THIS Is How You Deal With Squatters – Lori Schilling
On this episode of The Closing Table, we sat down with Lori Schilling!
To watch the full episode, check it out on YouTube below. In the meantime, here’s a summary of the conversation…
Here’s what you missed from Lori Schilling…
The conversation began with Lori introducing herself as a Madison native, having spent the majority of her life in the city. She shares her life with her husband, Nick, and their Australian shepherd, Jay. Residing by Lake Kegonsa, they cherish all aspects of lake life, engaging in activities such as boating, swimming, water skiing, and even ice skating in the winter. Despite her deep connection to Madison, Lori’s interests extend beyond, with a passion for travel.
Lori’s journey into real estate began unexpectedly after a successful 20-year ownership of a spa and salon in Madison. Initially contemplating retirement, she sold her business in 2014, taking a year off to travel and reassess her goals. Investing a portion of the proceeds into real estate, Lori and her partners embarked on a significant venture, acquiring 100 apartments. This marked her initial foray into real estate, leading to an unexpected transition into property management.
To facilitate this new role, she obtained her real estate license, marking the beginning of an eight-year journey. Over this period, Lori has worn various hats, from writing leases to showcasing properties, eventually evolving into a top-performing agent with over 500 houses sold. Noteworthy achievements include being recognized as the top agent in 2019 and 2020, winning the Athena Award, and earning the title of Professional Women of the Year in 2018.
Madison, Wisconsin, holds a special place in Lori’s heart, and she passionately describes it as one of the nation’s best cities. Drawing parallels to San Francisco, Madison offers proximity to water, a chain of lakes, diverse cultural influences, vibrant restaurant scenes, universities, and a thriving arts and outdoor activity scene. With a population of around half a million, it retains a small-town feel, coupled with an affordable average home price of just over $400,000. Lori notes the city’s attractiveness, especially during the COVID-19 era, as remote workers sought to relocate from high-cost areas to Madison, realizing they could achieve financial freedom.
Lori acknowledges the dynamic nature of Madison’s real estate market, emphasizing its stability even during challenging times like 2008. Despite fluctuations, Dane County only experienced a modest 10% decrease, underscoring the region’s resilience. The city’s growth is further fueled by companies like Epic Systems, which predicts significant hiring in the coming years. Lori provides insights into market metrics, noting a 103.5% list price to sale price ratio and an average of 6-16 days on the market. Despite ever-changing statistics, she emphasizes the city’s stability and consistent demand, making Madison an attractive and flourishing real estate market.
Lori’s real estate journey has been uniquely enriched by her involvement in managing apartments and guiding tenants toward their dreams of homeownership. One particularly memorable experience centers around Otto, a Venezuelan professor who arrived in the U.S. with dreams of building his American life.
When Otto approached Lori for an apartment, he faced the challenge of no credit history or checking account, common hurdles for newcomers. Despite the uncertainties, Lori took a chance, offering him a place with a double security deposit and a six-month lease. Over the year, Lori encouraged Otto to build credit and take steps toward homeownership. To Lori’s delight, after a year, Otto proudly announced his pre-approval and desire to buy his first house.
The journey continued as Lori guided Otto and his family through property searches, offer submissions, and the intricacies of home buying. One humorous moment Lori fondly recalls is when Otto, upon getting an accepted offer, asked about “Earnest” and the origin of earnest money, creating a lasting memory. Otto’s path evolved from apartment living to single-family homeownership, and eventually, he ventured into investment properties, transitioning from renting to being a house hacker. This transformative journey showcased the power of taking chances on people, providing guidance, and contributing to the realization of their American dream.
Lori’s commitment to treating everyone equally and being solution-oriented shines through her diverse clientele. Working at Sprinkman Real Estate, known for its luxury transactions, Lori dispels the notion that she only caters to high-end clients. Her story includes a 350k listing for repeat clients, friends whom she happily assisted, emphasizing that she values clients with plans and goals, regardless of transaction size.
Her journey from apartment management to luxury real estate uniquely positions her to relate to diverse needs. She emphasizes the importance of building relationships and having a creative, outside-the-box approach. Sharing her personal experience of multiple property moves and unconventional choices, Lori illustrates her commitment to doing what others won’t to achieve what they can’t later on.
Lori’s success, she believes, lies in her ability to be creative and think outside the box, whether through unique marketing strategies or memorable events like sushi and champagne open houses or demolition parties for tear-down rehabs. Lori’s passion for her work and dedication to building lasting connections underscore the joy she finds in each transaction, regardless of the property’s price tag.
In Lori’s extensive real estate journey, brimming with over 500 houses sold, she encountered a formidable obstacle while working with a family that exemplifies the challenges intertwined with fear-based decisions. The family, initially elated with an accepted offer on their property, suddenly faced cold feet, expressing an inability to secure temporary lodging during the transition. The situation seemed dire, with the prospect of canceling the deal looming over them.
Reflecting on her growth, Lori confronted the challenge head-on, refusing to succumb to intimidation. Instead, she offered a solution grounded in understanding and compassion. Recognizing the emotional undercurrents, Lori assured the family that they needed to proceed with the sale and reminded them of their why—their initial motivation for moving. To address the immediate concern of lodging, Lori even extended an invitation for them to stay with her temporarily.
Through this experience, Lori reinforced the importance of being passionate, compassionate, and solution-oriented in real estate. She highlighted the significance of helping clients remember their goals and navigate obstacles, serving as a guiding force amid uncertainties.
Next, Lori’s passion for real estate extends to helping clients achieve their goals through investment properties. She recently assisted a doctor client in transitioning from residential to multifamily investments. By keeping clients educated on real estate opportunities, Lori cultivated an environment where clients felt comfortable exploring new avenues.
In this particular case, Lori guided her client through the process of purchasing a four-unit property. Despite the client’s initial hesitation, Lori’s coaching and expertise led to an accepted offer. Proud of her client’s progress, Lori went above and beyond, connecting him with essential resources such as property management, legal advice for establishing an LLC, banking services, and insurance.
This success story exemplifies Lori’s commitment to empowering clients, sharing her wealth of knowledge, and providing the tools necessary for their real estate journey. The grateful response from the client underscored the impact of Lori’s guidance in kickstarting his venture into real estate.
The conversation wraps up with Lori delving into the complexities of real estate, recounting an experience with Gordon, her previous business partner, involving a multi-family property plagued by squatters. Despite having successfully acquired the property, the challenges arose when the tenants turned into squatters, causing damage and complicating the rehab process.
The situation became a “doozy,” requiring collaboration with city officials and law enforcement. Lori and Gordon navigated the intricacies of adverse possession and squatters’ rights, recognizing the importance of adhering to the system and proper procedures. The experience, though educational, underscored the potential financial losses incurred due to property damage.
Despite the setbacks, the property is back on the market, marking a resilient comeback from the challenges posed by squatters and adverse possession. Lori’s account serves as a reminder of the unpredictable nature of real estate and the need for vigilance, adherence to regulations, and proactive management to mitigate potential risks.
Check out Lori Schilling:
Facebook Business Page: https://www.facebook.com/soldbylori
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