North Idaho Janna

I am hoping that my network of savvy professionals here on ActiveRain can help me understand what has been going on, because I am at a loss to understand it.  

This guy approached desperate sellers with some kind of proposal that involved a lease back, lease option that required a loan of the seller's equity at closing. 

The first time I heard this story, from a lady sobbing in my office, I have to say I was a little skeptical.  She said the guy, a skimming scammer, had preyed on her vulnerabilities. she was a battered wife in a divorce trying to avoid foreclosure. Unable to find a teaching job here, after moving from another state.  Told her he was starting a school and she would be the director. And that he would be making payments on the equity, and she would get to stay in the home, with her children.  At closing he received a large check with her equity.  Four days after closing, he evicted her and her children, and of course there was no school to direct.  No note for repayment of her equity, she was just out of luck.  He wasn't actually the buyer, it was another out-of-state investor, his "partner" who was also his scam victim.  The "partner" payed at least $100K more than the house was worth.

My mind just couldn't understand how that would be possible.  How could he possibly get her equity at closing, with no note or repayment agreement of any kind?  I was skeptical...

Then tonight, out of the blue, I listened to a man tell a nearly identical story to me, going through a divorce, desperate to sell and avoid foreclosure.  This same skimming scammer approached him with a lease option deal that required him to loan his equity.  It was a safe bet, sure thing.  Yeah right.  But, same scenario, at closing the skimming scammer got his equity, and when payback wasn't forthcoming, he was told that it was "your word against mine."  And again, his "partner" was the investor who was also a victim paying AT LEAST $100,000 too much for the house. 

The sellers and buyers here are all ruined, while the scammer has their equity, scott free, probably still scamming and skimming.

How is it possible that this is possible?  Can someone please explain to me in idiot proof language how this scam works? 

Photo taken by my brother-in-law Kerry Park on an early morning walk last weekend. 

Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.

No matter how grand or modest your real estate dreams may be, you can turn to me in confidence.  Give me a call today and let me know what I can do to be of service to you!

Janna Rankin Scharf, AB, GRI, CSP, CNS, CLHMS  208.651.9700  NorthIdahoJanna@gmail.com  

A few weeks ago I wrote about my frustration trying to track down a seller so my client could pay cash for her property.  It actually took THREE WEEKS, but finally we were under contract.  Geesh!  I was astonished that someone with a property listed for sale would be so hard to contact. 

My buyer, a young guy with big plans, as well as CASH, was pressed for time.  But we persevered.  We needed a quick close so he could get on with his business, which involved this purchase.  Now comes the news from our fabulous escrow officer, Heidi Simon at Pioneer Title, that the seller doesn't actually have clear title.  Let's see if I can follow this.  Ms. Seller has a quit claim deed from her mom, who received the property from her step-dad after he died, except that there is no record of it being deeded to mom.  Then there is something about probate being settled in another state, but the property is in Idaho and probate will need to be settled here.  Just need that lawyer to contact this lawyer to start the ball rolling. Or something like that. 

Oh yes, the seller would like to know if my buyer is willing to chip in to help cover the legal fees to settle probate.  Could be done in a couple weeks.  Or not.  I'm guessing not.  ARE YOU KIDDING ME?  By the time probate is settled, my buyer and his CASH will have skipped on down the road to another property, with a seller that can be timely reached, and who actually owns the property that is listed for sale. 

So just a reminder to all of you home sellers and listing agents out there, please be sure that you have a clear title before you start marketing your property.  It's IMPORTANT!

Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.

No matter how grand or modest your real estate dreams may be, you can turn to me in confidence.  Give me a call today and let me know what I can do to be of service to you!

Janna Rankin Scharf, AB, GRI, CSP, CNS, CLHMS  208.651.9700  NorthIdahoJanna@gmail.com  

I decided to have a little statistical fun and see which community in North Idaho was leading the pack for 2009 home sales.  I would have guessed Post Falls, and I would have been right.  Currently, in North Idaho about 70% of sales are under $200,000.  The $8000 tax incentive for those who haven't owned a home in the past three years is helping to fuel entry level purchases.  The USDA low down payment loan program, which is available in smaller communities, like Post Falls, is providing an incentive for home shoppers to focus there.  

Here's what I found in my search of single family residences SOLD since 1/1/2009:

 #1 is POST FALLS, with 57 homes sold.

$105,000 was the lowest priced home sold, at 273 S. Seeley Street.  It is a 1680 sq. ft., 3 bedroom, 1 bath home with no garage on a .44 acre lot.  It was on the market for 70 days and sold for $62.50 per square foot.

$579,500 was the highest priced home that sold, at 1924 E. Rodkey Drive.  This was an REO property.  That is, Real Estate Owned.  Meaning, owned by the lender through foreclosure.  It came on the market 80 days earlier at $895,000.  It is a 2230 sq. ft., 5 bedroom, 3 bathroom home on a .27 acre lot with no basement.  It has 75 feet of Spokane River frontage and sold for $259.87 per square foot.

 #2 is COEUR D'ALENE with 45 homes sold.

$98,500 was the lowest priced home sold, at 1005 N. 1^st Street.  It is on a .12 acre lot.  The home has 834 sq. ft, with 2 bedrooms and 1 bath.  It was on the market for 37 days and sold for $118.11 per square foot.

$489,600 was the highest priced Coeur d'Alene home to sell.  Pre-sold new construction in Coeur d'Alene Place at 5994 N. Lafayette Lane, this home has 3004 sq. ft. and 5 bedrooms, 3.5 baths. It sits on a quarter acre and sold for $162.98 per square foot.

 #3 is HAYDEN with 21 homes sold.

$80,000 was the lowest priced Hayden home that sold.  This was also an REO property, billed as a handy man's special that "needs lots of work."  At 10718 N. Oak Street, this home has 1788 sq. ft. with 3 bedrooms and 2 baths.  It sold for just $44.74 per square foot.  It sits on a .35 acre lot and was on the market for 56 days. 

 $525,000 was the highest priced home to sell in Hayden.  2440 Woodstone, in the exclusive gated community of Forest Hills, was on the market for 103 days, with a starting list price of $629,000.  It has 2851 sq. ft. with no basement, 4 bedrooms and 3 bathrooms.  Sitting on a .44 acre lot, it sold for $184.15 per square foot.

If you would like more information about our local market statistics, just give me a call.  We are seeing positive signs of increased movement, a trend we hope will continue through the rest of 2009.

Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.

No matter how grand or modest your real estate dreams may be, you can turn to me in confidence.  Give me a call today and let me know what I can do to be of service to you!

Janna Rankin Scharf, AB, GRI, CSP, CNS, CLHMS  208.651.9700  NorthIdahoJanna@gmail.com  

Check out This Month In Real Estate.  It's a great overview of what is going on in the real estate market, nationally. 

Affordability, low interest rates and a desire to buy have combined to provide hope for the struggling US housing market. 

Housing affordibility now stands at its best level since 1971!

Remember, all real estate is LOCAL, meaning that you need to take NATIONAL trends with a grain of salt.  Think of a national weather report.  It has little bearing on the weather in our town if it's warm and sunny in Omaha, or there are thunder storms in Denver.  Real estate markets are the same way.  They vary widely from town to town, and even from one subdivision to another within the same town. 

I would love to email you the latest market reports for the wonderful towns in North Idaho.  Give me a call at 208-651-9700 or send an email to NorthIdahoJanna@gmail.com.

Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.

No matter how grand or modest your real estate dreams may be, you can turn to me in confidence.  Give me a call today and let me know what I can do to be of service to you!

Janna Rankin Scharf, AB, GRI, CSP, CNS, CLHMS  208.651.9700  NorthIdahoJanna@gmail.com  

This morning I noticed an ad in the newspaper that caught my eye.  I'd like to give a shout out to a local small business that is offering a great deal, GreenTec Lawn & Tree Care.  

        FERT. + WEED + AERATION
        $65.95 + tax

• An Amazing Spring Package
• Up to 5000 Sq. Ft.
• Satisfaction Guaranteed
• Call for Free Estimate

      Call by 5/1 to Schedule

If you are planning to sell your home this selling season, one of the best returns on your investment of time and resources in getting it ready will be what you do to increase CURB APPEAL.  Often, home sellers will focus inside, and neglect the outside of the home.  Don't make this mistake. 

We've all heard the old saying, "You never get a second chance to make a good first impression."  This is never more true than when it comes to attracting potential buyers.  If they don't like what they see from the curb, often we can't get them to even step inside for a look around!    

The other side of the coin is that I've had buyers overlook flaws inside, after they have first fallen in love with the outside!

Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.

No matter how grand or modest your real estate dreams may be, you can turn to me in confidence.  Give me a call today and let me know what I can do to be of service to you!

Janna Rankin Scharf, AB, GRI, CSP, CNS, CLHMS  208.651.9700  NorthIdahoJanna@gmail.com  

About this time last year, I found out from my neighbor Judy, who found out from her daughter, who found out from Facebook, which college my daughter decided to attend!

My daughter was planning to tell me, just hadn't seen me yet.  I immediately went to my computer and figured out how to join Facebook, and joined.  I have been a proud parental stalker ever since! 

This past year, Facebook has opened an amazing world of contact with distant friends and relations, kids, siblings, and even clients and business associates.  Like everything that I have found in ActiveRain, FACEBOOK has simply blown my mind!

My Facebook is mostly family and personal stuff, but I always am aware that business contacts are there too, and temper what I post.  I post my blog and real estate related stuff there, as well as pictures of my granddaughters and personal goings on.  It is a happy hodge podge of the passions in my life - family, faith, and real estate! 

Last Thankful Thursday I expressed my thanks for two listings received as a referral from another ActiveRainer in another part of the state.  My first real AR leads.  They are now up and running, and I already have a strong buyer from a sign call, who will be buying a different property. This Thankful Thursday I am thrilled to report my first real business lead from Facebook.  I get questions and comments, real estate related, all the time on Facebook.  Lots of my Facebook friends are Realtors, after all.  But there has been someone there, quietly observing in the background, that I BARELY know, who sent me a private note last night about his upcoming relocation, asking for a CMA and advice.  Oh, and how much he knows he can trust me, even though he doesn't really know me.

YES!  This is how everyone said it is supposed to work.  To just be consistant and hang in, and it will pay off eventually.     Now, I have found that to be true!  Except for something that no one told me in the beginning.  The benefits of my associations on ActiveRain and Facebook, and the knowledge and relationships and GOOD TIMES that they provide me, are worth every bit of time and energy I spend, in and of themselves.  Any financial benefit that may come as a result is just gravy! 

My beautiful little granddaughter Chloe fell down the stairs, along with her daddy, put a hairline fracture in her little leg and she ended up in a hard cast up to her waist.  It didn't dim her perpetual smiles or sweet, happy nature.  I think there is a lesson in there somewhere for all of us!  

Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.

No matter how grand or modest your real estate dreams may be, you can turn to me in confidence.  Give me a call today and let me know what I can do to be of service to you!

Janna Rankin Scharf, AB, GRI, CSP, CNS, CLHMS  208.651.9700  NorthIdahoJanna@gmail.com  

How do you react to adversity?  Here's a great little story that deserves retelling.  I promise that it is worth the few minutes it will take to read it through. 

One of the great things about being associated with Keller Williams Realty is the culture of caring and giving back to the community.  I would like to extend an invitation to my friends and clients to participate with us in our annual blood drive. 

For over 60 years, The Inland Northwest Blood Center has been the Inland Northwest's only independent, not-for-profit blood provider. What started out as a small community blood bank has since evolved into a full service center providing blood and related services to a region consisting of nearly one million residents!

Keller Williams Realty
Blood Drive
Friday, April 24, 2009
9:00 am - 11:30 am

Location: Keller Williams Realty, 1044 Northwest Blvd, Coeur d'Alene

Give the Gift of Life ~ Donate BLOOD!

To schedule an appointment, you can call me directly or call our wonderful Director of  First Impressions, Karla at 667-2399.

Bring your photo ID, drink plenty of fluids, and eat a nutritious meal in the hours leading up to your donation.  www.inbc.org - 800-423-0151 

INBC has many volunteer opportunities and positions available. By joining their dedicated team of more than 300 volunteers, you can help maintain a safe and adequate blood supply for patients in our community. Not only do volunteers provide direct services to blood donors, but they also play a critical role in a variety of operations.  Click here for information regarding volunteer opportunities at INBC.

Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.

I came across a blog post by a fellow Rainer, Andy Tolbert of Sanford, FL.  She was venting her frustration with BPOs and the agents who do them.  For those of you who aren't familiar with the term BPO, it is a Broker's Price Opinion.  Lenders will order one done on a property when the homeowner has defaulted and the foreclosure process begins.  Also, BPOs are ordered when a lender is considering approving a short sale. I have done BPOs lately for a number of refinances and home equity loans. 

My comment to her post was so lengthy that I decided to turn it into a post of my own.  She brings up some VERY GOOD and VALID points.  The reason it is so critical is that the outcome of so many homeowner's situations hinges on these Broker's Price Opinions.  It is not something that I take lightly.

You can read Andy's post to understand her frustration.  What follows is my response.  

Andy, I have to say that I am not guilty of any of the crimes you are complaining about.  Please don't lump us all into one big ball! 

I work on line for "middleman" type companies, not directly with lenders.  I can't imagine EVER receiving a REO listing based on any of the BPOs that I do.  The criteria, and variances we are allowed, are so tight that I can't imagine ever being able to skew a price opinion high or low or in any way that isn't supported by the data.  To respond to your points:

1.  I am an associate broker and therefore don't need my broker to "sign off" on my work as I would if I were a sales associate.  It is stated VERY CLEARLY on my orders that the inspections and work are to be done ONLY by the assigned agent.  I wouldn't even THINK of doing it any other way.  Maybe the difference is personal ethics...

2.  Actually, they pay $75 to $125 depending on the property, inspection requirements and whether or not it's a rush.

4.  Actually, I do live on planet earth.  As I said above, the variances we are allowed are so tight that it forces us to use the closest comps in distance and within square footage.  My orders always say to research the MLS and public records FIRST to make sure there are acceptable comps and if not, not to do the BPO.  For example, if I slip in a perfect comp but it is outside a 5% variance in sq. ft., my BPO will be rejected.  I can't give any value to an amenity, such as a barn and corrals, if I don't have sold comps with the same amenity.  There is NO ROOM for subjectivity!  I have never, NOT ONCE, felt like anyone was encouraging me to bring in a value high.  Or low, for that matter.

Having said all that, I do understand your frustration.  I don't doubt that you have run into problems.  Unfortunately, there are a lot of agents running around out there willing to do anything to make a buck.  And in the process, they cast a disparaging light on the rest of us.  Also, having read the comment above, perhaps all companies are not as ethical as the ones I'm working for. 

I subscribed to your blog, and I look forward to your short sale post next week!

Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.

No matter how grand or modest your real estate dreams may be, you can turn to me in confidence.  Give me a call today and let me know what I can do to be of service to you!

Janna Rankin Scharf, AB, GRI, CSP, CNS, CLHMS  208.651.9700  NorthIdahoJanna@gmail.com  

I came across a very interesting article by Bernice Ross in Inman News.  Recently, there has been spirited debate among readers about the future of agent compensation.  Ross points out that what few people are discussing is a pattern that has been consistent for more than 30 years that she has been in business.

Commission rates are primarily contingent upon whether an area is experiencing a buyer's or seller's market.

Ross points out that in a buyer's market, the "value" of an experienced agent who can close a difficult transaction increases dramatically.  Despite the tremendous number of REO, short sale and foreclosure properties where commissions are usually 5% or less, commission rates in 2008 increased just as they have in previous buyer's markets. 

While commission rates increase as the market worsens, the total commission dollars declines, the reverse is typically the case in a heated seller's market.

Ross had an in depth study of statistical data from Keller Williams Realty, Realogy, and Real Trends from which she drew her conclusions.  One interesting observation is that the median amount of commission for buyer's agents in 2008 was 32% higher than it was for listing agents.  Which seems to reflect the trend for listing agents who are given a discounted commission rate on REOs and short sales to continue to offer a full co-op to buyer's agents. 

As a Keller Williams agent, I was quite pleased to see that in 2008, KW had a 2% increase in per-agent productivity, while the National Association of Realtors reported a 2.9% decrease.

Will commission rates go down when the market improves?  Ross says that based upon past markets, the answer is probably "yes!"  Will agents make more money per transaction when the market improves?  If the past market trends predict the future, the answer to that question will be "yes!" as well.

Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.

No matter how grand or modest your real estate dreams may be, you can turn to me in confidence.  Give me a call today and let me know what I can do to be of service to you!

Janna Rankin Scharf, AB, GRI, CSP, CNS, CLHMS  208.651.9700  NorthIdahoJanna@gmail.com  

I am always amazed at how difficult it is to get a response from some Sellers! 

I have an eager, cash buyer for a piece of vacant land.  Young guy, big dreams, small lot.  Nevertheless, we have now been officially waiting for A WEEK for a response to his offer while the listing agent tries to track down the Seller.

I will resist the urge to turn this into a rant, although I have to admit that I am tempted by my frustration to blast out.

It just seems to make sense on so many levels that if you are SERIOUSLY attempting to sell a property (or anything, for that matter) that you would make yourself available to respond to offers from anxious buyers. 

To illustrate this post, I could use a picture of my frustrated face, but instead, I will insert a photo that illustrates how fortunate I am to live in beautiful North Idaho!

Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.

No matter how grand or modest your real estate dreams may be, you can turn to me in confidence.  Give me a call today and let me know what I can do to be of service to you!

Janna Rankin Scharf, AB, GRI, CSP, CNS, CLHMS  208.651.9700  NorthIdahoJanna@gmail.com  

With April being Fair Housing Month, this is a good opportunity for a reminder that when it comes to selling or renting, you cannot discriminate when deciding which buyer or tenant gets your home. 

That is, if your prospective buyer or tenant belongs to certain protected classes.

The law that establishes the protected classes is found in several Congressional acts, as well as in state and local laws.

The Civil Rights Act of 1866 prohibits racial discrimination in the sale or rental of property.

Americans with Disabilities Act prohibits discrimination against people with disabilities in places of public accommodation and commercial facilities.

Equal Credit Opportunity Act makes discrimination of credit application unlawful on the basis of race, color, religion, national origin, sex, marital status, age or because all or part of applicants income comes from public assistance.

For more information about your rights and responsibilities, you can check out this article in The Coeur d'Alene Press. 

Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.

No matter how grand or modest your real estate dreams may be, you can turn to me in confidence.  Give me a call today and let me know what I can do to be of service to you!

Janna Rankin Scharf, AB, GRI, CSP, CNS, CLHMS  208.651.9700  NorthIdahoJanna@gmail.com  

I would like to pause a moment this morning to wish all of you a Happy Easter!  I am humbled and grateful and full of joy as I consider the wonder and power of the atonement and ressurection of our Lord and Savior Jesus Christ.  May you find peace in the glorious message of Easter!

Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.

No matter how grand or modest your real estate dreams may be, you can turn to me in confidence.  Give me a call today and let me know what I can do to be of service to you!

Janna Rankin Scharf, AB, GRI, CSP, CNS, CLHMS  208.651.9700  NorthIdahoJanna@gmail.com  

I only recently became aware that there was a Thankful Thursdays group on Active Rain.  Last week, I combined a Thankful Thursday with a Wordless Wednesday post, but today I am writing my very first Thankful Thursday post.  Seems only fitting to express my thanks for the first real business that has come from my association with the amazing people in the ActiveRain network.

This afternoon will be spent preparing not one, but TWO listing contracts, thanks to a referral from Brian Brumpton.  Brian is a fellow Keller Williams agent, in Boise - about eight hours to the south of me in Coeur d'Alene.  (Trivia, those of us in North Idaho can get to Seattle faster than our state capital, in 5 hours.)

I've commented on some of Brian's posts, and he has commented on some of mine, but we haven't yet had the opportunity to meet personally. 

Truly, I am so thankful for all of the knowledge, advice, good times and REAL FRIENDSHIPS I have made since I joined ActiveRain in August.  I was looking for Google juice and found SO MUCH MORE that it has BLOWN MY MIND! 

Brian - Thank you for the confidence you have placed in me with this referral.  It will be such a pleasure getting to know you better as time goes by!

Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.

No matter how grand or modest your real estate dreams may be, you can turn to me in confidence.  Give me a call today and let me know what I can do to be of service to you!

Janna Rankin Scharf, AB, GRI, CSP, CNS, CLHMS  208.651.9700  NorthIdahoJanna@gmail.com  

Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.

No matter how grand or modest your real estate dreams may be, you can turn to me in confidence.  Give me a call today and let me know what I can do to be of service to you!

Janna Rankin Scharf, AB, GRI, CSP, CNS, CLHMS  208.651.9700  NorthIdahoJanna@gmail.com