate much of the real estate industry.

Once consumers hit the street, however, some lights do go on.

Among those who had used the services of an agent or broker in the past five years, 58 percent said they were knowledgeable about real estate; 44 percent understood the informative power of the local MLS, 31 percent knew commissions can be negotiated and 38 percent knew they had state regulatory protection.

The study is only the latest in a growing library of studies about the lack of consumer knowledge about the ever-changing world of residential real estate. In a nation where 69 percent of the households are owner-occupied, most consumers don't know as much as they should about what is likely the most costly transaction they will ever endure.

"Home sellers and buyers who think they understand a complicated industry, yet in fact do not, are at a disadvantage in obtaining effective representation, reasonable commissions, adequate redress, and for buyers, complete information about listings," said Stephen Brobeck, CFA's executive director.

There's enough blame to go around for raising housing dumb consumers -- home schooling from parents, few of whom have reason to regularly monitor the housing market; home buyers who refuse to learn before the knowledge is needed; the infrequent nature of the home buying transaction and, of course, the media's limited number of analytical real estate writers, among others.

But it's also time for the real estate industry to grow up and stop forcing regulators into the excruciatingly political process of mandating change.

Most regulatory reform, especially major overhauls, include disclosure mandates telling the industry, as if it's a delinquent kid, to reveal to consumers data pertinent to their transactions.

Just in this decade alone, regulation has wrested from the hands of gatekeepers control of credit scores, credit reports and home equity and non-traditional loan information. Law enforcement has gone after moving companies, identity theft, title insurance operators, telemarketing firms, new home defects, fraud, and predatory lending.

A final provision in the "Interagency Guidance on Nontraditional Mortgage Product Risks", which federal monetary agencies adopted late last year, after more than a year of wrangling, is a voluntary disclosure form. It's designed to ensure that consumers have clear and balanced information about nontraditional mortgages before choosing a mortgage product or before selecting a payment option for an existing mortgage.

Too many consumers were never fully made aware of the risks involved with certain nontraditional mortgages in terms of how much they would truly cost a year or more down the road. Worse, many consumers were granted loans based on their ability to pay the mortgage based on the initial reduced "teaser" rate, rather than the more fully amortized rate.

That lack of that information is an underlying factor in foreclosures jumping by 90 percent in the past year.

What a consumer doesn't know, obviously, can cost him or her their home.

The real estate industry itself has produced reports revealing that a better informed consumer makes for a better deal because that consumer needs less professional hand-holding, closes deals sooner and spends more cash than those less informed.

It's not surprising the Internet has surpassed the yard sign as the most important marketing tool to reach consumers. There's a lot more information on a single Web page than a block of yard signs.

In recent years, another form of holding cards close to the vest has become a growing nuisance -- anti-competitive behavior.

Generally, speaking, in a democracy, the more kinds of outlets for goods and services, the greater the flow of information about those goods and services and the more competitive the industry.

Sure, the greedy get grumpy, but consumers spend more money and the wealth is shared more equitably.

"While there have been many positive developments in the residential real estate industry, there are some indications that consumers are not enjoying all of the possible benefits of competition in the real estate brokerage industry.

A number of developments have raised competitive concerns, particularly laws and regulations in some states that limit consumer choice of real estate brokerage service offerings and that prohibit rebates to consumers, anticompetitive agreements among brokers, and industry practices that impede competition," according to "Competition in the Real Estate Industry," released earlier this year by the Federal Trade Commission and the U.S. Department of Justice.

"These practices can lead to substantial consumer harm through reduced choice of real estate brokerage services, higher fees, and limitations on the ability to access information about real estate listings," the report concludes.

It's time for the industry to show all its cards.

Consumers will even pay to see them.

The consumer federation found that while agents and brokers typically require home buyers to sign exclusive agreements with them in order to gain access to local multiple listing services, 63 percent of all respondents, and 70 percent of those who had recently worked with a broker (the smarter group), believe that buyers should not have to sign such an exclusive agreement to gain access to these listing services.

"They believe they should gain access, for example, simply by paying a reasonable fee," the report said.

It really is all negotiable.

That's Unethical........

I speak to people almost daily who have had their homes listed with other companies and the listing contract has expired. One of our specialties at LRES is helping these people who have had a home on the market for a while and haven't sold. Besides hearing "that other company didn't do anything for us and never told us what was going on" over and over, I hear horror stories about the things those realtors DID do.

For instance, the realtor who told an elderly lady that if she didn't sign a contract he presented to her, he would take her to court. The realtor who would show up at the client's home in the middle of the night drunk. The realtor who used a vacant home as a party house on weekends. I could go on and on. And many people wonder what they can do about these agents.

Most of the general public is unaware that all local realtor boards have ethics panels and professional standards committees that handle just these types of issues. As realtors, it is mainly up to us to police ourselves and report violations to these panels, but it is most certainly the right of every member of the public to report these issues as well.

As a member of the ethics panel for our local realtor organization, I can tell you that we look at these complaints carefully and seriously. It is important to maintain our reputation as professionals and so cracking down on ethics violators is paramount to achieving this goal.

As a consumer, you should make yourself aware of the National Association of Realtors' Code of Ethics (visit www.nar.com and search for "Code of Ethics"). If you feel your realtor has violated any portion of the code, or you feel the behavior of your realtor is unethical in any way, you should contact your local realtor organization and ask for a grievance package. The grievance committee liaison will be able to give you instructions for filing a grievance and keep you updated as to the status of your complaint.

I strongly urge that this should be your FIRST step in reporting an agent, rather than reporting to the state. The state is only concerned with violations of licensing law and the BEHAVIOR of your agent may not necessarily violate these statutes. Many times once the complaint is passed to the professional standards committee, the realtor is asked to appear before the committee and answer to the charges. The person making the complaint has the right to attend these hearings and present his/her case to the committee as well.

If you have a question as to whom you should contact in your local area, I would be happy to provide that information to you - just send me an email.

I feel strongly about ensuring that all realtors maintain public trust and professionalism. We should all have a sense of duty and responsibility to those clients who have placed their trust and confidence in us.

Just buy good credit for cash......

In the market for a mortgage loan with a low interest rate? Instead of qualifying for a discount rate by earning a good credit score, you can simply buy your way to a great credit score -- the kind of score that convinces lenders to loan you money at lower interest rates. You simply piggyback on someone else's excellent credit history. Here's how it's done:


A credit enhancement company pays people who have excellent credit histories to allow others to be listed, temporarily and in name only, on their credit cards.

The credit enhancement company then allows people with lousy credit scores to buy positions on the credit cards of people with good credit histories.

The low credit scores get a boost, often allowing high-risk borrowers to qualify for loans with much lower interest rates.
What's so bad about that? After all, people who sell their good credit profit from the good credit histories they have earned, borrowers with bruised credit have lower monthly payments (and they are the people who really need it), the credit enhancement company provides a valuable service and earns a good profit, and the lender gets another happy customer. Everybody wins, right?

Wrong!

Why? Because these piggybacking schemes are another type of mortgage fraud. Essentially, the borrower is lying to the lender -- claiming to have a better credit history than they really have. This practice fools the lender into making a decision to approve a loan based on false information. I don't know about you, but if someone who was asking to borrow money from me misled me about his or her ability to pay it back, I would get more than a little upset. Just because a bank or other institution rather than an individual is lending the money doesn't make it any less wrong to lie.

As citizens, one of our responsibilities is to protect the American Dream, and one of those dreams is the American Dream of Homeownership. If we begin to turn the other way when people are committing obvious fraud, we place the entire system at risk. Homes will begin to cost more money, loans will be less accessible, and someday our children and grandchildren will no longer be able to afford their own homes.

Credit enhancement companies who engage in this sort of activity claim that they are not breaking any laws. But no matter what they say, using trickery and schemes to beat the system will eventually catch up with all of us, and we will get stuck with the bill -- somebody always does. Borrowers need to earn credit scores that honestly reflect their ability to pay back a loan.

Fortunately, Fair Isaac Corp. (the company that computes the most commonly used credit scores) has recently decided to fight back, announcing that its next version of the FICO score "will no longer consider certain types of credit card accounts, closing a loophole that allowed strangers to coattail on a cardholder's good credit.

Piggybacking on someone else's good credit may not qualify as a crime, but anyone looking at it can see that it is just plain wrong.

And you thought you were covered......

A standard homeowners insurance policy doesn't cover what you think it does -- not flood or earthquake damage, not stolen or damaged vehicles on your property, not a break in the water service or sewage line and not termites moving in nor pets stolen away.

Many homeowners are under the mistaken impression that a standard homeowners policy provides more insurance protection than it does and that could mean large unexpected out of pocket expenses -- when you can least afford them.

The National Association of Insurance Commissioners, an organization of state insurance regulators, found that 33 percent of U.S. heads of household still hold the false belief that flood damage is covered by a standard homeowners policy -- despite extensive post-Hurricane Katrina news coverage of scores of homeowners with claims turned down because they didn't have the required flood insurance from the National Flood Insurance Program.

"Many homeowners learned the hard way that their insurance policies did not provide flood protection," said Walter Bell, NAIC President and Alabama Insurance Commissioner. "As we enter the 2007 hurricane season, we strongly encourage consumers in flood–prone areas to check whether they are properly covered."

That's not all.

NAIC also found:


Sixty-eight percent who think vehicles such as cars, boats and motorcycles stolen from or damaged on their property are covered, could get run over by unexpected costs.

Fifty-one percent who think damages from a break in the water line on their property supplying water to their home are covered will be swamped in bills which they, not the insurance company, will have to pay.

Thirty-seven percent who think damages due to a break in the sewer line on their property that connects to their municipal sewer system are covered are making a really foul mistake.

About one in three who believe damages from earthquakes, mold, termites or other infestation are covered, could wind up crawling with bills.

Twenty-two percent who think pets stolen from or injured on their property are covered, should get more dogged about the truth.

Perhaps worst of all the NAIC survey revealed that 24 percent of respondents indicated their policies insured their homes for the actual cash value, while 64 percent said their policies covered the replacement cost. Another 12 percent said they did not know which type of coverage -- actual cash value or replacement cost -- they purchased.
Actual cash value is the amount it would take to repair or replace damage to a home and its contents after depreciation. Replacement cost coverage, the better option, will cover the amount it would take to replace or rebuild a home or repair damages with materials of similar kind and quality, without deducting for depreciation.

NAIC's InsureUOnline website offers the following tips:


Add insurance coverage as you enhance the value of your home, and acquire expensive possessions, such as furniture, computers, stereos and televisions and other electronics. Keep in mind computers and other high-end electronics may require special coverage.

Alert your insurance company when making any major home improvements that cost $5,000 or more. Update your homeowners insurance policy to reflect the new enhancements and prevent being underinsured.

Maintain your property by clearing clutter and other dangerous conditions to reduce the potential for liability suits. In many states, you could be held legally responsible for the actions of anyone who drinks in your home and then has an accident in your house or after leaving it. Your policy should protect you against lawsuits due to these types of liability issues.

Backyard items, such as a trampoline, pool, hot tub or spa may require you to increase your liability coverage through an umbrella policy.

As you acquire more valuables -- jewelry, family heirlooms, antiques, art -- consider purchasing an additional "floater" or "rider" to your policy to cover these special items. They're typically not covered by a basic homeowners or renters policy.

It's a good idea to make an inventory of all of your personal property, along with a photograph or video of each room. Also, save your receipts for major items and keep them in a safe place away from your house or apartment so you'll have them if you need to file a claim and substantiate value.

We're Open!!!!!

After much work, stress, delay and preparation, our Tarpon Springs office is oficially open! I owe a debt of gratitude to my entire family, my clients and everyone else who has supported me during this difficult and busy time. I especially want to thank our clients and friends, Jay and Christina, for having us over last evening for a great dinner and even better conversation.

So, now the real work begins. I can report that during our first day open in this location, we had 4 walk-in clients and several phone calls inquiring about our services. Not a bad day!

So if you know anyone anywhere who needs assistance with Real Estate, we've got them covered! Remember we serve the entire state and can even help people who live elsewhere in the country.

Stop by and see us - our grand opening reception will be announced soon.

Have a successful Monday! We will.

Put a lid on it.....

We've put it off as long as we could. We knew when we bought this house four years ago that we needed a new roof. I mean, it's not one of the most satisfying purchases you'll make, right? You don't enjoy endless hours sitting on your ROOF! But, we finally bit the bullet and started to get estimates. One contractor won, hands down.

Our neighbors across the street recently had their roof replaced and the contractor did an amazing job. The job site was neat as a pin at the end of each work day, the job was completed quickly and there wasn't a lot of racket. We obtained three other quotes from contractors whose signs I had seen numerous times in front of homes in Tarpon Springs. Out of the 5 contractors I called, yes - ONLY THREE EVEN SHOWED UP FOR THE QUOTE! Two of the estimates were on what seemed to be pieces of scrap paper. The third, Augusto Roofing (www.augustoroofing.com) gave us the most detailed, comprehensive and professional quote ever.

So what should you look for in a roofing contractor? Make sure your quote outlines the work they are responsible for completing. What are they going to provide? Will they be pulling a permit for you, or do you have to obtain the permit yourself? What about damage to plants and grass? How will they be laying out the roof shingles (our quote included a diagram). What materials will they be using and how are those materials rated? What debris will be left at the job site at the completion of the project (answer = NONE!). Do they provide a warranty on their work in addition to the manufacturer's warranty?

It's important to get several quotes for your project, especially during the busy hurricane season when everyone (us) decides they should replace that roof. Also, contact your insurance company once the job has been completed and see if you qualify for any discount in your premium.

Happy Friday!

Throw away your deed......

Question: We recently read about a possible scam operation, whereby a company advises homeowners that to protect themselves -- and their valuable home -- they have to spend a lot of money to get a certified copy of their deed.
We own our house and obviously want to protect this large investment. How do we determine which company is legitimate and which is not.

Answer: The simple answer is that you do not need a certified copy of your deed. In fact, once the deed to your house is recorded into your names, you really do not even need the deed at all.

Typically, when a consumer buys a house, he/she goes to a settlement attorney or title company. The settlement officer has the responsibility of gathering in all of the sales proceeds, making sure that the buyer signs the loan papers and the settlement statement(called a HUD-1).

The seller provides the settlement company with the names and loan numbers of all existing loans, and signs the deed and other related documents which are required in order to record the deed into the buyer’s name.

When settlement has been completed, the deed and the loan papers are sent to the recorder of deeds in the jurisdiction where the property is located. These documents are recorded, and then sent back to the settlement attorney. The recorded loan documents are then returned to the mortgage lender and the deed and the title insurance policy is sent to the buyer.

It is a good idea to keep all of your settlement documents, especially the HUD-1 settlement statement. When you go to sell the property, and if you have made more than the $250,000/500,000 exclusion of gain currently allowed under the tax laws, the settlement statement will come in handy to justify various settlement expenses so as to reduce your overall profit.

You should also get a copy of the deed of trust (the mortgage document) and the promissory note which you signed at settlement. Hopefully, you will never need these documents, but should the lender send you a letter stating that you are in default on your loan obligations, it is always a good idea to refer back to these documents. They spell out what the lender can and cannot do, and the process by which you can be determined to be in default.

The title insurance policy is also a very important document. In the event someone suddenly raises an issue against or about your property, you may be able to file a claim with the title insurance company that issued the policy. For example, an old mortgage was never released from land records, and shows up when you go to sell your house.There usually are specific time limitations spelled out in the title policy which require you to file the claim within a certain number of days after you learn about the problem. The policy will also explain what is covered and what issues are not insured.

Another document you should get at settlement is the survey. This is known as a house location survey, and will give you a general picture of where your property lines are. If, for example, your neighbor’s fence encroaches on your property, or vice versa, the survey should depict this and you should be advised of this issue when you are at the settlement table. There is a concept known as “adverse possession." Many states provide that if you are on someone else’s property for a period of time, and this encroachment is “open, notorious and hostile,” you will ultimately own the property if you seek court approval.

One Judge defined adverse possession as follows: "the person claiming the property by adverse possession must unfurl his flag on the land and keep it flying so that the owner may see, if he wishes, that an enemy has invaded his domain and planted the flag of conquest."

But what about the deed to your property? Once it has been recorded, you should never need it again. When you go to sell the property (or refinance your current mortgage) the settlement attorney will conduct a title search which should show that you own the property. You do not have to present the deed to anyone.

If you are concerned about ownership, here are two suggestions: first, go to the office of the recorder of deeds in the jurisdiction where your property is located, and ask to confirm that you own the property. A helpful clerk may even be able to provide you with a copy. In fact, many jurisdictions have web sites whereby you can search all transactions going back a number of years.

Alternatively, you can ask your attorney to run a title search just to confirm that you are, in fact, the lawful owner of your property.

Under no circumstances, however, should you waste your money with any company that offers you a certified true copy of your deed. It is absolutely unnecessary.

Hey! That's not MY tree......

Do you know where your property line is located? If your property was surveyed correctly and you have markers in the ground, you probably know.

But if you don't have the property lines marked -- how do you really know?

If your neighbor has a fence, don't assume that the fence is on the property line. It may be on the line. It may also be a few inches into your neighbor's property.

Or your neighbor's fence may be partially or entirely located on your property.

The same applies to trees and landscaping at the end of your property. What if they are on your neighbor's property, but have grown onto your property? What if the tree that you thought was on your neighbor's property, is half on your property and half on his or her property? And what if is diseased, or needs pruning, or needs to be cut back?

These issues re-occur all of the time. Property lines exist on maps, not in real life. So people often make innocent mistakes in placing landscaping and fencing. These overlaps are called encroachments.

What should you do about the encroachment? First and foremost, you generally should take some action.

In some states, the neighbor can actually secure real title to your property if he can prove you knew about the overlap for a specified period of time (often around 21 years) and took no action. A neighbor's successor (the next owner) may also have this legal right.

So at a minimum, you may need to take some kind of action to demonstrate that you are not foregoing ownership and that your kind attitude should not be confused with acquiescence or not caring.

Very often, there are cooperative ways of addressing these issues. For example, in the case of tree encroachments, you may not have to cut or move the tree.

Trees are usually good things and cooperative arrangements can be simply made to secure the well being of the tree. This includes maintaining the tree and pruning, etc. It's a kind of tree joint custody arrangement.

The same applies to fencing and to areas of over pavement. While the ownership problem must be acknowledged, and while the parties should agree on actual ownership, the resolution does not have to be destructive.

In certain instances, when appropriate, an easement can be prepared which allows one neighbor to continue to use and benefit from the encroached property. Sometimes money is exchanged for the easement (perhaps enough for taxes, maintenance and insurance).

In certain instances, lot lines can be changed to eliminate the problem altogether.

This is an area where you should consult with a local lawyer, one that understands property law in your state.

Often solutions are easy and inexpensive. Sometimes they are more involved.

Almost always, a peaceful solution is available that does not have to be destructive. And it does not have to turn a good neighbor relationship into something less than desirable.

However, where amicable solutions are not apparent, courts will entertain and resolve these issues. From a personal standpoint, I believe that neighbor to neighbor court disputes should always be avoided.

But if that is not feasible, courts will provide finality in these areas.

Fair housing is about more than just skin color......

The arduous quest for fair housing began more than 140 years ago with the passage of the Civil Rights Act of 1866 when Congress passed the first bill aimed at providing civil rights to freed slaves and those blacks who were born on U.S. soil. However, it took 100 more years (in 1968) before laws were passed to guarantee equal treatment in the area of housing.

Fast forward to today and the struggle for fair housing has bloomed to a fan of protected classes beyond color. The seven federal protected classes include color, race, national origin, sex (gender), religion, familial status and disability. On the state and local level, however, jurisdictions have created even more classes to protect against housing discrimination.

What most people fail to grasp at first glance is that every person on the planet meets at least six of the federal classes. Only disability is a unique class of consumers along with many of the state and local classes that have been established. All people have a color, race, nation of origin, gender, religion (even secular humanism, i.e., atheism, has been determined to be a religion in the eyes of the U.S. Supreme Court); and a family status -- having or not having children.

But in the eyes of the law, these classes go deeper than most consumers realize. I would like to think that most of us would not want to discriminate intentionally against another person who wants to buy, sell or rent a house. Ignorance is not a defense against discrimination charges.
I've heard as innocent as, "Well, I don't want my buyers to feel uncomfortable in a predominantly white (black, Asian, etc.) community," to as blatant as, "Well, no one in a protected class could afford this house, anyway."

I've also come across private sellers (for sale by owners) who don't understand that the Fair Housing Law is NOT just for real estate agents. They think they can sell their house (or not sell it) to whomever they want and they can just slip a contract or rental agreement in the trash because of some other reason besides financial qualifications and terms of the contract.

In the U.S., we mostly hear of cases of fair housing violation involving race. Interestingly, the fastest rising form of discrimination is disability. Again, it's not from blatant disregard of the law but of some sort of reasoning that "this house isn't right for them."

If you're going to get in the real estate investing business, the HUD.gov site needs to become one of your favorites. Here, you can get access to the Office of Fair Housing and Equal Opportunity -- just click the Fair Housing link on the left side of the screen. Here you'll find links on how to avoid violating fair housing laws.)

Where you really have to be careful, however, is on the state and local level. The seven classes are only starting points. For instance, consider the fair housing classes in Washington, D.C. In addition to the seven federal classes, D.C. also protects these groups of home dwellers: age, marital status, sexual orientation, personal appearance, gender identity or expression, family responsibilities, matriculation, political affiliation, source of income, place of residence or business.

The safest route for investors is to treat real estate investing as a business – look at the financials and background checks (credit, rental history, income) as your basis of renting or not renting someone your house. If they haven't broken the law, have good credit and income, and have a good history of taking care of a property -- then rent to them. It's not just abiding by the law, it's also just good business.

Welcome to Hurricane Season.....

So we've received our first Tropical Storm on the first day of Hurricane Season! This is the time when many of my buyers who are in the process of finding a home here tell me they have changed their minds; "Hurricanes scare us!" I understand the apprehension, but these same buyers may be moving here from the mid-west (tornadoes) or the north (blizzards), so I jokingly say it's the tradeoff for living in paradise and having over 320 of sunshine each year!

But seriously, once this storm has passed (which should be by late this afternoon, I understand) it's the perfect time for buyers to take a ride around the communities which they are considering to see about flooding and low-lying water. If you're afraid of the areas which require flood insurance (especially in Tarpon Springs), take a ride down the streets. Having been born and raised here I can tell you that the only areas that even remotely flood are the streets that circle the bayous. Sure there are streets that have standing water after heavy rains, but this is primarily due to an overload on the city's drainage systems which are currently being improved. Also, in many of the communities built after 1968, we have underground power lines so we rarely lose power in storms.

We are lucky to have Anclote Key directly at the mouth of the Anclote River in the Gulf. This provides Tarpon Springs with shelter from storm surges. And you'll probably be pleasantly surprised when you drive through the areas that do require flood insurance in Tarpon Springs and note that everything is high and dry.

Besides, we have needed rains like this for quite some time. I'm happy to see them come and soak the ground.

Stay dry and enjoy your weekend. It's the perfect time to work on those indoor projects you've been putting off!