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Seven Reasons Why Investors Are Great Clients
2007-04-04 00:00:00
Imagine an untapped market of clients that buy more than one property per year, frequently sell directly after buying, and have marketing budgets you can spend to sell the property faster. It's not a fantasy. I'm talking about real estate investors.In this Realty Times article, Jon Morrow writes about the seven big benefits to working with them.Read more...
More About: Great , Investor , Vest , Clients , Reason

After Five Years of Record Breaking Sales, Today?s Shifting Markets May Com
2007-04-04 00:00:00
In today's environment, real estate practitioners will find that with a little more work and creativity they can still attract buyers and sellers ? in any market.Listen to this REALTOR® Magazine podcast as Senior Editor Mariwyn Evans talks with author Robert Sharoff about his February article "What are Consumer's Thinking? Turn Any Market Into a Go."Listen now..
More About: Markets , Sales , Break , Today

Big Shocks Await Many Adustable Rate Mortgage Holders
2007-04-02 00:00:00
Chris Smith over at EquityScout.com has a posted an interesting article about the ARM loans. In his opinion, their is more trouble brewing. Concerns about flatting property prices tend to get the most press time,along with the ongoing sub-prime lending soap opera. And we?re all keeping an eye on interest rates and hang on Bernanke?s every word. But in my opinion the real story will be how all these factors impact all those risky loans out there, and this is a die that has yet to be cast.He quotes a study done by First American Corelogic that states that of the ARM loans that originated in 2006, most will have 30% to 50% increases when their rates adjust in 2008.Wow.Build your investor clientele list now folks, because the worst is yet to come.
More About: Shock , Mortgage , Tabl , Table , Gage

Five Steps to Make a Real Estate Investor Your Best Client
2007-04-02 00:00:00
GIVE THEM ONLY GOOD LEADS-Investor s are extremely busy and do not have a lot of time. So don't just sign them up to your e-mail newsletter and expect them to sift through every singe listing. KNOW THEIR INVESTMENT CRITERIA-It's all about numbers for investors. Don't give them something that will not meet their profit margin. KNOW THEIR SPECIALIZATION-Some investors like rehabbing homes, while others prefer to buy multi-family residences. KNOW THEIR COMFORT ZONES-Most investors do not have the same comfort level. While some may feel comfortable "gutting" a property, while others may not want to do more than update the kitchen, replace the carpet and give the old place a quick paint job both inside and out.INTRODUCE YOUR INVESTOR CLIENTS TO EACH OTHER-Sometimes an investor will not have enough knowledge in a type of investment to move forward, while others may not have enough capital, but have the knowledge. Why not introduce them to each other and get the deal done?Happy selling.
More About: A Real Estate , Estate , Real Estate , Your

Niche Website of the Millennium-Newlywed Homebuyer.com
2007-04-02 00:00:00
Mike Martin of Northwood Realty Services in Wexford, PA gets the Niche Webs ite of the Millennium Award. He has created a niche that I honestly have never heard before by targeting newlywed couples. Go visit his newlywed website and compare it to his regular website.There is a world of difference don't you agree?According to his post on the Agents Online Forum, Mike is an avid fan of niche marketing and I applaud him for his creativity. His marketing plan isn't too bad either as he plans to focus his marketing efforts and dollars on the wedding industry. Here are his immediate plans:I have some ideas of getting brides/grooms to visit it but I'm alwayslooking for more. So far the ideas are:Advertise in a local wedding planner.Send postcards to the leads I get from the planner (300-400/month).Place some sort of flyer or brochure in local wedding shops.As I've mentioned before, niche marketing is the most effective way to get your voice heard above the crowd. Good job Mike and much ...
More About: Home , Site , Buyer

Realtors Have Much To Teach New Investors About Real Estate
2007-04-02 00:00:00
Editor's note- Here is a 3-year old article from the guys over at Realty Times that is still relevant.Hammered by a volatile stock market, a growing breed of home buyers want to put their investment capital into real estate. While some are true investors (long term holders of real estate) and others are flippers (into quick turnover of properties), many have no idea what they are doing, giving savvy Realtors the opportunity to build a good clientele by teaching these stock market refugees a thing or two about real estate.Read more...
More About: Estate , Real Estate , About , Investor

See How Easily the Mortgage Industry Can Trick Your Client
2007-04-02 00:00:00
Here are a few tips from Mortgage Minister.com about some nasty tricks that lenders may try to play on your investor clients.REMEMBER-The more your investor client or any client for that matter trusts you, the more he will list with you.Happy selling.Read more...
More About: Industry , Rick , Your , Trick

Real Estate Marketing Weekend Reading
2007-04-01 00:00:00
I typically don't like to recommend books, but this book can be read in one sitting. It is easy to read and it will teach you some very basic laws (ie. rules) of marketing. I actually used one of it's laws in this post. As a real estate agent, just learning the very basics of marketing will help you: Last longer in the business.Save some money.Help you establish yourself as an expert.I recommend it highly.
More About: Marketing , Reading , Estate , Real Estate , Real Estate Market

A Little Advice from Seth
2007-04-01 00:00:00
Editor's Note- Seth Godin is author of seven books that have been bestsellers around the world and changed the way people think about marketing. He is a genius and has revolutionized marketing.Given the amount of money at stake, I won't be surprised if organizations start offering a way to make this more pleasant. Example: what if a real estate broker hired a really personable ex-cheerleader/glee club member for $20 an hour to do nothing but sweat the details and be charming the entire time the closing was going on? Someone to run and get donuts and do xeroxing and get papers organized in advance... in the scheme of a hundreds of thousands of dollar purchase, not such a big deal, right?Read More...
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News Flash-Are You Wasting Thousand of Marketing Dollars This Year?
2007-04-01 00:00:00
Whenever I read real estate ads whether in the local paper or on the web, I much too often come across agents who I know will eventually fail because they fail to target their marketing. Are you part of those real estate professionals who throw away valuable marketing dollars trying to reach too broad of an audience?If you are, then stop all your current marketing efforts immediately and save your moneyAlmost every real estate ad, whether a postcard, magnet or calendar is mainly image advertising. This type of advertising tells your prospect how great YOU are or how long YOU have been in the business. Image advertising is ineffective and wasteful expense that accomplishes no productive purpose whatsoever. It does nothing, but take up space.Buyers and sellers don?t care about YOU. They only care about themselves. What you must do is concentrate on a specific niche and about what that niche cares about. When you concentrate on a niche, there is not as many "voices" competing for you p...
More About: Marketing , News , Flash , Market , Dollar

Real Estate Marketing Tip:Becoming A Master of Persuasion
2007-04-01 00:00:00
Persuasion power can help you get more of the things you want faster than anything else you do. It can mean the difference between success and failure. It can guarantee your progress and enable you to use all of your other skills and abilities at the very highest level. Your persuasion power will earn you the support of others. Read more...
More About: Marketing , Estate , Real Estate , Real Estate Market , Market

Do You Recognize the 3 Warning Signs of An Inexperienced Real Estate Invest
2007-04-01 00:00:00
Working with real estate investors can be extremely lucrative, but a real estate agent must recognize warning signs that a client is inexperienced and headed for trouble. I know it's easy to dismiss this advice. As a real estate agent you just want to make the sale, get your commission and move on to the next listing.That's not the smart thing to do.A real estate investor can earn you multiple commissions regardless of the market, but the only way that can happen is that the real estate investor makes the right type of purchases.Let me tell you a real case story.Casey Serin is a 24-year old real estate investor who bought multiple properties in several states. He became over-leveraged by using no-money down loans and eventually maxed out his credit cards and ran into trouble.His story is not unique at all.The country is full of newbie real estate investors.Some get blinded by the potential quick profit. Some believe the advice of the real estate guru that heard on a late night inf...
More About: Estate , Real Estate , Experience , War , Signs

A Realtor® After My Own Heart
2007-04-01 00:00:00
I just finished reading Broker Bryant's Real Estate Ramblings Blog and I came away feeling a bit jealous of the investors he works with.His "Has Your Flip, Flopped?" post is a must-read for all real estate professionals going after the real estate investor market. Broker Bryant understands that real estate investing is a serious venture and uses his knowledge in his market to give realistic options to his clients.In his post, he mentions a client who has deposited $30K and needs $50K to close on the home. I don't know the total sales price of the home, but putting down $80K better bring in a hefty return on investment.His client's options are limited because there are 100 active listings and only 7 sales in the last 6 months. A dire situation to say the least.Broker Bryant does not go into much detail about the advice he gave his client, but I would have told him to go back to the builder and try to negotiate down the amount the builder will keep. With any luck, the builder will ...
More About: Hear , Heart , My Own , Realtor

From Boom to Bust: Preparing For the Upcoming Sub-Prime Lending Foreclosure
2007-03-30 00:00:00
Matt Carter of Inman News continues to add to his excellent articles regarding the meltdown of sub-prime lending. His multi-part series on sub-prime lending can be read here.In his latest article, Matt Carter paints a somber picture of what is to come in the sub-prime loan foreclosure market. I won't go into all the details, but the article states figures that will interest your investor clientele.The latest quarterly survey by the Mortgage Bankers Association found that:4.95 % of mortgage loans were 30 days or more past dueA record .54 percent of mortgages entered the foreclosure process in the 4th quarter of 2006 Late payments for sub-prime loans hit 13.33% Highest foreclosure inventory rates were in Ohio (3.38%), Indiana(2.97%), and Michigan(2.39%). Regionally, the North Central region had an overall delinquency rate of 5.68 percent, the South 5.71 percent, the Northeast 4.59 percent and the West 3.18 percent.What does this mean to your investors? Well there is going to be more ...
More About: Foreclosure , Ring , Bust , Ending , Closure

21 Ways to Turn Away Website Visitors
2007-03-30 00:00:00
This is a great article by Roselind Heji. I've seen many real estate websites that do not make it easy for their visitors. Sometimes peole get carried away with all the latest and greatest web graphics. As the old saying goes, sometimes less is more. One thing that she did not add, is this;Nothing important should ever be more than two clicks away. Keep that in mind when designing or paying someone to do it.
More About: Website , Site , Webs , Visitor , Visitors

The Best Real Estate Website I Have Ever Seen
2007-03-30 00:00:00
I've see countless of real estate agent websites, but none as effective as Sell My Home 101.com which belongs to Joe Delorenzo out of Lawrenceville, New Jersey.Now before you guys start getting on me. I do not know the agent of this site and do not get any money for promoting his site.Here are the reasons I like it:It clearly differentiates himself from other real estate agents. As a matter of fact, if you compare Sell My Home 101.com, to his more traditional site, www.joedelorenzo.com , you'll clearly see the difference. I am willing to bet Sell My Home 101.com generates more leads for Joe.It's simple and not graphically overwhelming. My only criticism is that he has a landing page first, before you get to the home page. The landing page is cute, but useless.The navigation is easy and original. The visitor thinks he is going to a "seminar" instead of a location on the site. In addition, nothing is more than two clicks away. The site 100% "client-centric". It does not focus on th...
More About: Website , Estate , Real Estate , Site , Webs

Learn How to Become a Problem Solver Instead of the Typical Real Estate Age
2007-03-30 00:00:00
A recent article by CNNMoney.com staff writer, Les Christie points out the 10 most vulnerable markets that will be endangered by the recent sub-prime mess. It points out the markets where there is a large concentration of sub-prime loans and the top ten markets where there is a large concentration of sub-prime delinquencies. (Sixty or more days)Whereas the general public looks at this as a debacle, I see it as an opportunity for both real estate agents and real estate investors alike. Now it is tragic that some people will lose their homes due to bad loans as interests rates go up, but there will also be a need for "problems solvers" as well.Take Cleveland, Ohio for example. According to the CNNMoney.com article, Cleveland has nearly a 25% delinquency rate for those that have sub-prime loans.Think about it.That's one out of every four people who got into these types of loans. That means that one out of every four families will be looking for a way out of their problem. Some may ref...
More About: How To , Estate , Real Estate , Earn , State

Give Me Three Minutes And I'll Help You Increase Your Commission
2007-03-30 00:00:00
It was cold in Colorado this winter. Not only did they have a very cold winter, they also got hit having two of the top 6 foreclosure markets in the 4th quarter of 2006 according to NAR Reports. Florida did even better (worse?) by having Fort Lauderdale and Miami come in the top five.So what does this data tell you as a real estate agent ?BUILD UP YOUR REAL ESTATE INVESTOR CLIENT LIST!!!A competent real estate investor will typically buy 3-5 properties a year. Some agents don't even sell 3-5 properties on their own. So what if you had, say 6 real estate investors as clients?Imagine this.500K per sale (California prices) Your brokerage share of the commission (3%) 5 Homes per Year 6 Investors$500,000 x .03 x 5 x 6 = $450,000 in net income!!!Can you see the possibilities? Not bad for taking up three minutes of your time huh?
More About: Help , Miss , Commission , Give

Are You Still Marketing the Same Way You Did Two Years Ago?
2007-03-30 00:00:00
I was first introduced to Bernice Ross by reading her book Waging War on Real Estate's Discounters: How to Unlock the Door to a Full Commission. Her arguments against discounting commissions were compelling and powerful.But that's not what ultimately converted me into a big fan.Her weekly e-newsletter,Real Clues, was surprisingly full of valuable real estate marketing advice. Her recent article on Inman news does not dissapoint either. In the article she gives a great example of how many real estate agents do not differentiate themselves from the field. Instead of me re-telling the story, here is what she said."I recently spoke at two different events where there were approximately 300 people at each event. I had everyone stand up and exchange business cards with one other person. Next, I asked anyone who was holding a business card with a picture on it to sit down. I then asked those agents who had more than one telephone number (with the exception of their fax number) on their c...
More About: Marketing , Market , Stil , Years , Still

Realtor® Tip of the Week-Get Creative and Make the Sale!
2007-03-30 00:00:00
Chris Smith over at the Equity Scout Blog posted an interesting story about the fragile relationship between real estate professionals and real estate investors. He describes his attempt to purchase a pair of duplexes through his local Real tor ®. The asking price was $485K for the pair, and the Realtor® had managed to whittle it down to $399K.To a normal buyer, a $85K discount off the asking price would be phenomenal and the Realtor® would have definetely earned his pay, but to an investor, that discount wasn't enough.Now I don't know enough of the details to give you, but Chris describes his criteria like this:A purchase price of $360K would be optimalA purchase price of $380K would be OKA purchase price of $390 would mean he would need to walk away from the dealSince the seller was only willing to go as low as $399K, Chris opted to walk away. What would cause Chris to walk away if there was only a $9K dollar difference?As Chris so eloquently puts it in his post; the Realtor® need...
More About: Creative , Sale , Week

Real Estate Marketing-Target Marketing your Real Estate Business
2007-03-30 00:00:00
What is Target Marketing ? I like to refer to it as laser surgery. While many Realtors, before building their referral business, try Farming as a way to generate buyers and sellers, I have found that most will use geographic and neighborhood Farming as a first resort. The are lot's of Farming ideas out there to be utilized.Read More...
More About: Business , Estate , Real Estate , Real Estate Market

Real Estate Marketing: How To Properly Use a Blog
2007-03-30 00:00:00
Blanche Evans, editor of the popular website Realty Times has a great article on the importance of photographs in your listing. She starts off by saying that some Realtors do a terrible job using photographs even though they are an important part of your marketing plan.In the article, she introduces Canadian broker and blogger, Norm Fisher. Norm has compiled a collection of the worst pictures he has found on the MLS. His commentary is absolutely funny and I recommend all Realtors to take look. You will learn a lot of what you shouldn't do when taking pictures of your listing. In betweenall the chuckles of course.The most important thing you should take from Norm's presentation is how he uses "photography" as competitive advantage over his competition. His commentary is not only entertaining, but he is also making a sales pitch at the same time.This is marketing at its best.
More About: Marketing , How To , Estate , Real Estate , Real Estate Market

A Useful Tip for Saving Your Listing from Expiring
2007-03-30 00:00:00
Editor's note: Using real estate options is an useful tool to save that listing that just won't sell. Plus you still get your commission. Click on the this link to see how. Real-estate investors may want to assess their options.We're talking about real-estate options -- a creative, but sometimes risky, way to buy properties on the cheap over a period of time. An investor can purchase an option for a property, giving him or her the exclusive right to buy the property at an agreed price within a certain period of time, typically 12 months. (Exclusive right means the property owner can't sell the property to anyone else during that time.)The investor can exercise the option and buy the property or he or she can sell the option to another investor. The property owner wouldn't have any say in whom the option holder sells the contract to, unless that was written into the option agreement.Read more...
More About: Your , List , Ring , Listing , Sting

How To Use the Real Estate Bubble To Gain More Business.
2007-03-30 00:00:00
Weather is a funny thing. Though it may be sunny in the South, there might be a snow storm in the Northeast. While in the West, it might be windy with a chance of rain. Such is the weather and such is the real estate market. Yes, we all read about the supposed "bubble bursting" for the last two years now, but guess what?Bubbles are regional as this study by Bankrate.com shows.That's why it's always a good idea to target your marketing.I know I just changed gears here, but stay with me. Whether the real estate forecast is sunny or rainy in your area, you have opportunities to build your business by using investors.Take this scenario as an example:Your are a real estate agent in Albuquerque, New Mexico. You have read studies that are forecasting your area as one to watch in 2007 and beyond. So you decide to build a website targeting out-of-state real estate investors who may be interested in investing in your area. You establish your self as an "expert" and gain the trust of your ou...
More About: Business , How To , Estate , Real Estate , State

The Lighter Side of Flipping
2007-03-30 00:00:00
Here's something funny for you on this Saturday morning. I recently saw a video on You Tube about flipping homes. The show, Flip per Nation is a "mockumentary" as Josh Spears calls it, about two young real estate investors whose goal is to become "co-millionares". The show does not only mock real estate investors, it also mocks real estate agents, mortgage brokers and contractors. The funny thing here, is that they are not off the mark at all. Granted they do "punch it" up a bit for the sake of commedy, a lot of the behaviors are not uncommon. I've seen many new real estate investors behave in a similar manner. Click on the video below, you'll get a kick out of it.
More About: Flipping , Light , Side , Ping

Are You Having Trouble Coming Up with Topics for Your Real Estate Blog?
2007-03-30 00:00:00
The worst thing to have is a boring blog with no new content. This rings even more true for real estate blogs.Well the guys over at RSS Pieces are now in the middle of the multi-part series, "A Year's Worth of Real Estate Blog Ideas". Not only do they give you ideas, they also link to example from around the web.As I read both the first and second parts of the series, I began to think about what I could add to the conversation and then it just hit me.Target the blog to a specific market.Instead of trying to reign in all types of buyers, I would recommend an agent try to focus on a segment of the buying population.For example, I noticed that most of their ideas could be re-written to target the most ludicrative among all of segment of the buyer and seller market the real estate investor.Here are just a few of their ideas and my suggested slant that would attract real estate investor clientele:Idea # 4-New construction projects, re-development or redistrictingThere is a specific segm...
More About: Real Estate , With , Topics

The Sub-Prime Lending Bust is Your Gain
2007-03-30 00:00:00
Sour subprime loans have devastated lenders, and dashed the hopes of present and future borrowers. Disappointed banks will definetely demand tighter standards. So where does that leave your real estate practice?For real estate agents,seller-carryback financing can make the difference between a "sold" or an "expired" listing. The recent rise of the subprime lending industry made seller-financing a little used tool compared to how often it was used in the high-interest rate 80's. But if the recent subprime debacle dries up the lending pool, maybe it might be time to dust off this useful tool and put it to good use.
More About: Your , Bust , Ending , Lending , Prime

The Customer is Not Always Right
2007-03-30 00:00:00
The golden rule of any business is "The customer is always right."The rule is wrong.The right client is right 100% of the time and the wrong customer is just a waste of your time. Every real estate professional should define what a good client is, but generally a good client has these traits: A good client will be loyal. A good client will spread positive word-of-mouth and give positive referrals. A good client will be profitable to your real estate practice again and again and again. But if clients normally buy a home every seven years, how can they be profitable repeatedly?When the client is a real estate investor, you can profit from them at least 2-3 times a year. Yes, a real estate investor can be tough, impatient, fickle, demanding, needy and sometimes all of the above times ten. But if they are worth the trouble because they bring you repeated business; then deal with them.As for the wrong client; they can be all of the above too. It's up to you to know the difference.
More About: Customer , Right , Custom , Always

Flipping Works in ANY Market.
2007-03-30 00:00:00
I recently read House Flipping Stops Work ing on the MortgageGuide101 Blog. I have to say that I strongly disagree with the author's premise. Flipping if done correctly, works in ANY marketThe author goes on to tell this story."Dave Corey has been following what seemed like a good strategy for the last few years: buy cheap; rehabilitate; sell higher. Get a run-down property that has a good roof and is structurally sound, and spruce it up. Do the work yourself asmuch as possible to save on costs. Then sell the property for a tidy profit. However, Dave's latest purchase in Ocala, Florida has been in his hands for 10 months. So far, he's out of pocket at least $160,000 and he hasn't been able to sell at a price of $178,900." I guarantee you that Mr.Corey did not purchase properly. Buying cheap does not mean the same to an investor than it does to the regular public. An investor rehabbing properties for sale cannot buy higher than 65% of the after-rehab market value. The house in the...
More About: Market , Works , Mark

Always Market Consequences
2007-03-30 00:00:00
Potential clients would rather not lose an opportunity to buy the right house, than save on the sales price. If given the chance to have the perfect backyard for little Bobby or buy another house that cost $30,000 less, the client will always chose the first option. This is an important marketing rule to remember.A few months ago, I had the choice to purchase a brand new home in El Paso, Texas for $110,000 or a 10 year-old home for $89,000.The seller of the new home was offering to pay all closing costs. The savings to me would have been several thousand dollars.The seller of the new home mentioned the appreciation rate of El Paso and the long term potential of the local market. I knew the potential going into an out-of-state market, but this guy's sales pitch was brilliant. He went on to say that not only would the front yard have grass, he would "seed" the back yard too. (Mind you he said seed, not actual grass)After I crunched the numbers and evaluated the potential rental rates...
More About: Market , Sequence , Mark , Consequence , Sequences