BILL CHERRY'S GREATEST DALLAS PARK CITIES REAL ESTATE BLOG: June 2010

Some month's back, I was a buyer's agent for a property listed by another agency.  It was an REO. 

(I'm going to use made-up names in this story.)

I'd never heard of the Mary Jones & Associates, Realtors agency before.  When I called to tell her I would be submitting a contract...were there any bank requirements? Mary said, "Great!" And then she told me there was an addendum that the bank was insisting on.  She'd fax it to me.

Well, after a day or so, I found that Mary had no earthly clue what she was doing. She was very nice to speak with, and was trying hard, but she really didn't know so much as the rudiments of real estate.

I submitted the contract a few days later, and when it was countered by her client, I noticed that the name of the listing broker had been changed from Mary Jones & Associates, Realtors, to Haberdashery Real Estate Associates, Inc. Mary had signed on their behalf.

I went to the web site of the Texas Real Estate Commission and found that Mary was not a broker, but an agent.  By her license number it was easy to determine that she had not been an agent for very long.

I then searched for Mary Jones & Associates and found that it was a DBA of the same broker who was doing business as Haberdashery Real Estate Associates, Inc.  That broker's main office -- where he officed -- was a four hour drive from Mary Jones & Associates' office.

So what we have is a ruse.  Mary is "pretending" to be a broker.  She's an agent.  And while Mary Jones & Associates has its own phone number, office, signs and agents, it's not a real deal.  The public is being misled.  Apparently the Texas Real Estate laws permits this; the Texas Association of Realtors must not care.

BILL CHERRY, REALTORS

DALLAS - PARK CITIES

Our 45th Year

214 503-8563

WEB

For as long as I can remember, Galvestonians have moaned and groaned about the physical denigration of the island. 

And that's a long time when you realize I opened my eyes for the first time at Galveston's St. Mary's Infirmary 70 years ago.

I've written about the Island's problems before.  The most recent was in a piece that I wrote three years ago, "Carbuncles Harming the Island's Skin."

Critics say, Not enough middle-income housing, not enough good jobs, the perception of poor public schools, too much public housing and no industry. How dare UTMB threaten to diminish in size?

What to do? 

The standard decision:  Call in a study group from another part of the country to evaluate the city's strong and weak points.  Let the study conclude what can be done to resolve the problems.  (Have you ever noticed there's never a part of the study group's contract that says they will resolve the problems after they find them?)

"Two hundred thousand dollars, please."

A wag or two write letters to the editor, "Heck, anyone who lives here could have told them "that," and it wouldn't have cost taxpayers 200 grand."

For at least 100 years, the citizenry has had a welfare mentality; the very attitude that many accuse the city's disadvantaged of. 

The common denominator, if there is one, is simple:  We're not willing to work toward resolving the problems ourselves.  We've always expected the wealthy islanders to take care of it.  For years it was the Sealys, Kempners, Hutchings, Moodys and Maceos. 

In the main, the Sealys, Hutchings and Maceos have moved on, but they were replaced by the Mitchells and the Fertittas.  Hot dog, we were in luck!

And then as these problem solvers attempted to make Galveston better, what Islanders arrogantly demanded that they do, the problem solvers found themselves facing huge numbers of very vocal, critical ingrates.

That's welfare, alright.  It's just not taking place in a federally subsidized housing project.

For more than 20 years I physically called on and traveled to visit the heads of companies who we felt could have done well in Galveston.  I wanted so badly to make a difference, to solve the problem.

New York, Boston, Los Angeles, Chicago, Atlanta, Miami, Savannah, Charleston, San Francisco, Denver.  No one in my lifetime has gone more miles or worn out more shoes trying to bring businesses to the Island than I have.

There was no study.  I went to their office, looked them in the eye and did my best to sell them on opening an office, a store, a new business in Galveston.

It became harder and harder for me to go.  Harder and harder to smile, by then knowing that the chance of another rejection was great.  I kept on.

In the 1980s I called in a favor.  Lester Quick was the founder of one of the first discount securities brokerage firms in the U.S., Quick and Reilly.  I asked my friend, who was Quick's best friend, if he could get him to look at Galveston if we paid his travel and lodging expenses?

My idea was that with Quick's influence and the massive capital raising facet of Quick and Reilly, he might put Galveston on the road toward success.

When Quick arrived, we boarded a helicopter and flew the island.  We landed, and then he said, "I can't do anything to help you."

What he said was what, in my heart, I already knew.  Corporations whose businesses do not require them to be attached in some fashion to the Gulf of Mexico will not consider locating here. 

Here are the primary reasons:  Galveston presents risks that other parts of the U.S. don't.  Hurricanes, fluctuating population, antiquated infrastructure and expensive travel access are insurmountable obstacles.  Quick's list went on and on.

So if Quick's analysis was correct, and nearly one hundred years of experience seems to quantify that it was, how does Galveston become the place Islanders wish it were?

Well, to start off, it has to make substantial progress without the help of outsiders.

First and foremost, it is necessary to provide hope as well as a structured avenue for the disadvantaged to no longer need to be poor wage earners.  That's done through education.

While GISD was huffing and puffing about the benefits that would accrue to the city if it built a multi-million dollar sports complex, Galveston College president, Myles Shelton, had plans for acquiring a 4 acre tract of land with a 40,000 square foot industrial building.

He envisioned it becoming a place of classrooms and shops where students could learn trades - welding, air conditioning maintenance, plumbing, electrical - where those who walked into his doors with little hope, could walk out smiling, confident because they had acquired skills that are marketable, and they know they'll be rewarded with a lot more than minimum wage.

That's how you reduce crime, reduce the need for subsidized housing, increase citizens' - especially young people's - self-worth.  That's how you raise the demand for middle-income housing, and cause builders to produce it.

Galveston Independent School District should follow Shelton's lead, and with the promise of integrating the two programs.  If state and federal laws are in the way, get them changed.

Your personal goal as a citizen should be to back only programs that make Galveston a town that can support itself, a town that is so magnetic that others will want to be a part of it.  You can do that.

It's counterproductive to blame city hall, the council, and whether or not the property taxes are too high.  All will change as you and I articulate our expectations.

Rabidly support education programs for those who will not get a degree from a senior college. 

Refuse to participate in thoughts and discussions that the Island will be made the place you want it to be if industry can be encouraged to move here, and if Tilman Fertitta will get busy and renovate the Flagship hotel.

That's both a lazy and ludicrous mentality.

Take a very broad step today.  Send a $1,000 donation to the Galveston Historical Foundation.  That will make you a lifetime member.  And it will make you an important voice in the one organization that has done more to revive Galveston to a place of productivity than any company, governmental entity, or private investor has done.

That's not just my opinion.  The evidence is empirical.

Finally, demand...not taking no for an answer...that the city's building codes and ordinances be strictly enforced.  No excuses.  No exceptions.  No junk cars in yards, no substandard housing.  Period.

Copyright 2010 - William S. Cherry

(Permission granted to reprint this if unedited and with proper credit given the author)

BILL CHERRY, REALTORS

DALLAS - PARK CITIES

OUR 45th YEAR

214 503-8563

WEB

From Fox News:

"NEW ORLEANS - Out-of-work Gulf Coast shrimper Todd Pellegal spent his first $2,500 check from BP quickly, paying off bills and buying groceries for his family.

"He never even considered putting some of it away for taxes.

"Now he's among the people up and down the Gulf Coast reeling from the oil spill disaster who are surprised - and frustrated - to find out the Internal Revenue Service may take a chunk of the payments BP PLC is providing to help them stay afloat."

This is an odd consideration.  It would seem to me that those who receive the payments would be able to write off their losses against them, so that the net taxable income would be zero.

However, whatever is decided, these people need all of the help and consideration they can get from BP, citizens, the federal and state governments and even the IRS.

BILL CHERRY, REALTORS

DALLAS - PARK CITIES

Our 45th Year

214 503-8563

GOODYEAR TIRE CENTER

10150 Shoreview (Ferndale at Northwest Highway)

214 341-3773

WEB

I suspect more people, if they were to be honest and admit it, don't know any more about automobile repairs than I do.  Heck, even the fellows who claim to be mechanics oft times are giving themselves more credit than they are really due.

When we moved to Dallas about five years ago, one day my alternator light came on.  Ironically, across the street was a GoodYear store, and I could see that they not only sold tires but did automobile repairs.

I pointed the car in that direction and it all but limped into the shop's parking lot.

Inside I found Mary Meadows, who to the eye looks like a fashion model, but it turned out the business belonged to her, and on top of that, she was from Galveston's nearby neighbor, Texas City.  (I'm from the Island) We kibitzed and it turned out we knew a lot of the same people.

Well you know me, I interview everyone.  I just like knowing about people.

It turns out that Mary and her first husband had moved to Dallas about 30 years before, and the two of them had bought this GoodYear store.  They had worked side by side for many years, and as their son Stephen was growing up, he worked there, too.

Mary's husband passed away.  By then Stephen, out of college, was working there full-time, so Mary and Stephen formed their mother-son partnership.  She would take care of the business details as she always had, and Stephen would run the repair shop.  Meanwhile Mary remarried, Stephen married and he and his wife have two boys.

Since then, Mary and Stephen have added Manny Esquivel to act as joint service manager with Stephen.

So over the past five years, all of Patty's and my car repairs, tire replacements, and Interstate Batteries have been handled by Mary, Stephen and Manny as Manny and Stephen oversee a very capable staff of fully certified repair technicians.

Residents of Dallas -- especially those in the Lake Highlands and Lakewood areas and nearby -- would be wise to get to know Mary Meadows, Steven Wolston and Manny Esquivel.  They're there when you need them, and in my experience, they always come through. 

When you call or stop by, tell them that Bill Cherry told you they're the best. 

BILL CHERRY, REALTORS

DALLAS - HIGHLAND PARK

Our 45th Year

214 503-8563

WEB

My friend of many years, Galen Jeter, is a well-known biology teacher and a great jazz trumpet player.  He leads the famous Galen Jeter Jazz Orchestra.

He swears this happened.  And you know, I honestly find it hard to think that it didn't.

In a  Purdue University  classroom, they were discussing the qualifications to be President of the United States.

It was pretty simple:  the candidate must be a natural born citizen of at  least 35 years of age.

However, one girl in the class immediately started in on how unfair was the requirement to be a natural born citizen.  In short, her opinion was that this requirement  prevented many capable individuals from becoming president.

"What makes a natural born citizen  any more qualified to lead this country than one
born by C-section?" she asked.

BILL CHERRY, REALTORS

DALLAS - PARK CITIES

Our 45th Year

214 503-8563

WEB

Right now, most Americans who have real estate in flood prone areas of the U.S. are unable to renew their flood insurance under the National Flood Insurance Program, and the majority cannot find private carriers to step in and write it for them.

Congress has not renewed the program.

Those who can find a private underwriter are undoubtedly stuck with very high premiums, premiums that are too high for many to afford.

This leaves the property owners in violation of their mortgage contracts and it leaves them self-insuring any lost due to flood. 

Let's think about this for a moment.  Say a hurricane strikes Galveston again before the National Flood program is reinstated.  Many property owners will have extensive damage, some will lose their homes and buildings entirely, and they will have no way to recover.

I joined many who have written Senator Kay Bailey Hutchinson since she understands the importance of the flood program.  First, she was born and raised in Galveston County, and secondly, her daddy owned a casualty insurance agency.

Here's her response.

Dear Friend:

Thank you for contacting me regarding the National Flood Insurance Program (NFIP). I welcome your thoughts and comments.

Congress established the NFIP in 1968 to combat the mounting flood losses. Nearly 20,200 communities across the nation participate in the NFIP by adopting and enforcing floodplain management ordinances to reduce future flood damage. In exchange, the NFIP currently covers over five million homeowners, renters, and business owners in these communities through federally-backed flood insurance.

In 2008, I supported legislation to reauthorize the NFIP through 2013. The Flood Insurance Reform and Modernization Act of 2007, which passed the Senate on May 13, 2008, would have modified the program to address issues highlighted by the 2004 and 2005 hurricane seasons, and forgiven the outstanding debt of the NFIP. Unfortunately, efforts to resolve differences between the Senate bill and its counterpart passed by the House of Representatives were unsuccessful, and a long-term reauthorization of the NFIP was not enacted during the 110th Congress.

On March 10, 2010, the Senate passed H.R. 4213, the American Workers, State, and Business Relief Act of 2010, which is legislation that extends the NFIP through December 31, 2010. However, because the Senate-passed version differs from its counterpart in the House of Representatives, both chambers continue to work to modify H.R. 4213 to resolve the differences between the two versions.

Without H.R. 4213 in place to provide a year-long extension, Congress has passed a series of short-term measures to extend the authority of the NFIP. Yet on May 28, 2010, the authority of the NFIP to issue new flood insurance contracts lapsed when the most recent extension expired.

Homeowners in special flood hazard areas are required to purchase flood insurance. Without the NFIP, many homeowners have been unable to access affordable flood insurance necessary to receive, increase, extend, or renew their mortgages. As another hurricane season has arrived, we must act quickly to re-authorize and extend the authority of the NFIP.

As Congress continues to debate an extension of the NFIP, you may be certain that I will keep your views in mind. I appreciate hearing from you, and I hope that you will not hesitate to contact me on any issue that is important to you.

Sincerely,
Kay Bailey Hutchison
United States Senator284 Russell Senate Office Building
Washington, DC 20510
202-224-5922 (tel)
202-224-0776 (fax)
http://hutchison.senate.gov

It would be valuable if you would contact your U.S. representatives and demand that action be taken immediately, irrespective of whether or not you live in a flood prone area. 

BILL CHERRY, REALTORS

DALLAS - PARK CITIES

Our 45th Year

214 503-8563

WEB

Interestingly two of the largest Episcopal Church congregations in the U.S. are in Dallas, Texas. 

They are Saint Michael and All Angels, and Church of the Incarnation.  Both have extremely loyal memberships.  So loyal, in fact, that it is not unusual for all of the Sunday services at each church to be full or nearly full.

And both have a large number of participatory programs during the week. 

Church of the Incarnation follows the Anglican traditions.  Although I was raised in a less formal church in Galveston, Trinity Episcopal, I found myself gravitating to the Anglican tradition when I began going to the campus Episcopal chapel, Chapel of the Holy Spirit,  when I was a student at Tulane University in the late 1950s. 

Now that we are in Dallas, Patty and I are members of Church of the Incarnation.  Its rector is a bishop, a bishop who decided he wanted to return to being the spiritual leader of a single parish.  He is the Right Reverend Anthony Burton.  And interestingly, he was the youngest person ever ordained a bishop -- he was in his mid-thirties.

One of the best measurement of how any church is doing is whether or not its membership is increasing or decreasing.  I smiled when Bishop Burton confirmed this large class a couple of months ago.  It reminded me of when I was confirmed at Trinity Episcopal in Galveston, Palm Sunday, 1952 by the legendary Bishop Clinton S. Quin.

As it was for me in 1952, this was a glorious day in 2010!

CHURCH OF THE INCARNATION

Church of the Incarnation is located at 3066 McKinney Avenue in Dallas, near Central and Lemon.  The web site is www.incarnation.org.

BILL CHERRY, REALTORS

DALLAS - PARK CITIES

Our 45th Year

214 503-8563

WEB

TREE SCULPTURES

When Galveston Island, on the Texas coast 50 miles from Houston, was struck by Hurricane Ike, massive parts of the Island flooded.  Many homes were destroyed, many more than that sustained substantial damage.

Galveston had always been known for its oak and oleander trees.  Well, when the salt water flooded the root systems and could not be flushed away for days, more than 40,000 of those trees died.  That was almost one tree for every resident of the city.

And most of the oak trees were well over 100 years old.

The city waited patiently as scientists carefully studied each one with the hopes that it could be saved.  Very few were, so those had to be cut down.

What to do? 

Someone came up with the idea of making the trunks sculptures and placing them in yards throughout the East End, the neighborhood the trees had shaded and beautified for so man years.  Here are some of the results.

The sculpture of the Tin Man from the "Wizard of Oz" is appropriately in the front yard of the Galveston home of King Vidor.  He was both a Galvestonian and the movie's director.

Galveston has never been a town that shies away from rolling up its sleeves.

BILL CHERRY, REALTORS

DALLAS - PARK CITIES

Our 45th Year

214 503-8563

WEB

3508 BRENTWOOD, COLLEYVILLE
MLS 11410688

$369,500

OPEN HOUSE 2 TO 4

SUNDAY, MAY 13, 2010

Sunday Open Houses are a good way for those looking for a home to see what's on the market.  The real estate agent who has listed the home for the sellers will be there as host, to show you the features of the home, but in a casual way.

So it is perfectly all right for you to come with or without the Realtor whom you've may have chosen to represent you.

You will be asked to sign a guest book, including your name, address and phone number.  However, this is primarily to assist in assuring the safety of the homeowner's property and that of the agent.  Usually you'll get a note or phone call from the agent a few days later, but its purpose is primarily to thank you for coming and to see if you have any additional questions.

So this will be the format for the Open House I will host on Sunday, May 13th between 2 and 4 at 3508 Brentwood, Colleyville.  For those of you new to the area, Colleyville is a bedroom community of Fort Worth.  It has a reputation for exemplary schools and churches.

I'll look foreward to meeing you.  Dress casual and don't expect any resemblance of a sales pitch.

BILL CHERRY, REALTORS

DALLAS - HIGHLAND PARK

Our 45th Year

214 503-8563

WEB