Real Sage Advice

No Smoking Condominiums and Cooperatives: Is it really a new idea?

There's been a lot of news recently about condominiums going smoke-free. Proponenets are yelling

"Fire!" "Danger!" "Lethal Toxins!" 

Opponets are yelling

"Big Brother!" "Privacy!" "Liberty!" "Civil Rights!"

What concerns me the most is how quickly we jump on the media bandwagon and leave our own critical thinking behind. As I sit on the sideline watching the chicken-littles running around waving their arms, I sit here scratching my head wondering "what's the big deal?"  There are a number of Minneapolis Senior Condominium buildings that have clauses in the assoication bylaws that prohibit any smoking anywhere in the building.  The've been around for years.  Once you sign a purchase agreement for a senior condominium, you have 10 days to review the association bylaws and to decide if any of the rules are going to pose a problem for you.  If they do, you get to cancel your purchase agreement and, in most cases, retain your earnest money. No harm, no foul. In other words, if you don't like it, simply find another senior condominium to call home.

I'm also left wondering,

How is this no-smoking clause any different than buildings that say "no animals allowed?"   

Inspiration-Your Thoughts

Watch your thoughts; they become your words.

Watch your words; they become your actions.

Watch your actions; they become your habits.

Watch your habits; they become your character.

Watch your character; it becomes your destiny.

Author unknown

Saturday Word Search

Find words having to do with Office Items in this word search.

Enjoy and Happy Saturday!

Estate Sales might just COST you money-4 tips on when to have an estate sale

How is it that we spend a life time accumulating STUFF, most of it tucked away in boxes for years, only to sell it when it's time to downsize?

One of my elder clients I'm working with now, just moved into assisted living. There are piles and piles of stuff left in her condo.  The team she's working with suggested she consider donating most of it.  But, because she really believes her stuff  is worth a lot of money she is dead-set on selling it. She wanted the items inventoried, appraised and sold. She reasoned the quantity must translate to quality.   

The team working with her spent a lot of time trying to explain that the exercise of taking inventory would take a lot of time, and would cost her a lot of money-more than she would make on an estate sale.

It's human nature to think our things are worth more than they are. We attribute the sentimental value to a monetary value.  Of course, consumers at an estate sale won't purchase an item at an increased value because it holds sentimental value for someone else.  I really haven't worked with many clients where an estate sale made sense. Here are some general rules of thumb:

1. If you're downsizing and bringing most of your items with you, you likely won't have enough items to sell in an estate sale.  Puting them into consignment or donating them for a tax deduction may make more sense.
2. Estate Sale professionals will want a "minimum amount" of proceeds to conduct your estate sale. An Estate Sale professional may want to make $3000-$5000 from your sale, which means you have to have about $15,000 worth of stuff to sell.  Boxes of books and dishes just won't add up to that amount!
3. An Estate Sale won't work if you live in secured multi-family building such as a condominium or cooperative. You'll have to have your things moved off site, which will also cost money.
4. It's worth the time to talk with a professional if you have a house full of interesting antiques.  You'll maximize your profit by making sure you understand the full value of your items and asking for the correct price!

Inspiration-Attitude is Everything

Attitude Is Everything
The longer I live, the more I realize the impact of attitude on life.   Attitude, to me, is more important than the facts.   It is more important than the past, than education, than money, than circumstance, than failure, than successes, than what other people say or do.   It is more important than appearance, giftedness, or skill. It will make or break a company a church a home.   The remarkable thing is we have a choice every day regarding the attitude we will embrace for that day.   We cannot change the fact that people will act in a certain way.   We cannot change the inevitable.   The only thing we can do is play on the one string we have, and that is our attitude   I am convinced that life is 10% what happens to me and 90% how I react to it.   And so it is with you. we are in charge of our attitudes.

                                                -Charles Swindoll

Valentine Word Search

Happy Valentine's Day!

Enjoy this word search!

Follow the bread crumbs to get to the truth

A post at the Boomer Chronicles about nostalgia and appreciating the little things got me thinking this morning. Will our memories of our history correlate with what is reported in the media?  We are surrounded by media who tell us about the depressing and outrageous. Their job is to sell papers, not necessarily provide an accurate reflection about what is happening in our world.  I shudder at the thought of being judged through history by our fascination with celebrities with no underwear, the latest psychotic break, the stint in rehabilitation, and fashion. How shallow we will seem to our grandchildren! It seems blogging and Web 2.0 have provided an opportunity for us to leave little bread crumbs into the future of what it's really been like to be alive now. The media doesn't seem to capture the meaningful moments of our times, like remembering a favorite school lunch. School lunches don't sell papers.

Here are my bread crumbs for the week (also sure to not sell any papers):

Amidst the gloom and doom reporting of mortgage scams and foreclosures, there is something happening that isn't being reported. I spent my week working in real estate, something that doesn't even seem possible with the reports of the awful market. I sold 2 listings, talked with 2 families about listing their home, and met 3 first time home buyers who were interested in purchasing a home.

Social Study and History classes will look back at these years as the "Great Real Estate Slow Down" and "The first time in 40 years that real estate lost value."  I'll look back and think about my clients. People I was fortunate enough to work with during a time in their lives when big things were happening (their own bread crumbs).   

I am so fortunate to have chosen to work with older clients. I'm starting a bread crumb collection! 

Eons model doesn't work-a lesson for the rest of us

Eons is (was?) a social networking site for the 50+ crowd. Just like age-segregated senior housing I continue to wonder why we want to corral the wit and wisdom of the baby boomers and silent generation into a holding pen we keep on the periphery--away from the mainstream.

Why do we refuse to meet others at the stage they're in vs. the age they're in?

Here are some other thoughts on Eons:

Tech Crunch: Now you just have to FEEL old to join

Advertising to Baby Boomers: Eons: An almost obit

Crunchbase: Eons Review

Read, Write, Web: Why Eons, a MySpace for old people, failed

Other Blog Articles:

Baby Boomers Downsizing? Tips for your next home
Senior Homeowners at risk for mortgage fraud and subprime loans-STILL
Avoid these 5 mistakes when choosing Senior Housing

Another Example of Fraud Against Seniors

Business week published a story over the weekend: House price: $3,500. Mortgage $228,000.  It's a story about a senior couple living in North Minneapolis who purchased their home in 1977 for $3,500 and it's now worth $174,000. The problem? They owe $228,000 on it.  You have to scratch your head and wonder how in the hell this happens to people. There are a *LOT* of people involved in *ANY* real estate transaction, even if it's just a refinance. The appraiser, title closer, mortgage officer, underwriter, and processesor just to name a few.  A number of things had to go wrong for this couple:

1. According to the article this couple paid $4000 for an appraisal. In Minnesota an appraisal costs between $300-$400.
2. The appraiser had to appraise the house at $228,000 for the lender to approve the loan.
3. When banks were approached with refinance applications a few years ago, it wasn't a big deal if appraisals were a little "off".  Appreciation was rising so rapidly that a few months appreciation of a home would make up for a slightly inflated appraisal.  Today, it would take a year or two for a home to appreciate enough to make up for a 3-5% difference in actual value to the appraised value.
4. The law provides for consumers to receive a good faith estimate (GFE) on any new mortgage. The GFE discloses all of the fees related to closing the loan as well as the new monthly payment.
5. Have you ever tried to read a GFE?  Unless you work in accounting, if someone doesn't actually explain it to you, it's like trying to decipher a foreign language.
6. The borrower has to sign the GFE.  We as a consumer sign things all the time without asking enough questions-our older generation is no exception.
7. The couple also had to disclose their income. Instead of signing a disclosure statement that said they had an $800 monthly income, they signed a legal document stating they had a $6000 monthly income.
8. Someone at the lender had to have the couple's bank statements and generate that document that said they had $6000 monthly income.

Who's to blame? Would you say "Shame on the predatory professionals?" or would you say "Caveat emptor?"  I could make a case for both the professionals and the consumers.

Frankly, what matters is there are consumers all over the country that this has happened to, and there isn't really any course of action for them. At least, nothing that will remedy their situation fast enough to ease the financial burden enough to help them comfortably stay in their home. Place blame where you will. It's tragic.

Other Blog Articles:

Senior Homeowners at risk for fraud and subprime loans-STILL
Seniors: Make sure you know what the contract says

Sunday Inspiration-Your Energy

Your Power Grid
By Sheila Murray Bethel, Ph.D.

The recent energy crisis in California makes some of us more aware than ever of how interconnected we all are. When businesses in one area lose power and can't operate, the repercussions can go far beyond the area, the state, or even the nation. The domino effect can be felt around the world.

Each of us is like a power grid, intricately connected to all other human grids. At different times, we all create, receive, or pass on energy. Accepting energy form others is as natural and productive as accepting the warmth of the sun.

Whenever circumstances rob you of your spark, hook up with outside power sources:

1. Share the burden. You don't have to go it alone. Find others who have gone through similar challenges and get support and encouragement from them. Consider setting up a buddy system, where you support each other.

2. Let your family and friends know that you need their support. You've given them lots of your energy in the past. Now you can give them another gift, allowing the to feel really good about themselves because they can give you the boost you need.

3. Reach outside your immediate power grid. "No man is an island," is just as true now as it was when John Donne wrote the words in the 17th century. There are lots of worldwide resources you can tap if you expand your thinking. Consider new sources of information and new business and personal alliances that can be tapped through the Internet; through local, national, and international organizations; through networking at work or in your personal life.

You are not alone. The energy you need is flowing all around you. Tap into it and watch your lights go on!