January 2007

Ah, the start of another New Year - seems like a good time to think about perception versus reality! The perception is that last year, 2006, was a less than favorable year for real estate. I beg to differ. The year when compared to 2005 was in fact down a bit. However, we've got to remember that 05' was a RECORD year….anything less is going to be down just a bit. My spin is that the news media did a bang up job of painting a less than favorable picture and contributing to the perception that things are just not good for the buying and selling public and subsequently for REALTORS. The reality is that overall figures in terms of sales made, dollar volume, average sales price and days on market were not too far off of the numbers in 2005. I believe, and it is my opinion based on over 30 years in the industry, that the excess inventory currently on the market is a result of 2005 being a really good year and that some sellers were drawn into the notion of selling and making buku bucks in the process. Perhaps, some of our REALTOR members perpetuated the notion as well. So, here we have it…..plenty of inventory to sell, and make no mistake about it, the inventory will sell. For buyers, this is an outstanding time to get into the marketplace with plenty to choose from, very low interest rates and an economy that this writer does not believe to be as bad as some may make it out to be. There are jobs being created, although they don't make the front page news like plant closings and jobs leaving the area do. There is an overall quality of life in West Michigan that is extremely hard to beat, there are second-home opportunities in abundance, and in terms of principal residences, property taxes are quite reasonable. Don't believe me? Check it out by investigating the typical property taxes paid on similarly priced homes in virtually every other part of the country. No, I'm not saying our area offers the lowest taxes but they are a bargain in relation to countless other parts of the country. I know, I've lived in other parts of the country and have friends and family in other parts of the country and yesiree we have a bargain here that often is taken for granted.
Then we have the REALTOR members of our outstanding Association. Some of 'our own' take things for granted. WMLAR is the 'bargain along the lakeshore' as I see it by offering REALTORS far and away the most and the best professional programs and services and at the best price. Our industry has in many ways has been too easy to enter and too easy to remain in. Perhaps 07' will result in the raising of standards to enter the profession. Time will tell, but Michigan needs to raise the entry level requirements, as the leadership team of our Association, and I, see it. Then, once in the business, REALTORS must understand that hard work pays off. Sounds simple, but the unfortunate reality is that may entered our great industry with illusions of grandeur and the thought that it's a quick way to riches. Things couldn't be further from the truth. It takes time to build a reputation and to generate business - several years as I see it. So, as we enter into the first quarter of 2007, I see great opportunities waiting to be had for Buyers, Sellers must be competitive and realistic in terms of pricing and condition of property to be sold, and REALTORS need to understand that hard work, determination and stick-to-it-ivness will pay off. WMLAR has a new Public Relations Campaign off and running called, "West Michigan - A Great Place To Call Home!" and a brand new Open House Website soon to be launched (or possibly already up and running) that will assist the public and REALTORS alike in 2007. My gut feeling is that it's going to be a fine year and I remain quite optimistic. Best Wishes to all!