Hindsight in Real Estate

Have you heard someone say “Yeah, I remember when you could buy a house for 5 grand”, or “I can’t believe how much more expensive houses are these days”. These brilliant philosophers are exercising their skills of hindsight. That is to say there is some wisdom in looking back to where we came from, especially if we are planning use the lesson to move forward along with the rest of the world.
Hindsight is famous for being 20-20. Yes, we can accurately predict the past, almost without fail if we are careful. In order for this process to be considered wisdom there should be one more defining step in the process. Consider that history teaches us about the future as well as the past, market cycles repeat, and we can all take advantage of these events.
Houses did in fact cost $5K about 100 years ago. Don’t whine about the price going up, get in the game and take advantage because over the long haul the prices will continue to go up on homes and land unless we get hit by an asteroid.
There are other forces that would dissuade you from this logic, you have to be strong and smart to resist the temptations. New cars are famous for this. I love cars, trucks, boats, , and all motorized things but they all go down in value. A new couch is beautiful at first but it ends up in your driveway garage sale.
So, shop smart for a car, keep in mind it goes down if value, even faster if you crash into something. It’s much harder to crash your house AND it will go up in value. Repeat after me- “My house will go up in value”. There are precious few things that go up in value, especially one’s that are as safe as a house. As an added bonus you can park your life there. Notice the photo of a house. In five years it will very likely be worth much more than it is today, this is true of most homes and land.

There is a powerful search engine on my website www.craigmann.net if moving to Prescott is on your list of stunning places to consider moving your life. Pay attention, work hard, and by all means live it up!

Dress Up Your Investment

It’s still a strong buyer’s market these fine spring days here in Prescott, Az. Lots of inventory, sales are sluggish, and people are waiting for the absolute minimum prices before they risk buying. If you are trying to sell your home you already know this as it’s probably sitting still on the market.
The old saying is “When life is dishing out lemons, make lemonade”. So the real estate market is favoring buyers in a big way. If you have money for a house, buy one. There are some fabulous deals out there, call me and I’ll prove it.
If you don’t have a mattress full of cash, consider another approach. Does your home need any help to have better curb appeal? Have you been watching those TV programs like “Flip this House”? Tell the truth now, they are wildly popular. The most profitable things are kitchens, bathrooms, painting, and decks. Decide what your home needs and take on a new project, it will be fun and make you feel alive. Do some of the work yourself if you can, add your artistic touch. Plan it out carefully, make drawings, ask the pros if you need help, get your hands dirty!
My own house is modest but the view and location are fabulous so we decided to rebuild our ugly deck looking over the world. Photos are before and after pictures-

If you can’t buy or sell, dress up your biggest investment, and by all means live it up.

There is a powerful search engine on my website www.craigmann.net if moving to Prescott is on your list of stunning places to consider moving your life. Pay attention, work hard, and by all means live it up!

The Weather is Perfect and the Glass is Half Full

Today’s moral of the story– ATTITUDE IS ONLY EVERYTHING! Actually, that’s the moral of the story every day, deal with it. Here is some arguable proof–
In the last 30 days there has been a noticeable increase in sales and walk-in traffic in our fine office near the Courthouse Square Plaza, beautiful downtown Prescott, Az. These people are largely “Glass is Half Full” type folks. They are here looking at and buying real estate even though the headlines are whining about a recession, housing bubble, the sky is falling, etc. Nonetheless, the values are fabulous for a handful of brave crusaders who waded back into real estate. Does this mean the “slump” is over? Nope, the statistics show we will stay in this strong buyer’s market for some months at least. Mind you, this is only bad news if you are an impatient seller.
More facts– Resale housing prices are still creeping down and becoming very attractive, the inventory of homes on the MLS is still high so supply and demand are favoring the most competitive prices, and the most “motivated sellers” are the one’s packing their belongings. Following the logic so far?
OK, one more example to prove the point– It’s been windy the last two weeks. Yes, it’s true we are a mile high in the mountains of North-Central Arizona, and yes it’s spring when things tend to be a little windy in a lot of places. Still, some people aren’t happy about the weather and even a little wind sets them off. This photo above is Monument Valley, Az. where they filmed all those cool western movies. On my drive back from Denver last week this is what the wind was doing to the scenery. My point is that compared to this our weather here in Prescott is perfect all year long and the glass is half full. Come see for yourself and by all means LIVE IT RIGHT UP!

There is a powerful search engine on my website www.craigmann.net if moving to Prescott is on your list of stunning places to consider moving your life. Pay attention, work hard, and by all means live it up!

Home Sweet Home Compared to What?

The Prescott, Az. slogan is “Everybody’s Hometown”. Think of it as more of a welcoming phrase than a point of origin. And speaking of hometowns… most of us are from someplace that has fond memories, family connections, and maybe you like to go visit occasionally to see how people and things are doing.
In perspective Prescott is not trying to replace your hometown, it’s more like you can be on vacation here permanently and keep your point of origin. If you are from a small town then you will feel at home immediately. If you came from a bigger city and have had enough of the rat race you will be amazed at the Hometown feel of Prescott.
Our biggest group comes from the Phoenix area. Our population is 41% retired and they brought their economy with them. We can’t compete with Phoenix Metro, we not even trying and who needs 115 degrees? There are no interstate freeways in Prescott, it’s not on the way to anywhere, you have to come here on purpose. Some people stop in Phoenix long enough to get baked and then move a mile high to the north-central mountains of Prescott. One of the hardest things to get across to people is that Prescott is in the mountains, with real pine trees and everything. In fact there are over a million acres of Nat’l Forest very close by.
If you have to see the D’Backs game or go to Trader Joes it’s 110 miles to the PHX. It’s actually a great getaway spot in the winter. For the most part you will find all you need to make life a fabulous thing right here in town. There is always something up at the Courthouse Plaza and we want you to feel at home here like the rest of us. Come see this beautiful part of Arizona, invite your friends and family to experience Everybody’s Hometown. There is a powerful search engine on my website www.craigmann.net if moving to Prescott is on your list of stunning places to consider moving your life. Pay attention, work hard, and by all means live it up!

Buy Cheap and Sell Dear

The “Buy Cheap and Sell Deal” concept will work very well in any business on earth. The snag in real estate is there are buyer’s and seller’s markets that run a predictable cycle and it’s hard to have a buying AND selling advantage at the same time. However, there are so many advantages you can take in real estate it’s no wonder they call owning a home the American Dream. Some tried and true ideas-
Renting? Get serious. Do whatever you have to do to stop renting ASAP. The instant you buy a home your bottom line starts to improve and you are paying yourself in the long run. Typically your home will go up in value over time, paint once in a while, plant some flowers, invite some friends over and grill dinner. Make a fort or a swing for your kids and they will never forget it. Resist the idea of 2nd mortgages, leave your 30 year mortgage alone until you move. In a nutshell this paragraph is the American Dream. Make it personal by parking your life with some style and common sense.
It’s a strong buyer’s market. That means if you have a load of cash and you want to buy a home, you will have a goliath advantage. It also means if you have to SELL your home first you are in for an ice cold shower. So, either buy something now or wait to sell. Quick note here– In a seller’s market people are selling more dearly and put less concern that they are paying more for the home they move into. There is some urgency about buying that’s built into a seller’s market. People are funny this way.
Don’t let the market push you around, plan ahead to have the advantage and here is the big secret- think “Long Run”. Most of us can’t remodel and sell a house every month for big profits. But most of us can stay put a few years and keep the home looking good. If you get the bug to move, wait for a seller’s market and you will get a higher price. You can take the “Long Run” strategy a step further if you are motivated. Buy a 2nd home while it’s a buyer’s market. Now you have a drastic advantage because you can fix it up and sell it (when it’s a seller’s market) and repeat as your appetite can handle. Rent it out if you are very brave.
Unlike the stock market there are almost no losers in the real estate game providing you are in it for the long run. You can improve your investment and it will go up in value as a result of your efforts. That, my friends, is a very safe bet.
There is a powerful search engine on my website www.craigmann.net if moving to Prescott is on your list of stunning places to consider moving your life. Pay attention, work hard, and by all means live it up!

Choose Your News Carefully

A very sweet gal from PrescottEnews asked me to write these real estate articles once a week. As soon as she told me the focus was to keep the news positive about our fine area I agreed.
There is so much bad news being reported these days, it’s like a new trend to blame, complain, and find the dark side of everything. How did this get so popular? And what happened to the truth in the process?
Advertising is wild these days. There are all kinds of gadgets and schemes to make you rich over night, using other people’s money, just add water and wealth grows like spring flowers. In real estate it’s short sales, foreclosures for pennies on the dollar, and from the advertising you would think they are giving things away. Do you actually know anyone who successfully bought a foreclosed property or used someone else’s money to buy a home? A common complaint when you go see these homes is “it doesn’t look anything like the pictures”. Also, in order to buy a foreclosed home there is an addendum that says you really, really should consult a lawyer because this is going to get ugly. Are you sure you want to do financial battle against a bank? I won’t even mention some of the last minute modifications that homeowners are leaving on their way out.
To make matters worse the giant media headlines are painting a dismal picture about the economy and housing. Historically these buyer’s and seller’s markets have cycled predictably just like they are now but the media would have you believe it’s a meltdown. Markets are very “area specific” and values Palm Beach have little to do with values in Palm Springs. The Prescott area has declined in the last 2 years, traffic is slower, and supply is up. Now if that is the only news you get about Prescott you would think the sky is falling. In context you should add that most property values doubled (Yes, that’s an increase of 100%) during the previous 4 years. Hmmm, well that changes the equation back to good news, most people are still running in the black and staying put in their homes.
Prescott is holding it’s own against our expensive geographical neighbors as well– Flagstaff is pricey, 7000ft elevation, and too cold for many people’s taste. Sedona is nuthouse expensive. Both are beautiful places and we are glad to be neighbors but Prescott is not short on beauty.
There is a powerful search engine on my website www.craigmann.net if moving to Prescott is on your list of stunning places to consider moving your life. Pay attention, work hard, and by all means live it up!

Don't list your house with me, just move to Prescott

Actually, I don’t think you should list your house at all. We are in a Buyer’s market and that means– MLS is flooded with listings (2 years worth), prices are down from 2005 in the Prescott area, Sellers are everywhere, why in the world would you test the market now? The only homes selling with success are the ones that are priced drastically low. If you have a timing issue and you are forced to sell your home, you will have to price it below all the casual listings or nobody will even come look.
I’m trying to make it obvious that the real estate market has a huge advantage for buyers right now. Location, location, location has become price, price, price for the time being since most people would consider the Prescott area a universally fabulous location.
So if you live here, keep your peace and quiet or your ranch or your home in the pines and send a message to your friends that now is an exceptional time to move to Prescott. If you don’t live here the same logic applies, come and make friends in our beautiful town. I’ll show you around and introduce you to the whole zip code. Take a look at the links in the top right corner for some representative homes.
There is a powerful search engine on my website www.craigmann.net if moving to Prescott is on your list of stunning places to consider moving your life. Pay attention, work hard, and by all means live it up!

Home Sales and the Passionate Pitch

We have to decide what is real and what is puffed-up when it comes to advertising. The focus of this article every week is real estate but we are all influenced by the barrage of advertising from all industries- No Money Down, Bad Credit OK, We’ll double the offer, just pay extra shipping, No Closing Costs, Call in the next 10 minutes…. and so on.
These types of offers have a cumulative effect on our shopping sensibilities so when we get around to shopping “in the real world” we tend to expect the glitzy promises, some dazzling salesperson talking non-stop, and the bright lights of the whole process need to blink like Las Vegas to add to the drama of parting with our money.
Let’s Get Real, as in Real Estate. If you just can’t help yourself from buying things on the shopping channels or infomercials please call me if you decide to buy a home. There’s no flashing lights but we will walk through the “American Dream” of owning your home at a sane pace with all our bases checked and re-checked.
Here is a Non Glitzy idea with no flashing lights- In the long run real estate can go up an average of 12% a year. In the last two years in Yavapai County it’s gone down as a result of an overheated market and values are exceptional for buyers. If you buy a home at the peak of the buyer’s market and it goes up in value at 12% for six years you will have doubled your money. Yes, doubled. Even if it only went up 10% a year it would double in just over 7 years.
Why don’t we hear this advertised? Because you are making the profit while you are parking your life in your home, you have tax incentives and no rent going down the drain. In other words you are living the American Dream instead of donating your money to useless things because you saw it on TV.
Here is my Passionate Pitch– Real Estate is completely real. No flashing lights necessary, just shop carefully before you move your family into a home. Paint a bedroom, plant some flowers, walk your dog and meet your neighbors, or build your kids a playhouse out back. The payback will be enormous.
There is a powerful search engine on my website www.craigmann.net if moving to Prescott is on your list of stunning places to consider moving your life. Pay attention, work hard, and by all means live it up!