Elizabeth Weintraub

Elizabeth Weintraub

40+ years of experience in real estate, Sacramento real estate broker working at Lyon Real Estate in Midtown Sacramento. Author of The Short Sale Savior. Home Buying Expert at The Balance. Top Producer, ranks in the top 1% of all real estate agents in Sacramento Region. Life Member of Master's Club awarded by Sacramento Association of REALTORS.

Flippers Rule in Some Sacramento Markets

Sacramento RealtorJune is shaping up to be a pretty good month for my real estate closings. I’ll probably have more sales close in June than any other month this year. I just closed a regular home sale in Curtis Park. This was a beautiful brick home in the St. Francis Oaks subdivision. Everybody who saw the home said pretty much the same thing about it: it was gorgeous but it wasn’t updated enough for their tastes. So, it sold to a flipper. I am seeing many homes in Sacramento sell to flippers nowadays, which is a stark contrast to 5 years ago.

It’s a challenge to negotiate between the two parties, to give a flipper enough room for a profit and to give a seller enough money to make the seller happy. But that’s a challenge I tackle day-in and day-out. My seller’s happiness and satisfying my seller’s goals is paramount to me.

It’s rare to sell a home in Sacramento over $300K without updates to a first-time home buyer. Like I’ve said many times, it’s the Sacramento flippers who originally focused on foreclosures who are to blame for the changed attitude of today’s buyers. There are tons and tons of rehabbed homes that have been resold. I’m not saying there is anything wrong with it because flippers have taken older, abandoned homes in disrepair and turned them into turnkey homes for first-time home buyers. That’s a good thing.

Sacramento flippers are actually good for neighborhoods. They revitalize downtrodden areas. Goodbye boarded-up homes, hello sparkling new stucco and shiny gutters. But they also shape buyer’s expectations, often unrealistically.

It’s no longer enough to buy a home with good bones and potential. Buyers don’t want those homes. Not when they are tempted by all the rehabbed inventory on the market. So the only surefire way to move homes without updates, which are now called fixers, is to sell them at a discount to compensate. The problem that arises for sellers who want to fix up their own homes is a seller cannot compete with a flipper. Because the average seller can’t buy materials at wholesale, nor do most ordinary sellers have access to low-cost rehab crews.

If a seller improves a home for resale, the seller is quite likely to lose money on the sale. A seller doesn’t generally enjoy the profit margins that flippers possess. So, that means the homes that need updates are more often than not sold to flippers.

Last year my database held very few flippers. Not so today.

Should Sacramento Home Sellers Give Early Possession to Buyers?

pica the cat and early possession

My cat, Pica, has a one-track mind when it comes to communicating what he wants. His focus is crystal clear, because he asks for only one thing. It’s never food nor treats nor pets nor playtime that he begs for, perhaps because those requests are often ignored, especially when I am working, which is most of the day for at least 5 days a week. The one thing that he truly wants above all else in life is to go outside, and that’s the one thing he cannot do. Fortunately, he is not traumatized by his inability to access the forbidden and, after I acknowledge his efforts, he will realize defeat and go roll happily in a sunny spot.

The funny part is if he does slink outside, soon as he is outside he wants to come back inside. After he gets what he thinks he wants, he doesn’t want it anymore. I don’t want him stolen or lost or runover by a car or beat up by skunks, so he stays in the house. We once let him out on our back steps, where we could supervise, but he stooped to give a ride to those hitchhiking fleas with their little flea thumbs stuck out — which quickly spread throughout the house and to our other 2 cats. That’s when the law was laid down — no outside. Ever. Period. End of Story.

There are some things in life that are just not a good idea to do. Like sticking a fork in an electrical outlet to see what happens or giving a home buyer early possession.

An agent called last week to ask if her buyers could have early possession of a home, prior to closing. This particular home is a Bank of America FHA short sale, which means it will take a long time to get approval, even after receipt of the Approval to Participate. The tenants moved out, the home is empty, and the buyers would like to move in and rent back from the seller.

Apart from the fact there can be no agreements between the parties that are not disclosed to the bank, and apart from the fact the seller cannot make a profit in a short sale, early buyer possession is a bad idea. I’ve been in this business almost 40 years, and there is rarely a benefit to early possession for the seller. There is liability, tons of it, and there is also the possibility the buyer might decide after moving in that the home, for whatever reason, that the home is not to the buyer’s liking.

When I represent the seller, the time we want a buyer to realize that maybe the purchase was not right is after the transaction has closed, and the buyer’s feet are up on the coffee table in front of the television in the living room of the home that now belongs 100%, hook, line and sinker, to the buyer.

If you’re interested in finding out how much your home is worth today, call your Sacramento real estate agent, Elizabeth Weintraub, at 916.233.6759.

How to Attend a Funeral

CasketOne type of social function I have not attended in recent years has been a funeral. It’s not that I’ve been too busy selling real estate in Sacramento to notice when a friend has died, like I’m certain some agents who close fewer transactions than I might use as an explanation. Oh, she’s just too busy to come cry over you, I can hear them whispering to the person inside the coffin. “There’s always something about about your success,” Mark Twain once noted, “that displeases even your best friends.” It’s more that the people who are the survivors don’t seem to be holding as many funerals as they once did.

It could be that the grieving population in general are moving toward a preference for private affairs to pay respect to the deceased. They don’t want to share their grief with everybody and the guy and his dog down the street, not when we have Facebook. Although, when my neighbor’s husband died, practically the entire membership of the West Sacramento Sikh temple showed up at her home, dressed in white, to sob with the widow. All the men went into the back yard to shoot the breeze, and the women pushed back the furniture in the living room, and sat on the floor to openly cry, sob very loudly and grieve. It was beautiful. Why can’t we be as expressive and supportive in times of death like that? Instead, we are supposed to be strong and, for the record, that’s about the dumbest thing I ever heard.

You see, years ago, I decided that I should prepare myself for funerals. This was way before I had written a parody about the affidavit of death. I knew nothing about funeral etiquette, primarily because I had never been to a funeral. I was in my 40s, and I had never gone to a funeral, the reasons for which escape me. I called my best friend at the time, Tammy, and I asked her if she would teach me how to attend a funeral. It was a social skill I figured I better learn, for if nothing else, I would be soon reaching an age at which I better know what to do because, let’s face it, my friends were no spring chickens anymore.

Contrary to what I thought, one does not receive an invitation to a funeral. There is no engraved invitation that reads: Mr. and Mrs. So and So requests your presence at the bereavement service for their son, Mr. So What. Nope, you either read about the death in the newspaper or a friend or relative calls you. Since none of my friends were dying any time soon, I picked up the newspaper and circled a few obscure funerals to attend. See, this is one important thing that still needs to be published in a newspaper. The death notice and obituary section.

My husband, having been a newspaper journalist for all of his life and except for the occasional freelance piece now and then after he was let go, is still a darned good, although unemployed, newspaper journalist, says a death notice and an obituary are not the same thing, and people tend to mix them up all the time. A death notice is a paid advertisement. An obituary is a news story. The Minneapolis Star Tribune ran an obituary on my mother when she died. I cannot imagine having to call sons and daughters whose parents have just kicked the bucket to talk with them about their parents. That job must go to the low woman or man on the totem pole.

I didn’t have any script drawn up. I’m amazed my mother didn’t write one herself. She was that kind of person. In fact, I should probably write my own death notice and get cranking on it. Newspapers have obituaries on file, already written, about many celebrities, just waiting for the celebrities to up and croak.

But enough about obituaries and death notices and on to the event you’ve been waiting for: the funeral. I can share some things with you that I learned about attending funerals of people I do not know. You might think this is a given and everybody knows this, but make sure you bring plenty of Kleenex. Yes, Kleenex is a registered name, unlike, say, toilet paper. Under no circumstances should you bring toilet paper, unless you bring enough for everybody and the funeral is held at a Tractor Pull event.

You should sign the guest register before entering the church. Most funerals will be held at a church. Even if you are not the least bit religious, perhaps you’re an atheist or maybe a Presbyterian, you should still do everything that everybody else does. If they stand, you stand; if they kneel, you kneel. If they sing, you sing, but not very loudly. And it’s absolutely OK to cry, even if you don’t know the person. Just don’t make a spectacle out of yourself. Go easy on the eye makeup, even if you’re Gene Simmons. And you don’t have to wear black, but it’s uncool to show up in a neon mini-skirt and six-inch heels.

This information could come in handy some day, and I am very happy to provide it to you. You never know when it might crop up. People die all the time, even during real estate transactions. I’ve been fairly fortunate in that no sellers have ever died on me during escrow. But just the other day, a client for whom I had negotiated and sold her short sale a few years ago contacted me. She said I probably would not remember her, but she remembered me, and her 2 years were up, and she wanted to buy another home. She asked if I would represent her as a buyer, which I am more than happy to do. To help me remember who she was, she said her escrow was the one in which the buyer had died because the short sale took so long to close.

Well, that could cover a lot of short sales in Sacramento.

Choosing a Sacramento Real Estate Agent in the Top 10%

agent in the top 10%My relationship with Google is that of love and hate. It’s a necessary evil. When Google says Do No Evil, I wonder why they don’t talk to themselves about it. Isn’t world domination in itself sort of an evil goal? Don’t they ever watch 007 movies? On the other hand, Google delivers my products and services to the world.

It’s difficult to put a real estate term into Google and not find one of my articles about real estate. Ditto for a real estate phrase. I continue to write because there is always something to write about, and Google loves me for it, even if the feeling isn’t exactly reciprocal.

Many of my clients find me through Google. They land on my homepage, and when they get here, I want them to feel like I am person to them. Because I am a person. I’m not your cookie-cutter Sacramento real estate agent, either. I believe I’m different. I strive for quality and customer service. My title and escrow background is of an enormous benefit to my clients because I can provide an added benefit that almost no other agent can. Moreover, I offer strategy and analysis. You’ll be amazed at what I can tell you about a property just by looking at the public records.

When clients see all real estate agents as cut from the same mold and being identical, I think they should ask themselves what makes the Top 10% the Top 10%? And then choose an agent in the Top 10%. Because the Top 10% are the agents doing business hand-over-fist. The more experience your agent has acquired over the years, the better for you.

The Waiting Period for Multiple Offers in Sacramento

3-lockboxes-sacramento-300x225How many purchase offers does it take to sell a home in Sacramento these days? Maybe a better way to put it is how many days should a seller wait to accept an offer after receiving the first purchase offer?

An agent in San Jose called Thursday afternoon about a listing in Elk Grove that went on the market on Monday. I informed her the home was pending. Wha? She was shocked. She stuttered, “Bu bu bu but, it was ONLY three days — THREE days!!” What can I say? Indeed, some agents have been sleeping under a rock. Another agent called to say her clients had finally looked at the home Wednesday night and went home to sleep on it. When they woke up Thursday morning, they decided they would like to make an offer. Except now the home is pending. How is this my fault, I want to know?

If a person is seriously searching for a home to buy, that person receives listings directly from MLS through their Sacramento real estate agent, and they study those listings every single day. Buyers can opt to receive listings more often than once a day as well. Then, when they find a home, they need to be Johnny-on-the-Spot, run over, inspect and write.

The problem with most purchase offers is the offer itself is good for only 72 hours. So, if a seller receives an offer on Monday, to keep the offer alive, a seller needs to respond by Thursday, typically by 5 PM. Although, few homebuyers want to wait 3 whole days for an answer. It makes them antsy and agitated. I mean, what if it was you? Would you want to wait 3 days for an answer?

Usually the first day or two, offers come in from buyers who have not viewed the home. Many of these types of buyers are investors, with the bulk hailing from the Bay area. These people are hopeful that if they are the first offer, they will get the home, and that’s not really how it works. If the buyers haven’t seen the home, their offer does not hold as much validity as the offers that arrive on Day #3 and Day #4. After a while, all of the offers are about the same. There will most likely be a lot of cash offers.

Is it worth your time to write an offer on Day 4 when the seller has multiple offers? Depends. What do you have to offer that hasn’t already been offered? It should probably be cash or at least over 20% down conventional, in this market. Because the seller doesn’t really need 50 offers. The seller needs the offer that is the best and the offer that will work for the seller.

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