One of my favorite parts of training people all these years is the creativity they have when applying our systems. Our job is to structure and systemize so people can perform at a high level. But when people apply ingenunity, creativity and add a dash of some humor, you get a cocktail that’ll blow the doors off any Mai Tai!

Today I want to feature an agent from the great Pacific Northwest – Barbara Koch-Caraco. Barbara found a low-cost, creative way to Pop-By with a dose of sunshine to her favorite clients. At less than two bucks a piece, stack these pitchers with a bunch of fresh lemons and a cool slogan that says: “I’m here to give you the “Big Pitcher” on the market and quench your thirst for knowledge and information,” or “When life gives you lemons, you’re supposed to “Make lemonade.”

Well done Barbara…and thanks for sharing your story with us on Blitz Central so we can encourage many other agents to do the same.

Oh, by the way…don’t forget to send your summertime success story to the Blitzmaster so you can be featured on next week’s blog. Remember, when the market gives you lumps, bring your clients lemonade.

It’s a good life

Brian

Over the years many of you have heard my buddy Joe Niego talk about not having a spray and pray approach when it comes to the focus of your business and how to generate a lead…and he is so right. That’s why we teach the working by referral system – to help you maintain your focus.

However, in order to get an offer accepted today, the rules have temporarily changed. Helping a buyer has always been a process of elimination. You educate a client in a geographic area and start eliminating homes that they don’t want until they find the one or two they like the best. You then write an offer, negotiate, get it accepted and work on getting it closed.

Today if you write an offer on a short sale or a foreclosure you have approximately a 1 in 4 chance of getting it accepted – even if it’s the best offer. You have a 1 in 3 chance of even getting a response. Many of us are frustrated because this is not how the business is supposed to go. Well folks this is how the business is going today. You need to educate buyers that we’re going to follow the spray and pray approach.

“We’re going to find a home you like, write an offer and there’s a pretty good chance we may not hear back. There’s also a pretty good chance the offer will expire without hearing back so immediately after writing an offer, we’re going to look at more homes. We may have to write offers on five homes to get one accepted.”

This is not how I like to do business and I’m sure it’s not how you like to do business but right now we need to have different expectations and so do our clients. As long as short sales and foreclosures are the first choice of buyers we have to educate them that they going to have to put up with a season of frustration for the opportunity to get one of these deals.

As I told a young buyer the other day; you’re buying this home for $100K less than it sold for a year ago…it will eventually regain it’s value and how long would it take you to save $100K?

So yes we’re going to have to spray a lot of offers into the market but don’t forget to pray. You’ve got to have faith in this market: Faith that things are going to work out; Faith that the market will turn; and faith in the intrinsic value of real estate itself.

I have faith in you.

It’s a good life!

Brian

The demands of the current market environment require us to be a highly skilled professional. The higher our skill level, the more leads we’ll generate, and the more income we’ll earn. Oh, by the way…we’ll have clients so satisfied with our services that they’ll become advocates for our business.

So the skills we develop are the tools of our trade. It’s true in other professions also. For a carpenter, it’s a hammer and saw. For a painter, it’s a brush and roller. For a pianist, it’s their fingers and keys.

For us…it’s what we say, and how we say it.

Using the right words at the right time with a seller is the difference between a sold listing and an expired one - a frustrated client or an advocate. The ability to master our dialogs and phrases is what makes a professional. So a word to the wise: use your words to build up; not tear down. Use phrases that inform; not infuriate. And most of all, be mindful that the words we use each and every day are often the difference between failure and success.

It’s a good life!

Brian

The three opportunities in today’s market are first-time buyers, move-up clients and investors: 

• First-time buyers. Many people have a desire to buy a home almost as a rite of passage or that fulfilling sensation of having a place to call your own. No matter what the market conditions, first-time buyers are always going to try to break in to home ownership.

• Move-up clients own a house but it either doesn’t fulfill their current needs, or it’s not the house or neighborhood they want.

• Investors who are looking for a long-term play in real estate are enthusiastically looking for properties right now because it has a built-in discount and an investor who’s smart enough to hold onto a property will have a nice piece of built-in equity.

My hope for people in the real estate community is not only will they help their clients skillfully through the transaction process, but they ultimately get to participate in real estate as an investor themselves. Become your own best client…and your fortune is assured. 

It’s a good life! 

Brian 

In 1974, Morris Albert recorded this Grammy award winning song. At that time, it was considered one of the most strongly emotive and moving melodies. As time has gone by, when viewed in hindsight, the same lyrics that won a Grammy have often been lampooned as the sappiest song ever written.

Whether you like the song or not, feelings can be very dangerous for your business. In today’s market, there are lot of emotions; fear, anxiety, frustration and regret. Maybe you don’t know where your next commission check is coming from. Maybe you’re consumed with fear about where the economy and this market are going. Maybe you’re dealing with frustrated sellers who constantly focus on how much their home used to be worth as opposed to what’s it’s worth today. Perhaps you even have a ready, willing and able buyer who’s just afraid to pull the trigger because they don’t want to pay too much for a house.

The answer for a professional is to manage their emotions by keeping perspective. You need to know the historical trends of this business, how good of an investment real estate is (check out www.housingmarketfacts.com), and keep track of your own daily activities so you know you’re doing your best each day.

Feelings are great things. They let you know you’re alive. Personally they deliver the highs and the lows of the human experience. When it comes to your business, feelings don’t help at all. Manage your emotions, manage your business and manage your success.

How many calls, notes, Pop-Bys and business to business meetings are you having?

It's a good life!

Brian

When Samuel Clemens uttered these immortal words under his pseudonym Mark Twain, it encapsulated what economists had been trying to say for years…that the fundamental law of economics is supply and demand. Outside of volcanic activity on the Hawaiian Islands, no new land is being created. Therefore, supply is limited.  

The world population grows by approximately 90 million people a year increasing demand year over year. Human beings have three basic needs for survival; food, shelter and clothing. And I don’t see that changing any time soon. On occasion, the market goes through cycles of having too much resale inventory and too much new product followed by a housing shortage and price increases.  

And even in the midst of surpluses like today, there is certain built in demand. For example, there’s a tremendous shortage of apartment buildings in many cities. Many markets are experiencing a surge in rental prices of single family homes. This creates pressure for the first time buyer to own and investor clients to buy. 

So buy land; preferably with a house or apartment building on it. They’ve stopped making it! 

It’s a good life, 

Brian

Today, many of you are dealing with clients who are hesitant about getting into the market, or wary about moving up to a new home. The reason these people are on the fence is because they are afraid of paying too much for a house. They feel like they’re at a store and want to make a purchase, but they’ve been told the store is having a sale next month. Fact is nobody knows where the bottom of the market is. We’ll only know after it has already corrected itself and is on the way back up.

Ask your clients why they are buying a home. Determine what their motivation is and help them through any concerns they have. Let them know that now is a great time to buy because:

• There are a lot of homes for sale which means buyers have many choices and they’ll be able to find a home they really love.
  
• Prices have adjusted approximately 12% - more in some markets, less in others. So let your buyers know…the store has already had its sale!
  
• Interest rates are good.

Waiting often doesn’t pay. Buyer opportunities have never been better so help your clients build long-term wealth with a home and watch your own business grow at the same time.

It’s a good life!

Brian