Illinois REALTORS® September 2022

YOU ARE THE KEY

“The joy you see on a buyer’s face when they get their key in their hand, and the relief a home seller feels when they have sold their home—and me being the

in all of this—makes

Shirin Marvi

Marvi Real Estate,

“When I first started in real estate, one of the managing brokers in my company made the point that what we do is a very good and noble thing. We’re helping people find a place where they’re going to have their joys and their sorrows and raise their children and have their families.”

Lyle Harlow

Kale Realty, Chicago

“Empowering individuals, families and communities.”

Lutalo McGee

Ani Real Estate, Chicago

Immediate

Chief

Director

Marketing

For

ILLINOIS REALTOR® (ISSN 0744-221) is published

times a year during the months of January and September by Illinois REALTORS®, Post Office Box 19451, Springfield, Illinois 62794-9451. Periodical postage paid at Springfield, Illinois and at additional

offices. Postmaster: Send address changes to: ILLINOIS REALTOR®, Post Office Box 19451, Springfield, Illinois 62794-9451, 217-529-2600.

expressed in any signed

REALTOR®

“You get to walk alongside the seller or buyer for whom this is sometimes the most money they have ever dealt with in their lives, and you get to be a part of that and share in the joy and the challenges. That is a great reward.”

Leslie Rothan

eXp Realty, Peoria

“I make a difference and I know I’m helping people. I feel like a quarterback, helping them and picking the right people to help them along the way, because we all have one common goal: them.”

Joel Raynes

Baird & Warner, Glenview

of

Yes, our culture does make a difference.

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REALTORS® are the KEY to homeownership

PRESIDENT'S MESSAGE

The Dream must continue… we hold the key to make that happen

address lingering vestiges of housing discrimination, and to help develop, cultivate, and advance our future industry leaders.

(You can read about some of those efforts in this edition of the magazine).

Ezekiel “Zeke” Morris

2022 President

During the past year, I have been blessed with the opportunity to travel around the state visiting our local associations and industry partners and meeting with so many of you –our dear members selling residential and commercial property. I want to take this time to thank all of you for inviting me, spending time with me and serving as great hosts.

I cannot thank you enough for your support of my presidency this past year. I have enjoyed meeting you, learning about your needs and discussing the many benefits and programs offered to you by our Illinois REALTORS®. I feel like we have strengthened our already strong bonds and going forward can work even more collaboratively on programs to increase homeownership, to

My kudos to you for your investment in RPAC this past year. It has been greater than ever and came at a time when we needed it most. For the past year, “public interest” groups and a few elected officials have tried, indirectly and directly, to convince Illinoisans to abandon the dream of homeownership through rent control measures and other legislation. They have also tried to impose burdensome regulations and increase property taxes. But thanks to your investment in RPAC and your participation in our Let’s Talk Real Estate events, we have thwarted those attacks. Moreover, we have progressed quite well in our own proactive advocacy agenda – at all levels of government.

Yes, we have won battles, but the fight continues. In the coming year, we will need your continued investment in RPAC. We will need you to keep responding immediately to our Calls for Action and continued participation in our meetings with elected officials at all levels of government.

The partnership between the Illinois REALTORS® governmental affairs directors and local associations to improve our communities also must continue.

I have handed over the reins of the Illinois REALTORS® presidency to my esteemed colleague, Michael Gobber, with a profound sense of accomplishment based on the strides in our advocacy efforts, diversifying our industry, and unveiling the American Dream initiative. It will help Illinoisans own a home or commercial property regardless of their historical socio-economic background, where they live, their gender or their ethnicity.

As I said during my inaugural address last October, I am living the American Dream and I want others to do so as well.

Our Illinois REALTORS ® CEO Jeff Baker says it so well: We are unique in that there are not many other industries or callings in America where you can say you are responsible for making the American Dream happen. We do. We hold the key to the American Dream of property ownership.

So, in the coming year, let us continue working to emphasize the importance of a REALTOR ® in ensuring that every Illinoisian can achieve the American Dream of property ownership. We can! We must! We will!

Afterall, that is who we are!

Ezekiel “Zeke” Morris

llinois REALTORS®

2022 President

QUICK TAKES

More international buyers purchasing U.S. homes, ending three-year decline

Foreign investment in U.S. residential properties climbed 8.5 percent to $59 billion, ending three years of declines, according to the National Association of REALTORS® (NAR) 2022 Profile of International Transactions in U.S. Residential Real Estate.

The median price ($366,100) was the highest recorded by NAR and the top investing countries were China, Canada, India, Mexico and Brazil. Top U.S. destinations were Florida, California, Texas, Arizona, New York and North Carolina.

Got a drone? You’re not alone

Six percent of REALTORS® operate drones as part of their business and another 37 percent have hired professional drone operators, according to NAR’s 2022 Member Profile. Learn more about the potential legal issues of using a drone in your real estate business from NAR at www.nar.realtor/drones

Looking for ways to help your sellers refresh their homes with the latest designs? Realtor.com points to five interior design trends that are standing out this year:

Monochromatic paint – think walls, wood trim, even fireplaces

in one color

Alabaster and natural stone light fixtures

Japandi style

a mixture

minimalist Japanese and Scandinavian design

Heirloom furniture

Biophilic design – plants and

organic

Follow us:

Ed Neaves elected NAR Region 7 VP

Bloomington-area REALTOR® and past Illinois REALTORS® president Ed Neaves has been tapped to serve as the 2023 National Association of REALTORS® Region 7 Vice President, representing Illinois, Indiana and Wisconsin.

Neaves is the designated managing broker of Berkshire Hathaway HomeServices Central Illinois REALTORS® in Bloomington. He led the state association in 2020 and was named the Illinois REALTOR® of the Year in 2022.

You are the key to the American Dream

Everyone deserves the opportunity to achieve the American Dream of homeownership. Illinois REALTORS® is working to increase housing affordability and equity so EVERYONE has that chance, regardless of where they live, their socioeconomic background or their ethnicity.

Learn more about the campaign and hear personal stories from Illinois REALTORS® colleagues about how they help their clients achieve the dream of homeownership. www.IllinoisRealtors.org/KeyToHomeownership

Home improvement spending expected to slow

Homeowners are beginning to rein in spending for home improvements and repairs and that will continue into 2023, according to the Leading Indicator of Remodeling Activity Report from the Remodeling Futures Program at the Joint Center for Housing Studies at Harvard University.

Slowing home sales, rising mortgage rates, moderating house prices, homebuilding slowdowns and other factors are all expected to dampen interest in home improvements and maintenance, said Carlos Martín, project director of the Remodeling Futures Program at the Center.

Zeke Morris honored by Dearborn REALTIST® Board

Illinois REALTORS® President Ezekiel “Zeke” Morris received the President’s Special Recognition Award from the Dearborn REALTIST® Board of Directors earlier this year. He and other members of the Illinois REALTORS® Executive Committee are members of the Dearborn REALTIST® Board, the oldest African American Real Estate trade association in the U.S.

LEGAL UPDATE

Overview of recent changes to Illinois Residential Real Property Act

Anneliese Fierstos

Illinois REALTORS®

Legal Hotline Attorney

In May 2022, Gov. J.B. Pritzker signed a bill that makes mostly technical changes to the Illinois Residential Real Property Act (“The Act”) including language clarifying some of the terms used in the Act and bringing it up to date. The Illinois Real Estate Lawyers Association proposed this legislation and worked with Illinois REALTORS® to gain support for the changes to the Act.

Most of the changes to the Act clarify the already existing duties of the Seller to make disclosures. The following is a non-exhaustive list of changes:

u Seller shall deliver to a prospective buyer the written disclosure report before the signing of a contract. This language provides more clarity regarding timing for providing the report.

1. T he material defect results from an error, inaccuracy, or omission of which the seller had actual knowledge at the time of the prior disclosure;

2. T he material defect is not repairable prior to closing;

3. T he material defect is repairable prior to closing, but within five business after delivery of the supplemental disclosure the seller either declines, or otherwise fails to agree in writing, to repair the material defect.

u Clarifies that a disclosure report can be made by email or other electronic delivery.

Have a legal question?

Illinois REALTORS®

Legal Hotline is the Designated REALTOR®/ managing broker’s go-to source for legal information.

Hours: 9 a.m. - 4 p.m. Monday – Friday

Phone: 800-952-0578

Email: afierstos@ IllinoisRealtors.org

u Provides that, if prior to closing, seller becomes aware (rather than has actual knowledge) of an error, inaccuracy, or omission in any prior disclosure report or supplement after delivery of that disclosure report or supplement to a prospective buyer, that seller shall supplement the prior disclosure report. This was an existing requirement under the Act, but the change clarifies the existing responsibility for a seller to make sure information about the condition of the property is up to date.

u Provides that if a seller discloses a material defect in the disclosure report after the contract is signed, a prospective buyer may terminate the contract within five (rather than three) business days after receiving the report.

u Clarifies that if the seller discloses a material defect in a supplemental report, buyer can only terminate under three specific factual scenarios:

u Provides that newly constructed property that has never been occupied does not include the rehabilitation of residential real property. This should be a helpful clarification. In other words, only brand-new construction where no one has lived is exempt.

u Clarifies that if a seller answers “no” to occupying the property within the last 12 months, they shall identify in what capacity they are signing or their relationship to the property. For example, seller is an owner, but the property is an investment property that is rented to third parties. Seller discloses those facts and completes the entire list of questions to the best of their actual knowledge even if the answer to question one is “no.” Identifying capacity or relationship may inform the buyer about what the seller may or may not know regarding the property’s condition. Note that the obligation to answer all of the questions has been a duty under the prior version of the Act.

Illinois REALTORS® has created a guidance document and a revised disclosure report that is consistent with the new changes to the Act. Sellers should use the new report form: bit.ly/3PpSZ8t

New Illinois law bans discrimination based on source of income

In May 2022, Gov. J.B. Pritzker also signed a bill which amends the Illinois Human Rights Act to ban discrimination in housing based on source of income, including income such as housing choice vouchers (HCVs), sometimes referred to as Section 8 vouchers. This change becomes effective on Jan. 1, 2023.

Many Illinois landlords and property owners are wary about the prospect of having to accept HCVs. In many cases, landlords or property owners have adopted the mistaken belief that opening their doors to Section 8 tenants leads to accepting tenants they might otherwise reject. The HCV program seems to carry with it a certain stigma or impression that the housing program is “bad.”

There are actually many advantages to participating in HCV programs and some of the information provided within may shed light on the advantages to housing providers and tenants.

First, it is important to realize that HCVs are not handed out without significant effort required by the applicants. Participants are required to go through an arduous process and meet several requirements to qualify. Applications must be made through a local public housing agency (PHA). Applications are detailed and request a significant amount of personal information. The PHAs receive federal funds from the U.S. Department of

Housing and Urban Development (HUD) to administer the voucher program. PHAs then evaluate the applicants before accepting them into a voucher program.

Eligibility for a housing voucher is determined by several factors. During the application process, the PHA collects information on annual income, assets and family composition. The PHA will verify all information from the applicant with local agencies, the applicant’s bank and their employer. If the PHA determines an applicant is eligible, their name will be placed on a waiting list. In some cases, the wait to receive the HCV may be up to two years due to a lack of funding and an increased demand for affordable housing.

Once applicants are accepted into the HCV program, there are still hurdles to finding housing. They must then find housing that accepts HCVs and meets program requirements, including a physical inspection by the PHA. Under most HCV Programs, tenants will typically pay 30 percent of their monthly income toward rent, where the HCV is intended to cover the rest.

The advantages to accepting HCVs are: u A substantial portion of the monthly rent is guaranteed to the housing provider, even if the tenant runs into financial trouble.

u Working with HCVs opens up a new market of potential tenants.

u Housing providers may still apply the rental history and utility payment criteria they would use for any applicant.

u Housing providers are not required to lower fair market rent charged for their property in order to accommodate an HCV. However, they are prohibited from increasing HCVs rent amounts to avoid HCV applications.

There are a few, comparatively minor, disadvantages to working with housing choice vouchers. The process of working with the PHA to get housing approved for the program can be challenging. In order to be approved, the property will need to meet acceptable health and safety codes. A positive note is that where a housing provider keeps up with maintenance and repairs, there should be no problems. Once approved, the property will also need to be kept up to standards to pass annual inspections. Although some may see these requirements as cumbersome, wellmaintained properties serve to benefit local communities and neighborhoods.

The amendment to Illinois law will provide a positive impact by ensuring a more just and equitable housing market across the state.

MOVING TIPS FOR CLIENTS

(and How They Can Save Money)

By Lee Nelson

D

onna Brooks has moved 20 times and knows firsthand how stressful it can be. As a REALTOR®, she uses that knowledge to make the transition easier for her clients.

“I am often one of the first points of contact to clients moving into or out of an area,” says Brooks, a broker associate and relocation specialist at Baird & Warner, Naperville. “I let them know I will do whatever it takes to make the process as smooth as possible for them, and that I will work with them every step of the way, always with their best interest at heart.”

Americans move an average of 12 times in their lifetime, according to U.S. Census Bureau. That’s a lot of boxes, organizing, worrying and money.

Giving your clients tips on saving money and reducing frustration whether they are going across the country or across the street will benefit them exponentially with an added value and personal touch.

Know your moving options

Understanding the different choices your client has in moving can help you help them.

“Moving is a personal experience meaning that each shipper has specific needs on their move,” says Kelly Bennett, director of marketing/account executive for Boerman Moving & Storage, an Interstate Agent for Bekins Van Lines in Woodridge. “Understanding the level of service needed to effectively complete the move will help the shipper set their expectations correctly.”

There are basically two choices on moving: u Do-it-yourself – “This is where you literally do it all – pack, truck rental, load and unload,” says REALTOR® Melea Snyder, a broker and relocation director at Jim Maloof/REALTOR® in Peoria. “This is the most affordable way to move.”

u Professional moving services – “There are many companies to research and interview,” says Bennett. “Professional movers will come out to perform a specified level of service needed by the shipper including full or partial packing, loading and unloading, custom crating, transporting and more.” These companies also offer options for damage and loss protection.

Movers are one of the top categories of companies searched on the Better Business Bureau website, which features more than 20,000 moving-related companies. Whether moving near or far, it is important for clients to choose a company they can trust.

Bennett suggests visiting the websites of the Federal Motor Carrier Safety Administration (FMCSA) or the American Trucking Associations (ATA) to find the right moving company. Find a Certified ATA ProMover. The ATA awards the certification to moving companies only after they pass a thorough background

Melea Snyder Jim Maloof/REALTOR®

check, including their operations and previous work. Moving companies agree to abide by ATA’s Code of Ethics and a set of honorable business practices.

Go even further with researching companies by asking your circle of friends and family for the ones they loved or even hated, so you can eliminate the ones with bad reputations.

“Talking with people who have had a personal experience moving will get a great idea of the ins-and-outs of the current process, especially if the shipper has never moved before or it has been years since they have last moved,” Bennett says.

Hiring a moving company should be similar to a job interview, she says.

“Reading a resume is a great start, actually meeting the person for the job gives the interviewer a better understanding of the person they may hire,” she says. Most of her clients opt to unpack the boxes themselves, so they can go at their own pace. However, it is a welcome timesaver and stress reliever when movers reassemble the beds at the new home.

Help clients save money when moving

One of the best ways to save money on a move is to go through your stuff with a critical eye one more time before the final date of moving, Bennett says.

“The less there is to move, the less expensive the move will be,” she states. “Be sure all the items being moved are worth a trip to a new location.”

Moving companies that transport

across state borders charge by the weight of the shipments. Inside state borders and locally, they bill you by the hour, Bennett says.

Rates are determined through supply and demand, so prices can fluctuate. The peak season for moving typically runs from May to September, and rates tend to be higher on Saturdays than on weekdays.

Brooks works with a lot of families and always advises them to declutter and give away, sell or throw away items that don’t need to go to the next home.

“Now would be a good time to sell their extra rooms of furniture. Are there still boxes unpacked from when they moved in five years ago?” Brooks says. “It may be time to reconsider if they really need those items and want to pay to move them again.”

Snyder recommends starting early and booking movers or a moving truck as soon as you know your dates. And if you look for free boxes and pack things yourself, you’ll be saving even more bucks.

“Your linens and clothing can be used as packing materials to save on purchasing bubble wrap and packing paper,” she states. “Laundry baskets and suitcases are great for packing and can help cut down on boxes.”

Brooks says many closings take place the last few days of the month. Movers are much busier those days.

“Moving a closing up a few days or weeks can help alleviate some of the stress of finding movers or even rental trucks available during those times,” she remarks.

Kelly Bennett Boerman Moving & Storage

Donna Brooks Baird & Warner

Keeping things light

If you are packing things yourself, inventory every room and write the contents on boxes, Snyder suggests.

“It is best to keep each box at a weight they can carry themselves. Pack an overnight bag filled with essentials,” she says. “Add a change of clothes, toiletries, medications and more so you are not looking for items like your toothbrush when you arrive at your new home.”

Pack and move your own small, high-value items in your personal vehicle when possible, such as jewelry, important papers and photos.

“Most clients elect to move their most precious belongings on their own whenever possible,” Brooks says.

If you do hire movers, she says to “keep in mind also that packers will pack everything unless directed otherwise. I have had clients have their car keys, garbage cans full of trash and half-eaten cakes packed.”

Moving insurance information

Moving valuation is the protection plan offered to customers from movers, says Bennett.

The minimum coverage required by the Illinois Commerce Commission includes the basic liability option. This coverage costs nothing to the shipper and will cover 30 cents per pound per article. For example, you’d get $3 in compensation for a 10-pound lamp if it is destroyed or lost.

Companies offer other options, too, and they range in levels of coverage. Not everything is automatically covered

because each customer has different needs, she adds.

“Before choosing an option for loss and damage reimbursement, it is important to give serious thought of the value of the household goods,” she says.

What REALTORS® can do to make buying a home and moving less stressful Brooks starts her five-star service by putting clients first even when she is showing homes.

“I always have snacks and water in the car along with Band-Aids, tissues, Advil, tape measures and toilet paper. It comes in handy in vacant houses when traveling with kids,” she says.

She prepares buyer tour packages for each member of the family with photos of the homes they visit and spaces for them to take notes. She also keeps children engaged in those tours by having them help her open doors and turn on and off lights.

“I build in downtimes at parks and allow time for ice cream breaks,” Brooks adds. “I have new, little inexpensive toys ready to hand out when the children are getting tired and cranky, thus allowing their parents to focus more on finding a home.”

Snyder says her brokerage provides individually tailored community tours for clients moving to the area.

“We also provide a welcome packet providing names and contact information of various services provided in our area,” she adds. “This includes information on schools, hospitals, shopping, restaurants, entertainment and much more.”

Moving can be one of the most stressful experiences in a person’s life, Bennett says.

Clients who plan early, book early, and begin decluttering and packing early for their move can reduce a lot of the anxiety and save money.

About the writer: Lee Nelson is an Illinois-based writer whose work regularly appears in REALTOR® Magazine and other industry publications.

Moving with Pets

“Pets feel stress,” says Snyder. “Whenever I am packing to leave for a few days or on a vacation, my dog gets nervous as soon as the suitcase comes out. I’ve heard that having a few boxes and suitcases out ahead of the move can help. That way they might not associate these things with leaving.”

The American Society for the Prevention of Cruelty to Animals (ASPCA) agrees that this might help, especially for cats who aren’t big fans of change. Also, you can keep your furry friends in a familiar room you plan to pack up last so they are not in the upheaval.

Snyder recommends you pack your pet’s favorite toys, bedding, food and water. Also, make sure there is a designated spot in the vehicle for them, and check the route for pet-friendly areas (parks or restaurants) along the way.

Other tips for moving stress-free with your pets:

u Have your pet microchipped or use an identification collar in case they run away in all the excitement, Snyder says.

u Be cautious on moving day. “Even dogs and cats who are mildmannered and have never run out on their own may now bolt for the door amid the chaos of packers and movers in and out of your home,” Brooks says.

u Keep routines as best as possible, Bennett explains. “Even though the environment will change, keeping them on the same routine will let them know things are the same.”

u ASPCA encourages carrying your pets around the house in their crates or taking short drives. You can help your pets develop a positive association with the crate by providing treats and playtime after crate time.

9 back to basics business actions agents should take today

By Chris Heller

If you haven’t been in real estate for a market that doesn’t have your sellers wading through 20 offers and buyers so desperate for a home that they are waiving contingencies, then you’re in for a surprise as the market moves to a more normal one. It’s time to go back to basics, or start with the basics, so you can thrive today. Why?

First, it sets you apart from the competition. So many real estate agents are caught up in digital marketing that they neglect basic strategies that involve face-to-face contact. By going back to basics, you are forging a connection that sets you apart from the competition. It’s Refreshing: We’ve all heard how taking a break from the internet can be restorative to our mental health. Moving away from digital will provide a new outlook for you

and the improved attitude will rub off on potential clients.

Second, it provides face-to-face contact. It’s easy to connect with people online, but nothing will replace that personal touch that comes from shaking hands and knocking on doors.

Back-to-basic strategies for real estate agents

So what back-to-basic strategies should real estate agents be using in their campaigns? Here are a few ideas.

1. Knocking on doors: Knocking on doors is not easy, but it can be well worth the effort. The idea is to meet potential new clients and build a rapport of trust.

You may get some doors shut in your face, but you will also make tons of connections that can lead to high-priced conversions.

2. Face-to-face appointments :

The priority when chasing down a lead is often to schedule an appointment. During the appointment, you can discuss your qualities and find out if the client is interested in selling. Appointments can be done over the phone or video conference, but a faceto-face appointment will hold the most weight.

Research shows that 75% of customers will interview only one agent before deciding on their representation. 90% of customers who met with agents face-toface ended up closing on their property with that agent.

If you are contacted by a prospective customer, don’t sit on the call. Get back to them immediately. They could be looking to buy or sell the moment they

make contact and any delay on your part will mean they are on to the next.

3. Snail mail: Email has been shown to produce a high ROI. But snail mail is also effective. You can send out postcards and letters introducing yourself to your community, pointing out marketing trends and advertising properties you have listed. With many agents veering away from this medium, your written communication is sure to stand out.

4. Thank someone: It’s important to make a favorable impression on someone after you close a sale. This will make them inclined to refer you to someone who requires real estate services. You can do this by sending an old-fashioned thank you note or a gift such as a coffee house gift card, chocolates, housewarming gifts, or flowers.

5. Hone your communication skills: As an agent, it’s up to you to make your clients feel like they have your undivided

attention. You can do this by listening to what they have to say. Remember, listening takes more than just hearing words. It involves paying attention to body language and asking questions.

Customers will also appreciate it if you pay attention to small details. This can be extremely helpful to buyers who are seeking the right property. Take notes if necessary.

6. Stay in touch: Staying in touch will keep you in your clients’ minds so they call you first when they, or someone they know, requires your services. You can stay in touch by sending out emails or newsletters, or, to get more personal, send them a card to wish them a happy birthday. Or call or send a message when you hear about news they may be interested in.

7. Know your stuff: It may seem like a basic skill, but it’s important to be a subject matter expert. This includes

things like knowing how to fill out contracts, write a compelling offer letter, and getting familiar with the inventory in your community.

If you don’t have these skills down pat, you can always work on them and/ or brush up on your education through classes so you will impress current and future clients.

8. Host events: Events are a great way to connect to people on a personal level. The internet has given us so many marketing options, but it’s important not to neglect a back-to-basics approach. These strategies will establish a personal connection and help you stand out from the competition.

Reprinted with permission from RealTrends.com. Chris Heller is a real estate industry expert, best-selling author and currently serves as the chief real estate officer at Ojo Labs

COMMERCIAL CORNERCOMMERCIAL

Outlook offers reasons for optimism

By Alex Ruggieri

If the past few years have taught us anything, it’s that even though we can’t anticipate every obstacle we face, we can use information to look to the future and respond with resilience.

With that in mind, I’m taking a closer look at some of the key economic factors affecting commercial real estate and what those trends mean to different sectors of the market.

Interest Rates

One of the biggest changes has been in the area of rising interest rates. During the summer, the Federal Reserve raised the Federal Funds Rate by the largest margin since 1994. The desired effect of this move is to slow down an economy which many believe is overheated.

While in recent years we have observed capitalization rate, or CAP rate, compression and increased prices due to the availability of cheap money, my guess is that we will see a significant slowing of this trend in light of the new rate environment.

Pressure on CAP compression will ease, as will prices, as the new, higher cost of capital works its way through the markets.

Industrial Industrial continues to be a strong market sector. Demand for public storage and warehouse space has increased by 4 percent since 2017, according to IBIS World Industry statistics. Some cite problems with supply chain issues on increased upward wage pressure in the Asian markets and higher fuel costs. All of these factors contribute to a resurgence of manufacturing migrating back to the U.S. and that trend will continue to drive industry demand.

Add to that the strong e-commerce trends in retail. It is sometimes called the “Amazon effect,” but Amazon is not the only player. Walmart, Target, Home Depot and Lowes all have very strong e-commerce divisions.

Online sales soared in 2020 during the first year of the pandemic and continued to grow by another 14 percent in 2021, according to Digital Commerce 360.

Office

The office sector has had a wild ride during COVID. Still, I don’t think people are ready to work from home forever or to entirely abandon an office away from home. Companies have trended away from hi-rise office buildings where everyone has to crowd into an elevator and shifted to easy access, one-story buildings in the suburbs where one can park in the lot and walk right into the office.

“Office absorption will be tied to a combination of adaptive re-use of existing B/C stocks and the rightsizing of space needs in Class A properties as companies strive to meet the needs of companies that have migrated to hybrid schedules,” says REALTOR® Steve Myers of Myers Commercial Real Estate in Springfield.

I think you will see a strong trend towards more services in the office space of the future: maybe food options, more open areas and spaces filled with light as desirable amenities.

Hospitality Industry

While we all remember how hard hotels were hit during the pandemic, the industry is actually making a strong comeback.

“Revenues in the industry are 2 percent higher today than prepandemic levels, even after adjusting for inflation,” wrote North Carolina State University Professor Emeritus Michael Walden in a recent article for the university. “The worry among hospitality operators is how they can meet rising consumer demand with so many employment positions unfilled.”

“The lodging industry has changed in several key areas over the past decades and many of these changes have helped hoteliers to enhance their products, attract more guests and create opportunities for expansion,” said Chip Rogers, president and CEO of the American Hotel and Lodging Association, in an interview earlier this year with Hotel Management magazine.

Self Storage

Annual revenue for the self-storage sector is an estimated $39.5 billion, REjournals reported earlier this year and all predictions expect those revenues to continue to grow.

Most self-storage property owners have seen staggering growth. Storage real estate investment trusts (REITs) achieved a nearly 59 percent average return year in 2021, the highest among all REIT sectors, according to National Association of Real Estate Investment Trust (Nareit) data.

The number of households renting selfstorage units has grown to 10.6 percent, or 13.5 million, according to the Self Storage Association’s “Self Storage Demand Study 2020.”

I see recent trends of rising rents, less empty space and rising stocks continuing for the foreseeable future.

Multifamily

Demand continues to be strong in the multifamily space.

“The apartment market experienced robust growth in 2021 driven by the accelerating economic conditions. Even during the worst of the pandemic, the multifamily market generally performed well, and throughout 2021 has seen recordbreaking growth, although performance varied across metro areas. As demand has increased, occupancy has followed suit,” said Steve Guggenmos, vice president of Freddie Mac’s Multifamily Research and Modeling Division, in his 2022 Multifamily Outlook.

Guggenmos adds that the pandemic emphasized trends that were already emerging in the top 10 multifamily markets—the strongest rent growth occurred in less expensive, Sun Belt and tech-hub markets. Rent growth in those areas (which does not include any Illinois metro markets) rose as high as 21 percent or more, while other areas saw rent growth of 5 percent, he said.

Final thoughts

In the end, the biggest wild card in predicting the future is inflation. With current inflationary trends at the highest rate in the last 40 years, it is something to take into account.

What that does to our crystal ball is yet to be determined, but so far trends point toward ongoing strong demand and growth in most commercial sectors.

Alex Ruggieri

CRE, CCIM, CIPS, SEC Contributing editor to Commercial Corner. He is a senior advisor for North Star Equities in Savoy.

In August, Illinois REALTORS® and commercial real estate practitioners attended the National Association of REALTORS®’ second annual C5 Summit in New York City. During the three-day event, they learned more about the trends and issues affecting commercial real estate, connected with other commercial leaders and partners and pitched Illinois and everything the state has to offer to potential investors.

Illinois REALTOR® William Caton, of Caton Commercial Real Estate Group in Naperville, participates in a discussion in the C5 Expo.

(l to r): Matt Silver, John LeTourneau, Jeff Baker, Sue Miller, Gideon Blustein, Michael Gobber, Young Brockhouse, Tommy Choi, Moses Hall, Theresa Mueller, Alex Ruggieri, John Gormley, Karen Conley, Jeff Bennett and Bruce Heller.

REALTORS® from around the county attended the commercial real estate conference.

Illinois REALTOR® Alex Ruggieri, of North Star Equities in Savoy, talks with NAR 2022 First Vice President Tracy Kasper.

Illinois REALTOR® Deena Zimmerman, of Sperry Van Ness in Chicago, was a panelist for the session, “Data and Tech: New Tools for getting Deals Done.”

Illinois REALTOR® Jeff Bennett, of McColly Bennett Real Estate in Bourbonnais, was among 10 stipend recipients.

NAR President Leslie Rouda Smith talks with keynote speaker Emmitt Smith, NFL Hall of Fame running back, businessman and entrepreneur.

EDUCATION

Illinois REALTORS®, IDFPR, NAR... who does what?

It’s a common question we get at Illinois REALTORS® and one that even seasoned agents sometimes mix up. Here’s a quick breakdown on who handles what for REALTORS®

Young Brockhouse Vice President, Professional Development

More information

If you have questions about getting a license or license renewal requirements and are unable to get through to a representative at IDFPR-DRE, Illinois REALTORS® Education team can often answer your questions. If you have questions about membership dues, please contact your local association.

Illinois REALTORS®, the National Association of REALTORS® (NAR) and your local association are voluntary membership associations, not licensing agencies. Joining your local association provides you with membership in the state and national associations as well. With this three-part membership, you have access to resources and networking at the local, state and national levels.

Your REALTOR® membership

As a member, you have access to Multiple Listing Services, forms, brochures, podcasts, videos, social media, courses and events that help you develop your career. The membership dues you pay to your local association are used to provide benefits, resources, education and advocacy services at all three levels. Your membership dues do not cover license renewal fees – those are paid directly to the Illinois Department of Financial and Professional Regulation (IDFPR) Division of Real Estate (DRE).

Your local association is your direct connection to your community and REALTOR® colleagues in your area. Your state association advocates for members at the state Capitol and beyond, and your national association represents members nationwide and administers the Code of Ethics requirement that defines what it means to be a REALTOR® Although benefits and services overlap between your local, state and national associations, you will need to establish different member logins for each website.

Because REALTOR® members adhere to a unique Code of Ethics, all members must complete a minimum of two hours,

30 minutes of REALTOR®-specific ethics training through a REALTOR® association approved education provider every three years. Code of Ethics training is a REALTOR® membership requirement, not a state of Illinois licensing requirement.

IDFPR Division of Real Estate

IDFPR's Division of Real Estate (DRE) is Illinois’ licensing and regulatory agency for real estate professionals, not a membership organization. As a regulatory agency, DRE oversees new license applications, license renewals and professional discipline. It also establishes what education is required to earn a real estate license and to maintain licensure in the state. All education providers are required to adhere to the license law, rules and regulations set forth by IDFPR-DRE, and the department maintains a list of licensed education providers in the state. Real estate licensing and license renewal fees are paid directly to IDFPR.

You should contact IDFPR if you have issues with the IDFPR website and online portal, and if your license status is listed as anything other than “active.” Also contact IDFPR and your local association to report a change of name, email, address or sponsor.

How IDFPR and Illinois REALTORS® work together

Illinois REALTORS® is licensed by IDFPR-DRE to provide pre-license, postlicense and continuing education to all licensees. Illinois REALTORS® retains records of all courses completed through our school and reports completed courses to IDFPR-DRE on your behalf. Illinois REALTORS® also collaborates with the agency to provide input into education requirements.

When to contact IDFPR vs Illinois REALTORS®:

Licensing and regulatory agency:

education

license renewal

licensure

Sets license status (active, not renewed, expired, inactive)

Handles change of name, email, address and sponsor for licensing

Handles Doing Business As (DBA) updates

Licenses education providers and maintains list of licensed education providers in the state

Renewal fees are paid to IDFPR by the licensee

to their license

Member-based association:

Advocates for private property rights and advances the real estate profession

Licensed by IDFPR to provide pre-license, postlicense and continuing education to all licensees

Adheres to the license law, rules and regulations set forth by IDFPR

Reports education completed through our school to IDFPR. (We do not retain records of courses completed through other education providers.)

217-529-2600

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MARKET WATCH

Inflation, interest rates and inventory biggest factors facing housing

far, the statistics do not show any major changes in either prices or sales: prices have continued to rise and the number of homes up for sale is still low. But the hottest markets in the U.S. have begun to cool, and the combination of high interest rates and consumer concerns about the economy make it likely that the market will begin to slow in Illinois this fall.

Dr. Daniel McMillen

Head of the Stuart Handler Department of Real Estate and the University of Illinois at Chicago College of Business Administration

How could rising inflation and mortgage interest rates affect consumers and home sales growth?

of increase in prices is likely to decline soon, which should help make homes more affordable. Interest rates will remain high until the rate of inflation declines significantly, though.

Inventory remains low. Could that begin to change?

In this Q&A, Dr. Daniel McMillen covers some of the economic issues facing the Illinois housing market right now and what to expect as 2022 draws to a close. McMillen and his team at the University of Illinois at Chicago provide Illinois REALTORS® with monthly, quarterly and annual market forecasts.

How would you describe the 2022 housing market and how does it compare to 2021?

So far, the 2022 housing market is remarkably similar to last year. Prices have risen steadily throughout Illinois while sales remain low. Homes sell quickly and the number of homes on the market is low by historical standards. Foreclosures have begun to increase in 2022, but the numbers are comparable to those from 2013 – 2019, and nowhere near the numbers from during the Great Recession.

Illinois, and the U.S., has been in a red-hot housing market for several years. Is the market beginning to correct itself or shift to a more normal, traditional market?

A correction will come when prices level off and the number of homes being offered for sale starts to increase. So

It’s worth remembering that real estate investment has been viewed as a hedge against inflation in the past, but that was in times like the late 1970s when prices rose steadily for a decade. Right now, there is a lot of uncertainty about what is going to happen with inflation and that leads people to hold off on making major purchases.

High interest rates dampen demand, but inflation can encourage people to buy because owning a home helps people to avoid paying ever-increasing rents while ensuring that they’ll be able to sell the home for a higher price in the future. So, it’s harder for first-time buyers to afford a home, but they have even more of an incentive to do so. The main issue now is the uncertainty – is inflation going to continue or is it going to slow down soon?

Will prices continue to trend upward and what does that mean for affordability for potential homebuyers?

High prices and high interest rates price people out of the market, particularly first-time buyers who obviously can’t take advantage of capital gains on an existing home. I do think that the rate

It’s the big wild card. Higher prices normally encourage people to consider selling, but the inventory of homes for sale remains low, and the number of new homes being built is also much lower than expected for a market with rapidly rising prices. Having a pandemic followed by the first period of inflation in 40 years has made people extraordinarily cautious, and people are waiting to see whatever the new normal is going to be before they consider moving again.

The economy affects housing. What is going on in the Illinois economy—job growth, building, tax revenues—that could play a role in the housing market?

According to the U.S. Bureau of Labor Statistics, the unemployment rate in Illinois was 4.5 percent in June, down from 6.5 percent in June 2021 and a peak of 17.4 percent in April 2020. The U.S. unemployment rate was 3.6 percent in June. More than 900,000 jobs were added between April 2020 and June 2021 in Illinois, but the number of jobs is still about 150,000 lower than the peak in June 2019. The rate of new home construction remains well below pre-pandemic levels in Illinois and is much lower than the national average. The rate of new home construction is likely to remain low as long as the state’s population growth remains close to zero.

AT THE CAPITOL

Election Season: Recapping the primary and looking ahead to November

Summer is over, children have headed back to school and RPAC and your REALTOR® electoral advocacy team are back on the campaign trail for the Illinois General Election on Nov. 8.

Greg St. Aubin Senior Vice President, Governmental Affairs

The “normal” political cycle was turned on its head this year as Illinois moved its primary election from early March to the end of June. Due to your overwhelming support and commitment to the REALTORS® Political Action Committee (RPAC) and the increasing effectiveness of our Independent Expenditures Committee, Illinois REALTORS® was a top donor in many of the key primary races involving our biggest industry champions.

It was a tough primary election for several reasons, and some longtime incumbents and REALTOR® allies were taken out by challengers from the progressive left for Democrat incumbents and from the conservative right for Republicans. Longtime Illinois House Revenue Chair and key REALTOR® friend Mike Zalewski (D-Chicago), REALTOR® and veteran state Rep. Sam Yingling

(D-Round Lake Beach) and U.S. Rep. Rodney Davis (R-Taylorville) lost in the primary to such challengers. The unusual timing of the election, on the Tuesday before the Independence Day holiday, drove down turnout in many of the races, which created opportunities for highly motivated base voters on each end of the political spectrum to carry the day.

But REALTORS® were predominantly involved in victories in many primary campaigns at both the state and local levels. State Rep. Curtis Tarver (D-Chicago) a key leader in the Black Caucus (who was a deciding factor in stalling the Rent Control bill), fended off a challenge from the left with the help of our overwhelming support.

State Sen. Omar Aquino (D-Chicago) won decisively with top support from RPAC and an Independent Expenditure campaign which left the senator “speechless” at the quality and content of our campaign. And long-time REALTOR® ally state Sen. Dave Syverson (R-Rockford) sailed to a strong victory in a rather contentious race.

One of the most unusual and consequential aspects of the June primary election was the four-way race for the Republican nomination for Illinois Governor. The Democratic Governors Association spent tens of millions of dollars to sow chaos in the Republican primary. This was a significant factor in downstate state Sen. Darren Bailey (R-Louisville) winning the primary over the establishment-preferred former Aurora Mayor Richard Irvin. Here again, the highly motivated, loyal, and enthusiastic Republican base to the right of Irvin turned out strong and put Bailey over the finish line. Gov. J.B. Pritzker now faces off against Bailey, his preferred opponent for the November election.

“REALTORS® work hard to help build strong communities and that fosters a great deal of political goodwill.”

And in case you missed it, it’s election season once again! If there’s anything we learned in the June primary, it was that TURNOUT MATTERS! Make sure you are registered to vote and that you cast your ballot. Your RPAC dollars will be hard at work in many key races this November, including what is billed as the top contest in the Illinois Senate. REALTOR® and newcomer state Rep. Sandy Hamilton (R-Springfield) is facing off against Democrat incumbent state Sen. Doris Turner.

Check with your local GAD for a rundown of the key races shaping up in your neck of the woods, and again, thank you for your ongoing commitment to the three pillars of REALTOR® excellence in politics: Vote, Act and Invest!

Politics and Policy in the General Assembly

While the spring 2022 legislative session is behind us, it’s worth noting a few takeaways about where we stand

amid the ever-evolving politics and policymaking within our state legislature.

The REALTOR® organization is held in high regard at the Statehouse. We are viewed as a reasonable, helpful, constructive and non-partisan participant in the process, and we always work hard to maintain our status as a trusted resource for lawmakers. That is no doubt due to the commitment to that ethos by the Illinois REALTORS®’ professional staff and also in large part to the high esteem that REALTORS® are held in your communities.

REALTORS® work hard to help build strong communities and that fosters a great deal of political goodwill.

Of course, we have our challenges in the General Assembly. Each year, we actively track more than 100 bills, and take an active lobbying role in 50 to 60 of those. We work to stop the most detrimental bills introduced, particularly early in the session. But we spend the majority of our time collaborating WITH

legislators to salvage the good intent of legislative proposals that are often loaded with onerous provisions.

Our bipartisanship is key to our success and is driven by the strong grassroots presence of you, the REALTORS®, in the district. Amid the ever-shifting political factions, climate and temperament in the General Assembly, we are almost always able to put together a sufficient coalition of supporters to prevail on any given issue.

Unlike most other groups, Illinois REALTORS® has good relationships with virtually any faction within the General Assembly, from the House and Senate Republican and Democratic caucuses, to the Black Caucus, the Latino Caucus, the new Moderate Caucus and the Downstate Caucus. We even have cordial and productive discussions with many in the growing Democratic Progressive Caucus, which is the source of some of our biggest challenges.

Snapshot from the Spring legislative session that illustrates our agenda in action:

u Constant Weight of the Tenant Agenda

Source of Income (voucher program mandate), Rent Control, eviction moratoriums, sealing of eviction records, no eviction without just cause, more ways to break leases—these infringements on private property rights are a constant battle we must fight every day because we are the voice for real estate.

We’ve kept Rent Control at bay, thanks to our bipartisan strength, but after a 30-year battle on the Source of Income issue (i.e., can’t have a “NO voucher holders” rental policy), it became clear the passage of the bill was inevitable, and the legislation was advanced after additional onerous provisions were removed at our behest.

While this issue will no doubt continue to be a source of controversy for some, there are also voices within our organization that felt that it was appropriate to let this issue advance.

(Check the website for updates and resources on this issue, which will become effective Jan. 1, 2023)

u More on Human Rights

Stopped the addition of a vague new standard in the Human Rights Act, “otherwise make unavailable.”

u Vacant Property Penalty

Led a coalition of business groups to halt legislation that would have made the mere owning and holding of vacant property for too long “vacant property fraud” if it was not being actively marketed for sale or rent.

u Mold Disclosure and Abatement

Our trusted expertise and ability to bring the Illinois Real Estate Lawyers Association along enabled us to stop another effort to require pre-sale and pre-rental disclosure and abatement of as-yet-to-be-defined “hazardous” mold.

u Electric Vehicle Charging Mandate

We managed to halt a strong push to require new single and multifamily construction to meet certain electric vehicle charging requirements. Stay tuned… discussions are resuming on this issue.

u The Overall Housing Agenda

Illinois REALTORS® continues to strongly and proactively lobby with an “Affordability for All” approach that calls for housing opportunities in the rental and ownership market for ALL our state’s residents. This means stopping the push for destructive policies like Rent Control and pushing the governor and lawmakers to devote attention and resources to housing consistent with the priority many lawmakers and advocates purport that it should be.

In short, we need more housing— at every rung of the housing ladder— because everyone deserves the American Dream of homeownership.

Over the summer, Illinois REALTORS® held a series of Let’s Talk Real Estate events with Illinois members of Congress to talk about policy issues and how they affect the real estate market. The events allow federal lawmakers to meet with REALTOR® constituents in their districts.

Illinois REALTORS® who also serve as Federal Political Coordinators (FPC) led the discussions. FPCs are a key link in the chain of communications between local REALTORS®, members of Congress and the National Association of REALTORS®

U.S. Rep. Brad Schneider (Dist. 10) and FPC and 2022 Illinois REALTORS® Treasurer Matt Silver at the Lincolnshire event.

U.S. Rep. Raja Krishnamoorthi (Dist. 8), center, met with FPC Kinga Korpacz and other REALTORS® in Schaumburg.

U.S. Rep. Robin Kelly (Dist. 2), center, met with FPC Tonya Corder and REALTORS® in Glenwood.

FPC Marilyn Glazer and U.S. Rep. Jan Schakowsky (Dist. 9) in Glenview

U.S. Rep. Lauren Underwood (Dist. 14) talks with FPC Matt Persicketti in Joliet.

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DISCOVER YOUR STRENGTHS AND UNLOCK YOUR POTENTIAL

There were a lot of skills I was able to explore in the Leadership Development Program - some things that were familiar, and others that allowed me to step outside my comfort zone.

My favorite session from the Leadership Development Program was the interviewing and media module. Those are challenging topics for me, but the skills I gained allow me to interview with confidence.

REALTOR® Gibby Kirby

REALTOR® Danell Moberly

The Federal Home Loan Bank of Chicago: A Resource for Building Communities

The Federal Home Loan Bank of Chicago: A Resource for Building Communities

As a government-sponsored enterprise (GSE), the Federal Home Loan Bank of Chicago (FHLBank Chicago) is a bank for banks. While we have the same regulator and provide liquidity for housing finance like Fannie Mae and Freddie Mac, we have a broader mission and scope of services. In addition to supporting opportunities for homeownership, we also are a critical source of funding for community financial institutions, which use our products for their small business, agricultural and community development lending needs as well as for asset-liability management and general liquidity purposes. Our members include community banks, thrifts, credit unions, community development financial institutions (CDFIs) and insurance companies. We also service non-member housing associates such as the Illinois Housing Development Authority.

What does that mean to a REALTOR®?

As a real estate professional working with residential and/or commercial buyers and sellers, the more you know about financial programs the better advisor you can be to your clients. So, while you don’t have to know all aspects of the FHLBank system, some knowledge of our products and services could be beneficial.

Through our community investment programs, FHLBank Chicago devotes a portion of our net income to a variety of financing and direct funding tools to support our members’ affordable housing and economic development initiatives.

Here are the programs that could be most helpful for you to know:

Affordable Housing Program (AHP)

If you are a commercial practitioner who represents clients in affordable housing development, our AHP General Fund is an important program for your business. It is a competitive, forgivable grant program that our member institutions partner with for-profit and not-for-profit developers, community organizations, local governments, public housing authorities, and tribal governments

to apply for funding to subsidize the acquisition, new construction and/ or rehabilitation of affordable rental or owner-occupied housing. Since the program began, we have awarded more than $538 million in gap funding. Check our list of Illinois members (www.fhlbc. com/membership/illinois-members) to see if your finance partners are a part of FHLBank Chicago and could help fill the gap to make your projects a reality.

DPP® and DPP Advantage®

Since 2014, roughly 20,000 homebuyers have taken advantage of our downpayment assistance programming that totals to over $142 million dollars. Downpayment Plus® provides up to $6,000 of down payment and closing cost assistance for income-eligible homebuyers. This forgivable grant is paid on behalf of the borrower at the time the borrower closes on the mortgage with a participating FHLBank Chicago member. Downpayment Plus Advantage® is a similar program but assists incomeeligible homebuyers participating in homeownership programs offered by nonprofit organizations that provide mortgage financing directly to the homebuyer. Nonprofit organizations must partner with an FHLBank Chicago member to access the funds.

Community First® Programs

These programs allow us to be more innovative and responsive to community

needs and to support our members’ and community organizations’ commitment to affordable housing, economic development and the health and vitality of their communities. One program that a residential REALTOR® should be aware of is our Disaster Relief Program, which offers direct relief grants to eligible homeowners and small businesses located in qualifying disaster areas. The program is available when FHLBank Chicago activates the program in response to a FEMA declared disaster in Illinois or Wisconsin. For commercial practitioners, a Community First initiative that will debut in 2022 is the Accelerate Small Business grant program. Accessed through our member institutions, these funds aim to strengthen small businesses throughout our district of Illinois and Wisconsin.

Our community investment programming, in concert with your relationships with FHLBank Chicago members, can equip you to be the trusted advisor that your clients deserve. In short, the products and services offered through members of the FHLBank Chicago are designed to increase homeownership, foster economic development and contribute to affordable housing initiatives that make Illinois a better place to call home.

To learn more, please visit fhlbc. com or reach out to Sharon Gorrell at sgorrell@fhlbc.com to discuss a presentation for your group or organization.

Serving everyone in our communities, in every way we can.

At FHLBank Chicago, our Affordable Housing Program (AHP) General Fund is more than project funding, our Down Payment Plus® (DPP®) Programs are more than a credit at closing, and our Community First® Programs are more than grants. Through forwardthinking strategies and services, we’re dedicated to providing solutions and resources to help increase homeownership and build communities through all our member institutions. Visit fhlbc.com/community-investment to learn more. To access these programs please view our Illinois member list at fhlbc.com/Illinois-members

The Reel Deal with Instagram for REALTORS®

By Tracy Scott

#OPENHOUSE #housetour

#dreamhome — Homebuyers are using these and other trending hashtags on Instagram to find their next home. The popular social media platform allows users to take virtual home tours, explore neighborhoods, learn about the home buying process, and much more by viewing and interacting with others’ content. Likewise, REALTORS® can tap into this voracious market by using Instagram Reels to attract buyers and sellers — even those that aren’t currently following you.

Unlike Instagram Stories, which allows users to post photos and 15-second videos that expire after 24 hours, Reels is limited to video — but has longer staying power. Often compared to TikTok, Reels lets you create a 15, 30, or 60-second video, add some audio, and post it so anyone can see it via the community’s Explore page, Instagram’s main feed, or your personal profile’s Reels feed.

If you’re familiar with Stories, you already know interested prospects can only “react” with emojis or contact you through direct messaging. In contrast, Reels allows users to add public likes and comments, as well as share content in and outside the platform.

Enhance your brand and your bottom line when you use Reels to: u Give entertaining home tours. Instead of simply showing photos of a property, create an eye-catching video tour with music or audio narration to make each home come alive. These videos should be just enough to pique interest and show off the property’s best features. Include

neighborhood profiles, like area entertainment, popular restaurants, and proximity to shopping to provide even more relevance.

u Build trust by educating buyers. Provide detailed answers to common questions like “Should I sell my existing home before buying a new one?” or “How do I make a competitive offer in a seller’s market?” You can even invite viewers to submit questions that you’ll answer in a weekly post.

u Attract sellers by differentiating your brand. Create several behind-the-scenes Reels that show how hard you’ll work to sell their home while also showcasing your personality and values. This could include a video trailer of you working with others to coordinate home staging, property photoshoots, and more!

When you’re ready to post your Reel, use the appropriate hashtags in your caption so your ideal home buyer or seller has the best chance of seeing it. Select low-

competition hashtags that make sense for your specific market. For example, #homesforsale has more than 3.4 million posts, making it unlikely that your customer will find your particular listing. Instead, consider using a more niche hashtag, like #homesforsalecalifornia, which has only 1,600 posts.

You can discover relevant and trending hashtags by using Instagram’s search bar. Enter “california homes” and sort through the list, choosing hashtags related to your Reel. Note the content and engagement associated with those tags and who’s publishing them on Instagram. Make sure the other accounts and posts using your selected hashtags are similar to your own.

Before you add hashtags to your Reel, review these tips:

u While you can add up to 30 hashtags per Reel, scrub your list by removing irrelevant tags.

u Speak the language of a buyer or seller. Avoid real estate jargon.

u Mix up the order of your hashtags. You don’t want Instagram to flag your account as inauthentic, which could result in it being disabled.

Finally, remember that Instagram Reels is still in its infancy. This feature has gone through several changes since its launch in August 2020 and is likely to see more, so stay flexible when using this tool to grow your business.

Reprinted with permission from California Real Estate magazine, copyright 2021 by the CALIFORNIA ASSOCIATION OF REALTORS®, all rights reserved.

Illinois REALTORS® GADs support local initiatives

As REALTORS® know, throwing money at a problem is not enough. Local Governmental Affairs Directors (GADs) and association leaders partnered with community and elected officials to bring money, vision and solutions to reality.

covered by Avon Township will benefit including Round Lake Beach, Round Lake Park, Round Lake Heights, Grayslake, Hainesville and Third Lake.

For a video about the Mundelein project: Vimeo.com/727487370

Gideon Blustein

Senior Director of Local Government & External Affairs

Central Lake County community infrastructure Mainstreet Organization of REALTORS®, with the help of GAD Joe Roth, successfully leveraged National Association of REALTORS® (NAR) grant money for a number of community improvements in Lake County. In November 2021, nearly $40,000 was invested in the village of Mundelein to build open space that includes a pedestrian path, soccer field and butterfly garden. This “placemaking” park project provides a community benefit in that it also now hosts an annual children’s 5k run.

McHenry County spearheads repairing restrictive covenants

(L to R) Heartland CEO Jim Haisler, GAD Neeley Erickson, McHenry County Clerk & Recorder Joe Tirio, Heartland GAC Chair Katie O’Neill, Doreen Paluch with McHenry County Bar Association, Illinois REALTORS® 2022 Immediate Past President Sue Miller, McHenry County Chief of Civil Defense State’s Attorney’s Office Norm Vition and Heartland President Tim Sebastian.

More recently, Roth helped direct $20,000 in NAR grant dollars toward the improvement of an underutilized outdoor space at Avon Township’s office building. The funding will be used to create an outdoor classroom for events and programming throughout the year. While the project site is unincorporated, many communities

In the past, restrictive covenants were used to prohibit the sale of property based on race or religion. Because those covenants “run with the land,” the discriminatory language still appears on some titles. Although unenforceable, amending or removing the covenants can be costly and complicated. In 2021, the Illinois General Assembly passed a bill that allows county governments to create a method for removing or amending restrictive covenants and caps the fees to residents at $10. GAD Neeley Erickson and members of the Heartland REALTOR® Organization took notice and utilized Illinois REALTORS® RVoice funds to get McHenry County at the forefront of righting past wrongs.

Erickson and local REALTORS® partnered with the McHenry County Recorder and the McHenry County States Attorney’s offices to create a process for removing restrictive covenants, host an educational event on the topic and market resources to the community. The state’s attorney pledged to promptly review all file requests, RVoice funds were used to send notices to all 149,000 McHenry County property owners with their tax bills, and the recorder’s office shares consumer information on the topic on its website.

To learn more, visit: bit.ly/ McHenryRestrictiveCovenants

Transit stop transformation project at the Belleville Transit Center

Members of the REALTOR® Association

of Southwestern Illinois (RASI) spent a day at the Belleville Transit Center station earlier this year planting flowers and working to help make the station a welcoming space for all who use it.

Deb Frazier, CEO of RASI, presented a donation of $6,000 on behalf the RASI and NAR. GAD Ron Deedrick and RASI joined forces with the St. Clair County Transit District, Citizens for Modern Transit and AARP to transform the Belleville Transit Center.

The team overseeing the “Transit Stop Transformation” Project at the transit center converted the concrete area between the bus bays and MetroLink entrance into an interactive and engaging space. Using a vibrantcolored “Art Grows in Belleville” theme, the re-designed area now features new custom bike racks, shade structures, a Belleville city logo sign, benches, planters and elevated window artwork that was created by award-winning painter and mixed media artist Genevieve Esson. Find photos of the Belleville project on page 39 in Community.

Peoria, local REALTORS® partner to boost down payment assistance

When Congress authorized billions of dollars in federal spending through the American Rescue Plan Act (ARPA), and it was announced that Housing and Neighborhood Stabilization were eligible uses for local governments, GAD Kristie Engerman took notice. Marshalling her strong relationships with Peoria officials, local REALTORS® and lenders, Engerman focused on using ARPA dollars to help people achieve the American Dream of Homeownership.

After a handful of meetings, the city of Peoria announced a Down Payment Assistance Program targeting census tracts with disproportionately high non-owner-

occupied housing. The assistance provides purchasers $5,000 or up to 10 percent of the purchase price of a single-family home priced at or below $125,000. There’s no income limit, and if the purchaser stays in the home for two years, the loan is forgiven.

Local REALTORS® and officials feel the program will be efficient and successful because REALTORS® and lenders are brought in to find buyers and match them with eligible properties. At the news conference announcing the program, Peoria Mayor Rita Ali said, “Homeownership is empowering and rewarding. It allows community members to build equity and offers them the opportunity to call Peoria home for many years to come.”

and

Reasons for selling

ETHICS

Presentation of offers and counteroffers

landlord has waived the obligation to have the offer presented.

Becky Carraher

of

Have you ever wondered if your buyer’s offer or your rental client’s offer was presented to the seller or landlord, or whether your seller’s or landlord’s counteroffer was presented to the potential buyer/tenant by the buyer’s broker?

Article 1, Standard of Practice 1-7 states: “When acting as listing brokers, REALTORS® shall continue to submit to the seller/landlord all offers and counteroffers until closing or execution of a lease unless the seller/landlord has waived this obligation in writing. Upon the written request of a cooperating broker who submits an offer to the listing broker, the listing broker shall provide, as soon as practical, a written affirmation to the cooperating broker stating that the offer has been submitted to the seller/landlord, or a written notification that the seller/

REALTORS® shall not be obligated to continue to market the property after an offer has been accepted by the seller/landlord. REALTORS® shall recommend that sellers/ landlords obtain the advice of legal counsel prior to acceptance of a subsequent offer except where the acceptance is contingent on the termination of the pre-existing purchase contract or lease.”

When you are not sure if your offer has been presented to the seller/landlord, send a written request (email or text message is sufficient) to the listing broker and ask for affirmation that the offer was either submitted to the seller/ landlord or the seller/ landlord waived the right to see the offer.

Illinois REALTORS® has created the Affirmation to Cooperating/Buyer’s Broker form. To address the presentation of counteroffers, Article 1, Standard of Practice 1-8, was recently added to the Code of Ethics, and became effective Jan. 1, 2022. This Standard of Practice states:

“REALTORS®, acting as agents or brokers of buyers/tenants, shall submit to buyers/tenants all offers and counteroffers until acceptance but have no obligation to continue to show properties to their clients after an offer has been accepted unless otherwise agreed in writing. Upon the written request of the listing broker who submits a counteroffer to the buyer’s/tenant’s broker, the buyer’s/ tenant’s broker shall provide, as soon

as practical, a written affirmation to the listing broker stating that the counteroffer has been submitted to the buyers/tenants, or a written notification that the buyers/tenants have waived the obligation to have the counter-offer presented. REALTORS®, acting as agents or brokers of buyers/ tenants, shall recommend that buyers/tenants obtain the advice of legal counsel if there is a question as to whether a pre-existing contract has been terminated.”

When you are not sure if your counteroffer has been presented to the potential buyer/ tenant, send a written request (email or text message is sufficient) to the cooperating broker and ask for affirmation that the counteroffer was either submitted to the buyer/ tenant or the buyer/tenant waived the right to see the counteroffer.

Illinois REALTORS® has also created the Affirmation to Seller’s Broker form that you can use for this purpose. Finally, while it is best for the seller/landlord or the buyer/tenant to sign the agreement itself noting their rejection, neither party is subject to the REALTOR® Code of Ethics, or the Real Estate License Act, for that matter. Thus, the private parties can’t be “forced” to sign anything. The forms provided above are offered as the “next best thing” to be available for REALTORS® to assure their respective clients that offers, and counteroffers (depending on the circumstances) have been presented to the opposing party, or that the party rejected the right to see the offer or the counteroffer.

REALTOR® COMMUNITY

RASI support helps improve Belleville Transit Center

Leadership Development Class visited Springfield

For two days in early June, the Illinois REALTORS® 2022 Leadership Development Class visited association headquarters in Springfield for training on ethics in leadership, acting as a media spokesperson and developing interview skills.

Joy chosen for Maple Park Village Board

REALTOR® Hillary Joy (right), managing broker for RGM Real Estate Co., was appointed to fill a vacancy on the Maple Park Village Board. Her term as village trustee lasts through April of 2023.

The Belleville Transit Center station was refurbished during the summer with new bike racks, benches, planters and elevated window artwork thanks to a partnership between REALTOR® Association of Southwestern Illinois (RASI), the National Association of REALTORS®, the St. Clair County Transit District, Belleville high school students, Citizens for Modern Transit and AARP. In addition to providing volunteers to help with some of the labor, RASI and NAR combined to donate $6,000 toward the project.

Back row (l to r): Lutalo McGee, Joel Raynes and Brian Palm. Front row (l to r): Leadership Development Working Group Chair Carrie Little, Deb Sarsany, Kathy Szram, Natalie Mulhall, Patricia Romke, Dominic Campo, Maureen Forgette, Leslie Rothan, Hillary Joy, Lyle Harlow and Shirin Marvi.

Deb Frazier (second from right) at ribbon-cutting ceremony

Kristen Borgstrand (left) of Keller Williams Pinnacle and Courtney Marsh (right) of Red Door Realty Group in O’Fallon.

Rockford Chamber honors Illinois REALTORS®

The Rockford Chamber of Commerce named REALTORS ® Alli Bernardi Insko and Kyle York, of Dickerson & Nieman in Rockford, and local Governmental Affairs Director Neeley Erickson to its 40 Under 40 class for 2022. The honor highlights individuals who have distinguished themselves in their professional field or organization, are engaged citizens and provide leadership by volunteering their time and talents to community groups and causes.

NSBAR opens new campus in Northbrook

In June, the North Shore-Barrington Association of REALTORS® (NSBAR) opened a new office in Northbrook. Among the many visitors at the open house were (l to r) Illinois REALTORS® 2022 President Zeke Morris, NSBAR 2022 President Steve Hudson and Illinois REALTORS® Local Governmental Affairs Director Joe Roth.

Two Illinoisans named to REALTOR® Magazine’s 30 Under 30 Class

Congratulations to Chicago REALTOR® Quentin Green and Arlington Heights REALTOR® Emily Kaczmarek as REALTOR® Magazine named them to its 2022 30 Under 30 Class. Kaczmarek is a member of Mainstreet Organization of REALTORS® and works for Compass in Arlington Heights. Green is a member of the Chicago Association of REALTORS® and works for Downtown Realty Company of Chicago.

Lasky, Koziol and Polgar earned RCE designations

Jeffrey Lasky, CEO of the North Shore-Barrington Association of REALTORS®, and Christi Koziol and Tracy Polgar of the Mainstreet Organization of REALTORS® were recognized during a special luncheon at the NAR’s 2022 REALTORS® Legislative Meetings. Koziol is director of Membership and Information Technology at Mainstreet and Polgar is the director of Marketing & Communications.

O'Fallon REALTOR®’s passion is to help deaf and hard of hearing consumers

Inspired by the loss of her daughter, REALTOR® Angela Wrather of Keller Williams Pinnacle in O’Fallon is making it her mission to help deaf and hard of hearing consumers realize the American Dream of homeownership. Wrather, who is hard of hearing and trained in sign language, joined the Illinois REALTORS® podcast to talk about the requirements of the Americans with Disabilities Act (ADA) and educational resources that can improve how REALTORS® communicate with members of the deaf and hard of hearing community. Learn more at: bit.ly/HelpingHearingImpaired

(L to R) REALTOR® Ginger Sreenan, Illinois REALTORS® Executive Vice President Kristen Butcher, REALTOR® Alli Bernardi Insko, NorthWest Illinois Alliance of REALTORS® CEO Conor Brown, REALTOR® Kyle York, REALTOR® Natalie Mulhall, GAD Neeley Erickson and Illinois REALTORS® Senior Director of Local Government & External Affairs Gideon Blustein.

Emily Kaczmarek

Quentin Green