2013 was quite a year for many real estate professionals and I was fortunate enough to be among the success stories. However, my story is a bit unique because the year's market rebound coincided with the dramatic growth new Realtors can expect in their fourth year in business as long as they laid serious groundwork in the first three years.
But this post is not about me. This post is meant to inspire others who may be thinking about starting a new career or a new business venture. There is no doubt the unchartered waters are bumpy and, at times, even frightening, but the payoff of making your dream come true is truly worth it. Two of the transactions I completed in 2013 and a new client I am currently working with, were a direct result of nurturing a relationship over a long period of time and serves as a great example of how perseverance can have quite a nice pay day.
The 2013 transactions were with a couple I met in the Spring of 2010 at an open house I hosted in Maplewood. I was only in the business a few months, the market was in a downward spiral and I hadn't made a dollar in my new venture. To say I was second guessing my new career choice is quite an understatement. I hosted open houses almost every weekend for months, in the hopes of capturing new buyers. To date the strategy hadn't been successful. On this particular Sunday, the open house was well attended, but most people who came were either already working with a real estate agent or were just out on a nice day and happened to stop by when they saw the sign.
And then Tolan, his daughter and Diana entered the home. They looked around for a while and I could sense they really liked it. I engaged them in a conversation about their long term real estate goals and they explained they owned a condo that they were renovating themselves and planned to sell when it was complete. The profit from the sale would be the down payment to purchase their first house. Though they had very long term plans, they were very forthcoming and I made a judgment that these were solid, honest people and I'd stick with them over the long haul.
So, I followed up with them and made a date to see their condo in progress. It was in an amazing location, just a few blocks to downtown Maplewood and the Midtown Direct train line.
Upon entering their 2 bedroom / 2 bath apartment, I was super impressed with the work they had done, but was equally surprised to see how much more remained. We discussed the investment they had made, the additional renovation costs they planned to incur and the potential sale price for the unit.
I stayed in touch with them over the next three years with phone calls, mailings, e-newsletters, Maplewood market updates and the occasional visit. By now, it was the beginning of 2013, the market had made a turn and prices were rising. Maplewood/South Orange, in particular, were very much in demand. So when I got the call from Tolan saying they were ready, I was extremely optimistic.
It wasn't until July 2013 that the final details of the updates were complete and together we prepped the unit for its market debut by staging it, removing all personal accessories and re-arranging the furniture to create a more open floor plan. When we were done it looked amazing (see slide show)!
After much discussion, they decided they wanted to price the apartment approximately 40% higher than any sale price in the building in the last five years. But, over the last 3 years the building itself had undergone a renovation as well (see pictures of new bike room, renovated outdoor pool and new gym) and it would be the first completely renovated unit to list since. If successful, we would be setting a new pricing bar for all the units in the building.
In the latter part of August (a pretty dead time in real estate), after shooting still photos (see pictures) , a video home tour (see it here), a custom website, and a brochure we put the apartment on the market. I was very concerned that the price was too high. But, my concern was unwarranted. Three days later we had a full price offer in hand from a qualified buyer and closed 6 weeks later. Since then prices in the building have skyrocketed.
Inspiring story right? But that's not the end. While they netted a great profit, home prices in South Orange and Maplewood were rising as well so they were now going to get less value on the buying end of their transaction. This became a major disappointment as we ratcheted up the house search. Diana and Tolan went to open houses every Sunday in Maplewood and South Orange and we previewed all together about 15 homes. We made offers on 2 properties that had multiple bids and lost both. Their frustration was mounting and the pressure was on.
Then Diana suggested we expand our search to include West Orange where prices are a bit lower and buyers generally get more value for their money. And that's exactly where we found a jewel of a house that had just come back on the market. A spacious 3 bedroom, 2.5 bath colonial in great shape, brand new kitchen (of course with granite counter tops), newly refinished hardwood floors throughout, great architectural detail and one of Tolan's must haves - a fireplace in the living room. And indeed we closed on December 23, 2013... just three and a half years after we first met.
Tolan and Diana mean a lot more to me than just being customers. This was a true partnership and we were able to successfully work together to realize their dreams. They also referred me to another home buyer I am currently working with who is every bit as solid as they are.
My judgement about Tolan and Diana 3 1/2 years ago, and the ensuing rapport we developed, led to 2 closed transactions and an additional one in the works. And who knows what other opportunities may come of it? On a visceral level, the day I met Tolan and Diana I immediately felt they were genuine and would be loyal.
For those thinking of a new business venture (or any type of venture) I hope my story shows how incredibly important it is to stay focused -- even when the odds are against you. And always trust your instincts. Tolan and Diana are already talking about making some improvements to their new home with the intention of flipping it in a few years. While West Orange is home for now, they really want to get back to South Orange/Maplewood.
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Amy Harris Real Estate (917) 327-0701
E: amy.harris@cbmoves.com
