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I am considering changing the brand at Liberty Homes Chattanooga. Liberty Commercial Real Estate would stay the same. The possible change would be for the residential brand only. The working team would actually work with a new company. The company I am thinking of aligning with is publicly traded on NASDAQ. It has revenue streams other than commissions from home sales. The revenue stream can be included in your will and vesting can take place within 3 years. It is a cloud based company and touts no requirement for physical office space. Watch the video and if led share your wisdom in your comments below.

Some straight talk about termite letters and pest inspection. Inspections are part of a home purchase. Chattanooga home inspections usually include a “Termite Letter” or WDR (Wood Destroying Insect Report) for the benefit of the purchaser and their lender.

Chattanooga pest inspections can cost $45-$175. A pest control professional bought me a beer this afternoon and we discussed the “termite biz”.

I was curious why only a certain few pest companies “court” real estate agents for customers. Like any commercial concern there are many liabilities. A big event for a small pest company can be unseen damage to the naked eye and hidden evidence of active pests. ‘Termite Letters’ are warranted for 90 days in both Georgia and Tennessee by law. That means if a pest or organism event occurs within 3 months of inspection, then treatment and or repairs may be guaranteed by the pest control company. In Tennessee and Georgia corrective treatment may be warrantied but not repairs within the 90 day period.

You may think that your homeowners insurance policy covers damage from termites and other pests. Most home owners policies do not. For that matter, it was a rude awakening for many locally who had tornado and wind damage to learn their policy did not cover that type of event. So how do you lower the risks of damage?

If you have your home regularly treated and inspected. Ask them if they guarantee for any repair damage to the structure or if they are just guaranteeing to apply another free treatment in the case of damage. I learned today that many only warranty treatments, but do not cover the cost of repair. The warranty for re-treating may only cover so many feet from the incident. So one way of selling you may be to charge $400, but the treated area is very small. Compared to $800 may treat the entire foundation area with another company.

If you have a newer home you may think the builder’s pre-treat covers you for decades. If the builder’s contractor was honest and did a good job, the chemical may last 8-12 years. If the solution was diluted or sparse then the years diminish. Homes that are 8-20 years old make great lunches for termites according to my friend.

So…

1. Review your home owners policy and find out if events such as damage from pests, and even wind are covered. Find out the gaps in coverage.

2. Remember the “Termite Letter” , WDR, WDO, “Clearance Letter”, may only be good for 30-45 days prior to closing. Depending on your state it may be guaranteed for 90 days after closing.

3. Pest companies that do many WDRs for Realtors may offer less protection for your home owners in the long run. Ask them about their ability to provide “Termite Bonds” for repair damage beyond guaranteeing the re-applicaiton of treatment.

Hope you learned a bit more about potential threats to your home from this straight talk about termite letters and pest inspection.

St Elmo is gaining national neighborhood notoriety. “Naturally”, say the residents. St. Elmo has been gaining popularity for years. Locals enjoy the community, people and it’s proximity to downtown Chattanooga. Chattanooga granted the area a local historic district in 1992.

Today I listed 5005 Tennessee Avenue in St. Elmo, Chattanooga, TN 37409. The home was built in 1910. The original floor plan was unique. It featured a window in the back of the dining room that looked toward Lookout Mountain. Part of the original window seats are still there.

The charm of St. Elmo is the diversity of the Victorian era architecture. Owners work diligently to preserve the character. There is also a strong neighborhood email communication system. Local artisans are stepping up and protecting old buildings such as the fire hall and allowing it to support local events and shows.

ThisOldHouse.com chose St. Elmo as one of the top 51 communities in the United States. The Times Free Press article noted that This Old House spokesperson said they look for areas that bring new energy to a city. Chattanooga is experiencing an over all “new energy” with job growth. More and more I also see people choosing to live in Chattanooga, TN just because it is a great place. So it is fitting when unique bedroom communities are recognized nationally.

It is fun to see folks enjoying eating outside in the quaint shopping district. Attend events such as the Corgi Parade. St. Elmo has wonderful places to visit, but mostly people are finding unique places to live.

Come take a look at homes like 5005 Tennessee Avenue, Chattanooga, TN 37409 and find out why St Elmo is gaining national neighborhood notoriety.

Serving real estate customers is a noble calling. A calling to bring honest and trustworthy dealings to others. People with relationships built with trust. Trust that is earned over time with expectations met or exceeded.

I had a difficult time believing that any business was noble. Growing up in the 70’s and 80’s the culture had a built in skepticism for corporations. Corporations are given a “personal” status in our system of government, but they have no “soul”. As a freshman in college I really pondered if I could reconcile my desire to be in business and also be a “real” Christian. I wrestled that to be “all in” meant I needed to be in clergy. I was not called to preach. I loved and still love finding future “opportunities”.

I realize now that I was not “called” to be “in real estate”. I was called to serve. My heart is that of service. My wiring is that of quickly solving a problem and researching solutions. Real Estate happens to be an excellent venue to pour out my calling to serve.

My first job after school besides the Army was working in the manufacturing systems consulting world. I enjoyed solving problems and serving in that arena. I did not enjoy time away from my young family. Moving to Chattanooga and being a part of a family business solved the travel problem.

When I did jump into commission sales, I had a heart struggle with my perception of the what other’s thought of Realtors. Realtors in movies are often portrayed as greedy shallow people driving “nice” cars. One developer told me early and often, “real estate is a slimy business”.

I did not realize that part of my struggle is a cultural shift that has been demonizing most all business as “evil” and profit is bad. Coming from a manufacturing perspective, I could not understand the relative value of “service”. I was not building a car, rocket or even a cabinet.

I think Realtors struggle with some of these concepts because our culture does. Rabbi Daniel Lapin makes a good case for this in his book, “Thou Shall Prosper”.

My response? My first response is to focus on my Maker and seek His guidance on how I should serve. God is changing my heart in preparation to serve in a noble way. Writing this blog on a daily basis is forming a seed of dignity of giving and serving others. Corporations are built, maintained and run by souls. This soul owns a corporation LLC that is dedicating itself to the dignity of serving others in the high calling of real estate “sales”/”service”. Serving real estate customers is a noble calling.

Over 50 percent of Chattanooga homes sold by top 10 percent of Realtors. That is a very compelling fact that there are 145 hustling agents selling half of the sales. Perhaps a bigger story is 963 agents sell the other half, while twenty five percent did not sell anything in the last year. So what does this mean?

The most important factor is a trusted relationship in real estate. Skill, service, and care are close behind relationship. Why do I say this?

The story here is the 963 agents who participated in half of the sales. If advertising trumped relationship then the number would not be that high, because the top 10% of agents spend a large portion of income on advertising, teams, and employee support, etc.

Relationships built on trust create word of mouth referrals. Referrals from friends and work mates generate real estate sales.

Let me tell you a story. I recently sold two homes for friends of mine I have known for years. They also happened to be former clients from years ago. There word of mouth referrals have helped me close 4 homes and 1 commercial building in the last 12 months, with one in possibly 2 more before the year ends.

As an agent, a broker, husband, father, I can tell you that I have way under estimated the value of relationship.

A relationship that is built on trust. Caring enough to go beyond expectations will simply propel a decently skilled Realtor to success.

Serving people with a heart believing in the dignity of the profession of sales as a noble and caring calling that respects earned trust with others is all a person needs to be wildly successful in real estate.

Over 50 percent of Chattanooga homes sold by top 10 percent of Realtors (145 agents), but they cannot buy the loyalty away from the customers that chose 963 others.

Where did you grow up?

I like to ask this question as a buyer’s agent. It gives me a perspective and context so I can serve more effectively. The questions you ask will allow you to gain understanding of a buyer and their needs but also help them make a decision as well. This is a sales business. Realtors need feedback.

Here are some questions you should ask when working with buyers:

Prior to Showing:

1. Will you be paying cash or using a loan? The first gate to qualify purchasers is their ability. Nail this one at the front end. They do not pass GO if the answer is NO.

2. When are you needing to take occupancy? Need to know when the need for shelter is priority.

3. What are you imagining your commute to work to be like? Distance does not equal time. Especially at rush hour. Most people talk in time not distance. Time is more important.

4. Describe your ideal home, neighborhood and community. A great open ended question designed to get them to talk.

At the property:

5. Can you see yourself living here? If the answer is “Yes!” Shut up and Skip to Number 8. This question is designed to start the buyer on an imagination journey.

6. Where would you place your furniture if you purchased this home? Take the imagination process to a deeper more specific level. People will tell you if grandma’s dining room suite will not fit and it is a requirement.

7. What would you change about this house to make it fit your needs? This is a very important question because people are generally truthful about it. Take in what they say and apply it to next showing. Only go here when you are not getting buying signals during the showing. Notice that I used the word “house” not home. Home is used when buying signals are strong.

8. Would you like to buy this home? Seems obvious, but I have worked with agents who use the “wear out” method. That is what I call showing as many houses to someone and “wear out” the buyer, you and your car until they buy something. Very similar approach to the joke about the Bible salesman who stutters. He stands on the porch and says “Ma’am I .. I .. I can stand here here here and read read read you the Bible or you you you can just buy one one one and read read read it yourself.”

These are basic questions for a buyer’s agent toolbox. Where did you grow up? The answer may tell you much about the meaning of “home” for the buyers inner child. Listen carefully. That will serve you well.