E.T.'s Blog

Turning Your Brokerage Into a Lean, "Green," Money-Making Machine

iWantDocs.Com, LLC — Sat, 19 May 2007 12:54:53 -0500

Between terrorism, oil, conflicting religions, disease, and poverty, there's one topic that dwarfs all of these and will affect us all. Environmental issues continue to climb our proverbial to-do-list, and solutions to the problems seem nothing short of a titanic undertaking. Most of us are guilty of contributing to the problem, but what good it to start pointing fingers? All we can do is get into "solution mode" and try to salvage as much of this planet as we can for the generations to come. In case you haven't heard some of the latest data, I'm talking as soon as the next generation.

I'm not implying we should all go out and buy hybrid cars or handcuff ourselves to a tree in protest. But taking little steps towards this goal on a daily basis needs to start happening. Trust me...I can't believe I would ever be saying this. The fact of the matter is, in the Inland
Empire of Southern California, it's getting hotter and hotter every year. I just can't take it anymore. One more summer averaging 105 degrees F, and I'm outta here! Fortunately, my business does have something to provide the environment...or should I say, something to leave to it. It's PAPER! At DirectLoanPro, we've made tremendous steps to eliminate paper files that are horribly wasteful to process, and even worse to store.

I recently wrote an article about a service provider we recently teamed up with called iWantDocs.Com, an affiliate of Deocentric Solutions. For my business, they have dramatically elevated our operating efficiency, simply by limiting the amount of resources we use up (waste). Converting our business through their Online Data Management System (ODMS) and digitally storing our file system has not only cut our operating costs, but also saves an insurmountable amount of paper in the process. Here's a blurb from their website about their goals of "greener" business:

Staying Green...

iWantDocs.Com was built around the idea of increasing efficiency in real estate and the mortgage industry. In business, efficiency can be defined by producing a maximum level of output from a minimal amount input. Practicing conservation is vital for a business to operate efficiently and maintain its resources. So much of our attention is focused on this very concept, that we recognize the importance of it outside the world of business. At iWantDocs.Com, we are taking steps to become more efficient at living within our physical environment as well.

We feel that it is our responsibility to create a greater awareness, and help promote "green" business practices within our industry. iWantDocs.Com has already begun to research alternative business solutions that not only benefit real estate and mortgage brokers, but the environment as well. The most obvious solution is the elimination the wasteful and highly unorganized paper-files that remain industry standard. iWantDocs.Com uses the latest technology to provide brokers with a way to enhance their level of business, while also becoming friendlier to the environment.

We contribute a percentage of our proceeds to various non-profit agencies aiming to spread awareness and improve our environment. If you would like to recommend any such organization, feel free to contact us via phone or email to let us know and we will respond promptly.

Companies going green with energy alternatives - CNBC Special Report: Going Green - MSNBC.com

Can iWantDocs.com help save your brokerage?

iWantDocs.Com, LLC — Sun, 22 Apr 2007 13:59:56 -0500

In wake of the recent housing bubble, the real estate and mortgage industries have undergone some drastic changes. One of the more obvious changes is the number of real estate and mortgage brokers now in business. When the business was good, there was plenty to go around and keep every one's pockets full. However, the bubble burst last year, and the industry has since experienced a major reality check. The correction in the market continues to force weaker brokerages and lenders out of business. Brokers able to survive these challenging times are doing everything they can to cut costs in order to pull a profit. During the housing boom, revenue was plentiful so operating costs were not a major concern. But since the market took a turn for the worse, minimizing costs has now become top priority.

A new company that operates out of Southern California's Inland Empire called iWantDocs.com, has taken steps in providing low-cost solutions for real estate and mortgage brokers alike. They provide services such as outsourced processing, real estate coordinating, data storage, and software licensing solutions for brokers all over the country. iWantDocs.com uses an online database that helps increase company efficiency and lower their costs. The web-based company is a pioneer in online business solutions for licensed brokers in the real estate industry. To find out more, visit the link provided below.

iWantDocs.Com Online Business Solutions

How NOT to Live Like A King

iWantDocs.Com, LLC — Fri, 02 Mar 2007 16:42:19 -0600

How NOT To Live Like A King

Living in the Inland Empire of sunny Southern California definitely has its perks. It's seventy degrees outside without a cloud in the sky.....in the middle of FEBRUARY. If I got in my car and drove west for half-an-hour, I'd be at the beach where it's just as sunny and warm. If I drove for the same amount of time going opposite direction, I would end up at a ski resort that's half-buried in fresh powder.

OK, so maybe I'm exaggerating about that fresh powder. The point is, I could go surfing in the morning, ski in the evening, and never be more than 50 miles from my house. If I still don't have your attention, maybe you can relate better to this....We play golf 12 months out of the year! Sure, sometimes it gets a little chilly and I'm forced to wear long pants, but I try not to complain too much. Sometimes I hear about these crazy ice storms on the east coast that get so cold, entire states loose electricity. The only reason the media even reports this stuff to us is to update us on how it's affecting the economy. Maybe that's because the only news station I ever watch is Bloomberg Television. I have to admit it though, one of those storms really did affect all of us. I mean granted, it was only like sixty degrees out here, but my stocks were frozen solid for like two weeks!

Now, before you start thinking about buying a one-way ticket to California, and possibly turn your wife into a "golf widow," I should tell you about a little phenomena we have going on out here. Just in case you ask.........I'M NOT TALKING ABOUT THE EARTHQUAKES! I'm talking about money. Depending on what state you're coming from, uhh, well, uhhhhh, just make sure you're RICH!!! I'm sure you heard all the buzz about "the crazy housing market" out in California. Yeah, well it's true and let me just say that we deserve every little bit of that sunshine we get because we're paying for it! This, ladies and gentlemen, is our ICE STORM! It might be eighty degrees outside but it sure is c-c-c-cold out there!

So, what is the phenomena that drives California's real estate market anyway? From an economic standpoint, it seemingly defies traditional behavior, usually characteristic of a natural market. For the record, I use the term "natural market" loosely because outside influences, like the government (ie.The Federal Reserve), do exist and can greatly impact the over-all climate of the industry. However, take away government involvement, and real estate could arguably be one of the last true "natural markets" remaining. To better describe Cali's real estate, I found this colorful description that I quoted from an anonymous author:

"California's real estate market has grown into a living, breathing creature that can no longer be controlled. It has broken free from the rest of the country and has become an entity, in and of itself. Now, it makes it's own rules! As it continues to grow, the basic laws of economics cease to apply to it. It doesn't know who Ben Bernanke is, nor does it care. Millions of residents slave, day-in and day-out, hoping only to appease the harsh demands. It decides where people live, where they work, and how far they will commute to get there. "

I'm kidding, I just wrote that. Anyway, the point I'm trying to illustration is that in many areas of California, there is no longer a balance in the residential market. Where I live in the Inland Empire, your standard "starter-home" ranges from $450,000-$650,000. How does that happen when the average college grad entering the workforce is LUCKY to make $60,000? The answer is simple. There are no starter homes in the Inland Empire (or Los Angeles). Even with the recent decline in prices, housing is still well out of reach for younger buyers. As long as people continue to demand housing at current prices, the Inland Empire will not cater to first time home buyers.

So unless they move away, people are forced to rent instead of buy, right? WRONG!!! Believe it or not, somebody came up with an ingenues way to turn the DESERT into a suburb. I know what you're thinking...

"Why didn't I think of that?"

Apparently, just by installing a few sprinkler systems here and there, you can actually grow grass in the DESERT! If you're one of those guys who has to have the greenest lawn on the block, the DESERT is the place for you. You can get your very own 5ft. X 10ft. yard in one of our lovely "cookie cutter" housing developments. If you already live in California, I provided a link to a site that has a tool to show you how well you could be living if you were in another part of the country. Enjoy!

Cost of Living - Cost of Living Calculator from CNNMoney

(In searching for some pictures to help illustrate my "housing creature" I found this and wanted to share it with you. It was much unglier than the creature I was talking about!)

Case Study #1: The True Power of the Blog

iWantDocs.Com, LLC — Sun, 11 Feb 2007 14:01:23 -0600

Sunday, February 11, 2007

Case Study #1: The True Power of the Blog

DirectLoanPro.com

This article is in response to yesterday's blog titled:

Nearing the End For Realtors and Mortgage Professionals

Yesterday, I sumbitted the article listed above to http://www.activerain.com/. In case you're not familiar with it, http://www.activerain.com/ is one of the top sites for online real estate and mortgage networking. To say the least, my article proved to be extremely controversal,
as it sparked a debate that has carried over to today. The real estate and mortgage professionals shared some thought provoking opinions both for and against my argument. The discussion.....correction.....debate lasted all day, proving to be my most pivotal topic yet.
I decided to write a follow-up blog to thank everyone again for participating in the debate. The overwhelming response I received was worth every minute I sat in front of my computer yesterday.

Since we all work in the same [housing] industry, whether it's in real estate or mortgages, we're affected by the same changes. The structure of our business forces us to adapt to these changes, both good and bad. With the exception of a couple of participants, everyone contributed strong evidence to support their arguments. I chose a side when I wrote the article and apparantly made it edgey enough to get responses.

Here's What I'm Taking With Me:

With the exception of a few individuals, most of you are in agreement that the real estate and mortgage businesses will never become fully automated. There are certain steps in both real estate and mortgage transactions that require the presence of a person.

DON'T USE REALTOR.COM OR ZILLOW.COM, RIGHT? For the record, most of my borrowers know of, and use both of these sites. I've never needed to use them so I just go off what they tell me. You're still welcome to give me other suggestions to offer my borrowers.

Some people responded by providing facts to prove me wrong. I noticed a lot of responses that were laced with sarcasm, or were attacking me personally. There were too many holes in my argument to just let me win that. If I was a potential client reading that dialogue, I'm would hire the person who used their knowledge, as opposed to sarcasm.

My favorite response would have to be from Jay Merton. Jay proved you can win an argument and still be a gentleman about it.

I had fun with that. It's going to be hard to duplicate that passion next time around. ActiveRain.com definately has some thinkers here. I'll have to find a different topic for us to but heads over. Talk to you soon!

Here are some of my favorite comments:

"I simply had to come back for a visit, just to see the comments you received. In my first comment I wrote: "If your intent was to make a splash with a provocative topic-you may have succeeded!" I expected you would receive some very negative comments from some of our members (and unfortunately I was not wrong in that expectation), others would politely disagree and add to the debate, some applied humor to the debate and some thought it thought-provking.

I was pleased to read your replies to
the comments-with good grace and humor: "Touché."

That your post was featured is no surprise to me-it deserved to be featured! Some members disagreed with your original premise and could not imagine why a post they disagreed with should be featured. This makes no sense what-so-ever to me. How boring the ‘Rain would be if we all agreed with
one-another!

-Jay Merton

"I don't agree totally. A shake-out is on the way. Any REALTOR who thinks that s/he will be unaffected by the increased availability of real estate services on the Internet is delusional. Just like stock brokers in the late 90s who said that etrade.com and other web stock brokerages would soon be extinct. However, just as the best stock brokers survived the rough years in the market since 2001, so will the BEST REALTORS survive the evolution of our business. "

-Darren C. Douglas

"As TLW has commented many times before. Your computer can never take the place of a good advisor.

Sure, computers and fancy websites will forever be an intrical part of the process and I'm sure there is some percentage of buyers that may prefer to work in the virtual world, but for most people buying a home is a touch n feel transaction. They want hand holding and reassurance that their doing the right thing.

However, I would be remiss if I didn't point out that the travel agency business was once a thriving business in the pre WWW days. Then came Orbitz, Priceline, and the Travelocity's of the world; and this industry has all but ceased to exist.

The real estate community needs to embrace computers and the web for the value they add and recognize that the true value resides in the knowledge and understanding of the truly qualified realtor or loan officer. "

-Martin Rodruigez

"If I go down I'm taking the car sales people with me. "

-Greg Cremia

Nearing the End For Realtors and Mortgage Professionals

iWantDocs.Com, LLC — Sat, 10 Feb 2007 13:21:23 -0600

Nearing the End For Realtors & Mortgage Professionals.

Web real estate firms shake up home economics - Los Angeles Times

Well....so much for having my own niche, huh? If I told you that the housing industry has only begun to "dabble" into generating sales via the internet, you'd probably think I was joking. The internet has indeed become a powerful tool for both realtors and mortgage lenders, but to what extent does it generate new business? I guess another way to ask that is:

"Can a website do the same job as a realtor or a mortgage professional?"

The answer is....ABSOLUTELY! It's already in the works. At this point, it's still used mostly to suppliment the work of realtors and loan officers. However, emerging websites like Realtor.com are providing buyers and sellers with much of the same information as their real estate agents. Zillow.com is another popular website which is used for determining real estate values all over the country. Like many other industries, real estate & mortgages transactions will soon be generated, processed, and finalized over the internet.

1.) Realtors will be the first to be eliminated.

Real estate sales are heavily influenced by outside forces. Economic
conditions, interest rates, housing prices, and income averages
are variables that directly effect the real estate
market. Realtors are often at the mercy of changing market
conditions, regardless of their ability to sell. If houses are too
expensive, people won't buy them......period. Obviously, I'm speaking in
generalities and there are always exceptions to the rule. The other major cause for their extinction is their price. For how much a realtor charges, it's far too easy to figure out a way to eliminate the need for one.

2.) Loan Officers..........YOUR NEXT!

Like realtors, loan officers experience fluctuations in their business due to a changing economy. Loan Officers, however, rely more heavily on their ability to sell than do realtors. At the risk of upsetting any
realtors who are reading this, it's the truth. Also, no matter how bad market conditions may be, people will always need money. Without doing any research, I'm going to guess that real estate transactions
(sales/purchases) fluctuate far greater over time than mortgages.
Just a hunch. You're more than welcome to do the research and prove me wrong. I'll even post it on this site for you.

A Home-Buyers Checklist

iWantDocs.Com, LLC — Sun, 28 Jan 2007 12:32:53 -0600

If you're in the market to buy a home, make sure you have all your bases covered. This article explains the important steps involved in purchasing a home, and can serve as a checklist for anyone unfamiliar with the process.

Remember: As a buyer, you currently have all the negotiating power, so don't let it go to waste!

Don't be affraid to low-ball an offer. You just might be supprised at what sellers are willing to take for their homes right now.

Happy hunting...

10 Steps to Take Before You Sell It

iWantDocs.Com, LLC — Fri, 12 Jan 2007 04:39:52 -0600

California: Inland Empire: Real Estate & Mortgage : Refinance, Purchases, and Debt Consolidation

If you just put your house up for sale recently, don't start packing yet. Sad but true, the national averages indicate that homes are staying on the market for around 90 days. What worries me about that is most of the people selling right now don't have that much time. In fact, most sellers right now are down right DESPERATE!
The increasing numbers of foreclosures proves my point...Consistent double digit gains to put it all in perspective. SCARY!

OK, if you're still serious about selling your house, even after that...you better get to work. You've probably heard the numbers regarding housing inventory, so you know there's competition out there. If you've never been in sales, allow me to extend a little knowledge. With market conditions like these, you have to face the facts. Right now your home "comes a-dime-a-dozen". The only way you have a chance to sell is if you meet at least one of these two conditions:

1.) Your home is better than the 200 other comparable homes for sale in your city.

-0r-

2.) You're cheaper than they are.

In California, sellers are refusing to accept the fact that their home is grossly over valued. Elementary econ theory tells us:
when there is excess supply, prices must fall.

If you can meet at least one of the two conditions, you have a chance to sell it. I already know you want to avoid the 2nd condition, so let's get to work on the 1st. If you need major upgrades on your home......good luck! If it's just a little rough around the edges, you probably want to start polishing it up. A little paint here and there does wonders and isn't very expensive. Trust me, you will have the time to do it.

Top 5 Ways to Instantly Boost Your Credit Scores

iWantDocs.Com, LLC — Wed, 10 Jan 2007 14:07:19 -0600

(When I wrote this, it wasn't intended for this site because most of you already know this. However, I decided to post anyway because it might benefit less experienced LO's or Realtors. Please let me know if there's anything you think I missed in this article. -Thanks)

Believe it or not, some of us have problems with paying our bills on time. I think it's fair to say that most of us have had at least one debt go unpaid at some point in our lives. Whether it was a $5 late charge from Blockbuster you forgot about or a late mortgage payment to the bank, we've all been guilty in some form or another. For those of you guilty of the latter, this article's for you. Chances are if you're not making your mortgages payments on time, other debts are also being neglected. You already know the best way to fix this problem...PAY YOUR BILLS ON TIME! But if you're looking for a "quick-fix" to boost your scores today, start taking notes. Working with "Sub-Prime" borrowers, as they're called in the mortgage industry, I've become somewhat of an expert on repairing credit scores. Just as important though, I have learned to help my clients maintain their scores once we've raised them.

After running thousands of credit reports over the years, I have only seen a handful of scores actually in the 800's. None have been 850, which is the highest possible score. If you desperately need to raise your scores today, I can help. If you just want to impress your friends by having higher scores than them, I can help...I guess. As consumers, our credit report displays our financial time-line. Increase your scores and you increase your consumer buying power.

Know Your Credit Scores: What many people don't realize is that credit (FICO) scores largely reflect your recent payment history.
A person with poor to bad credit can dramatically increase their scores by
making just 6 months of timely payments.
There are, of course, other contributing factors which I will also explain. Your outstanding collections aren't hurting you as bad as you think. They do count against you, however, they're not weighted as heavy as your recent payment history. Start checking your credit report at least once every few months. I find so many errors on credit reports that actually hurt my clients' scores. Cases of fraud are also very common making it that much more important to check it. If you are a homeowner and would like to receive a free credit report and analysis, submit your request here at http://www.directloanpro.com/.
Lower Your Credit Balances: The best trick for boosting your scores fast is lowering the balances on your revolving credit.
You want to try and keep your balances below 40% of your available credit limit.
For example, if your credit card has a limit of $10,000, you want to lower the balance to under $4,000. I have seen credit scores jump higher than 50 points by doing this. Even if your balance is only around $5,000, lowering it just a small amount can greatly improve your scores. Once your balances are lowered, keep them there! If you must, go get another card. Always remember to keep the balances low.
Open New Credit Lines: You need to have open lines of credit to establish credit scores. Opening new lines of credit is not always a bad thing.
The credit agencies want to see high credit limits with low balances.
If you're maxed-out on all your credit cards, opening a new one CAN help you. I'm not saying to go out and apply to every card offer you get, but this is a way to lower your debt-to-credit limit ratio. If you do this, I highly recommend cutting up the card immediately. If using this advice to increase your scores, you probably don't need to be incurring anymore debt. Also, NEVER CLOSE YOUR CREDIT CARDS! Revolving credit helps your score. If you don't need it, don't use it. Make sure that it stays open and shows on your credit report.
Transfer Credit Balances: Sometimes, raising your scores can be done without having to pay down anything. If you took out another credit card like in Tip #3, it's not a bad idea to spread your balances throughout your various cards. Try to keep the balance of each card under the 40% I mentioned earlier. Make sure you're not getting charged high interest rates or hidden fees by doing this. Some credit card companies offer promotions that allow free balance transfers from card to card.
Dispute Late Payments: This trick doesn't always work. Obviously, if there is an error on your report and you can prove that it is such, this most definately works. However, this can also work even if you owe the money. Defending a dispute can cost creditors and collection agencies more than they are willing to spend at times. Not many people have the know-how, or the resources to dispute debts the in proper way. Doing this on your own can be a major hassel, but if you know how to do it right, it can be a major relief. Post a comment if you would like more information on this and I will reply.