RED FLAGS GALORE...AND NO ONE NOTICED.

•the electrical cable was supported from a shed to the house by a tree...doesn't seem quite right
•the buyer purchased her next door neighbors house directly...and thought she was getting a deal
•the buyer was an insurance agent and held her real estate license...a presumption of knowledge
•the purchased home was built without any permits whatsoever...like zero, nil, zip
•the normal sales process typically includes a home inspection and extensive disclosures...this one couldn't have
•the seller was a real estate agent... which was not disclosed
•it was evident that there were 2 large air ducts resting on a metal roof to a backyard walkway, exposed...hmmmm
•rather than the required 1500 gallon septic tank, this house has a 500 gallon septic tank...an inspection would have revealed this
•there is no electrical meter....really...no one noticed?


This is an actual situation making the news in Placer County, California. The buyer of this house is suing the seller because it is quite possibly a tear-down. But, I just have to ask, which red flag did you not see???? My word, there were real estate agents on both ends and the buyer was an insurance salesperson. There are no excuses...they both should have known better.

When a professional Realtor is hired, they have knowledge and experience. It is automatic...hire a professional home inspector and thorough complete and review disclosures. I have to believe that neither one of these things were done. I have no empathy for the buyer. She cut corners and is now paying the price. The courts are probably going to say the same thing...she should have known better.

The only good news coming out of this is that I now have another story to tell the public as to why it is so important to hire a Realtor and to check their references. If this licensee had done this, she wouldn't be in this situation now. She would have backed out of the deal and saved herself a lot of grief...not to mention the $295,000 she paid for the house!

IT'S OKAY TO WRITE AN OFFER...REALLY!

This will be brief, but worth sharing.

Tuesday night I met with some first time home buyers to chat about their dreams, their plans and the home buying process. I let them in on a few expectations without overwhelming them. They are excited and eager to start the process. One thing I always share with first time home buyers is this:

"You are going to have friends and family tell you not to buy the first house you see. Their intentions are good. However, I am going to show you the best houses out there on our first trip. You will be seeing the cream of the crop on your first outing. So, don't be surprised if you fall in love with one of the first houses you see. If you do, it is okay to write an offer."

Tonight, I brought them out for their first outing. Guess what? The third house was a winner. What was the first question they asked me? "Should we look at more houses since this is the first outing?"

It was so easy to remind them of our earlier conversation. If I had done it after they had seen it, they would have thought either I was eager for a commission or was pressuring them to buy quickly. As it stood, it was just a reminder of a previous conversation.

It's all about preparation and letting them know it is okay to do what THEY want.