Partners Trust is currently constructing another Westside office.  Situated at the corner of 14th Street and Montana Avenue, this will be the second Partners Trust office in Santa Monica.

The location, across from Peet’s coffee and the Aero Theater, puts PT at the center of the action.  Inside, the space will be open and inviting, fostering a spirit of collaboration, which we uphold throughout all of our offices.

Nick Segal speaks to some of the exciting things happening in Santa Monica and we get a sneak preview of the new space:

Have you had a chance to drive by the new location?  What do you think of Montana Avenue?  Please share your ideas and leave your comments below.

Partners Trust Real Estate - Real Estate and Business Blogs for Homeowners and Home Buyers

The philosophy behind Partners Trust has always been to honor the associates, to enhance their wealth as the wealth of the company grows.  As such each Associate has an ownership interest in the company.  We are all Partners.

Partners Trust was founded to be a company which raises the bar of professionalism in the real estate industry.  By aligning ourselves with quality individuals who embody our core values, we have experienced immense growth as a team. The unique model we employ represents a pivotal step in the evolution of the real estate brokerage business model.  By gifting stock to our Associates, we truly grow as a team and experience the benefits as such.

Over the first four years as a company, we will carve out and reward members of the team with phantom stock in the company.  Honoring the contributions of those who joined us, each Partner will have a vested interest in the growth of the company and all of our ancillary businesses.  In December 2013, the phantom stock will be converted to real stock and Associates will have the ability to receive dividends based on profitability, buy more stock or liquidate the stock.

As a new company we want to reward those who have stood by us; those who trusted in our innovative philosophy and joined the team.  On Wednesday, February 17th 2012 the stock certificates were handed out and thus our journey continues.  We can’t wait to see what’s ahead for our amazing team.

Partners Trust Real Estate - Real Estate and Business Blogs for Homeowners and Home Buyers

Real estate is about relationships. And relationships are only as strong as your level of trust with one another. From romantic relationships to friendships to business partnerships, the strength and trust comes from the words you say. So, how do you forge an even stronger relationship?

It turns out your parents were right. It’s the power of saying “thank you.” You’ve always heard how important those words are in any social interaction. And here in this TED video, Dr. Laura Trice talks just about how powerful they can be.

What do you think about what Dr. Trice had to say about the power of “thank you?” Have you found saying “thank you” can improve your relationships? We’re going to keep it going by saying thank you for reading this post. Feel free to leave your thoughts in the comments below.

Partners Trust Real Estate - Real Estate and Business Blogs for Homeowners and Home Buyers

Is it me or is everyone out there experiencing a different, more exuberant energy and optimism about this New Year? Could it be that the perception of our economy is recovering based on reality? Normally, perceptions move markets. In this case, the housing market correction may be sneaking up on everyone before they have the wit to realize it.

Three weeks into 2012, at Partners Trust, we are experiencing activity in the Los Angeles Real Estate housing market reserved for May, June and July and we love it. Multiple offers in price ranges from $600,000 to $3,000,000 are popping up from Santa Monica Canyon to the Hollywood Hills. And if you try to find a “reasonably” priced piece of dirt to build on, expect 2 to 5 offers easily from both developers to owner-users.

So why is this happening? I think there are a host of reasons that point to a Los Angeles economy that is finding more stable ground and a perception that perhaps we are at or very close to the bottom of our housing market correction.

Consider that interests for loans are priced from the high 2% rates to the low 4% range. Now that dirt is no longer cheap, we must come up with a new phrase to sum up the super low rates to borrow money. Most recently reported in the Los Angeles Times, the “jobless rate falls to 11.1% in California” with more jobs for “white-collar industries and construction.”  Still too high, we’re seeing a jobs recovery and that is most reassuring.

As economists will profess, the key to an economic recovery hinges on housing and construction. Perhaps the new world order is that a recovery can ignite without housing, bringing it up in its wake. In another report from the LA Times, Alejandro Lazo reports that “home sales rose nationally in December, marking the third consecutive month that the market has shown improvement.”

Cash is funding more purchases (roughly 1 in 3 purchases) as well because the returns found in many other investments are below that of the cost of the money to borrow, so why not use the cash?

I’m not saying that we won’t potentially see further decline in home prices across the nation, but in our backyard called Los Angeles, based on the indicators we’re seeing in the trenches, we are seeing a far rosier picture being created.

How is your industry faring as the year gets started? Are you seeing signs of positive recovery in your arena? We’d love to hear your perspective.

Partners Trust Real Estate - Real Estate and Business Blogs for Homeowners and Home Buyers

Those in the real estate business have taken that deep breath as the first weeks of the new year have gone, by wondering “is this it? Is this the year things change and start going in the right direction?”.

My business as a local mortgage broker usually doesn’t start to kick in until the beginning of February as most clients are really slow to move in January. However, this is the first year in a long time that the trend has been broken. My phone has not stopped ringing. Buyers want to buy and they want to buy now.

Why the change and excitement?

1. We are starting to see a trend of more jobs being created. The first thing that many people read every week is the unemployment reports. This is a mental thing that really effects people making those big decisions in life like buying a house. I know every time I hear the unemployment rate has gone up, I truly hesitate in making any big purchases. Alternately, seeing job growth encourages people.
2. Interest rates are crazy low. The thing that is different about the rates from last year is that jumbo lenders are now starting to lower their rates a lot.  Why is this important? Jumbo lenders lend their own money. They are not selling your loan to get their investment back right away as a traditional loan sold to Fannie Mae or Freddie Mac would. They are lending you their money so when they give you a loan for $4,000,000, it’s their money and it’s now on their books. Not a lot has changed in the money markets from last year, but these jumbo lenders have lowered their rates a full 1% from last year. Why? Confidence – good old confidence.
3. The appraisal report data shows a stable market trend. A year ago 4 out of 5 appraisals were done and the appraiser notated the market as a declining market still. Since the last quarter of 2011 that has reversed. Now every 4 out of 5 appraisals are in a stable market. These are real numbers baby. The data shows the values have now became stable.
4. Jumbo lender guidelines are loosening up. Our two top jumbo lenders have given us more loose guidelines to help clients qualify for a home. One that stands out is using a co-signer to qualify for a loan. Only 3 months ago this wasn’t an option. So now if you need your parents help to buy that $2,000,000 house we can use them.

I truly believe this is the year that the market will stabilize and we will start to see the forbidden word again – appreciation. Yes, appreciation.

I would love to hear your opinion on the market and my thoughts.  Am I crazy to predict appreciation? Let me know.

Partners Trust Real Estate - Real Estate and Business Blogs for Homeowners and Home Buyers

There is much misunderstanding around mortgage rates – which ones are actually available and what the costs are to get a rate.  It is important to know the truth about rates and be aware of some of the common mistakes made when comparing them.

Last month, Freddie Mac’s published average conventional conforming 30 year fixed rate fell to 3.96%. Generally speaking, it is safe to assume all rates are ‘low’ for all loan amounts, but every deal is different so it is very important to provide detailed information to a mortgage professional in order to get an accurate rate quote. Of course, this should be done through a custom pre-approval, which we do for free at First Capital.

Here are some points of interest:

• Rates advertised online or in the paper reflect a 30 year fixed at 3.50%. *This is obtainable by paying upwards of two points. Pay attention to the amount of points paid, or discount fees, origination fees. A detailed Good Faith Estimate is the very best way to know what the total costs are to get that rate.
• Generally, rates advertised are for loan amounts below $417,000 with at least 20% down, for single family residences (not units or condos) with a minimum FICO score of 740 and sufficient credit history. *Many prospective borrowers see this advertisement and assume that their $1,200,000 loan amount can get the same 30 year fixed rate.
• I’ve had borrowers confuse programs. For example, they may have been quoted a 5/1 interest only ARM, due in 30 years. They hear “Due in 30 years” and subsequently take that to mean a 30 year fixed. *Pay attention to all the terms. Know the differences between ARM’s and fixed loans and the difference between 3/1, 5/1, 7/1 and 10/1 ARM’s.
• A rate that was quoted in December is likely not the same rate that exists today. Be sure to keep your rate quotes up-to-date. *Rates can change daily, sometimes more than twice per day in a highly volatile market. A pre-approval may be valid for several months; the rate quote should be current to the day.

A rate advertised online or in the paper is not a proper source for a specific rate quote; it may be misleading and/or inaccurate as they relate specifically to a borrower. Understand the terms, costs to get a rate and type loan offered – this information should be clearly explained. And stay current.

A pre-approval is always the best method to get an accurate rate quote. Oftentimes, a pre-approval only takes a few hours to complete and there is no cost.

Have you considered getting a pre-approval?  Do you have other questions about rates and the loan process?  Please share your comments below or feel free to contact me directly.

Partners Trust Real Estate - Real Estate and Business Blogs for Homeowners and Home Buyers

With the onset of a new year and the exciting opportunities of 2012 beginning to unfold, we always want to make sure we stay grounded in our founding principles.  Our company’s Trust Agreement articulates our shared commitment to integrity, accountability and the highest standard of care for our clients.

At the beginning of each year, every member of our team is given this Trust Agreement to read and sign.  In doing so, we are acknowledging and accepting a set of standards and values that define who we are as individuals and as a company.  Inherent in these is our commitment to working together, taking the time to understand, articulate and achieve the needs of our clients.  We are dedicated to building and nurturing relationships based on trust.

As an exclusive team, individually selected, we at Partners Trust are all dedicated to upholding the integrity of this Trust Agreement.  We accept the founding principles of this company as they are reflective of us as individuals.

Two weeks into January and each member of the team has signed their agreement.  Stack in hand, it’s clear to see that we are poised for a prosperous, exciting and uniting year.

Partners Trust Real Estate - Real Estate and Business Blogs for Homeowners and Home Buyers

Two years ago, our founding partners took a chance when they decided to launch a new real estate company during our national economic downturn.  That risk has certainly paid off as we look to a prosperous 2012 full of exciting new opportunities.

One such new venture is the opening of our new Partners Trust office in the heart of Santa Monica, which will happen early in the new year.  The great location of the new office will position our team at the center of the hustle and bustle of Montana Avenue and we couldn’t be more excited.  We will feature a walk-through of the new office and some more juicy details as the opening date gets closer.

Despite many depressing headlines to the contrary, this faith in the market that we have is shared by many in the industry.  The LA Times ran an article (featured on the front page of the business section today) discussing this trend of new boutique real estate agencies opening up.  It seems many who share our entrepreneurial spirit and have taken a chance and bet with the market are experiencing similar good fortune and their faith (and hard work) is paying off.

The benefits of being part of a new company and a boutique agency are huge.  As we end 2011 and look to a new year, we are so enthusiastic about what lies ahead.

Partners Trust Real Estate - Real Estate and Business Blogs for Homeowners and Home Buyers

Over the past few months we here at Partners Trust have been immersed in a series of comprehensive conversations about marketing strategy in an effort to ensure that our message is being successfully delivered and that 2012 is our best year ever.

We are working to develop our marketing plan and nurture our brand.  We are creating a unifying message that will speak to each of our target markets in an energetic and effective manner.

We have enlisted the help of marketing consultant Valerie Bishop to assist us in crafting our strategy.  Along with Valerie, our marketing team and founding partners have been meeting in the lead up to 2012 and working together to prioritize current projects and build a cohesive plan for brand management moving forward.

As we transition into a new year, it’s important to reflect on our massive achievements thus far, but also to look toward the future.  By developing our brand and working on delivering our message in a clear and comprehensive way, we will be able to help more people in the years to come.

How are you planning for success in 2012?  What are the most important things you look for in a company’s message?  Please share your ideas, leave your comments below and help get the conversation started.

Partners Trust Real Estate - Real Estate and Business Blogs for Homeowners and Home Buyers

Last weekend, associates, staff and friends of Partners Trust joined together for a night of feasting, dancing and celebration. This year’s holiday party was a great success and a testament to the joy, energy and enthusiasm we have as a team, as a family.

The festivities were held at the home of Tracy Maltas, a Partners Trust associate, and we couldn’t have asked for a better location.  Dressed to the nines, the home has recently undergone a stunning renovation and has been beautifully decorated.  In fact, much of the talk of the night, comprised the collective “ooos” and “aaahhs” at the impeccable finishes and fine furnishings of the home.  Tracy and her team did a phenomenal organizing the party and in providing such a fine space for the event.

From the dance floor, to the two bars, DJ (flown in specially for the event) and the delicious food circulating endlessly throughout the rooms, there was no shortage of stimuli that night.  The music poured from the speakers and conversation flowed, people knew they would be talking about the party for years to come.

Not only was the event an incredible party and a great forum for people to let loose and have some fun, but it was also a wonderful celebration of everything we have achieved here at Partners Trust.  We continue to grow as a company and watch our numbers rise, but understand fully that it is as a team that we succeed. To have so much of the PT family present at the party, it felt truly gratifying.

Check out all the fun by visiting the holiday party website.

Were you able to attend the party?  What was your favorite part?  Please share your ideas and leave your comments below.

Partners Trust Real Estate - Real Estate and Business Blogs for Homeowners and Home Buyers