Every business relies on LEADS to bring new "Listings" (Customers/Clients) and must develop appropriate LEVERAGE in order to sufficiently navigate the intricacies of the business and serve the needs of the clients.
We build LEVERAGE through:
- adoption of sound MODELS (Success Leads Clues - follow a business model that is working for other professionals in your field - MREA)
- Innovative creation of SYSTEMS which enable EFFICIENCY and FLOW so that the mechanical aspects of our business happen automatically in a uniform and consistent manner
- Our relationships with and THROUGH PEOPLE
Many folks understand LEVERAGE in theory, but have great difficulty when it comes to implementation because of those darned LIMITING BELIEFS swimming around in their heads and coming from other people in their environment.
A few of those limiting beliefs might be:
"It's costly and I don't have enough MONEY to sufficiently leverage my business."
"If I have to HIRE someone, I'll have to TRAIN & MANAGE them, I don't have TIME for that!"
"I don't know HOW!"
Done right, Leveraging your business does not have to cost a bunch of money or time and is not all that difficult.
"Bartering is a medium in which goods or services are directly exchanged for other goods and/or services without a common unit of exchange (without the use of money).[1] It can be bilateral or multilateral, and usually exists parallel to monetary systems in most developed countries, though to a very limited extent. Barter usually replaces money as the method of exchange in times of monetary crisis, when the currency is unstable and devalued by hyperinflation. Bartering is still common in the present, usually used within the Internet on sites like Craigslist.[2] "
You scratch my back and I'll scratch yours.
My favorite termite inspector leverages my time by handling the termite inspection without me having to meet him by dealing directly with my Sellers . . . He gets a LOT of business from me because I tell ALL of my REALTOR friends how great he is. He's leveraging my time while I leverage his Lead generation.
My favorite home inspector does the same . . . and is a very reliable resource when I need home maintenance advice and/or referrals for sub-contractors.
My favorite home maintenance company bids any work I might need within 24 hours of my call ALWAYS and has NEVER failed to complete the work on time . . .and he handles the details directly with the client.
My favorite Title Company handles virtually ALL of my contract to close details by maintaining contact with all parties to the transaction and solving issues as they arrise . . . They call me weekly to up-date me.
A tech savvy newly licensed agent can barter with a seasoned veteran . . . "I'll spool you on the current technology and set up your leverage SYSTEMS while you MENTOR me to develop my business"
NONE of this costs extra MONEY or TIME!
Where do YOU need leverage?
What do you have in your "bag of tricks" that you can trade for what you need?
"Get this" bartering/leverage thingie, and you'll find yourself with plenty of time for generating ample leads to fuel an extremely lucrative career.
I'm just sayin'
Best,
b
Barry Owen Principal Real Estate Broker Keller Williams Realty 30 Burton Hills Blvd Suite 175 Nashville, TN 37215 - Green Hills
Simply & BOLDLY Living the FourFold Way in Open Space!
Quintessentially connected to the real estate industry to offer the ultimate experience for Home Buyers and Sellers in Middle Tennessee . . . Inquire within!
She said that the Senate passed the bill to extend and expand the tax credit for home buyers . . . Now, it'll go back to the House of Representatives and then to the President's desk for signature.
My internet research for validation of the rumor netted nil, so I am still a tad hesitant to sing out victorious yet.
BECAUSE . . . I don't trust politicians :-)
Anything could change in the bill, and there's still a chance it could stall in the house . . .
Let's just hallucinate together for a few minutes and imagine that it's true (Pinch yourself).
Last I saw (Excerpted from the Tennessee Association of REALTORS weekly news digest), the bill under consideration looks something like this:
Credit available for purchases before May 1, 2010. Prospective purchasers with binding contracts in place as of April 30, 2010 will be allowed an additional 60 days to complete the transaction.
Credit remains at $8000 for first-time purchasers. No change to definition of first-time purchaser.
New $6500 tax credit for repeat buyers who purchase between December 1, 2009 and May 1, 2010. Repeat buyers must have lived in their homes consecutively for 5 of the previous 8 years.
Income limits are expanded to $125,000 on a single return and $225,000 on a joint return. Current law $20,000 phase-out retained.
New anti-fraud limitations are imposed.
We (Professional Real Estate Experts) all have until April 30 to help the general public understand the new rules well enough to perform quickly enough to be able to take advantage of this.
I'm assuming that most of these "repeat Buyers" will need to sell a house before being able to buy another . . . and most markets are typically darned slow (seasonally) between now and April 30.
A possible "silver lining" is that there's an extra 60 days built in for the closing - thus actually adding @ 30 days extra marketing time - thereby leaving 30 days for loan approvals (cutting it tight).
Just for kicks, what kind of new purchases might start happening as a result of this new legislation?
Who will potentially start buying as a result of this?
Who do we need to educate about the benefits of listing their house TODAY so as to be able to sell it soon enough to take advantage of this tax credit?
We research and find those who have owned a home for 5 consecutive years within the past 8 years.
Let's just say they've all got great credit, and they can qualify for a mortgage of @ 1/3 of their income . . .
$125,000 income limit for single return - $10,417/mth x .33 = $3437.50 Mortgage payment ... This takes them in range for a $300,000-$500,000 home purchase.
$225,000 Income limit on a joint return - $18,750/mth x .33 = $$6187.5 Mortgage payment . . .
HOLY COW!
So a couple filing jointly can potentially (in my market assuming 5.5% interest rate) buy up to nearly a MILLION dollar home and be eligible for this $6,500 tax credit.
What segments of your market are stagnant these days?
In ours, it's that middle range and high end from @ $300,000 and up.
Many of the repeat Buyers who are interested in moving are frustrated with the inventory out there because much of it is "old and stale" . . . an influx of new listings might just start a little fire.
so . . .
Don't wait!
NOW is the time to LIST HOUSES because 5 1/2 months is NOT much time considering it includes ALL of the holidays AND the Winter ...
List them - Get them under contract - and find a new home for the Sellers by April 30, 2010.
As we sometimes say here in the South: "THAT dog'll HUNT!"
I'm just sayin'
Best,
b
Barry Owen Principal Real Estate Broker Keller Williams Realty 30 Burton Hills Blvd Suite 175 Nashville, TN 37215 - Green Hills
Simply & BOLDLY Living the FourFold Way in Open Space!
Quintessentially connected to the real estate industry to offer the ultimate experience for Home Buyers and Sellers in Middle Tennessee . . . Inquire within!
Whether the economy is rolling along swimmingly or bucking like an angry Bull, some areas in your community always seem to "perform" better than others.
Values hold relatively steady and sales continue to happen.
These are the areas in which folks want to work and live especially when times get tough.
What of the other, less fortunate areas of your town?
Some "fickle" pockets were doing quite well in the good times, and screeched to a sudden HALT with the market shift . . . while other "Problem" areas just never seem to gain much traction in any economic environment.
Business people (REALTORS) tend to migrate towards the resilient areas because, after all, we DO have to eat therefore we go to work in the areas where inventory is selling (or get out of the business).
The issue with this as a business strategy is that those "stronger" markets get crowded, and this scenario quickly creates an ever-increasing gap from the increasingly depressed areas.
Why should the average REALTOR CARE about the depressed market areas in the marketplace?
Wouldn't it be easier to put on the blinders and stay on the path of least resistance . . . in a market segment where the work is more enjoyable and ALIVE?
I can think of a few good reasons to pay attention to these depressed pockets:
Great business people effect CHANGE in their communities and CREATE markets in Dead Zones. This is a HIGHLY LEVERAGED strategy for HUGE success. It requires high risk tolerance and patience and HARD WORK, but pays off in the long run with HUGE financial gains and a better place for everyone to live.
The depressed pockets in your market "bring down" the overall market success ... and may ultimately negatively affect the popularity of your city or community for incoming family and business relocation.
I believe that REALTORS and other business people are quintessentially positioned to be powerful influencers when it comes to creating stability in their cities.
We ALL have the capacity to build our communities.
Our community is our collective legacy.
How do we do this?
Instead of putting on the blinders and running AWAY from the problem, how 'bout running TOWARDS it with the sole purpose of discovering wherein lies the real root of the problem?
ACTIVELY and INTENTIONALLY engage yourself in being a part of the solution.
You can do this at any level from working on the streets with people in poverty to joining Boards of Directors of organizations which have the potential for effective positive change.
If you don't know of any organizations doing the "right stuff", start one!
I think if you really want to do this right your first move should be a visit with Principal and Parent Teacher Association Leader (If there is a PTA) of the local Elementary School . . . then the Middle School . . . then the High School . . . and ask them questions about their student body . . . LOTS of questions.
This is where you will learn what is REALLY going on the community. You'll learn more about the socio-economic make-up of the area and what the real root problems are.
Identify the SINGLE issue (opportunity) you discover in those meetings that tugs on your passion strings and commit yourself to CHANGING it in a positive way.
Move in concentric circles out from the school and work your magic.
Create a stir within the larger city to bring awareness to the issue and passionately advocate to the community leaders to join you in your effort.
Find Corporate sponsorship and support.
Make the SCHOOLS the focal point of everything you do - The gathering place . . . The "Safe Place" in the community.
All of this will result in a better market . . . a better city . . . and a REAL legacy.
I'm just sayin'
Best,
b
Barry Owen Principal Real Estate Broker Keller Williams Realty 30 Burton Hills Blvd Suite 175 Nashville, TN 37215 - Green Hills
Simply & BOLDLY Living the FourFold Way in Open Space!
Quintessentially connected to the real estate industry to offer the ultimate experience for Home Buyers and Sellers in Middle Tennessee . . . Inquire within!
The short answer is that you probably cannot ever have too many leads.
Gary Keller emphasizes this with the "Over-kill ALL the time" approach.
If you're not reaching your goals each month and you have high anxiety that you don't have enough prospects in your pipeline, you are going to need to DO something about it and quit fretting.
We are entering that part of the year when NOW income is especially desireable, right?
I am coaching with several folks who brag of a "full pipeline" of leads for "after the first of the year" and are approaching panic when they think about the next 2 months.
When I wrote about "REALTOR Holiday" a while back, my challenge was for you to continue to lead generate CONSISTENTLY . . . ALWAYS!
If you are anxiety laden, you don't have enough of something . . . leads, prospects, clients . . . What is it?
Here's what I often hear:
"I have PLENTY of leads . . . I just don't have many prospects for the next few months, and I need money NOW!"
Here's how I respond:
"Quit whining! Your problem is that you do not have enough leads!"
So . . .
It's time to step out of your comfortable little zone and start doing some DIFFERENT things to generate MORE leads.
Oh yeah! . . . LOW COST ideas . . .
Knock on doors in your Target Area of Expertise.
Hang out with the "Natives" by hosting a Pot-Luck party for your target area on a random afternoon - Do this BEFORE the "normal" holiday parties commence. This takes very little coordination effort and is a very low cost way to come into contact with your sphere.
Announce your "Holiday Potluck Party" by going door-to-door with a flyer for it . . . Encourage everyone to bring their whole families.
Invite your "Mets" database to the party (through Facebook or email invitation).
Oh! . . . Be sure you've got a few of your "For Sale" signs strategically placed to stimulate random discoveries by the attendees that might lead to conversations about real estate,
Host Open Houses in your Target area during the week when people are coming home from work (4-6 or 5-7) . . . Use reflective pointer signs (It's getting dark EARLY).
Talk to strangers!
Attend every function you hear about in your community.
Don't be bashful . . . Be BOLD!
ASK for appointments!
ASK for Referrals!
OK!
Now quit stewing about things and get out there and DO this. There's no time for procrastination whatsoever . . . I figure you've 2 good weeks to get this ball rolling.
I'm rootin' for ya!
I'm just sayin'
Best,
b
Barry Owen Principal Real Estate Broker Keller Williams Realty 30 Burton Hills Blvd Suite 175 Nashville, TN 37215 - Green Hills
Simply & BOLDLY Living the FourFold Way in Open Space!
Quintessentially connected to the real estate industry to offer the ultimate experience for Home Buyers and Sellers in Middle Tennessee . . . Inquire within!
Wikipedia tells me Halloween "celebrates the end of the "lighter half" of the year and beginning of the "darker half" . . . has some elements of a festival of the dead. . . . Some believe that the border between this world and the Otherworld becomes thin on Halloween, allowing spirits (both harmless and harmful) to pass through. The family's ancestors were honoured and invited home whilst harmful spirits were warded off. It is believed that the need to ward off harmful spirits led to the wearing of costumes and masks. Their purpose was to disguise oneself as a harmful spirit and thus avoid harm.
Halloween is "also a time to take stock of food supplies and slaughter livestock for winter stores. Bonfires played a large part in the festivities. All other fires were doused and each home lit their hearth from the bonfire. The bones of slaughtered livestock were cast into its flames.[10] Sometimes two bonfires would be built side-by-side, and people and their livestock would walk between them as a cleansing ritual.
Another common practise was divination, which often involved the use of food and drink."
Hmmm . . . I believe Halloween is a pivotal day in the definition of your success in the coming year (2010).
Each Halloween marks the "right" time for you to cast your vision for APRIL 1 - 5 months away . . . and to prepare yourself and your business to maintain your momentum through this "Darker Half" of the year.
Ward off those evil Spirits who would try to distract you . . . Spirits that might invoke:
Seasonal Depression
Loss of focus on key Business habits
Offering you permission to party in lieu of keeping your eye on your goals
Providing limitless opportunities to over-spend, over-eat, and drink excessively.
Have fun, but tame those Spirits beginning NOW.
The last thing I want for you is for you to "wake up" some time in January and realize that you are deeply in debt with few (if any) viable leads for your business . . . in a cold sweat of fear.
So . . .
Go ahead and set yourself a BIG GOAL for the month of April 2010 . . . and then set a goal for March - Then February - Then January - Then December - Then November . . .
And beginning TODAY, set your sights on that April goal and GET MOVING!
That BIG April goal will pull your through your "way-points" of the other months and the "Darker Half" of the year.
I'm just sayin'
Best,
b
Barry Owen Principal Real Estate Broker Keller Williams Realty 30 Burton Hills Blvd Suite 175 Nashville, TN 37215 - Green Hills
Simply & BOLDLY Living the FourFold Way in Open Space!
Quintessentially connected to the real estate industry to offer the ultimate experience for Home Buyers and Sellers in Middle Tennessee . . . Inquire within!
Terrazzo is a high end Luxury high-rise condominium building in the heart of Nashville and is one of several which are struggling to find buyers willing to pay their prices.
Below are a few excerpts from the article . . .
"Facing sluggish sales of its 117 luxury units, up to 30 units in The Gulch’s $68 million Terrazzo will be sold at auction next month.
Bill Barkley, president of Crosland’s Tennessee division, which developed Terrazzo, said the event “offers Terrazzo the opportunity to sell a significant number of condominium homes and instantly build the growing community at Terrazzo — all in a single day.”
Since sales began this spring, 13 Terrazzo units have sold.
Minimum offering bids will range between 40 percent and 50 percent of list price . . .
' . . . the event is designed “to offer buyers the opportunity to establish the purchase prices for these selected residencies.”
In a market where there is virtually nothing to hang your hat on with respect to "Basis of Value", your choices are:
to hold'm and wait for a better day . . .
Fold'm . . . Throw in the towel and file for bankruptcy or step aside for foreclosure
or get creative to find the price that'll actually get the job done.
This is not an issue that faces only high end condo buildings in Nashville, TN.
We have several market slices in which ALL of the available inventory of available homes are priced above what the Buyers are even willing to entertain . . .
And all the Sellers are sitting on the market at those prices because to them "It's not fair that I paid $400,000 for this house 3 years ago, and the Buyers keep offering $360,000. Don't they understand?"
Hello Sellers!
It's not the Buyers who are failing to understand, it's YOU!
There's no level of fancy incentives or schmancy staging (although Staging helps) or marketing or secret voodoo that will overcome pricing objections in a market that has no established basis of value.
Several months ago, I called such a market a "Zero Basis" market ... meaning that there have not been enough sales to justify ANY price. The only thing we know in such markets is that the Buyer's opinion of value is significantly lower than the average Seller's opinion.
What's the magic number?
This move by Terrazzo is an effort not only to reduce their inventory and add some liquidity to their coffers but also to find the new value basis for future sales.
My rants months ago were a pleading for Sellers to "Get" this concept.
Terrazzo understands that they've gotta set the bar pretty low (40-50% of current pricing) to generate enough attention to get some real action.
They are already getting some REAL action ... I heard about this auction through my REALTOR network a long time before the story went to print.
Whether it's a true auction or not . . .
a "zero basis market" calls for drastic action . . .something that will cause an "auction effect"
It's the sellers who are ready, willing and able to plunge their prices 25-50% who will provide the "buyers the opportunity to establish the Purchase Price".
The risk is high . . . What if you drop the price 25% and nothing happens?
You will have learned something . . .
You can't create Buyer motivation . . .
You can only FIND MOTIVATED BUYERS!
and they are crafty little fellas who know how to hide in an inventory laden market . . .
The Terrazzo is banking on their strategy to bring the Buyers out of the woodwork and woo them into fessing up to their REAL opinions of value.
Like it or not . . . This is what needs to happen right now to move some of this inventory.
I'm just sayin'
Best,
b
Barry Owen Principal Real Estate Broker Keller Williams Realty 30 Burton Hills Blvd Suite 175 Nashville, TN 37215 - Green Hills
Simply & BOLDLY Living the FourFold Way in Open Space!
Quintessentially connected to the real estate industry to offer the ultimate experience for Home Buyers and Sellers in Middle Tennessee . . . Inquire within!
Did cave man write all the people he knew on the wall of the cave?
Then stone tablets . . .
Papyrus . . .
Paper . . .
Index cards . . .
Computers with spreadsheets . . .
CMS - Conatact Management Software . . .
Now, Social Networking sites - Facebook, Linkedin, Twitter etc
and now it seems to be melding into a hodgepodge of most of the above - excluding the cave wall, stone tablets, and papyrus.
Efficiencies have been changing over time.
"The Why of having a database" hasn't changed in all of this time - To create a "book of business" for your business. The database is where the value of your business lies.
The database appears to be not much more than an amalgamation of names and contact information, but what it really is is a shorthand version of all of the relationships in your personal and professional worlds.
The challenge throughout time for most business people is the organization of all of these people they know.
The truth is, the database and organization and utility thereof is a way of expanding your personal "Span of Influence" . . . Because it offers you a way to systematically communicate with all those folks who contribute or receive VALUE to/from YOU.
Of all of the iterations of the database, I am intrigued by the simplist form . . . Just moving about your personal sphere of influence on a regular basis results in the "touching" of the people of the database.
In large part, Facebook, Linkedin, Twitter check this box for many folks . . . whereas as recently as 12 months ago, the conventional wisdom of communicating by direct snail mail and direct email was the "way".
Now, we are learning from those Generation Y "kids" who are ultra connected to each other because they have electronic devices of every type graphed onto their bodies at all times and live in a world of incessant communication through texting and gaming . . . Electronic interaction.
The exhasperating part of this change for all of us "Old Farts" is that these young Bucks seem to be literally ROCKIN' with their businesses.
How do they keep in touch with everyone without any apparent organization or system?
The answer (I think) is that they are ALWAYS connected . . . Hmmm . . . I'm not sure I buy that as a long term strategy for success because I am still relatively attached to the concept that we need periods of FOCUS to be most effective.
So . . .
My Database is morphing into a different thing than it was just months ago . . .
It has become an assemblage of all of the people I have connections with in Gmail, Plaxo, Facebook, Linkedin, and Twitter . . . I now see "categorization" of all of these folks as being essential . . . so that I can systematize my communication with the folks who are "most important" to my personal and business relationships.
My Inner Circle of @ 275 folks will still get my intentional 33 touch (Managed with Task Lists on Gmail).
My targetted geographic Sphere will get the 12 Direct by Post . . .
Everyone else is in this swirling cacophony of social networks.
Next week, it'll probably all change again :-)
I'm just sayin'
Best,
b
Barry Owen Principal Real Estate Broker Keller Williams Realty 30 Burton Hills Blvd Suite 175 Nashville, TN 37215 - Green Hills
Simply & BOLDLY Living the FourFold Way in Open Space!
Quintessentially connected to the real estate industry to offer the ultimate experience for Home Buyers and Sellers in Middle Tennessee . . . Inquire within!
As we approach the end of the first third of the last third of 2009 officially marked by Halloween, BEWARE!
Many folks begin conjuring up many reasons to take their "eye off the ball" of their business thereby putting it to sleep for a long, winter nap.
This lack of activity is especially easy to justify this year.
After all, it HAS been a very challenging year, and I know everyone is TIRED, TIRED, TIRED.
"Seasonal depression" offers a good solid reason (The best antidote for that is to get out there and stay busy)
Thanksgiving, Christmas, and New Years are all just around the corner, and these all provide myriad distractive opportunities . . .
I call this "REALTOR Holiday" because independent contractors seem to be the WORST at shutting down their businesses in the "off season".
This is lunacy for anyone who intends to make a career out of this business because it stop the train, the momentum . . . and your financial obligations actually INCREASE during these 2 months.
I have children and "get" the real truth that they will be out of school for over 2 weeks in December and January.
I also understand that there will be many parties and details to attend to . . . Carving pumpkins, decorating the house THREE times (Halloween, Thanksgiving, Christmas), Celebrating Thanksgiving and Christmas and all of the travel to visit with friends and family that may ensue during this time.
I ain't no Scrooge . . . I know because I live in the same world that you do.
so . . .
There's ONE thing you are NOT off the hook with . . . LEAD GENERATION!
No matter how busy or distracted you are with the holiday activities, you MUST continue with your goal to have 15 conversations EVERY day (5 days each week) about real estate.
Doesn't matter to me who these people are . . . as long as at the end of the conversation, they are more aware of how YOU can best serve them, their friends, family, and work associates in your business capacity.
The holidays are THE NUMBER ONE opportunity for the year to build your database and initiate communication with every person in it . . . after which, you simply must continue to communicate with these folks in a systematic way throughout 2010.
So . . .
no excuses . . .
While the other bears are sleeping, you'll be raking in the relationships (Because ALL relationships are available to the folks who stay in touch) . . .
and when Spring springs and the others are working feverishly attempting to awaken their businesses and whining and complaining about the mountain of debt they now have after 2-3 months of excessive spending and nominal income, you'll be chugging along completing deals right and left.
Business really IS simpler than most folks make it . . .
Gary Keller put it into a VERY short "list"
Know your BIG WHY!
LEADS, LISTINGS, & LEVERAGE
Lead Generate EVERY day - Set Appointments, get referrals, & Build relationships that lead to business
Build a database.
Feed the database every day
Communicate with the people in that database in a systematic way.
Service all leads that come.
Lead with REVENUE! You'll "win" the financial part by keeping costs low.
and Mo adds:
"BE NICE!"
I'm Just sayin'
Best,
b
Barry Owen Principal Real Estate Broker Keller Williams Realty 30 Burton Hills Blvd Suite 175 Nashville, TN 37215 - Green Hills
Simply & BOLDLY Living the FourFold Way in Open Space!
Quintessentially connected to the real estate industry to offer the ultimate experience for Home Buyers and Sellers in Middle Tennessee . . . Inquire within!
When you make an offer on something - ANYTHING, I understand your desire to KNOW an answer ASAP.
After all, you want it or you would not have gone to the trouble to make the offer.
Instant gratification seems to be an often expected result these days.
So we have this little "instrument" we call the "Time Dead-line", and it goes something like this:
"Here's my offer ... RESPOND to this offer no later than 3:00 tomorrow, OR ELSE!"
My first question is:
What's the "OR ELSE"?
Are you going to send Guido over to break my knees if I don't respond in time?
Will you scream and yell at me and call me bad names and question my professionalism?
Will you rant and rave and tell me I'm not following the rules?
Are you gonna "Tell on" me? (To the Manager - or Mommy)
Here's my take on this,
Time deadlines have their place as what I would call "creating inherent Urgency".
They often do what they are supposed to by adding a measure of urgency that might not otherwise be present.
The down side is that some folks don't RESPOND to tight time deadlines . . .
They REACT!
Do you really want to rush through a negotiation fueled by a series of reactions?
What will you really have at the end other than a bundle of nerves on both sides of the negotiation?
Some folks get REALLY ticked off when the offer they get isn't what they're looking for and to add insult to injury, there's this time deadline gun pointed at them . . .
They come out of the corner FIGHTING!
or they refuse to respond at ALL.
Think carefully before you impose your time-line on other people (unless you really DO have an emergency).
In case you haven't figured this out yet, other folks aren't particularly tethered to YOUR schedule.
I've figured out there's this interesting breed of Buyers out there I call "One hit wonders".
They shoot a LOW offer with a 6 hour deadline for response . . . If they don't get what they want, they RUN!
Hmmm . . . Go ahead and send Guido . . . I think I'm going to take the time I need to respond intelligently.
I'm just sayin'
Best,
b
Barry Owen Principal Real Estate Broker Keller Williams Realty 30 Burton Hills Blvd Suite 175 Nashville, TN 37215 - Green Hills
Simply & BOLDLY Living the FourFold Way in Open Space!
Quintessentially connected to the real estate industry to offer the ultimate experience for Home Buyers and Sellers in Middle Tennessee . . . Inquire within!
There's a Swine flu of sorts hitting "Motivated" Property owners these days.
My suspicion is that this particular strain is as dangerous to the successful completion of a sale as H1N1 is to an immunity deficient child.
When the entire market is over-priced, the ONLY way to win is with price . . . PERIOD!
A bit of research yesterday on Lots available in a section of my market shows @ 150 MONTHS of inventory.
HOLY SHIMOLI!
What's that . . . about 13 YEARS worth of inventory at todays' rate of sales?
So . . . not surprisingly, many of these properties are owned by banks and are listed on the market at "fair Market Value."
When questioned as to how they determined this "Fair Market value", the asset managers have replied that they have "Recent appraisals" that support these prices.
So I go back to my computer to see how this could be.
Ah Yes!
300 properties available - 3 Pendings - 21 closed in the past 12 months . . . The closed ones "support" the value.
This is delusional thinking if I've ever seen it.
Here's what wikipedia says about Delusions of grandeur.
Delusions of grandeur, commonly seen in psychosis, may be seen as distinct from megalomania: a megalomaniac's overwhelming and excessive preoccupation with his or her own importance, though it may be considered pathological, is not necessarily delusional. A delusion of grandeur, if it is a true delusion, must meet the psychiatric criteria for delusion."
It's a wee stretch, but their motivation to recoup their initial investment is pure denial.
It simply makes no rational sense whatsoever to imagine that in this sea of available properties, theirs will magically rise to the top of the 150 choice heap for Buyers.
Just had the same conversation with a Seller who was very adamant about what he NEEDS for his property,and that he not accept a penny less . . . and what he NEEDS is @ 8% more than the market has demonstrated a willingness to pay.
hmmm . . .
Guess what folks!
(and shame on you banks who don't "get" this - YOU should know better)
If you want it SOLD, you don't get to put on your blinders and/or hermetically seal yourself in your own little hallucinized fantasy world in which you can create your own market just because of what you think you NEED.
You cannot ignore the reality.
You have 2 choices . . . Find the price point that will actually get the attention of the Buyers . . . or hold on to your property and wait for better weather,
A little tough love this morning, eh?
I'm just sayin'
Best,
b
Barry Owen Principal Real Estate Broker Keller Williams Realty 30 Burton Hills Blvd Suite 175 Nashville, TN 37215 - Green Hills
Simply & BOLDLY Living the FourFold Way in Open Space!
Quintessentially connected to the real estate industry to offer the ultimate experience for Home Buyers and Sellers in Middle Tennessee . . . Inquire within!
Stream of consciousness commentary on the real estate industry from the perspective of a principal Broker of a Keller Williams office in Midlle Tennessee - Also a Career Development Coach with vast Organizational Development/Transformation training and experience - in the industry since 1993
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