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We hear talk around the words ‘Value Creation’ and I wonder what people think it means in relationship to either real estate ownership and/or a real estate agent? Can a real estate agent help create value when buying or selling a home?

Today, more than ever, an agent needs to deliver more for their client than the client can do for themselves. A great understanding of the market and processes, can deliver better results in maximizing your dollars, saving valuable time, and giving you peace of mind.

The internet has allowed the consumer to do much of what agents have done for years. Although, the first steps to selling or buying a house may seem simple, it is the information that one doesn’t know, or what questions to ask, that cause problems and even nightmares.

There are some things a consumer can do; for example, a seller can put their house up for sale by putting a sign in the yard, placing it on the internet, holding an open house, and pray a buyer shows up. If a buyer appears, and they want to purchase, the consumer can download a purchase agreement, fill in the blanks, and take it to the bank or title company.

Why then should the consumer hire and pay an agent a fee for this service? The simple answer is information that is easily obtained, is not always as easy to decipher as one might think. Understanding what the information means and what to do with it, is the key to maximizing the outcome.

Just because a house sold for ‘X’ dollars three months ago doesn’t mean it’s true today. What about the season of the year, motivation of the seller or buyer, economic conditions, marketing methods applied, flexibility of timing, and other homes for sale?

The true value of an agent is their ability to analyze the market data; to consul, advise, and inject reason and experience into the process. Sellers can benefit from solid information of past sales, houses for sale now, staging advice, extended marketing systems, negotiations, and the intangible skill of helping a person discover peace of mind as they move through the process.

My personal group focuses on helping our clients first find great clarity about why they are moving, help establish the right time for them to move forward based on their goals, and where and what the new home will look like once their existing house is sold. We constantly take care of details so as not to cost them the sale, money, or inconvenience.

Problems arise with every transaction. How one handles the issue requires good knowledge and resources to prevent a fallout or costly mistakes. Anyone can deliver a baby, but how many want to try? Too many complications may arise; and it’s good to have a professional by your side just in case. Now we all know delivering a baby is far more serious than selling a house, but the point remains, a professional with a process and great resources, will deliver a better outcome in the long-run.

Tony Ratchford, Broker for KW Realty Sioux Falls, CRS, ABR, SRES, Luxury Homes Institute Member

The word Perfect is absolute; no room for error and no room for excuses. ‘I want the perfect house, and I want a perfect world.’ An important question to ask; “if I don’t get all of what I want, does it interfere with my happiness?“

I suspect there never is anything ‘perfect.’ Generally speaking, a goal is a moving target and seldom is it 100% obtainable. So, what percentage of perfect is acceptable to you? Is it 90%, 80%, or 70%? When looking for a home, what features do you absolutely need, and what is flexible? When selling a home, is 95% of asking price acceptable; if not, what is?

Looking at a bigger picture, what in your life makes you happy? Do you live in the gap between perfect and what you have? Do you have a tendency to focus on the 10% that you don’t get, rather than the 90% you have?

One has to wonder if this focus on ‘what we don’t have’ is internalized, or is it the crazy world of media we live in? It seems like people complain about everything, and the rhetoric is getting higher.  When we continue to hear negative words and comments, we eventually begin to think it may be real, even when it is or isn’t. It sours our mood.

The truth is, we have talked for hundreds of years about things that don’t work or could be better. Improving our lives with comfort and finding opportunities for more happiness is only natural. Forgetting about all that is good, to only focus on the 10% that could use improvement, is foolish.

The facts are clear, economic numbers today compared to numbers over many decades, and perhaps a century, indicate we are living in the best America we have seen in a very long time. The financial world of Real Estate is driven by economics and even more by consumer confidence. When we focus on things that don’t work, or what needs improvement, we forget or ignore what’s most important to us.

One has to wonder if we have lost our gratitude? When we appreciate all that we have, and are involved with community is when we feel the human element of connection. That is when we learn the importance of real things in our lives, and studies show, a higher level of happiness.

On that note, the house you live in should be about your lifestyle and comfort; it is also about your neighbors and neighborhood. Matching home features with your lifestyle, living in the right location, and its affordability, are vital in maximizing your joy of daily living.

The average person moves seven times in their adult life; purchasing five times. The reason we move is because our desires and needs change as we walk through the stages of our lives. The Ratchford Group has a proven process to help make that path smoother and help maximize your opportunities and find greater joy with your home

Tony Ratchford. Broker, CRS, SRES, ABR, CLHMS, co-owner Keller Williams Realty Sioux Falls

What does a real estate agent actually do anymore? Before 1995, when the internet became a major factor in the industry, real estate agents controlled most of the market data. This meant that when someone wanted to buy or sell a home, they mostly needed to work with an agent. Information regarding sold homes, homes for sale, and other components were protected. Consumers had few options for their own research.

Things have changed significantly since then. The internet has more resources available than ever before. Buyers have access to homes for sale and are doing most of their research on their own, and sellers can now determine a range of value with only an hour of research. The internet has had a profound impact on the home buying and selling landscape as it shifts control of information out of an agent’s hand and into consumer’s hand.

One may ask, are real estate agents relevant anymore? Simply stated, information doesn’t always manifest wisdom.

While some agents still operate as if things haven’t changed, savvy agents are finding new ways of creating value for their clients. They have become more like consultants, rather than just clerks. They realize they are not hired to simply provide a list of homes for sale or homes sold. They now must help their client understand the depth of the process, working with them to find essential answers, give guidance to help them make wise decisions, and develop a path to complete their dream.

A great agent is someone who first takes time to fully understand their client’s current situation and comprehends their desires, goals, and values. They are no longer just facilitating a transaction. They know how to ask the right questions without being pushy, and actually listen to answers. They are able to help the client find more clarity about why they are moving.

The ability to listen and communicate effectively is directly related to an agent’s empathy; their ability to understand what’s best for the client and acting in their best interest. When looking for guidance in the decision-making process, take time to examine an agent’s skill, knowledge, and access to tools needed to help deliver a better outcome. It’s also important as a client to become knowledgeable of data, be proactive with communication, and work in cooperation with the agent in saving valuable time and maximizing dollars.

We invite you to call. 605.359.4100

Tony Ratchford, Real Estate Broker, CRS, ABR, SRES, CLHMS

For more than a decade, all of us at the Ratchford Group have been asking the question “What’s important to you about moving?” The answer we hope to find, for both of us, is the ‘why’ behind the move.

We believe every house offers a certain Lifestyle, and that lifestyle is driven by our value system; whether it’s family, comfort, privacy, time, money, enjoyment, or whatever. It is about how we live. The more clarity we have around the things we do and are important to us, the better the understanding is of what features in (or around) a house are required to deliver the best outcome.

We can assume if Family, and activities surrounding the family, is most valued, features such as large living areas become more important than if you are a single person. Properties with low-maintenance features such as a homeowner’s association for snow removal and lawn care, may be more important to an empty-nester because it frees up time to do other things like travel, rather than have a large backyard. When looking for your new house, think about how you live today, and also for the foreseeable future.

In the United States of America, the average adult moves 7 times, owning 5 homes along the way. Generally, moves are driven by cycles of life. The starter home can be about putting money into a house payment rather than rent, thus building equity for the next house. The second home is almost always driven by need; space for the family for example. The third by opportunity of choice…nicer, newer, bigger. Later in life, we may downsize, go low-maintenance, or decide to have less money or time invested. There is always a reason, and it is always driven by what we do, how we live, and the values that drive our desires. When our lifestyle changes, changing houses that fit our needs better, usually offers more comfort and enjoyment. The truth is, understanding what we value the most, can enhance every part of our lives and existence. The more we understand about who we are and what we want to be, the greater the fulfillment in our lives.

The Dream Home Process™ we created in 2005, allows everyone in the room to find better clarity, develop a comprehensive plan, and a greater expectation of outcome. There are five steps to the process; and ultimately, you will maximize your dollars, save valuable time, and most importantly give you peace of mind knowing you are doing the right thing, for the right reason, and at the right time!

Tony Ratchford Broker, CRS, SRES, ABR, co-owner Keller Williams Realty Sioux Falls

Nike made a bundle of money off this statement. And, the truth is, America has done well too because of it.

In every walk of life we have rules, duties, and laws that make organizations run smoothly. We drive down a two-lane road trusting the person driving toward us will maintain the law of driving in their lane and not crossing the center line. On an assembly line, the person in front of another must trust they are doing their job, so they can do theirs. A football team demands each member play their position. The same goes for every business, institution, and organization. One person depends on the other person to do their job, so that person can do theirs.

I was thinking the other day how important it is for our organization to function smoothly. If the staff decided not to follow time schedules, ignore processes, ignore telephone calls, or defiantly reuses to do their part of the process; it would be a crazy and unproductive day and some people would suffer.

The most successful sales transaction we have at the Tony Ratchford Group is when the client and the staff are knowledgeable of the process, is proactive and focused; following the plan, doing their jobs. The better they do their job, the better the outcome. It’s that simple.

The same can be said about the way we live. I love freedom and hate having someone tell me what to do. But, I know processes and rules are there for a reason. It keeps things moving smoothly. It keeps order, and it gets things done most efficiently.

There is always a balance between freedom and rules. In today’s society, people are demanding more latitude with rules, and in some cases, it is more creative; but, the bottom-line demands people get the job done accurately and in a timely fashion or the business will fail, the organization becomes worthless, and a country falls into chaos.

Sometimes, we take too much for granted and forget about the importance of order. Without laws, procedures, and trust that people will follow them, we would live in a dysfunctional world. Places of business, schools, and governments could not survive; it’s imperative order and structure prevail. Take that away and we look like a third world country.

The Tony Ratchford Group is dedicated to making your purchase or sale go perfectly smooth; we do this by doing everything we say we will and finishing everything we start. You can bet we have great systems and procedures to help you get there.

Tony Ratchford Broker, CRS, SRES, ABR, co-owner Keller Williams Realty Sioux Falls

There is a well know thought which has been around for as long as anyone I know can remember; the value of something is determined by what an educated person is willing to give to another person who is equally educated and isn’t under duress, and is willing to accept the terms of the buyer. In other words, a house is worth only what a buyer is willing to give,and a seller is willing to take. I hear interesting stories from consumers and real estate agents on what and why something is worth what they think it is. Sellers expect agents to tell them what the value is, and agents love to impress the seller and talk. The bottom line is no one can predict what will happen in the future. You may wonder, ‘what is an agent good for, if they can’t tell what a house is worth’? Truthful, all we can do is provide good evidence of what has sold in the past, what the competition is asking, and the status of the market conditions. With that information, most anyone can make an educated and calculated guess what someone might pay for a house. With that said, I suspect there are many Appraisers who would disagree with me; and, there has been many times in the past that I’ve disagreed with them. Of course, I think I’m right, but it doesn’t turn out that way, and it doesn’t really matter anyway…the appraiser always wins. Still, I think a buyer and seller are the ones who establish the real value; albeit, an appraiser does have an obligation to the mortgage company to show a sale is valid and reasonable. Getting the best dollar out of your house requires solid research, ideal physical condition, great marketing, and common sense with negotiations in discovering common ground. It seems simple enough. Unfortunately, the science of facts and numbers are enhanced, and sometimes distorted, by the art and finesse of intangibles. This is where experience and education really count. The best outcome is usually drawn by the most informed seller. It’s always good to do the homework, learn as much as you can, and find a smart real estate agent to help put it all together. The Dream Home Process™ is a great tool to help you discover the best path for your situation, and it’s exclusively offered through the Ratchford Group. Tony Ratchford Broker, CRS, SRES, ABR, co-owner Keller Williams Realty Sioux Falls