The real estate ecosystem
In nature, the ecosystem is a complete community of living organisms and the nonliving materials of their surroundings. It includes plants, animals, soil, and minerals, as well as surrounding water sources. When I think of an ecosystem, I think of a forest with beautiful flora and fauna, spectacular wildlife and a winding river running through it. If for example, pollutants are dumped into the river, the whole ecosystem can be in danger.

In Real Estate the ecosystem consists of Buyers and Sellers, of course, but it also includes the Economy, Lending Institutions, Attorneys, and the Realtor. Like in nature, if one or more of the elements breaks down then the whole Real Estate market can be in danger. For a long time in Central Massachusetts, the Real Estate ecosystem was healthy and vibrant. So what happened over the past few years? There were several elements that were failing, but I believe that the Lending Institutions were the worst contributors.

I do not necessarily think that greed is a bad thing, but unfettered greed can be devastating. Such is what happened in the Lending Institutions. I had Sellers that needed to sell their home because they could no longer aff ord the monthly payments. When they purchased their home a few years ago the real estate market was solid. An unnamed Lending Institution convinced them that they could aff ord to buy more house if the entered into an "Interest Only" Three-Year ARM loan. They were sold on the fact that while they were not paying down the principal, the home value would continue to increase every year. By paying "interest only" they were told that they would save over $400 each month. We all know the story and hindsight is 20/20. The market cooled off and after three years the ARM interest rate increased which drove up their monthly payment. Over the close to four years, no principal was paid and the house value had not increased, but had actually decreased.

Nancy Russell Vice President SELECT GMAC Real Estate www.nancyarussell.com

Ultimately, it is you the Buyer or Seller that will make up your own minds with what works best for you. However, you need a good ecosystem around you that can assist and guide. I had asked my Sellers whether their real estate agent had helped them. They told me that in retrospect the agent did not understand their "wants and needs." They were not blaming the agent on their predicament, but they now understand the value in a real estate professional.

So where are we today with regards to the Real Estate ecosystem? I believe that those who where polluting the river have stopped. New laws are cleaning up the subprime loan mess and Lending Institutions. Buyers and Sellers realistic expectations are taking root and the forest is making a come back. Families are buying and selling homes in pursuit of their dreams.

Speaking about what a healthy ecosystem can do, I am pleased to announce my decision to join the SELECT GMAC Real Estate team. I have always taken pride in my ability to provide customer service of the highest quality. The core values, commitment to Premier Service ® and special programs that characterize

SELECT GMAC aff ords me the opportunity to continue to provide excellent service and take my real estate business to the next level. I will be able to give you access to special programs and services that can deliver value and relieve the stress of buying or selling a home.

I am genuinely excited and look forward to working within the SELECT GMAC Real Estate family. I want to be your Trusted Advisor, Skilled Negotiator, and Expert Facilitator for LIFE.

"Whatever Nancy touches turns to SOLD." Call me at 508-753-2200 or send an email at nancyr@spanglerselect. com. Visit my website for more information www. nancyrussell.com or stop by the office located at 45 S. Quinsigamond Avenue in Shrewsbury.

Editor's Note: the preceding is not an endorsement and is presented for informational purposes only.