From 16,000 Houses Down to . . . a Dozen or So “Before you’re addicted to heroin, you have lots of worries; after you’re addicted . . . you just have one.” –George Carlin on the “virtue” of being a heroin addict. “I’m not in favor of abolishing the government. I just want to shrink it...Read More
The Value of Contrary Information About all I remember from my one college statistics course is something called “the coefficient of correlation.” Ranging from “+1” to “-1,” it indicates how predictive/associated one variable is with another. Which leads to some counterintuitive insights. Such as (as the Statistics professor noted), if you’re picking investment advisors, the ideal is someone whose stock picks are always right...Read More
Handling an estate sale, depending on the circumstances, can be (very) hard for Realtors. That’s especially true if they are close to the family. But, at least one part is easy: setting a price on the home’s value as of the date the former owner (“decedent”) passed away. The heirs typically need that value for...Read More
Seller Misconceptions “Sunk Cost”: a retrospective (past) cost that has already been incurred and cannot be recovered. –Wikipedia What Sellers paid for their home — and how much they subsequently put into it (for improvements, updates, etc.) — are important psychologically.* And, depending on how much the would-be Seller currently owes on their home, the sum of their cost + improvements...Read More
The Role of the BPO (“Broker Price Opinion”) When someone owes $250k on a home currently worth $200k, arguably they no longer own the home . . . their bank does (or, at the very least, the bank calls the shots). So, it would seem smart to find out what the bank is willing to sell...Read More
Crossing (Appraisal) Bridges When You Come to Them With housing prices now rising in most markets nationally, the risk of homes not appraising is generally receding. But, the risk still isn’t zero. Even so, it’s usually unwise — even if it’s possible — for the Buyer and Seller to address in the Purchase Agreement or...Read More
