Today, I was reminded of how fragile the ground upon which we stand is. This picture was taken along the banks of one of the most magnificent bodies of fresh water in the world...Lake Michigan. Standing at the top of the dune, my eyes were drawn to the sign asking us to stay OFF the Bank (Fragile Area). You see, in some spots along the lake, there is a problem with shifting sand. Some residences have required significant under-girding to secure them from sliding down the hill.
This evening, I've reviewed a number of blog posts about the $8,000 Tax Credit that WAS, and now appears to BE NOT...and perhaps may reappear in the future in a modified version. I can't help but think of how fragile our systems of communication are. At a time in which news is instantaneous and can be projected onto the world stage in the twinkling of an eye, we are all vulnerable.
Within the past few years, we have witnessed the demise of many newspapers due to shrinking sales revenue. It's very difficult for hard core reporting to compete with the immediacy of millions of newly arrived online commentators. But, in our rush to know everything as soon as possible, I wonder if we are in the process of sacrificing something far more important...the truth.
Truth, is not easy to uncover precisely because falsehood is so insidious and conspicuous. Truth may not be clearly evident in the cursory glance and often requires real digging to unearth. Truth also functions in tandem with discernment; the ability to understand what a thing or person really is and make a right judgment. This requires a certain level of maturity. In an age when opinions masquerade as facts, we're all prone to error.
I recently returned from the Real Trends Gathering of the Eagles Conference in Dallas, Texas. My experience has me thinking about how dramatically the real estate landscape is changing. New brokerage models and ideas about how to manage agents and transactions are being explored as brokers struggle to deal with rapidly shifting market realities.
The power of Shift, is that it takes you to a new place. The danger of Shift is that you may not be entirely prepared for unforeseen consequences. As much as I understand the embarrassment and frustration felt by many with regards to confusion regarding the announcement of the monetization of the $8,000 tax credit, I think that there is a wider issue worth examining. We need carefully reflect on how our industry is going to take advantage of these incredible new tools available online and through social media in a manner which benefits our members and the public while guiding all of us through uncharted territory.
This is an opportunity to not just release pent up frustration, but to offer constructive channels of dialog about ways in which we can choose to rise to the challenge of creating a new path of progress forward. Your thoughts?
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Lola Audu, is the Designated Broker & Owner of Audu Real Estate. Our company specializes in helping people buy and sell homes in the greater Grand Rapids, West Michigan area. We've had the privilege of helping hundreds of clients succeed in their goals of purchasing and selling property including demonstrated success in the negotiation of Short Sale Transactions. You can contact us via e-mail @ info@auduhomes.com or by phone at 616-791-0511.
Lola, this just illustrates in life how EVERYTHING is always subject to change and we must just roll with it. I think the demise of newspapers has to do with habits. Print newspaper has many advantages over online but youngsters are not raised on it anymore.
Gary, it strikes me that the demise of the newspaper may be a metaphor which is descriptive of a wider shift in our culture. We're all moving so rapidly that it's sometimes difficult to really understand the underlying implications of certain things. I think this is also impacting our industry...this recent issue with the announcement at the mid-year NAR conference by the HUD Secretary is an example & sign of the times.
Lola
Absolutely amazing that our government can crank out trillions to companies that are supposed to make it or break it; the fore mat of capitalism. What really is saddening is that the economy will get a great shot in the arm from the tax break which only happens when a first time buyer buys a home and closes on it. Wouldn't it be great if they could get this right and throw some adrenaline into it.
Tom, I think it remains to be seen what the actual results of all the different actions being taken to stimulate the economy will be. One thing is certain, when this situation finally settles down, many elements of the real estate process will likely be affected. Getting 'it right' is the responsibility of all of us...
What really strikes me is how fast the public heard about the tax credit, even before some of the mortgage people I spoke to. I've told clients that it is a "proposed" option, but it is not available as of yet. One Lender told me they should know more in 30 - 60 days.
P.S. I like the picture:)
I have wondered where will the public go fora trusted adviser on the complicated issues of the day and establishing an on-line presence of competent intelligent information will be one place for them to turn.
Lola, we live in a time of instant gratification. Every thing is now, including the news that we pass on. The days of checking and then double checking seem to be over and an attitude of hey if I am wrong I will just retract it. Some times moving forward means slowing down, and make sure that we get it right. The HUD Secretary was to quick to announce without verifying. Many in our industry were to quick to announce without stopping to think. Let's hope that everyone's haste to be the first, does not jeapordize what could have been a boost to the industry.
I don't know who was really to blame as I read the actual speech that was written for the HUD Secretary. Nothing actually said in the speech that this was in place. Did someone want to believe it and then decided to run with it? You bet! From there it went viral.
Lola - I have spoke and written about these issues at length recently, both here and over at AgentGenius (in comments and posts). I wrote a similar post regarding the whole Google vs. scraping issue over at AgentGenius. My point was simple - that in all of the hub-bub about the issue of MIBOR and NAR Mideyear, I saw a glimmer of hope. Action being taken within moments of a particular event. Realtors® coming together on blogs and comments and making their voices heard. Members of NAR taking note and interacting with those voices. I've had a visit here by the Editor In Chief of Realtor® Magazine, just because of what I wrote. The issue wasn't solved by her showing up, but it certainly gives more credibility to the work of NAR (in my opinion). At least they're listening and reacting to the issues at hand. We might not always agree with them, but as long as we're heard, it makes a world of difference.
Lyn - The speech was definitely worded to not "announce" but to indicate the work going on behind the scenes. The mistakes (in my opinion) were when HUD posted Mortgagee Letter 9-15, then suddenly pulled it when they realized what was happening. HUD should be an official source that we can trust. Then NAR ran with it as well, including 3 days later in an email sent to members (not all members got the email as it's an opt-in choice). I've written and spoke about this on my blog as the email came well after we all knew it wasn't happening (at least for the time being). I was quite shocked.
I think this should encourage us all to be a bit more cautious in putting that information out there until it is fact, unless it is clearly presented as a proposal, and we can pass that along as well. It caused some embarrassment for some I am sure.
Lola:
Great blog! Great Proffessional picture, of you. I like it all......
Somehow, the proposed plan as I understand it seems to fly in the face of the intent of the FHA rule prohibiting borrowing all or a portion of a down payment. The proposed plan addresses the mechanics of the process but ignores the intent of the DP requirement.
Hi Lola: I just heard about this on AR tonight. I'm anxious to see how this ends. In Missouri, we have allowed the buyer to amend their tax returns and receive the money back sooner. I'm wondering if this will continue.
Lola~
How is it that you can take a subject as prickly as a cactus in the desert and bring the poetry of the lake shore to it? ..oh! and then sum it all up with a photo that captures the essence of the matter and of life in the larger sense...
A philosopher once said, "If you hold your breath, you lose it..." standing near the Bank, I understand that sentiment in a new way and on many levels...
Lola, It was certainly a mess this past week. And my fear? That many realtors and loan officers that know this has been rescinded, but will still write about it, and publicize this, because they want to get buyers. We know it's called misinformation and people will use it to their benefit. How can we stop this in a fast paced world of the media? We just need to write about it also... and many times over... and have others reblog it or retweet it, etc, etc. With AR, Twitter, Facebook, and the NAR e-mails, we will never be able to stop bad information. We can point fingers all we want... but we just need to stay up on the misleading news and get the word out in numbers. I won't post my link here, unless you say it's okay, but I ended up writing a 3 part series this week, telling people that the HUD letter was rescinded, the 2nd blog was talking about the Fraud involved, and the 3rd blog tells people what is legal in regards to the downpayment and the tax credit. thanks
Hi. You really look like Michelle obama
Hi Lola:
I believe that the only thing certain in these times is change! I loved your post and I thought about your comment about the demise of the newspapers and a responsibility of reporting the truth. Its interesting because I don't see the truth presented to much these days in the print media. Even the sports section has become a political battleground.
However, I do agree that we have the responsibility now for insuring that the content of our blogs are as factual and accurate as possible. Yes, I know that we all have our views and opinions and various sources for obtaining info on issues but the truth and facts are just that no matter what color you paint then. Misinformation can be a serious force to reckon with.
I once heard a saying that a lie travels half way around the world before the truth can even get its pants up in the morning.
Wow...makes you ask the question, who or what can we trust anymore?
If things keep getting worse we may see another change down the line in allowing these funds to be used.
You are so right about the shifting nature of all things! Even if one is cautious and looks for substantiation before speaking the rug can get pulled out from under you! As for the credit as downpayment...it needs to happen if only judged by the positive reaction to the announcement!
Lola,
It will be interesting to see how events unfold in the future when news is so "instantaneous". There is one thing that remains a constant, "buyer beware" and if consistency cannot be met within the real estate industry and others so that news is viable, therein lies the rub and the opportunity for individual professionals.