Ron Wexler Top Agents Real Estate Blog

Through Heart and Stomach A Real Estate Career Begins

Ron Wexler (Keller William Preferred Realty) — Wed, 11 Nov 2009 15:45:35 -0600

I have had quite a few amazing Mentors in my life from my spectacular parents to Denis Waitley who I just got to meet yesterday. Some were right there in my life and some were in books or on tapes. My first Real Estate Mentor was Mike Kroopkin, in fact he is actually the reason I went into Real Estate in the first place. When I was in 7th grade my parents decided to move to the suburbs and Mike sold them their home. I was not part of that process and yet Mike made his way into my 12 year old world through my stomach and my heart!

After my parents closed on the house we were all there painting and cleaning before we moved in. It was mostly my dad painting my mom cleaning while the 5 of us kids discussed who got which room. Late in the day a brand new Camaro pulled up in front of the house (my heart) and out of it sprang Mike with two large buckets of Chicken (my stomach). In my family in 1972 Fast Food was a treat, a rare coveted meal savored and devoured. Meals that were not home cooked were something rare. Mike burst in with a big smile and made small talk with us kids, about the park and schools, his cool Camaro he had just bought for his wife and how much we would love it in Homewood.

Then he spent a few minutes with my parents and left. As he pulled away my dad said "did you see that new Camaro he was driving?" We all said yes...well our commission from this house paid for that car! At at the moment it didn't mean a lot to me, yet 12 years later at age 24 when I was ready for a career change, I picked up the phone and called Mike. He told me you would be great in Real Estate, though I was hoping to sell all 5 of you kids homes and if you get into the business I will lose those sales!

During the 19 years we worked in the same office Mike taught me so much, The Golden Rule of Real Estate (same as the Golden Rule of Life), How to create a Win Win, How to settle conflict and make people happy. Mostly what I learned from Mike was that relationships trump everything. He taught me that as an owner or as an agent if you treat people fair and honest and show genuine interest in helping them get what they want you will always win together.

A few years ago I opened my own office in the same town where Mike started his first office. It was interesting that a friend pointed out to me that I even followed in his footsteps in that way!

Though I didn't work in the same office as Mike at the time of his retirement, and I was fortunate enough to be invited to his retirement party, by some of my friends in my old office. It was interesting to me, even though it was billed as a "roast" one person after the next got up to talk about Mike and not one said an unkind or critical or "roast" kind of word. Its not that Mike was perfect it was just that when you have lived with a high level of integrity and connection to others its hard for people to criticize or pick on you. I drove home thinking of all the things I would have said and realized that they were all said by person after person.

After 25 years in Real Estate I know I have had many mentors and I have been a mentor to agents all over the country. I realize that without that Bucket of Chicken and his wifes new Camaro, I may never have chosen the path I did. I think about all of my great Real Estate friends, and partners in my Keller Williams office and around the country and I thank goodness that my parents chose Mike to sell them that home and that he was a part of my life for so many years. I hope his retirement is everything he ever wanted!

Its Not Over Yet

Ron Wexler (Keller William Preferred Realty) — Tue, 01 Sep 2009 00:31:43 -0500

Seasonality exists in even the strongest of Buyers Markets. What I mean is that this time of year there is always a tendency for homeowners to back off and consider "giving up" until next year. What is interesting to me is that often the highest level of success comes following the 180 degree theory. "Watch what everyone else is doing and do the opposite." If more homes leave the market this may be your best time to sell. In fact right now this year especially even with all of the Foreclosure competition more of the resale homes are selling than they were a few months ago.

Here are some reasons people give up this time of year... The Kids are back in school, the weather is not as nice, we tried during the summer and it didn't sell, and we don't want to move in the winter . IN the past I would often agree with people and encourage them to try again after the first of the year. In this market like everything else "all bets are off." Here is what I see from "from the trenches".

Interest rates seem destined to rise, prices seem destined to stay the same or possibly dip lower, government involvement seems like it will just prolong problems, the new appraisal issues will make continue to slow and hurt the process. Well you get the idea, with everything going on and the next wave of foreclosures about to hit the market I think now is going to be the best market we have in the next 12 months.

If you absolutely think you will need or want to move or upgrade in the next 2-3 years this most likely will be a great time for you to make your move. If you are upgrading or moving toward a change that you don't want to put off, This may be a great time to get the job done. Find a competent agent to help you figure out exactly what it will take to get the job done now . We know it boils down to Price, Condition, Commission and Marketing so figure out where you need to be on those things and start packing.

Real Estate Agents Are Not Extinct After All

Ron Wexler (Keller William Preferred Realty) — Fri, 13 Feb 2009 01:06:47 -0600

Its interesting that 3-5 years ago it was actually a thought that maybe Real Estate agents would go the way of Travel Agents. I remember when I wanted to go somewhere I called my Travel Agent and he called me back a few hours later and said "here are the airfares that I could find...which of these do you want". Now I go online press a few buttons, add my airline number and I have bought a ticket. Bob the travel agent...where are you now?

Well of course not only have Real Estate agents remained important in the transaction, the highest skilled and best trained agents have become vital in getting the job done. If a seller is serious about getting the job done, forget trying "for sale by owner" , forget uncle Bill who retired from his Real Job and thought he would dabble in Real Estate. Its time to find the agent who sells over 75 homes a year, have them come over and see what they say we need to do to "Get the Job Done".

What is so complicated that we can't just list our home on the internet and have it sold? Well in the "hot market" there were 1-3 homes available for every buyer who was ready to buy. Now there are 20-30 homes in many areas for every qualified buyer. If we are not priced, staged, commissioned, and marketed the best we are not going to sell. When an agent helps with these 4 functions the years of experience and hours of training become a major factor in getting the job done.

For example, over the last 25 years I have sold over 1000 homes. The average agents in our industry sells 4 homes a year. Do the math that means an agent would have to sell for 250 years to catch up with my experience. Or consider that I have had averaged over 30 full days of training each of the last 20 years thats about 600 days of training, that doesn't even count the 3-5 hours of over the phone training and coaching I have participated in. I have averaged around $15,000 in education expenses every one of the last 15 years. If the average school lasts 100 days a year that means I could have at least a Bachelors degree in Real Estate! With the education expenses I have had I could have gone to Harvard!

My point is that a sellers market is a low skill market for agents, put a sign in the yard, guess someplace in the right price range, pick any commission, and accept any condition and the home still sells. Now we HAVE to know what the correct price versus all of our competione will be, we have to be in the top range of condition, commission, and we have to market to get the attention of the qualified buyers or our sellers will be one of the 60% of homes that are not going to sell. So now instead of being extinct, great agents are once again in demand.

If you are considering buying or selling a home let us help you find a great agent to help you get the job done. Through my years of coaching agents and being coached by great agents I have a network of over 20,000 of the best agents in the nation that I can refer too. Just email me your criteria and I will do the rest. I am too young to be a dinasour anyways!!

No need to whine in 2009

Ron Wexler (Keller William Preferred Realty) — Sat, 06 Dec 2008 20:18:02 -0600

Okay...2008 is at an end. I sold around 82 homes this year. Thats up from last year...however considering my best year was 152, I won't be retiring on this years success. Now lets put it in perspective the year I closed 152 I had 4 buyers agents on my team, 3 administrive assistants, and 2 support team members. In 2006 I let all of the last of the buyers agents and did everything myself until June of this year. Why would I do that? The market "Shifted", my buyers needed a strong agent to help them and my sellers needed more individual attention. My buyers agents (like most agents in the business less than 10 years) had no idea how to "WORK" in Real Estate. They were here for the gravy train days. If I listed a home 3 buyers showed up with a suitcase full of Fannie Mae cash and fought to buy. Not a whole lot of skill was needed to get the job done.

When I tried to teach them how things needed to be to give amazing service in a strong Buyers market they just couldn't or wouldn't do what it takes. The wouldn't make phone calls for 2-3 hours everyday in search of buyers for our sellers homes. They were great people I still like them all, (only one is even trying to sell anymore) they just weren't up for what was going on. So what changed in June of this year? One of the best Real Estate agents (from my old Re/Max office) called and said..."we would make a great team"... "I am not afraid to work and help build a team and you have a great team already so I won't have to start from scratch." It took us 1 meeting to realize this was a great match and we were off to the races.

Jesse Myles is an amazing person and one of the best agents I have ever known. He knows how to put the clients needs first and he knows what it takes to get the job done. Now that we have 6 months under our belts we are ready to fly. We have found 2 more agents who Jesse will train from scratch. They will learn to lead generate every day, and they will work as hard as it takes to get our clients needs met.

So what does this all mean...our goal of 179 closed sales in 2009 will be met. In our marketplace our clients will know we are the team that "Gets the Job DONE" and we will be in a perfect position to sell 210 in 2010!

Thanks for reading....If you have any questions or comments please let us know. We are here for you!

Selling Your Home When "Nothing" is Selling

Ron Wexler (Keller William Preferred Realty) — Sat, 27 Sep 2008 00:38:19 -0500

I hear this constantly. I might as well take my home off the market and wait until "homes start selling again". Homes are being sold every day. In fact right now this moment someone is listing a home for sale and someone is buying a home. If we want to get a home sold we must acknowledge that this is a buyers market, also known as a "price and beauty" contest. In a sellers market there are lots of winners, and runner ups! In a buyers market there are a few "beautys" that win and quite a few also rans.

If we want your home to sell now we need to price it right, stage it right and market it right. I sold a home today that was on the market for the last 40 days. We started $10,000 over the price I recommended 30 days ago and the seller was not interested in "staging" the home. 10 days ago the price was reduced and the new carpet and fresh paint were completed. Magically 10 days later we had a qualified buyer make an offer and now we will be closing in about 30 days.

There is a "scientific" formula for a buyers market... Right Price + Right Condition = Sold Sign . Don't be afraid to ask your agent to give you the price they are afraid to say out loud because they are afraid to hurt your feelings....Its probably the right one!

Hope is not a strategy for getting homes sold!

Ron Wexler (Keller William Preferred Realty) — Sat, 03 May 2008 21:12:50 -0500

We all exercise blind faith and hope in some fashion or another and it has its place in a well rounded joyful life. In a strong buyers market hope is not enough. What works in this market is a powerful marketing strategy, daily lead generation, active lead follow up, mass marketing, mass internet exposure and an agent with a national reputation that causes other agents to refer business to him or her. I recently sold 3 of my own listings, one buyer came from my personal sphere of influence. One buyer came from my national referral network and one buyer came from my marketing system that caused a buyer to call the 1-800 number from one of the 50 website where the home was marketed.

Even with all of that, absent the right price, commission and terms we never would have sold those homes. I recently had another example of how important price is in our market. I listed a home that was going into foreclosure the owner had it on the market for 6 months before we met. When we first listed 4-5 months ago I told him under $225,000 was the right number even though his 2 loans added up to over $235,000! After starting at his price of $259,000 we inched our way down month after month chasing the market down. Finally in the middle of March we were down to $239,900 and had a $190,000 offer (remember the market lost about 5-6% in that time frame). What happened next was very telling....

The bank stepped in around April 25th, and offered to accept a short sale meaning they would take less than what was owed to them so they wouldn't have to take the home back into inventory. The bank sent out its own appraiser who set the current market value at $210,000. We lowered the price to that number and within 9 days we had 6 offers, yes 6 offers after sifting through them all the seller accepted a cash offer from a buyer I was able to secure myself on the property. If you think price is not an issue....Re-read this post a few more times.

I hope you and your family are doing well. Please let me know if you know of anyone anywhere in the USA who needs an agressive agent to help them get the job done.

Its hard to sell in a Sellers Market and Buy in a Buyers Market...Thats O.K.

Ron Wexler (Keller William Preferred Realty) — Sun, 09 Mar 2008 23:28:59 -0500

With rates down and inventory up the numbers can work. The right agent, marketing, promotion, commission, and Pricing your home can sell in 3-5 weeks and you can take advantage of the best Buyers Market in 12 years. I just listed a home for a young mom and her 2 daughters.

She purchased 7 years ago for around.. $105,000.

---------------------------------------------------------

In todays market we will probably get ...$117,000

Her purchase will be around................. $216,000 a difference of $90,000 between buy and sell.

Two years ago she would have sold for..$130,000

And purchased a home for ..................$240,000 a difference of $110,000 between buy and sell.

While she would have gotten a much better price on her sale she would have paid more on her purchase. The difference between 2 years ago and today would be a net gain to her of $20,000 difference. With the current low rates she will also pay less on her monthly loan payment.

If you know of anyone considering a move lets face it...Now is a great time to buy and sell!

Can I still get a mortgage?

Ron Wexler (Keller William Preferred Realty) — Mon, 03 Mar 2008 20:23:10 -0600

Simply yes. The only people having a hard time getting a loan right now are the ones who most likely should not have been getting lons over the last few years. We all know the main criteria for getting a mortgage the last few years was the ability to fog a mirror. Well things have sure changed! I know short term...the next 2-4 years it may be rough on speculators who invested for short term gain. The market may stay flat or even go down further, so making a quick return will be unlikely. However if you are not so short sighted this is an amazing time to buy. So the short answer is "maybe" you most likely can get a loan if you have decent credit and a downpayment. Even only 3-5% may be enough. I would say your best bet is to speak to a good mortgage lender. To find one ask the top Realtor in your area for a reccomendation. They know who is getting loans closed and who is not.

Best opportunity to buy (and maybe even sell) is NOW!

Ron Wexler (Keller William Preferred Realty) — Tue, 26 Feb 2008 15:30:35 -0600

Well here we are almost March 1st. I have not even had time to post and apologize. I have listed 13 and sold 15 since January 1st. With a week in Arizona to play baseball at the Cubs Fantasy Camp, and a Week in Atlanta at the Keller Williams Convention...Life has been a little hectic. Heres the interesting news...40% of the homes I listed in the last 55 days sold in less than 40 days! Smart buyers are taking advantage of the market, and people who have a home to sell are using the "down" market as a chance to BUY UP! Thats right there has not been a better time to buy a larger home in the last 10 years.

Look at this example...In 2006 your home is worth $250,000 and the one you want to buy is $350,000. Now the market turned down a bit (lets say 10%)and your home will only sell for $225,000 if the home you wanted also went down 10% then it would now sell for$315,000 thats $10,000 closer than it was in 2006 and to make things more wonderful, rates are the same or even lower than they were in '06!

Smart investors usually follow the 180 degree theory...watch what the masses are doing and do the opposite. For example I have a close friend who is an investor, I sold him a property 4 years ago before our prices skyrocketed. He bought right and has been asking me to find another "deal" like that one, I told him to wait for a better market....which of course is now here. He has purchased 2 homes in the last 7 weeks and is ready to buy some more. Now thats the 180 degree theory...He bought both of these homes at a 35% discount over what he would have paid 2 years ago.

So if you want to sell and you are afraid to do so...think...don't let a paper loss from 2 years ago stop you from getting an amazing buy today that you will look back on in 2-3 years and say..."what was I thinking!"

2008 The year of the Skilled Agent.

Ron Wexler (Keller William Preferred Realty) — Wed, 26 Dec 2007 19:19:01 -0600

In 2008 buyers will buy sellers will sell and great agents who know how to get the job done will be there to help. In the last 23 years we have seen a skills based Real Estate market about 4-5 times. What I mean by that is a Sellers market is a no brainer low skill market. A Buyers market means agents really have to understand how to get the job done. Buyers need an agent who knows the market, financing options, with good affiliates, lenders, attorneys, inspectors etc. Sellers need an agent who knows how to advise them properly on Pricing, Staging, Marketing and even which Commission is the best to get a home sold.

I work with a network of people who are the best at what they do. In this market that goes a long way. Now that 2007 is coming to an end, the main market shift from Sellers to Buyers market has taken place. In 2008 prices most likely will drop further and then they should level out in the next 12-18 months. Now is a great time to buy or sell we just have to work with highly motivated people who are serious about getting the job done.

If you have had a hard time buying or selling look for an agent who will truly be your quarterback someone who will get you to your goals.

You can sell now, buy now and win in this market. I am willing to answer any questions about this tough market just email or give me a call.I am glad to help.

My Listing is about to end (expire) now what do I do?

Ron Wexler (Keller William Preferred Realty) — Sun, 15 Jul 2007 05:19:13 -0500

Its hard enough to finally make the decision to sell your home. Should we or shouldn't we? Then you finally make the committment and you list your home and nothing happens. Showings drip in and you recieve no offers, or few unacceptable offers. Now you have to decide, do we give up, rent the home out or start with a different agent. First decide do we still want/need to move? If you do then its time to evaluate your price, and marketing/agent. Start with the agent. Did our agent keep all promises made at the time of listing? Is the agent passively marketing the home or actively marketing the home. Follow this link to see the difference: http://www.ronwexler.com/content/article.html?id=78713 .

How was the communication, how was the property marketed, how was the showing activity? Are you confident that this agent is the best agent for the job, or are you placing responsibility for a poor price on the agent? Think about all of these things first, then make some decisions from that point. What I have found in my practice for the last 6-9 months is that my listings are selling within the first 3-4 weeks or within 3-4 weeks of finding the right listing price. In other words first and foremost the owner and agent must price the home right. Think of it this way the best marketing, and negotiating agent on the planet still won't be able to sell a buyer a nickle for ten cents. In other words if all of the homes in your area are a better value in the buyers eyes your home just won't sell.

Now you have to decide if the agent is right, most likely the price or condition is not. You can cure condition with price. The cost of updating a home is rarely worth it. When you start updating all the major parts of your home the cost is much more than the value it will bring. In other words if I put in a new kitchen at a cost of $15,000 I may raise the value of the home by $5-7,000. In all its probably best just to adjust the price and get the home sold. On the other hand if its just paint, clutter or cleaning most likely its better to do the work.

All in all if you will evaluate your situation fully, often you'll make a good decision and move forward. Get an agent who knows what he/she is doing. Chose a price that will get the job done, clean and declutter your home, and get moving.

Why isn't anyone looking at my home?

Ron Wexler (Keller William Preferred Realty) — Tue, 10 Jul 2007 07:00:31 -0500

This is a common question sellers ask in a "buyers" market. My home is nice, it is priced in the range of the others in my area, you are marketing it agressively, buyers are calling the 1-800 number and reviewing the listing on the website...So why aren't they coming to see the inside? The answer is frustrating but simple. In todays world everyone is on the run, when a buyer checks out homes they are really working to eliminate all of the ones they don't want to take time to see. So they drive by, look at the pictures, check the room measurements and compare based on price. This is both good and bad, I have sold a lot of homes to buyers who had eliminated the home at first glance. Then when I got to know their taste and realized that one of the homes they had eliminated met more of their criteria than they realized we went to see it and they bought.

So the answer is if the agent takes time to really get to know the clients needs, wants and desires, they should be able to choose great homes for the buyer. If the home is overpriced and there are a lot of other homes available that offer more amenities for the same or a lower price, most likely your home will continue to be eliminated. If you are currently listed ask your agent to be brutally honest. When evaluating my own listings that haven't sold in the first 3 weeks I will ask myself this question....If my life was at stake, without giving this home away what is the absolute highest price I can get a buyer to pay for it in this market? I go back to my sellers with that number, more often than not when we hit the right price we sell within 2-3 weeks!

Expanding inventory perspective.

Ron Wexler (Keller William Preferred Realty) — Sun, 08 Jul 2007 10:32:23 -0500

I just arrived home from a weekend in Michigan. Driving through 3 states and spending time in several little towns and Suburbs I noticed how many homes there were for sale. This expanding inventory is actually good for home buyers and "move up sellers". With prices forced to hold steady or even decrease, buyers have more choices, and move up sellers can regain some of the loss they may have on the sale of their homes. When it comes to home prices you must have some perspective. If a home was $150,000 15 years ago, and $200,000 3 years ago... are you really losing money if it only went up to $215,000 in the last 3 years? In other words when looked at in a 24-36 month perspective maybe your not making that much on your home. When looked at over time you most likely have done quite well. Serious sellers will focus on why they want to move, more than profit they hope to make.

Getting your home sold in a "tough" market

Ron Wexler (Keller William Preferred Realty) — Fri, 06 Jul 2007 09:17:11 -0500

This market is not new and the shifting market we are experiencing is old news. Lets face it if you have been an agent less than 10 years you have never actually "SOLD" Real Estate. In this market sitting back and "taking orders" will not work. The sellers will be frustrated and the buyers will be unsure. This year our team has sold more homes with less team members than in the last 2 year. It is easy to sell homes in a sellers market, just get the listing sit back and see who shows up. In a buyers market it takes superior negotiation skills, and a proactive approach, direct marketing, lead follow up, multiple exposure systems, e-blasting of listing information, multiple websites and more. Great agents love this market because it gives them a chance to really make a difference for people. Don't be afraid to sell in a buyers market just work with someone who has been through it before.