Focus on what you can control (housing market edition)

I’m a Realtor in Northeast Ohio, and just like so many places in the country, there are not many homes listed for sale right now, yet there are a lot of people looking to buy a home.

In the real estate industry, we call this a sellers market because there is such low housing inventory.

In economics, they call this supply and demand. There is too little supply (houses for sale) and too great a demand (buyers).

I hear people complain all the time about “no homes” being for sale or that the ones that are on the market are too expensive. While this is true to a certain degree, it’s the reality we face and that we cannot change.

Stoicism teaches us to focus on what we can control (our actions) as opposed to what is outside of our control (our surrounding environment/the housing market/other people’s actions). So in this case, as a buyer, what can you control? Luckily for you, I’ve come up with a list to share…

– Have you been pre-approved from a reputable lender? If not, you could put extra stress on yourself by trying to get this done prior to an offer deadline. Many sellers and their listing agents are asking for pre-approval letters or proof of funds (if it’s a cash deal) to be submitted with an offer to even be considered. They want to make sure that the buyer they choose to purchase their home actually has the ability to do so! Getting a pre-approval letter from a reputable lender will help reassure them that you (and that lender) can actually close.

– Do you have the rest of your financial picture together? Your lender will check your credit score, debt-to-income ratio, how much you have saved, etc. But once they’ve done that, you need to do your part and not make any big changes (unless they are adding to your net worth and/or increasing your income). Don’t open up another line of credit. Don’t purchase furniture for the new house or buy/lease a new car. Before making any sort of big purchase, consult with your lender. Also, be aware that there are costs to buy a house. This includes your home inspections and appraisal before you buy the home as well as your down payment, lender fees, and title fees at closing.

– Do you have a clear idea of what you want in your next home? You should have a must have list, a nice-to-have list, and a dealbreaker list. Basic things on this list are the amounts of bedrooms, bathrooms, square footage (sometimes), garage info (attached versus detached vs none, and how many cars can you fit in there), if you’re ok with an HOA, if you want/need a fence, a basement, etc.

– Have you connected with a Realtor? A local expert can tell you if your wants/needs are realistic in that area and within your budget. They can also help you understand what it takes to have your offer accepted in today’s market. Lastly, if you share with them what you’re looking for, they can set you up to receive email alerts anytime a property that meets your criteria hits the market.

– Are you prepared to act quickly on the right house? If you’re in a seller’s market and you find a great house – priced right, fits your needs, in the right location, etc – are you prepared to act? If not, it might be too late. Sometimes, speed wins…the first person to make an offer has the advantage.

On promoting a leader

Hire leaders for what they can do, not what they have done​
Hire leaders for what they can do, not what they have done

People are usually capable of doing much more than they currently are. And if we give them responsibilities and authority, many of them will step up to the challenge.

When looking to move someone into a leadership role, first look at their character. Then look to see if they have the respect of their peers. Finally, ask yourself if you believe they can be the leader your team needs (with some guidance and direction). Do they have the ability to succeed in this role? If they’re not quite ready for it right now, will they be soon or can we help them grow into it?

If they pass these three “tests” then they should be considered for the position regardless of whether they have the most experience/seniority. Sometimes experience helps, but sometimes it can stagnate things.

Lastly, if you are hiring someone, promoting them, making them captain of a team, etc, don’t micromanage them. If you believed in their ability to get the job done, let them do it. Did they earn the job or not? Provide tips and constructive criticism when needed, and make sure they know they can go to someone when they need help. But you take away their authority when you micromanage them (others see it and eventually lose respect for their new puppet leader).

What are you working for?

Be aware of how much money you need to live the kind of life you want.

Do you have enough money to pay for healthy food, pay your mortgage payment, pay your utilities (water, gas, electric), pay for your vehicle upkeep (gas, tires, oil changes, etc), and pay for some niceties? Do you have enough money to add to your 6-month emergency fund and to go towards investing in your future?

Don’t get caught up trying to keep up with the Joneses. Don’t get caught with lifestyle creep. Don’t get caught buying things that bring you no value – no happiness, no enjoyment, that hinder your health, etc.

But also, if you’re not a “spender,” don’t always get caught up in trying to accumulate “more.” It’s talked about less frequently because less people have this issue. But why are you always chasing money? When will enough be enough (especially if you never spend it or use it)?

Money is a tool. We can use it to improve our lives. But it shouldn’t be our main focus. Work so that you can live. Don’t live so you can work…there is more to life than just working. Don’t miss out on all that the world has to offer.

Your level of success depends on this

You can be mildly successful by never going out of your comfort zone, never speaking up or standing out, and never really risking much. But when you don’t risk anything, you cap your upside.

The best social media influencers realize this. Many of them say provocative things to increase engagement. The greater amount of comments on their post will tell the algorithm of Facebook, Instagram, etc that this is a popular or trending topic and then shows that to more people (which, if it really is a controversial post, often leads to more engagement). It’s a self-perpetuating cycle. To gain the greatest social media success, you can’t stay small. You have to be ok with people disagreeing with you (sometimes vehemently). It’s easier, and more comfortable, to not post anything. But if you don’t say anything, it will be harder to be seen. To maximize your success in this avenue, you need to be willing to step outside your comfort zone, to speak up, to stand out, and to risk being criticized.

I really don’t like using that example because I don’t want to encourage anyone to say something they don’t believe in just to get more likes, follows, comments, recognition, etc. But I used that example because I feel like many people can understand it. If you value comfort, stay small and unrecognizable. But if you value maximum exposure, you’ll have to take the good (success) with the bad (risk of failure).

What you can’t do if you fail

Never fail due to a lack of effort. Go down swinging. If you’re not skilled enough to do something or if you’re not smart enough to grasp it, that’s a capacity issue that can be addressed. With the right coaching, determination, and attitude, you can improve on those things. But effort requires no skill, no intelligence. You either give it your all or you don’t. And if you’re not trying, you deserve to lose.