Apparently real estate is supposed to be slow right now. According to the media and many agents, I should not be doing much business. The sky is falling and the end is near, yet we're still going to close another 10 homes in December.

In every market across the country there are agents making good money, having success, doing good business. People are still buying and selling homes in your area this month. People are still going to move, no matter what the media says. So, the question is, how many of those people will you represent?

More and more people are moving inline to find homes, agents, information about real estate. And more and more they hate crappy template-websites that offer a bunch of keywords (text) to rank higher in search engines and have a horrible user interface (they are not fun to play around on).

My solution is to create an impressive custom website, and learn how to market the website and drive traffic to it, and learn how to convert the leads once they go onto your website.

My team has closed over 100 transactions in 2007 from our website, BlueRoof.com, even though the market is supposed to be horrible. If you want to learn how we've done it and would like help, let me know-

Beginning next month I'll begin helping people create a custom site and coach them on driving traffic and converting leads from their site.

Cheers!

Greg Tracy

greg@blueroof.com

801-699-6619

We're all prone to having our moments of weakness, where things aren't going our way or everything seems to be falling on us at the same time. Especially in a sales industry like real estate, with the financial ups and downs and the pressures that come with it, it can be draining emotionally.

Sometimes I need to retreat and spend time with family just to keep my sanity. Sometimes the pressure turns to anxiety and it's tough to stay focused on the road ahead. But I know that's precisely what I need to do to make things right and take care of my responsibilities.

This is one of the traits that I believe seperates those at the top of their game from the rest- the ability to focus under pressure. We're all busy and we all have pressure, but it's what we do with that pressure that makes the difference.

Do you fold under the pressure or do you focus?

Most people fold. They crumble and become less useful in every area of their lives. Most people have the inherent flaw of retreat during those times that they are most needing to perform. But in business this causes anxiety and stress and simply furthers the problem. Curling up into the fetal position and bawling like a baby will not help things get better, and while I can understand the natural tendency to do so, and can even relate to some degree- I keep a discernable barrier from the emotion of it all because I choose a different way of handling my pressure.

I see people throwing their hands in the air and giving up all the time in this business- sometimes for a day or a week and sometimes for good. People leave the business or go into hibernation because a deal went south on them or several deals fell apart at the same time. Or because they are going through a tough stretch with no business.

I have these same stretches where business seems to flow in rapidly and times when it seems like things are slowing down. When things aren't coming in though, I go out and I get business. And I think others who are at the top of their game, and the best in their fields do the same. They get out there and they take the bull by the horns and get things done.

-If you find a man at the top of a mountain, he didn't fall there-

I don't know who first said it, but I like it. Here are some things that I personally do to push through pressure...

Stay flexible in my approach but focused on my result.

I decide what the result is that I want and become determined to make that result happen no matter what. It's imperative to stay focused on the result I am looking for so I have direction and a way to clearly see whether or not I am moving toward that result.

My approach might change several times. Think of water finding it's way down a canyon side. It'll change direction a bunch of times but eventually it will find it's way to the lowest ground- and that's how I look at my approach and the way I reach my result. If something isn't working I'll change what I'm doing and then change again and again as long as I'm moving toward that result.

Take time.

When things catch up to me and the pressure gets heavy I take time, maybe ten minutes, maybe two hours, to relax and clear my mind so I can return to the issues from a different perspective. Sometimes I'll go to a movie in the middle of the day to forget about everything for a while and then when it's over I'm calm and can look at things again more clearly. Sometimes I take ten minutes and sit at a park or at home in silence and just think about the stillness and how big the world is around me and remember how small these problems are to the rest of the world. Somehow putting things in perspective against time and history helps me look at them in a better frame of mind.

Utilize my energy.

The pressure and stress I feel is all energy and I can choose to take that energy and use it to make me move. Sometimes I take that energy and turn it into anger because anger is such a strong emotion. I wouldn't suggest doing this unless you can compartmentalize well (as I do) so you don't end up taking out stress on those around you, but I've been able to take my energy and use it to get me off my butt and out there working.

Swallow my pride.

Sometimes I don't want to do the work because I don't like it. I don't like cold calling or knocking on doors anymore than the next guy, but when I need business I'll go out in the rain and knock doors asking for business if I need to. I'll call five hundred people in a day or hand out business cards to everyone I come across that day. There are usually more productive ways to spend my time, but I will exhaust every option and do whatever it takes to keep things going strong. This is the business I am in- sales. And in sales I am responsible for my own success- I have to go find it and that's what i signed up for when I took the career I did.

Reach high.

I don't suffer from low amibition. Sometimes I like to take a break and spend more time relaxing, but I keep my standards high and I maintain results that I can be proud of. Some people reach their goals well, but their goals are far too low for their ability and situation. Hey, if you need more- go out there and get it. Having high standards motivates me and keeps me from being feeling average.

Don't whine.

I can't stand when people stand around whining about how unfair things are and expect their lot in life to improve without putting in the work. Don't stand there and shout about it- get up and do something about it. I'll raise my voice if I think it's going to help my cause, but I'm not going to complain just to complain- I'll have a solution or some opinion I think will help the discussion. Whining is for suckers and the people ot the top of their game don't have time for it.

Keep my frame of mind.

It's important for me to stay in the right frame of mind and sometimes that means to just toughen up and stay numb to some of the distractions. I try to remember my talents and why I believe in myself. Not affirmation- dedication. And this can make all the difference in the world for me.

There will always be people out there that does more business than I do and make more money and have more time and blah blah blah- so what? I work hard because it makes me feel good taking care of my family and having success. And I like my work. Big reward often comes with big risk, and being in a commission-only sales position is risky, but rewarding for those who get off their butts and take charge of their career.

No matter what area of your life you find challenging right now- decide to change it and go do the work. If you expect to reach the top, any "top"- your "top", whatever that is for you, you can't be a wimp getting there.

The feeling we get from being in a community, or group of people with similar goals or interests, gives us an enthusiasm that we rarely find elsewhere. It's assuring to talk to other people who share our beliefs or have gone through similar experiences. We get that same feeling from family, being together as children and sharing our different experiences with each other and then as we grow and we continue to keep those relationships.

And blogging gives us that community as well. More so than a chamber of commerce or social gathering, and in some ways, even more so than family. Because blogging gives us honest feedback, anonymous feedback (when not on Active Rain) and an enormous support group where we can share, commend, gossip, criticise, laugh with/at and otherwise be together. And because we aren't related- there is a (sometimes) higher level of respect for each other. We don't know all of each other's weaknesses and vulnerabilities so they aren't an issue.

In some ways Active Rain is like a big chat room, but there's a place and purpose for that in our lives. And I think real estate people especially appreciate having this sort of network because of the special situations and pressures we feel being in our profession. Sometimes it's good to hear someone else say it's okay to feel that way or learn how to be more successful from people from all over the country in different markets.

Isn't that why we enjoy going to national conventions? It's why I like going- so I can meet people from all over and share ideas with them. Most people I meet at conventions aren't afraid to tell me their secrets because I'm in a different market so they aren't competing with me. Blogging, and Active Rain, gives us that same connection. I've learned a lot through blogging and it's opened some doors for me and I've met some pretty cool people through it. People that I've felt comfortable with because we could talk about things that interested all of us and mattered to us. People that I've come to know through words, ideas, and sharing experiences.

And sometimes that's as good as family...

If you haven't had the opportunity to participate in the Carnival of Real Estate I would recommend it. A blog carnival is, according to Wikipedia:

A blog article that contains links to other articles covering a specific topic. Most blog carnivals are hosted by a rotating list of frequent contributors to the carnival, and serve to both generate new posts by contributors and highlight new bloggers posting matter in that subject area.

The Carnival of Real Estate is where you/we as real estate professionals, or anyone, can submit our best posts and have them shared. The first real estate carnival was hosted by ZillowBlog and it's grown every week since. Submit your posts by Sunday by going here- and then come to http://www.blueroof.wordpress.com on Monday to see the carnival.

One of the things I really enjoy about the real estate industry is the co-opetition that exists between brokers. We are all competing with each other, yet we all need to work together and when it comes to certain topics (FSBO, DOJ lawsuits, Banks getting into the industry) we, as brokers, are largely united.

The last twelve months have been the most exciting I have seen in the industry (in my 13 years experience). There is a real energy in the industry right now with all the technology advances and the public now being so educated and with all the new competitive business models.

I don't necessarily like all the new agents that have flooded the market, but you take the good with the bad. And hopefully as the markets settle and all these new entrants feel the reality of what it takes to be successful in this business we'll see those numbers decline- besides the best will always do well in any profession because they will earn it.

And with all the new competition there is a real creative cultural movement going on where we are all thinking a bit more creatively and putting additional focus on our systems, service, and value. And this is ultimatley good for the consumer, and for us as professionals.

I can see it in the blogs. I began blogging about two years ago and at the time I felt like I was the only one. There were no comments because noone was listening. Today theblogosphere is becoming a powerful marketing force and more importantly, it's allowing us to communicate directly with consumers and understand how to become better at what we do.

And that's fun...

Around the country there are a lot of opinions around the housing market. And there are also a lot of facts and numbers. Noone will debate that new housing starts (the number of new homes initiated to be built) are down around the country. This is, of course a national trend, as local housing starts in some areas are still up.

**Side by Side- the National Trend compared to Utah's**

When new starts do decrease in an area, that's not always a bad thing for the economy, especially with a market like the nation is in now. The current national decrease in housing starts is different from the decreases we've seen in the past as this time it's mostly a correction.

BusinessWeek says:

"...this housing cycle is different. In the past, housing downturns have been the result of high interest rates and broad economic weakness leading to rising unemployment. This time, housing is going through its own cycle, largely independent of wider economic conditions. The economy outside of housing remains solid: Unemployment is low, household incomes are growing, and 30-year fixed mortgage rates, at a bit over 6.5% in mid-August, are hardly onerous."

And when new construction slows down it can help the resale market by making it easier to sell an existing home because there are fewer new builds to buy.

If you want to sell your 3 bedroom, 2 bathroom home with 2000 Square Feet that was built in 1998 for $325,000, but around the corner is a new home development selling 3 bedroom, 2 bathroom homes with 2000 SF for $315,000 it makes it tough to sell yours when buyers could just buy a brand new home for the same price. But if those new homes are all sold and there aren't any new homes in the area to buy- it makes it easier (in general) to sell an existing home.

And if more people can sell, and put some of that money back into the economy, that helps the seller and the economy. There is a case to be made on the side of the builders- that when builders are building they are employing people and paying wages, but the current unemployment rate is very low, at 4.8 percent. So these people are still finding work.

First, let me say that I think there are WAY too many people in the business and WAAAAY too many people getting into the business. I've posted about that recently.

I've been in the real estate industry for over thirteen years and I've sold hundreds of homes and I believe that I offer quality, professional, high-touch service for my clients. I'm available on my mobile phone day and night and on weekends and I return phone calls promptly.

My experience gives me the ability to guide my clients and negotiate well and I have a real knowledge about the markets I serve. This comes from years of experience and successes and failures and the examples and participation of hundreds of people I've worked with.

So why would someone choose to work with a brand new agent? Or even an agent who has been in the business less than a year or two? Are there advantages to working with these newbies?

Please keep in mind that this is an extreme generalization and of course, does not apply to everyone. Having said that- here are possible advantages of working with a newer agent.

They're hungry. They need the business and the money. If agent A has twenty homes under contract and seven listed properties and they list your home and it doesn't sell, they'll still be able to pay their bills. But if you list your home with a full time agent who doesn't have any other business and they spend money and time marketing your home and it doesn't sell- that's going to hurt them pretty badly.

They're determined.Real estate is a business where reputation means something. That's why there are so many Divas in the business. Some agents get their names in the newspaper all the time and are recognized every week at their company sales meetings as being a top agent and people in the business get to know their names. My wife was just featured on HGTV's House Hunters (now I get to hear about her gruelling shooting schedule and the life of a movie star for the rest of my life). And new agents, especially with bigger companies, see these agents getting all that attention and they want it too. They want to build a name for themselves and have their names in lights.

They have free time. As much as I pride myself on the high-touch service I give to my clients and as available as I try to be, the reality is- I do a lot of business and that means I am in meetings and working with clients and have things to do. Someone who doesn't have much else going on could call a seller twenty times every day just to chat, and they could do open houses Wednesday- Sunday every week from 10am - 6pm each day or they could stand out in front of Albertsons and hand out flyer's about the property if they wanted (not that too many people would). But I couldn't do that even I wanted to. And if a buyer wants to look at every home that comes on the market for the next seven months I am not the right agent for them. But a new agent with nothing else going on maybe wouldn't mind because they'd be able to learn the area and get the experience and learn the inventory.

They don't have bad habits yet. After doing something, anything, for a long time we develop certain habits. Many of these habits are good, for instance when I take a listing I have certain steps that I take to make sure all the marketing is ordered in a timely manner. I have done it so many times that it's just habit now. But there can be bad habits that form. Some agents tell a seller what to price a listing at- even though it's the seller's home and money. Or some agents have the habit of only calling their listing clients once every two weeks because that's how they've done it for years. Or they don't return phone calls or even answer their phones. New agents don't have these bad habits yet so they can be molded and you can tell them the way you want them to work with you.

They're friendly. I'm a pretty friendly guy and I've always been a people person. I enjoy crowds and I'm very social. And many Realtors are, but many are not. Many agents are unfriendly and impatient and just plain mean. And many of the Divas think the world revolves around them and they don't really care about other people because clients are just numbers to them. But new agents need the business and they need the money and want to help so you'll refer them to your friends and they know that they don't have the experience, so they'll kiss your butt and wait on you hand and foot to please you. They want you to like them and that's not a bad thing.

All things considered, I would rather have an experienced agent helping me with such an important transaction, but every top agent was once a newbie, and this is for all those getting into the business who really do care about doing a great job for their clients.

As members of the National Association of Realtors (NAR), we Realtors all adhere to a Code of Ethics, which is the most fundamental difference between being a Realtor and a real estate agent.

This "Code" gives everyone guidelines and rules and conduct. It also prevents Realtors from slamming other companies and/or telling lies to try to get business. It's not a perfect code, but it's important and it makes a difference.

Section 1-3 of the Code says that Realtors won't puff the value just to get the listing, or try to take the listing for less than it's worth to get a quick sale. Do some agents do that anyway- yes. But I'm glad we have a code that many of us care about and abide by.

Article 15 reads:

"REALTORS® shall not knowingly or recklessly make false or misleading statements about competitors, their businesses, or their business practices. (Amended 1/92)"

This means that they will not lie or speak without integrity about any company, including their own. But this does not mean that Realtors can not point out differences in their company and their competitors.

There are some business models I do not agree with. That is my privilege to disagree and it is important that consumers know what the differences are. When I speak to clients I tell them differences in a respectful way and also acknowledge that different people prefer different ways of doing business and there is no ONE right way. That's important. But it is important to educate people about the differences because they should know if I offer them more/different services than someone else.

And I think it is appropriate and healthy for me to discuss my opinions and have conversations about what I believe and how I think we, as an industry, can best serve the client.

Some agents want to hide behind the Code, or their own moral high-browing, and say that noone should say anything but positives about everyone else. That is ridiculous and those people may have something to hide. Others take it too far the other way and lie about the competition and that's even worse.

The Code is a guideline. And a guideline that I would hope most of us should not need because we use common sense. And it is also not a shield against open discussion and education, or being ignorant.

What is value-proposition? It's what you do that's different/better than your competitors. So how is giving good service going to make your value any better than your competitors? It's interesting how much marketing in the real estate business is devoted to saying what nobody cares about wants to hear.

"Top-notch Service"

"We put YOU first"

"FREE! Market Analysis"

"First-Class Service"

"Two Realtors for the Price of One"

"I Sell More Homes in (Add your city name here) Than Anyone"

"Top 1% Internationally"

Any of this originality sound familiar? They should- they're plastered on bus benches and shopping carts in every city across the country. And, a side note- those 1980's glamour shots make you look ridiculous (public service announcement).

Conduct a poll of 1000 home buyers and sellers and ask them how many of them chose to work with that particular agent because their marketing said that they offer "First-Class Service" or were in the TOP 1% Internationally and you'll probably have agents lining up to throw rocks at your results because they won't believe them.

"What do you mean NOBODY listed with me because of my "Selling Homes One Yard at a Time" marketing? Of course they did!

Agents won't believe this because we all want to think that other people care about how creative and clever our slogan's are or about how successful we are. "If they know that I'm a top agent they'll know they can trust and respect my service"- or maybe they'll think you're too busy for them. Or maybe they'll think that you have a slew of twenty assistants doing all the actual work in the office and they'll never hear from you again after the contract is signed.

Increasing value proposition is not about good service or being an agent who knows what you're doing. It's not about being one of the best in your field at negotiating or about how amazing your CMA looks. These things don't matter because they are all expected.

If you're looking for a landscaper would you be impressed with someone because they advertise, "We plant trees" or "Number one in sod- laying for the last five years", or if they had a slogan that said, "The Grass is Always Greener on our Side of the Fence" ? Or would be more impressed by seeing a list of past clients and referrals who loved that their jobs were done in less time, and on time, and for thousands less than other quotes you'd gotten?

Increasing value proposition is about giving people choices that will make/save them time/money/frustration. It's about surprising and delighting the consumer so that they are compelled to say, WOW! So they actually say, out loud, "Wow!". That's an increased value proposition.

Maybe it's an amazing website that allows them to find what they want more efficiently and increases their experience so much that it's actually really FUN searching for hours on-line for homes. Maybe it's a price point that surprises them and delights them so much that they say it. Or maybe it is the act of your service and the incredible attention you give them so that at the end of the transaction the culmination of your efforts draws out that validation of "Wow!"

Whichever way you do it- increasing your value proposition will be relevant in the RE 2.0 realm and it won't happen by giving the client what they would expect from anyone else.

Home Inspections at their best can save buyers (and sellers) a lot of headache and frustration. A good home inspector will test the outlets and check for gas leaks and make sure there aren't any leaks coming from those old pipes in the basement. And by catching problems, and potential problems, people can negotiate to make sure everything is fixed, or at least disclosed before a buyer takes possession of a home.

At their worst, home inspections can cause a lot of fighting, stress, and court costs. Even a good home inspector will miss things on occasion, and the not-so-good ones will miss things a lot, either because they're in a hurry or they forget to check something, or maybe they simply don't know what they are doing. Some try to fit too many homes into a day and get rushed from taking calls and scheduling the next week's inspections and fielding questions from clients, all while trying to conduct the inspection of the home they are currently in.

And when things are missed- people get upset. Naturally. Even when you counsel your buyers that home inspectors are human and can miss things and the inspectors have the clients sign a waiver basically saying that they don't guarantee anything and the inspection is really just an opinion (read the fine print), the buyer will still expect that this person is being paid because they must be an expert and this person should find most everything wrong with the house, or at least the big stuff.

Recently one of my agents represented a buyer who discovered, after moving in to their newly purchased home, that behind the wall in the living room was a fireplace shaft that had been covered over with sheetrock and paint. And on the roof it was visible where the previous sellers had patched this up. And the real problem was, the thing had been leaking for a while and there was mold behind there and water damage. In fact, the sellers not only knew about this and didn't disclose it, but they had actually drilled a few small holes in the side of the house to let water drain!

And the home inspector, even after supposedly checking the roof (with a basic walk around- not an actual roof inspection by a licensed roofer) did not see or report anything about the visible signs of patchwork on the roof or the holes in the side of the house.

Of course, the seller says they didn't know anything about this- it must have been the people who owned the home before them. Right...

So now the buyer is taking photos and making a report of the damage and preparing to take the sellers to court. And we are helping them prepare their case and giving as much detail and accounting as possible. But no matter how this all turns out for the buyer- they are going through a frustrating ordeal with their home being ripped up and the sellers lying about what they know and the cost and stress of court. And these good people will not look back at this home buying experience as a pleasant one.

After a month of searching and going to lunches and playing with the kids and creating a great relationship, the experience is tainted. It's tainted because they can't enjoy their new home. And they are completely frustrated with it right now. They expected something like this would have been found.

And really, what else should they expect? They are buying a home and want a professional to look it over and make sure it doesn't have any major problems. So they hire a professional Realtor and also a professional home inspector and pay him hundreds of dollars to perform his inspection, they attend the inspection with him and participate in some of it, but also allow him to do his work, and they close on the house thinking everthing is good.

Now, the seller is, of course, to blame for not disclosing this- no question. But in the mind of the buyer who has hired a Realtor to represent them and an inspector to catch these things, is it unreasonable to be upset that noone caught this and now they have to go to court? And what about the agent's responsibility?

Is it just "Caveat Emptor" and we don't represent them anymore (abrogation). Not if you care about your clients, your self-respect and your reputation. So now you're in for a bunch of work and stress and fighting with the sellers and trying to get their agent to help (and they are always helpful).

So what can we do to prevent this? Unfortunately there will always be things that are missed and even the good inspectors will mess up sometimes. But as real estate agents we are responsible for informing our clients about all the risks and challenges that come with buying a home, and that also means educating them as to where the liability of a home inspector ends.

This could have all been avoided with a roof certification. The agent didn't recommend one because the roof was fairly new and the inspector includes a roof walk as a part of the inspection. Obviously this agent will recommend having one for their future clients.

And that's where the value of experience comes in. That's why people seek the help of a Realtor (or agent) to help them. They want to know about these kinds of potential problems and how to avoid them. They want someone to tell them this story, and others like it- not to scare them, but to make them aware. Experience is a cumulation of lessons.

And hopefully this is a lesson we can all learn from.