Blog 3

Interview with Angelo Alessandro, Real Estate Broker of Primus Properties
Interviewed by Kevin Howes
Understanding how to valuate residential property is a necessity that everyone should understand in the real estate industry. Angelo Alessandro is a real estate broker and owns his own firm called Primus Properties. He has been in real estate for over thirty years and he primarily does residential real estate. He carries a bachelor degree as well as one year of graduate school at California State University Fresno and also he went to law school for one year at the San Joaquin College of Law. Angelo has many listings on the MLS and is a valued real estate broker in the Central Valley. Angelo was happy to help me in my interview and was very enthusiastic to about the project.
Q: How did you get into the residential real estate field?
A: “A friend kept "hounding" me to get licensed; I had no particular interest in real estate in 1975.”
Q: What is your educational background?
A: “BA degree (CSUF), one year of graduate school at the School of Social Work (CSUF), one year of law school at the San Joaquin College of Law.”
Q: What is the most challenging and rewarding aspects of your job?
A: “The most challenging, for me, is being able to handle disappointment caused by a lack of "loyalty" on the part of some clients. One of my favorite training/teaching topics is "your friends and family are the ones that will hurt you the most". I have found this to be true--your friend or family member lists or buys through another Broker (as they certainly are entitled to do)--but it still hurts. Some agents will not take on a friend or family member--they prefer to refer them to another Realtor. You must keep in mind that this is a profession in which you may do everything right--and NOT get paid for your efforts. A doctor's patient may die, an attorney's client may lose their case--but, the doctor and attorney still get paid. There are many variables (many of which are completely out of our control) involved in a real estate transaction; a deal can fall apart even when you have done everything correctly. This is just a part of our profession; accept it and it won't be so frustrating.
On the rewarding side is the client that has been underserved by other agents and somehow comes to you for help. If you accept the case, give it all you have, and the outcome is successful, you will experience an euphoria because you have helped that client realize a dream they may have had for a long time.”
Q: What is a "typical" work day like for you?
A: “There are no "typical days" in the real estate business; that's one of the upsides to this professions. There are, of course, some routine things, for example, client contact (if they are calling you, your probably not doing your job), file review, solicitation of new business, coordination of escrows (if any), returning calls from other Realtors, reviewing MLS for new/changed listings, coming up with new ways to develop more listings/sales/loans, showing properties, putting out "fires", etc.”
Q: What are some key qualities that have helped you become successful?
A: “A key quality in the Real Estate (and any other) profession is: FOLLOW THROUGH. If you don't FOLLOW THROUGH, all of the knowledge, tools, skills, good looks, charm, won't be enough to allow you to become successful. The complaints I hear today from frustrated clients are no different than the ones that I heard in the 1970's: my agent doesn't return my calls, (s)he is never on time, I don't feel like I am important to him/her. This is why it is ALWAYS possible to be successful in this (or any other) field, IF you are willing to do what others do not do, especially FOLLOW UP. I developed a simple and effective training acronym while working with the U. S. Census Bureau: HICUP: Honesty, Integrity. Confidentiality, Urgency, and Productivity. If you follow these tenants, you will enjoy a successful career regardless of what the economy is like at any point in time.”
Q: What techniques or methods are used in valuation of residential real estate?
A: “As a Realtor, I rely on closed transactions for values (not listing prices). These data are available through the MLS and Title company data bases.”
Q: Which techniques have you found to be the most accurate in the valuation process?
A: "Closed transactions.”
Q: Are there any pros and cons when dealing with different methods for valuation of houses?
A: “If you rely on listing prices, you may under value your potential listing. An appraiser will note and take into account the reason (or reasons) why a sale was made at an "under market" price. In these cases, that sales price MAY not effect your listings price (value).”
Q: What factors are responsible for the decrease in home values in recent years?
A: “Too lax lending policies led to loan failures, thereby creating an over supply of homes on the market. Adjustable rate mortgages, which, when rates were raised, created a no win situation for the buyer and they ended up defaulting. Using home equity like a checking account which resulted in a decrease in home equity, which resulted in borrowers walking away from their loans because they could never catch up.”
Q: How has the current market conditions affected your business?
A: “My volume has decreased significantly. It is more difficult to get potential buyers approved for loans. Banks are very slow at answering offers, to the extent that some buyers just give up on the process.”
Q: When do you expect properties to regain their values or experience growth again?
A: “In my opinion, things could look better by the end of 2011. I don't think we will get back to the pre decline values because they were artificially created like stated before.”
In conclusion, valuating residential property is critical in having success in the real estate business. There are many ways to evaluate homes and everyone has their own way of doing it. The interview was very constructive and I feel like I got the answers I wanted and Angelo was very nice to offer them. I appreciate the time Angelo Alessandro gave me in regards to the interview and I was able to grasp his wisdom and knowledge about residential real estate. I know he is a very busy man and his business is important, therefore I thank Angelo for the time he spent with me for the interview.