MRIS CMO John Heithaus Quoted in The Wall Street Journal
September 28, 2010
Big City, Small Neighborhood
Finding Your Fit
by Iyna Bort Caruso
When Manhattan associate real estate broker Diane Wildowsky asks clients for their neighborhood wish lists, good schools, convenient shopping and safety are usually givens. But questions don’t always give Wildowsky, vice president of Sotheby’s International Realty-Downtown Manhattan Brokerage, the answers she’s looking for. It’s often what goes unsaid that clues her in on what buyers really want.
She’ll walk them through different New York neighborhoods and gauge their reaction to particular blocks. “I feel it if they don’t get a good vibe. It could be a great neighborhood, but they have to be comfortable. Otherwise, it’s not going to work, and we’ll move on,” she says.
New York, Paris, London, Tokyo, Shanghai—every large city is a patchwork of little enclaves, every enclave interpreting livability in its own way. The question of livability goes beyond a checklist of neighborhood must-haves or zip code prestige. It’s about feeling a connection. Blue chip, hipster, trendy, fashionable, historic, bucolic. What’s a match for your lifestyle? What makes you feel at home and at ease?
“A good agent will get a feel for what a prospective buyer wants, sometimes quicker than the buyer themselves,” says Wildowsky.
That’s because it’s not always easy for the buyer to figure out. Many of the factors that go into making an informed real estate purchase decision are quantifiable: square footage demands, building amenities, price range, number of exposures. Run the numbers and the results will sway you one way or another. But how you feel about your neighborhood when you walk past the doorman is a gut-level response.
Given challenging market conditions, the wrong decision can be a hard one to undo.
And that’s why you can never do too much research, insists John L. Heithaus, chief marketing officer for Metropolitan Regional Information Systems, a leading provider of real estate information technology and the largest multiple listing service in the nation.
Heithaus, based in Rockville, Md., is a former relocation company executive who has relocated seven times himself. He says the best way to determine the agreeability of an area is to act as though you already live there. Test drive the district by getting a hotel room for a long weekend and replicate your everyday routine to see how it feels, filtering it through the lens of the entire family. Take your morning jog, chat with the barista at the corner coffeehouse, access transit options, read hyperlocal blogs, sit on a bench and listen to sounds of the streets. Engage. Then, Heithaus suggests, vet your research and experience through a real estate pro. “You can’t underestimate the value of a tenured real estate professional, especially in the luxury category.” They understand the subjective aspects. Why a four-bedroom condominium is $2.5 million in one building and $1.7 million in another just four blocks away. “There are all kinds of qualitative aspects to it, and a luxury real estate specialist can help you navigate those value-related questions,” he says.
Last November, Richard and Diana Milock purchased a penthouse unit in a high-rise tower called 937 Condominiums in the Pearl District of Portland, Ore. The area was originally one of warehouses and light industry. Artisans moved in and transformed it into a coveted destination of tony residences and businesses. “I’ve always liked the Pearl, even before it was so gentrified. Actually, I probably liked it because it wasn’t so gentrified,” says Diana. For the Milocks, the Pearl is the perfect fit and an ideal complement to their primary home in rural Michigan. “We love having everything at our doorstep. We didn’t want to have a car; we use public transportation a lot so that was important. Walking five minutes in any direction takes us to great restaurants and fun shops and spas.”
Clearly, quality-of-life issues should dominate any real estate decision, but it’s smart to consider how the neighborhood could affect your investment should you choose to move and rent your home at some point. According to Yukiko Takano of Japan Sotheby’s International Realty in greater Tokyo, “You might want to focus a little more on the value of the property as an asset, and you need to think further about the rentability, rental income, property management and even capital gains and taxes.”
There’s an expression in real estate: You can change a house but you can’t change a neighborhood. Heithaus learned to fully appreciate the meaning of it. In some of his earliest moves, he “parachuted” into cities and wound up with experiences that ended up as cautionary tales. “The lesson is that we didn’t immerse ourselves in the culture of the neighborhood sufficiently to determine [if it was the best fit]. We went with the house first and neighborhood second. We got smarter as time went on.”
Property at top presented by Sotheby’s International Realty — Downtown Manhattan Brokerage, property ID #0135122. Tel: +1 212.431.2424
Read the article on WSJ.com
