5 Ways to Build Your Business During the Downtime

We’re half-way through November and have entered what is often referred to as “the slow season,” but for smart agents the season isn’t slow – it’s about a different set of activities.

“The market is definitely seasonal but agents shouldn’t have an off-season,” Says Jennifer Klaussen, Agent Trainer with Keller Williams Realty and Principal at LevelUp Strategies.

“The reason most agents’ income looks like a mountain range (high peaks and low valleys) is because they get distracted… with spring markets, holidays, kids home from school, market seasonality or other such shiny objects.”

So what can an agent do when the market slows? Here are five answers from experienced agents who've seen a few real estate seasons:

1) Lead Generation

“Lead Generation should happen every day, every week, every month of the year.” Says Klaussen. “When an agent focuses on their goals and makes time for lead generation on a consistent basis, they will thrive when others are blaming the winter.”

One simple proverb says, “You make time for the things that are important.” Klaussen’s advice is spot on. In a season of seemingly slow movement, there is someone contemplating a move. Getting and nurturing those leads now are the key to closings in the months to come.

Research shows the average home search takes 12 weeks, that means now is a good time to explore opportunities on Trulia and social media sites while potential contacts are inside web-surfing and trying to stay warm (in most places).

2) Learn a New Technology

30 plus year real estate veteran, Diana Rugh says when she started in real estate, “Nothing was instantaneous.” She’s seen the development and incorporation of personal computers, smart phones, and many technologies into the industry, and knows that as consumers and the environment changes, so must agents. A slow sales season is a great opportunity for agents to get up to speed on the tech that will put them ahead on the next rush.

Diana recommends agents stay open minded, “Many people resist technology but your clients are all using technology. It’s hard to change but you have customers who are in different generations and you have to adapt to their different styles to stay in this business.”

3) Get in the Buyer’s Seat

In a presentation at NAR’s Annual Convention, Broker and Head of Trulia Training Ginger Wilcox says, “For the first time in a long time, I am a home buyer and things are different.”

“You need to have all of the home search apps your consumers are using,” she advised the audience of agents and managers, and that good advice extends beyond apps. For both listing and buyers’ agents, participating in a faux home search using consumer only resources can be a helpful experience to help understand how consumers are experiencing your ads and listings.

4) Talk Up Some Business

Erik Baier, an agent with BCK Real Estate in Rochester, VT, says during the slow season “I mention to at least one new person every day that I sell real estate.” And, we think he’s got the right idea. Word of mouth advertising is still king and now-a-days agents have more opportunity than ever to talk themselves up.

Jill Ann Perry-Zarborowski, Salesperson with Keller Williams Oceanside in Margate City, NJ, says conversation starter resources that should be on agents’ slow season list are, “Expired calls, mailers, open houses, facebook, blogs, [and attending] chamber meetings, socials…”

In addition, consider talking yourself up online. Tools like Trulia Voices and Trulia’s Social Search are great for taking advantage of the giving spirit of the holiday season. Perhaps you should ask your past clients for the gift of a good recommendation this season? Or maybe, you can give the gift of some good advice?

5) Sharpen Your Skills

The slow sales season is a great opportunity for agents to sharpen their skills. Mary Winnett Giroux, Realtor with RE/Max Encore in Wilmington, MA, says agents should, “Take classes [and] get better at what [they] do.”

Take advantage of free webinars on Trulia or check out what your broker or local association has to offer.

At the end of the day there is no off season, just time to practice different business building skills. What skills or other business building efforts are you working on this “slow season?” That is, if you’re having one.

By: Jovan Hackley, part of Trulia's Industry Education Team

Letter from NAR® President re: FHA Loan Limits

Last night Congress restored the loan limits for the Federal Housing Administration (FHA) for two years.

As you know, in late September the FHA, Fannie Mae; and Freddie Mac loan limits were reduced in 42 states pricing potential home buyers out of the American Dream of home ownership and holding back the housing recovery.

NAR immediately went to work with the goal to get the loan limits restored in Congress. For weeks that goal seemed unlikely.

You, and countless other REALTORS® like you along with YOUR leadership and YOUR management team worked to educate Congress that well-qualified buyers didn't need yet another hurdle to access affordable mortgage financing.

They finally listened. Because we were persistent. And because we were right.

The reinstated FHA loan limit formula and cap change will help make mortgages more affordable and accessible for hard-working, middle-class families in 669 counties in 42 states and territories, where the average loan limit reduction after the reset last month was more than $68,000. The provision reinstates the FHA loan limits through 2013 at 125 percent of local area median home prices, up to a maximum of $729,750 in the highest cost markets, the floor will remain at $271,050. However, Congress chose not to apply the loan limits restoration to Fannie Mae and Freddie Mac. Fannie-and-Freddie-backed mortgages will remain at 115 percent of local area median home prices up to $625,500.

The bill also provides for a short-term extension of the National Flood Insurance Program through December 16, 2011. NAR will continue to press Congress to use the additional time to complete their work on a five-year reauthorization of the program, which ensures access to affordable flood insurance for millions of home and business owners across the country.

I know that when we work together we can accomplish anything we set our minds to in order to preserve, protect and defend the American Dream of Home Ownership.

Because of your excellent work, I am continually reminded that “REALTORS® are the Heart of the Deal.”

With much appreciation,

Moe Veissi
2012 President
NATIONAL ASSOCIATION OF REALTORS®

Real Estate Marketing - Persuasion or Education?

By : Tara Revell 

Grab a pencil and draw a line down the middle of your paper. On one side of the paper write the word "Fears and Concerns". Now, on the other side of the paper write the words, "Hopes and Dreams." Take a moment and think of all the fears that your prospects or clients might have when buying or selling a home and write them in the "fears and concerns" column. Think of all their "hopes and dreams" and write them down in that column. Now you have the basis from which all real estate marketing should originate. Remember that real estate marketing is not selling, persuading, hypnosis, or anything else you could possibly think of that would be against someone's will. It's about educating the client why you are the best real estate agent or broker to do business with. Last time I checked, you were awesome. I'm not just saying that, I mean it. You are on the road to becoming a Top Producer, you provide incredible world class service regardless of your clients income level, and you are just an all-around awesome woman. Now not to gossip, but we both know there are real estate agents out there who are not awesome. And because you have such a great moral work ethic why would you want anybody working with someone who is not as awesome as you? You simply wouldn't. Back to the list. Every time you write an e-mail, newsletter, your script for a listing presentation, etc., you want to speak to your client's fears and concerns. Bring them up even before they ask. The majority of the fears and concerns are the same with all clients. By speaking to their fears and concerns your building rapport and they feel that you understand them. Once you have addressed their fears and concerns you will want to lead them into discussing and focusing on their hopes and dreams. You'll never want to end a conversation with your client on a negative note having only addressed their fears and concerns. This is like going to a restaurant and eating your chocolate desert first, then followed by eating the most disgusting vegetable you can ever think of. You will leave with a bad taste in your mouth. Don't let your clients ever leave you with a bad taste in their mouth. Always end the conversation with your clients by focusing on their hopes and delivering the outcome of their dreams.

Author Resource:-TopWomenInRealEstate.com helps women real estate agents and brokers maximize their business by utilizing marketing, selling, and business strategies from the best in the industry.

Article From Articles Arsenal

How to Succeed in a Down Market – Words of Wisdom From a 30 Year Veteran

My mom, Diana Rugh, has been a real estate agent for more than thirty years. In my early twenties, I sold real estate with her in Arizona and thought I knew everything. I found out pretty quickly, not only was I wrong, this business isn’t nearly as easy as many people think. If you have been in the business for any length of time, you know surviving 30+ years isn’t a small feat. Recently, I sat down and asked my mom how she’s survived the down markets. She shared these words of wisdom:

(1) Be Persistent 

It’s easy to get discouraged when times are tough, but persistence is key. “I’m too stubborn to quit,” my mom says. “Many agents are discouraged, I’ve been there too. This market is really hard, but I see agents who stop doing the tasks they need to do most. Failure is not an option for me. The only way to survive this kind of market is to keep pushing on. Inactivity won’t make it better.”

(2) Be Consistent About Prospecting

It’s easy to get discouraged when times are tough, but persistence is key. “I’m too stubborn to quit,” my mom says. “Many agents are discouraged, I’ve been there too. This market is really hard, but I see agents who stop doing the tasks they need to do most. Failure is not an option for me. The only way to survive this kind of market is to keep pushing on. Inactivity won’t make it better.”

“Consistent prospecting is key in this business. We get so excited to get a deal, we forget that we still need business next week, next month and next year.” Without a doubt, we’ve all been there. When we get an active transaction, we have to make sure our customers are properly cared for and the transaction successfully closes but we can’t lose site of future business. I asked my mom how she takes the time to focus on the business development. “It’s not easy, she said, “Schedule prospecting every day and don’t let it slip out of the schedule.”

(3) Focus on the People

When you are paid on commission and you have a family to feed, it is not always easy to focus on the people instead of the paycheck. “My clients aren’t dollar signs, they are people. If I can help them, the compensation will come, both in terms of money, but also helping my clients reach their goals. There are days when this business is not worth the paycheck. If you focus on the paycheck instead of the people, the business won’t be rewarding, and it certainly won’t pay off long term. Your customers know when you see dollar signs in their eyes, and when you genuinely care.”

(4) Plan

Plan for the down markets. “The market is really difficult, but people still buy and sell real estate,” Diana said. “You need to be banking it away when it’s good and not overextending yourself. You always have to plan for months without a check. You also have to plan for taxes, and for business overhead that doesn’t go away in the down market. When times are flush, plan ahead for the future. Planning and saving will keep you in this business for the long term.

(5) Adapt

The business changes and your customers change over time. “When I started in real estate, we had a computer without a screen and listings came in a book,” Diana said. “Nothing was instantaneous. Many people resist technology but your clients are all using technology. It’s hard to change but you have customers who are in different generations and you have to adapt to their different styles to stay in this business.”

It’s not easy to prosper in this business for 30+ years, but she continues to adapt and learn new ways to grow her business. “Always be learning,” my mom says, “It’s essential to long term success.”

Author:  Ginger Wilcox - Head of Industry Training at Trulia

5 tips for assessing a lowball offer - Know when to counter, when to ignore

Inman News

Your house is for sale for $350,000, and you're confident it's well-priced. You get an offer, but it's for $300,000, and you're stunned and disappointed by how low it is.

If your first instinct is to feel insulted and to hurl an epithet -- don't, said Jeffrey Stanton, a real estate instructor based in Modesto, Calif., and Staten Island, N.Y. Stanton's company, Your Professional Development, teaches courses in negotiation techniques.

That seller might still end up with an acceptable sale price, Stanton said: The key is being ready.

Five things for home sellers to know about lowball offers:

1. It's critical in this market for sellers to be prepared for the possibility of an unacceptably low offer, Stanton said.

This is the job of the seller's agent -- managing expectations and emotions -- and too often this particular educational task is overlooked, with uncomfortable, potentially time-wasting results for all, he said.

"Most agents wait for an offer and say, 'Oh, shucks, now I'm going to have to present this to my seller,' " he said.

Not only should the agents tell the homeowners to be prepared for a low offer, they need to come to agreement on just what constitutes "lowball."

"Each market is going to be totally different. In one, it may be 5 to 10 percent below list. In a different market, it may be 30 percent below list," Stanton said. "That's a unique conversation that has to happen between agent and seller."

2. Lowball offers may have any number of motivations, and sellers shouldn't automatically presume they stem from somebody's desire to be insulting.

"A lot of times, a lowball may be all the buyers can afford," he said. "It could be an investor or a buyer looking to steal the property, or a buyer who really likes your property and is just taking a shot at it, never knowing if you're going to say yes or no.

"Just don't take it as them disrespecting you."

3. If the initial offer seems out of the question, should the seller just ignore it or make a counter?

Stanton said that some negotiators suggest making no written response at all, which tells the would-be buyer that the offer isn't even being considered, in order to get across the point that the offer must increase considerably. The thinking is that the most powerful thing an individual can say is, "If it's that low, I'm not selling," Stanton said.

But he suggests that buyers in such cases make a counteroffer.

"You want to keep the negotiation lines open, so come back with something," he said. "If the house is listed for $350,000 and the offer is $300,000, the seller may want to counteroffer at $345,000, just to see what the buyer is going to say."

4. In such a case, the next move will be revealing, Stanton said.

"One of the signs in negotiations is how much of a move they make," he said. "The smaller the move, the closer that person is to his goal."

Take the aforementioned counteroffer of $345,000, he said. If the buyer responds to that one with $305,000, usually it can be interpreted as the buyer not having much price flexibility.

But if that (buyer) response is $320,000, that's a big move, Stanton said. And if the countering continues but the buyer goes up only to $322,000, he's probably near his limit, he explained.

5. Another technique right at the beginning of the whole process might save everyone time, Stanton said.

If the buyer's agent tells the listing agent that he or she is going to present an offer that's significantly below the asking price, "then I absolutely would require that the other agent present that offer in person -- I'd say, 'Be here tonight at 7 o'clock,' " Stanton said.

If it's a true lowball offer where the buyer is just fishing for a price and the agent knows it, it might speed things along if the agent's presence is required, rather than just faxing the offer, Stanton said.

"The buyer's agent will say, 'Let me get back to my buyers,' " Stanton said. "It's called a problem transfer. I'm going to take my problem -- that lowball offer -- and transfer it to the agent. All of a sudden, that $300,000 offer has turned into a $320,000 offer.

"You'd be surprised how often that actually works," Stanton said.