After reading the warning sign and taking precautions by standing back a few feet from the warning tape I looked up to see big breaking waves on the shore and the whitewater rushing back out to see. Rip currents are DANGEROUS. The powerful, channeled currents of seawater flowing away from the shoreline, through the surf and past the breaking waves will take you out to sea quicker than you can bat an eyelash.
There is no doubt that conditions change and we need to take heed to the warning signs.
The housing market and real estate industry is constantly changing and has been for some time. Though it is known that the market is LOCAL and every area has different statistics I think I can safely say that there is no housing boom going on.
In October, there was Good News! October Statistics for Oahu's Housing Market! Then, The Ripple Effect From Our Hawaii Tourism Industry took a dive and many restaurants and industries are closing down. For the month of November, our home sales declined but our prices here on Oahu are still stable and hopefully this decline will last just a short while.
Needless to say, the Rip Currents are dragging many out to sea and everyone is out there trying to grasp at every straw to stay afloat:
- Buyers are backing out for no reason ....or maybe they were just too embarrassed to say why. (i.e. family problems, lost jobs or whatever the case may be)
- Loan Officers are promising the world and can't deliver when it comes time for processing. (giving a preapproval without taking everything into consideration ....in hopes it goes through)
- Realtors® are nagging at sellers to list their home. (Who knows how they got the private cell number of the owner....yes this just happened to my seller)
- Realtors® are giving bad advice to the buyer for the sake of a sale. (i.e. bank owned and no warranties, inspections or recourse)
- Sellers are thinking that it's still a great market (and thinking that they can play hardball when there are few and far between buyers)
The majority of us have kept afloat with great marketing skills and a niche we have created for ourselves. We listen to our clients and only after listening to their needs first do we give back sound, straighforward information and advice. We follow our Code of Ethics which can be compared to our every day behavior following our personal beliefs, morals and values in this game called life. We hold our heads high and sleep VERY well at night knowing...we lived each day right and didn't step on anothers toes to get there.
The rest will be sucked out to sea by those dangerous rip currents.
And You?
© 2008 Celeste "Sally" Cheeseman, All rights reserved
Celeste "Sally" Cheeseman is a Realtor-Associate® and Certified Residential Specialist (CRS) with Century 21 Liberty Homes in Mililani, Hawaii. With a sharp understanding that a listening ear is the key to a client's needs she serves the island of Oahu (Honolulu County) and all Hawaii Military Relocations, Hawaii Retirees, Hawaii Job Transfers and Hawaii Residents, Home Buyers and Sellers.
© 2007-2012 Celeste "Sally" Cheeseman's Hawaii Real Estate and Relocation Blog.
All rights reserved.
Integrity and ethics will prevail in the long run. Many bad apples have already been weeded, there will be more. Good luck in your market.
I'm hanging in there! It is a difficult ride indeed. Right now, buyers are scared they will lose their jobs -- Fidelity is planning additional layoffs! I hope this storm passes by soon!
Sally, now the sucking out to sea is enough to get up early and work hard and work smart. I like your thinking on this one.
I'll try surfing;)
Sally, A rip current destroys all but the strongest. The analogy to the current real estate market is well thought out.
Sally,
A lot of flotsam & jetsam being lost in the great ocean!!! I hope things smooth out soon!!! Thanks, Fran
Sally - your point about bank-owned homes & no recourse is a good one. So many REOs and the entities holding the paper on them are making their own rules up as they go along--wonder if HUD has sicced the RESPA Squad on any of them?
That which doesn't kill us makes us stronger! Darwinism is hitting the industry as we speak... LOL
RESPA auditors are certainly going to have their hands full. Love the parallels. Very well said. :-)
Woo Hoo, That is a hard hitting message but a truthful one. I deleted nearly my whole comment ( rant) as I realized that it is important to keep perspective and you did that well.
Sally... most of what you mentioned, you hit the nail on the head. I have seen agents give bad advice or try and lead the borrower down the wrong path... I have seen loan officers drop the ball at the last minute, because they didn't do their due diligence... and I have seen a few buyers back out last minute. It comes down to educating and dealing with the right professionals.
Funny,
Richard Iarossi thinks that the strongest can survive Rip Currents. I experineced it firsthand, and the strongest will drown in a heartbeat. The smartest will survive it if they follow the rules.
Rip currents take your strength in a matter of minutes. I know that rip currents here are figuratively, however, I think in real estate the smartest will survive.
Sally- That is a great analogy. Agents who are doing the right thing and work smart, stay away from being sucked into the negative Nellies and look for opportunities will make it through.
Sally - great analogy. The rips can pull a person out to sea so fast, and here we have sneaker waves as well. You can be walking on the beach and they come up out of the sea and grab the unwary. Have to pay attention too to all those points you describe. Think it is more important than ever to think of others and put their well being first. Then our well being will follow. I know it!
Hi Sally,
Love the analogy and yes with integrity and professionalism, we will make it through.... though there may be times we need someone to throw us a lifeline and pull us back to shore.
Great analogy Sally.
Many agents and brokers are being sucked into the rip tide created by the folks who are elected to represent and protect us and folks who break the law without any penalty.
Count me disappointed.
Even the strongest swimmers can be swept out to sea. Even those with the strongest integrity and best marketing skills. The question for many will be: how long can they tread water before they become exhausted? Before they run out of money? Are they willing/able to swim parallel to shore for what could be a long time and wait for the market to recover (depending on the market - some are worse than others). I love your analogy!
Valerie: No doubt many have left for many reasons....weeding out for the ones who expected to come into the industry with only a paycheck in mind and otheres who for personal reasons just could not make it during this changing time. Needless to say, this changing time will surely get the best and the worst.
Gary: No kidding...I'm up and at em :)
Lil Bro: Oh, you may want to rethink that situation. :)
Richard: Not only the strongest survive. There are some that are surviving through unethical means as well. Sooner or later it all comes out in the wash though.
Fran: It always does.... :)
Kent: I personally believe that many buyers going into the deal are not well informed....especially with the run down ones. No repairs, no this and no that.
Kent2: I have struggled and managed to get my head above with hard work and ....blogging!
CTS: I do believe that in the end it all will surface and be dealt with..... maybe.
William: Okay.... Would have liked to see your perspective as well!
Jeff: We've seen it all huh Jeff? Now...to keep the ball rolling.
Jon: So what are you doing differently now?
Kateina: Exactly. If one cannot keep their head above water it's okay....I would find a regular job if I had to.....rather than cut corners or step on another to make a buck.
Alexsandra: I was in that situation (for real) and got sucked over the wall. My brother saved me....as for the analogy.....I save myself at no expense to others ...
Cynthia: I have had lifelines in the form of referrals...that came just at the right time....
Lenn: I am seeing it moreso from the desperados and I say this.... No good can come of being deceitful and walking all over another to get a paycheck. No good I tell ya. I too am disappointed for all who are struggling and are good people vs. those others.
Kelly: I agree that there are some good ones that are being swept out as well.... and personal circumstances may be behind it (finances mostly) although I am mainly speaking about how the changing market and personal agenda will sweep the bad ones out....hopefully.
Sally a Rip Tide" is a good comparison of what has been happenning. That leaves it up to those of us who keep things on the up and up to keep that "Rip Tide" from becoming a huge black hole that sucks everyone in.
Good post. Those who survive the rip current will have lots of opportunities.
We have something else in common...we get them here.
George: Ooooo I like that one...the black hole...yuk...
Gary: Many many many
Neal: Oh, do you now?
Sally- Some interesting comments & I liked your answer about some surviving through unethical means. It's sad to see, but I have seen it. Integrity doesn't always get the paycheck, but it is the method of choice in my business :)
Sally - Rip tide indeed ... the face of real estate as we knew it for the last few years is and has been drastically changed in some areas and moderately changed in others ... but it has, and continues to be, changed with many of our friends and co-workers disappearing from the industry. While it has not happened in our area yet the signs are there. Only time the tide will tell.
Kathy M: I believe we've all seen it.... and my method too :)
Kathy C: Only the tide will tell indeed!
Sally, well we're still swimmin' but you're right about a lot of these listed faux pas! Little by little I'm eliminating our stubborn sellers...I mean, what's the point? They kick and scream for us to bring a buyer and when we do "it just isn't enough". Holiday Hugs my friend, Deb
Sally - one thing that has happened during this change in the market is that all those who got into real estate thinking they could make a fast buck have left and returned to whatever job they had before! The thinning of the herd is a good thing!