Midwest Minute - January 01, 2012

Fatal Mistakes in Real Estate

My partners and I have facilitated hundreds of real estate trades and from time to time we have observed “deal killing” behaviour by both buyers and sellers.

One older multi-family complex has been on the market for several years, and it’s no wonder.  Every time we go to show it, at least one of the units has sewer or plumbing issues likely due to the age of the building combined with deferred maintenance by the owners and lack of initiative by the tenants.  It is sad actually because the quality of accommodation is so poor that it is only rented by single mothers forced onto welfare or persons struggling with addictions.  See it from the buyers’ viewpoint; all they can see is a money pit that will require significant further investment to bring it up to a decent standard, never mind the social issues that they will have to contend with.

I saw much the same thing on an acreage a year ago.  The sewer had apparently backed up into the basement, there was trash everywhere soaking wet.  To me, it looked like the renters just threw empty pizza and beer boxes down the stairwell and closed the door.  The main floor carpet was so dirty I wouldn’t take my shoes off plus there were empty beer bottles, cigarette butts, and dirty dishes everywhere.  Just to get from the driveway to the front door required evading a big angry dog on a small logging chain.

Another rural site held a surprise in the shop; about three dozen pens full of small dogs apparently being bred for re-sale.  Did I tell you how much I hate puppy mills?  Over the years we have also seen dead pigs stacked like cordwood, starving cattle, lice infested cats, plus free range goats who apparently like to climb on visitors’ vehicles. 

Some houses we go into could almost qualify for one of those hoarder shows on TV.  I have had to use my shoulder in order to open the doors into bedrooms because of the amount clothes lying on the floor. I don’t know how many times I have kicked dirty underwear under beds so a buyer won’t see them.

Older homes often hold surprises for guests too.  Dead mice on the family room carpet.  Open electrical boxes that spark if you are foolish enough to touch them.  Pigeons flying through broken windows in the second storey.  Raccoons comfortably nesting in the crawl space.  And yes, these houses were also inhabited by humans.

It’s not just how people live either. It may be a seeming lack of discretion.  Enthusiastically announcing your intention to buy a home on FaceBook may reach another prospective buyer, or even the seller, before the offer does.  Don’t laugh; it’s happened more than once!

Being so interested as a seller in what a prospective buyer and / or their Realtor is saying about your property that you place a recording device under a box on the kitchen counter or use binoculars from a vantage point in the neighbour’s home to watch the progress of a viewing.  These actions are so creepy I guarantee the prospect will never return, and frankly neither shall I!

Vern McClelland is an associate broker with RE/MAX of Lloydminster and a partner with The Midwest Group.  If you have questions or comments on this article or other real estate matters, he can be reached at 780.808.2700, or through the website www.wesellmidwest.ca

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