Last week I received a phone call from a man who had a partially finished $3.5 million home on his hands. There were not any prospective buyers, and it would be completed in almost moments.
Frankly, it had been on the market for 195 days with an agent with one of the Dallas hotsy-totsy agencies. (And that's not meant to be a disparaging remark directed to that real estate company. They wisely learned to appeal to the market that buys and sells in the Dallas Park Cities area.)
They couldn't sell it, and from their cock-eyed, dirty sign in the yard, I suspect the agent hadn't been by in days. In fact, their listing had been expired for more than a week, yet they apparently were unconcerned about their sign now being a violation.
The caller was responding to a letter I had written when his listing had expired, telling him it might be time to try a Realtor who uses a different marketing tactic, which I do.
We were to meet this next morning at 11. I was on time. He wasn't, In fact he didn't show up at all, and he didn't answer his phone when I called. I even left him a voice mail message.
While I was there waiting on him, I toured the home. There was no on there supervising the workmen. If anyone spoke English, I was unable to find him.
So here's what I saw: The architectural layout was weird...in fact, let me modify that a bit..it was crazy. There were numerous mistakes in the quality of the workmanship, and in most instances the trim, cabinets and fixturing were substandard to a home expecting to justify a $3.5 million price tag. The front steps were partially completed, that task having been abandoned for some reason. It made walking up to the porch dangerous.
When I got back to my office, I googled the fellow's name to see who he was. Apparently he's in the restaurant-bar business. He's had his image problems if one is to believe the newspaper and magazine reports.
My purpose in writing this blog is as a muse that's prefaced by legitimate questions: First, why would a lender loan someone with limited experience the money to build a $3.5 million spec home? Why would someone who borrowed $3.5 million to build a spec home not use quality materials and workmen, and further, not have professional supervision to oversee the building process?
Have you ever noticed how many think our business requires no experience or specific knowledge?
And finally, what's the deal with standing up a Realtor? In this market everyone with real estate inventory to sell needs all of the friends and support he can get.
Would I have taken the listing had he been on time? No, not after what I saw.
BILL CHERRY, REALTORS
DALLAS - PARK CITIES
Our 45th Year
214 503-8563
Sometimes (quite often really!) you luck out and don't have to deal with a Seller who is apparently not as reliable as you'd like! Who need an overpriced listing in today's market!?? ( That may be why they other company wasn't paying a lot of attention to this Listing.)
Bill,
Certainly takes all kinds....I gave up trying to figure people and situations out a long time ago in order to save my sanity.
Jo
Hi Bill... sometimes knowing when to turn down a listing is not a difficult decision! It sure sounds like you already knew that!
I've always felt the first step and best step an independent builder can do is consult a Realtor and get his advise and input on any potential spec house. What size sells, what plan, what area, which lot is best, etc. If you skip this step you might just end up like this guy did with an underbuilt, over priced, wasteful and ugly 3.5 million dollar spec house.
Bill, this is a great post and since I was in the construction business for 16 years i know what you mean about people deciding to become "Builders" What a mess, there are two kinds of builders. Those who have hands on knowledge and a history of the business and then there are those who are paper shufflers who just hire out everything and walk around the job site with a shiny tape on their belt. They would not know if a foundation was properly poured, the framing was upside down, or anything about the house was correct and probably don't care anyway. BTW I cracked up at the "hotsy totsy" comment, Our company is like that here in Austin, but the sort of inept handling you described in this situation would not be tolerate! Have a great weekend!
Very educational and provocative post. Thank you for sharing your thoughts and insights. I make a point of telling clients that if they are going to be more than 15 minutes late, they need to call me to reschedule. That helps but doesn't eliminate those with boorish behavior to begin with.
Hey Bill...yes home improvement and DIY shows have glamourized the building, remodeling and realty trades. Many think it is an easy road to riches. We who have been in the biz for the long haul know what it takes to be successful. We also know when to walk away. Sounds like you are better off without the listing. Cheers!