MARKET REALITIES

Baris is fully aware of the state of the economy and that people have lost equity and are losing their jobs, and for them buying right now is simply not an option.

" But there are still a vast number of people who can buy' he emphasizes. "Every Realtor should be out there appealing to first-time home buyers.

"We should be talking to renters. We shouId be telling them that for the price of renting, often times they can own and that doesn't even count the tax advantages of ownership. Many renters who can come up with a 3 to 5% down payment can qualify for FHA financing.

'This is a conversation that needs to be going on right now but it's not a message that we're hearing out there. We (Realtors) need to be doing that all over the country’

Tax Appeal Parties

Maybe it's a question of going with the flow. Or maybe it's a question of seizing an opportunity to be visible in a positive way.

Or maybe it's just a good old-fashioned idea to help your neighbors when they need it most.

Whatever it is, Ken Baris says, "I came up with the idea to create Tax Appeal Parties· and they are a great way to help people, build goodwill, generate referrals and keep your name in front of potential clients by building tremendous mindshare.

"All across the country property values have dropped," says Baris. "This is an opportunity for people to appeal their property taxes and save money, if they know how to do it.

"This is especially important now as so many people need a financial break. Baris says sales associates are in a particularly good position to help others understand how taxes are assessed and what current values are. With a little training, they also can help their neighbors win tax appeal cases.

For instance, in New Jersey where he lives, property taxes can be appealed whenever the fair market value assessment is more than 15 percent over true value.

There are 81 homes in my neighborhood, and I realized every one could have significant savings, he said. So he emailed and sent letters to everyone inviting them to a wine, cheese and tax assessment party at his house. People were told that everything they would need would be at the party including their tax assessments, comparable sales, forms and instructions.

We had owners from 35 homes attend. We set up a laptop computer and a 24·inch monitor and we went over what it takes to win a tax appeal. And I pointed out how lower taxes could raise our property values. I helped people fill out the appeals forms.

The party was a great success.

"It gave everyone a chance to meet everyone else. But l also ended up meeting with more neighbors the next week. In the end, we helped about 50 neighbors with appeals - with no cost or obligation to them." And the feedback was tremendous.

"The day after the party, we took a listing as a direct result of the party and two more people say they will be listing with us soon. I had not met two of the three before - and would not have been thought of for the listings if it hadn't been for the party. I've also received referrals."

Baris took the idea to his office and a sates associate, who lives in a condo building, decided to try it.

"There are 415 people living in his complex. He contacted them all, and got a huge response for meetings. He is going to take listings as a direct result as well.

Meet Ken Baris

Kenneth B, Baris, CRB, CRS who holds a bachelor's degree in Communication from Rutgers University, is the President of Northern N.J. based Jordan Baris, Inc., Realtors· and the son of Jordan Baris, the firm's founder.

Among his many achievements, he and a partner developed and licensed Top Presenter to Top Producer Systems, which was awarded the best software product of the year by the National Association of Realtors.

A founding member of the Zillow Advisory Board, he is also on the Executive Committee of elumindata, Inc., a business analytics software company. He is a founder and serves as a Director of First State Bank of NJ.

An accomplished speaker, Ken has been featured at numerous national conferences and has been seen on CNBC and NBC National Nightly News and is frequently quoted in USA Today, The New York Times, The Wall Street Journal, CNBC.com, and Bloomberg.com.

Jordan Baris, Inc., Realtors Established in 1952, Jordan Baris, Inc., Realtors· is one of the oldest and most respected full-service real estate brokerages in New Jersey and the New York metropolitan area. The firm operates offices in W. Orange and S. Orange and has a team of close to 200. A member of leading Real Estate Companies of the World, the firm provides national relocation services and is renowned for both superior customer service and leading edge technology.

Jordan Baris, Inc., Realtors·
50 Mt. Pleasant Avenue
West Orange, New Jersey 07052
T. 973-736·1600 F. 973-736·51 59
www.jordanbaris.com . kenbaris@jordanbaris.com

Watching The Bottom Line

Baris urges his sales associates to work smarter and take advantage of the exploding number of free outlets to make contact with potential buyers and sellers.

''There are free Web networking sites like Facebook where you can reach lots of people. Twitter is another excellent choice for brokers. There are social networking Web sites that are fantastic for Getting your information up where people can see it, and the price is right.

"You can use-mail blasts. Offer your services to speak at local organizations. Create opportunity for yourself. Host Home-buyer seminars al the local library.
"

Speaking engagements and free seminars, he says, are no different from holding an open house.

"Sellers think open houses are for only Them, but they really serve many purposes.

Agents make contact with potential buyers and sellers. Home-buying seminars do the same thing. You may have 50 'home buyers' come to your seminar, but you end up with a couple of listings from people who need to sell their current homes first."

Baris believes the public has lost its perspective on real estate and that it's up to real estate professionals to bring it back.

"Everybody has heard the story about John D. Rockefeller who stopped to get his shoes shined on the way to work and heard the kid shining his shoes giving stock tips. That' s when he sold his stock because he knew the market was about to crash. He knew that when everybody thinks they're an expert they have no basis for investing.

"The same thing happened in real estate. Everybody thought they were an expert and started jumping in. And the same thing happened. The market crashed.

Rockefeller went back in and bought up good companies for pennies on the dollar while everyone else was afraid. That's where we are now. People are afraid."

OPPOSING THE NAYSAYERS

"When I go to cocktail parties some body will ask me. 'What do you do?' I say I 'Ill a Realtor, and the response I get is, 'Gee, l ' m sorry.'

I tell people, 'You're saying that because values are down right now. But what you should be thinking is that there is tremendous buying opportunity out there. You should be looking to get into a more expensive property."When properties do start going back up in value, the more expensive ones are going to go up even faster. This is the time you should be buying the most expensive properly you can comfortably afford."

And he dismisses the notion that the home seller could be taking a beating.

"Sure, you're selling for less – but you're also buying for less. I f you had a house that had a value once of$600,OO0 and it's now worth $450,000, you think you're losing $ 1 50,000 in equity. But you need to remember that the house that once had a $ 1 million value is now selling for $750,000. You make a net gain by moving up."

And the very next sentence he wants buyers to hear is: "People who are buying real estate today are going to be thought of as geniuses in 10 years."

He concedes prices may still drop over the next 12 months or longer, but over the next 10 years real estate will appreciate.

"History repeals itself," he says. "In 10 years or less values will be fantastic compared to what they are today."