Main Line Homes Blog

Today I attended a very useful session at my local Realtor Association, Suburban West Realtors Association who have a very good web site for both consumers and Realtors. It was a mock ethics hearing basically to educate us on the process to encourage both us and our customers to use the process as well as satisfying the National Association of Realtors requirement for quadrennial ethics training.

The morning started with an overview of the Code of Ethics both the preamble and the articles. It helps to understand the preamble can be summed up with the "Golden Rule" do unto others as you want to be done unto you. also the code can be broken down into your duties to clients and customers Articles 1 through 9, Duties to the Public Articles 10 through 14 and Duties to Realtors Articles 15 through 17.

The code was adopted in 1913 and has been amended 31 times to make it current and relevant to the industry today. Several recent amendments relate to the use of the Internet which as hard as it is to believe even 10 years ago was not such a big feature as it is today.

After this revision of the Code of Ethics we looked at the process of a case. This case was based on actual events reported by the National Association of Realtors. (All names are fictitious)

I also just read today March 29th a great blog entry about this process posted from Colorado, well worth reading, it is titled Code of Ethics Q&A: How Much Responsibility Does a Complainant Really Have?

Initially a complaint has to be made to the Association and it must be in writing. This complaint is then sent to the Grievance Committee who act like a Grand Jury to see decide if there is a possibility of violation of the code of ethics. Also they look to see that the grievance has been filed in due time, 180 days from knowledge of the violation, they also consider if the Association can assemble a panel that is fair to all participants.

This case was as follows:

It basically hung on a member of the public Adele Bleeker seeing a sign on a property belonging to Carl Dean of Iliad Realtors in February 2007 and searching the website of the broker Iliad Realtors and not finding the home on the brokers website searched a little deeper and found Carl Dean the agent's website. The home was shown as available and details about the property made it appealing to Adele. She contacted a relative who was a Realtor, Jack Klinger and asked to see the property. The relative Jack called back later that day to inform Adele that it was no longer available, the listing had expired on January 31st 2007 and he had not been able to find any evidence of it selling or being re-listed.

Jack then offered to find the owner and see if they were interested in selling the property. This he did and a deal was reached. The owner was unaware the sign was still on the property and on Carl Dean's web site.

Adele brought a complaint in that the advertising on Carl Dean's website was misleading as it implied he had a listing which had clearly expired a violation of article 12-8. It was also noticed whilst on his website that he did not mention his broker anywhere on his website, a violation of Article 12-5.

There was also another aspect of the case but to keep this short I will leave that out. It basically was that Carl Dean was recommending "preferred" suppliers who he was charging a fee for links from his website without disclosing that he was receiving this fee.

Anyway after the grievance panel decides if there is a possibility of a violation they refer the case for due process and to a hearing. The Respondent is notified and given 15 days to respond to the complaint.

 Due process demands that there is 1) A Full and fair hearing. 2) The member is judged by his/her peers. 3) Everyone involved knows the charges. 4) The Realtor is entitled to prepare defense with the use of counsel or another Realtor and can bring witnesses or evidence in support of their defense.

The hearing can be anywhere from 30 mins to 3 hours. It is recorded and takes the following outline.

The Chair person introduces all present and lays out the ground rules. Witnesses are present for this introduction but must leave the room until they give evidence. The Realtors broker may attend and in some cases is required to attend.

There is a statement of the articles.

The complainant then lays out their case and can bring in witnesses to support their case, these witnesses can be cross examined by the Respondent or their broker or counsel. The complainant concludes testimony. The complainant is cross examined.

The Respondent replies and can bring witnesses and introduce evidence  to support their position. They can be cross examined by the complainant.

Both summarize their position.

Both complainant and respondent leave.

The panel then decides and rules. A written notification is sent out to all parties by mail.

20 days are given to all parties to appeal the process. If an appeal is made it is heard before the Board of Directors.

I found the morning very interesting for several reasons, one to see the actual process and know that it is fair to all parties. Secondly that knowledge lessened some of the fear of the process, I certainly do not want to have to defend my self but also feel that it is not the end of the world either and you will be listened to. I also believe it is not a hard process for the public to enter into and make a case if they are upset and want to be heard.

In summation, I will definitely read my code of ethics more regularly as it was drummed into us that most cases are ignorance rather than wilful deception. So I encourage each of you to read the code, know it and apply it, I think it will make all of us better Realtors.

Old Forge Crossing is a great community situated just south of route 202 in Chester County, Devon PA. We have listed and sold units here for sellers and also represented buyers as well. We offer very good terms to sellers in Old Forge Crossing which you can view on our website.

It is close to Valley Forge Park, King of Prussia Mall, major routes such as the PA Turnpike, and the Schulykill Expressway giving easy access to down town Philadelphia. There are lots of good restaurants, coffee shops and other shopping close by, including  a variety of supermarkets such as Acme, Genuardis, Superfresh and Trader Joe's some of which allow you to order on line and have it delivered to your home.

The club house and offices are situated in a historical building behind which is the community swimming pool, nearby are tennis courts, a duck pond, and walking trails that cover the over 40 + acres of Old Forge Crossing. The community has an office in the club house and maintenance staff who take care of repairs. The condominium fee covers a wide range including trash, gas for hot water and for dryers, outside maintenance, and snow clearance, pool fee and use of the three tennis courts on site.

Old Forge Crossing consists of one and two bedroom condominiums, some of which are more like town homes than condominiums. These homes have the largest storage I have ever seen, every where you turn there seems to be another cupboard or space for storage. Each has it's own entrance and it's own laundry area inside the unit. no having to take quarters with you to the laundry here. Many overlook tranquil courtyards, quiet spaces where you can sit sheltered by the shade of a tree.

Recent sales of 1 bed units, which often come with a fireplace and or a den have been between $165,000 and $175,000 depending on location, how updated the kitchens or bathrooms have been and exactly what the unit contains. @ bed units have ranged from $197,000 to $223,000 depending as above on features of the unit, town home style units generally bring higher prices. For more information on recent listings feel free to view the Old Forge Crossing page on our website.

Every year a good indication that spring is truly underway is the arrival of the Philadelphia Antique Shows. We have two good shows on the same weekend in April about a month away. So start planning now, many visitors come from out of town to see these shows so don't miss your opportunity to see some of the finest antiques available for purchase.

The main show is The Philadelphia Antique Show held at the 33rd St Armory between April 14th to 17th, this benefits the Universtiy of Pennsylvania Health System and has some of the leading dealers in the country exhibitng, including I have to admit my own brother Paul, who deals in ceramics and furniture and Woolies, art made by sailors with wool of ships, you can view his web site at Paul Vandekar Antiques if you want to see more of his invetory.

The show will also have a loan exhibit of Philadelphia Empire Furniture.

The loan exhibit is a feature of the show and over the years they have had some excellent and interesting exhibits. Prices for the dealers  exhibts are definitely high end with many of the pieces being of museum quality however even with a high end price they may still be good value, just as in real estate. One of the Keno twins Leigh will be exhibitng as well. For a full list of exhibitors and hours go to the show website at Philadelphia Antique Show and support the hospital and the dealers with a visit. Don't forget to say hi to my brother.

The other show in town the same weekend is the 23rd St Armory Show, hosted by Barnstar Productions and the dates are April 13th to the 15th, again you can access their web page at 23rd St Armory Show, to check prices and hours, this show will also have a loan exhibit Celebrating the Garden, Form Function Fabulous curated by Aileen Manor of Maryland.

This show is smaller then the 33rd street armory show, and prices can be more reasonable, but not always.

Enjoy the shows and hopefully the Spring weather, and take time to see our glorious city and enjoy it as well.

I discovered this web site over the weekend. I tried it on my own home and it seemed fairly accurate. But obviously you have to be your own judge. It has been going a little while, Zillow when it first launched was inaccurate and it has steadily got better, this might also have improved.

The site is http://www.rentometer.com/, just enter an address and a rental amount and it gives you a range of the lows and highs in the area and the median.

This would seem a useful site for landlords and renters as well. Hope it helps. If it is accurate for your area you may want to post a link on your web site.

An article in the Local Daily News pointed out that Paoli is working to be pedestrian friendly. The Tredyffrin Board of Supervisors held a public hearing to consider adopting changes to the zoning ordinances aimed at turning Paoli into more of a town center. Supervisors propose creating two zoning districts known as the Transit District and the Town Center District. Both of these districts will encourage high-density residential/commercial development and could include a parking garage and streetscape improvements. The supervisors will review the zoning again in May.

This adds to the overall plan that Tredyffrin and Willistown have for Paoli that includes redevelopment of the Paoli Station which will include homes and offices as well as a new station.

Just west of Paoli O'Neill properties is developing a "Town Center" on the old Worthington Steel plant location, just south of Route 202, but obviously town centers built around actual towns is much better and anything that is pedestrian friendly can only help everyone, from kids to seniors as we are encouraged to walk rather than drive.

These developments will also add to the townships tax coffers as businesses and more residential homes are built helping property taxes for older homes and seniors possibly remain at their current levels or even be lowered.

The linked article was written by E. A. "Sandy" Dixon, Jr. Esquire on Mechanic's Lien Law for the Pennsylvania Bar Association Quarterly; Sandy is a member of the Realtor Lawyer Council of Suburban West Realtors Association.

It may give you too much information, but it is very useful.

 Pennsylvania Bar Association Article

Hope this helps clarify the situation. At our last meeting, it was stated that some adjustments are being made to the law to rectify the situation created, that Title Insurance is not being issued covering Machanics Liens, and these are not being opposed by the proponents of the original bill. As more infomration becomes available I will post updates.

I was just reading the post by Debbie Malone about her husband falling off the roof and it brought to mind all the times "things" have happened to me.

We moved here from the UK almost 17 years ago, no sooner did we arrive than my business went belly up and being here on an entrepreneur visa, getting a job was not an option. We were only allowed to work for ourselves, and the idea was that we would provide jobs for others. Well in the midst of all this there were several times we did not carry health insurance, it was just to expensive and paying the mortgage was more important, or so I thought. Of course all these events happened when we did not have insurance coverage.

The first "Thing" was the kids had a skiing day with their elementary school on a slope not far from home, so we decided to go, I have not skied for a long time but thought like a bike once you know how to do it, it will come back. Well after a little time on the learner slope I thought I was ready. Trudy reminded me to be careful, she was not skiing but sitting in the lodge. After almost getting killed getting off the ski lift, I'd forgotten just how complicated it is getting the skis lined up and holding your poles but managed after throwing myself flat on the ground so I could keep my head and draggin myslef out of the line of the lifts to get to my feet. My first run was a gentle exhilirating experience, absolutely on the edge of no control the whole way. Feeling I was getting the hang of this I mounted the lift once again and managed to exit somewhat more gracefully this time. However the descent became a nightmare. I was crossing a junction in the trail and got cut up by some faster skiers and ended up flipping and landed on my shoulder.

So I am lying there and can feel my shoulder is not right, parts are moving that should not be moving. As I am lying there, some friends come up and ask if I am OK, pride gets the better of me, maybe it was lunacy and I say I am just winded. Well when they have skied down and come upon me again still lying there they realize something is not right. so they get the ski patrol and I get taken down all the time thinking it might be better if God would just take me now as opposed to facing my wife's wrath. Anyway I had separated my shoulder, and with a massive snowstorm coming in we had to drive to a hospital. We skidded off the road up a slip road once on the way and then made it there. After waiting hours to get seen, the wiper blades had stuck to the windscreen and burnt out when we started the engine. We of course coming from England were not used to this type of winter weather. We drove home the rest of the way leaning out wiping the windscreen so we could see. I eventually healed without surgery, but it still sticks up on one side.

The second "thing" was falling off a ladder and breaking my back, well fracturing two verterbrae, but that was also amazing that I did nothing more. I had the ladder against the house on the driveway and it just slipped out, as I fell I tried to relax and miraculously my feet landed between the rungs, I tried to give with my legs but just not enough. Again I am lying there calling for help, but as the children were home Trudy thought it was just the kids yelling. Eventually she came and found me and tried to help me up but I could not get up, so we ended up calling an ambulance, but it could have been much worse after other stories I heard of people falling off ladders.

 I think a lot of my problem is that although I am now a little older, my image of myself is several years younger but my body does not agree. Other old injuries are a fracture to my neck playing rugby when I was sixteen, both knees have had cartiledge ops, and last year I broke my nose playing softball, forgot you cannot take your eye off that ball...anyway still believe that this body is capable of some feats before it is time to check out.

And yes, even after 25 years of marriage I still find it hard to listen to my wife to be careful, if I did that life would probably be a lot easier.

I have spent the last couple of days visiting Harrisburg for a Government Affairs Seminar sponsored by the state association, PAR. I found it very interesting and intend to post some blogs over the next few days on different issues. However, what had motivated me to go and become more involved was the constant news that State Government was considering increasing the Realty Transfer Tax.

Whilst it is not in Governor Rendell's Budget, it is in three counter proposals in varying degrees, but these also allow local municipalities to also increase the tax as well.

We met with several Representatives and Senators to put our point accross which is

• The PA Realty Transfer Tax is already one of the highest in the country, only Delaware, the District of Columbia, New Hampshire and Washington state are higher.
• The PA Realty Transfer Tax exceeds that of 6 of our neighboring states.
• The transfer tax has a very narrow base because it is a tax on a single item, the value of property when ownership is transferred from one party to another.
• The transfer tax is regressive and fails to take account for the fact that lower income home owners spend a higher percentage of their income on housing than do higher income households.
• The transfer tax is highly volatile and dependant upon market conditions, just in quarter 3 for 2006 under the current rate tax income fell by about $23 million as the market declined.
• Transfer tax is a barrier to home ownership.

 I also feel an increase will make the state less apppealing to businesses that recruit executives or transfer executives here for short periods of say three to five years. Another point raised today is that a raise will affect the passing on of farms to children as the property is more highly taxed.

Please make your voice heard, write to your representative to not allow any increase in the Realty Transfer Tax and to look for broader based tax alternatives.

Yes, you read that headline correctly, but there are some key provisions according to the Pennsylvania Association of Realtors, so read on.

Firstly the idea is to help those most unable to buy a home and give them some relief from 80-20 mortgages to avoid PMI.

Key Provisions:

• Applies only to mortgage insurance policies issued in 2007
• Does not apply to premium payments for policies issued in prior years
• Applies to private mortgage insurance and to FHA, VA and Rural Housing premiums. The premiums will be treated as mortgage interest.
• Is available only to individuals or families with less than $100,000 adjusted gross income on a joint or single tax return ($50,000 for married filing seprate returns)
• The provision phases out by 10% for each $1,000 of income over $100,000 ($50,000 for married filing seperately). Therefore there is n o deduction for individuals or families with incomes over $110,000 ($55,000 for marrieds filing seperately).
• Individuals who claim the deduction are not allowed to pre-pay the premium that are otherwise due after 2007. The provision expires for any premium payment that is paid or that accrues after December 31st 2007.
• If a mortgage (other than a VA, FHA or RHA mortgage) is pre-paid during 2007, the unammortized premium balance on that mortgage is not deductible. (The unamortized premium balance is the amount of the premium that would have been paid in a particular year if the payments had extended throughout that year)
• The homeowner will receive a statement from either the lender or the mortgage insurance provider stating the proper amount of the deduction. That information will also be provided to the IRS.
• The deduction will not be available if an exisiting mortgage is refinanced in 2007 for an amount larger than the amount being refinanced.

Hope this helps you, any comments from mortgage brokers or bankers to clarify or comment gladly accepted...

We all hear these wonderful predictions about the market and the economy. I attended an event yesterday where John Tucillo a renowned economist and speaker was talking and just wanted to share some of the highlights.

He started off with some comments on economic forecasters - don't believe them examine the facts for your self as these are just their opinions. What we should be looking at is  1) How worried about inflation is the Fed? 2) Will the falling dollar push up interest rates, shave the trade deficit or both? 3) How will consumers react to the repricing of adjustable mortgages? 4) Will the populists in Congress shut off world trade? 5) Will foreign investors maintain their appetite for american paper?

Much has been written about the state of the real estate market in the last year, many have been speaking about the death of the market, but remember 2006 was the 3rd best year for real estate on record. There have been 10 years of growth and the market like the sock market has taken a breather and will now resume, maybe at a slower pace but we can look forward to continued growth.

Remember there is not ONE market for real estate, there are thousands, each one is local and is determined by what is happening in the local market. if fundementals are strong, like population and job growth the market will grow. There are more people looking and we are noticing a lot more consumers looking for homes.

So don't think the ball is entirely in the buyers court.