Kimberly's Blog

Lessons Learned re: Twitter, Facebook and other Social Media

Kimberly Malone (EXIT Realty Partners) — Thu, 01 Oct 2009 21:23:23 -0500

Today, I attended my local board's annual MLS tech fair. It was a great day, replete with more social media terms and sites than I could believe existed, especially when I consider myself to be fairly savvy on the topic. After all, I blog on Activerain, post on Facebook pretty regularly and am also a member of Linkedin and Twitter. What I was looking to learn today, was how to take these sites to the next level and use them to actually prospect, conduct real estate business and CLOSE deals!

Interestingly, my biggest takeaway from the day was that, perhaps using social media for our industry isn't actually about overtly prospecting for business and marketing listings and services as we know it. The real use of social media in our business seems to be to broaden your network and continually make your relationships "warmer" and deeper. In doing so, you can stay "top of mind" with members of your sphere of influence, who at any time could become potential leads. The more the members of your network(s) feel they know you and trust you (via status updates, comments, and everyday interactions), and the more they have a feel for your competence (via blogs and posts), the more likely they are to think of you, call on you or refer you, when they or someone they know has a real estate need. And, given that everyone that you are connected to will likely be linked to scores, hundreds, even thousands of others, by simply staying in touch, you can expand your contact base exponentially.

That said, today I am in the process of creating a "Fan page" on Facebook (the officially sanctioned way to promote businesses on that channel). I have also retrieved my Twitter password (which I previously abandoned, while wondering, why would anybody want to know everyplace I go and everything I do and every morsel I eat and every thought I have, throughout the day? Now, I'm going to use Twitter with the goal of letting people get to know me, my personality and character, and what I do. Why not? Haven't we always heard that people like doing business with people they like? As far as LinkedIn, TruliaVoices, and similar sites, I am thinking that their "Questions" sections are going to be an excellent way to engage people meaningfully. I already love to write, and using those sites as an opportunity to become known as a pro by thoughtfully answering questions from consumers seems like a no-brainer that's a sure win! Finally, I plan to buy a Flip camera, so that I can further "engage" (a key word of the day) people in my networks and on my websites by posting videos and using other interesting forms of media.

Sounds pretty passive you say? It is compared to the traditional -- hire me! I'm the best! want a free CMA? form of marketing that we know well and are quick to revert to. However, the second biggest takeaway that I took from the day, though it shouldn't really be a surprise to most of us, is that people don't like to be "sold." They way I see it, it's about letting people get to know who you are and what you know, and giving them many opportunities to "find" you on the web, so they'll know how to reach you, when they are ready, and on their terms.

That said -- follow me on TWITTER! http://twitter.com/kimismyagent

Always a Skeptic? This one finally saw the light.

Kimberly Malone (EXIT Realty Partners) — Fri, 21 Aug 2009 09:02:05 -0500

I have this one client who is very loyal, but an incredible skeptic. I have been telling him for at least two years about a product I offer called the Money Merge account that would enable him to pay off his mortgages in a fraction of the normal time. My client is extremely smart, very financially savvy and was convinced that this wasn't possible. He eventually consented to a presentation, after which he admitted that he could see the benefit of the service, and how it could save him much more money than traditional bi-weekly payment programs, debt rolldown programs, and the like. He liked the idea in general, and consented to letting me run a free analysis for him.

The analysis showed that with he could pay off the mortgages on all five of his homes in 11.3 years, instead of the 30 years it would have taken him to pay off just one. All this, with no additional payment outlays each month. He thought it sounded great. However, he just could not believe it "in theory" and needed to see proof.

No problem. I brought a gentleman to meet him who is both a user of the service and a rep that sells it. This guy was incredibly passionate about what the service had done for him and how it had helped him to become financially free. He showed my customer EVERY mortgage statement he had from the few months prior to his using the program until he paid off his mortgage, and EVERY home equity statement he had for the same period. It was pure and unequivocable evidence that this guy, a mechanic, had paid off a $90K mortgage in TWO years. His response, "I will feel incredibly foolish if I find out that this capability has been available all this time, and you've been telling me about it, and I haven't listened." Still, he was convinced, that if this could be done, he could figure out how to do it himself, without paying for the service ...

We were talking yesterday and he told me how he had just received something in the mail stating that he could get a 10 year mortgage for about 4.1%. Thinking aloud, he said that he was thinking of refinancing and cutting his mortgage down to 10 years. I said, you do realize that your monthly payment will go up considerably -- to which he responded that he was already paying an extra $1000 a month towards his mortgage, so that wouldn't be an issue. My response to him, okay, that's true. You could refinance your mortgage, pay about $20K in closing costs, then pay $1000 EXTRA a month for the next 10 years ($120K!), and pay off ONE of your mortgages. OR, you could go ahead and sign up for my service, at a FRACTION of what you would pay for closing costs on your refi alone (which you don't even have to pay for out of pocket), pay off the mortgages on ALL FIVE of your houses in just over one additional year (11.3 years), and afterwards, put that extra $1000 a month AND all of the money you're paying towards mortgages now, towards buying your NEXT investment property or fufilling some other dream.

Wow, he said. That makes a lot of sense to me. Since you explained it that way . . . Finally :-)

8000 Reasons for Buyers to Get Off the Fence!

Kimberly Malone (EXIT Realty Partners) — Sun, 07 Jun 2009 17:50:00 -0500

Recently the goverment produced a plan that would allow buyers who purchase a home in 2009 to take a deduction of up to $8,000 off of their taxes. Many buyers inquired about the plan, but some were disappointed to find out that it wouldn't help them with actually buying the home. Well, things have changed, and it seems the government has decided to allow people to use their credit towards their closing costs, which, of course, is HUGE!

If you're a first time homebuyer, I can't think of any better time that there might have been to buy a home. Inventory FOR DAYS to choose from. Still near historic low interest rates. FHA loans that allow as little as 3.5% down, not to mention the potential for a full seller's concession. AND, now, $8K towards your closing costs!?! Ah, who could ask for more??? If you've ever considered buying before (and even if you never thought about it, but you're paying rent each month), I urge you -- get OFF OF THE FENCE, and get INTO the market!!!

Why Now Is The Time To Act

Kimberly Malone (EXIT Realty Partners) — Thu, 18 Dec 2008 00:42:36 -0600

While the mortgage market continues to generate a lot of chatter in both the media and in Washington, interest rates are currently near or at all-time lows. If you or anyone you know are looking to take advantage of these low rates, let me explain why now is the time to act.

Lately there has been talk about the 4.5% 30-year fixed rate mortgage. Will it become a reality though? Right now, no one really knows. Homeowners who could benefit from a lower interest rate need to know that even if 4.5% becomes a reality from Washington's actions, rates that low would likely only be available to home buyers, not homeowners seeking to better their rate. If you need to refinance, you will be left out.

You also may have heard about Hope for Homeowners, which is a program approved by legislators to help distressed homeowners. However, regardless of its best intentions, the program has not been embraced by investors, and it is not available to many it could help.

The bottom line is, the Fed announced recently that they are going to buy up to $600 billion in mortgage-backed securities. This has already driven rates to historical lows. In January, the SEC is meeting and information may be released that could have a significant bearing on rates, potentially for the worse.

Waiting to obtain the best rate is only possible for those with loan applications already in process. Interest rates are incredibly volatile and fluctuations that used to take months are now occurring in just days or even hours. If you don't have an application in process, you could lose out.

We are already seeing lender backlog due to low interest rates. In 2003, with rates at these same low levels, we saw some lenders taking up to 90 days to close a loan.

Home loan rates are currently in the mid- to low-5% range. Home values are currently at 2003-2004 levels, coming down significantly from their high point. If you-or friends and family members you know-are contemplating seeking financing, now is the time to act.

With a first time home buyer tax credit of up to $7,500 and low or no money down programs available for many people today, now is a great time to buy a home.

Quiet, Accessible, Very Well Maintained Queens 2BR Rental

Kimberly Malone (EXIT Realty Partners) — Tue, 16 Dec 2008 05:22:27 -0600

This excellent 2BR features livingroom, 1 Ba, w/w carpeting, a/c, kitchen with island, and lots of closet space. It is on the first floor of a duplex and is nestled in a beautiful, park-like setting. Close to schools, transportation, shopping and more. Many amenities on premises, including laundry and playground. $1450. For more info, please contact Kimberly Malone, Exit Realty Partners (917) 554-0925.

Interest Rate Alert

Kimberly Malone (EXIT Realty Partners) — Tue, 16 Dec 2008 05:14:56 -0600

If you've been following interest rates recently, you may have seen that they are looking GREAT right about now. And, while I can't quote an exact interest rate for someone without seeing an individual's full financial picture (credit, income, assets) by means of an application, we have actually recently been able to quote rates of around 5% for well-qualified applicants looking to purchase or refinance a single-family home, and we see the potential for those rates to possibly dip further. That said, now is an excellent time for many individuals to purchase or refinance -- allowing them to possibly get more home for their money or possibly a lower payment for a home they are already in or in the price range which they are already considering purchasing in.

Realtor colleagues, let's get this info out to as many past clients and others as possible, especially those who either own homes or who may be considering buying one. These rates really represent a great incentive for buyer prospects to "get off the fence". Additionally, we would be doing our clients (and ourselves, and THE MARKET) a great service by helping as many people as possible take advantage of these historically low rates.

The "Short Refinance" - A Real Live Example

Kimberly Malone (EXIT Realty Partners) — Sun, 30 Nov 2008 21:25:27 -0600

Picture this scenario - client purchased a home nearly two years ago with 100% financing and a 2/28 adjustable rate mortgage, expecting to refinance into a fixed rate before the first adjustment period. Fast forward a year and some change, and the market TANKS, so now he's upside down by $70K and the refinance he had planned to do is completely out of the question. Yet, he is living on a bit of a tight rope, and when his rate adjusts, there is no way he's going to be able to afford the additional $300/month that will be required.

This is my client's situation.

Solution -- which, by the way, seems almost too good to be true -- the short refinance or "short refi". The short refi basically contains two components, the first of which is the negotiation of a "short payoff" with the original lender. Basically, in a process similar to that of a short sale, the lender and consumer avoid the burden and expense of foreclosure, because the lender forgives a portion of the existing debt and agrees to accept a "short" payoff of what remains. The second part of the short refi, then, is the borrower's ability to qualify for a new loan (based on a percentage of the home's CURRENT appraised value), to pay off the original bank. The killer part, in this situation (as opposed to in a short sale), is that the consumer gets to remain in the home and move forward with a positive equity position and a more affordable monthly payment.

I'll be submitting this particular client's short refi application this week. I am confident that, if all goes as planned, the client will be utterly thrilled and pinching himself to be sure he's not dreaming. And, for me, being able to make a difference like this in someone's life . . . well, that just makes it all worth the while.

Alternatives for Avoiding Foreclosure

Kimberly Malone (EXIT Realty Partners) — Wed, 19 Nov 2008 04:37:46 -0600

In the current real estate market, I believe it is a moral imperative that individuals armed with real estate/mortgage knowledge use it to help homeowners facing hardship to save their homes. There are several options that may be available to these homeowners, including loan modifications (changing the terms of the loan without refinancing), loan novations (a form of loan modification for those with arrearages), FHA Insured Hope for Homeowners loans (which allow homeowners to refinance and get a principal reduction, in exchange for allowing the government to share your profits upon the property's eventual sale), and "short refinances" (principal reductions for those who have no or minimal late payments, but whose homes are "upside-down"). Of course, if none of these alternatives will work, clients may also benefit from performing a short sale (in which the existing bank allows the homeowner to sell the property for less than the existing mortgage).

Helping homeowners stay in their homes helps them and our industry, by helping to stabilize the market. I welcome contact from any homeowner or service provider who would like to find out if one of these options can be of assistance to themselves or any of their clients.

Kimberly Malone (917) 554-0925

NY State Licensed Salesperson, Exit Realty Partners * Senior Loan Officer, New York Capital Exchange * Loan Modification Consultant, Garden City Modifications

Risky Loans - Spread the Word

Kimberly Malone (EXIT Realty Partners) — Mon, 01 Oct 2007 14:01:52 -0500

I recently received a startling statistic about risky loans. It seems that 1 out of 3 homeowners have no idea what kind of loan they have. Under better market conditions, that might be okay. But in the current market where it is predicted that over 2 million homeowners will lose their home due to sudden, unexpected and devastating increases in their mortgage payments, it's imperative that one know exactly what kind of loan he or she has, and even more importantly, when and if their loan will recast and go up. I would encourage you to share this information with others you know who are homeowners (you'd be surprised how many people who seem to be doing well are really struggling -- or will be soon). Whether it be with me or someone else, many of the people we know NEED to have someone help them find out the important details on their loans. By doing so, they can get the advice they need to help them make the wisest decision possible -- before taking devastating hits to their credit scores and equity.

For more info, see the following article: http://www.bloomberg.com/apps/news?pid=20601109&refer=home&sid=akOEPec30TR4