Archive for May, 2008
Databases Coming Out the Wazoo?
Call this a geeky rant. Call it a blonde tirade. Call it what you want, but I just don’t know what to do about diverse databases.
I think I have them coming out the Wazoo.
If you came here seeking luxury news, you may want to click away and come back tomorrow. Right now, I am trying to sort out a database problem that honestly keeps me awake at night.
You see, I have been collecting names, addresses, email addresses and property preferences from people for centuries. And if there were a way my databases of information could talk to each other, I could be the supreme Yentl of real estate in Southern California–or the whole world.
My problem? SOAR Solutions, which for years reliably sent property information to hundreds of clients, was sold to HouseValues, who ostensibly does the same thing but charges a king’s ransom to do so. At the same time, clients who signed into SearchPoint with my ancient Realigent site, are listed there and are also receiving property updates from me.
Then there was Top Producer, which held all the contact information for existing clients–along with their birthdays and wine preferences. And now I have an account with 1ParkPlace, which also sends out listing information to clients and maintains another database.
The real problem?
None of these databases talk to one another–and I think it’s a deliberate conspiracy, HouseValues will release only the client’s name, address, telephone and email address. Forget about search parameters. They hold that information hostage and continue to charge me out the yingyang for the privilege of doing so. I would like to migrate this information to 1ParkPlace, but no can do.
Guess those tasks will have to be done one by one, keystroke by keystroke.
Then there’s the database sitting over at Realigent that is fully 8 years old. Many of these searchers have been with me since the last century. Those, too, will have to be migrated one by one, keystroke by keystroke.
The problem could probably be solved if I were an enterprise level business doing gazillions of transactions per day. If that were the case, I would just call the database gurus at ANTs Software and they could use their cool plugin and make databases like Oracle, IBM, Sybase and Microsoft relate, talk and migrate to one or the other. The Ants Compatibility Server (ACS), fortunately and unfortunately, is whizbang technology for the big guys and ANTs will probably rule the world of databases some day, but are of little help to me now.
In the meantime, I think someone could make a modest royal ransom if they could solve the Realtor’s dilemma with databases and set us free from those vendors who hold us hostage. If software could be written that would encompass not only basic information, but also our real estate client’s search parameters and wine preferences, the world’s real estate crisis might be solved.
And just for grins, remember this classic Super Bowl 2000 Commercial?
read comments (2)It appears that even the luxury real estate market will not fully escape the financial ravages that are taking down less-expensive neighborhoods.
Housing Wire asks: Has REO gone jumbo? To find out, they consulted with Integrated Asset Services, LLC in Colorado to see if foreclosures are moving up the real estate food chain. And though not all properties with loans in excess of the the conforming $417,000 are luxury homes, it appears that an increasing number of residences in that loftier lending arena are heading to short sale or foreclosure. In California, for example, IAS and Housing Wire saw 102 REO’s sell for more than $417,000 during April, compared to just 13 in April, 2007.
Anecdotally, we have seen a spike this past year in San Diego luxury homes that are closing as short sales (where more is owed on the property than what it is worth), or which end up as foreclosures and REO’s (real estate owned bank properties). We have also seen that it takes lenders far longer to reach an agreeable sales price compared to smaller loans–and that may be understandable.
On one hand, more money is at stake and greater care must be taken in reaching a fair valuation; on the other, carrying costs (taxes, insurance, maintenance, security and HOA fees) run far higher than ordinary REO’s. And that those are bills most lenders and services do not want to shoulder.
In a recent transaction in coastal Encinitas Ranch, Washington Mutual required two appraisals and took almost four months processing time before reaching an agreed-upon sales price. And during that time, foreclosure sale was delayed twice. The original loan amount was $1.2 million and the final sales price was $880,000. It was a major hit for the lender/investor , but costs would surely have been greater if this Encinitas home had gone to foreclosure.
We are currently involved with two other sellers who have loans exceeding $1 million and whose custom homes could end up as foreclosures if Countrywide and First Franklin investors cannot come up with pricing that reflects current San Diego market realities. Neither home is coastal (which would help prop up valuation) and neither have area comparable sales that would support pricing anywhere near what is owed on these homes.
Outside of our San Diego real estate practice with Villa Sotheby’s International Realty in Del Mar, we are hearing whispers that there will be more luxury short sales and REO’s before the real estate market recovers. And out of the confusion and delays in disposing of these luxury properties will be opportunities that luxury investors have been long awaiting.
And even the ultra-luxury real estate market appears to be experiencing some correction. In 2006, we wrote about Donald Trump’s luxury estate in Palm Beach being offered at $125 million. Recent reports say it sold at just $100 million.
What may have been painful for The Donald would have been a coup for the lucky buyer. I guess every market has silver linings–for someone.
Solar Shades for the Green Luxury Home
Upon first seeing these beautifully-designed solar panels, I couldn’t help but imagine other applications and modifications for the green lifestyle–whether it be in the luxury home, a school yard, a country club or off-the-grid project.
Imagine these cobra-shaped shades as swiveling solar panels that take the place of outdoor umbrellas around the pool. Or as bus stop shelters or airport curbside check-in. The possibilities are endless and scalable.
And these VEIL Solar Shades are interactive to boot. Indicators on the base show which positions will yield the maximum energy collection at given times of the day. And underneath the shade is an LED feedback system that indicates whether the shade is getting enough sunlight or not–and whether the shade should be turned.
Designed by the Australian design firm Büro North and the the Victorian Eco-Innovation Lab, the VEIL Solar Shades blend form and function elegantly.
Your ideas for implementation?
Tip of the top hat to Josh Spear.
Troubled Homeowners: Beware the Predators
The real estate predators are always there–in good times and in bad.
There are whispered stories in real estate circles of certain escrow and loan officers who, in the heady days of real estate, slipped deeds into the stacks of papers homeowners were signing as they refinanced their homes. The deed, of course, moved the property into the predator’s claws.
As the Discovery Channel shows, predators will always pick off the unsteady, the not-so-swift and the elderly because the catch is easy and the herd moves on. No different with these criminals.
But you know what’s scary?
The employers of these predators, when or if they discovered the crimes, fired the perps summarily–and kept their collective mouths shut. They didn’t want bad press, they didn’t want exposure, they didn’t want to field the possible litigation that sometimes come from predator attorneys.
It was a criminal catch and release program that spared corporations their reputations and the hassle of potential lawsuits.
As as result, it should surprise none of us that these same real estate criminals (and others who have caught onto their scams) are again preying on unsteady homeowners. This time they disguise themselves as the good guys of real estate, who are out to save stressed homeowners from foreclosure. Their lines and lead-ins go something like this:
I can save your home from foreclosure. I can save your credit. Just sign here.
Other wannabe-predators offer embarrassed and delinquent homeowners the chance to stay in their homes as renters, and then offer to buy them back when circumstances improve. Families can remain in their homes, the kids can stay in school, and neighbors will never know the difference.
The only problem is that the prices at which the homes will be eventually offered back to the former owners may be far above market value.
The true real estate predator will offer to make the foreclosure go away with a simple loan. All the distressed homeowner needs to do is sign on the marked lines (at the bottom of the promissory note and deed of trust)–which means that he and/or she have just signed over the deed to the house. These predators are really good at slipping these critical documents into big stacks of paper that need to be signed in any real estate transaction. If we recall, this is the same tactic these creeps used a few years ago and their targets remain the same: The distressed, the unsteady and the elderly–who also own homes with enough equity or opportunity to make it worth the hunt.
My advice to distressed homeowners? Immediately consult with a reputable real estate professional or attorney before signing anything offered by a real estate problem solver–and remember that the predators wouldn’t be after you if there wasn’t any meat on the target.
A Call to Luxury Blogs and Bloggers
I love luxury and enjoy reading luxury blogs. Unfortunately, it can be difficult to visit them all to ferret out the latest in luxury news. One solution is to create a luxury blog network that will syndicate content from the best luxury blogs–whether they are focused on bling, luxury travel, luxury real estate, luxury clues, luxury furnishings or just the rich and famous.
The Luxury Blog Network is under current construction with the Domus Consulting gurus, and we are actively seeking top luxury blogs and bloggers who might be interested in participating in this syndication.
Each article written within the participating luxury blog would be published in a truncated fashion, with a link leading back to the original blog article. The goal is to provide one place to check out the latest in luxury news and increase traffic to the participating sites.
If you feel your luxury blog might be a candidate for this venture, please email roberta (at) luxuryhomedigest.com or contact me through this site.
