Ruben's Blog

Change is Slow, But Change is Good!

New Home Executives — Thu, 06 Mar 2008 17:25:00 -0600

I have seen quite a few changes in the real estate business over the past 36 years. When I started my real estate career as a sales person in 1972, I had no idea I would see the changes that would take place over the span of my career. There have been some bad things I have seen and experienced and there have been many positive changes that have occurred during those years.

I remember when some Realtors and lenders openly practiced racial discrimination in housing. I have experienced it first hand. I remember when real estate agents had code words they would use when they were setting up an appointment to show homes. If the customer happened to be a racial minority, they would call the listing agent or the seller and ask if it was "ok" to show the home to an "ABC" customer. "ABC" was the code word for minority buyers in the Chicago area in those days.

In 1971, I was a 23 year old, financially qualified home buyer. My wife and I had signed a contract to buy our first home, in a "good middle class suburb". We were quickly approved for a mortgage, based on my good job history and excellent income. I was a store manager working for a large supermarket chain and was earning an above average salary.

When my wife and I went to the closing we encountered one of many signs of discrimination and conflict of interest by lenders and others. Let me explain. The closing took place at the offices of the bank that made the mortgage. In those days it was not uncommon for an officer of the bank to wear more than one "hat" at the closing. A senior V.P. at the bank also "represented" us as our attorney. We actually paid him a fee, so that he could explain the mortgage documents we were signing for the loan we obtained from his bank.

My wife and I were in the bank's conference room with the parties to the transaction (seller, seller's attorney, lenders closing officer, our attorney and our Realtor. Our Realtor recommended the lender and attorney. My wife was 22 years old and I was 23, we were inexperienced first time home buyers and unfortunately we also did not have any family members to give us advice, we relied on our Realtor.

I had to step out of the closing room and return home, because I forgot to bring the check for the closing. While in the conference room everyone is trying to carry on with some small talk conversation while they wait for me to return. I returned with the check 30 minutes later, and we successfully closed the transaction.

My wife and I leave the bank and head towards our new home. While in the car my wife said to me, "you are going to be shocked at what happened at the closing room while you were gone". Naturally, I asked "what happened?" The bank's closing officer and our attorney (the bank VP) were telling the people in the closing room about all the problems they are having trying to keep the "neighborhood stable". The bank is no longer lending to "Blacks and Puerto Ricans", because the community organizations are putting pressure on them, due to the changing make up of the neighborhood.

The real estate industry has come a long way since the days of blockbusting, panic peddling, and red lining. Many unscrupulous real estate agents, lenders, insurers and other professionals have been driven out of this industry thanks to HUD, RESPA, DOJ, and countless community organizations and although the membership of NAR was slow to act and needed prodding, they have been an integral force to these changes.

We all know that there is still work to be done, few of these organizations initiated the changes on their own, and they were prodded by the protests of disenfranchised citizens and the support of the majority of our citizens that want equal rights and justice for all of us. When we look at the current presidential race we see a Woman, African American and a White Male who is not necessarily from a long line of entrenched family insiders. We know that we are becoming a more diverse and open society. That is huge Change in itself.

When Prospects Give You the "Silent Treatment"

New Home Executives — Fri, 29 Feb 2008 13:41:03 -0600

If you've been selling for a while, you've probably had at least one experience in which your prospect suddenly started giving you the "silent treatment." When this happens, it's natural to feel anxious and confused. You may tell yourself, "It's not as if I'm the one who did anything wrong. I put everything into nurturing the relationship. And how can I rescue the sale if I can't even get them to talk to me?"

There is a pressure-free way to reestablish communication when your prospect starts giving you the "silent treatment." But first, it's important to understand why the situation has happened in the first place.

Most of us who sell get caught up in "hopeium," a comical term that means we focus our hopes and desires on making the sale. But hopeium is a trap, because it impossible for you to keep in mind your most important goal: to learn your prospect's truth.

When we fix our minds on the outcome - making the sale - we automatically begin anticipating how the process will go, and we also begin expecting that things will happen as we hope they will. But if we're in that mindset and our prospect suddenly breaks off communication, we feel lost, anxious, frustrated, discouraged, and confused. We become preoccupied with what went wrong. We may even feel betrayed.

Is there any way to clear up the mystery? Yes, by giving up your agenda and learning the truth about where you stand with your prospect - and being ok with whatever the truth may be. "But how can I learn the truth when they're avoiding me?" you may ask. "And why do I need to let go of the sale?"

Let's take the second question first. If you approach your prospect while you still hope the sale will happen, you'll introduce sales pressure into the relationship. This will push your prospect away from you and destroy any trust you have developed with them. Instead, you can eliminate all sales pressure by telling them that you're okay with their decision if they've decided not to move forward. In other words, you take a step back instead of trying to chase and follow up with calls because you're focused on getting a "yes."

The bottom line is: When a prospect gives you the "silent treatment," it doesn't mean you've lost the sale. It just means you don't know the truth yet. What you need to do is call and learn the truth.

Here's some language I suggest that will make prospects feel safe enough to open up and tell you the truth about their situation: "Hi, Jim, I am calling to apologize that we ended up not being able to connect. I feel like somewhere along the way maybe I dropped the ball, or I didn't give you the information you needed. I'm not calling to move things forward because I'm assuming you've probably gone ahead with someone else, and that's perfectly okay. I'm just checking to see if you may have some feedback as to where I can improve for next time."

When you respond to the "silent treatment" this way, the results will probably surprise you. You may even learn that the prospect has legitimate reasons for not having gotten back to you. You'll also find yourself more productive and less frustrated. It'll make a world of difference in your productivity level, your stress level, your income, and how much you enjoy what you're doing.

Remember, you haven't lost the sale. You just don't know the truth yet.

This article Used By Permission Ari Galper is the founder of Unlock The Game^TM, http://ww.UnlockTheGame.com

Village of Downers Grove Considers New Avenue for Transit

New Home Executives — Wed, 27 Feb 2008 18:29:46 -0600

February 21, 2008

By Eva McKendrick, Downers Grove Sun

Downers Grove residents have several transportation options open to them - the Metra trains, taxis and the Grove Commuter Shuttle. Now the Village Council is in the early stages of discussing a new bus service, and in the meantime, the shuttle is expected to receive some much-needed maintenance. Replacement buses have been ordered for the Grove Commuter Shuttle. Meanwhile, the village is exploring the idea of a new circulator bus system. Courtesy of the Village of Downers Grove.

Transportation systems have never been known as lucrative investments, and the shuttle - with an average daily ridership of 143 in 2005 - is no exception, village officials say. The Downers Grove Transportation Fund is expected to be $1.8 million in the red at the end of fiscal year 2008, officials say. Within the council, the debate over buses has resurfaced. On Feb. 12, the issue was brought up by Commissioner Sean Durkin, who in the past has called the shuttle system a "black hole."

"How are we going to pay this negative balance?" he asked at the Feb. 12 workshop meeting. Mayor Ron Sandack said the budget has been adjusted to offset the costs. Commissioner Geoff Neustadt said that with newer buses, which are expected to arrive in May, the maintenance and insurance costs will go down. Since 1974, the Grove Commuter Shuttle has been providing service to the Main Street and Belmont Road Metra stations.

In 2005, the Village Council decided it was time to buy new buses for the six shuttle routes. The current buses date to 1991 and 1992. The council approved the purchase of eight buses - six for the routes and two in reserve - which would be paid for by a Congestion Mitigation and Air Quality federal grant. Two years passed, and no buses arrived. In August, the council was told the eight buses they planned to buy would cost more than four times the original estimate. So officials changed the plan, deciding to buy only five buses. The money will come from a CMAQ grant of $448,000, with the village pitching in $120,260, said Doug Kozlowski, communications manager for the village.

The village will buy a sixth bus for $70,000 and keep two of its old buses for backups. The other six current buses will be sold for parts and scrap metal, Kozlowski said. In December 2006, the council voted to increase the fuel tax by 1 cent to keep the system alive. Besides the shuttle, the council also is exploring the idea of a local circulator bus system. Feb. 19, commissioners voted 6-1 to continue exploring a circulator route that would allow off-route pickups by appointment.

Durkin opposed the resolution, stating that declining ridership is proof the residents are not interested in a bus system. While all other commissioners said they have concerns about the potential costs of a program like a circulator, they said they would like to continue exploring the idea. "We're not speeding downhill," Commissioner Martin Tully said. "What we have done is we're keeping our minds open."

At this point, there has been no discussion as to how the Grove Commuter Shuttle and the circulator would work in together or how much a second bus system would cost the village. Assistant Village Manager Mike Baker said that if the council decides to go ahead with the circulator, those questions will be addressed later.

Developing Customer Relationships is how you Build a Succesful Business

New Home Executives — Tue, 26 Feb 2008 22:12:08 -0600

I want to congratulate Lola Audu~Grand Rapids, Michigan Real Estate
Grand Rapids, MI on her Active Rain Blog Post: Real Estate Consumers...Are You Treating Them Like Royalty?

Lola Audu, Broker Owner Grand Rapids, Michigan Real Estate.

When I saw the headline I knew I wanted to read more, but I almost moved on because it looked like a lengthy article. I scrolled down to the bottom of the post and saw that you had received a considerable amount of comments, so I decided to read it. I am glad I did and want to comment on some observations I made.

"Consumers are not stupid" is the main theme which I picked up from your article. There are several other quotes and observations from NAR Chief Economist Lawrence Yun

Mr, Yun points out that although the public perception of Realtors is one of suspicion in general, this attitude changes dramatically when consumers are asked about THEIR SPECIFIC dealing with THEIR REAL ESTATE PROFESSIONAL.

In this case, consumers overwhelmingly indicate that they appreciate and hold dear their OWN REALTOR. One wonders how much of this "general suspicion" towards Realtors is media driven.

I don't believe the media drives that perception. I think we need to look at ourselves and take some responsibility for some of that perception. Lola, I agree with your statement, "The vast majority of my clients and the real estate agents I know are repeat and referral clients. Hardly,an indication of deep loathing for the profession".

When you drive into neighborhoods in Grand Rapids that are in the higher price ranges, you see very few For Sale By Owner Signs. Why is this? According to Mr. Yun, this is because:

"Time is evidently money, and many well-to-do people prefer not wasting their valuable time trying to sell a home - even though some may actually have the skills to do so." With due respect to Mr. Yun, I don't agree with that statement, ...... the value of time is of equal value to all homeowners, no matter where they stand on the economic ladder.

Lola, You very eloquently point out that most consumers hire real estate professionals and are satisfied with the amount of money they pay for their services. Consumers want Protection,Trust and Loyalty which in turn makes the consumer feel like Royalty.

I want to add that, (approx 87%) of consumers indicate that they would probably use their Realtor again, but (Approx.15%) actually do. You are among the minority of agents that get repeat business and referrals from their past clients. The biggest mistake an agent makes in their career is that they fail to build a lasting relationship with their customers. That is what sets YOU apart from the competition.

See Lola's post: http://activerain.com/blogsview/395118/Real-Estate-Consumers-Are

Day Dreaming Boy

New Home Executives — Tue, 26 Feb 2008 15:15:50 -0600

I remember way back when, I was a young man in High school. The Lovin Spoonful released the song entitled "What a Day for a Day Dream". It was a fairly big hit which is impressive especially when you had to compete with the likes of the British Invasion Groups such as the Beatles and Rolling Stones.

Photo taken from Marc Davison's Article.

I was impressed by that song, because I was at an age when young people are starting to think about their future. They are wondering about what they want to accomplish and how they can attain their ambitions. One of my ambitions was to become a professional basebal player. If you knew me then, you would say that it was highly unrealistic, after all I was only 5' 5" tall and weighed about 120 lbs. and was skinny as a rail. In fact, some people would tell me to be careful when entering an elevator, because I might fall down the elevator shaft if I made a misstep walking across the elevator threshold.

I was a pretty good fielding third baseman, I could move well to my left and my right, but I just did not have the strong arm needed to throw out a fast base runner. Thank God I realized that a career as a professional baseball player was not a realistic goal.

Marc Davison of 1000 Watt Consulting posted a blog that made me quite nostalgic. He said, "Life has a way of bringing you just what you need when you need it". I will post a link to his story in this blog.

I will be 60 years old in just a couple of months, and I must tell you that although I have not accomplished all of the goals I had when I was in high school, I am still like the kid whose picture you see at the top of this page.

I am still trying to find new ways of staying ahead of the competition, and letting my customers know that although I am an "old dog", I am still dreaming about the future and willing to learn new tricks to help me compete with a new generation of Realtor. As Marc said, "Life has a way of bringing you just what you need when you need it", but I want to add that, "It is brought to those that are willing to seek."

This is the link to Marc's Story: http://www.1000wattblog.com/2008/02/what-isnt-and-w.html

How Do I Get My Rebate?

New Home Executives — Wed, 20 Feb 2008 15:45:56 -0600

Stories about rebates are all over the Internet. Here is a story about rebates that actually may wind up in our pocket book. This one is from Ilyce Glink's Blog.

President Bush just signed the stimulus package that authorizes the U.S. Internal Revenue Service to send every taxpayer $600 to $1200 (couples). To get a rebate all you have to do is file your 2007 taxes. There are no special forms required.

This one is from Ilyce Glink's Blog. Read Ilyce's full story here: http://www.thinkglink.com/2008/02/how-do-i-get-my-rebate.html

Illinois bill would restrict real estate rebates

New Home Executives — Wed, 20 Feb 2008 13:36:59 -0600

Rep. Robert Molaro Rep. Angelo 'Skip' Saviano

The following is an excerpt of a big story that appeared on Inman News today 2.20.08:

House Bill 4313, proposed by Illinois state Rep. Robert S. Molaro, D-Chicago, seeks to amend the state's Real Estate License Law Act of 2000 to state that "no licensee shall give or pay cash rebates, cash gifts or cash prizes to an unlicensed person who is a party to a contract to buy or sell real estate." The legislation would allow licensees to offer compensation "including prizes, merchandise, services, rebates, discounts or other consideration to an unlicensed person who is a party to the lease of real estate," as long as that offer complies with other provision of the existing act, according to the bill text.

I notice that the leasing of real estate would be exempt from this legislation. Why?, Leasing of real estate is part of the Real Estate License Law in Illinois.

Did these two State Reps. try to get any input from the real estate profession before introducing this legislation? This bill will hurt the profession, but more importantly it will hurt real estate consumers.

The Illinois Association of Realtors is opposing state legislation that seeks to restrict cash rebates and other rewards offered by real estate professionals to unlicensed persons who engage in real estate transactions.

The U.S. Department of Justice has taken legal action in other states to undo similar restrictions that prevent real estate agents and brokers from rebating a portion of the money they receive in a home sale to consumers, and the department is aware of the proposed Illinois legislation, a spokeswoman said Tuesday.

It is interesting to note that these two State Reps have been friends of the real estate community. The Illinois Association of Realtors have been past contributors of funds to these two reps including the year 2006. some Realtors must be wondering if IAR forgot to make a contribution to these friends of our industry in 2007?

The Real Estate License Law Act of 2000 was created to protect the public. I don't know how this legislation protects anyone or from what?

If you live in Illinois, let your representative know how you feel about this proposed legislation:

Contact Rep. Molaro: http://www.ilga.gov/house/Rep.asp?MemberID=1032

Contact Rep. Saviano: http://www.ilga.gov/house/Rep.asp?GA=95&MemberID=1192

One lunch date away from a listing

New Home Executives — Mon, 18 Feb 2008 15:52:26 -0600

The following is an excerpt from an article written by Marc Davison at 1000 Watt Consultng:

Technology sure is great. When used correctly it enhances, expands and engages the experience. But it's not everything. Sometimes technology can distance us from what we do best. Like the human touch. Like friendship. There's no technological substitute for doing that. For doing the right thing. For going that extra mile. To me, this is part of Web 2.0 is about. Back to core basics. People connecting with people.

Read the entire story http://www.1000wattblog.com/2008/02/little-do-they.html#comments

I have been teaching my agents for years, that before a real estate transaction can happen, the agent must first make a friend of their customer or client.

What I will never take for granted

New Home Executives — Sun, 17 Feb 2008 10:09:33 -0600

I was in my "home office" yesterday morning enjoying my first cup of coffee of the day. I am a lucky guy I get to live in Scottsdale, Arizona during the winter months away from my wintery Chicago home.

As I am checking my e-mail I noticed that my son in Chicago has sent me a message with an attachment, but there is no text just the attachment. It is a picture of my grand daughter enjoying a morning "sprinkle cake" one of our favorite things when she and I are together.

It is just his subtle way of saying "wish you were here", We miss you!

We sometimes sacrifice our precious family for our own comforts in life, but I will never take for granted the love a family shares

Teen Slugs Burglar with baseball bat

New Home Executives — Thu, 14 Feb 2008 11:16:04 -0600

Teen who slugged burglar gets his 15 minutes of fame, but Hillerich and Bradsby Co. of Louisville, Ky gets millions worth of free publicity. This story appeared in news media outlets all over the world.

Yeserday a follow up to the story appeared on local Phoenix, Arizona and network TV stations. The young man was awarded a custom Louisville Slugger baseball bat as well as other merchandise, including a plaque honoring him.

I had to smile when a reporter asked him, " Why didn't you stay in the closet when the burglar came into your room?" He replied, "there was no closet door".

Maybe Home Depot will replace the door free of charge and get themselves some good publicity.

See Story Below:

(Credit)

Jim Walsh
The Arizona Republic
Feb. 13, 2008 12:00 AM

A 14-year-old Mesa boy who made a national splash last month after he slugged a burglary suspect with a bat in his home was awarded a custom Louisville Slugger on Tuesday, inscribed with the words "brave, courageous, heroic.""It meant a lot. It has my name on it," Michael Six said, after receiving the bat from the Hillerich and Bradsby Co. of Louisville, Ky. "I'll probably frame it. I just feel famous."But Michael, a ninth-grader at Kino Junior High School in Mesa, said he'd handle the situation differently if it were to happen again. "I'd jump out the window first. I just wouldn't want to have myself in that position," he said.Michael's act of self-defense Jan. 15 swept the nation. He appeared on the Today Show and CNN."I just thought it would make the newspapers. I didn't think it would be so big," he said. "It was a little more than a home run."

Michael's actions were recorded on a police 911 call. Hillerich and Bradsby listened to the tape and decided to honor Michael, who was hiding in a closet inside a bedroom while talking to a dispatcher.

The burglar was armed with a screwdriver and was rummaging through Michael's backpack when the boy sprung from the closet and hit him with an aluminum Louisville Slugger in the lower back and on his left shoulder. The burglar could be heard cursing at Michael on the tape and grabbed the bat away.

"Sorry, man," Michael yelled back

Police later arrested Thomas Gonzales Garza, 30, of Chandler, who has been charged with burglary, aggravated assault on a minor and three misdemeanor counts of criminal trespass.When asked what he'd say to Garza if he saw him again, Michael said, "Thank you for not killing me."Hillerich and Bradsby representative Jim Snyder also presented Michael with a batting helmet, some clothing with the company's logo on it, and framed letter from John A. Hillerich IV, the company's chief executive officer.

"Michael, you are truly a hero and we are honored to have our Louisville Slugger name associated with yours," the letter said.

Mesa police are planning to present him with a citizen's meritorious service award, said Chris Arvayo, a police spokesman.

Michael said he'd like to be a Highway Patrol officer someday. "I would sit there, eat donuts and watch for speeders," Michael said.

Does offering Agent a Bonus Make a Difference?

New Home Executives — Mon, 11 Feb 2008 13:47:50 -0600

Realtor incentives and bonuses is an "old tool" used by real estate agents to promote their listings and reward buyers and agents. When a seller hires an agent they expect the agent will try to get maximum exposure for the house. The seller might be willing to give a bonus to the selling agent in order to get more traffic to the listing; however this does not mean that the agent should "steer traffic" away from other homes that a buyer may want to see.

Ultimately the home is going to sell at or near fair market value, regardless of what incentives are being offered by the seller, lender, or real estate agent.

Incentives and Bonuses are marketing tools which help generate exposure and traffic. The exposure will bring about more potential buyers, and more potential buyers can mean a faster sale even though not necessarily at a higher price. The "faster" sale translates into money in hand sooner than later, which is the goal of the seller and listing agent.

What are you doing to generate exposure and traffic for your listings?

16814 S. Merrill Ave. South Holland, IL

New Home Executives — Fri, 08 Feb 2008 15:18:27 -0600

Owner relocating. Wants a quick close! Gorgeous, recently remodelled split level. 4 BedRoom. Two Full baths, has finished sub-basement and seperate Family Rm. with Fireplace, Sliding doors open to back yard and patio. Foyer opens to formal Livin-Dining rooms. Upgraded baths and counter top. Beautiful Maple cabinets with granite counter tops. New appliances & hardwood floors. New furnace and sump pump. Must see this showcase home!

Seller is offering Home Perks Rewards, Visit our open house and receive free Home Perks certificate:

View listing Info:

http://www.newhomeexecutives.com/Listing/ViewListingDetailsAuthenticated.aspx?ListingID=1339893&Preview=false&TabID=1702519

2312 N. Meade Chicago- Best Value

New Home Executives — Fri, 08 Feb 2008 15:03:35 -0600

This is a great starter home in a great location. Beautiful 3 or 4 bedrooms, with 2 full Baths and full basement. Large 2 car garage at rear of lovely landscaped and fenced yard. Seller may assist buyer with financing incentives. SELLER OFFERING 20,000 HOME PERKS Points REWARDS.

Visit This Listing On Line:

http://www.newhomeexecutives.com/Listing/ViewListingDetailsAuthenticated.aspx?preview=true&listingid=1398439

5358 N. Cumberland #419 Chicago, IL 60656

New Home Executives — Fri, 08 Feb 2008 14:41:58 -0600

THIS GORGEOUS CONDO IS LOCATED MINUTES FROM OHARE AIRPORT BLOCKS AWAY TO I-90, AND MINUTES TO I-294 AND JUST STEPS TO CTA TRANSPORTATION. COMPLEX HAS TENNIS COURTS AND SWIM POOL. NEAR FOREST PRESERVE. HEALTH CLUB ACROSS THE STREET. LOW MONTHLY ASSESSMENTS INCLUDE HEAT.

SELLER IS OFFERING 8,500 Points HOMEPERKS REWARDS Gift Card:

View This Condo Now: http://homes.point2.com/US/Illinois/Cook-County/Chicago/O-Hare/1353557-Real-Estate.aspx

Builder Close Out Scottsdale, Arizona

New Home Executives — Fri, 08 Feb 2008 11:53:55 -0600

Developer Incentives

1 year H.O.A. dues paid by developer at closing.
1 year home warranty (Free). paid by developer.
Visit our Models and receive a 500 Perks Points Certificate good for valuable gift cards and merchandise
visit: http://www.homeperks.com/

Engaging and Rewarding Fellow Realtors

New Home Executives — Thu, 07 Feb 2008 11:02:12 -0600

Engaging and Rewarding your fellow Realtor is only the first step in effectively marketing your listings. The following is a technique that has caught the attention of Realtors in my market:

Open House Rewards Program

I do not spend hundreds of dollars running open house ads on print media, especially the major newspapers in my market. I find that this type of marketing is ineffective and too costly. Most agents waste money on that type of marketing because the seller expects them to. I recommend that the agent educate the seller and explain the many other forms of marketing that are more effective.

Example:

A HomePerks Open House reward is a tool that has been very effective for me and my associates.

Here is how it works: Branded E-mail campaign:

I send out a "Branded" e-mail blast to real estate agents in the market area of the listed property announcing an agent tour of the listing. In the message I tell agents they will receive a "free Gift card" or brand name merchandise simply for touring the agent open house.

When the agent visits the open house not only do they receive the reward certificate, but they are told that when they actually show the home to any of their customers the customer also receives a "free gift card". *See Certificates below

The agent is given additional incentives: If they bring in a buyer that signs a contract to purchase, the agent and their customer will receive as many as 75,000 perk points at closing redeemable for Thousands of $$ worth of gift cards from national marketers such as Home Depot, Sears, Crate & Barrell,etc..and or Brand name merchandise from the Home perks catalog. *See certificate below

This type of marketing generates quality traffic to my listings and builds agent awareness not just for my listings, but also for my company brand.

More info: visit http://www.newhomeexecutives.com/ or http://www.homeperks.com/

Are Home Buyers Liars?

New Home Executives — Mon, 04 Feb 2008 12:17:53 -0600

As a real estate professional, I have heard that expression from rookies to seasoned veterans of this industry. Did you ever have a "buyer" tell you that they were looking for a 3 bedroom, 2 baths, full basement and a 2 car garage, and they will not spend more than $250K with a 10% down payment in a specific market area?

You are the "professional" and you know that this customer is unrealistic in their expectations of what they can buy with those search parameters. You decide that you will not waste anytime with them and you lose contact

*1 (you did not follow up). Several months go by and you are getting desperate for a sale, so you decide to go through your tickler file ("wish list" as I call it).

You call this customer and find that their phone number has been changed, so you call the new number and when they answer, you ask how they are doing. They are very excited and they tell you they recently closed on their new home purchase. At this point you are feeling a little depressed as you visualize a lost sale and the loss of a nice commission.

The customer tells you they purchased a beautiful 2 bedroom condo near the downtown area of town miles from the area they told you they wanted. They tell you they paid a bargain price of $400K. At this point you are wondering where you went wrong with this customer, so you remind them about the parameters they gave you when you were trying to help them find a home. You ask why they bought something that had much different parameters.

The customer tells you, that they contacted an "online real estate agent" *2 that was referred to them by a trusted friend. The agent was in constant contact with them and alerted them about many different homes that were available in a larger and broader search parameter.

The agent was persistent and offered to *3 "rebate" part of her commission if the customer promised to be loyal and work with her exclusively. The agent promised that she would represent their best interest throughout the buying and closing process and that the commission (although important) was not her number one priority.

What is the moral of this story?

Was the Buyer a liar?
Should the jilted agent have tried to convince the customer to be loyal?
Should the Buyer have been loyal to the jilted agent?
Should the buyer trust the jilted agent?
Does a rebate or incentive create loyalty?

*1 statistically 89 percent of clients would use their same realtor for repeat business but only 11 percent actually do. Wondering Why?

*2 did you know? "3/4 of consumers rate 'word of mouth' as the #1 Influencer of a purchase" - AC Neilsen

*3 According to NAR approximately 30% of real estate buyers and sellers expect some kind of rebate or financial incentive from a real estate transaction.

Too many in the real estate sales business, in good times and bad, thought from deal to deal, listing to listing, never taking the time to invest in what it takes to build long-term relationships with their customers. There have always been closing gifts, but does a door knocker or restaurant meal certificate on moving day cut it these days? Where might we look for an answer?

It's time we stopped throwing up our hands and did something about it. I would like to hear from you, tell me what you are doing.

Have You Seen The Pony Express?

New Home Executives — Thu, 31 Jan 2008 17:22:56 -0600

The Hashknife Pony Express makes its ride every January traveling 200 miles from Holbrook to Scottsdale, Arizona, and delivering 20,000 first-class letters by horseback. The ride is led by the Navajo County Hashknife Sheriff's Posse. More than two dozen riders in authentic cowboy clothing carry the mail, relaying the bags along the route. The arrival of the Hashknife Pony Express in Scottsdale kicks off the annual Parada del Sol.

I had the opportunity to see the Hashknife riders make their mail delivery to the downtown Payson, Arizona post office yesterday afternoon. It was an awe inspiring event, especially for the young kids who anxiously waited, as the riders galloped on horse back into town.

Neither rain, sleet, nor dark of night can stop the Hashknife Pony Express. Each January for the last 50 years, the old west is brought to life as an elite group of riders thunder through Arizona. I am proud to say that my son is one of the riders. This exciting event is the oldest officially sanctioned Pony Express in the world. Each rider is sworn in as an honorary mail messenger braving weather, terrain, and modern-day obstacles to deliver the United States mail.

Read all about the Hashknife Pony Express http://www.hashknifeponyexpress.com/

60 Minutes House of Cards

New Home Executives — Tue, 29 Jan 2008 10:42:26 -0600

House Of Cards Steve Kroft reports on how the U.S. sub-prime mortgage meltdown, in which risky loans drove a housing boom that went bust, is now roiling capital markets worldwide

Will all the negative publicity continue to scare potential home buyers out of the market?

Or is this a time of great opportunity for those that are willing to take some risk?

What Do You Think?

San Diego woman claims that her real estate agent led her and her husband to overpay for their home.

New Home Executives — Sat, 26 Jan 2008 11:22:09 -0600

Jan. 25: A San Diego woman claims that her real estate agent led her and her husband to overpay for their home.

http://www.msnbc.msn.com/id/21134540/vp/22838905#22838905

This is more complicated than meets the eye. I think there are many things to consider:

They bought home in a hot California market (2005). Is it possible that the value of the home could skyrocket overnight? It is not uncommon for home prices of comparable homes on the same block or tract to be at least 10% apart in value, hence the home down the street priced at a lower price. There are many other factors that could justify the lower price of the home down the street. The buyer claims that the appraisal was manipulated. I would like to hear from some appraisers out there. What do you think?

The buyer claims that she "hired" an agent with 26 years in the real estate business, but he was more concerned about his commission and not about her best interest. I am curious to know if he was her exclusive buyer agent and if they had a written buyer agent agreement.

IF I WAIT TO BUY A HOME, WON'T PRICES GO DOWN EVEN LOWER?

New Home Executives — Tue, 14 Aug 2007 12:32:44 -0500

Timing the market isn't a great idea.
All the market fundamentals show that now is a good time to buy - prices are down, interest rates are affordable, there are lots of homes to choose from and you can bargain with sellers.

If you try to wait and time the market until it hits rock bottom, you are likely to lose out. If you sit on the fence and wait for the absolute best deal, you could end up literally waiting for years. And most likely, your guess on market timing would be wrong. But if you choose to buy now, you will not only be in the driver's seat during the buying process, you will also reap the gains of price appreciation once you become a home owner. Remember, those who purchased homes in the early 1990s during the last big economic and housing downturn came out as big winners.

Visit: www.NewHomeExecutives.com

First Time Home Buyer Should Buy Now!

New Home Executives — Wed, 08 Aug 2007 20:29:30 -0500

AS A FIRST-TIME BUYER, SHOULD I WAIT UNTIL PRICES GO LOWER TO BUY A HOME?
No.
If you continue to wait, you may never be able to afford to get into the housing market. Even as home prices are currently moderating - or even falling in some areas - rents continue to climb. The best way to build household wealth is to own a home. Once you become a home owner, you are able to take advantage of the generous tax deductions that homeownership offers, and you begin to build equity in your property. As your property builds in equity, you can use those gains to sell your starter home and afford to move into a bigger house.

With so many homes on the market to choose from, your best strategy may be to scale back expectations for your dream starter-home. Instead of trying to buy a 2,000 square foot home, consider shopping for a 1,500 square foot home. Remember, the sooner you make the jump from renter to home owner, the quicker you begin to create and build up wealth for your family. After a few years, you will be able to leverage this investment
Visit: http://www.newhomeexecutives.com/

Downers Grove Luxury Condo

New Home Executives — Thu, 26 Jul 2007 15:14:34 -0500

965 Rogers Street DOWNERS GROVE

2 Bedrooms - 2 bathrooms - 2 owned garage parking spaces

9x9 Home Office - plus 11 x 18 Foyer
1,732 Sq Ft (approx)
MAGNIFICENT 48X17 ROOF TOP TERRACE
One of a Kind best value in Downers Grove

Receive 250 HomePerks Rewards Points Just For Visiting Our Open House. (No Purchase Required) You can receive up to 50,000 HomePerks Rewards Points when you buy or sell a home.

HomePerks are points that can be redeemed for Merchandise in our 10,000 item catalog.

Browse our Catalog at: http://www.homeperks.com/

Hyde Park Condo $79,500

New Home Executives — Thu, 26 Jul 2007 15:04:07 -0500

2,500.00 TOWARDS CLOSING COSTS W/ FPO ON THIS WELL MAINTAINED 2-BR CONDO IN CHATHAM; CONVENIENTLY LOCATED TO METRA TRAIN AND CTA BUS LINE; PRIVATE OFF-STREET PARKING http://www.newhomeexecutives.com/Chicago/Illinois/Condos/Hyde_Park/Chatham/Agent/Listing_1135260.html

Receive 250 HomePerks Rewards Points Just For Visiting Our Open House. (No Purchase Required) You can receive up to 50,000 HomePerks Rewards Points when you buy or sell a home.

HomePerks are points that can be redeemed for Merchandise in our 10,000 item catalog.

Browse our Catalog at: http://www.homeperks.com/

New Home Executives Offers Home Perks Rewards

New Home Executives — Wed, 25 Jul 2007 17:27:06 -0500

Get Rewarded When Buying or Selling a Home!

Receive 250 Perks Points Just For Visiting * Any Open House* (No Purchase Required)

You can receive up to 75,000 HomePerks Rewards Points when you buy or sell a home.

Perks are points that can be redeemed for Merchandise in our 12,000 item catalog.

Here's how it works: At closing Home Buyers will receive a HomePerks Certificate which is redeemable towards any of our 12,000 rewards catalog items. Visit: www.HomePerks.com to browse our Catalog

* Must be working with one of our New Home Executives to receive open house perks.