DESIGNATED
REALTOR
®
ISSUE 4: August 2019
REVITALIZATION DOWN THE SHORE
NJREALTOR.COM
I M P O R TA N T D AT E S & D E A D L I N E S
AUGUST Financial 14 National Awareness Day
30 National Beach Day
SEPTEMBER
OCTOBER
Realtors Office 2 NJ Closed – Labor Day ®
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Quarter Century Club Applications Due to Boards www.njrealtor.com/ membership/awards
Committee 10 Executive Meeting: 11 a.m.
NOVEMBER
Jersey Women 2 New – That’s Who We R ®
Conference www.njrealtor.com/ nj-women-2019
10
Realtors® Leadership Program
Realtors 7 2019 Conference & Expo ®
www.conference. realtor
28 Thanksgiving
of Directors 10 Board Meeting: 1 p.m.
Jersey Realtors 20 New Good Neighbor Award ®
applications due www.njrealtor.com/ membership/awards
Realtors Care Day 25 rcd.njrealtor.com ®
-Palooza 27 Realtor www.njrealtor.com/ ®
realtorpalooza
WHAT’S BUZZING IN REAL ESTATE?
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The National Association of Realtors® consumer advertising campaign, That’s Who We R®, now has print advertisements in Spanish! Cater to more clients and add your own branding for a personal touch. Visit ThatsWhoWeR.realtor to download materials.
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A repeal to the Airbnb tax is currently on Gov. Murphy’s desk awaiting approval. The bill would repeal the tax on summer rentals that are privately owned units not handled through internet booking websites such as Airbnb. Initially, when the bill was signed into law, the only exception to the tax was renting through a licensed real estate agent. If the repeal bill is signed, consumers will have the opportunity to rent by word of mouth, through newspaper advertisements, or through a licensed real estate agent to avoid the 11.625 percent tax.
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In July, Insider NJ released their 2019 Insider 100: Policymakers Publication. New Jersey Realtors® CEO, Jarrod Grasso, made the list coming in at number 57 for his years spent as chief lobbyist as well as his ethical and successful advocacy for business conduct. See who else made the cut here.
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Foreigners are buying less real estate in the U.S. according to realtor.com. High listing prices are a major factor in this development. However, New Jersey made the top five most popular states with foreign purchases and was deemed especially popular with buyers from the United Kingdom. Read the article here.
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In July, Realtors® Property Resource (RPR) rolled out a new mailing labels feature exclusively for Realtors®. RPR users can now create printable mailing labels for all direct marketing needs. Read the National Association of Realtors®’ press release for details.
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Cohousing is growing in popularity according to Realtor® Magazine—it involves a group of singlefamily homes, detached townhouses, or condos that are close together. The residents share a common building or room in the center of the complex that is comprised of different amenities and encourages more togetherness. Read the article here.
How to Use Amazon Alexa for Your Business BY ERIN MCFEETERS
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rtificial intelligence (AI) personal assistants like Amazon Alexa are changing the way businesses interact with clients. With a new generation of home buyers coming of age, agents can now connect with them on the go or at home and better their workflow throughout the process.
Alexa at the Office Alexa can be used as a meeting scheduler by connecting to your preexisting meeting room technology. Finding an available room and figuring out how to set up the room technologically can be difficult at times, but Alexa helps streamline the process. After enabling this feature, you’ll be able to say, “Alexa, join my meeting,” she’ll turn on the display, and connect you to the meeting.
essential contacts, give contact information, and explain what it means to be a Realtor®. With Alexa, new agents can familiarize themselves with the business independently. Do you have agents asking you questions while you’re out of the office? Create a business Q & A with frequently asked questions like, “Where can I find current market statistics?”, or “How do I pay my dues?” that way business doesn’t have to halt while you’re on vacation.
Use Alexa to manage your schedule to make remembering everyday events a breeze. Have Alexa on your phone, in your office, and at home to access what you need to do wherever you are. Schedule appointments or meetings using Alexa and also edit them if anything changes. Are you heading out to show clients homes? Use Alexa to figure out your commute and what is the best time to leave to beat traffic. Check the weather and receive news updates with Alexa. Personalize what sources you want to hear from like NJ Realtors®, CNN, or Fox News through Alexa’s Flash Briefing skill. You can even create your own flash briefing with the latest news on listings and events—create them weekly or daily for your associates and clients to stay up to date through Alexa Blueprints.
Using Alexa at Open Houses
Feature the latest updates from your WordPress blog to your followers through Alexa by using the Amazon AI WordPress plugin. Readers will be able to listen to your most recent post from the car or at the gym with their Alexa device. Having this available to readers will make your blog more versatile and thus reach more readers. For complete directions click here.
If you want to help potential buyers further while you’re in the middle of giving a home tour, use Alexa to answer more specific and detailed questions about the property by using Alexa Blueprints. There you can create custom questions and answers about the property and the surrounding neighborhood. Questions like, “What’s the asking price?” or “Where’s the nearest grocery store to this home?” will help give potential buyers quick responses.
Create an onboard guide through Alexa to help new agents become acquainted with the business and office. Click here to get started. There you can create a custom guide to help new agents navigate the office by listing resources and where to find them, from the coffee machine to how to mail a package. Use the onboard guide to explain your company policy, list
Potential buyers come in and out of open houses without a lot of notice. Use Alexa to greet potential buyers as they come into the home to help give a positive first impression. Your greeting can include some general facts about the home such as how old it is, and list features such as how many bathrooms and bedrooms.
Use Alexa to play music during open houses to make it feel more inviting for potential buyers through Amazon music, Pandora, and more. Have a premade playlist ready to go with your favorite tunes and access it through any of your Alexa devices. Designated REALTOR® | August 2019 | 1
Realtors® Day in Trenton BY ERIN MCFEETERS
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n June, New Jersey Realtors® hosted their annual Realtors® Day in Trenton at the Historic Masonic Temple in downtown Trenton. Over 200 Realtors® attended and enjoyed networking with peers, hearing from elected officials, and learning about pressing issues at hand from NJ Realtors® staff members.
In between speakers Grasso and Tomson presented a new member poll that outlines how NJ Realtors® feel about the economic conditions, housing prices, inventory, and property taxes. They also discussed time-of-sale requirements such as lead paint and mold.
With the state budget deadline just six days after the event, speakers had the opportunity to discuss budget proposals they were in favor of to Realtors® and answer any questions they had.
The final speaker of the day, Gov. Phil Murphy, explained his stance on the state budget. He also discussed his plans and initiatives about making New Jersey more affordable for homeownership. The governor went on to explain that many young adults head off to college out of state, but don’t move back to N.J. after graduation. He hopes more affordable housing options will influence those who go out of state to college to come back to N.J. to raise their families and work.
The morning began with networking, photo opportunities, and brunch. NJ Realtors® CEO Jarrod Grasso and Vice President of Government Affairs Doug Tomson introduced the day’s speakers and discussed crucial issues impacting the real estate industry and NJ Realtors® stance on the state budget. Senate Republican Leader Tom Kean, Jr. who has been a member of the New Jersey Senate since 2003 kicked off the start of legislative speakers. He discussed the Seasonal Rental Tax, Realty Transfer Fees, and the state budget. Assembly Speaker Craig Coughlin happened to be in the city on the day of the event and decided to stop by to discuss his take on the state budget proceedings. Senate President Stephen Sweeney took the podium next—he informed members about his Path to Progress proposals and how they will impact taxpayers plus took many questions from attendees.
Designated REALTOR® | August 2019 | 2
Following the conclusion of the governor’s speech, many attendees made their way to the statehouse for a behind the scenes tour of the second oldest statehouse in the country with Assemblywoman Betty Lou Decroce. They had the opportunity to see the Senate and Assembly chambers, courtrooms, and the famous rotunda. Just a few days following the event, the state budget was signed by the governor with no new taxes or fees impacting the real estate industry and private property rights.
Inside the State Budget BY BRUCE SHAPIRO
Following the aftermath of the Fiscal Year (FY) 2019 state budget process New Jersey Realtors® closely monitored and engaged in this year’s state budget proceedings.
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A one percent Realty Transfer Fee (RTF) increase on homes sold for over $1 million was proposed last year at the last minute as well as a seasonal rental tax but were ultimately defeated.
2020
In March, Gov. Phil Murphy presented his FY 2020 state budget proposal, and it contained an income tax increase on those who earn over $1 million per year. Many legislative leaders expressed opposition to this tax increase, also known as the millionaire’s tax.
New Jersey Realtors® closely followed the debate in Trenton to ensure no other taxes affecting real estate or homeownership would be put forward to replace the revenue this tax would have raised. To be ready for all possibilities, New Jersey Realtors® met with members of the State Legislature and attended numerous budget committee hearings. New Jersey Realtors expressed their position that no taxes should be put forward on real estate or homeownership, such as a RTF increase, seasonal rental tax or tax on commissions. ®
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In addition, New Jersey Realtors® Issues Mobilization Fund also prepared two new reports outlining the negative impacts a seasonal rental tax or RTF increase would have on our state.
Fast forward to the end of June… By the end of June the budget must be adopted. The State Legislature approved a budget without a millionaire’s tax or any other tax increase, however Gov. Murphy originally said he would not consider a budget without this tax increase to pay for proposals in areas such as college education and school funding.
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The State Legislature sent the governor the adopted budget on June 20, 10 days before the constitutional deadline.
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June 30, the deadline for the budget to be signed in order to avoid a government shutdown.
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$
million
Gov. Murphy approved the budget sent to him by the State Legislature with a line item veto that removed approximately $50 million from the budget.
$230
million
The governor also announced he intended to freeze approximately $230 million in additional spending until updated revenue figures later in the fiscal year come in to ensure the budget would be balanced.
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With the governor’s signature, this marked the 13 consecutive year that no tax or fee increases affecting the real estate industry or homeownership were adopted as part of the state budget. New Jersey Realtors® will continue engaging in future budget proceedings to continue making the case that no taxes or fees should be considered that would have a negative impact on New Jersey’s real estate industry. Designated REALTOR® | August 2019 | 3
TRANSFORMING BEACH TOWNS BY DANA FIORI
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uring the sweltering summer months in New Jersey, one of the most common phrases amongst families and friends is let’s go down the shore. New Jersey is known for its stunning beaches and welcomes millions of tourists each year. However, even though the coast of the Garden State has over 40 beach towns, not all of them were quite what they are today. New Jersey has experienced many revitalization efforts to restore some of the most historic beach towns the state has to offer. Here are some of the most impressive revitalizations to date.
University, making it a prime destination for college students. Before Long Branch was the trendy spot it is today; it had undergone traumatic times. In 1987 the boardwalk caught on fire leaving behind ashes and a deserted town. The fire also resulted in a diminished population and escalated crime rates. In 1994, Adam Schnieder became mayor of Long Branch. After his election, the city launched the Long Branch Redevelopment Plan. Since the redevelopment took place, Long Branch has flourished, and in 2015 beach badge sales went from $300,000 to $2 million according to Asbury Park Press. The one billion dollar revival has brought down crime rates and rose the median sales prices of homes to $374, 950 year-to-date in Long Branch City according to the June Monthly Housing Statistics from New Jersey Realtors®.
LONG BRANCH
ASBURY PARK
People from New York, Pennsylvania and everywhere in between flock to Long Branch when the weather begins to warm up. This beach town offers the impressive Pier Village—filled with shops and five-star restaurants, and is also close to Monmouth
Asbury Park is known for its stunning Victorian-style homes, art influence, and is the location where many famous musicians kick-started their career. The Stone Pony is where the legendary New Jersey native, Bruce Springsteen, first became a household
Designated REALTOR® | August 2019 | 4
name. In 2009 the revitalization of Asbury began when iStar Financial, a New York-based real estate investment firm, took control of the redevelopment plan. iStar opened two high-end condos, plus Asbury’s newest hotel in 50 years. Because of this new development home prices in Asbury rose to $346,000 year-to-date according to New Jersey Realtors® June Monthly Housing Statistics. Over one million people visited the 1.5 square mile town in 2016 according to NY Eater, and in 2017 it was named “America’s Coolest Town” by Budget Travel. With tons of restaurants, historic music venues, and a fun atmosphere, it’s no wonder this beach town has come such a long way.
unemployment spiked, hotels closed, and investments were lost. It wasn’t until 1976 when New Jersey legalized casinos in Atlantic City that everything changed. Just two years later the city reinvented itself as the Casino Capital of the east coast. 2006 brought more hard times when Pennsylvania introduced casino gambling which significantly brought down traffic for Atlantic City. Between 2013 and 2016 five of the 12 casinos shut down. Hoping to bring the city back to its feet, two new highend casinos opened in 2018, The Hard Rock Hotel and Resort and the Ocean Resort Casino. Both casinos are hopeful their efforts to bring life back into the city will be successful and will once again reinvent the city. The current median sales price in Atlantic City according to NJ Realtors® June Monthly Housing Statistics is relatively low compared to other beach towns in New Jersey at $72,500 year to date.
CAPE MAY
ATLANTIC CITY Known for its multitude of casinos, restaurants, and being home to the longest boardwalk in the world, it’s hard to believe this thriving and bustling city ever saw hard times. However, the city that came to life in 1854 by Atlantic and Camden Railroad Company began to diminish 75 years later. The leisure travel that made Atlantic City prosper experienced a significant downfall when the Great Depression hit the country. In 1935 Mayor Charles White outlined a master plan that would bring the city back to life. This plan included amusement parks, a section of the beach reserved with cabanas for the wealthy, and a gambling casino and racetrack. Unfortunately, White’s ideas were never carried out, and over the next decade,
Developed as a resort for families in 1766, Cape May is the most historic beach town in the Garden State. However, a little over 100 years later, a massive fire in 1878 destroyed 35 acres of the flourishing city. Cape May was rebuilt to a smaller scale and homes were built with a Gothic and Victorian flare. The city struggled to compete with bigger cities like Newport, Rhode Island and Atlantic City, New Jersey. Even though these other family resorts were miles away, they still took away the business and traffic Cape May once received. Even worse than a loss of tourists was the Ash Wednesday Storm of 1962 which destroyed the boardwalk, beachfront, City Hall, and many residential and commercial properties. One year after the devastation, the city applied for and received the first Urban Renewal Grant given to a small city specifically for preservation in the amount of $3.5 million. Since then, the boardwalk and promenade have been restored, and ferry service has opened. The city still has ongoing beach restoration projects in the works ever since Hurricane Sandy hit in 2012. Home prices in Cape May remain prosperous with a median sale price at $812,500 year to date for Cape May City and $762,500 year to date for Cape May Point Boro according to New Jersey Realtors® June Monthly Housing Statistics. Designated REALTOR® | August 2019 | 5
Realtor-palooza September 27, 2019