Real Talk!

Fabian and I were recently called to a listing appointment in a nearby village. The property owner was just completing some minor repairs for damage that had occurred last winter when a group of vagrants had invaded the home, occupying it for about a week before neighbours called the authorities.

The newest crime trend, it seems, is holding illegal parties in vacant and foreclosed houses. Organizers are even bold enough to advertise on social network sites, like Facebook, hosting a night of drinking and revelry for profit, usually catering to underage crowds.

One such event advertised $10 a head and $3 per drink and said that attendees would be required to show I.D. (as if the whole thing was legal!). This sort of crime is prevalent across the USA where the recent economic crisis has left numerous homes empty. Is it a sign of the times?

In one community, a self-dubbed “party crew” was touring homes for sale to discover if they were occupied and if the utilities were turned on. While viewing the properties they would open or unlock doors and windows. Using MySpace, they would advertise a telephone number to call, in order to be texted the location of the party.

Most parties resulted in drunken brawls, crowds of more than 500 and many left behind thousands of dollars in damages. Broken toilets, smashed drywall, graffiti, feces, urine, vomit and blood are left for the victims to clean up. Such was the case of our recent prospective listing, where the revellers had smashed chandeliers and windows. Apart from petty and irritating vandalism, the cost of this sort of invasion is emotional, too.

Vacant homes are being burglarized by scrappers, as well. Whether under renovation or up for sale vacant homes are being broken into for tools and building material, particularly copper piping, it appears. There have been reports, also, of outside air conditioner compressors and furnaces being targeted. In most of the cases, this is considered the work of seasoned pros that are good enough to shut the water off, before stealing important plumbing components.

Most of these burglaries are crimes of opportunity, according to authorities. Burglars will often check a residence for an unlocked door or open window, because that makes for an easy target. They mainly steal items that they can pawn for quick money. Police suspect most burglars are people trying to get money to feed a drug habit.

In some neighbourhoods, authorities have suggested that, in addition to keeping doors and windows locked, residents should purchase ventilation devices that will allow airflow while doors and windows are closed, install security lights with motion sensors outside the residence, and keep bushes trimmed so there are fewer places for criminals to hide.

What to do about these crimes? Most folks know that their insurance companies require your house have a baby-sitter. We really aren’t supposed to leave them unattended. However, it is also important to let your neighbours know that you plan to be away... ask them to watch for strange cars and visitors and to call the police if they see something suspicious.

Property sellers are also getting fed up with people trying to steal their property... yup, I’m talking about the dreaded “low ball” offer. Many offers are coming in lower than Sellers expectation and if their Realtor hasn’t prepared them, they’re angry and disappointed.

Now, there are some times that a lowball isn’t meant to steal a property, there are times that a Buyer is stretching their budget and just taking a shot at it, hoping you might be in a position to accept their low offer. In this case, it isn’t a matter of disrespect, it may be a little cheeky... but it isn’t meant to insult.

Actually, the term "lowball" doesn't have a formal definition in real estate, though some salespeople suggest that any offer that's less than some large percentage of either the fair market value or asking price of the property is a lowball. Others will tell you that any offer could be labelled as "lowball" if it provokes the seller to outrage or anger.

While a lowball offer may be unwelcome, it should be seen as an opportunity to open negotiations with a Buyer. If a Seller wants to sell the property, every offer deserves consideration and preferably, a counteroffer. Buyers and Sellers need to know the as much as possible about each other's rationale, in order to properly negotiate. I believe that it is up to the Realtors to present the offers and counteroffers with some explanation, in order for the parties to properly consider each offer/counteroffer.

Realtors presenting a lowball offer need to spend time preparing for the presentation. The opening offer presentation should include information about the Buyers’ intentions. Perhaps it is the Buyer's belief that the property will not attract many good offers and that the asking price is unrealistic... the Seller will want to know why... and it is reasonable for the Buyer to offer some explanation. I’ve had some people come with lists of deficiencies for the subject property, however, generally Sellers are aware of the obvious shortcomings of their property and have made allowances in their asking price.

Looking for a good deal isn’t really criminal, although some opportunists do seek desperate Sellers...
If we’re going to talk about criminal... here’s some recent news:

Oshawa couple charged in real estate open house thefts:

Facing more than two dozen charges each, after items were stolen during real estate open houses are Peter Mason King, 52, and Nora Ann Thomson, 51, both of Mary Street North in Oshawa. While investigating, police followed the suspects to Oakville where the two were observed lifting items during open houses and a store. Police have recovered a large quantity of jewellery, money and property totalling approximately $100,000

I’ve said it before, and I will say it again. This is exactly why I don’t care for public open houses.