The Inner Circle on the Full Circle Podcast with The Christi Reece Group

REALTORS® Karen and Christina Sadler sit down to answer commonly asked questions and misconceptions around the homebuying and selling process. They go over common buying basics, first time homebuyer questions, and tips to know and prepare yourself whether you're in the market now or preparing to be in the future. 

The Full Circle Podcast - compelling interviews and incredible tales from Colorado's Western Slope.

The Christi Reece Group provides ReFreshing Real Estate services in Grand Junction, Fruita, Palisade and surrounding areas of Mesa County. Contact us at info@christireece.com, 970-589-7700, or visit us at our offices at 1601 Riverfront Dr, Suite 103 in Grand Junction, CO.

Transcript

SPEAKER_00 0:00

From Fruda to Palisade, from first-time buyers to seasoned investors, the questions about real estate never stop coming. And honestly, they shouldn't. Welcome to the Inner Circle, part of the Full Circle podcast brought to you by the Christy Reese Group, a refreshing real estate company proudly serving Grand Junction and the Greater Grand Valley. Each episode we step inside the inner circle with experts who know this industry best. Because when it comes to real estate, you deserve answers that bring you full circle. Hi everyone, I'm your host, Ian Skrine, and I have the pleasure of being joined today by Karen Sadler, a realtor with the Christy Reese Group, and Christina Sadler, also a realtor with the Christy Reese Group. So thank you both for joining us.

SPEAKER_02 0:39

Thanks for having us.

SPEAKER_00 0:56

And so I felt like starting with buying is the best way to start because everybody's got to start somewhere, right? Alright, so what's the difference between being pre-qualified and being pre-approved? And why does that difference matter?

SPEAKER_02 1:11

So I actually just experienced that this morning. Pre-qualification is really the basic preliminary stuff. Not diving in really deeply. You may have things that you need to repair in your credit or something that is in the process that hasn't fallen off the back end to give you clear to go yet. And that would be in the pre-qualification versus the pre-approval. They they've dived in deeper and had a look at all that stuff, and it's all been cleaned up. So I had one this morning, they have a little blemish. Um I have the listing agent, I'm the listing agent on it. The buyer brought an offer and then realized they had a little thing there that might take 60 days to get off their report. So they have to pull their offer back and hold off a second.

SPEAKER_00 1:48

So and so a buyer should contact an agent who will then help direct them to a lender in order to start that um pre-qualification in order to really see what is available to them and and where to really look without jumping into something that maybe is not possible for them, right?

SPEAKER_01 2:08

Yeah, I feel like most buyers start with a real estate agent first who then makes recommendations of their trusted lending partners. And there's a lot of great ones in the valley, but obviously being in the industry as long as we have, we have the people that we work with all the time. And knowing knowing what the first steps are if there are blemishes, like you said, on um people's ability to be able to purchase right away. I mean, what a what a downer to think you're able to do something and then get a swift kick to the knee, you know. So good to start there first.

SPEAKER_02 2:36

Yeah, and I always ask for pre-approval letter when I receive an offer. I don't ask for a pre-qualification. And if I get a pre-qualification, I'm gonna call that lender and say, you know, I know you can't give me all the personal stuff, but where are you in that? Is this something that you're confident is going through and you're just you know handing that out as the initial step, or are you really just getting started?

SPEAKER_00 2:58

Um all right, so walk us through some of the hidden or surprising costs of home home ownership that buyers consistently underestimate. I know I'm a recent home buyer and uh previously renting, and so there's some things where rentals you don't have to take care of and that's not your um responsibility. But then when it flips to home ownership, I think there's a lot of things that people underestimate or maybe overlook because the excitement of home buying is is there. Um but what are some of those things that maybe people do underestimate that that they should pay more attention to or at least have understanding of before going into that?

SPEAKER_01 3:35

Cost of repairs. I mean, people don't realize what it costs to if your swamp cooler goes out or your water heater goes out, first of all, you know it's three o'clock in the morning. It's not a reasonable time that any of that stuff happens. But um you don't know in until you're in the middle of it. So I think if I would tell Christina from however many years ago when I bought my first house, what would be really great advice would would put money aside for that in advance. Maybe that you don't know necessarily what that's going to be allocated towards at the time, but just having some sort of a budgetary plan so that when your water heater goes out at 3 a.m., you're not like, in addition to the stress of that, trying to go where do the funds come from at that point?

SPEAKER_02 4:15

And then also some things that are there every day, not necessarily repairs. So you're renting, let's say, and everything is basically encompassed into that rental cost, HOA dues, things like that, and now suddenly you've got your own monthly HOA dues that you have to pay for and could be anywhere from 250 bucks a year to $400 a month, you know, or more. So it's good to take that into consideration, you know, that that gets folded into you know your ability to buy at a higher purchase price when you've got a $400 a month HOA fee that cuts back a lot, you know, your buying power.

SPEAKER_00 4:50

Sure. Yeah, for sure. Um what are some red flags and listings that you guys um either come across or help uh your buyers walk through that maybe an experienced buyer would notice, but a first-time home buyer may overlook or not see as so much of a problem in the listing?

SPEAKER_02 5:09

So um I I think about things like solar leases, own solar. Is it lease to own? Is it actually yours when you're done paying it off, or do you re-up a lease? Because sometimes they're 20-year leases and it starts all over again and you never own it, and you're stuck with this payment forever. And a lot of people that got solar on their houses got sucked into an astronomical monthly fee and um puts it puts them in a really difficult position to be able to sell. Um some people who are first-time homebuyers might not recognize words like, you know, contingency to sell, right? Maybe the seller has to find a replacement property in order to be able to sell the home that they currently have. So you have to navigate all that timing for both sides of the party, too. And sometimes there's a domino effect where there's multiple houses in the background that are all having to sell before the next one can close. Couple.

SPEAKER_01 5:56

Totally. And and I think too, speaking to HOAs specifically, we see special assessments in certain areas that, you know, in our mind we have HOA dues, this is my monthly obligation, but it it expands so much more beyond that, depending on what the HOA covers, how old is the neighborhood that you're buying into, and um what type of potential fluctuation and dues there are. I mean, we do the best that we can to find the information that's available to us at that time. But just being mindful, if you're buying a townhome that's connected to others in the neighborhood, there's probably gonna be a special assessment at some point for roof replacement, right? And if you don't have the experience to to look at that situation and go, hey, this is something we should talk about now, that's a that's a sticker shock for people down the road.

SPEAKER_02 6:41

And speaking of those HOA fees, I mean, get in not just at that, but your covenants and your restrictions. Totally. What is actually covered? What is the HOA gonna cover? What is you know allowed? People come in and we've got three dogs, and I'm sorry, they only allow two. You know, there's a lot of things that you really want to look deeply into because once you're invested and you have an offer down and money down, and then you have to back out, you've already paid for an inspection, but you've got three dogs and you can only have two. You know, I mean, you've got to pay attention to all that stuff.

SPEAKER_00 7:10

And what falls under your responsibility as a homeowner that maybe you thought or would assume was covered by the HOA, like exterior maintenance or you know grass, cutting grass, pulling weeds, stuff like that. Um, you know, that's something that I've done a lot of research on too, is just figuring out what our HOA holds and maintains versus what I need to. And that's been it's been interesting.

SPEAKER_02 7:33

Yeah, the fence between you and your neighbor is not looking so good. Whose responsibility is that? Well, we tried to fight that guy for years, right? You know.

SPEAKER_03 7:42

There's a lot of stuff.

SPEAKER_00 7:44

Um, so let's transition now to selling your home. So you've bought your home, you've been in it for a good amount of time, now you're looking to sell. Um, a lot of people look at where they're at and say, you know, I'm gonna do paint, new floors, um, landscaping, updates, stuff like that. What is the true return on investment on some of those most common pre-listing improvements, and what are some that people should pay more attention to than others?

SPEAKER_01 8:07

I think that generally speaking, paint and flooring is probably the biggest piece where we say this is a great way to make your property feel newer and fresher in preparation for listing. I also think that replacing your garage door is a really fantastic way to improve curb appeal if you feel like that means a little bit of love. And I think one conversation that can be super difficult to have with sellers is that your dollar-to-dollar investment in the improvements that you make isn't always seen and recaptured on the other side. And um in our current market, with the inventory levels that we have, it's really critical that sellers make sure we're dialed into the best that we can from the very beginning because there's a lot to look at and there hasn't always been that level of inventory historically.

SPEAKER_02 8:52

Yeah, and I think that you know, we could have over time, depending on where we were in our market, we could have answered that a lot of different ways. But right now, I think the most important thing is that when somebody walks into your home, you don't want them to turn around and walk out. Right. So that first impression, that curb appeal on the front, like she's talking about with the garage door, um, you walk in and you know they took all their stuff off the walls and there's scrapes in the paint and everything, you immediately see something that's a little run down and maybe wasn't respected and cared for. So then that's just surface stuff. So what's underneath? You know, if you've got you know you need um a furnace or you know, some other big ticket item, if the house looks really good when you walk in, you almost like secure some interest, you know, and the other stuff you can navigate through inspection.

SPEAKER_00 9:33

So people are more likely to look at that stuff longer or you know, more so down the road than coming up you know to the front of the house and being like, wow, there's a lot of work that needs to be done here. Yeah, it's gotta feel good. And a new heater and a new you know, stuff like that.

SPEAKER_01 9:47

It's gotta feel good when you walk in. That changes the lens that you look at it through and and what you're willing to be a little bit more tolerant of from the beginning.

SPEAKER_00 9:55

And could really set your home, you know, apart from a very comparable home, you know, right down the street or in the same neighborhood, that you know, if you've got that that house that those first impression things really dialed in and the other house doesn't, you know, even though you guys may have some same underlying problems, it it may lead a buyer to really be more interested in yours because they're from the front, it looks like there's less work to do than the other one.

SPEAKER_02 10:17

Right. And as an agent, it makes a lot of sense when your buyer's looking at a house and there's one right down the street that's $30,000 cheaper. I mean, do a preview.

SPEAKER_03 10:24

Right.

SPEAKER_02 10:25

Go check it out and find out why there's such a discrepancy. And you walk in and you go, oh, right. Now you can go and talk to your client and shed some light. Yeah.

SPEAKER_00 10:35

Um, so now that you know that you're selling your house, it's been on the market, and you've received an offer, um, how should a seller weigh a higher offer with contingencies, like you've mentioned, um, against a lower clean cash offer? What what kind of discussion does that open up to it? And and then in your opinion, where where would you direct your client to go?

SPEAKER_01 10:55

So contingencies are such a normal part of our market right now, and I don't think it's always been quite as commonplace as it is. Um an offer is a an offer is a good offer, you know, at least there's a conversation on the table to be had. However, the contingent sale of a property is the one thing that we don't have control over. So if there is an opportunity for meeting in the middle with a cash offer, I mean that is that isn't 100% of the time my recommendation to my sellers. The the other piece of it is while it's normal, it's stressful and it's hard not to have control over somebody's ability to be able to purchase. There's a lot of emotions that go into a sale and a purchase, and then you run those concurrently with another, one another. It's uh it can be it can be challenging. So I would say cash always first if you can come to an agreement and the numbers make sense.

SPEAKER_02 11:46

And on the same side of that, I mean I agree with you, Christina. Um, there are always those cases that are a little bit different. You know, you you've got a seller who has a home to find that they don't have yet. Um they're not in a rush, they want to make the graduation for their grandkids before they move, and that's a month and a half away. Um they want to take their time. So if they have uh an offer that's $20,000 higher and is gonna give them 60 days that they really need, true.

SPEAKER_00 12:12

I mean it may work more in their favor than it works against them.

SPEAKER_02 12:16

Right. Well, exactly. $20,000 over two months. I mean, how much is that cash offer? How much less is it versus waiting two months to get another $20,000? Right. So I think you really have to look at each case by case.

SPEAKER_00 12:27

And really looking at your situation and seeing what you need out of it or what's your time frame, what makes sense for you.

SPEAKER_02 12:32

Right. And you know, the obvious things are gonna be, yeah, you're gonna have an appraisal if you have a loan versus cash, you know. Um always you're gonna well not always, but usually if you're doing it right, you should have an inspection. But really the appraisal is the thing that uh you're getting rid of. But if you've done your homework and you've priced that property right, you shouldn't have a problem with your appraisal. You know, if you're you do it and you present it to your seller and they want to list at a higher price, and you're telling them, well, look at here's what's on the market right now, here's your competition, here is what is under contract right now that's gonna be your comps, and then these are the solds that are gonna be a little older by the time we get closed. But let's look at these things and now you explain to me why you think your house should be forty thousand dollars higher. Right. So then we have to worry about appraisal. So those conversations all come in together, and and you know, usually we're pretty good at navigating that and getting everybody where they should be.

SPEAKER_00 13:21

And that's a great segue to our next one. So when you know, looking at the psychology behind pricing, I feel like you know, at least working in the office and and being in the real estate industry, um, and you guys hear it probably more often than I do, but people always ask like, what why would you price it that way? What's the psychology behind pricing it, either you know, just below or just above, um, or even coming out at a round number, you know, $499 versus $500,000? You know, what why do realtors, you know, I think the consumers would under try to understand why why is that a strategy versus just setting it at $500,000?

SPEAKER_01 13:56

So pricing strategy, my my personal favorite is pricing under market value, just a touch, so that we can get as much buzz and as many eyeballs on your property as possible. That is the best way that we know how to ideally generate multiple offers. Um, and I think for me, a big piece of negotiation is when both people feel like they're winning a little bit, it makes the overall real estate experience super positive. So I think that that pricing strategy, especially in our current market with the level of inventory that we have, um, that's a it's a good way to stand out and a good way to hopefully have people feel like they're walking away with a little bit of a win in their pocket.

SPEAKER_02 14:36

Yeah, and if you if you price slightly under, you know, if the buyer is being represented by an agent who knows our market and is doing her homework or his homework, they're gonna know it's slightly under and they're gonna tell you this is this is a good deal. And then if you get multiple offer situation, you know you've got some wiggle room there to actually come in a little higher if you, you know, depending on how badly you want that property. Right. Um little under the price, it attracts a lot of attention. It doesn't mean that you're doing a disservice to your seller and that you're gonna sell it for less. Right. Right?

SPEAKER_00 15:04

So it's easier to walk it, walk it up than to take it back down. You know, I think a lot of times, you know, people are like, well, let's just go for the high dollar and see what we can get. But then you know, the market flips and that ends up sitting on the market for you know three months and then you're doing a price reduction, and and now it's it that sets a different tone than if you were to price hundred, and then it says, Yeah, we've got four different offers that we can can look at and really really use to our advantage.

SPEAKER_02 15:30

Right. Yeah, and you know, we're looking right now, as Christina just mentioned, with the amount of properties we have on the market right now. We're at what 805 or something like that, highest I've ever seen since I've been doing this. There again, you know, it's it's we're about five months worth of inventory. We're getting very close to it being a buyer's market, and it's been a seller's market since I started here. That makes buyers feel like they can come in a little lower, wait a little longer, be a little pickier, more to choose from, the whole nine yards. So, in you know, giving advice to our sellers, we need to make sure that they know by us presenting the clear data, right? We need to actually bring a list of properties of what's active, what's pending, and what has sold. Not just, oh, let's look at some uh property resource thing online and it tells us it's worth this, so that's what we're gonna do. Right. Right. You know, you got to back it up because they don't really know, they haven't been in the house, they haven't seen the improvements when they write up those tools. So, you know, you have to be even more so diligent about knowing what you're talking about and presenting to your seller in this market.

SPEAKER_01 16:24

And how nice is it too, I feel like, and I'm sure you would echo this, when we go to listing appointments and have conversations about pricing strategies and we're talking through comps, 75% of the time the houses we're talking about, we've been in. So the way that we can tell people, look, this is how your property stacks up against this one, these are the standout features, or maybe where this one falls a little bit short of yours.

SPEAKER_03 16:46

Right.

SPEAKER_01 16:47

So the the pricing strategy and the advice that we're giving is boots on the ground. We've been there, we've seen it kind of experienced. So that's super helpful too.

SPEAKER_02 16:55

And I think a lot of agents have it's difficult for some to point out some things that might be a challenge for property because you just want to win the listing, right? And you want the seller to feel great about you. And I think it's really important to say here are the things that might be a challenge in selling your property, right? You back up against this road, there's this industrial business right out your backyard. I mean, we have to bring those things into consideration when we pull them alongside other comps. Well, why is that one thirty thousand dollars more than mine? Well, you're right alongside the highway, this one's four blocks in. I mean, there's you know, we just you can't be afraid to share that stuff. Right.

SPEAKER_00 17:28

And being honest with your sellers up front allows for a better transaction because they already know what may come up in a you know in an offer and they may say, like, yeah, we discussed that beforehand, versus being like, Where was that discussion you know a month ago when we listed the house?

SPEAKER_02 17:43

Yeah, be proactive. Right. Yeah. I mean you want you want to know that when you're looking across from your agent, well, I don't always like all the information that she shares with me, but at least she shares the truth with me, right? Or he.

SPEAKER_00 17:54

All right. Um so once again, great navigation into our next topic here. So we've covered buying and selling. Uh so let's kind of talk more the broader you know topic here, the market itself and kind of what comes up um during the process of you know, a home goes under contract and now we're waiting to get to the finish line and to close. Um how should buyers think about time in the market versus timing the market? I I think a lot of times you know people have the feeling like I don't have the enough, you know, enough money for a down payment, or the interest rate is is too high for me right now, or you know, there's just not a house out there that I'm looking, you know, that I'm ready to go for, um, versus just finding one that it maybe doesn't check all the boxes but checks enough and really starting to build that equity versus waiting for the perfect one to drop.

SPEAKER_01 18:43

I mean, ultimately, the longer you wait, you're sacrificing appreciation in your investment. And if you're continuing to be a renter, you're doing something great for somebody else, but it's not you. Right. And um, and you know, I think with rates where we're where we're at, that can be kind of a difficult conversation because they're it's a challenge for people. They're they're higher, and you know, for people that have been watching the market since our beautiful little COVID interest rates, you know, hoping that those come back. I I think that so much of buyer psychology in this segment of um deciding whether or not to jump in the market is we should say thank you for the blip in the matrix that we had when we had those interest rates and understand that that's probably not anything we'll ever see again.

SPEAKER_00 19:23

That's an anomaly.

SPEAKER_01 19:24

We can be grateful for it and then wave by in the mirror because it's not coming back, you know. Um so yeah, I mean you you're either you're sacrificing equity and you know, interest rates, they they change and you can always refinance and you know there's options and yeah, sorry, go ahead.

SPEAKER_02 19:40

Oh no, you're fine. Um, I think something that's really important, you know, not even right down to the let's purchase, meaning get into the market, was start educating yourself. I mean, get yourself connected with a strong lender, you don't have to lock in a rate yet, and get yourself correct connected with a really good agent because they're gonna help you navigate all those things that affect you. You know, you sometimes we hyper focus about the money for the down payment, right? And there's a million programs out there with different lenders, or maybe you know, all you're worried about is the interest rate. And well, did you know you could do a buy down? You know you could do this, or we could there's different ways that we can navigate through a transaction can help you get started initially, and like we said, you know, you can refinance in the future and change those things up. So I mean if you find everything you want right now and the interest rate isn't perfect for you, as long as you're not putting yourself beyond a ledge that you can monthly you know accommodate. Um I I say get in, get in, educate yourself and get going. Because I mean I have never seen the market go backwards since I started here in 2017. So prices have always gone up, equity's always grown.

SPEAKER_00 20:40

And like you said, getting in the market, maybe not not so much buying a house right then, but just like you said, getting connected with somebody or you know, an agent, a lender that is in the market every day and and is watching those trends and really understanding you know how the market is looking, so that when the time comes, they know your situation, they know what you're looking to pay, they know how much you can, you know, you're approved for. And when that time comes and they say, hey, now's a good time to move, you know, a lot of your ability is is going to be utilized. And so let's get you in, let's start looking at properties and see what's out there, versus just coming in cold and and really being like, all right, where do we go? And it's like, well, we've got some leg room to do before before we're ready.

SPEAKER_02 21:17

And if you're if you're building that relationship, partnering with that realtor for a month, six months, a year, imagine the confidence you have in watching the trends and learning about our market specifically, lending specifically, things that change, things that go up, things that go down. Oh wow, this other thing kind of stays even keel the whole time. And I was making this a super big deal, right? So, I mean, I just think that that education is priceless. Just really build your confidence.

SPEAKER_00 21:43

For sure. Um, when does it make sense to buy down points on your loan versus taking the higher rate and refinancing later? We've kind of talked about that just a little bit, but uh let's kind of go into it a little bit deeper. Um, maybe explain what buying down a down a point means versus you know. Taking the higher rate and refinancing.

SPEAKER_01 22:01

Yeah. So when we ask for seller concessions, those can typically be used in different ways. It can either be used for the rate buy down that you're talking about or to go towards buyers' closing costs. So I think first and foremost, evaluating what type of liquidity you have to be able to pay for your own closing costs versus applying that towards a buy down. Step one, super important conversation to have with your lender and with your agent. I think depending on where rates are at the moment is ultimately going to determine whether or not it makes sense to take that as a buy down rate.

SPEAKER_02 22:35

Yeah, absolutely. I think here again, the importance of having an incredible lender because you may be thinking I'm buying down this rate. Well, how much are you putting up to buy down that rate and how long is it going to take to retake that money? Whereas your lender might tell you, this is a better program for you with the amount of money you're putting down, or maybe with you have to furnish a house, you don't have anything, so you need a little bit of extra cash. So maybe you need to put less money down and you're worried about the mortgage insurance monthly. Well, that's only $18, you know, versus putting less money down. There's just lender, lender, lender, rely on their expertise and make sure that you have a really good one who has a lot of experience and knows the market really well because those options can make or break it.

SPEAKER_00 23:15

Yeah, I just had a friend I was talking to earlier that their discussions with their lender was rather than buying down a point, they needed to furnish the house. And so they went with, you know, just take the higher interest rate right now, you'll you can refinance later, but take that extra cash that you're gonna save and and buy furnishings for your home and and get that where you need it to, and then we can look down down the road and see where we can refinance.

SPEAKER_01 23:38

Well, and remember with um the last house that I owned, I was super hesitant to not put 20% down to try to avoid that mortgage insurance. But with that particular property, that was one that I would call my like kind of distressed almost. It was in rough shape before. And when we look at mortgage insurance, I would say first and foremost, it's often less money than people realize. I think people hear that and go, oh my gosh, this is gonna tank me potentially. Right. Um but when we consider mortgage insurance and how you can also have that dropped off of your loan, part of that equation is equity gain over time. So typically, and correct me if I'm wrong, I think it's when you pay 80% of that loan, the bank will drop off your mortgage insurance after a certain amount of time. Versus if you have an equity gain that surpasses that amount, you can do have an appraisal done and refinance out of your mortgage insurance. And I don't think that's something that's talked about a whole lot. Um, yeah, mine was 180 bucks or something like that. And with an appraisal and the equity gain that I had, I was able to have that removed from my loan. So lender.

SPEAKER_02 24:43

And and again, you know, that's on you, right? Totally. The mortgage company's not gonna call you up and go, hey, we can take 180 bucks off your pay.

SPEAKER_01 24:50

Maybe you like you look like you'd like a discount.

SPEAKER_02 24:52

Yeah, that that you have to pay attention to where you are, your 80-20 um ratio, and you have to make that call yourself to get that done.

SPEAKER_00 24:59

So um when we talk about negotiations um for inspections, um, how should a buyer approach inspection negotiations? I think a lot of times, you know, when an inspection negotiation comes up, a lot of people get I don't think cold feet is the word, but I think a lot of people get intimidated and are you know are concerned about what that means. But you know, those can come in forms of like repair credits, price reductions, or repairs done by the seller either pre-closing or post-closing. So um, how should a buyer approach an inspection negotiation like that?

SPEAKER_02 25:32

Um I think that also is going to vary as far as you know the ability of the buyer to put money up front, needing it all to be wrapped in as a nice little package and completed for them before closing. Um, do we have time to go ahead and get some bids out there and then present those to the seller where proceeds, you know, the money comes out of proceeds and pays that contractor directly either after closing or slightly before closing, and then the buyer feels that they have uh skin in the game overseeing that versus you know, you throw this list out there and you have no control over who the seller is hiring, right? They might be getting their cousin, I don't know. They, you know, well, they were gonna be a licensed electrician, they didn't quite make it, but they were gonna be there, you know, who's who's getting it done? I think the more control you can have over the process and understanding what's being done on what's going to be your home is better. If you can get cash from the seller to pay for it and then oversee it, but then again, be due diligent about getting those bids. Just present those, title company, cut the check, get it done. Right.

SPEAKER_01 26:30

Yeah, I think with inspection, it's an interesting piece of the transaction because it's the buyer's opportunity to make asks, and we don't have a lot of those. So there's a balance between I think sometimes the knee-jerk reaction is this is my only time to ask, so I'm gonna ask for all of it. And then being a seller on the receiving end of that and going, holy cow, like this is a ton of work. And just being strategic in um in what you ask for and how you articulate it is huge. And um, you know, I think while I tell my clients, ask for whatever you want, I'm in support of you. I think having strategy behind that and not just slapping people with a huge list that's probably has a lower likelihood of of being accomplished when you approach it that way is is super critical to that as well.

SPEAKER_02 27:16

Yeah, and sometimes I'll receive an inspection objection from somebody and it's got you know 30 items on it, and 12 of them in a row are individually itemized electrical things. I mean, why don't you just say seller will hire a licensed electrician to complete the following?

SPEAKER_03 27:31

Yeah.

SPEAKER_02 27:31

And then just do the list and make it look like one request instead of 12. So there's different ways to present that to make it land in the lap of the seller with a little less um aggression, so to speak.

SPEAKER_00 27:41

Grace, yeah.

SPEAKER_02 27:43

And sometimes I'll I'll say, you know, these things need to be addressed, or this price reduction if you have a cash offer, or you know, check out seller proceeds to this roofer. So give them people love options, yeah. Give them options if you can give them options, as long as they work for your client as well. Right.

SPEAKER_00 28:01

And you know, obviously do your best to to your limitations and to and to what is being objected, but to make the seller feel like you're also not just like tearing their house apart and making it feel like they they live in a shack.

SPEAKER_01 28:12

Like you've got switch plate covers on your inspection objection. 57 cents. Here's a box, I'll run down to Home Depot. Right. Hold on. Yeah, I mean, so much of that is psychology of both buyer and seller. And so much of what we do is not what we say, but how we say it and what relationship, what rapport you've built with the agent across from you. And I think too, being a person that can step outside of your own role and go, cool, if I put my seller hat and I pretend that this is this is my house, how am I gonna receive what I'm asking for? And balancing that with obviously our duty is to our buyer in in a lot of circumstances, in the same way that in others it's it's to our seller. And who is it advantageous to to give a little so that somebody feels like we win so that we continue forward in the direction that we're hoping for? What's that? Um sorry. Um yeah, important.

SPEAKER_02 29:05

Yeah, I mean, you know, we want our buyers as as we're talking about representing buyers right now, we want them to feel that we are advocating for them, I mean, highly. At the same time, the ultimate goal on both sides is to get to the closing table and close. So collaboration is super important. And and that comes down to how you finesse things, how you say things, how you what exactly what words you use. I mean, you can write something down. We talk about this all the time in in today's world. You text something over, and if somebody who receives the text just you know had horrible news is in a grouchy mood, what they hear from you is not going to be, hi, would you mind please doing this? It right? So just mastering that those skills to communicate well and make everybody feel like we're a partnership and collaboration. We're not we're not fighting against each other. Right. Right. We're trying to accomplish something for a homeowner and a new home buyer, right? Right, to advance their lives into something better than what they're doing right now, right? To grow forward. Right. So yeah, it's a skill and it's very important.

SPEAKER_00 30:02

Um so let's kind of narrow in on our local motion.

SPEAKER_01 30:06

Locomotive? Locomotion. Start dancing.

SPEAKER_00 30:13

Um let's narrow in on our local market and what it looks like to work with a local agent. Um so to you guys both, what do you feel like makes Grand Junction and the broader Grand Valley, whether it's Fruta, Palisade, Orchard Mesa, whatever it may be, um unique as a real estate market compared to you know the variety of other markets that that somebody can choose from when they move to Colorado?

SPEAKER_02 30:34

So something that's a few things actually, but unique to the Grand Junction market is that when we see trends in other areas, you know, like super slow moving, inventory is this, prices are that, we are always in a different place. We're kind of this surprising little bubble, right? I mean, even during COVID, everybody else was it was my biggest year ever. I sold the most, I sold 80 houses that year. Biggest market. And I hear everywhere else, you know, nobody's even coming out of their house, nothing's happening. Um we just don't seem to, we get the the milder effect of all things that people think are troubling. So I've I've definitely learned to not get over dramatic about those things. There's we always just seem to plow through somewhat easy.

SPEAKER_01 31:19

Yeah, right? Knock on wood, right?

SPEAKER_02 31:21

Yeah, yeah.

SPEAKER_01 31:23

I think the other piece of that too is um when we look at our our labor force. I mean, for so long we were an oil and gas town, and we've seen such expansion and diversity in the the job markets that keep our real estate market feeling more stable. Um, and to speak again to COVID, I mean, how many people did we get here relocating from larger urban areas that were seeking some some peace, honestly, and just um and lack of exposure to big scary things that happen in in other markets. So we were super fortunate to be insulated from uh some of the just tumultuous things that that other bigger markets experience.

SPEAKER_00 32:00

I think like what we were talking about a little bit earlier was that you know a lot of people, especially COVID helped with this, but you know, people notice that you can buy you know, a $500,000 house here is very different than a $500,000 condo in Denver.

SPEAKER_02 32:14

So one bedroom.

SPEAKER_00 32:16

Right. And so, you know, that understanding and really, you know, and like I said, COVID really kind of accelerated that idea of like, you know, hey, I've got a $800,000 property in Denver, and it's you know, four beds and you know less than a quarter of an acre. I can go buy, you know, some acreage out in western Colorado and and still be able to utilize the lifestyle I enjoy, if not enhanced. You know, out here we have such unique outdoor recreation lifestyle, but I think just that idea of like there's more out here for your money than than a lot of the other surrounding areas, especially Mountain Town in between us and then obviously the front range. But um, you know, how do you when you guys are working with buyers um that are that are talking about that, what are some of the driving factors you guys see that you mentioned you know our expanding job market? What are some of the reasons you guys are hearing from your buyers as to why they're relocating or or coming from out of state even?

SPEAKER_02 33:08

Um you know, Ryan, I can I mean Ian, I can speak right back to what you were just saying about COVID and the lifestyle here. I mean, we had a lot of people where this was a vacation destination for them, right? Now it is their life. They live here. Um things changed with COVID, opportunities to work from home. So we had a lot of these um younger entrepreneurial people, entrepreneurial people who are starting families move out here where it was very much a retirement community when I first moved here in 2015. And now it is young and vibrant and alive and full of people just experiencing the outdoors, hiking, biking, skiing, all the things. And now they know they can live here, they can work here, and they can live the lifestyle. I think that was a huge change in this community, and it's I don't know, it's so vibrant to me now. It just feels so good here.

SPEAKER_00 33:51

I think one that was probably really needed too. I mean, I haven't been here long and I'm I'm not from here originally, but just from the six years I have been out here, just and you know, I I think I can speak to the part, you know, I came out here for for school for Colorado Mace University. So really that driving force of the school expanding, you know, also brings the light to the community and and to this outdoor area and and encouraging and having a job market where when a student graduates, there's a spot for them. Yeah, for sure. And they're more likely to stay than than go back.

SPEAKER_02 34:21

Right. And kudos to everybody over at CMU. I mean, what an incredible educational system they have over there and constantly driving to make that better. I mean, that is a huge draw to be able to come here and get an excellent education, right? We all think about that with our kids. We want them to have an excellent education so they can come here, and then what this community is turning into with all this outdoor activity and everything, I mean, it's just become so much more attractive to people.

SPEAKER_00 34:47

Um so what's your advice for relocating buyers who can't easily visit before purchasing? Like we mentioned, we get a lot of people that are moving here from out of state and so maybe visiting in order to, you know, look at homes or you know, go through a slew of homes over the weekend. Um, what is your advice for buyers who can't easily visit before they purchase and how do you help navigate that?

SPEAKER_01 35:11

I feel like knowing um knowing your market well the way that our team does. I mean, we are constantly talking about little corners of the corners of the market. We you know, we know we get a lot of people from Arizona that move here, we get a lot of folks from Texas, and having worked with people that have already successfully completed a relocation also gives us the ability to have conversations that are more tailored to people that are maybe not here yet, but that's where you're coming from. And we can extrapolate things like, hey, I just worked with this person who said that you know, these were some aspects of the area that maybe you're relocating from that um that they gravitated towards or kind of felt like they ran from. Um I I like to create very tailored charts for people, like based on what you've told me you enjoy doing in your free time. I would think this would be a really great place for us to start digging into the market. Um, I think for for consultations like that, being an active listener and knowing that it's okay to just ask questions and be quiet and let like learn somebody deeply while they're getting to learn our area is a huge part of helping people find and try to matchmake before they've really had an opportunity to spend time here.

SPEAKER_02 36:23

And you know, this is one of the things I love about our team at the Christie Reese Group. Um, we don't just sell real estate. If you get on our website, you look at podcasts that we do, anything we have out on social media, we are showing you the lifestyle here. We have lifestyle videos, everybody on our team is involved somehow out there. When you get on and you look at all of our stuff, you're not just seeing houses. You're learning about this community, how we you know contribute through our circle fund, what nonprofits out there are doing for our community. I mean, you can just learn so much more about what it means to live in Grand Junction, not just about the market, like buying houses, right? So it's a great place to start here. Right. It's you know, we provide a lot.

SPEAKER_00 37:02

Right. Um, all right. So lastly, we're gonna talk a little bit about you guys as agents individually, but um, you know, everybody knows a realtor. I think that's kind of the thing as you know, my my mom's best friend's sister's kid is a realtor, that that kind of thing. I'm gonna use them just cuz. Um, but when we really look at it, um, and we hear quite a bit, you know, the difference between a great agent and an average one. Uh what do you guys feel like separates a great agent from an average one? And and what should people look for when they're looking for a realtor that maybe they overlook or or don't understand they should be looking for?

SPEAKER_02 37:37

Yeah, I think a lot of people underestimate what it is to be a realtor. They think you can just go out, show a property, sell it, and make a buttload of money. And it just it doesn't work that way. There's there's there's so much responsibility, and and I personally don't understand how you can be successful at this job without truly investing yourself into the people that you meet, into their families, into understanding what they truly want, what they're looking for. And um, you have to be a little bit vulnerable in that respect. You have to you have to let them get to know you as well because there's this this two-way street trust that goes across. It's not about, oh, how do I get them to trust me, right? I need to trust the person I'm working with as well. I want to, you know, be invested in them just like I want them to be invested in me. So um it's a full-time job. You know, you're you're working a lot of hours, you're doing things that you might not think. You know, you might be over, you know, mowing their lawn, they're out of the out of the area, and you're trying to sell their house and it starts to look a little shabby and you're getting over there and you're taking care of it, or you're hiring somebody to do it. Whatever you whatever you have to do to put their needs um, you know, ahead, and you know, sometimes we have to sacrifice some of our own time. But I mean, there's the basic stuff of knowing the market, right, Christina? All that stuff that makes us a great agent. But that's the standard for everybody.

SPEAKER_01 38:47

If you don't have access to the MLS, yeah, totally. That's not having the MLS is not a skill. Yeah.

SPEAKER_02 38:54

What what are you doing to create that connection with those people that keeps them coming back and referring their families and everything? I mean, what are those things that are important to them? And and those are all different. You know, I can't sit here and make you a list. This is gonna be it. Right. That's why you have to take the time to get to know those people to find out what's important to them in this particular process. Right.

SPEAKER_01 39:12

Well, and I think too, something that that my because my background, I like to, I fixed and flipped two homes and I just built my first house last year. So I I think for me, walking into a new community where you go, cool, my water heater went out to circle back to the question a while back, who do I call? So how do I fill in gaps that you don't even know are gaps yet? And and connecting yourself with people that um that have with an agent, excuse me, that has resources that bring true value to your time when you actually get here. And you might not even know what that feels like yet.

SPEAKER_03 39:45

Right.

SPEAKER_01 39:45

But being having an agent on your team that not only has great resource connections, but has great relationships with other agents, who you pick and how that person shows up in your transaction across from another agent, you have no idea what that does for your experience in your transaction and the wins that you might be be able to secure. I mean, getting a, I don't want to say feel somebody, that sounds kind of cliche, but truly, like if that person feels right to you and you you get a good read on that person and they're knowledgeable and they have the MLS and all the things that we should be doing. I mean, that's what it's about. You're gonna spend a lot of time with your agent, so make sure you like them.

SPEAKER_00 40:24

Yeah, you know. It's just like real estate. I mean, you know, people spend so much time looking for a house and one that works for them and and has all the things that they want. It should be, you know, the same type of effort and and dedication when you're looking for the person that's gonna help you find that house. Right. You know, they should that should be an extension of your personality of what you're looking for.

SPEAKER_02 40:44

Yeah, and I think you know, being able to share past experiences that you've had with other people can get out ahead of, you know, oh, what if I need this or what you know? Tell them something that that happened and how you helped. Oh, they needed this one time, and we have this and this and this. You know, if you have things that we come across that you might need after closing that we're not thinking about right now, I have a host of resources. We've got a channel at work, everybody has a list. So we will find whoever you need for whatever the cause is, right? So right.

SPEAKER_01 41:11

And honestly, ultimately, we're stress mitigators. How do we do things behind the scenes that make your experience better? And honestly, we'll have your back when you don't know that we do. So picking somebody that's really looking 15, 20 steps ahead and trying to, you know, lessen your exposure to the hard stuff. Real estate can be stressful, and that's just by nature of the beast that it is, but that it doesn't have to feel that way all the time.

SPEAKER_02 41:35

Right. They're already packing, trying to move, finish school with their kids, all this stuff, and then you gotta throw something at them. It's like if it can be handled without stressing them out with it, handle it. Yeah. Tell them about it afterwards. Yeah. We had this little hiccup, but I want to let you know I made that phone call, blah, blah, blah. It's already taken care of. Right.

SPEAKER_01 41:49

Oh, awesome. Thanks. Lunch? No. Yeah.

SPEAKER_03 41:54

Totally.

SPEAKER_00 41:55

Always.

SPEAKER_03 41:56

Yeah.

SPEAKER_00 41:57

All right. Well, thank you guys so much for joining us on this segment. This has been incredibly uh you know useful, and I think it uh you know our audience will find a lot of resource from it, even if there's just one nugget that they can that they can take from it. So um that's a wrap on our episode of the inner circle. A huge thank you to Karen and Christina. Thank you guys so much for sitting down and sharing your time and and knowledge. Um, if you have questions that you'd like answered, um, whether it's about real estate, finding an agent, um, understanding the market, all the things that that we just talked about, um, you can reach out to us at um marketing at christyreese.com, send us your questions. You can also leave any comments on um this episode that you'll find on YouTube or social media, um, or give our agents a call. You can call our office at 970-589-7700. We would love to help you out as well as get you on the right path. So um from all of us here at the Christy Reese group, thank you so much for listening and have a great rest of your day.