NEW JERSEY
REALTOR
®
July/August 2022: VOLUME 8 ISSUE 4
NAVIGATING THE EVER-CHANGING MARKET New Lead Paint Inspection and Remediation Requirements Quick and Inexpensive Renovations The Balancing Act of Data Retention
NJREALTOR.COM
NEW YORK NEW YORK
NEW JERSEY NEW JERSEY
CONNECTICUT CONNECTICUT
NEW JERSEY REALTOR® A publication of New Jersey Realtors®
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10 Hamilton Avenue Trenton, NJ 08611 Phone: 609-341-7100 njrealtor.com Jarrod C. Grasso, RCE Chief Executive Officer PUBLIC RELATIONS AND MARKETING DEPARTMENT Colleen King Oliver
Director of Public Relations &
Marketing | editor@njrealtor.com
Erin McFeeters
Content Coordinator
Dana Fiori
Communications Coordinator
CONTENTS July/August 2022
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2022 OFFICERS Robert White
President
Nick Manis
President-Elect
Gloria Monks
First Vice President
Gloria Siciliano
Treasurer
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ADVERTISING SALES Laura Lemos | 973-822-9274
President’s View: Celebrating Pride Month in the Real Estate Industry CEO’s Desk: Set Yourself Up for Success this Summer
laura@boja.com DESIGN Rebecca Ryan McQuigg | Encompass Media Group rebecca@encompasspubs.com
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New Jersey Realtors® provides legal and legislative updates as well as information on a variety of real estate related topics solely for the use of its members. Due to the wide range of issues affecting its members,
20 23
Important Dates & Deadlines Legislative Update: New Lead Paint Inspection and Remediation Requirements Take Effect July 22
Ins and Outs of Home Inspections
Townhouse Condo Market Overview
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Selling In a Fast-Paced Market
NJ Realtors® publishes information concerning those issues that NJ Realtors®, in its sole discretion, deems the most important for its members.
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The content and accuracy of all articles and/or advertisements by persons not employed by or
Town Spotlight: Manasquan: A Perfect Suburban Beach Town
agents of NJ Realtor® are the sole responsibility of their author. NJ Realtors® disclaims any liability or responsibility for their content or accuracy. Where such articles and/or advertisements contain legal advice or standards, NJ Realtors® recommends that NJ Realtors® seek legal counsel with regard to any specific situation to which they may seek to apply the
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Tech Column: Keep It or Toss It? The Balancing Act of Data Retention
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Realtors® Day in Trenton 2022
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Board/Association News Sudoku puzzle solution:
article. New Jersey Realtor®, publication number 13260, ISSN number 00285919. Published bi-monthly each year. Member subscriptions allocated annually from annual dues: $3. Non-member annual subscription: $10. Known office of publication: 10 Hamilton Avenue, Trenton, NJ 08611. Periodicals postage paid at Trenton, NJ 08611 and at additional mailing offices.
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Getting the Most from Quick and Inexpensive Renovations
POSTMASTER: Send address change to Editor, 10 Hamilton Avenue, Trenton, NJ 08611.
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@NJ_Realtors
2 | NEW JERSEY REALTOR® | July/August 2022
@njrealtors
NJRealtors
NJ Realtors
editor@njrealtor.com
SAVE THE DATE: October 7
PRESIDENT’S VIEW
Celebrating Pride Month in the Real Estate Industry BY ROBERT WHITE
I
n June of 1969, there was a shift in activism for LGBTQ+ rights following the 1969 Stonewall Uprising. Police raided a gay bar, LGBTQ+ people fought back, and a series of uprising events unfolded for six days, according to the Library of Congress. Each June, we honor and celebrate Pride Month in recognition of the Stonewall Uprising anniversary. LGBTQ+ rights have come a long way since 1969, but there’s still work to do, including in our industry. everyone who attended and for your support during my session with fellow Realtor® association presidents.
According to the National Association of Realtors® 2021 Profile of LGBTQ Home Buyers and Sellers Report, LGBTQ buyers were more likely than non-LGBTQ buyers to be first-time home buyers. We’re making strides to bring awareness and educate members about the LGBTQ+ community. At our June Board of Directors meeting, we signed a memorandum of understanding with the LGBTQ+ Real Estate Alliance. With this, we’ll work to promote awareness for the LGBTQ+ community, collaborate and engage with each other’s member communication channels, and raise awareness of issues that challenge LGBTQ+ consumers. 4 | NEW JERSEY REALTOR ® | July/August 2022
We look forward to this being a valuable partnership on both sides and are thrilled to have formalized the relationship. Last month NJ Realtors® also cosponsored the first-ever two-day Diversity, Equity & Inclusion Real Estate Summit, which helped members build their personal and professional careers. We had great conversations regarding implicit bias, building communities, LGBTQ+ stories, allyship in real estate, inclusive marketing, and fair housing. I thank
LGBTQ+ Real Estate Alliance CEO Ryan A.H. Weyandt and I closed out the month of June with a continuing education course. We discussed LGBTQ+ homeownership rates and the impact of discrimination on the community. While we have made strides towards a brighter future for the LGBTQ+ community in our industry, we still have a long way to go. I encourage you to continute to make actionable efforts to further your LGBTQ+ education and promote fair housing for all.
FROM THE CEO’S DESK
Set Yourself Up for Success this Summer The spring selling season has officially ended and while the temperatures in the Garden State are on the rise, the market is slowly cooling off. School is out of session, the State Legislature is on break, and beaches are seeing the influx of tourists they waited for all winter. I know the thought of attending school in the summer might sound like punishment, but, sometimes summer is the perfect opportunity to spend a little extra time learning. New Jersey Realtors® Academy of Continuing Education has an abundance of free and low-cost continuing education classes for members. They cover topics such as the commercial real estate transaction flow, social media ethics, and more. The next CE term deadline is already less than a year away on June 20, 2023. You can fit all your CE requirements in before the fall.
software, discover all available tools through NJ Realtors® Forms Library through zipForm, edit your realtor.com® profile, set up calendar reminders for reoccurring tasks, or browse our Member Perks for company discounts on services you need. And, maybe above all else, I encourage you all to take time to do things you enjoy. One of the many pros of being a real estate professional is being in control of your schedule and working hours. Squeeze in spending time with friends, family, or colleagues, or take a trip to one of New Jersey’s State Parks (admission is free this summer!) I hope you all have a wonderful, productive summer like we’re aiming to have here in Trenton, and I’ll see you at Realtor®-palooza on October 7.
Summer also tends to be a good time to take a step back and evaluate how the back end of your business is working. Use this time to organize your customer relationship management
NEW JERSEY REALTOR ® | July/August 2022 | 5
I M P O R TA N T D AT E S & D E A D L I N E S
JULY
4 NJ Realtors
Office Closed—Independence Day ®
7
AUGUST
7
Purple Heart Day
8-9
Realtors® Baseball Night
National Association of Realtors® Leadership Summit
9
15-17
Eid al-Adha Begins
C5 Summit
SEPTEMBER
OCTOBER
5 NJ Realtors
4
11
10
Office Closed—Labor Day ®
Grandparents’ Day
Yom Kippur
Indigenous Peoples’ Day
10 13 Columbus Day Board of Directors Meeting 22
16
25 Rosh Hashanah Begins
24
Realtors® Care Day
Boss’s Day
Diwali
31 Halloween
the key to ending discrimination in real estate isn’t this ad.
If recent events have taught us anything, it’s this: we have more work to do. Racism is real, tragically so. Discrimination, in all its forms, still casts a long shadow in this country, and too many are being denied the opportunities that all Americans deserve. Our commitment to the diverse communities we serve starts with a Code of Ethics. Our code sets a higher standard for fairness in housing than any federal law, it’s backed by a culture of member accountability, and it extends to our work on Capitol Hill, where we continue to advocate for meaningful change. At the National Association of REALTORS® we believe that fairness is worth fighting for, and we won’t stop until the fight is won. Because that’s who we are.
If you experience or witness discrimination in real estate, we urge you to report it. Visit hud.gov/fairhousing to file a complaint with the Department of Housing and Urban Development.
REALTORS® are members of the National Association of REALTORS®
6 | NEW JERSEY REALTOR® | July/August 2022
L E G I S L AT I V E U P D AT E
New Lead Paint Remediation Requirements Take Effect July 22
F
or more than two decades, New Jersey Realtors® has consistently advocated for common-sense lead remediation legislation to protect the children of the state while also protecting the rights of private property owners.
Lead paint was banned in 1977, which is why when talking about lead paint in homes, we focus on homes built prior to 1978. There are more than 1.1 million homes in the Garden State built before 1978 and many of them, are concentrated in poorer, minority, urban communities. The original lead paint remediation bill was introduced in 2003 and over the years, NJ Realtors® worked with many legislators and gubernatorial administrators to ensure the legislation did not have a detrimental impact on the housing market. Last summer, Gov. Murphy signed S-1147 and beginning on July 22, 2022, the contents of the bill go into effect. Lead paint inspection and remediation will be required for residential one- and two-family rental properties upon tenant turnover or by July 24, 2024 if there is no tenant turnover. Inspection requirements may vary depending on the community. The law is not currently tied to time-ofsale requirements. For more information visit njrealtor.com/lead
8 | NEW JERSEY REALTOR® | July/August 2022
Quick Guide to the New Law NEW REQUIREMENTS • Rental properties subject to the new law must be inspected upon tenant turnover or within two years if there is no tenant turnover, no later than July 22, 2024. • The type of inspection will depend on the lead levels in children in the municipality where the rental property is located.
PROPERTIES SUBJECT TO THE NEW LEAD PAINT LAW • One- and two-family residential rental homes built before 1978.
PROPERTIES NOT SUBJECT TO THE NEW LEAD PAINT LAW • Homes built during or after 1978 • One- and two-family season rental dwellings rented for less than six months that do not have consecutive lease renewals • Dwellings certified to be free of lead paint
REMEDIATION REQUIREMENTS • Properties where lead is found during an inspection will need to undergo remediation, either to make it lead safe or lead free • The type of remediation will determine if future inspections are required • Measures to temporarily make a property free of lead paint will make it lead safe • Measures to completely eliminate lead paint will make it lead free
L E G I S L AT I V E U P D AT E
RPAC
1977
OF NEW
United States bans the use of lead paint
JERSEY
2000
2001
Bill introduced by Asm. Collins
Asm. Collins bill referred to Senate
RPAC Dollars Raised as of June 15, 2022:
$645,763.69
2022 RPAC Goal: $1,093,250.00
2003
2004
2020
Bill introduced by Sen. Ron Rice
Sen. Rice bill signed into law by Gov. McGreevey
Sen. Teresa Ruiz introduced S1147
$819,937.50 $546,625.00 $273,312.50
2020
2021
2021
2021
NJ Realtors® testifies, negotiates on S1147
Bill modified to remove time-of-sale requirement
S1147 passes Senate and Assembly
S1147 signed by Gov. Murphy
N E W J E R S E Y L E G I S L AT I V E B I L L S A1323 – Mosquera (D4), Wimberly (D35) S1918 – Cruz-Perez (D5) Prohibits mortgage loan discrimination based on familial status. New Jersey Realtors Position: ®
SUPPORT
We support this bill as a matter of fairness for all who wish to purchase a home in New Jersey. Bill History: 1/11/2022 – Introduced in Assembly and referred to Assembly Financial Institutions and Insurance Committee 3/3/2022 – Introduced in Senate and referred to Senate Commerce Committee
A1688 – Quijano (D20), Speight (D29) Requires inclusion of information about discriminatory housing practices in Truth in Renting Guide. New Jersey Realtors® Position:
SUPPORT
We support this bill to ensure the public is informed about discriminatory housing practices by ensuring information is provided to them in the Truth in Renting Guide. Bill History: 1/11/2022 – Introduced in Assembly and referred to Assembly Housing Committee
A1990 – Conaway (D7), Mukerhji (D33) Requires the Department of Environmental Protection to adopt statewide plan to reduce lead exposure from contaminated soils and drinking water. New Jersey Realtors® Position:
SUPPORT
We support this bill requiring the DEP to create a plan to address lead contamination in soil and water without placing any new requirements on real estate transactions. Bill History: 1/11/2022 – Introduced in Assembly and referred to Assembly Environment and Solid Waste Committee NEW JERSEY REALTOR® | July/August 2022 | 9
TOWN SPOTLIGHT
Manasquan
A Perfect Suburban Beach Town BY ERIN McFEETERS
S
andwiched between Sea Girt and Point Pleasant Beach is the Borough of Manasquan, most known for its one mile of pristine beach, a vibrant Main Street, and a strong sense of community. It’s just 1.38 square miles and nearly 6,000 residents call Manasquan home, according to the U.S. Census. While many towns’ economies along the Jersey Shore rely heavily on seasonal tourism, Manasquan boasts 83.3% owner-occupied housing units, according to the U.S. Census, making it a unique spot to live year-round. For comparison, Manasquan’s owner-occupancy rate is 30% higher than the neighboring town of Belmar and nearly 10% higher than all of Monmouth County. Manasquan is an “incredible town, with literally the kindest customers,” said Christine Kedves, co-owner of Batch Coffee, known for its cold brew, unique coffee drinks, smoothies, and cafe eats. “We have felt supported from 10 | NEW JERSEY REALTOR® | July/August 2022
day one.” Kedves and co-owner Kelly Stazyzak celebrated Batch’s second anniversary in May. There is always something to do with plentiful dining options, small shops, and boutiques so when you’re not enjoying the beach in the spring and summer, you can walk up and down Main Street. Whether its running into friends, chatting with fellow sidewalk shoppers, or enjoying the salt air, you experience a true sense of community and pride. Manasquan has seen growth in available units, with single family new listings up 18.5% year-to-date, according to New Jersey Realtors®’ April 2022 monthly housing statistics. Many homes in Manasquan fall within the beach cottage category, some grand Victorian-era gems, and updated modern renovations or new builds. The median sales price rose 16.5% to $920,000 and single family homes are on the market for an average of 44 days.
TOWN SPOTLIGHT Schools are top-notch in this small beach borough, with non-traditional academic programs at the high school level to help prepare students to work in engineering, finance, and more. These programs also have course options available for students to receive college credit and get a head start on higher education before graduating. Clients with a passion for the arts can visit the Algonquin Arts Theatre right in the heart of town. Throughout the year, the center hosts a variety of musicals, comedy shows, musical tributes, and more. This summer you can purchase tickets to see Mary Poppins, The Who’s Tommy, The John Rogers Soul Band, and more. If its performance calendar wasn’t enough, the center also offers educational classes to aspiring performers of all ages.
Main Street Station shopping mall next door to grab a bagel at the Corner Bagelry. Continue your travels down Main Street to arrive at Manasquan Beach. Unlike neighboring towns, there’s no road car access along the beach, but pedestrians can enjoy beautiful views of the Atlantic by walking along the wide Beach Front path.
If your client has easy access to public transportation on their want list, the Manasquan NJ Transit station is right down Main Street. The station’s architecture features oldtime columns and gold embossed letters. It provides easy transportation up and down the coast, or you can arrive at New York Penn Station in two hours and 15 minutes. If you need a quick bite before traveling, The Irish Rail is in the same building and offers Irish-style meals, or head to the 12 | NEW JERSEY REALTOR® | July/August 2022
The beaches are wider than average for the Jersey Shore, providing plenty of room for residents and day-trippers. If your clients want to hang ten this summer, Manasquan Beach is known and loved by surfers on the East Coast. According to surfline.com, Manasquan is “one of the best-known breaks on the East Coast, the Inlet can take almost anything the Atlantic can dish out.” The borough hosts countless events such as summer kickoff parties, craft fairs, art walks, beach concerts, and an annual
TOWN SPOTLIGHT surfboard art contest. “Manasquan is an amazing town for so many reasons. Quaint downtown with lots of amazing small shops, tons of community involvement with fun activities all year round geared towards supporting local businesses, and beautiful beaches of course!” said Kedves.
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NEW JERSEY REALTOR® | July/August 2022 | 13
TECH COLUMN
Keep It or Toss It?
The Balancing Act of Data Retention BY WILLIAM THOMPSON NJ REALTORS® DIRECTOR OF TECHNOLOGY
A
s a real estate professional,
license, your brokerage, and, above all
the expectations and procedures your
you’re entrusted with an
else, the public trust. There is no one-
brokerage has for you.
enormous amount of
size-fits-all approach when it comes to
personal details, from social security
data retention and it can certainly be a
numbers on rental applications to
balancing act when deciding whether to
bank account information in mortgage
destroy old records or keep them “just
QUICK TIP
documents, you have an obligation to
in case.” However, by simply keeping
ensure this information is safeguarded.
everything forever you could be opening
For more information on
While the best method to guarantee
yourself up to significant legal risk, even
information is protected is to not have it
with the best of intentions. Be sure to
to begin with, there are also regulatory
check with your brokerage to review
mandates that require you to retain
their data retention and information
information for the protection of your
security policies, which will outline
14 | NEW JERSEY REALTOR® | July/August 2022
safeguarding information, read the May/June issue of New Jersey Realtor® at issuu.com/newjerseyrealtor.
TECH COLUMN
The most obvious benefit of tossing
One of NJ Realtors® most popular
for owners, sellers, buyers, or tenants;
your old records is storage space.
member benefits is zipForm
copies of all receipts and notices
Whether we’re talking space in your
Transactions, which, aside from allowing
issued for security deposits. In this
filing cabinet or your hard drive, neither
you to easily fill out and send forms
digital age, communications are
is unlimited, and gaining more doesn’t
for signature online, is a Transaction
received in so many ways, however
come cheap. Just like those old boxes
Management System (TMS). zipForm
I suggest uploading a copy of all
in the attic, now is the time to purge
Transactions allows you to upload,
communications, no matter how it was
the files no longer required. An even
store, and organize all files relating to a
received, to your TMS ensuring it’s
more important benefit than storage
transaction in one secure location and
stored and destroyed according to your
space is risk reduction to you and your
is configured to follow state specific data
retention policy.
business. In the unfortunate event of
retention requirements.
litigation, you’ll go through a period of
For more information on managing
discovery, which, among other things,
In New Jersey, brokers are required
business records, visit nar.realtor/
you’ll be required to produce documents
to maintain most transaction-related
videos/window-to-the-law and for
relevant to the case. The retrieval and
files for six years from closing, listing
more information on data security visit
organization of these documents can
expiration, or rental. This includes, but
nar.realtor/technology and read NAR’s
be arduous and expensive, however by
is not limited to: copies of all offers,
Data Security & Privacy Toolkit.
consistently following an established
contracts of sale, listing agreements,
policy of data retention you can quickly
leases, and property management
and confidently pull all relevant files.
agreements; copies of all bills paid
NEW JERSEY REALTOR ® | July/August 2022 | 15
Getting the Most from Quick and Inexpensive Renovations BY LEE NELSON
W
hether your client wants to increase their home value before they sell, or you just sold them a home they need to renovate, assure them there are budget-friendly improvements that will make an impact. Value-boosting changes and easy upgrades can enhance the feel of a home—inside and out.
“I do a detailed consultation when a homeowner who wants to put their home on the market,” said Simone Healey, broker associate and Realtor® at Vikki Healey Properties. “I customize a plan for each person. The most common things I try to help them with are the simple things to get the home in better shape with the highest return on investment.” Healey understands when her customers don’t have the time or knowledge to prepare their house for sale or make the improvements they want. She often helps those clients find vendors who fit their needs, are reliable, and costeffective.
16 | NEW JERSEY REALTOR® | July/August 2022
Fast and Economical Revamps to Curb Appeal
Some homeowners with some remodeling talent and the right tools can do weekend projects themselves to increase the curb appeal of the home and elevate some of the most important rooms without breaking the bank. “It all starts with the façade of the home. Adding shutters to existing windows can be a quick and easy way to add interest and add another color,” said Jay Cipriani, President of Cipriani Remodeling Solutions. Cipriani estimates shutters might cost $100 per window for materials, and can be affixed to siding. They can also adhere mantels for roughly the same price as shutters. They sit on top of the windows and add elegance or a bit of a colonial look. “You can also put mantels on top of garage doors or your front door,” said Cipriani. “It gives a classical look. A few corbels or brackets on the front porch can also make it look stately or even more contemporary, depending on the material used.”
Changing out your mailbox to a more unique one can add interest to your home and isn’t expensive, Cipriani suggests. Remodeling Magazine’s latest Cost Vs. Value survey showed that a steel garage door replacement at $4,000 was the highest cost recoup of all remodeling projects at 94%.
“We don’t want our clients to spend a lot of time and money if it won’t have a return on the success of a sale,” said Healey. “But no one ever regrets having their house so clean.” Decluttering and organizing can be free, but if anything in the house needs to be repaired, do it before it’s on the market, said Healey. “That slow leak in the bathroom or that loose banister needs to get fixed. You don’t need to get it all perfect, just done,” said Healey. Healey also believes a client could pull up carpet and refinish hardwood floors, even if it’s just one room to impress buyers and show them what is underneath the rest of the carpeted floors. “Do it in a high-impact room, unless it’s brand-new carpet,” said Healey.
“The garage door might be a lot of money, but that’s like part of the bones of the house,” said Audrey Tesora, professional organizer, and founder of Right Touch Organizing Services. When Realtors® in her area need help getting a house ready for sale or just helping their clients declutter, she is their go-to person. “Buying a new garage door isn’t glamorous, but curb appeal is very important,” said Tesora.
Kitchens and bathrooms sell homes, and Cipriani said that just changing out light fixtures in both of these rooms can add more pizzazz. By bargain hunting online and at big box stores, those pendants and ceiling lights don’t have to cost a lot to modernize an area over the island or bathroom mirror. “When buyers walk into the kitchen, they want to see the condition of the appliances, and they want to know what color they are,” said Cipriani. “If you have dated appliances in olive green or harvest gold, it might be time to put a little investment into new appliances.”
Bargain Enhancements for the Inside
Most experts admit that a few gallons of paint can brighten rooms plus be appealing to all types of people. Tesora suggests not going to pure white colors, which can seem stark and unwelcoming. The most popular color for the exterior and for many rooms inside the house is known as greige, a combination of gray and beige, she adds. “Sometimes, we just pick one room like the first room that people walk in, and put on a fresh paint,” said Healey. “It keeps things light, bright, and clean, in general. But you need to tailor the plan to each homeowner.” Healey also believes that if someone wants to get more money for their house or to live more comfortably after buying a different house, they need to splurge to hire a professional cleaner to do a deep clean, which can be $500 to $1,000 or more.
NEW JERSEY REALTOR® | July/August 2022 | 17
Putting in a new backsplash in above the kitchen countertops can make a big impact, too. “It’s a great way to make a statement and add another texture or color to the kitchen,” said Cipriani. “There are thousands of choices of sizes of tiles, plus glass, porcelain, stone, and ceramic.” You can also use mirrors, antiqued mirrors, beadboard, recycled wood, corkboard, peel-and-stick tiles, and many other items—sometimes items in your attic or garage can be used.
Make the yard look more appealing – Sometimes landscaping is overlooked. “But it’s always a great investment. Perennial gardens are very valuable to people,” said Healey. She recommends also putting bright flowers in the front where people drive or walk by to make it welcoming. Don’t forget to clean the gutters, rake leaves from under shrubs, and powerwash any mold on siding or doors.
Hiring someone to install a single row of 4 inch ceramic tiles along the countertops costs the lease at $150, according to Fixr.com. The website helps homeowners with cost guides, comparisons, and term cheat sheets for hundreds of remodeling and installation projects. The average installation of a backsplash is $900 to $2,500.
Make a statement the moment someone steps inside – When someone first walks into a home, the color of the walls and flooring materials should say something to them, according to Cipriani. “Paint the walls, and put better lighting up from the ceiling, or add a lamp and table,” said Cipriani. Make it inviting that they want to see the rest of the house.
Other Ways to Help Clients with Inexpensive Renovations or Changes Give references for everything – Make sure to have a list of the best and reliable vendors, according to Healey. If your homeowners are too busy, then they need to have a list of people and companies you trust to do everything from painting to landscaping to replacing windows. Paint the kitchen cabinets – Instead of ripping out your bathroom or even kitchen cabinets, it can be a weekend job to paint them and add updated knobs, according to Tesora. “It all depends on what kind of house it is and the price point. If it’s a starter house, then great, paint them,” said Tesora. But the way homes are selling these days – some sight unseen – some new homeowners might want to just rip out the old and put in a new kitchen. 18 | NEW JERSEY REALTOR ® | July/August 2022
Take down old curtains and shades – Smells and dust collect on window coverings. Plus, potential buyers want to see more natural light. Take the time to remove them, clean the windows and windowsills, and let the sun shine in, said Tesora. Build up your DIY skills – If you’re a little unsure about installing materials or doing a small project, Cipriani suggest watching YouTube videos. “Even the manufacturers are putting out YouTube videos so there is no warranty issue on certain products. They are even making us contractors take their course online.” Making your home clean, maintained, uncluttered, bright, and embracing to all that enter can make it more appealing to a wide audience, said Healey. “If the house appeals to a larger group of people, it drives the best price.”
FIRST-TIME BUYERS
ARE YOU READY FOR YOUR NEXT STEPS For New Jersey residents looking to buy their first home, saving enough money for a down payment often comes second to more immediate costs of living – student loans, childcare, rent, insurance, and additional expenses. There is a significant income ready segment of the New Jersey population poised to buy a house, yet the initial down payment and closing cost hurdle is the # 1 impediment to becoming a first-time homebuyer. New Jersey Housing and Mortgage Finance Agency can help them over this hurdle.
FIRST-TIME HOMEBUYER DOWN PAYMENT ASSISTANCE PROGRAM NJHMFA’s Down Payment Assistance (DPA) program provides $10,000 in down payment and closing cost assistance to first-time homebuyers. These funds need never be repaid if the borrower lives in their new home for at least five years without selling, refinancing, or defaulting. Learn more at TheRoadHomeNJ.com To partner on homebuying webinars for your current and potential clients, email marketing@njhmfa.gov
njhousing.gov
Ins and Outs of HOME INSPECTIONS BY PAMELA BABCOCK
H
ome inspections focus on structural and mechanical systems, including heating and airconditioning, plumbing, the roof, foundation and more. While home inspections are optional, paying for a neutral assessment is an important part of buying a home. Mark Panetti, owner of Summit Professional Home Inspections in Marlton, has been inspecting homes since 2001. “I really like what I do,” said Panetti, who works primarily in Burlington and Camden counties. “I enjoy working with first-time buyers, and all buyers, by letting them know the condition of their home. I’m not just there to give them the bad news, I’m there to report all of the news—good and bad.” Most Realtors® and inspectors encourage potential buyers to attend the inspection. A few days after it’s complete, the 20 | NEW JERSEY REALTOR® | July/August 2022
inspector will produce a report with recommendations for home elements that should be repaired or replaced. It’s the buyer’s responsibility to hire and pay for a home inspector. Becoming a licensed home inspector in New Jersey requires completing an approved course of study of 180 hours, which includes at least 40 hours of unpaid fieldbased training inspections under the supervision of a licensed home inspector. The applicant must then pass the national home inspector examination and carry errors and omissions insurance in the minimum of $500,000 per occurrence. Aside from the standard inspection, buyers can also contract with others professionals to inspect for mold, termites and radon, as well do sweeps for underground fuel oil tanks. Well water, septic systems and stucco facades can also be tested. Meanwhile, some buyers opt for a sewer
main inspection if the home is older and there are a lot of large trees whose roots could damage or block the line.
WHAT TO EXPECT
It’s important to note a home inspection is “a visual, functional, non-invasive inspection” of the home’s readily available systems and components done without moving personal property, furniture, equipment, plants, debris, and the like, as defined by the New Jersey Home Inspection Advisory Committee. Home inspectors don’t hack into a wall to see what’s behind it, nor do they disassemble the house and put it back together. “During inspections, I sometimes joke and say, ‘I have two limitations today. I cannot see through walls and I cannot predict the future,’” said Panetti. Onsite residential inspections typically take about three hours and Panetti charges $450 to $550. In addition to being a licensed home inspector, his son Drew, who he brought into the business a few years ago, has a Remote (Drone) Pilot Certificate from the Federal Aviation Administration, which they use on inspections. Both are also certified to use infrared cameras to look for leaks, hotspots on electrical panels or other anomalies. Home inspectors don’t tell you whether to buy the home or not. “We have no hidden or financial agenda. The heater works or it doesn’t. The roof leaks or it doesn’t. We simply report what we see,” said Panetti. Home inspectors are a wealth of knowledge, especially for a first-time buyer. Buyers who attend inspections can learn
how major items function, such as the gas boiler, and the location of the main water cutoff. A good inspector will not only make a discovery but equally important, offer the meaning or seriousness of that discovery. “You can’t just say ‘Hey, you have a crack in your foundation,’” said Panetti. “You have to say it’s either just a shrinkage tear in the concrete that occurred within the first 90 days and isn’t going to move anymore, or it’s a horizontal crack that has deflected the foundation caused by poor grading. One is of no significance and the other will cost about cost $15,000 to fix.” Panetti encourages buyers to tag along but asks they refrain from bringing a lot of friends and family. “Your home inspector has a one shot chance to inspect this property,” said Panetti. “And distractions have proven to be detrimental to the process.”
TO WAIVE OR NOT
The sizzling housing market has caused many buyers to waive inspections, but Panetti said it’s a bad idea: “Waiving inspections is insane. I just personally wouldn’t buy a home without an inspection unless I was getting it at half price.” Marie Bagarozza, a Realtor® with EXIT Realty East Coast, said she typically encourages buyers to order an inspection but also to let the seller know they don’t plan to use it to “kill the deal” by including wording that the inspection is for structural, environmental, or safety issues only.
NEW JERSEY REALTOR® | July/August 2022 | 21
Home inspectors don’t tell you whether to buy the home or not. “We have no hidden or financial agenda. The heater works or it doesn’t. The roof leaks or it doesn’t. We simply report what we see,” said Panetti.
“This still gives the buyers the protection in case there is something serious going on with the property,” said Bagarozza. She adds that if the goal is winning the contract, finding out the seller’s “sore points” can help. For example, if they want to remain in the home after closing until they can close on another home, a lease-back concession may be a better option to waiving the inspection.
PRE-INSPECTIONS
Some sellers have their homes inspected before they list them. If certain defects are uncovered, sellers are legally required to notify and disclose known defects. However, buyers should still have their own inspection done and get their own report. For those listing homes, Bagarroza recommends doing a pre-inspection so there are no surprises. Problems can be fixed in advance without a closing date looming. If something big arises such as a structural defect in the foundation and the seller can’t afford to take care of the issue, they can disclose it along with an approximate repair estimate cost. “The sale price of the property will usually be reflective of any issues,” said Bagarozza.
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22 | NEW JERSEY REALTOR® | July/August 2022
Townhouse & Condo
Market Overview -21.7% Days on Market 36
-15% New Listings 3,183
-15.6%
-25.7%
-16.3%
Closed Sales 2,057
Homes for Sale 5,307
Pending Sales 2,252
+10.9%
+2.4% Percentage of List Price Received 102.2%
Median Sales Price $349,490
% *Data from New Jersey Realtors® April 2022 Housing Market Statistics
NEW JERSEY REALTOR® | July/August 2022 | 23
SELLING IN A FAST-PACED MARKET BY ERIN McFEETERS
I
nventory is at an all-time low across the country, and in New Jersey there were just 22,019 homes for sale in April 2022. Coupled with a rising median sales price of $420,000, many sellers are benefitting from the current market. Homes are also moving fast and staying on the market for an average of 33 days and receiving 103.5% of the listing price in April 2022, according to the latest data from New Jersey Realtors®.
TIPS TO HELP YOUR SELLERS RESEARCH In a fast-paced market, it’s all about buyers’ first impressions, and as a Realtor®, one way to help your clients is through preliminary research. • NJ Realtors® Housing Data: NJ Realtors® have access to housing data at the state, county, and local levels. Use this data to provide your clients an estimate of how long their home could stay on the market, the percentage of list price received, and more. Access the data at njrealtor.com/data. • NJ Realtors® Heat Map: If you’re looking for data on what other Realtors® around the state are seeing near them, visit njrealtor.com/heat map for the latest member poll results. The poll gauges market climate, home offers, buyer feelings towards prices, and more. • Realtors® Property Resource: You have access to a research asset to help you build reports for your clients. Visit rpr.realtor to start researching the surrounding area, find homes that fit your clients’ specifications, and more.
24 | NEW JERSEY REALTOR® | July/August 2022
WRITE A SOLID LISTING DESCRIPTION Listing photos are key to marketing success, but don’t forget about the copy. It’s vital to have an accurate and well-written listing description. Skip the caps lock and exclamation points, double check your spelling and grammar, and stick to the facts. Avoid calling out protected groups under the New Jersey Law Against Discrimination or Fair Housing Act and ensure you’re following all guidelines set forth by the NJ Real Estate Commission Advertising Rules. USE NEW JERSEY REALTORS® FORMS LIBRARY Protect your clients and business and use forms available through New Jersey Realtors® zipForm library. It has what you need to produce the necessary documents quickly and reduce your risk. With access to zipForm mobile, you can have everything you need on the go. Get started with NJ Realtors® forms at njrealtor.com/zipform.
QUICK HOME FIXES With homes moving quickly and receiving offers above the listing price, pre-listing renovations may not be worth your clients’ time and effort. If they want to make their home pop on realtor.com®, recommend quick but impactful renovations such as landscaping, decluttering, and cleaning. “Even in the current sellers market, it is important to minimize and declutter, stage and make the home available for showings. Your home is still in competition with those on the market and how much buyers are willing to offer often are directly related to how well a home shows and is marketed,” said Tezeta Roro, a Realtor® with Keller Williams Suburban Realty. “Resources like Buy Nothing groups can be amazing platforms to help you minimize and declutter as you get prepared for your move (and once you move into your new home!). It is also an amazing way to make connections.” First impressions are key in the current market since many potential buyers don’t have the opportunity to tour a home more than once before needing to put in their offer. “This current market is still in the seller’s favor, but to really make your property standout a few strategic improvements such as decluttering all your spaces, keep rooms or paint rooms neutral tones, clean well including windows and siding, and maintain your garden,” said Nicole Ventrella, a Realtor® with Coldwell Banker in Moorestown. “A property that shows all its best sides will receive higher and multiple offers because people still want move-in ready.” STRATEGIC PRICING Before your clients set their sights on a home price, encourage them to do their research. While homes are receiving top dollar in many cases, other homes are on the market for longer than desired. Providing your clients research reports, example homes in their market, and ultimate prices received can aid in setting a price that works for everyone. “Be sure not to make the cardinal mistake of overpricing your home. Strategic pricing is still key in any market! You don’t want your home to stay stale in a sellers market,” said Roro. “That will then have the unintended consequences of missing out on a whole lot of buyers and maybe even lower than expected returns.”
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HELPFUL ITEMS FOR SELLERS
EasyWring Spin Mop & Bucket System ocedar.com Sellers with non-carpeted floors will have a newfound love of cleaning with the help of this spin mop from O-Cedar. It’s easy to use and removes 99% of bacteria with just water. Plastic Storage Containers rubbermaid.com If you have clients that want to pack early but want their items protected, recommend using storage containers from Rubbermaid. Label Maker brother-usa.com Nothing is worse than trying to unpack unlabled boxes after a move. A label maker from Brother will save your clients’ stress and keep them organized. Behr Premium Plus Paint & Primer behr.com While the market is fast-paced and in some cases, there’s no time to complete repairs, clients with dark or bright colored painted walls in their homes could benefit from priming their walls before listing. Behr’s primer is full coverage and is stain and scrub-resistant. Mint Budget Smartphone Application mint.intuit.com Mint can help your clients stay on track during this stressful time of their life. Moving is costly and having a budget accessible on their smartphone is a gamechanger.
NEW JERSEY REALTOR® | July/August 2022 | 25
Realtors® Day in Trenton 2022 BY ERIN McFEETERS
T
he sun shined down on the State’s Capital as Realtors® traveled to attend Realtors® Day in Trenton in person for the first time in three years. New Jersey Realtors® holds its annual political involvement event to correlate with the State Legislature budget proceedings. This year the speaker line-up included Senate President Nicholas Scutari, Assembly Speaker Craig Coughlin, Assembly Minority Leader John DiMaio, and Senate Minority Leader Steven Oroho. They discussed their priorities regarding the state budget, first-time homebuyer programs, unemployment, programs for small businesses, and more. Trenton Day “is a great opportunity to come and meet with some of your assemblymen and women and find out some of the leading issues going on in the State of New Jersey,” said Realtor® Christina Ferreira.
NJ Realtors® Chief Executive Officer Jarrod Grasso also took the podium to discuss the association’s legislative
26 | NEW JERSEY REALTOR® | July/August 2022
priorities. A major topic discussed was the new lead paint inspection and remediation law which goes into effect on July 22, 2022. For details on this topic of discussion, please visit njrealtor.com/leadpaint or read this issue’s legislative column on page 8. This year’s Trenton Day event was especially vital for some newer agents who haven’t received the same networking opportunities as in years past due to the pandemic. “I came to Trenton Day, it’s the first time for me, to learn really what’s going on not only in our state, but also what’s going to help not only myself as an independent contractor, but also relay information for my clients, landlords, and my fellow colleagues,” said Realtor® JoAn M. Santiago. With nearly 200 attendees, this year’s Trenton Day was a success. Members came prepared with formulated questions, an open mind to learn about legislation relating to the industry, and a willingness to meet new Realtors®.
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SignatureRealtyAcademy.com NEW JERSEY REALTOR® | July/August 2022 | 27
B O A R D / A S S O C I AT I O N N E W S
Realtors® Help Unlock the Ocean
Clothing Drive Success
As part of Ocean City tradition, city officials and local merchants celebrate the start of the summer season with an “unlocking of the ocean” ceremony. Members from Ocean City Realtors® took part in the festivities and carried the Realtor® flag during the march into the ocean.
The NEXUS Association of Realtors® Community Service Committee donated 350 bags of clothing this spring to clothingshoedrive.com, an organization with the mission to reduce the amount textiles in landfills. They give donations to those who need it most domestically and internationally.
Front row: Laura Serpentelli, Linette Commisso, Pam Slaven, Angela Stryjker. Back row: Eileen Mamudoski, Darlene Mauro, Sarah Cataffo-Nastasi, Chelsea Brown Lawlor
Ocean City’s annual unlocking of the ocean tradition.
NJ Realtors® Fighting Hunger
Greater Bergen Realtors® and New Jersey Multiple Listing Service held a grand opening ceremony for their new building located in Saddle Brook. The new headquarters is 13,00 square feet which will provide the association and MLS the opportunity to offer seminars and networking opportunities for members.
The New Jersey Realtors® Fighting Hunger initiative is well on its way. Atlantic City, CORE, Metro Centre, Monmouth, and Ocean City boards have joined the initiative by raising money, collecting food or both. $2,800, 10,500 meals, plus 740 pounds of food have been donated so far! The Housing Opportunity Foundation is supplementing their efforts by applying for grant money that will be dispersed into the local communities. Inflation is affecting even more families and food insecurity is becoming more prevalent, so if you are able, please consider supporting your board by giving your time or contributing at hof.njrealtor.com/fighting-hunger.
Greater Bergen Realtors® members celebrating the new Saddle Brook headquarters grand opening.
Ocean City Board of Realtors® presenting their donation.
Greater Bergen Realtors® Grand Opening
28 | NEW JERSEY REALTOR® | July/August 2022
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Have a few minutes? Challenge yourself!
There, Their, and They’re There, adverb, refers to a place or where an action is occurring. “Did you see the new restaurant over there?” Their is the possessive case of they, is typically used before a noun, and can show ownership of a noun. “Their home cost $400,000 after closing costs.” They’re is the contraction of they are. “I could use help finding my clients a home, they’re looking for a three bedroom with two full bathrooms.”
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