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St. Louis Association of

REALTORS速

The Voice for Real Estate in St. Louis

Volume 11 - Number 4


LEADERSHIP & STAFF DIRECTORY 2015 Board of Directors Executive Committee

REALTOR® Directors:

Janet Judd, President Sandy Hancock, President-Elect Barry Upchurch, Vice President/Treasurer Jan Thomas, Secretary Glenn Vatterott, Member-at-Large Beth Braznell, Immediate Past President William Stenger, Commercial Division President John R. Gormley, Chief Executive Officer

Term Ends 2015

Term Ends 2016

Term Ends 2017

Gail Brown Kimberly Cameron Adam Kruse Jan Thomas

Edwina Conley Tom Kennedy David Townsend Glenn Vatterott

Jeff Bosch Jill Butler Angie Ignatowski Suzi Mattus

National Association of REALTORS® Directors

REALTOR® Associate Directors:

Janet Judd (Board President)

Marc Levinson

Sandy Hancock (Board President-Elect) Bob Bax (Director)

Glenn Vatterott (Large Firm Representative) Bruce Aydt (Distinguished Service Award)

Sharon Hutson

Katherine Berry

Affiliate Director Kathleen Crowley

St. Louis Association of REALTORS® Staff Executive Department

Membership and Finance

John R. Gormley, RCE, CAE, Chief Executive Officer jgormley@stlrealtors.com | 314.576.0033

Rick Capelli, Chief Financial Officer rcapelli@stlrealtors.com | Direct Line: 314.590.2313

Tina Stork, Executive Assistant tstork@stlrealtors.com | 314.576.0033

Judy Partsch, Membership Specialist/REALTOR® Shoppe jpartsch@stlrealtors.com | 314.576.0033 ext. 320

Legislative Department

Emily Whitlock, Lead Member Specialist ewhitlock@stlrealtors.com | 314.576.0033 ext. 339

Martina Johnson, Government Affairs Director mjohnson@stlrealtors.com | Direct Line: 314.590.2309 Molly White, Political Fundraising & Community Relations Coordinator mwhite@stlrealtors.com | 314.576.0033 ext. 310

Professional Development

Monica Alsup, SUPRA Administrator malsup@stlrealtors.com | 314.576.0033 ext. 315 Jessica Perez, Finance & Member Services Assistant jperez@stlrealtors.com | 314.576.0033 ext. 314

Marketing, Communications, and Public Relations

Karen Dunn, Director of Professional Development kdunn@stlrealtors.com | Direct Line: 314.590.2312 Monica Wilson, Professional Development Coordinator mwilson@stlrealtors.com | Direct Line: 314.275.7888 Jamie Radford, Membership Specialist jradford@stlrealtors.com | 314.576.0033 ext. 308

Becca Grober, Director of Marketing & Communications bgrober@stlrealtors.com | Direct Line: 314.590.2304 Cuc Le, Marketing Specialist cucle@stlrealtors.com | 314.576.0033 ext. 301

For advertising information, please contact the Marketing Department at 314.576.0033 or communications@stlrealtors.com.

Jessica Prater, Administrative Assistant jprater@stlrealtors.com | 314.576.0033

Professional Standards Tracey D. Yost, Director of Professional Standards/Contracts & Forms Liaison tyost@stlrealtors.com | Direct Line: 314.590.2305

To submit articles for consideration in the REALTOR® Report, email our Marketing Department at communications@stlrealtors.com.

Mid-America Regional Information Systems (MARIS) 1714 Deer Tracks Trail, Suite 200 | St. Louis, MO 63131 | 314.984.9111| www.marisnet.com Paul Prince, President pprince@marisnet.com

Jason A. Darrough, Support Manager jdarrough@marisnet.com

Tabitha McDuffie, Accounting Coordinator tmcduffie@marisnet.com

Denise Bielicke, Vice President of Operations dbielicke@marisnet.com

Carroll Morrow, Accounting Coordinator cmorrow@marisnet.com

MARIS Support, MLS Issues support@marisnet.com

Brad Whitrock, Support Specialist bwhitrock@marisnet.com

Katie Otto, Vice President Member Services kotto@marisnet.com

David Price, Senior Vice President & Systems Manager dprice@marisnet.com

Hannah Lang, Marketing & Communications Specialist hlang@marisnet.com

Listing Changes/Duplicates/Listing Exemptions listingchanges@marisnet.com duplicatelistings@marisnet.com exemptions@marisnet.com


6

From Around the Industry

Legislative Report

Agents Should Earn a Paycheck

Strategic Planning 101

10

Shared Leadership – Exploring the Role of Broker and Association Stats

Healthy Tech, Healthy Business

12

14

Calendar of Events

4 6 7 10 11 12 14 16 19

TABLE OF CONTENTS

From the President

3 | Winter 2016 — REALTOR® Report


I

am smarter than I used to be. I was a busy and productive agent (just like you) but I wanted to learn more. So I turned to my mothership, the St. Louis Association of REALTORS®. Every time I went, I smiled, listened, and learned something I didn’t know before. I asked dumb questions. Listened to great teachers. Saw familiar faces. When they needed volunteers, I would sign up from time to time. Dialogue started to happen. Ideas and comments exchanged. Others saw something in me that I didn’t see. SLAR welcomes your passion, energy, ambition, dedication, and creativity. You have to be involved in the process in order to receive the benefits. Being a REALTOR® is difficult and it can be a mental struggle. We deal with so much negativity. We have money issues, personal issues, and time constraints. Personal growth can hurt. You can ease the hurt by partnering with SLAR. Be exposed to more things. You need wisdom to apply your new knowledge. It’s a unique opportunity to be a sponge and learn from some of the best.

Never stop learning. Never be satisfied. Learn to diversify yourself. Promote the spirit of collaboration.

In my installation speech I said that much was expected from our elected directors, our staff, and management – in attitude, commitment, participation, and behavior. They ALL delivered and we boldly took SLAR to the next level.

Year in Review: Key Accomplishments

Let us help you!

We joined together to seek new leadership for our association; we brought new staff on board with fresh skillsets to assist our members; we had several internal major promotions and our directors boldly stepped into the political arena to advocate on behalf of homeowners, landlords, and investors.

We partnered with the Equal Housing Opportunity Council for the Annual Fair Housing Conference by providing speakers from our Ferguson task force and presented a CE class on fair housing.

I am proud to say that SLAR had the most successful RPAC auction ever with over $40,000 raised, and the highest RPAC participation level EVER of 27% and still climbing! Our Governmental Affairs Department recently hosted the NAR 2015 Political Candidate Training – the only political candidate training in the state and one of less than a dozen given by the National Association of REALTORS®. I appointed a Presidential Advisory Group that worked very hard on a Citation Policy for Code of Ethics Violations, which will be forthcoming. Your Education Department provided orientation classes to over 600 new members this year. Almost 1,300 members took advantage of DoddFrank/TRID training in one form or another. We launched the ONLY Missouri Housing Development Commission (MHDC) first-time Home Buyers CE class in Missouri and we now share it with associations all over the state. The Military and Veterans Outreach Alliance continues to grow and support the Veterans Home of Missouri. We had a two day-Brokerage Revolution Class on site created for our brokers. We had the highest attended Tech Thursday sessions to date, which included classes on the MARIS Dashboard, RPR, and many other marketing classes. These were designed to help agents become more proficient and, in turn, more successful. Success means different things to different people. To me, it meant helping you be the best you want to be and giving you the tools to do it. It doesn’t matter if you are licensed with a large firm or a small one – SLAR is here to help.

We are in the process of gathering information about our members. We are doing mapping to determine where you live, work, take your licensing classes, your age and your ethnicity; all so we can come to you and make sure your leadership represents the membership. Our contracts and forms committee, chair, and task forces worked tirelessly to reformat and improve our contracts and forms because of the DoddFrank regulations. It sounds simple to make sure all the forms have the buyers and sellers line on the same side of the page at all times, but many steps are included in the process to get it ready for formsRus, DotLoop, zipForm, etc. The committee is reviewing every form to make sure it meets the needs of today and helps you while you are assisting your seller or buyer. We had panels that discussed drones, diversity, unconscious bias, Big, Big World with the food trucks on the parking lot, and even safety classes. It was a busy and productive year and I hope you benefited from it in one way or another. Rest assured that being elected President of the St. Louis Association of REALTORS® has been the biggest honor of my 30-year career as a REALTOR®. I know I am just a link in the amazing leadership team. We are fortunate to have a dedicated group of volunteers to make the association the shining star it is. I cannot leave without saying that SLAR will forever be in my heart and I am proud to be a part of its history. Thank you for the honor, your friendship, and your support. Janet Judd is the 2015 President of the St. Louis Association of REALTORS®. Contact her at jjudd@JanetSellsSTL.com.

2015 Board Report 2 | The number of board members who

For the full 2015 Board Attendance Report, visit our website at www.stlrealtors.com/boardattendance. 4 | Winter 2016 — REALTOR® Report

attended all but 1 event in 2015 86 | The participation percentage for REALTOR® Appreciation Day 58 | The overall percentage of board member event attendance for 2015 8 | The number of board members who attended 70% or more of all 2015 events


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FROM AROUND THE INDUSTRY At our October meeting of the St. Louis Industry Forum, there was expressed optimism about the health of the St. Louis real estate market while also acknowledging the expected seasonal slowdown.

Providing a Copy of the Seller’s Disclosure Statement to the Building Inspector is Advantageous to Your Client Gerry Loesch, of BPG and a past president of ASHI, reported that the home inspection industry was seeing business slowing down for winter as usual. Gerry mentioned that it was very advantageous to the building inspector, as well as the client, for the inspector to be provided with a copy of the Seller’s Disclosure on the property being inspected. The disclosure may address or answer questions that could arise during the inspection or draw attention to issues the inspector may wish to examine more closely.

Closings Are Getting Hacked Wendy Cromer, with Security Title and a past president of the Missouri Land Title Association, brought to our attention that hackers have been targeting the real estate industry, and more specifically, the closing process. These activities prompted the FBI to issue a Public Service Announcement in late August warning about the email account scam.

Tradesmen Shortage is the Biggest Issue for the Home-building Industry According to Dave Forest of the Home Builders Association, the biggest issue the home-building industry in St. Louis is facing today is a shortage of people in the trade. The downturn of the industry after the real estate bubble burst in 2008 caused many builders to go out of business and the remaining ones to shrink their companies. This greatly reduced the number of jobs available to craftsmen and tradesmen, ultimately causing them to relocate elsewhere for work or to find work in a different field. This, coupled with the fact that most young people are more interested in technology than carpentry, has created a shortage of skilled workers in the industry. Dave also talked about how the paradigm shift in the industry is being fueled by millennials who are not as interested in homeownership as their baby-boomer parents. This creates more demand for rental units and ultimately results in a major growth in the apartment sector. Additionally, Dave thinks these millennials are not likely to buy homes “out west” or in the suburbs, but instead are more interested in the city of St. Louis and other urban communities. We’ve seen a big spike in the rehabilitation of multi-unit buildings in those areas as a result. For this year through September, there have been permits issued for 5,003 new rehab units, compared with 3,255 for the entire year of 2014.

$

6 | Winter 2016 — REALTOR® Report

Takeaways When we see things like the issue with St. Louis County happen, I think there are a few takeaways for us. We can never let down our guard. If SLAR is going to continue work to promote and protect private-property rights, it must be vigilant and always on the lookout for threats. Also, as members, we need to pay attention to what is going on in the communities we work in and bring to the attention of SLAR of any legislation or regulation we think could potentially affect private-property rights or our industry, Let’s not forget the importance of RPAC and how we spend those RPAC funds. It is important to find and support elected officials who believe what we believe and support what we support. In the same respect, we need to pay attention and make sure that these individuals continue to support the same things.

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According to the FBI, some of the targets of this scam are professionals associated with financial and lending institutions and real estate companies. One of the goals of this scam is to hijack and re-route the funds used in the closing of a real estate transaction. In order to pull this off, the hacker first gains access to the email account of a real estate agent for “recon” purposes. Then, the hacker creates a spoofed email account that closely resembles the legitimate account. By slightly altering the email address, the difference often goes undetected. Using this new account, the hacker emails the agent’s clients using information that was obtained by accessing the agent’s email account. In the emails, he or she poses as the agent and provides the victim with wiring instructions that unknowingly brings the money right into the hands of the criminal.

The bill originally failed to obtain enough votes by the St Louis County Council to pass, but it was returned to the agenda due to a “procedural loophole” and it passed. You can read more about the bill in the Legislative Report (p. 7).

St Louis County Tramples Private Property Rights With New Ordinance Martina Johnson, Governmental Affairs Director of the St. Louis Association of REALTORS®, reported on a rental licensing bill in St. Louis County that the association is opposing. Along with SLAR, the Equal Housing Opportunity Council and other housing organizations had issues with this ordinance as well and I reminded the forum that it was, for all intents and purposes, the same ordinance that was proposed in early 2014 by Councilman O’Mara.

Dennis Norman is the St. Louis Industry Forum Chairman and Past SLAR President. Contact him at dennis@mo-re.com.


LEGISLATIVE REPORT REALTOR® Party Successfully Alters Legislation to Keep an association, we cannot support a law that will reduce the amount of available affordable housing on the most Mortgages Affordable This fall, Congress was considering legislation that would use Fannie Mae and Freddie Mac’s credit risk guarantee fees (G-Fees) to fund transportation programs. Guarantee fees are charged by Fannie Mac and Freddie Mae to lenders for bundling, selling, and guaranteeing the payment of principal and interest on their mortgage backed securities. These fees are passed on to mortgage seekers by the lender and add to the cost of obtaining a mortgage. G-Fees are a critical risk management tool used by Fannie Mae and Freddie Mac to protect against losses from faulty loans, and should be used only to manage the companies’ credit risks. Increasing G-Fees for other purposes – even just extending the current fee increase for four years – effectively taxes potential homebuyers and consumers looking to refinance their mortgages. Due to the powerful voice of the REALTOR® Party, the House of Representatives voted to approve an amendment to remove the extended G-Fee from the highway bill, which was then signed into law. Thank you to everyone who completed the NAR Call for Action regarding this important legislation!

SLAR to Sue Over Rental Licensing in St. Louis County The St. Louis Association of REALTORS® has historically opposed the licensing of landlords or property managers in order to rent property. So, when Bill 204: Residential Rental Property Licensing Code was introduced to the St. Louis County Council, the SLAR Government Affairs team sprang into action. The association successfully defeated similar legislation in 2014. Representatives of the association had multiple meetings with the bill sponsor, Councilman O’Mara, to try to dissuade him from passing this harmful legislation again. Our conversations helped alter the bill significantly through several substitute versions presented to St. Louis County Council.

housing-cost burdened segment of our population.

The SLAR Board of Directors voted to file a lawsuit against St. Louis County and will be seeking an injunction to prevent the new law from going into effect. The association will continue to stand up for private-property rights and will fight to keep burdensome rental licensing laws out of local government.

Prop R Passes in Mehlville The St. Louis Association of REALTORS® endorsed a 49-cent tax increase in Mehlville School District through its Issues Mobilization Fund program. While property tax increases are not something SLAR typically endorses, the association viewed Prop R as a support mechanism to raising property values in the Mehlville School District. The board’s decision was based on a number of factors. The Mehlville School District has completed four rounds of budget cuts, totaling $58 million, since the 2004-2005 school year. The district continues to struggle with teacher turnover due to eliminated positions. In addition, large class sizes, lack of textbooks and technology, deteriorating facilities, and dropping student achievement have been prevalent in the district. Prop R stands for “restore.” Prop R will fund the addition of 16 certified instructors and restore classrooms with upgraded technology and textbooks. The Prop R ballot issue passed overwhelmingly on November 3rd, with 72.53% of the vote. The St. Louis Association of REALTORS® looks forward to seeing the school district thrive and congratulates the MehlvilleOakville United Committee on its successful campaign.

RPAC Participation Is Higher Than Ever

The 2015 RPAC fundraising year has come to a close and the St. Louis Association of REALTORS® has the highest RPAC participation in association history! At time Unfortunately, despite concessions made by Councilman of press, our RPAC participation rate locked in at 27.2%, O’Mara to appease both the property owners and tenant’s two full percentages higher than last year’s participation rights advocates, there were still several problems with rate of 25%. Over 1,800 SLAR members gave the $15 the final language of Bill 204, which passed in a 4-3 vote minimum investment to RPAC to help us reach this th by the County Council on October 20 . The ordinance impressive number. This elite group of REALTORS® also contains a mandated eviction clause that exceeds the state raised a whopping $140,807 for 2015, which far outshines law from under which it is being passed. The licensure our 2014 total of $125,109. scheme is vague and the ordinance delegates enforcement authority to the Director of Transportation and Public Thank you to all who have invested in RPAC. Your Works, which could lead to arbitrary prosecutions. This commitment is essential to advocacy efforts at the local, supreme authority, coupled with the legislation’s lack of state, and national level. The easiest way to make your due process, makes this ordinance potentially problematic RPAC investment is through your dues billing statement. for both rental property owners and tenants. Please “do your dues” and start 2016 on the right foot Besides the legal concerns, REALTORS® have an economic interest in maintaining a strong real estate investment market in the St. Louis area. This ordinance could deter further investment from being made in unincorporated St. Louis County neighborhoods and result in more vacant properties due to the harsh penalties on rental property owners for non-compliance. According to a 2014 study from the National Housing Conference Center for Housing Policy, 24% of renters in the St. Louis area spend at least half of their income on housing. As

with a $25 investment in RPAC!

Martina Johnson is the Government Affairs Director for the St. Louis Association of REALTORS®. Contact her at mjohnson@stlrealtors.com.

Realtor Party ®

VOTE

for candidates who support the REALTOR® Party and make the right decisions for your profession and your customers

ACT

by participating in Calls for Action, and by being active, informed, engaged members of our communities

INVEST in elected officials who support our business

7 | Winter 2016 — REALTOR® Report


Keep in Touch for the Long Haul If you want clients to recommend you to others, stay in their lives well after the transaction.

Your best chance of ensuring a steady flow of future business is to build a legion of satisfied clients who will drive referrals to you. But beyond the transaction experience, what you do after the deal matters, too. Do you check in with your clients to see how they’re doing, or do you disappear? People recommend those they know and trust, and for many, that’s a small circle. But earning that trust involves a delicate balance between too much and too little contact, says real estate coach Jared James, CEO of Jared James Enterprises in Milford, Conn. He advises reaching out at least quarterly – and making sure to keep it up long-term. “It’s probably going to be five to seven years before they move again, so you can’t stop reaching out after 18 months,” James says.

Give Undivided Attention The quality of your communications with past clients is a factor in whether you win repeat and referral business. Technology can help you stick to a system, but don’t become a robot, sending generic follow-up emails that sound like spam. Find ways to personalize your contact so that you remain just as important to clients a year after the sale as you were on the day the sale closed. For quality, nothing beats face-to-face contact. And since busy practitioners don’t always have time for one-on-one follow-up, the client appreciation party has become a popular way to connect with many people at once. Ideally, each person you invite gets some quality time, though in a room of 50 people, that may prove difficult. Bridget Martin, broker-associate at Heritage Texas Properties in Houston, organizes small events around clients’ interests. She might throw a pool party for families with kids or host a happy hour for her single clients. She also holds movie nights and ornament exchanges around the holidays. “It’s fun, but it’s strategic fun,” Martin says. Or you can aim for intimate one-on-one interactions. Renee Mascia, a sales associate at RE/MAX Right Choice in Milford, Conn., believes taking clients to dinner offers a better opportunity to get personal. “It makes a lasting impression,” she says, and it’s an appropriate environment to ask questions that inspire deeper conversation than you might have in other venues.

Keep Adding Value Whether you’re sending a casual note or a newsletter to past clients, always include something that reiterates your value as a real estate professional. 8 | Winter 2016 — REALTOR® Report

David Kent, ABR, CRS, broker-owner of The Real Buyers Agent HBC in Charleston, S.C., uses his newsletter to demonstrate his community knowledge, focusing on city cultural events and tourist attractions. That helps turn visitors into clients. The newsletter also includes a popular section on local housing statistics, including inventory and days on market. “Everybody’s always interested in value,” Kent says. James suggests keeping an eye on the number of newsletter opt-outs. If they’re increasing, you may need to reexamine the usefulness of the information you’re including.

Use Technology to Drive Personal Contact Many practitioners set up their past clients on a drip campaign to maintain regular contact automatically, but clients who hear from you only via a marketing email will learn to ignore you. Instead, use a drip campaign to set up future phone calls or visits. For example, send an email letting clients know you are going to contact them on their closing anniversary with an update on their home value – then actually follow up by phone. “Use technology to remind you to pick up the phone and be personal,” James says. “Hearing a voice humanizes the person you are talking to more than a text or email can do.” Your authenticity is the key to developing loyalty. So remember that, on a call with past clients, their lives are more important than your business concerns. That means letting go of the idea that you have to end every conversation by asking for a referral. “It kills any attempt you’ve made to be sincere,” James says. He suggests being more circumspect in seeking referrals: “Tell them, ‘Oh, by the way, we have a new home evaluation tool that gives us the value of someone’s home almost instantaneously. If you know of anyone who wants to try it out, let me know.’ ” And, of course, consistency matters. Don’t fall off the face of the planet and stop calling past clients. “I follow up forever,” Martin says, “until they die or tell me to go away.”

Reprinted from REALTOR® Magazine Online, November 2015, with permission of the National Association of REALTORS®. Copyright 2015. All rights reserved.


ELIZABETH WISEMAN PHOTOGRAPHY

Success Begins Here Reputation is not earned overnight. These accomplished agents each built thriving real estate careers over three decades exclusively with Janet McAfee Real Estate, the largest independent luxury real estate ďŹ rm in St. Louis and a recognized local leader. Personal integrity and loyalty are their hallmark traits, each earning the highest respect among peers and clients. We celebrate their impressive success and reward their sales achievement. If you wish to stand with the best in the business, contact Janet Horlacher for a confidential interview today. Janet Horlacher I 314.983.2163 I jhorlacher@janetmcafee.com (Shown from left: Linda Benoist, Lisa Coulter, and Peggy Dozier.)

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Agents Should Earn a Paycheck Real estate agents are only paid when they earn a commission. We don’t get a paycheck on a regular basis. Instead, we get a commission check at the closing of each transaction. This process makes the lives of agents stressful when there are fewer closings and gives a false sense of security during periods of higher sales. It doesn’t have to be that way! The key to reducing stress is to realize that the commission check is not a paycheck. Each of us run a business and the commission check is the income to that business. A separate business account should be used to hold all the commissions earned through our real estate sales. That account should also be used to pay our business expenses. One of our expenses should be a monthly check written to ourselves! Write a check from the business account and deposit it in your personal account to cover monthly personal expenses. The check should be written for the same amount each month, no matter what the sales are for that month. You should set your level of pay at a rate your business can afford.

PLAN FOR GREATNESS IN 2016

In addition to covering your paycheck and business expenses, plan to establish a reserve for taxes and savings. Set the amount low enough to grow a reserve that covers you in the lean times. The last step is to set your personal budget at a level your real estate sales business can afford. The beginning of a new year is a great time to get started on a new pay plan. When these steps are implemented, the stress will be gone! You will be getting a monthly check to cover expenses and still have reserves for taxes and savings. Real estate sales does not have to be financially stressful if the right planning is done.

Sandy Hancock is the 2016 President of the St. Louis Association of REALTORS®. Contact her at sandy@sandysellshomes.com.


Strategic Planning 101 It’s a great time of year for planning. In fact, the St. Louis Association of REALTORS® recently put the finishing touches on a new strategic plan. Along with this new strategic plan, we also have a business plan, organizational plan, and budget – all tied together to drive achievement of our goals. You can – you absolutely should – plan for success in your real estate business. Business planning for REALTORS® isn’t all that different from what we do at the association. Here are some ideas to help.

Start With the Why

Your Sales Funnel Marketing activities vary widely in real estate. If you’re a well-established REALTOR®, you may be fine with relying on word-of-mouth referrals coupled with a few mailings to your past client or farm list every year. But if your goals call for growth, you’ll want to plan for your desired growth by identifying your lead sources. This sales funnel, borrowed from Xplode Conference, shows three different lead sources – traditional (word of mouth), social (media), and Internet (websites).

As author Simon Sinek says in his famous TED Talk (available on YouTube), start with the why. Why are you in real estate? To earn a decent living, make a positive difference in the lives of others, feather the family nest egg? Whatever your why is, consider it your mission statement.

A Chance to Play in a Lab Coat Want hands-on training that shows you how to set up effective systems and walk away with a custom marketing plan that infuses technology into your real estate business? Sign up for Xplode Lab on February 11th at SLAR. You’ll find more information about Xplode Lab at: www.stlrealtors.com/XplodeLab. Whatever approach you choose, it’s important to take conscious steps to plan for your success. Start with the why. Develop your goals, strategies, and actions. Build, then feed, your sales funnel. Convert new leads and monitor your progress. And get ready for a great 2016!

Here’s a simple formula straight from strategic planning 101: Goals > Strategies > Tactics. Goals (what you want to achieve) followed by Strategies (generally how you will go about achieving your goals), and finally Tactics or Actions (specifically what you will do and when).

For additional resources, please visit the National Association of REALTORS® website (realtor.org) and search for keyword “business planning.”

What’s Your Big Goal and How Will You Achieve It? So, what are your big goals – what we call the big rocks in strategic planning? You might express one of your big goals in terms of your desired annual income. If so, first determine the number of transaction sides that will lead to your income goal and then the number of leads that equate to clients resulting in your transaction goal, and finally the marketing activities that will generate the lead volume you need.

conservative; 100 quality leads could actually generate three or even four transactions. And you’ll need to decide the ROI (return on investment) you get for paid leads. Many REALTORS® may be better off spending time and money up front to set up systems that generate their own (organic) leads versus paying for expensive leads.

Credit: Xplode Conference

One rule of thumb says that 100 new quality leads from these various sources lead to 10 possible new clients, which converts to two transactions. If you need two new transaction sides per month to meet your financial goals, then your sales funnel should generate 100 new leads per month.

John R. Gormley is the Chief Executive Officer for the St. Louis Association of REALTORS®. Contact him at jgormley@stlrealtors.com.

Keep in mind that this is an estimate, and probably

Members and Staff Create New Strategic Plan for SLAR The St. Louis Association of REALTORS® Strategic Planning Committee and staff managers met September 28th and November 2nd. The results? A new strategic plan and vision, along with revised mission and affirmed values. This new plan is effective January 1, 2016.

Mission

Navigate a changing market, engage in our community, protect private-property rights, convert information to knowledge, and provide superior tools.

Vision

The voice for real estate in Greater St. Louis.

Strategic Plan Goals (The Big Rocks)

• Enhance community collaboration, economic development, and visibility. • Foster member professionalism and consumer trust. • Facilitate member success, belongingness, and well-being. • Protect private-property rights and the real estate industry.

To see the strategies leaders developed for each of the association’s four goals, go to www.stlrealtors.com/StratPlan. Association committees, task forces, and work groups will develop their own tactics or actions to help achieve strategic plan goals. 11 | Winter 2016 — REALTOR® Report


SHARED LEADERSHIP Exploring the Role of Broker and Association

Regardless of where our agents are in their learning process, or where they are in their career, relevant learning should be expected from two primary sources; their broker and us – the St. Louis Association of REALTORS®. Do we give real, authentic opportunities for members to learn and grow into leadership positions? Are we a great partner on the journey to reaching professional achievements? Do we provide what members need? The answers to these questions depend on the member you ask. When thinking about professional development and what it means, I have to stop and consider leadership in general. Recently, at the annual Missouri Real Estate Commission Educators meeting, I was asked to copresent a workshop to newly accredited schools and novice instructors. While preparing for the workshop, I began to think about the tremendous responsibility we have as an association; to provide training, tools, and resources that meet the needs of our agents and at the same time, support our brokers through a partnership of shared leadership. But there is more to it than that. To really embrace the idea of shared leadership, we have to embed continuous learning in our office culture and in the opportunities we offer as an association. So how does shared leadership correlate with professional development? It can and should be the most natural, logical, and like-minded process. Shared leadership represents a way for brokers to partner with SLAR and stresses the importance of working together to help our agents become leaders within the real estate profession and their own communities. However, with this partnership, there must be bilateral collaboration. Start by encouraging your agents to take educational training beyond the MREC required 12 hours every two years. As in the past, SLAR will present a host of learning opportunities; everything from specialized designation classes, technology workshops, contemporary seminars and events focused on career success. In 2016, SLAR will begin offering outreach CE classes that brokerages can select from a menu of options. You’ll be able to customize a training program and schedule it at your office or satellite location – creating an environment where everyone is excited and energized to learn. Also, make it a priority to promote participation at the Association level; serve on a committee, join a task force or advisory group, or answer a “Call to Action” when volunteers are needed for a special project at SLAR. Demonstrate the far-reaching significance of Missouri REALTORS® Leadership Academy by sponsoring an agent each year. The benefits derived from participating in these activities becomes apparent pretty quickly. Not only do these actions help develop business relationships, they help to hone skills in teamwork, business planning, project management, and mentoring. These are all hallmarks of a future leader. The concept of shared leadership is built on an ever-changing, dynamic experience that will not become stagnant if driven by brokers and the SLAR staff, working collaboratively to develop skills and actions. The opportunity to align with your Association, to advance the professional growth of your agents, is part of our value proposition. An effective “shared leadership” is not dictated, it is facilitated – utilized to create a healthy solidarity. This allows many things to happen: inclusion, creativity, loyalty, and dedication. It just takes thought, planning, and options. In the world of real estate representation, this translates into better educated, confident agents providing the most honest, positive experience to clients. Clients will come back time and time again to an agent who is well-informed, honest, professional, and competent. Isn’t this what we all want? 12 | Winter 2016 — REALTOR® Report

Karen Dunn is the Director of Professional Development for the St. Louis Association of REALTORS®. Contact her at kdunn@stlrealtors.com 21


2016 Installation & Awards Ceremony We would like to send a very special THANK YOU to all of those that attended the 2016 Installation of President Sandy Hancock and the 2016 Board of Directors at the Chase Park Plaza.

2015 President, Janet Judd

2015 REALTOR® Emeritus, Elisha Brown

2016 President, Sandy Hancock

2014 Manager of the Year, Michele Sloan, 2015 Manager of the Year Maryann Vitale Alles and SLAR CEO John Gormley

Downtime Productions

2016 Board of Directors

Special thanks to McCarty Photography for capturing the event. To view additional photos from the event and to purchase photos visit www.stlrealtors.com/2016Installation. 13 | Winter 2016 — REALTOR® Report


MARKET TRENDS REPORT

November 2013 - 2015

St. Louis School Districts

St. Louis City New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

2013

2014

2015

278 99 $118,000 $140,048 205

293 87 $115,000 $135,732 206

291 83 $130,000 $153,987 238

Affton School District New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

25 79 $116,500 $119,140 24

46 38 $131,000 $146,063 30

25 42 $129,750 $134,742 24

13 130 $77,250 $78,512 10

13 55 $88,000 $82,034 9

16 87 $119,365 $114,427 14

20 84 $195,000 $274,700 16

14 83 $147,000 $257,169 13

17 79 $153,500 $222,917 12

10 62 $54,950 $64,378 8

8 86 $39,000 $54,643 7

New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

116 93 $67,000 $86,174 99

124 81 $85,000 $95,586 89

147 75 $80,500 $100,210 83

New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

27 53 $13,750 $12,415 11

14 54 $11,005 $15,941 10

21 55 $14,551 $14,038 4

New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

46 79 $262,500 $317,796 45

44 95 $295,000 $373,971 45

64 43 $261,250 $316,851 48

29 129 $532,000 $582,688 32

22 107 $610,000 $742,337 35

29 60 $628,665 $776,415 27

57 71 $169,250 $227,709 52

37 58 $160,000 $171,051 37

52 108 $196,250 $225,645 32

Ladue School District 15 53 $559,950 $536,431 16

22 85 $427,000 $449,500 13

18 38 $462,599 $530,977 26

Ferguson-Florissant School District New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

17 56 $37,500 $45,533 12

Kirkwood School District

Clayton School District New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

2015

Jennings School District

Brentwood School District New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

2014

Hazelwood School District

Bayless School District New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

Hancock Place School District 2013

99 94 $56,950 $56,740 66

New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

Lindbergh School District 90 64 $50,000 $56,725 47

100 108 $65,000 $65,537 49

New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales


Maplewood-Richmond Heights School District New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

25 61 $212,200 $224,312 18

25 90 $140,000 $127,146 13

Rockwood School District 16 51 $168,200 $228,118 22

Mehlville School District New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

145 70 $274,900 $311,674 117

137 59 $286,800 $362,712 131

144 46 $276,000 $317,440 100

46 77 $166,500 $187,450 26

40 78 $295,500 $304,264 26

28 54 $283,500 $313,108 31

39 72 $184,700 $246,122 44

44 35 $225,500 $285,793 36

University City School District 96 111 $134,000 $156,881 85

91 73 $155,000 $179,019 72

96 50 %152,500 $167,771 78

Normandy School District New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

Webster Groves School District 39 62 $20,200 $36153 33

24 90 $18,000 $47,936 20

38 66 $34,000 $57,229 15

148 68 $239,900 $290,916 115

141 58 $214,250 $306,675 120

161 53 $240,000 $295,814 117

New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

41 64 $205,000 $238,585 37

Parkway School District New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

Pattonville School District New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

43 109 $128,250 $134,440 32

53 91 $117,000 $122,057 37

55 54 $146,000 $149,796 47

66 85 $44,553 $59,791 40

41 52 $52,500 $60,784 40

55 67 $59,900 $64,100 35

45 69 $18,000 $27,380 21

45 52 $27,000 $32,954 21

Ritenour School District New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

Riverview Gardens School District New Listings Avg. Days on Market Median Sale Price Avg. Sale Price Number of Sales

56 74 $24,000 $27,431 35

For additional comparison reports, visit our website at www.stlrealtors.com/DistrictStats.


Healthy Tech, Healthy Business Until it slows to a crawl, idles, or crashes, you likely take for granted that your laptop or desktop computer will do what you expect it to. But it’s risky to overlook regular computer maintenance and even worse to be in the dark about whether your backup system is functioning. The fact is your computer will give out on you one day; you just don’t know when. The average useful life expectancy of today’s computers is anywhere from two to five years, says Matthew Cohen, chief technologist for Clareity Consulting, a real estate technology firm based in Scottsdale, Ariz. But you’ll likely be able to increase the longevity of your devices – and eke out perhaps seven or eight good years – by following these tips. In short, a fast, fit, and trouble-free computer requires regular updates, cleanups, and backups.

Keeping It Clean Your computer is probably covered with tiny dust particles, which can severely shorten its life span. “Dust is a killer,” says Burton Kelso, owner and chief technology helper of Integral Computer Consultants, a Kansas City, Mo., computer repair company. “When dust collects inside your technology, it can cause your devices to overheat, which will cause them to fail.” To beat back interior dust bunnies, Kelso recommends his clients – 15% of whom are real estate agents – clean the inside of their computers once a year. If you’re not comfortable with unscrewing the housing and zapping the inside with a can of compressed air, then hire a professional. The can costs less than $10, while professional help will set you back between $50 and $100 per hour. Aside from keeping mechanical parts of your computer clean, you should also pay attention to software clutter. Delete programs and applications you don’t use. Cohen suggests using the “add and remove software” feature to cull old files and programs. “Always keep the hard drive at least 20% empty,” he adds. “If you have too much stuff, it’s time to upgrade your hard drive, with technical help, or remove unneeded files.” Don’t install another program just to find out which programs to clean up. Cohen says practitioners should avoid utility apps that promise to optimize or clean your computer. “They cause more harm than good,” he says. Older computers used to benefit from defragmenting, which basically compacted information on your hard drive, speeding up your system. Cohen says most Windows defragmentation utilities are set to run automatically. “However, sometimes, one needs

16 | Winter 2016 — REALTOR® Report

to analyze and defragment the discs,” he adds. To do this, go to the Start menu, type “defragmenter,” and locate the “disc defragmenter” utility. Mac users “generally don’t have to defrag,” Cohen notes. “It does it on its own.” Finally, check your preferences and examine which programs launch automatically upon startup and which ones are constantly running in the background. You can almost always change the settings so that they use up less of your computer’s operating power.

Staying Secure Kelso says malware is the cause of many computer issues, so Windows and Mac users need to take protective steps. Always download antivirus software directly from the vendor site, and don't share your account information with others. Part of keeping your computer secure is limiting access to it. Marc Catuogno, director of information technology for Better Homes and Gardens Rand Realty in New City, N.Y., oversees 200 computers for 800 active agents and 23 offices. To keep data safe on corporate computers, Catuogno suggests centralizing important information and making it inaccessible to the general sales population. “We keep our data in the main home office,” Catuogno says. “Anything really important we keep on our extranet, [which] is passwordprotected and limits the harm that agents can do to each other’s data.” Keeping information stored this way can actually help agents’ computers run more efficiently, because the hard drive doesn’t have to store data locally. “There is very little information actually on the computers; everything is Internet-based,” Catuogno says. “We encourage the agents to keep their own portable thumbnail drives if they need to access things.” And it’s not just other users you need to be careful about; be choosy about the web applications you use as well. Read their user agreements and research past security breaches before signing up. If you're looking for a free email solution, choose Gmail, Kelso says, over the less-secure Yahoo or AOL.

Keeping Up-to-Date Sometimes computers are slow because you've been ignoring that box that pops up telling you it's time to update programs, or even to get the latest operating system. If you’re really far behind, that can mean your software and hardware don't have

the patches they need to interact smoothly and safely. However, don’t get too update-happy. Sometimes it’s best to wait a few days on major updates to make sure they work properly. United Real Estate Scottsdale broker Byron Short, who oversees information technology for 42 agents, warns practitioners against updating immediately. “There’s no reason to be on the bleeding edge,” Short says. “Let somebody else take the damage. Then come in when it’s proven and it works.”

Having an End Game Everyone needs to prepare for the worst-case scenario: losing your data in a crash. Store critical business data on secure servers or using cloudbased systems like Carbonite or Dropbox. Even when your computer suffers a catastrophic failure, this doesn’t mean your business has to experience it as well. Kelley Skar, a real estate practitioner with CIR Realty in Calgary, Alberta, says the last time his laptop crashed in 2012, he lost 30% of his data. Fortunately, he'd backed the remainder up using online storage systems. Since then he’s spent about $300 to add a two-terabyte external hard drive that uses Apple’s Time Capsule program to back up his data locally once a month. No matter how well you manage your computers, you’ll need to replace them eventually. Catuogno’s company uses Windows and Acer machines, but it doesn’t change out its inventory wholesale. Instead, he replaces the oldest machines with new PCs every 12 to 18 months. The company does keep older models that still have life in them available for agents who prefer to stick with what they know.

Reprinted from REALTOR® Magazine Online, October 2015, with permission of the National Association of REALTORS®. Copyright 2015. All rights reserved.


Celebrating the Holidays With Our Heroes

The St. Louis Association of REALTORS® Military and Veterans Outreach Alliance brought another great Christmas celebration to the Missouri Veterans Home this year! In partnership with USA Mortgage VA Lending Department, our caring and kind REALTOR® members provided an amazing holiday experience for all the residents. Through this incredible network of volunteers and generous donations, each Veteran received the items on their wish lists. The joy and happiness expressed by these heroes could only be measured by the smiles on their faces and the tears in their eyes.

A big thanks to all who contributed and donated. Your kindness made a profound difference in the lives of our Veterans! 17 | Winter 2016 — REALTOR® Report


DESIGNATED REALTOR® Yvonne Bohac Allen Grace Havens Realty Christopher Dailey Dailey Real Estate and Investment Gary Hickman Heritage Financial Strategies, LLC Karen Lovadina Karen Lovadina, Broker

Yuejin Li US Midwest Realty Edward O’Daniel Dunamis Realty Charles Partee Innovative Realty, LLC Julia Roberts Opulence Way Realty, LLC Thomas Tricamo Rocklin Realty, LLC

Patrick Queenan Archview Realty, LLC

Stacey Sanders Berkshire Hathaway Alliance Real Estate

Kyle Montgomery Absolute Home Inspection Services, LLC

AFFILIATES

Kirby Morris Midwest Bank Center

Adam Boden Avenue Real EState Jennifer Briner Martin, Leigh, Laws & Fritzlen, PC Logan Bullard Everbank

DESIGNATED REALTOR®

Luis Carreno Luis Carreno Photography

Dilek Acar Acar Real Estate Inc.

Justin Conlon Pillar To Post

Jacob Landfair Landfair Corporation

Claire Davidson MB Financial, N.A.

Donald Pydo The Pydo Group, Inc.

Kevin Davis Investors Title Company

Jerry Spitzmiller Spitzmiller Realty

Tabatha DeClue Greg Bauer Services, Inc.

Randall Vanderpool Overland Park Partners, Inc.

Viola Haegele Keller Williams Realty Chesterfield

DESIGNATED REALTOR®

John Hayden State Farm Insurance

Damian Gerard Gerard Realty Group

Nels Rosvall Atrium Residential

Christopher Kaemmerer Kaemer Company Home Inspections

Maria Gianino Renovation Real Estate, LLC

REALTOR®

Kerrie Lasater Hometenders Home Staging

Christopher Reatini Fidelity Realty Estate Company Thomas Walsh Walsh Realty, LLC

DESIGNATED REALTOR /STATE CERTIFIED APPRAISER ®

John Kahr Kahr Appraisal Company, LLC Nancy McGrath Nancy McGrath, Appraiser

DESIGNATED REALTOR®

Previously REALTOR®-Associate

Kelly Jackowick Kelly’ REALTORS®

18 | Winter 2016 — REALTOR® Report

Secondary Member

Dual Member

Previously REALTOR®-Associate Marinka Nekic Keller Williams Southwest

Larry Loveless Big Bend Electrical

Charles Rhoades Rhoades Home Inspections, LLC Marc Robinson Next Project Studio Cyndie Roche Payne Family Homes Angela Saenz Michael Terrell, CREA James St. Vrain BPG/ABA Inspections & Consulting Robin Thorpe BPG/ABA Inspections & Consulting

COMPANY NAME CHANGE Daniel Asher Asher Realty (Previously St. Louis Real Estate Society) Donald Cherry Manor Brokerage, LLC (Previously Manor R.E. Residential, LLC) Christopher Hulse Grove Realty, Inc. (Previously UIC Realty) Cheryl Rabin Owners.com (Previously Real Home Service & Solutions)


January January 6

2015 Executive Committee & Board of Directors Closeout Meetings - SLAR

January 13

Affiliate Council Meeting - SLAR

January 13

Home Inspections: The Good, the Bad & the Ugly (CE) - SLAR

January 13

Agency & the St. Louis Contract (CE) - SLAR

January 15

Successfully Selling HUD Homes (CE) - SLAR

January 20-21 Bootcamp Basics - SLAR January 25

The MREC & You: 20 Easy Ways to Lose Your License (CE) - SLAR

January 27

2016 Executive Committee & Board of Directors Meeting - SLAR

February February 1

Industry Forum - SLAR

February 11

Xplode Labs - SLAR

February 4

Urban Affairs

February 13

Staging Sells (CE) - SLAR

February 5

Clearing the Agency Confusion (CE) - SLAR

February 10

Affiliate Council Meeting - SLAR

February 17

Economic Forecast Breakfast - Sheet Metal Workers Union Hall

February 10

When Good Agents Go Bad (CE) - SLAR

February 24

Board of Directors Meeting

March 19

Credit Scores and Reporting: What Matters? (CE) - SLAR

March March 9

Affiliate Council Meeting - SLAR

March 14

Ethical Dilemmas (CE) - SLAR

March 16

Executive Committee Meeting - SLAR

March 19

The MREC & You: 20 Easy Ways to Lose Your License (CE) - SLAR

March 18

The Top Ten & Other Lists (CE) - SLAR

March 23

Board of Directors Meeting - SLAR

19 | Winter 2016 — REALTOR® Report


St. Louis Association of

REALTORS®

12777 Olive Blvd. | St. Louis, MO 63141 314.576.0033 | www.stlrealtors.com RETURN SERVICE REQUESTED

DO YOUR DUES

Your RPAC Dollars Working for You

$500

When it’s time to renew your St. Louis Association of REALTORS® membership for 2016, don’t forget to make your annual contribution to the REALTORS® Political Action Committee!

Saved per REALTOR® annually by exempting real estate licensees from the Unemployment Compensation Tax

$1,500

Saved per transaction by prohibition of the Transfer Tax in Missouri

$3,825

Saved per REALTOR® annually by cutting Capital Gains

$5,400

Saved per REALTOR® annually by preventing banks in real estate

$6,250

Saved per REALTOR® annually by expanding the GSE Loan Limit

*Contributions are not deductible for Federal income tax purposes. RPAC contributions are voluntary and used for political purposes. You may refuse to contribute without reprisal or otherwise affecting your membership rights. Seventy percent of your contribution goes to your State and Local PACs to support state and local political candidates. Thirty percent is sent to National RPAC to support Federal candidates against your limits under 2 U.S.C. 441a; after the state PAC reaches its RPAC goal it may elect to retain your entire contribution for use in supporting state and local candidates.

SLAR Realtor Report | Winter 2015  
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