Broker Michael Parent was named president of the Mainstreet Organization of Realtors for 2014.
With more than two decades of industry experience, broker Michael Parent will serve as the 2014 president of the Mainstreet Organization of Realtors (MORe), according to a recent press release.
Parent, who is a broker with Coldwell Banker and is Burnet Title’s Chicago Region vice president of operations, said he wants to make in impact during his time as president.
“I want to be as proactive as possible and not be afraid to shake things up,” Parent said. “Just because somebody else has tried something and failed or come up short doesn’t mean we can’t take it on, whether that is developing mobile technology tools and resources for members or finding new ways to educate consumers.”
Parent, who was also selected to the Illinois Association of Realtors board of directors, has experience in multiple facets of real estate, from new construction and marketing, to property management. But he isn’t just looking to add this job to his resume. Parent has serious goals he wants to accomplish during his term.
In addition to increasing awareness about the work MORe does and strengthening its relationships with members and consumers, Parent plans to meet with mortgage and lending professionals in hopes of repairing a market he said is damaged.
“The fact that first-time homebuyers make up only 29 percent of the market, when it’s traditionally closer to 40 or 50 percent, is staggering,” Parent said. “We need more flexible financing options for first-time buyers and lending standards that open up more opportunities in the market. We must also do more to strengthen the FHA and ensure its long-term viability.”
I agree with 2 of Mr. Parents quotes in particular:
1. “The fact that first-time homebuyers make up only 29 percent of the market, when it’s traditionally closer to 40 or 50 percent, is staggering,” Parent said. “We need more flexible financing options for first-time buyers and lending standards that open up more opportunities in the market. We must also do more to strengthen the FHA and ensure its long-term viability.”
Let’s assume someone qualifies under the more stringent lending parameters of today and tripled monthly MIP factor. The main barrier is the down payment and closing cost requirements. The October 2008 abolishment of FHA Seller Assisted Down Payment Assistance was a giant blow to the housing industry. This assistance had nothing to do with inflated Real Estate listing prices as alleged. Everyone operated in the lending community from 2003 to the end of that ERA would understand it was very difficult to raise a purchase price above the latest listing price on the MLS due to the lender appraisal review process. I tried all the time and probably won that battle once out of my almost 10 year plus mortgage company management of 30 plus purchases a month.
Furthermore, lenders often do not allow for the seller credits, particularly the seller tax credit, to be calculated as a reduction toward a buyer’s upfront closing cost contribution. This is often $1,000’s of unnecessary funds the borrower has to show in order to qualify for a mortgage. It the single largest cause in today’s Real Estate market that prevents a borrower from making it to an underwriter, and of course an eventual closing. I had a recent transaction with Burnett Title where the borrower had to show $11,000 up front and only had to bring $3,400 to the table. I would guess this is a barrier in almost 50% of purchase transactions. Plus, there is horrible family stress dynamic put upon the “first time home buyer” in that they often have to turn to another family member for yet another gift that of course is completely unnecessary. This gives the borrower a horrible experience which of course is conveyed to all the friends and family.
2. “I want to be as proactive as possible and not be afraid to shake things up,” Parent said. “Just because somebody else has tried something and failed or come up short doesn’t mean we can’t take it on, whether that is developing mobile technology tools and resources for members or finding new ways to educate consumers.”
I completely agree with this statement. It took years for most to embrace electronic signatures. I would say that now more than 50% of RE contracts I see are e-signed by Realtors.