The first key step to becoming an effective short sale listing agent is to know how to properly pre-qualify the seller and determine the likelihood of a successful short sale. Steve Kitnick and I have compiled the following strategies and questions to assist you in that process.
Telephone Strategies (Remember, the purpose of the telephone call is to "get the appointment, not to conduct your presentation!"
When setting the appointment ask a few qualifying questions:
“Is this your primary residence or an investment property?”
“Are you current on your payments?”
“Have you received a Notice of Default?”
“Is your name on the loan?”
Set the expectation for the meeting and ask the seller to gather key documents for the most productive appointment, e.g.
Current mortgage statement(s) with loan information, payoff or current loan balance(s)
Any notices or letters from the lender
Other issues affecting the property
Don’t over sell or over commit on the phone: “I know things are tough. But, it’s hard for me to do an unbiased study until I get there. We’ll talk about the numbers then, OK?”
Know in advance that the seller will likely react negatively
Listing Appointment Strategies
Bring down the walls by building rapport - you do this by asking pertinent questions and "listening"
Use a consultative / educational approach
“Why are you considering a short sale?”
“Tell me about the circumstances leading to your current situation”
Ask questions! Use the list below as your guide
Explain the short sale process
Set expectations and what is required of them and what you will be doing to facilitate a successful sale and closing
Ask this key question after you have built rapport and trust: “Are you willing to do what is necessary to get this short-sale accomplished?”
Questions to Ask The Seller to Determine the Likelihood of Successful Short Sale
1) Is your name on the loan? Are there any co-borrowers? 2) Whose name(s) is/are on title? 3) Why are you considering a short sale? 4) Have you missed any payments? 5) Has a Notice of Default been filed? 6) What caused you to get behind in your payments? 7) Are you considering or currently in a bankruptcy? 8) Have you spoken to an attorney or accountant regarding legal and/or tax ramifications? 9) How many loans are there? 10) Who is/are the loan(s) with? 11) How much do you owe? 12) Are you aware of any pre-payment penalties? 13) How much is/are the payment(s)? 14) Have you refinanced recently? 15) Are you current with your CIC monthly dues and other related housing expenses (sewer, water, trash, etc)? 16) Are you current with any SID/LID or other assessments? 17) Other than the loans, are there any other liens? (CIC, SID/LID, property taxes, mechanic's lien, IRS tax liens, child support 18) I presume you live here, is that correct? Will you continue to live here? 19) Will you maintain the property? 20) Can you contribute to paying any closing costs? 21) Would you be willing to sign an installment note if required? 22) Do you own any other real estate? 23) Do you expect your situation to change any time soon?
ATTENTION LAS VEGAS REAL ESTATE AGENTS!
Steven Kitnick Seminars, LLC. in association with RealtyU® Presents Certified Short-Sale Professional Designation Course Friday, May 1st, 9:00am - 5:30pmSOLD OUT - Prudential Americana Group REALTORS® 2140 E. Pebble Rd., #160 Las Vegas, NV 89123
This program qualifies you for the Certified Short-Sale Professional Designation. The CSP designation is managed by the Short-Sale Council, an exclusive membership organization specializing in assisting agents in mastering the skills of managing short-sale transactions. Earn the CSP designation by attending the full-day, live short-sale class held by Steven Kitnick and Jan O’Brien. Course investment is $299. Be a member in good standing with the Short-Sale Council. Your first year’s dues of $99 are sponsored by RealtyU®.
At the End of this Course, You Will Be Able to Do the Following: • Know if a short sale will be successful before signing a listing contract • Understand what needs to be included for a successful short sale submission package • Know the importance of each item the lenders require for a short sale • Have multiple lead generation sources for short sale prospects • Know the timeline for the foreclosure process and how to extend it if necessary • Understand how to make simple quick calculations to determine if a short sale will be accepted by a lender • Master the key steps to successful short sale listings and close more sales
Thanks to the Arizona REALTOR Magazine and their online version (www.AARNews.com) for publishing my blog post from August 2008 in their April 2009 Edition.
One update to the article... February 2009 Las Vegas Closings: REO sales accounted for eighty percent (80%) of the February closings with another eight percent (8%) attributed to short sales.
At the Prudential Real Estate Affiliates (PREA) National Sales Convention held March 29-31, one of the keynote speakers, Geoffrey Colvin (Senior Editor-at-large for Fortune Magazine) presented a compelling talk on our economic recovery, how we got here and how we are going to get out of it.
As he was speaking, the thought that came to me was... What if everyone could stop focusing on the next "great depression" but rather see "The Great Opportunity". What have you been focusing on in the past months? Are you open to the opportunities in your market? Are you making the appropriate adjustments in your business plan and daily tactics to capitalize on the abundant opportunities?
The key points of Colvin's speech that resonated with me included:
The two main areas to watch and track are:
Consumer behavior. Colvin explained that this recession showed a distinct "opposite behavior" by consumers compared to previous recessions. Specifically, this time around, the consumer trend leading up to the economic downturn has been increased spending and decreased savings rates.
The price of risk (tracking the gap between junk bond rates and low-yield instruments)
This has been historically the longest recession but not the deepest.
Three things that have to happen to drive the economic recovery
Employment rate must increase
Credit markets have to start working again
Home prices have to stabilize. Colvin also relayed his belief that "small business owners especially us (Realtors)" were vital to the economic recovery. Housing is after all at the center of this situation
What the leading companies are doing differently during this down turn and recovery:
Investing in their core
Protecting their most valued assets (their people)
Communicating like crazy (with optimism, the victories and sucesses)
Creating new solutions for new problems
This last point is "the golden nugget." Are you actively creating new solutions for new issues? What is your "Great Opportunity" and what action steps are you taking to make it your new reality?
Looking for Real Estate Investment Opportunities in Las Vegas?
Is the newly modified $8,000 First-Time Home Buyer Tax Credit going to encourage more buyers to jump off the fence and purchase a home in 2009?
Last week, Dr. Lawrence Yun, Chief Economist for NAR, spoke at the Rocky Mountain Conference in Las Vegas and predicted that las Vegas would lead the country out of the housing crisis. He cited two key reasons: 1. Las Vegas home prices are under market and 2. The Stimulus Plan
Changes the 2008 $7500, repayable credit to $8000 and no repayment (tax credit - "refundable")
Good for purchases of principal residence on or after January 1 to December 1, 2009
Only first-time home buyers are eligible (defined as anyone who has not had any home ownership in 3 years prior to day of 2009 purchase)
Income restriction - individuals earning up to $75,000 and married couples who file joint return no more than $150,000
There is a reduced credit which totally phases out for individuals at $95,000 annual income and $170,000 (joint return)
Here's more on the home buyer tax credit from NAR:
Home Buying Tax Credit. "The bill provides for a $8,000 tax credit that would be available to first-time home buyers for the purchase of a principal residence on or after January 1, 2009 and before December 1, 2009. The credit does not require repayment. Most of the mechanics of the credit will be the same as under the 2008 rules: the credit will be claimed on a tax return to reduce the purchaser's income tax liability. If any credit amount remains unused, then the unused amount will be refunded as a check to the purchaser."
Here are some links to various resources concerning the Stimulus Plan, the American Recovery and Reinvestment Act of 2009, the Homeowner Affordability and Stability Plan.
If you want to recommend any other useful resources to add to this post - just post your comment and link!
NAR's resource page - Unlock America's Economy (Links to articles, NAR President's Podast series, and other good information to keep you informed and updated)
Recovery.gov Stay informed about how and where the money is being distributed from the recently passes American Recovery and Reinvestment Act. Visit the site for timelines, graphics, charts and updates The President has promised Accountability and Transparency...
1.)You won't leave the house without your camera, or better yet, it's attached to you at all times. You never know when you will find inspiration.
2.) You have the thought at least once a day, "Oh that would make a great blog post!"
3.)You keep notes on your desk, stuck to your monitor, or in a file on "Future Blog Post Topics."
4.)You love to read other Blogs. If you're a writer, chances are that you're also a reader, they go hand in hand.
5.)You've been kept awake at least one night because you have a hot idea for a blog post or you're struggling with the perfect Blog Title, or you have gotten up way too early to write for your Blog.
6.)Blogs are a major source for your news - why bother with TV and newspapers when there are so many quality blogs?
7.)You know what it is to "Reblog" and you either love it or you hate it.
8.)You've made real-life friends, clients or business associates with people who comment on your blogs, or by commenting on their blogs.
9.)You've spent at least one Friday or Saturday night home blogging instead of going out.
10.)You can easily use the terms "Blogosphere" "Trackbacks" "Permalink" "RSS Feed" and "Blog Roll" in a sentence.
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Kevin and Monica Ray are Missoula Real Estate sales and marketing professionals for Access Realty in beautiful Western Montana. We provide services in, but not limited to: Missoula, Superior, Alberton, Saint Regis, Lolo, Clinton, Turah, Potomac, Florence, Corvallis, and Hamilton
For more information on Kevin and Monica Ray or Western Montana Real Estate, they can be reached at 406-207-1185 or online at www.YourMT.com.
Nevada continues to have the highest number or foreclosure filings for all US states according to www.Realtytrac.com. Realtytrac records and defines foreclosure filings as:
".... documents filed in all three phases of foreclosure: Default — Notice of Default (NOD) and Lis Pendens (LIS); Auction — Notice of Trustee Sale and Notice of Foreclosure Sale (NTS and NFS); and Real Estate Owned, or REO properties (that have been foreclosed on and repurchased by a bank)."
"Nevada foreclosure activity in January decreased 4 percent from the previous month, but the state continued to register the nation’s No. 1 foreclosure rate, with one in every 76 housing units receiving a foreclosure filing during the month. Foreclosure filings were reported on 14,444 Nevada properties in January, up 137 percent from January 2008."
Las Vegas ranked as the second highest metro foreclosure rate (#1 was Merced, CA) in January with one in every 63 housing units receiving a foreclosure filing.
Bank-owned (REO/Foreclosure) sales accounted for 81% of all residential closings for January 2009 in the Las Vegas Real Estate market.
The Greater Las Vegas Association of Realtors reported the following breakdown of closed residential transactions for January 2009:
Cash 25% Average Sale Price = $149,267
Conv 31% Average Sale Price = $221,460
FHA 36% Average Sale Price = $168,760
VA 8% Average Sale Price = $193,787
What is the good news? There are tremendous purchasing opportunities for Las Vegas properties. With interests rate low and prices even lower, there has truly never been a better time to buy then now.
If you want a referral to a top Las Vegas real Estate agent - give me a call at 702-858-9191, email me at jan@janobrien.com or start your search now for a Las Vegas home, condo, or bank-owned/foreclosure:
Click on the icon below for Free access to over 30,000 listings in the Las Vegas valley.
Kathryn Bovard wrote an excellent post yesterday on her Zen Real Estate blog, reporting on NAR's chief economist Dr. Lawrence Yun's prediction that Las Vegas would lead the country out of the housing crisis.
Dr. Yun cited to key reasons... 1.The Las Vegas home prices are under market and 2. The Stimulus Plan
"Low mortgage rates, combined with first-time homebuyer assistance from the federal stimulus package, will push buyers off the fence and into affordable homes, Lawrence Yun said at the Realtors association's Rocky Mountain Regional Conference held at Green Valley Ranch Resort."
And more positive news today - the FHA loan limit was increased to $400,000 in Clark County (Las Vegas). THis means buyers looking for homes up to $412,000 can now qualify with as little as 3.5% down payment.
Compelling reason(s) for prospect to contact you over other agents
Benefits for prospect
Specific offers, reports
Calls to action
Lead capture ability
Measuring & Tracking capability
Steps for Internet & eMarketing Success
1. Create & Maintain a great “Destination” Website and/or Blog
Customer-Centric not Agent-Centric - "Image style branding is out"
People don’t want to be sold, they want to be helped and get information
Internet = access, information, instant
Offer what the consumer wants
Easy & accessible Search for listings (IDX)
Photos & virtual tours
Reports, local market data
Neighborhood, community, school information
Foreclosure, short sale, loan modification information
Compelling content - in addition to the list above, consider
Buyer/Seller process & tips
Relocation info, guides
Testimonials
Your niche, target markets, specialties
A Good domain name (Consider keyword terms vs. your name)
2. Effective Lead Generation & Lead Capture
Calls to Action that lead to capturing prospect info
IDX search – allow access to a point and then a sign-up form
Property Watch – email alerts – allows the consumer to receive the listing information they want when it becomes available
Free, compelling reports – consumer completes a contact form to receive the report or offer
Home Market Valuation
Offline Marketing Plan
Energize Your Database to Search for Homes - Import or add your SOI, past client database and send them a VIP welcome letter with a strong Call to Action - "Search over 30,000 Las Vegas Properties for Sale!"
Add contacts daily – use your website to close prospects for their information and set them up as A VIP on your site for full access
Open House prospects; Ad & Sign Calls
Change Your Voice Mail message to include a CTA to visit your site and Search homes for sale
I first wrote and posted the following article on my Real Estate Coach Blog in November 2007. I have updated the intro paragraph with my thoughts on the current real estate market in Las Vegas. The 10 Tips to THRIVE are timeless however and easily adapted for any business owner and most likely any real estate market around the country.
Our current real estate market in Las Vegas (and around the country) continues to present an interesting test for all involved… from the buyers, to the sellers to the practicing real estate agents and also for the brokerage firms. I’ve been living and working in Las Vegas since 1992 and last year was my first experience in a “challenging market”. Fueled by local and national media with a slant to reporting the negative and “newsworthy” hype of doom and gloom, many prospective buyers and sellers continue to stay out of the market. For the second half of 2007, 70 to 80% of all residential closings in Las Vegas were bank-owned or short sale properties. And real estate professionals are either thriving ( by adjusting and capitalizing on the opportunities), surviving, trying to adjust or in many cases just plain giving up.
There are opportunties for those who are willing to make the necessary adjustments both in their action plan and MINDSET!
The following 10 points are my observations and best advice on how to Thrive (not just Survive) in Today’s market.
You ARE the Creator of your Reality. Check in with yourself often. Are your thoughts positive or negative - towards or away from what you desire? Do you find yourself slipping into the negative muck and mire - from the media or the glass is half-empty people around you? Be deliberate and intentional in your thoughts and actions. Focus on what you want not on what you don’t want.
Educate yourself about the market, understand the stats and trends. Become an expert in short sales, REO, loan modifications and the foreclosure process. Make sure you are receiving current market data from local sources. Know the inventory.
Improve and upgrade your qualifying, presentation and closing skills. Learn how to better present the history and current real estate market story to your buyers and sellers. Update your buyer and listing presentations with supporting graphs, statistics, etc. Take sale-able, properly-priced listings! Use all of your available company marketing and advertising tools. Practice, Practice, Practice your closing and qualifying skills.
Get back to the basics now. Do you have a solid SOI/Referral system in place? Are you prospecting daily? Have you selected 3-5 target markets to concentrate on this year?
Have a written business plan with specific goals. Track your expenditures and return on investment. Know what’s working and what is not and make the appropriate adjustments.
Adopt a daily ritual to start your day in a positive mindset. Some suggestions…morning meditation, prayer, exercise, read your affirmations, review your goals, eat breakfast, review your day’s tasks and schedule.
Exercise and eat properly for you. I recommend yoga!
Show up - Mentally, Physically, Emotionally and Spiritually. Now more than ever it’s important to get up, do your morning mindset ritual, get dressed for success and go into the office or that first appointment.
Have a daily activity plan and work it - know how many calls, face-to-face contacts, emails, mailers, contacts you must make before you call it a day. Challenge yourself with daily goals - don’t go home until you have at least one appointment for example.
Get an accountability partner or hire a coach. Ask for help. Help each other. Form a support and accountability group.
A blog about Real Estate Business Systems, Team Building Strategies, Technology, Business and Life Coaching Tips and the Las Vegas Real Estate Market.
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Disclaimer: ActiveRain Corp. does not necessarily endorse the real estate agents, loan officers and brokers listed on this site. These real estate profiles, blogs and blog entries are provided here as a courtesy to our visitors to help them make an informed decision when buying or selling a house. ActiveRain Corp. takes no responsibility for the content in these profiles, that are written by the members of this community.
1.) You won't leave the house without your camera, or better yet, it's attached to you at all times. You never know when you will find inspiration.
6.) Blogs are a major source for your news - why bother with TV and newspapers when there are so many quality blogs?
Our current real estate market in Las Vegas (and around the country) continues to present an interesting test for all involved… from the buyers, to the sellers to the practicing real estate agents and also for the brokerage firms. I’ve been living and working in Las Vegas since 1992 and last year was my first experience in a “challenging market”. Fueled by local and national media with a slant to reporting the negative and “newsworthy” hype of doom and gloom, many prospective buyers and sellers continue to stay out of the market. For the second half of 2007, 70 to 80% of all residential closings in Las Vegas were bank-owned or short sale properties. And real estate professionals are either thriving ( by adjusting and capitalizing on the opportunities), surviving, trying to adjust or in many cases just plain giving up. 
;)
;)
