I've recently been reading, and yes, commenting on posts that in some form or fashion relate to "serving" our clients.  

Most interesting are the large number of agents who are adamant that they don't deserve time off, that they must work 7 days a week because it's their job...it's what they're required to do in order to service their clients properly.  I even saw one agent state the Code of Ethics requires this of them.  Huh?  Some have even arrogantly stated, "for those who don't want to work weekends, find another line of work" or "for those who think this is a regular job, they should keep their day job."  Certainly and interesting take on things.

While I do believe that we should each run our business as we see fit, it is somewhat disturbing to read the statements made about those of us who choose to work full-time in real estate but also have a life...meaning a life like anyone else deserves, free of a 7 day work week.  I'm not sure how many of these agents have been in business in excess of a few years, but it seems to me that working 7 days a week will eventually lead to a serious case of burn-out.  It also seems that working 7 days a week is not conducive to a strong family unit.  Of course I could be wrong but when I look at many agents I meet who are never wiling to let a possible customer/client pass them by, I see some very stressed out folks who may be making money but they sure don't seem all that happy.

In fact, a couple of agents that I'm very close to (formerly 7 day a week agents) realized that there will always be another "buyer or seller" but there won't always be another young child  or loving spouse.  I'm sure I'll get my head served up on platter for this blasphemy, but isn't it possible to prepare a client to understand that your family is just as important to you as their's is to them?  Wouldn't it be fair to explain that you work one, or maybe even two weekends a month, but that the client may have to take off work half a day to see properties.  Are there so many unreasonable buyers and sellers out there that they're not happy unless they know you're neglecting your family?  I think sometimes we set the wrong expectations and instead of asking questions, we just assume how our client would react.  I think it's a matter of communicating in advance how we work and then ask if the client has a problem with it.  If they do, is there anything wrong with letting them know that the two of you are just not good fit and that they should continue the interviewing process?    

I'm curious as to where the idea came from that the only way an agent can properly service a client is to be available at the drop of a hat, including on weekends, holidays, etc.  I'll never forget NAR's commercials that ended by stating something to the effect of, "We're REALTORS...real estate is our life."  Apparently it is for many, but for me real estate is not my life....it is a means to have a life.  And honestly, I've been pleased with it even without committing all my weekends.  Maybe my clients are just more family oriented and therefore more understanding.  Clearly there are many agents who have incomes that greatly exceed mine, but I seldom run into one that is more relaxed (although obviously opinionated) than I am.  See, there really will always be another buyer or seller, but my son is growing up fast and I don't get a re-do on that, so I'll just stick to living my life and keeping my definition of service rather than allowing other agents or my industry to define what "service" means.  My motto is...Don't Be Defined By What You Are, But Instead By Who You Are.

OK, I've put on my thick skin.....so let your comments roll.  .  

For any Austin area agents who are seeking change in their professional lives, we would love to talk with you.  

The PowerHouse Group is now seeking qualified agents to join our team and we're even offering a signing bonus to those agents who join us by the end of May, 2008. 

1.   90-10 split

2.   Initial and advanced training twice a week

3.   Signing bonus

Our philosophy is simple.  You get to keep more of your money and therefore become more profitable and The PowerHouse Group can earn your loyalty for the long-term.    

Allow us a few minutes to talk with you over a cup of java...you just might find The PowerHouse Group has the  warm, laid-back Austin feel you're looking for.  

Guy E. Gimenez - Broker / Owner

guy@phgbrokers.com

512-731-5613 

 

Some years back, I listed a property near the lake and explained to the sellers (an African American couple), who were still readying their house for sale, that there was no need to start looking at a replacement home until we had their current home under contract.  It was highly improbable that our market (that we were in at that time) would not allow us to locate a seller willing to accept a contingency offer.  They agreed and continued to make the improvements to their home that we agreed were necessary prior to marketing.  

You guessed it...within 2 days of our conversation the wife found a house she just had to see and "probably" make an offer on.  I showed them the house, but again explained that their home was not even on the market yet so there is no chance of another seller accepting a contingency offer.  My clients viewed the home, immediately decided I didn't know what I was talking about and advised me they wanted to make an offer.  I tried once more to tell them was not a good idea.  They demanded I move forward with an offer.  Now understand this wasn't just any offer, but a contingency offer that was 20K below list price and in a hot market.  I was dumbfounded and told my clients not to hold their breath, then submitted the offer.  

I received a call from the listing agent the following morning saying the offer was laughable, at best.  I called and left a message for my clients that their offer had been categorically rejected. Within minutes, I received a call from my client while I was in the middle of fueling my car.  The husband was absolutely livid and was yelling at me that I didn't present the offer properly and he's not sure I knew what I was doing.  I again advised him of our market conditions and my experience, but he railed that there was something that didn't add up here and he thought the seller's rejection of his offer had racial overtones.  The buyers and sellers had never met to my knowledge.  I told him his assumption was ridiculous and the rejection was based on a clearly unsuitable offer, not skin color.  He then yelled at me for a couple more minutes and said he'd be back in touch later to discuss this.

As you can imagine, I knew this had no where to go but south, so I went directly to my home office and processed a listing termination letter.  While driving to my client's home, I called my broker to advise him of the situation in case things got worse.  I continued directly to my client's home and saw the husband cleaing out the garage.  I approached him, shook his hand and told him I was firing him effective immediately.  Believe it or not, he couldn't understand why I was upset.  He said he wanted to continue working with me.  What?  I was the idiot he had yelled at only a couple hours previously.  I told him there were plenty of agents who needed his business much worse than I, so please contact one of them.  

Before I even got home, he had called my broker and complained that I had fired him and couldn't understand why.  My broker questioned him for a few minutes and then told him our decision was final and he should locate another office to list his house.  My then former client had the nerve to ask if there was another agent in our office who would list his house to which my broker replied that no agent in our office will be working with him.  

This business never ceases to amaze me....never a dull moment wouldn't you agree?

(A recent post by Jim Crawford-Atlanta Real Estate, inspired me to expand on this topic...I hope you will let me know your thoughts).

How many of you know what success really is?  I'm not talking about someone else's definition of success...I mean YOUR definition of success.  If not, you're not alone.  

Our industry is full of agents, new and old, who are working themselves into an early grave while trying to reach dream that will never be attained.  It was not that many years ago that I was guilty of the same offense.  I am so glad that I woke up in time to smell the roses before they were placed on my casket.   

Too many agents have accepted as fact those perceptions that our industry perpetuates as acceptable, in fact desirable.  Money, transactions, notoriety....whatever the drink of the day may be.  And yet, even agents who are still experiencing substantial business activity don't seem to be happy.  Could it be that our industry perpetuates the myth (or lie) that the more money you make and the more deals you close, the happier you'll be.  If money or notoriety is the answer to happiness, why do so many rich and famous people have rooms reserved at rehab centers?  Could it be that true success and perceived success are very different animals?  I say yes.    

Here was my first experience with real estate success.  In my first of real estate sales with a national brokerage firm, I was teamed with a "successful" agent who  was to mentor me. Successful by industry standards anyway.  What I soon found out was that this agent closed lots of transactions, made lots of money and this agent's life was a mess.  This agent worked 7 days a week and was grabbing all the floor time/phone duty available.  Did it help? Sure it did, afterall this agent closing lots of business and was therefore a success.  But consider the life of this successful agent and see if this is what you would hope for.  This agent:

1.  was on a second marriage which was becomeing a third failed marriage;
2.  had two elementary school children who had been kicked out of several schools;
3.  smoked like a chimney because it helped this agent handle the stress;
4.  consistently spent more money than was coming in;
5.  was miserable, though it was important to keep up the facade of success within the office setting.

Keep in mind this agent had a new car, lots of toys and was perceived by other agents in our office as being very successful.  I realized quickly that my concept of success did not look at all like this agent.  

So the question is this.  What is your definition of success.  I you don't have one, what is it you're working for?  See, in my opinion most agents seem to spend more as they bring home more.  They buy more expensive cars, buy a bigger house, buy more toys and take more expensive trips.  But I've seen very few that have achieved even a moderate level of true inner peace and happiness.  Why because the material things only bring these agents temporay happiness, short-term satisfaction.  When the new smell wears off, they must have the next material thing to excite them, to please them, to give them comfort.  But this cycle never stops.  

Perhaps the slowing economy is just what some of us needed to re-evaluate our concept of success.  Perhaps it will help us remember what should be important to us.  And maybe we can look at our success and happiness from a whole new perspective.   

I would love to hear what others think and if they feel like now is a great time to consider some changes in our businesses and our lives.  I for one, say YES!   

I had an opportunity to fly to Houston recently (Southwest Airlines) for a one day business trip and boy was it a pain.  It's been a couple of years since I've flown on a major airline so I'd forgotten just how cumbersome it is to get from point A to point B on a commercial carrier in our post 9-11 world. 

Then my mind drifted back to the days when I flew helicopters for the Dallas Police Department.  I reminisced about just how easy and relaxing it was to cruise a 370+ square mile area without all the restrictions required of airlines or even those imposed on private aircraft these days.      

It was always great to get to work early Sunday morning on a clear but hot summer day, crank up the Bell 206 and climb to a much cooler 1500 ft. altitude for a leisurely 1.5 hour patrol flight.  We would then land at a local restaurant for breakfast before proceeding back to the hanger with not a worry on our minds. 

I can also remember shooting down to Austin on many occasions in a small plane I owned.  I typically flew at 8 to 9 thousand feet where it was cooler and where there would be less traffic.  This was before President Bush purchased his ranch which sits between Austin an Dallas, I can't imagine trying to navigate my way between Dallas and Austin now days for fear of having Blackhawks and F-16's on my tail should my flight path deviate even the slightest bit.   

While I remember the great times I had while flying high in the sky, I also think about how fortunate I am to have the opportunity to be self-employed, run my own company, set my own hours and work only with those clients who can appreciate that I have a greater devotion to my family than I will to theirs.  I think about how fortunate I am to have learned to live life more fully than ever before and how to enjoy my family and my career without neglecting either. 

And while things are clearly difficult in many areas of the country, perhaps we should all look back and remember our past with great fondness but not so much that we can't see the blessings we've been given today.  Remember the old saying (paraphrased here), "I cried because I had no shoes, till I met a man who had no feet."   

I've seen several posts regarding the importance, or lack of importance on what an agent drives.  Many of the postings describe the importance of "looking" successful.  I understand the importance of looking the part, but should that be the overall focus?  Here's a lesson I learned years ago about looking successful versus being successful.

Many years back when I was a police officer, our police association had invited H. Ross Perot to speak to us regarding the difficult poliitcal times our department was going through.  I had been assigned to the parking lot of our association office to wait for Mr. Perot to arrive and make sure he and his body guards were escorted in safely.  Our office was not in the best area of town, so I assumed there would be multiple vehicles arriving in somewhat of a motorcade fashion.  As I waited, I noticed a car drive up and park in the lot.  I assumed by the age and type of vehicle (it was a 3-4 year old mid-sized Buick), that it was another police officer arriving late.  Much to my surprise, Mr. Perot himself emerged.  What?  No bodyguards?  No motorcade?  No frills?  That's right, just an unassuming man in a non-luxury vehicle who could have passed for any of our neighbors....except for the fact that he had a net worth exceeding 3 billion dollars at the time.  He took the time to shake my hand and make some small talk as I escorted him into our meeting.  I don't think anyone can challenge that this man was in fact successful.  

That night will be ingrained in my mind forever, not just because he'll likely be the only billionaire I'll ever meet, but because he did not "appear" to be successful based on my stereotype of a billionaire.  This man wealthy beyond belief and he drove the same type vehicle as most police officers would drive. 

This is not meant to knock those folks who drive luxury vehicles because it makes them feel more successful.  Good for you if that's the case.  But I do think we sometimes perpetuate stereotypes that much of the public rails against when we don't look at inner selves rather than just our outer selves.  

I'm not hypocritical either...I drive a 2001 4Runner with 177K miles on it and I plan to keep it for several more years.  

  

About 9 years ago, I was referred to and received a great listing that offered a fantastic view of Lake Travis.  I knew this would be a "hot" listing....but what I didn't know at the time was just how low a veteran broker would stoop to keep her client in the running for this home.

The house was vacant and was located about 35 minutes from my office and my Seller asked me to check on it once a week.  It had only been on the market a one day when I started receiving calls off the sign.  The next day (Friday) I decided to visit the house as the weekend was nearing and I wanted to make sure the home was ready for the traffic that was sure to come. 

When I arrived, I noticed my sign was missing.  I eventually found it had been tossed under a low hanging tree.  I was none to happy, but what could I do.  I went inside the house and noticed all the blinds had been closed which prevented potential buyers from seeing through the house and realizing the beautiful lake view if offered (my seller requested I leave the blinds open for this very reason).

I knew it was probably an agent who threw my sign under the tree and closed the blinds, but all I could do was put the sign back up and open the blinds.  When I arrived back home, I found an offer had been faxed to me from a long-time broker who worked exclusively in that area.  I called to tell her I received the offer and would let her know once my client had a chance to review it, but that it is was a multi-generational fax and was mostly illegible.  Unfortunately, I also told her I'd just returned from the listed house.  Something told me to go back to the house the that day, which I did about 2 hours later. 

As you might have guessed, upon my arrival the second time, the sign was missing again and the blinds were closed.  This time I was certain the broker was behind it.  Later that evening, the broker called and I confronted her about it.  Her response, "Oh no, I'd never do anything like that.....but my client may have have pulled your sign up."  I could not believe my ears.  She was scapegoating her client!   

My seller ultimately countered the offer which he faxed to me and which was now completely illegible.  I asked the broker to meet me half-way to exchange a legible version of the offer and she refused.  I told her I would pick it up at the house the following day if she would leave it there for me.  She was agreeable to that since she wouldn't have to put forth any effort.  My seller was not too happy with the broker's behavior either and as a retired military pilot, I was fairly sure he'd tell her his feelings.  As it turned out, my client decided to drive into town and meet me to discuss this offer, but by the time arrived early Saturday morning we had received two more offers including one for $7,000 more than our asking price, which my seller later accepted. 

I advised the broker and she was terribly angry, and even had an attorney call me late that evening to tell me we could not sell the house to our buyer because he had been "advised" that my clients were already under contract with the broker's client.  RRRiiiiiigggghhhhhtttttt.  This broker called me all weekend trying to convince me that we had a contract with her client.  She adamant and I knew she wouldn't give up.  On Monday morning, I called the title company I used and had them do an email blast to all their offices in case this broker attempted to receipt an illegible copy of her offer.  Yep, at 10am Monday she tried receipt her copy so she could tie up the property.  The title company respectfully refused to accept it. 

Things got considerably worse....well actually better.  The broker's client eventually called me and told me he fired the broker for being untruthful and that he would probably sue her because he made it clear to her that he wanted this home, regardless of price.  He asked me to offer the contracted buyers $10,000 cash if they would walk away from the purchase.  The contracted buyer refused the offer and we closed the transaction as scheduled. 

I'm not sure what happened with the broker and her former client but I would love to have been a fly on the wall when they met for the final time.   

 

                                                                                                                                                                       I just had two closings, neither of which closed on time.      

On these particular closings, I followed up regularly with the agents and quickly got the feeling they simply placed the transactions on autopilot and assumed all would go as planned.  Understand that almost all my sellers choose to include a "time is of the essence" provision in their contract in an attempt to keep the buyers / buyer's agent on track.  I've never really believed that floating closing dates are a good way to do business....just my personal preference I suppose. 

But I'm always amazed when we get to the day of closing, and I realize by now that we won't make our closing date/time, and the agent says, "yeah, looks like there will be a delay for a day or two" in a nonchalant manner as if the time frames in the contract have no meaning.  I wonder if they would be as casual if I said, "yeah, we decided we need two grand more for the house?"  Of course the usual suspects get blamed, the title company, the lender, the neighbor down the street, etc.  But I'm more than certain that some of these delays could have been avoided if the agent had just followied up every few days with the lender, title company or neighbor down the street?  It's always worked for me  and I sure don't want to place my client in breach of a contract because I overlooked a time frame, especially a closing date.

I know I'm seeing more of this than I wish to and thought I'd see if this is becoming an issue in your area and how your clients are accepting it.

I'm sure there will be valid arguments on both sides of this issue, but this a growing problem for me and a number of other agents I've talked to recently.   

I'm sure we all get plenty of spam daily and my inbox is certainly no different.  Spammer's nationwide will continue to load our inboxes about anatomical enlargement drugs to business development seminars.   

But what about the spam we get from other agents.  Yes, I said spam.  A growing trend in my area is for agents to email blast hundreds or even thousands of agents advertising each new listing these agents receive.  I do understand the purpose but I have access to the MLS and can easily locate suitable properties without crowding my inbox with additional spam.  I don't fault agents for working hard on behalf of their seller clients, but how about some consideration for those of us who are spending more and more time deleting emails advertising properties in areas that I would seldom have a client interested.

Thankfully, my spam blocker is catching more of these each day, but I still thought it might be worthy of some discussion.  

Please let me know your thoughts pro and con.  Thanks.  

Here is yet one more installment of my most bizarre transactions. 

An elderly, but cash heavy buyer, contracted to purchase a small home on the north side of town.  Being retired, and in less than great health, he fell in love with the large corner lot with all the flower beds and the 5' tall, multi-level water fountain that was set upon it's own perch in the garden and energized by the underground electrical service designed specifically for this magnificent, peaceful piece of art.  He envisioned enjoying this beautiful garden and water fountain for years to come as he sat on the covered patio.  Now let me say that before we had even submitted his offer, I felt obligated to warn my client that this may be a troublesome transaction as I knew the listing agent well..she was nearing her 25th year in business and had a less than stellar reputation among the real estate community yet had still managed to build a sizable following of clients.   

                      

It just so happened that my client lived only blocks away (in an apartment) from this house and he drove past it daily, sometimes twice a day as he yearned for the closing day to arrive.  Then, about four days prior to closing he noticed the waterfall was missing.  I'll never forget the sound of alarm in his voice when he called to tell me, "someone stole the waterfall!"  I was afraid it was going to put him in the hospital knowing all the heart problems he had.  I finally got him to calm down a bit and told him I would call the listing agent so her clients (who were now living in another state) could file a police report.  My client was heartbroken to say the least.  I contracted the listing agent phone and told her the water fountain was stolen.  To my surprise she said, "no it wasn't."  I asked her if she knew what happened to it and she said, "yeah, I took it."  To be honest, I was certain I heard her wrong.  I asked her again and go the same response.  I asked her why she removed it and she said, because it doesn't go with the house.  She said, "it's like a picnic table, and those don't convey either.  Well needless to say, we had a strong difference of opinion on that.  A 5' water fountain with specially designed underground wiring to it is a far cry from a picnic table.  We argued for a few minutes before I explained that I would contact the police regarding this matter.     

I told my client what happened and he began screaming that he would $^$$%% that %^$$%$.  Again, I had visions of an ambulance arriving too late to save him.  Again, I calmed him down and we discussed our options.  Although he was retired, he was no less the savvy businessman he always was and he took matters into his own hands.  He tracked down the sellers and called them them.  He explained the situation and was assured that they intended the water fountain to convey.  I again called the agent and explained this and she began yelling at me to leave her clients alone.  And she still refused to return the water fountain, even after repeated calls from the sellers insisting she do so. 

I knew this would go nowhere quick, so I scheduled a lunch with an old friend, who just happened to be a Detective/Sargeant with the local police department.  While we ate, I explained my predicament and asked if he thought the county attorney would accept a case of theft.  He stopped eating, called the C.A. and was told, "file it."  Now, at this point, you would think common sense might come into play with the listing agent.  After all, the Detective called her and "told" her to return the water fountain, to which she responded, "I can't, I gave it to my mother."  So the Detective began getting his statements from the sellers, my client, me and others and I explained the situation to my buyer.  He made a few calls to his sphere and found out that the listing agent's mother had died about two years prior.  How did he know this?  One of his friends actually attended the funeral.  Well, once I told the Detective about this event, he went ballistic and told the listing agent that he was swearing out a warrant for her arrest and that he'd not even consider arresting her until he could do it at her office.  I think they call this the "Perp Walk."  Apparently the listing agent saw her world coming down around her and within an hour of that call from the Detective, the water fountain was back at the house and set up. 

After much discussion about filing a complaint, my client requested, as did the sellers, that we "just get it closed' and not drag them into any more problems.  They did not wish to make any further statements or answer any more questions from anyone.  I swallowed a bitter pill and honored their requests, but reluctantly so.  And to this day, I can't believe someone would disparage their own dead parent in order to cover up a crime.