By Jennifer Klein and Derek Sandoval
There is a shift toward a seller’s market in many areas of the country. Placer County Association of REALTORS® YPN members Jennifer Klein and Derek Sandoval discuss contributing factors, including lack of inventory and fewer distressed properties.
Jennifer Klein is a REALTOR® in Northern California who is experienced in short sales, investments, and property management. Connect with Jen at RosevilleAndRocklin.com, JenKlein.com, and @JenKleinSac.
Derek Sandoval has worked for Keller Williams Realty in Roseville, Calif., since 2009, and specializes in residential, REO, and short sales. Find Derek at www.dereksellshomes.com and dereksellshomes.featuredblog.com.
By Anand Patel
The invention of the DVR was a beautiful thing. According to ACNielson, the marketing research firm, by 2011 more than 40 percent of U.S. households had DVRs giving families the ability to breeze right over TV commercials and get right back into their favorite shows. Who wants to watch annoying commercials for products and services you have no interest in, right?
Just like fast forwarding television commercials we have no interest in watching, many residential agents pass up on perfect commercial real estate referral opportunities simply because they have no contact (or interest) with the commercial world. Instead of tapping an additional income source, they are skipping right over the commercial.
If you work exclusively as a residential sales agent, what do you do when your buyer, who just moved, to town asks you about commercial real estate because they want to open up a new business? Do you tell them you have no clue and wish them luck in their search? Or, do you have a basic understanding of the commercial market in your area and a great commercial REALTOR® you can refer them to?
In many markets, commercial real estate is picking up. Here in Tampa, Fla., we are seeing new businesses enter our market as they are in expansion mode. I have talked to several new entrepreneurs who are also looking to call Tampa home, as they are finding this to be prime time to make the move both personally and professionally. This scenario is playing out in many markets around the country.
This is a ripe opportunity for real estate professionals who only work in residential real estate to make referral income by partnering with a strong commercial agent. Here are some ideas:
- Attend introductory commercial real estate educational classes held at your local REALTOR® association. If they don’t offer any classes, now is a good time to encourage them to do so. Better yet, this may be an opportunity for your YPN group to offer a commercial 101 class, filling a void in your association’s current educational offerings.
- Attend networking events Continue reading »
By Scott Newman
Real estate is back in 2012 in a big way. Many markets are seeing price increases in response to dwindling inventories as more and more buyers are getting off the fence every day. With that in mind — especially since it’s been so long since we’ve had the opportunity to use the phrase “multiple offer” — I felt it would be pertinent and relevant to go through some best practices for handling multiple offer situations to make sure you’re in line with ethical and fair business practices.
Don’t Forget Your Loyalties: This is a big one, and it’s obvious, but many agents forget that you can’t disclose information that your client doesn’t authorize. No where is it written that you must disclose whether or not you have other offers on the table. Unless your seller has specifically directed you to do so, you should not automatically answer that question if asked by a buyer’s agent or buyer.
I have seen situations where a buyer will pull out of a deal because they think there is too much competition, and you can be legally liable for any negative consequence that results from your disclosing information you shouldn’t have.
To summarize, don’t ever forget that your ultimate loyalties lie with your seller, and just because you’re asked a question doesn’t mean you have to answer.
Treat Everyone the Same: This is another obvious one, but it’s important and bears repeating. To avoid accusations, legal action, and overall negative impact to your reputation as a professional, it’s imperative that you treat everyone the same way.
If you’re sending out a request for highest and best, send the exact same e-mail, forms, etc., to all interested parties who have seen the property so there is absolutely no doubt that everyone was informed of the status and had a chance to make an offer if they wanted. It’s better to e-mail an agent that showed the place six months ago along with everyone else, than it is to have your deal blown up by a lawsuit from a buyer who feels they were unfairly kept from knowing the latest update and opportunity to place an offer.
Keep Unbelievably Good Records: Continue reading »
By Trisha Ocona Francis
Being a real estate professional is more than just helping people sell, buy, or rent property, but rather assisting them in achieving their real estate goals. One of the best ways in doing so is by narrowing down your practice of real estate to an area you know extremely well, enjoy doing, and are committed to furthering your knowledge on the topic. It allows you to focus, and shows your clients your commitment and dedication as an expert towards their particular issue.
There are many areas to choose from, such as the luxury market, commercial sales, office leasing, residential, investing, foreclosures, apartment rentals, government program housing placement, senior housing, relocation specialist, or you can always develop your own area of expertise.
You may decide to gear your real estate practice towards commercial real estate because you like analyzing the potential profits of a building, the adventure of negotiating, and helping your clients produce their desired results. Or you may work with seniors because you enjoyed helping your previous senior clients transition from homeownership of forty years to senior housing, loved their history stories, and learned a lot about senior housing programs in the process.
The road to becoming this “Specialized Real Estate Expert” is similar to a college student deciding on a major and ultimate career choice. Medical doctors and attorneys concentrate on a specific field to practice for the same reasons.
To begin, here are a few questions to ask yourself: Continue reading »
By Veronica Barragan
Some REALTORS® conceived 2012 as “The Year of Volume Transactions” because lower home prices created the need to increase transactions to keep up with personal career goals while maintaining life styles and income. In actuality, 2012 has quickly become “The Year of the Professional.”
We’re in an environment where REALTORS® celebrate authentic, professional standards, and embrace all markets as a visionaries. They can stand back and understand the big picture, while in turn, offering excellent client service with integrity.
For example, in states such as Arizona where I currently practice, many REALTORS® have shifted their business dramatically and quickly from the dwindling REO niche back to buyers and sellers. REALTORS® are going back to basics, which should have never been ignored if they planned on making real estate a long term career. “The basics” encompass key fundamental characteristics that never ever disappear and easily transcend time. The basics include the utmost professional attention to each and every client’s needs, appreciating every phone call as the gateway to referrals because of the agent’s attention to detail, and, more importantly, having the ability to be fully present and aware of the intentions, desires, and needs of every individual who comes to you, as an agent, for your real estate expertise.
Today’s market is diverse and includes first-time home buyers, the tech-savvy newest generation, the growing and underserved Hispanic community, investors, second home buyers, and sellers in a hardship situation. To be able to serve this new and diverse clientele effectively as a professional, you must be able to adapt the basics into your business plan and into your soul.
There is no more sitting back and waiting for the bank to assign you that distressed property, because you will not survive — Continue reading »
By Dave Robison
The crowd cheers, “Half-full, half-full!” Buzzer rings…nope, the answer is neither.
Why are so many people saying the glass is half-full? There are people saying half-empty as well. Those Debbie Downers (the half-empty glass people) might say something like this: “Ohhhh, the market, it’s awful. It’s killed our business.” Those saying their glass is half-full might say something like this: “At least I can feed my family and I’m still in the business.”
But the answer is still neither.
In the glass there are two components…the water that everyone readily sees and is anxious to claim as blessings in life. And there’s a second part, which is the unseen part in that glass — oxygen.
We need both oxygen and water to live. Everyone readily looks at the water as being blessings in their life. The oxygen represents the trials. We need blessings and trials in order to grow personally. The person who will come out on top in today’s market is the person that yells out, “MY GLASS IS FULL.” This person understands that today’s market brings them opportunity. They also understand that, although painful at times, if they focus and work hard, they will grow stronger. These people will welcome the challenge and focus on accomplishing something great.
The real estate community is changing in our local markets. Top producers of yesterday are gone. There is a breeding ground, ripe, waiting to harvest new leaders. Before you realize what happened, those who yell, “MY GLASS IS FULL,” are going to be the leaders of tomorrow.
What is your glass?
Dave Robison, known as “Utah Dave,” is a broker of Robison & Company Real Estate.
By Jared James
Did you know that cash buyers have made up over 30 percent of the overall buying market for five consecutive months? To give you some context, only two short years ago cash buyers only accounted for about 12 percent of the market. More importantly, do you know how to leverage them to make more money this year? The housing affordability index was just released and shows housing affordability is at its best level in the history of its reporting, which started back in 1971!
Watch my latest vlog to learn about these things and much more.
Jared James is the CEO and founder of Jared James Enterprises (JJE) and travels around North America speaking to and coaching REALTORS®. Connect with Jared at www.jaredjamestoday.com, on facebook.com/jaredjamestoday, or follow him on Twitter @jaredjamestoday.
By Jared James
Part of my job as a real estate speaker/trainer is to keep up to date on the latest news, fads, tools and technologies that come out so that I can determine if I think they are here to stay and worth covering with REALTORS®, or if they are here today and gone tomorrow and not worth our time (see talking signs as a case in point). Well, I just got off of a webinar I was doing for real estate professionals on creating new leads using both the old school and new school methods to create the maximum number of opportunities in today’s marketplace, and one of the newest methods that I think is worth paying attention to was demonstrated by Dream Town Realty in Chicago who actually decided to leverage the popular coupon site Groupon.com.
They created a Groupon coupon for buyers and sellers in their area, which cost the potential clients $25 up front and required them to used Dream Town Realty to buy or sell, then at closing the Groupon clients would get back $1,000 in cash (as long as their purchase or sale was greater than $150,000 and they closed within the next 12 months).
Amazingly enough, they had 219 people sign up for this attractive offer in only one month. I think we all would agree that we would be OK with being connected with 219 potential clients that are serious enough about buying or selling a house in the short term that they are willing to pay $25 up front for a coupon.
Now Groupon is only available in major cities, but if you are considering using such a tactic as Dream Town Realty you may want to check out Livingsocial.com or the newest site that actually focuses on secondary markets and was created by the popular ActiveRain.com founder, Jon Washburn, called www.dailyticket.com There is even a coupon site created specifically for real estate deals called housetipper.com. Continue reading »
By Cory Brewer
Last summer, an agent in my office took on a listing with high hopes…the market in this particular neighborhood was moving fast and prices seemed to be pretty stable. Unfortunately, though, by the time the clients were ready to hit the market, some of the neighboring comps had slashed prices (assumably to try and get sold before the start of the school year). As time went on, the comps dictated that there was really no way we could sell for our asking price, which meant we were approaching the dreaded “short sale territory.” This was a major game-changer, and there were many occasions on which our clients thought it would be best just to pull the house off the market and maybe even stop making their payments.
At times we almost felt like this was going to be a lost cause, but two things came to mind: If that house didn’t stay on the market, there was no other way it was going to sell…and the sellers are in a position where they have a legitimate hardship and NEED to get out from under the house and move on with their lives. I also didn’t want my agent’s sign to come down from what is a very high-traffic neighborhood.
Long story short, the sellers agreed that keeping the house on the market truly was the best course of action to meet their goals. At press time, we are thick in the middle of a win/win situation: They have accepted an offer on the house from a buyer who is willing to wait out the short sale process and our negotiator is well underway with the lienholder in getting that approved. In the meantime, the agent received several sign calls on the house…each time knowing that there was little chance the house would sell to that caller given the short sale situation. No matter…they pursued the sign calls and are currently under contract with one of those buyers on another house nearby (scheduled to close later this month). Continue reading »