High Hopes for the Mystic Country Economy

A recent article in The Day News Paper quoted an economist as says, “Connecticut housing has become more affordable relative to residents' income, declining from a high of 5.4 times income to a current level of 4.2 times income - still about a point higher than the national average.”
This was a great article and I think that it deserves a look. Click here to view the article. We feel that the Mystic Country portion of CT is extremely unique and must be analyzed independently form the remainder of the state.

Homes selling at 4.2 times income levels are not necessarily a great thing. If we take a look at the Case-Schiller Index which states that equilibrium in a perfect world is 3 times household income then we still have a long way to go. Those figures become much less meaningful in towns where second homes are purchased and not just owner occupied primary residences are used for the calculation.

Many of the towns in the region appear to be close to equilibrium and a couple are actually below the magic number “3”...meaning that bargains exist.
Our next hurdle is the inventory. We must get rid of the inventory so that towns are absorbing the revenue streams from taxes. As soon as the towns are healthy then our budgeting gets cleaned up, schools are not shut down, roads get fixed, and town employees keep their jobs. Unemployment is another topic that warrants discussion.

People then become more confident in our economy and maybe by then the commercial loan debacle that is about to land on our laps is less disastrous. Baby steps are needed to turn things around. Activity breads results.

Tim Bray B.S. Real Estate & Urban Economics (UConn)
Sotheby's International Realty
860-912-7137
tbray@brayconsultants.com

Raw Video -Metcalf's Law put to the test

Buyers and sellers are faced with many options when choosing a real estate professional. To differentiate ourselves ultimately means more business. But there are only so many hours in the day and our sphere of influence is not helping us grow our business as fast as we would like. Does video work...I am not sure at this point but I do know that after folks watch our video they feel as though they know us. The first meeting seems more relaxed and casual. Instead of hearing "Nice to meet you" we here "Great to see you" The end result is that we are utilizing metcalf's law in we produced something once and let the web do the rest indefinitely...even as we sleep. Our video is very basic, shows that we are down to earth, and makes us approachable. Click below or paste into your browser to watch this 1 minute video.
http://web3.streamhoster.com/tbray777/Introduction%20to%20Bray%20Consultants%20@%20Sothebys.wmv

We have differentiated ourselves in the way that we market properties and our philosophy when listing a property. To show potential sellers how our services differ, we have created a six minute listing presentation outlining our intent and plan to market their property. Although the presentation is strong, we find that our backgrounds and real estate education are the pivotal points tipping the scale in our favor. Our presentation can be viewed by pasting the following link into your browser or just clicking on the link.

http://wms3.streamhoster.com/tbray777/SothebysVideo.wmv

Popularity Contest vs. Value added

Having two young children forces a view of the world once forgotten. As we get older..we overthink things...analyze..make things more complicated than they need to be. Our minds race...are we forgetting something that could increase our chances of success?
Let's dumb it down.
As a child, being lined up the very first time in gym class. Two kids choosing who will be on their team. It is a critical moment that we will never forget for the remainder of our lives. It seems as though attractive and popular kids are chosen first while the shy and unique kids are at the end. Teams are chosen, the games begin. The playing field is leveled as the unattractive and last to be chosen are given a chance at bat to prove that they are worthy of a first pick next time around. As the game progresses, the value of players shifts in the minds of coaches and players. Little do they know that the foundation for the rest of their lives is being formed.
We as professionals have an opportunity to define ourselves by adding value to each and every one of our clients. Being the most popular may jump start your career and get you picked first as you embark on a new career path. But ultimately it is how you play the game and add value to the team that will get you picked first the next time around.
I am off to the beach to play with the kids.