Mike's Blog

Can You Afford That House?

2008-05-14T13:19:07Z

Before you start searching for your dream home, you first need to determine a price range you can afford. According to the Federal Housing Administration (FHA), depending on the consumer's current debt ratio, most people can typically afford to pay 31 percent of their gross monthly income for mortgage payments. For example, if you earn $50,000 annually, then your monthly income is about $4,167. Thirty-one percent of that is $1,292.

There are several online tools to calculate a monthly mortgage you can afford using factors such as your current monthly expenses, down payment and the interest rate. You can also work with a lender to get pre-qualified for a loan. This estimate will help you gauge how much money you may be able to borrow and the monthly mortgage payments.

However, the amount you are able to afford for a home loan should not be your only consideration for determining your price range. With homeownership come other housing expenses.

Utilities

The most obvious of additional housing expenses are utilities-gas, electricity and water. But don't forget about telephone, trash collection, and cable or satellite bills.

Taxes

As a property owner, you are responsible for property taxes. The rate will vary from city to city. In our community, the tax rate is 1.57 percent. That means for a home with a market value of $200,000, yearly taxes will run $3140.00. To get a general idea on how much the tax bill will be for a property, ask the seller for a copy of the previous year's tax assessment. Your real estate professional can help you refine these figures.

Association Dues

Another cost you may incur is homeowner association (HOA) dues. Most condominiums and some (residential developments/subdivisions/neighborhoods) have HOAs, which are legal entities, created to maintain common areas and enforce deed restrictions. As a property owner, you are required to pay the established monthly or annual homeowner association dues. Be sure you factor this cost into your budget.

Maintenance

You also need to consider the upkeep of your home. You should budget for seasonal maintenance such as lawn care, pest inspections and carpet cleaning, as well as unexpected repairs. The amount you budget will depend on the age of the home, as older homes tend to require more repairs such as installing a new roof, painting and replacing older appliances.

Insurance

Depending on the type of coverage and your area, the costs for homeowners insurance each year can be anywhere from a few hundred to thousands of dollars. And, if you live in an area that has high risks for flooding, earthquakes, hurricanes, etc., you may need supplemental insurance.

Remodeling/Upgrades

Unless the home you purchase is picture perfect, you'll more than likely be adding your personal touch. Therefore, you need add to your housing budget the costs for remodeling and upgrades. According to "Remodeling Magazine's" 2007 Cost vs. Value Report, the national average for a midrange minor kitchen remodel is $21,185; a bathroom remodel averages $15,789.

Even minor cosmetic fix-ups such as light fixtures, window treatments, carpeting and decorative cabinet knobs can begin to add up.

By determining all the costs associated with homeownership, you can go into your home search with a reasonable price range that will allow you stay within your budget.

Can You Afford That House?

Mike Gambino is part of Prudential Patterson Realtors® and can be reached at (800) 321-8586 or contacted by e-mail at WeCanSellHomes@sbcglobal.net . You may also visit us at http://www.wecansellhomes.com/

Prudential Patterson Realtors is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential Financial company. Equal Housing Opportunity.

While the contents in this article will apply in most states, they may vary in your particular locale. Mike Gambino is a licensed salesperson in Missouri.

Avoid These Seller Mistakes

2008-03-15T15:02:13Z

You want to get the best price for your home, plus sell it in the least amount of time. In a buyers' market such as the one emerging now, homes will take longer to sell. Therefore, it's important that you make the right moves at the very beginning of your homeselling process to remain competitive. Here are some common traps that many homeowners fall into and how to avoid them.

1. Over-pricing - It's easy to think your home is worth more than the current market may support, particularly after the long run-up in home prices. Since home prices have cooled in markets around the country, home sellers must be prepared to negotiate on price and terms, and stay flexible to other stipulations benefiting the buyer. Sellers must also keep their emotions in check during the process. After all, your home is special to you and your family, and you're proud of the improvements you've made over the years. But, how does your home really stand up to the others? And are those improvements important to a potential buyer?

To determine a reasonable listing price, get sales statistics on homes in the neighborhood including listing prices and actual sales prices, how long it took for the homes to sell, and government valuation comparisons. You'll also want a market appraisal on your property. Visit homes for sale in your area and compare what you see in terms of sales appeal.

2. Negligent Housekeeping - Buyers need to be able to envision themselves living in the home. Take a good, objective look at the condition of your home. Clean, well-kept homes with an updated appearance always stand out, and a little decorating appeal can go a long way. You don't have to buy new furniture to create charm, but you can put toys and clutter away, freshen up paint and carpet, make the most of window coverings, and add a few key accessories in order to send out welcoming signals.

3. Failing to Fix-It - Buyers, unless they are looking for a fixer-upper, would prefer to move into a home that is in perfect or near-perfect condition. If they have to fix the roof, a broken tile floor, the garage door, worn carpet or just about anything, this may give them pause about buying. At the very least, it may lower the value of the home in the prospective buyer's mind.

4. Not Identifying Exclusions - This can be a cause of contention just at a critical point in the sale. Be sure to specify any special sales considerations or exclusions from the fixtures and furnishings list. Generally, anything permanently fixed to the house is an asset that stays with the home after the sale. So if you intend to take your grandmother's antique chandelier that's hanging in the dining room, clearly specify that the chandelier is not included in the sale price, or better yet remove it prior to listing your home.

5. Not Understanding the Agent Agreement - Your sales endeavor will go smoothest when all parties have a clear understanding of what is expected. Understand the types of agency agreements when you sign with a real estate professional or company.

Be sure to check on fees, commission percentages, marketing plans and timeframes. Most importantly, get everything in writing.

Prudential Patterson Realtors is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential Financial company. Equal Housing Opportunity.

While the contents in this article will apply in most states, they may vary in your particular locale. Mike Gambino is a licensed salesperson in Missouri.

Where's Waldo in the Real Estate World?

2008-03-09T13:16:12Z

In many parts of the country, selling your home right now can seem a little daunting. There are many more homes on the market and many of these are foreclosures, though not always in the droves that the media talks about. At least not in many markets. This attention to real estate has in many ways traumatized buyers into hiding in the cave till the news gets better. This is not a wise choice from a financial standpoint or an investment standpoint and has many shaking their heads as to why more people are not purchasing during this opportunity period.

If you are trying to sell your home and are facing limited showings, low or no offers, I would have to ask you to stand back and reassess your home. Is everything being done wisely and to the best of your ability and the same would apply to your Realtor? This is a time when you have to have things perfect or really, really close to perfect, priced properly for the market and have great appeal to even get the buyers out of the cave.

Brighten up and add color to the front of the home to enhance the curb appeal. Your first goal is to make buyers want to stop. Once at the front door, is the first room they enter bright, cheery and inviting. It should be as this is your homes handshake with a potential buyer and in their eyes the decision to continue though the home. Your home should smell clean and fresh. Try using natural scents such as Apple Spice or Cinnamon. Stay away from floral smells as they are not as welcomed by the general public. Make sure all your lights and lamps have the brightest bulb allowed for each fixture. Consider having a professional home stager work with you to give your home the most "POP". Keep the yard clean, grass cut and leaves raked. Empty trash cans that are in your home regularly, keep litter boxes constantly clean if you own a cat, and always place the toilet lids down. When your home is going to be shown, the curtains and blinds should be open and allow as much natural light into the home as possible. Having your windows sparkling clean will make it seem even brighter in a room. When cleaning windows, clean them horizontally on the outside and vertically on the inside to make any streaking almost invisible. It also helps you determine if you missed a spot which side of the glass it is on.

Pictures that are taken of your home and yard also need to enhance and embellish your features. An example of a yard picture as seen below shows how most pictures are posted and below that is the polished product. Which would catch your eye and appeal to you?

On this property both photos were used to show how much park property lay just outside the yard. The same was done for this properties Master bedroom which is enormous compared to others in the area. These are just a few ideas on better attracting the offer you want on the home you have to sell.

When listing your home for sale, you have to be the outstanding, priced right home and not have buyers looking for you like the Where's Waldo book. Your home should stand out amongst the rest and not be so difficult to locate that actually finding Waldo would be easier.

Prudential Patterson Realtors is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential Financial company. Equal Housing Opportunity.

While the contents in this article will apply in most states, they may vary in your particular locale. Mike Gambino is a licensed salesperson in Missouri.

Dealing with Stress!

2008-03-07T13:45:11Z

Ah, how true it is. We all have stress at different times in our lives and in our professions, but the ways we deal with it vary from person to person. Some deal with it with what I call the short fuse, meaning it doesn't take much to set them off. Others the long fuse which are the people that let their stress build up over a period of time and then go off. Then there is that person that like me (for the most part) use the stress to motivate them to excel. Don't get me wrong, I started out as a short fuse and then migrated to a long fuse and now I am fuse-less (again, for the most part).

I have found that going off on someone because you are stressed about something never fixes the reason you are stressed in the first place. Sure, it may offer some temporary satisfaction that you vented your woes, but in the end you still have the situation that is causing the stress. Channeling your stress to excel and resolve the stressful situation always works best for you and for those around you. Remember sharing your stress with someone in a negative way can lead to adding a stressful situation to that person who may be a short or long fuse person. If you set them off, it may just compound your stress as you have now alienated another person.

So tonight before you hit the sack, make a commitment to divert your stress into a positive way of accomplishing the task at hand and worry less about the troubles that got you there. You just may find out it wasn't so bad after all. Remember, trying times are only temporary and this too shall pass.

If you can change the situation - Don't stress

If you can't change situation - Don't stress

Coming Soon!

2008-03-04T12:15:08Z

Coming Soon! Have you seen this a lot in your neighborhood? In my area many agents have sign in the yard announcing a new listing coming on the market soon. I have actually done this myself to build anticipation in the market and also to get calls on the property prior to it actually being available to show.

Many agents have mixed views on this subject. One problem is agents that announce coming soon and the home is not available to show for several months. I do find that to be an injustice, but for those that may want to announce the upcoming event while the homeowners are making those last minute touch-ups that we've recommended, I see no problem. Certainly you need to have your listing contract in place prior to placing a sign in the yard.

As an agent or consumer are you bothered by seeing a Coming Soon sign? What does this say about the listing agent? Personally, it does not offend me and I actually believe the agent is doing the best for the client to fully market their property. So the next time you see the sign announcing another property will be available soon, line up your buyers to be the first one in.

Coming soon can lead to a contract coming soon and that is never a problem for any of us.

Prudential Patterson Realtors is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential Financial company. Equal Housing Opportunity.

While the contents in this article will apply in most states, they may vary in your particular locale. Mike Gambino is a licensed salesperson in Missouri.

Great Commercial Property with Tons of Exposure

2008-03-02T22:49:24Z

Building on the left is now SOLD! Still have the one on right available.

Great exposure and frontage on Mexico Rd just West of Mid-Rivers * Possible uses: small office, insurance agency, chiropractor, dentist or similar business * Great traffic exposure. Use AS-IS or get in and remodel to your need. Stop here and make this your new location * Property will be sold AS-IS with sellers making no repairs, nor having any inspections performed or provided * Buyer to assume all inspections for occupancy * Great price for a commercial location. 2 Separate buildings. You may purchase 1 or both. $165k each.

Call Mike Gambino for more information or to schedule a showing @ 314-506-6700

Mike Gambino is a licensed Real Estate Agent in Missouri with Prudential Patterson REALTORS

Beautiful Home In Hazelwood, Missouri

2008-03-02T22:34:19Z

Wow! Really neat 3 Bedroom, 2 Bath Home with LOTS OF UPDATES... some of which include: Furnace, a/c, roof, 200 amp electric, windows, gutters, appliances * This home also has Beautiful HARDWOOD FLOORS and loads of CUSTOM MILL-WORK throughout * A Huge and CUSTOM FINISHED Lower Level shows more of the intricate millwork and has a CUSTOM BAR AND GAS FIREPLACE * The yard has a patio and is fenced and level * First Come, First Sold!!! Priced at just $129,900 for approximately 1160 sq. ft. of home and sits on approximately 9450 sq.ft. lot.

Sellers will also consider a lease or lease purchase.

For your personal showing, call Mike Gambino @ 314-506-6700.

Mike Gambino is a licensed Real Estate agent in Missouri with Prudential Patterson Realtors.

Yes, I Scan and so Scan You!

2008-02-29T00:57:48Z

How many boxes of old files do you have sitting in your basement, garage, office, attic, storage building, or in the trunk of your car. For those of us in the real estate business, we are told to hang on to all of our files for a minimum number of years. Well, if you have been in the business awhile, the boxes pile up. Once in awhile you even have to go back through them to find a document that a client needs and can't seem to locate.

Do you want a better way of handling this conglomerate of old paperwork? Scan it. Something I started doing a couple of years ago. After a deal would close, I would scan every bit of paper related to that sale into a .pdf file and save it to my computer. At the end of the year, I will take the folder with the years sales and save it to a CD. Some of the benefits of doing this are, it makes it very easy at the end of the year to print-out and send copies of the clients HUD-1 to them for the purpose of tax preparation. It also saves a ton of space. If a client should call and say they need a copy of the survey that they can't find, I can locate it in a matter of minutes and print it or e-mail it to them.

Once I have everything saved, I generally only save the paper files for 3 years before having them shredded to protect any personal information that is contained in the file. Using the office scanner makes the task very easy and takes very little time.

So if you want to make your life and business a little simpler and more efficient, Scan away. You can even send your client a CD with all the paperwork related to their real estate transaction and they will love you for it.

- OR -

You Decide!

Good News, BAD NEWS

2008-02-27T17:00:08Z

In preparing to write this blog, I was trying to find a picture to post at the top to emphasize something that has often troubled me. Many of the posts on AR and other blog sites along with the media always seem to get the most attention from the bad news and not so much on the good. When I looked for the picture that expressed my concern, I found it almost immediately. Once again BAD NEWS is emphasized.

What is it in our make up that makes us crave the down side of almost anything in life? We all profess to want to stay positive and be around positive people, help others, we want better for our kids, ourselves, the economy, the government. The list goes on and on, yet in the same breath, we tend to do a lot of the opposite.

Maybe it's the sensationalism in the dark side of things or the suspense of not knowing what will happen next. Could it be that we like to see how bad someone else has it so we feel better about ourselves? I don't know the answer.

I reviewed all of the posts I have put on AR and found this to be evident. If my post concerned a possible problem, everyone flocked to the post at nearly 5x the rate of a positive, uplifting or encouragement post. So, now I'm confused as to if we all feel that if it is good information, while it may be great advice, I don't need to respond or if it is bad news or a trying situation, we just need to respond to help or offer advice.

While I say all this, please do not take it out of context. If someone is in a pickle, the advice, support and encouragement is certainly welcome. I just think that if we (and I mean the human race) paid less attention to all the bad news and focused on the good we'd be in a better place. After all we have never heard of a serial do gooder. We can certainly get into bad situations on our own without having it compounded by spreading the gloom faster than we can finish this sentence.

Staying positive through difficult times will make you stronger and successful. Experience is not measured in time, but in the ability to overcome our failures.

Wow! A Great Stapler to add to your Workstation!

2008-02-21T01:14:36Z

Have you ever had one of those staplers that either never stapled properly or you had to hit it with your fist to get it to staple through more than 2 sheets of paper? Well, no more!

I recently purchased a new stapler for my office because my electric stapler stopped working properly. The replacement is made by PaperPro and is absolutely wonderful. The company sells different varieties that will staple from 15 - 60 pages of paper with no more than a touch of 2 fingers. They are spring loaded, somewhat like a staple gun but with a lot less pressure needed. They also make a 3 hole punch that I may add to the workstation. This is not a paid endorsement, but I felt it was worth sharing. If your in need of a replacement or tired of fighting with the one you have currently, then give it a try. One bit of caution. Read the directions on loading the staples. If you load them the way you think you should, the stapler will not function. These staplers use standard staples.

If you own one, share your comments. If you don't and decide to get one, let me know if you share my new joy of stapling!

This House STINKS!

2008-02-20T23:33:13Z

I mean really stinks! Ok, so we've all been to those homes. Sometimes it's the pets. Sometimes it's the kids. Could be the trash can or possibly the last meal that was cooked. The odors that take place in the home are many times not as noticeable to the homeowner because they are there all the time and grow accustomed to some of the odors. Especially true with cat odors. How many times have gone to an OPEN HOUSE and upon entering, wish it had been OPEN for a couple hours before you got there. I mean every door and window open.

Often it is mentioned to homeowners to bake bread, a pie or cookies. Discussed also are plug in air fresheners or the little oil scent sticks. These are all good suggestions, but aren't always used.

Last month, I was walking through the mall with my wife, who suggested we go into Bath & Body Works. Hurray! That put a thrill to the afternoon of shopping (said with much sarcasm). Ah, but I digress. While in the store I noticed a little silver container with a orange-ish dot on it. Written across the dot it said FOR HOME. I picked up the little silver canister that resembled a CO2 cartridge for whip cream dispensers; only on steroids. It turned out to be concentrated fragrance spray. They had several fragrances to choose from, but I chose to test the Creamy Caramel and a Cinnamon fragrance. Now let me tell you, I have had several spray air fresheners around the house and they smell OK, but these really smelled nice. I picked up those two bottles and when I got home I sprayed just one spray in my foyer and the scent lasted for at least three hours. The scents are not overwhelming and really seem to last.

I now carry one of the cinnamon bottles in my Open House kit, just in case the home needs a little help for those few hours. It has made a world of difference in peoples reactions. The fragrances are made by Slatkin & Co. for Bath & Body Works and run about $5.00 for a 1.5 oz canister, but at 1 squirt per room, will last you a long time.

Homeowners, even if you think your home smells wonderful, a little squirt can't hurt. It can entice people to stay though.

Looking for the next Open House. Just follow your nose!

The Real Estate Market Will Boom On April 1st, 2008!

2008-02-19T03:00:18Z

The World Will End, April 2nd, 2008! Wouldn't it be great if we could know all? Probably not! Everyone throughout the country is talking about what the real estate market is doing, has done, will do and all have their twist on the reasoning.

The bottom line is, the real estate market runs in cycles. Always has and always will. The recent circumstances surrounding each cycle have been different. Some have been caused by the depression, others by the inflation index, or interest rates. The latest cycle has been affected and effected by two causes. One, being the loan programs that enabled too broad of a spectrum of buyers the ability to get loans that they probably shouldn't. The other, being the constant barrage of the media dispelling gloom and doom on the market.

While we certainly have problems in some markets, others are doing just fine. The truth is, this is still one of the best overall real estate markets in the history of real estate. Banks still have money to lend, interest rates are still very reasonable and there are still people living on this earth that have homes to sell and others that want to buy. For the buyers out there, what are you waiting for? The market will not stay like this forever. At least it never has in the past. Don't be kicking yourself down the road, thinking, if I had only bought last month. Opportunity doesn't wait for the knock, the door is revolving all the time and what side of the door you end up on is dependent on when you get in line.

If we all had crystal balls to predict when to buy and sell, we would have no market, because while it would be better for one, it would be worse for the other. So, what are our options? Let's review some other theories that we have heard over and over again. Buy low, sell high. Borrow low. Get while the gettin's good. Supply vs. Demand. You get the point. All past rules, guides and advice tell us that if we are buying, now is the time to get the best home for the least amount of money. Now, you could be reading this and thinking, sure, just another real estate agent trying to get some business. I would agree with you. I would also ask you to think about who would benefit the most from the advice? What should Realtors do? Shouldn't they be advising for your benefit? You bet they should! It isn't just about making money, it's about giving our clients the best advice to reap the greatest reward. If you have ever used a Realtor before, did you ever wonder why they negotiate the best price possible on your new home? I once had a client ask me why I would want to negotiate a better price on his home when I get paid based on the sale price. The answer should be the same for all professional Realtors. It is not just about the money, it is about doing the right thing for the client. We are working on your behalf, not just our own. Now, that said, we do still have to pay our bills just like you do and expect to get paid for our professional advice and service. After-all, we should be the protectors of your equity.

Don't let the gloom and doom of the news detract you from what may be your Golden Opportunity.

Prudential Patterson Realtors is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential Financial company. Equal Housing Opportunity.

While the contents in this article will apply in most states, they may vary in your particular locale. Mike Gambino is a licensed salesperson in Missouri.

Strategies for Selling a Vacant Home

2008-02-17T23:22:48Z

As the real estate market continues to stabilize, sellers may find that their property remains on the market significantly longer than the days of "list today, sold tomorrow." There is also more competition for buyers. So, it can be frustrating to put your home on the market, expecting a fast sale, only to find that after six months you're still waiting for an offer. This is especially true if you need to move quickly and leave your unsold home vacant.
Besides creating a marketing challenge, a vacant home can also be a target for vandalism. Here are strategies you can use to hasten a sale and protect your property during the process.

Instead of producing a spacious appearance, an empty room tends to look smaller than a furnished room. So, leave behind a few select pieces of furniture and keep the window treatments in place. A chair or lamp on a small table will confer a sense of scale and help potential buyers gauge whether their furniture will fit the space.
If you decide to remove the furniture, have the house cleaned and painted. Furniture, rugs and decorations tend to hide or minimize imperfections. When furniture and artwork have been removed, every blemish and bruise becomes accentuated, faded paint and wallpaper become more noticeable and scratches and nicks stand out.
Repaint brightly and boldly colored rooms to a neutral tone. What was an eye-popping room when fully-furnished may appear stark and small when empty.
To thwart unwelcome visits, give the house a lived-in look. Set a couple of lamps on timers, and ask a neighbor or friend check on the house daily to collect mail, park a car in the driveway, and close and open drapes and windows. Continue using a gardening service or hire someone to cut the grass regularly. During the winter months, arrange to have snow shoveled from the walks and driveway.
If available, consider employing a home manager or house sitter. At little or no cost to homeowners, the house is furnished and decorated for show-to-sell condition. Most companies require home managers to mow the lawn, shovel snow, even pay pool maintenance and utilities. Having someone living on site discourages vandalism, protects against deterioration and weather hazards and may even reduce insurance costs. (Check with your insurance carrier.)
Leave the utilities connected. Depending on the season, make sure the thermostat in the house is set at a comfortable level. You don't want a potential buyer to run through the home because it is too hot or cold.
Review your homeowner's insurance policy with your insurance agent to find out what the stipulations and coverage pertain to your vacant home.
Find a real estate professional with experience selling vacant houses. Often, these sales professionals specialize in relocation. You want to make sure that you are comfortable with your lines of communication. If you will be residing in another town, come up with an agreement on how often your representative will check on the home and what should be done if a problem develops.

Although a vacant house presents certain challenges, it does not need to be difficult to sell.
.

Prudential Patterson Realtors is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential Financial company. Equal Housing Opportunity.

While the contents in this article will apply in most states, they may vary in your particular locale. Mike Gambino is a licensed salesperson in Missouri.

Inexpensive Marketing for New Agents (The Final Chapter)

2008-02-14T00:49:46Z

Final Chapter for this series anyway. More thoughts and ideas coming soon.

In the past posts, we have discussed different methods of marketing yourself with less cash outlay than commercially printed material. Now that we have our post-cards, newsletters and data base set-up, let's put it to work.

There are several areas we can use all the tools you now have at hand. Postcards can simply be mailed to our farm and/or sphere. The same with newsletters. In my humble opinion, let me just say in 11 years in real estate, I have received 99% more business from my sphere of influence (people I know) than in farming an area. Farming areas can pay off, but the cost of mailing to large subdivisions on a regular basis when you are new in the business can break the bank pretty quick. A lot of large businesses have gone belly up because they grew too fast and could not handle the load. Those with longevity keep to a slow steady growth, taking the baby steps. I agree with that philosophy. I also believe that the larger your sphere the faster your business will grow. On the other hand you can only accommodate so many people by yourself. Alone I don't believe your sphere should grow beyond 250 people. That is not open to debate, just my personal feeling.

So, market to your sphere making them your most important and dearest friends. Mail them the newsletters, send them the postcards of Just Listed and Just Sold. Let them know you "Did It Again!" These folks should be the main target of the postcard and newsletters. If you want to farm an area with the newsletters, pick a small neighborhood of around 200 homes. This will keep your costs down and your efforts will have greater penetration into your area. You can always expand as your business grows.

Let's talk now about the brochures. Again, many agents have different views on their effectiveness. If you think about it, what is the purpose of a brochure? What's the purpose of a business card? The business card gets your name and contact information out to people, but do they know anymore about you than they did before they saw your card? Not really, other than knowing your a Realtor. Brochures paint a picture about you, your business, your philosophy, what you do, how you do it and how it benefits them. Try using your brochures at open houses. You want to talk to the people and have them remember you, don't you? How many other agents hand them a brochure as they are leaving and ask them to take a moment after they finish looking at homes and learn a little about you. Ask them to call you if they have any questions about any of the homes they have viewed. This is one more opportunity to put something in their hands that no one else even offered. Just in that aspect, you have given them something to remember about you.

Have you ever left business cards in one of those business card holders at your, dry-cleaners, hairstylist, barber, nail salon, etc. Do you get tons of calls? When I see these, I ask myself, "What is this person asking of me?" Do they think just because I see their card I'm going to run to the phone? Again, it comes back to the amount of knowledge they have of you. I think all the places mentioned above and anywhere there is good flow of the public is a great place for brochures.

I'll give you another area that is great. Next to the plaza where my office is located, there is a bank, and in the lobby they have a rack for agents to place fliers of their listings. Pages upon pages of pictures of homes, with the little agents picture at the bottom of the listing sheet. Oh Yeah! Not one of them has their listings sheet with a brochure attached. Now, I stand out.

You now have some ideas to help you get started and grow your business. I have given some suggestions and advice, but there are certainly more avenues to market yourself and opportunities to get noticed. Go out, have fun and make yourself known.

Inexpensive Marketing for New Agents (Part III)

2008-02-13T15:10:40Z

We've covered a few topics in my previous articles, now let's take on one more.

Brochures!

Many experienced agents will have mixed views on whether you need one or not. Any marketing tool you use can have benefit. A lot depends on how you use the tool. First let's talk about going about creating the brochure and then discuss how we can use it to
enhance and draw clients to us.

Designing a brochure is similar to designing the newsletter. Create the brochure with one of the same program you did the newsletter with depending on what is already on your computer. Typically they will have sample designs and templates already created for you to guide in the layout. You need to first decide on paper what information you want to share in your brochure. Remember the most commonly used brochure is
a tri-fold so you will have 6 panels to deal with. You'll want to work with the layout that best fits the information you want to include, but remember, unlike a newsletter, your brochure, for the most part, will remain the same once you develop it other than
occasional updates.

I'm going to explain the brochure layout in viewing order and in parenthesis will give you the panel and page that you will be formatting. Front page = page 1, back page = page 2.

The front page will be the one you see when folded (3rd panel on page 1). This should be simple and draw attention. Your picture, your name, background (optional) and maybe a catch phrase or logo and Company name. Your picture can be either a full standing shot or a head shot. You might even try your picture from the waste up stemming from the bottom of the page. Again, be creative and see what works best for you. Remember this is the first impression you give and the deciding factor in someone
wanting to open the brochure to find out more about you. This is your curb appeal, so to speak.

The next panel will be the the inside front cover (Page 2, panel 1). When you open the cover, you will visually be seeing 2 pages. When you are looking at the brochure you will want to have good flow and visual presentation to catch the eye and make the individual want to open the whole thing. I relate this to the walking in the front door first impression. So, perhaps on the inside front cover you will want to have the reasons someone would choose you as their agent. Show off your business philosophy and reasons you are in this business. I would also suggest that this page contain your contact information.

The page that also shows before fully opening will be (Page 1, panel 1). On this page, you could share your profile, written in the third person. Example: Mike Gambino with Prudential Patterson brings a great deal of experience to the real estate table. Past experience includes, etc., etc. You can also mention your affiliations such as local board, NAR, etc. Volunteer participation, membership in civic groups. Experienced agents can state that they have been in the business since 19XX, but you notice for new agents , I just stated above that you bring experience to the table from past employment or educational experience. Right now that's all you have to offer, so brag about what you have and don't expound on what you don't. (note to experienced agents: I like using the year that you entered real estate as opposed to years in business because it is one less thing you will have to remember to update every year.

At this point, we hope you have captured the viewers attention to you brochure and when they open it completely, they will now see all of (page 2) the inside of your brochure. On page 1 we have already addressed panel 1 so let's move on to panels 2 and 3. Panel 2 is for special information that you want to share such as areas or cities that you service. You could also share your personal guarantee of service or just a commitment to providing excellent service. Panel 3 could contain company profile and information.

Page 2 All Panels Page 1

Turning the brochure over, the only panel we have left to format is Page 1, Panel 2. Before you start plugging away here, you'll want to make a decision. Do I want to make this a handout brochure or a mailer. If you want to make it a mailer, the only thing left to do is set it up as the front of an envelope. Return address info can be placed, and you can make the delivery address block to accept a mail merge if you are familiar with doing that. If not you can always stick a label on it if you want to print the brochure up in advance. If you decide to use as a handout, you may want to include here, service that you can assist clients in locating. Contacts such as Mortgage Lenders, Title Companies, Insurance Agents, Home Inspectors and other services that may be useful to them. Remember the more you can offer a potential client the more reason for them to use you. I also like to have my contact information included on this page also, either in the return address if you are creating a mailer or on the bottom of the page if you create a handout.

Remember to make Titles for each of the sections of your brochure, use the same font for Titles and a different one for the material you write under each title. Use a mix of graphics, pictures and logos to create some white space between all of the text.

In Part 4 of this blog series, we'll discuss what to do with our brochure, newsletters, business cards now that we have them created.

I have included a sample of my brochure just as an example of the layout. Be creative, be unique and have fun.

Take This Community and _______ It!

2008-02-12T15:24:28Z

Teach

Wouldn't our community be a better place if we all decide to fill in the blank with Teach.

When thinking about ideas for my next blog, I thought about my life and my career. Was I doing enough? Enough for me? Enough for my community? I know there are a few that think, I just don't have time and to that I say "hogwash". I never use that word, but it seems fitting here. We all have time to do the things we want, we just have a hard time prioritizing some of the things we should do. How can we teach our children or neighborhood children the benefits and rewards of volunteer service, if we don't lead by example?

Would you agree that it is more important to find a job that you enjoy versus one you hate but pays a little more? I would. After many years in the workforce, it is obvious that even though the money is great, if you hate the job, you will not stick with it. On the other hand, if you like the job, your overall attitude changes and you are willing to put your heart into it. Raises and promotions happen at a greater pace, and the money and benefits comes with it. So do the rewards and recognition.

The same philosophy holds true to volunteer work. If you truly enjoy the work you are doing the rewards are plentiful. Now, granted there is no pay involved. Or is there? Pay is not just monetary, sometimes it is in the compliment or the hug, sometimes just a heartfelt "Thank You".

So in thinking of areas that I could help in the community, I have decided to check with my local libraries to see if they have a program in place to read to small children in a group setting. Kind of a, "Story Time with Mike. When I was a child they had story time at the library every Saturday morning. It was great for the kids and a break for the parents to use the library without having to have their kids pulling at their leg to go. This type of service has a twofold reward. One in teaching children literacy by creating a desire to read and the other with parents encouraging them to support and use their public libraries.

Now if you don't like reading or being around children, how about working with teens? Many of our teenagers today are required to have so many hours of volunteer service to graduate from high school. Why not coordinate services with people in the community and the teens school adviser to help both the student and the community. Promote park clean up, repair playground equipment, add pea gravel or mulch to playground areas. You could see if local landscape companies would donate flowers or bulbs that you could use to help beautify our parks. Many times the parks department will help provide the tools to help or have lists of needs that volunteers could perform.

If your allergic to kids altogether, why not check in with hospitals, senior housing, nursing homes, environmental groups, chamber of commerce, animal shelter, community center or any one of thousands of non-profit organizations like the Red Cross, Cancer Society, Ronald McDonald House, or the Special Olympics.

There are literally thousands of volunteer needs in our communities. Don't you think you could find one to better yourself and your community? The old saying and song, "If each one, would reach one..." really does ring true. If we could turn around the percentages of 10% of the people do 90% of the contributing, the world would be a better place.

Evaluate your schedule, block out a couple hours a week. We spend that much time surfing the TV channels saying, "I can't believe out of 100+ channels, there's nothing I care to watch".

Make that time rewarding. Go. Do.

Inexpensive Marketing for New Agents (Part deux)

2008-02-11T22:32:10Z

In my last blog, we talked about setting up a database and creating templates for cards and postcards. Just a quick note on postcards before I start with this new information. Once you print out the 1/2 page or 1/4 page postcards, take them to your nearest Kinko's or copy center and have them cut them on their cutting machines. The price is very reasonable and will give your cards a clean, straight cut. Trying to do them on the office paper cutter will drive you mad and take 10 times as long.

Alright, on to more inexpensive marketing. Many of us have seen the pre-printed newsletters created by on of several companies that put everything together for you and then just cut and paste your personal information at the top. I always felt they looked a little tacky the way you are added after the printing of the newsletter was complete. The other thing I noticed is that sometimes you will have 2 or 3 agents from different companies all competing in the same farm area. Thus homeowners receive the same newsletters with the only difference being a face and name at the top of the page. Most end up in the trash. Now as a homeowner I am fully aware that you paid someone else to put together information on my neighborhood that probably knows nothing about my neighborhood.

Do we want to grab their attention or throw us in the trash? The idea of marketing is to get people to remember you! This brings me to the concept of creating your own newsletter. Many computers today come with some sort of Microsoft Works or Publisher programs that enable you to create custom newsletters. you can choose from tri-fold and half-fold designs and many have templates so you can get an idea of how to lay it out. When you plan out the newsletter, be creative. Some things should only be placed in a newsletter occasionally, such a recipes. Others should be a constant.

Certainly your outside front page should be info about you and the outside back page info about you, your company and contact information. If you are going to make this a mailer, make sure you leave adequate space to insert mailing information. What goes on the inside is the attention grabbers. Market Information and highlights, community events, the areas you service, perhaps something that has happened that is newsworthy in your area. You could post in the news column of your newsletter a link to your blog that contains the same article and ask them to post their comments so that others may get a feel of what the community thinks. Let them know what you are doing in the community, if you volunteer somewhere, or if you are sponsoring a park clean-up day. You could provide trash bags and water. If you really feel gung-ho, you could cook hot dogs if the park has a grill and feed the volunteers that help.

There are many ideas you can come up with if you take a step back and think about what the community needs. In the area where I live, high school students are required to have 50 or more hours of community service. talk to the counselors at the high school and ask if they have kids that need hours to contact you for community service and you will coordinate a park clean-up or area seniors that may need lawn work around their house. These type of things, let the neighborhood you farm, know that you not only talk the talk, but walk the walk.

Depending on your locale and area laws, you may be able to sponsor contests in your newsletters and award a prize in a random drawing of all who enter. This is open to all who enter regardless of doing business with you. Many states do not allow inducements, so any prize would have to be open to the public. you could post this in your blog also, so it is open to anyone anywhere. Prizes could be $25.00 gift certificate to Pizza Hut or some restaurant of the winners choosing. A donation to their charity, free car wash, etc. Again, be creative.

Newsletters can be printed in black and white. I don't think color plays a key role here, as long as the content is appealing. Make sure you add pictures, add clip-art and leave some white space. Newsletters do not need to be text from the top of the page to the bottom. Most offices will allow you to make black and white copies free, so use that to your advantage and your cost will be time and postage. you can decide whether you can afford to do this monthly or quarterly. You may even decide to do one farm area one month and a different one the next, alternating back and forth.

Hope this gives you one more idea to help get your name out there without breaking your bank.

Any questions, feel free to comment. If you would like to have information on something in particular, just ask and I'll see if I can put something together to help you.

Inexpensive Marketing for New Agents

2008-02-11T02:14:17Z

Are you overwhelmed as a new agent coming into Real Estate? Most new agents coming into this business are not prepared for the financial obligation of building their business. Sometimes your office give you all the typical ways to market yourself, such as Pre-printed direct marketing newsletters, postcard companies, lead generating companies and others similar to these. All are quite expensive for someone that hasn't made a sale.

Let me give you some ideas that are a lot less expensive, but do require more of your time. Of course when your new and don't have 20 clients your dealing with, you have the time.

First, make sure you put together a database. You can use the software that comes with most computers today to do this. Begin by adding everyone you know, family, friends, former co-workers, people from church, neighbors, civic organizations that you belong to, and anyone else you can think of. The more information you can get from them the better, such as e-mail addresses, phone numbers, anniversary, birthday (not necessarily the year, but month and day), their children's names and birthday, you may even want to know the pets name for reference. Also, don't forget about your insurance agent, doctor, dentist and other service professionals you deal with.

Once you have all this information compiled in your data base, go out and buy a card maker program like Print Shop, or Create-a-Card. Spend some time learning how the program works and then start creating templates, for Birthday card, Anniversary cards, cards for buyers, cards for sellers, 1st - 10th anniversary in their home cards and save them to your hard drive so you can access them later. Each should be saved with easily identifiable names, such as: Client Anniversary, Client Birthday, Personal Birthday, Personal Anniversary, Kids Birthday, Teen Birthday, Holidays, etc. Please be conscious when creating holiday cards, that not everyone celebrates all the holidays that you do. Once you have all the templates saved, your next item to work on would be envelopes. You can design templates for these also. Be creative, they grab attention and the recipients know you took the time to create this just for them. Next, make templates for postcards. Make one set of templates for the 1/2 page cards and one for the 4 to a page cards. When you design any of these items, make sure somewhere on the template you include your picture, name, company name, logo, contact info, web-page, blog page, or any other pertinent information. Try to keep this information down to 1/4 of one section of the template. On the back page of your cards, you could also include other services that you can help them locate, such as Title Companies, handymen, Insurance Agents, Doctors, Dentists in the area, Storage units, etc.

Cards and envelopes should be printed in color, so have a good quality color printer. With postcards, you can get by with black and white until your business builds.

Please be sure if you are using company logos, that you use them according to company directives. Any marketing material should be approved by your marketing person or broker prior to you sending them out. This is why templates come in handy.

Once you have all this in place, print out monthly event calendars, to show who has an event for that month and start printing out the cards and envelopes you need. Make sure to do this monthly. Even friends forget your in the business, if not constantly reminded.

You now have a starting point to begin your marketing campaign. Watch for further blogs that will help you start your business inexpensively.

Are You Usual or Unusual?

2008-02-09T23:26:22Z

Are you usual or unusual? If one of your closest friends was asked how they view you in a crowded room, would they say that you blend right in or stand out? In a profession in which everyone around you is a potential client, you have got to be the one that stands out. Are you the discussion starter or the attentive listener? Are you one to speak out if you have a comment even if you do not have the same viewpoint as the group or the group leader?

In a social or professional setting, we have to play a somewhat different role than when we are speaking directly with a client in a more private and personal setting. When we are dealing with clients, we tend to be more of the attentive listener, because we need their information to assess what will best suit their needs. Therefore the 2 ears and 1 mouth rule apply.

In a social setting, we still need to listen but the split between listening and speaking needs to be closer to 50/50. Remember that when you are meeting socially, you are marketing yourself in everything you say and do. You cannot flip the switch on this and you should not want to. Everyone in your presence is a potential client. Now, I will urge you to use caution in not only the things you say, but also your actions.

Have you ever attended a Happy Hour sponsored by an affiliate? Do you ever notice that one person who always gets too happy and makes a fool out of themselves and your group? Very bad marketing! If you are in public, others not associated with your group will pick up on this one person and can leave a negative impact that your group is anything but professional.

Have you ever had a discussion with your manager about something that you feel is incorrect conceptually or even in writing on a form or contract? When you were done discussing, did you walk away agreeing with the manager, but still not feeling that issue was correct? There are times when both sides are correct. Let's face it, even attorney's will tell you, if you ask 10 different attorney's what is right, you will likely get 10 different answers. Documents and even statements can have different meanings because they are things that are read or heard by someone other than the person that the author. This means interpretations can very from person to person. The fact that opinions differ does not mean you are wrong. In one case with my manager, we both agreed to disagree on the subject in questions, but each of us understood that our interpretations differed and either of us could be correct.

Now, how does all that relay to marketing and being usual or unusual? In the case of my discussion with my manager, we both gained respect for each other because neither of us walked away conceding one way or the other, but openly assessed the situation, discussed each others views and understood those perspectives. We both appreciated the fact that we could not agree on what was correct. In some cases, you will find out you were incorrect in an assessment that you conveyed to another person. Have you gone back and apologized and restated the fact based on your new information? I guarantee you, that if you do this, the other party will have more respect for you. In these instances, you become the unusual.

Most people will concede in discussions to the person that is senior to them or deemed to be an authority, just because of their status or position. That is the usual person. Now, I am not telling you go out and argue with people, but if there are instances when you have a different point of view, share that with people. You do not have to be argumentative, just discuss the issue at hand. Sometimes, you will concede, because through others experiences and knowledge your view will change, and that's okay too.

In public situations, people like to see the leader in you come out, so take an active role. This website, for instance is a great way to learn, share, discuss, hear different views and store information to make you a better leader in your business. Use the tools you have to help others and again the rewards come back to you. Being unusual is definitely a good thing because people are attracted to the unusual.

It made Guinness famous, let it make you famous too.

Morals vs. Ethics

2008-02-09T03:07:06Z

Before writing this blog, I did a search of blogs containing the words morals or ethics and was surprised that there were only a little over 2 pages returned.

My question is this: What is the difference?

Are morals internally based and ethics just snapshots of someone else's morals?

Are they one and the same or are they different animals?

When we represent and advise clients, should we use one or the other or both?

Have you ever questioned whether your advice to clients could be morally and ethically correct, but possibly have a greater legal liability? I know I have. So where do we, or how do we draw the line? Is there a definitive line that can be drawn.

Let me use an example. Let's say a buyer has an inspection done to a property and the property has an electrical panel that has been identified by the building inspector to have a questionable safety record and should be replaced. You know that the type panel has had a consumer safety complaint in the past and although there was never any definitive proof that the panel actually caused a fire, the uncertainty has caused inspectors and electricians to re-think whether they will sign off on the item regardless of it operating properly with no noticeable problems or defects. The buyer requests the panel be replaced.

What do you advise the sellers to do? Morally and ethically, you know that in good conscience, the right thing to do would be agree to replace the panel. The sellers say it has operated fine for the last 40 years and ask why they should have to replace it now. Again, morally and ethically, if you choose not to replace the panel and the buyer cannot afford to do it on their own. What happens if after closing the home catches fire killing the occupant? If you were the seller, would it be harder to sleep at night? What if you were the agent?

That was the example. Now, I know some of you are thinking that if the sellers won't change it, the buyer could walk away and if they closed and accepted the home with the known questionable panel and later died because of it, the risk and liability was assumed by the buyer. Was it completely assumed by them as all parties knew of the possible danger?

Let me know what you think not just in the case of the example, but on the topic of morals vs. ethics.

Does Your Hobby Enhance Your Career

2008-02-09T00:05:58Z

Many Realtors have associations that they belong to in addition to their real estate careers. Does your hobby or volunteer work enhance and solidify your career? It should!

My particular "hobby", and I use that term somewhat lightly, because it is really more of a commitment to lifestyle, is singing with a Barbershop Chorus. Now I know many of you are already thinking "Oh No" and I must admit, before joining with this chorus, I had some of the same preconceived notions of what Barbershop singing was all about. Let me tell you the story of how it came about and then share with you how I found this to both enhance my life and also associate it with new clients.

I have been singing all my life, from church as a teen to singing for weddings, to solo's during religious services, quartets, octets, and several mixed ensembles. In the year 2000, I was visiting a friend and in his family room he had several pictures of this large group of men that were taken from various performances that they had given all over the country. I asked him what these were all about and he told me he sang with an A'capella chorus. I asked what type of music they sang and he told me barbershop. My enthusiasm vanished. You see, my mind immediately envisioned 4 guys standing around singing with a little nasally sound and not always quite on key and old songs that I didn't really like or know. I never really talked to him too much after that, but every once in a while he would call me and ask me to come listen to them rehearse. Well I managed to put him off for over a year. What a mistake. One evening after several real estate appointments and a long day at the office, I had arrived home about 6:30 and had no sooner taken a bite out of my dinner when my friend called me and asked me to come out to hear them. He said I had put him off long enough, so I begrudgingly went out to the building that they held rehearsal and found myself in the midst of men of various ages and backgrounds and many of their wives and girlfriends, children and parents. Rehearsal started at 7:30pm so I took my seat with the other visitors and family members and the chorus began too warm up. Let me tell you that within the first two notes of warm up, my jaw nearly hit the floor and I said to myself, "this ain't no church choir, these boys are serious". The warm up exercises were in tune, the harmony was tight and there was something different to the sound that I really couldn't pinpoint. I later found out that the difference was in the way the music was arranged. When the chord arrangements are sung properly they create overtones which makes it sound as if instead of 4 part harmony, there is 6 or 7 parts. Truly amazing.

Well, by the time rehearsal was over, I was ready to sign up. I went home that night kicking myself that I did not take advantage of seeing this group when I was first asked. The next morning I told my wife that I wanted to join this group and her immediate response was, "well how much is it to join?". I think at the time it was around $100 which was the membership fee. She immediately thought I had lost my mind and told me we could use that money for paying bills. I tried to tell her that she just didn't understand and that she had to come to the next weeks rehearsal. The next week finally came, she went, and within 10 minutes of them singing, she turned to me and asked who we needed to pay.

What I didn't know was that this group of men known as the Ambassadors of Harmony competed every year at the Barbershop Harmony Society's International Competition. This competition takes the top 20-25 Barbershop chorus's in the world and they compete against each other. This group has been in the International arena for several years and had been in the top 5 for 5 or 6 years prior to my joining. I have been with them now since 2000 and in 2004 we won the competition, gold medals on chests and known as one of the top chorus's in the world. We have toured Germany, Holland, Sweden, and England. We have performed with the Mormon Tabernacle Choir and also at the MUNY in St. Louis. Some members, before my joining had been to Scotland, Ireland, Russia, Japan and several other countries. It amazes me that this organization is so huge and I had never heard anything about this type of group in all my years singing. Each International competition has an audience of nearly 10,000.

Now, I know this has been a lot of story to get to my point, but here it is. How can I show people that this benefits them with regard to acting as their Realtor? There are several reasons I believe. First and foremost it shows a work ethic. The practice that goes into singing at this level is astounding in itself. Three hours every week at rehearsal and probably 3 more hours on my own during the week. Secondly, I have a Gold medal to prove that I am committed to excellence. Last, I believe you have to have a passion for what you do and want to share your gift with others and change their lives.

I truly believe that is what I strive to do with my career. In real estate, I will work hard to produce the result that my clients desire. I will be professional and exhibit Gold medal qualities and bring harmony to their real estate experience. When I can put all these things together, it should change my clients life for the better. There is no greater feeling in the world than seeing someone you have done this for, come up to you, and all they can get out of their mouth is, "THANK YOU". I have seen this over and over at performances when we come out and greet our patrons and I have also seen it with my real estate clients. The clients that show it the best always seem to be the one's that you have had to work the hardest for. First time home buyers that you may have had to really work with to help them fix their credit, divorcees that are trying to get their lives back on track and have a home on their own to start over and the elderly that you had to hold their hand while they cried a for awhile because their spouse had recently passed. Going the extra mile in all you do will pay rewards even greater than any commission, because it touched someones life.

I know that his has been an extremely long blog, but felt it was necessary to share. If you don't have a hobby or volunteer somewhere in the community, please consider finding something you enjoy doing and go do it. Our lives should be more than just work. Our lives should also be a form of ministry because we are all on this earth for a purpose and if you find something you enjoy it makes it all the more fun to work at it. Share your skills with someone. You'll be surprised at the number of people you touch that you didn't even realize had noticed. They are usually the ones that call and say, I saw you at your (insert your volunteer or "hobby") and noticed that you also sold real estate. I'd like to talk to you.

Realtors and cell phones

2008-02-08T13:51:03Z

Have you ever had the pleasure of calling an agents cell phone to be greeted by their voice-mail? Sometimes the voice-mail message starts out with 2 minutes of music before their message starts and tells you why they are not available. Some don't even mention their name or their company name. Others state that if you are calling for XYZ real estate or some other part time business they are involved in (usually some MLM business) to leave a message and they will get back to you.

Remember when using your cell phone as a business contact phone, you should either answer your phone with your company name followed by your name. This lets people know right away that they have reached the right person. It is also more professional for all who call you to know that you take your career seriously. Those that have their sideline business also on their real estate number are telling people that you cannot make it in real estate so I have this other venture also. Why would I want to use you, if I happen to be a potential client?

Please try to consider what impression you give a person that may want to consider your services. If you have a sideline business, get a family plan with an additional phone for minimal cost and make each phone a separate point of contact for that particular business. The image you present can be what pushes you ahead in your endeavors or holds you back.

I also believe that you should leave the "God Bless You" or "Have a great day" out of the voice-mail. Be brief in your messages and let people know that you are unavailable at this time and to please leave a message along with their name and phone number including area code, even if you know them as you may not have their information with you at the time. Thank you for calling and I will return your call at my earliest availability. Remember diversity training? Everyone that contacts us, may not have the same religious beliefs as we do.

The next point is to call them back as quickly as you can, which may mean that you have to check your messages periodically even if you are busy so you can call them either at lunch or within a couple hours of their call.

Finally, never let someone call your phone to get your voice-mail that tells them, "I'm sorry but the recipients voice-mail is full". This tells them that I will not get your message and I don't bother to check messages. Please find another agent. The other kiss of death is hearing, " I'm sorry, but the recipient does not have voice-mail set-up, please call again". Again, if you can't even set up your voice-mail on a business phone, why would I want to use your services. Clients do not want to be at your mercy for being able to contact you.

I am not saying that we should be strapped to our cell phones and expect our clients to think that we are always available to talk. Generally I inform my clients, that there are times when I am with clients or eating lunch that I will not answer my phone, but leave a message and I will call you as soon as I am finished. I believe that my cell phone is a tool for me to use, not for it to use me. Clients will also understand especially if you do return their calls in a timely fashion. You will also find more will leave a message because they know you abide by your own rules.

Be courteous, be professional, and use your cell phone properly.

Federal Bail Out for Realtors?

2008-02-08T02:15:06Z

In all the talk about Federal ~~Bail outs~~ protection for Homeowners that bought into bad loans because they were supposedly unaware that their rates were adjustable, to bailing out the lending institutions that put themselves in that situation. Now a recent news story said that this problem is affecting car loans, because the homeowners that got into these adjustable loans are now having trouble paying for their cars. Do we the taxpayers now end up paying for some kind of protection for this? How far do we let this continue?

I think there should also be some kind of Federal Bail out or protection for Realtors that have had serious income reductions due to the fact that this situation has scared many buyers into withdrawing from buying homes at this time. Many are fearful from all the media hype telling them now is not the time to buy. Sellers are seeing appraised values declining due to the number of foreclosures on the market. This whole situation is creating a trickle down effect to everyone tied to the real estate market. Many of my title companies have stated business is way down from last year, termite inspectors and home inspectors are struggling just to stay in business. Many real estate agents, some that have been in the business for years are looking for part time work just to offset losses.

I know that there were certainly some cases of predatory lending. I know that some buyers may not have fully understood how their loan adjustments worked. I also know that some are just flat out lying. When you close on your mortgage, there are several places that a buyer has to sign and/or initial stating that they are aware that they have an adjustable rate loan and it is explained just how it can adjust and over what period of time it can adjust. I'm also sure many knew the possibility of their payment adjusting could happen, but they didn't know what that could mean to their payment.

In the past I have made some good decisions and also some bad decisions. The bad decisions cost me. Me. Nobody came to bail me out. It was my decision and I had to work it out or I was liable for the consequences.

Do I blame people caught in this mess for taking help to get out of their bad decision? Absolutely not! Heck if someone offered me help out of my bad decisions, I don't think I'd refuse.

I just can't help but wonder how the government can choose to decide to help protect a couple entities that suffer from bad decisions and let the rest of the entities that are damaged because of this just take the hit.

Who do I cast blame on for the mess that has been caused? I blame the people who put together the policies that define minimum standards for the loan packages. These packages in al lot of cases catered to people that never should have qualified for a loan in the first place. I do not blame the lenders in most cases, because if they didn't write the loan, someone else would have. I just wonder where our standards have gone. Granted, there are many that I'm sure advised and maybe turned away people from purchasing because they knew that they were too close in their income to debt ratios to be able to handle the loan. Some I personally turned away from buying and helped them into a lease option purchase and helped them clean up their credit while building a down payment and they are now purchasing the home utilizing the option.

There are many choices to accomplish goals, just like in investing, there is also some risk. Personally I look out for my clients to limit their risks, but not all are willing to listen and have gone to other agents because they wanted to accept a higher risk than I could sleep at night with. Some succeeded, some did not. I still get to sleep at night.

The problem though has not changed and we are left with the fallout. So in restating, where is the federal help for those that did the right thing, but still lose? Where is the Federal help?

This is written to gather insight to your views and perspective on the subject, please comment?

Phone Duty: A Waste of Time!

2008-02-05T23:23:37Z

Phone duty is a waste of time! Or is It?

You decide. First, let's address why some perceive phone time as a waste of time.

Most of the problem lies in either a lack of training, knowledge or desire. I have been on phone duty as a new agent and an experienced agent an I am always bewildered when new or old agents, also on duty, throw potential clients away. I am not creating this article for the purpose of giving phone dialogue or new scripts, but just to ask that you treat each call as if you paid thousands of dollars to get them to call out of your pocket. If you paid all that money in advertising to inspire someone to call you. Would you change what questions you asked? Would you end the conversation at the same point? Many of you are reading this and saying, "No, not if I had to pay for it". If that is your reply, then what makes the difference? Perspective!

Have you ever heard the agent next to you say, " I'm sorry that home is under contract. Thank you. Goodbye", and they hang up the phone. Makes me want to reach out and touch someone. If you read that and said what's wrong with that, then we need to talk.

People that call in your office are calling to get your help. Did you help them by telling them it's under contract? No! You just answered a question. Helping them would be to follow that statement with, " I'm sorry that one got away. Were you trying to find a home in that area? I have others available that may fit you needs". Notice I did not say, "Are you working with an agent?'. At this point, I am just trying to determine if they will even allow me to help them, should I find out they are not working with anyone. Try asking questions that don't lead to confrontation, like asking for their name, or if they have been pre-approved to early in the conversation. Remember, they don't even know you yet. Earn their trust and confidence by asking how you can help first and offer suggestions to show you care about meeting their needs. Once you have them relaxed and talking to you it becomes a lot easier to ask the other questions.

OK, but what do I do now that I have a conversation rolling? Ask if they have taken the time to talk with a lender to get pre-approved for a mortgage. Inform them that this should be a first step and will really help in their agents negotiating power with a seller. Notice, this is my first mention of their agent. Typically, on of two things happen here. The customer will say, "Oh, I don't have an agent yet" or they will let you continue talking. If the latter happens, you could then ask, "Do you have an agent that is representing you in purchasing your next home?" Now, be careful at this point because this is the next area many agents fail, should they get this far. The client may say they have an agent and many times this is where we wish the customer well and say goodbye. Doh! You have just had this nice conversation going, why stop just yet? Next question: " That's fantastic, it sounds like you are making the right decisions by choosing an agent to represent you in negotiating on your behalf. Who are you working with?"

Now, the truth will come out. Either they are working with someone or they are not. Many times customers will say they are working with someone, because they know you are now going to try and get their business. It is almost a natural reflex for most of us. It's not that they don't like you or won't give you an opportunity to earn their business. It's almost a habit. Take the time now to explain that if they are not under a written agreement to be represented by an agent, that you would simply like to be one of the agents they consider when they interview agents. Oh, Did he say interview agents? Do you think this might crack open the door just a little.

I hope you can see some of the difference that can be made in how we handle our time on phone duty.

= -OR- =

The above mentioned is just a small piece the phone duty pie and much more could be said and learned for both the new and experienced agents. Remember when I asked if you would handle the conversations differently if you were paying for that phone to ring? Well, You are! It comes out of your commission every sale in the form of office fees or commission splits. Stop throwing away your money and wasting your time. Turn your next call into a new client for life. Change your attitude about phone time and your perspective and you will find that many more of those calls become profitable and enables you to help people fulfill their desires.

Prudential Patterson Realtors is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential Financial company. Equal Housing Opportunity.

While the contents in this article will apply in most states, they may vary in your particular locale. Mike Gambino is a licensed salesperson in Missouri.

Waiting To Buy a Home or Wishing You Could Sell Yours?

2008-02-05T14:16:24Z

WHY?

That is the question that should be asked. Many of todays buyers are saying they want to wait to see what the market does before they act on purchasing their new home. The media certainly has helped in creating this fear. The problem: The market has been sluggish and a lot of foreclosures have skewed the appraised values. In many cases, there is an increase of inventory on the market and in some cases this can be a year to 18 months worth.

While this can certainly cause some sellers to cringe, it should be a calling sign to buyers, that now is the best time to buy. There is a tremendous amount of homes to consider and sellers are willing to negotiate. Lenders still have money and at fantastic interest rates, providing of course that your credit is good. Notice, I said good. Your credit does not need to be in the excellent bracket, but lenders have certainly retreated to some extent on the packages that were available to marginal credit clients. The bottom line is, that if you are a worthy risk to a lender, then there is a loan for you. Take advantage of the market now, before it corrects again and turns back to a sellers market. For a buyer to wait in these conditions, does not make good practical or financial sense. When you listen to any financial planner or investment advisor, they tell you buy low and sell high. Well, now is low for buyers. The market will certainly return to normal as it has in the history of real estate. Typically a homeowner remains in their home for 5 - 7 years and while there is no guarantee of what the market will do, you can certainly look to the past and ascertain that the market never stays down forever. Don't let the largest opportunity pass you by.

Regarding sellers, this may be a little more stressful for you right now, but the good news is, there are still buyers out there. My advice; make your home a 10 on the market. Updates complete, home properly staged, listen to the advice of your realtor and have your home market ready and priced right. In these market conditions, you cannot be out there testing the market. Priced too high and you will see little to no showings, not having your home in market condition might grant you showings, but will produce no offers or low-ball offers.

I am amazed everytime my wife forces me to watch one of those HGTV real estate shows and they advise people why their home has not sold. You often hear the homeowner say, " My realtor said I should do that". The advisors ask, "then why haven't you done it". The most common response from sellers is that buyers can look beyond that (whatever "that" may be). The truth is, that viewing a home to potentially purchase is just that. A viewing. People make visual assessments of your home. If items are not updated, broken, furniture is old and nasty, everything is dated, yard not mowed, etc. The impression you give them is I don't have the time or money to maintain my home, so beware. To a buyer, this screams that you have not maintained the home for what is obvious to them, so how much is wrong that is not obvious.

Make the efforts to be the best home on the market and price it competitively and it will sell. Usually long before any of your competition.

Prudential Patterson Realtors is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential Financial company. Equal Housing Opportunity.

While the contents in this article will apply in most states, they may vary in your particular locale. Mike Gambino is a licensed salesperson in Missouri.