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promised in my previous post on the Inman Connect panel discussion 'What's
Next: When will the housing market turn?', Alex Perriello, CEO of Realogy
Franchise Group, presented 5 ways that Realtors
should be working now to get through this down-turn and come out
healthy on the other side. As Perriello quipped about the market - 'it is what it is, it will be
what it will be, it's what we do with it that counts.'Â
Herewith a summary of those 5 recommendations:
Really know your local market.
Be the pro in your local market. Make sure you know the numbers - not
just the numbers quoted in the media but the real numbers for your
market and the reason behind the Â numbers. You might disagree
with the media, you might be challenged by the media or by the public
but if you really know your local market that knowledge will stand out.
Too many agents today just go through the motions and don't take the
time to develop the knowledge that will serve them and their customers
the opportunities are. There are opportunities in every
market and every type of market. As it recovers, your local market will
transition through a series of opportunities for renters, investors,
move-up buyers, 2nd home buyers, etc. Know what the current opportunity
is and target that demographic.Â
clients. Anybody who purchased a home from you prior to
2002 probably has equity built up. No doubt it is less equity than they
had a year ago but if you can show them how to turn their current home
into a rental and improve their own housing situation, or how they can
accomplish that by selling even in today's market and positioning
themselves for the recovery, you have made a client for life.
know homes are selling. They won't get that in the media.
The headlines all scream sales are down, new homes aren't selling, new
home permits are at all time low, homes aren't selling - and it just
isn't true. Especially in some areas (including areas of California)
sales are double what they were a year ago yet that hardly blips on the
media radar. Again, know your local market and don't be afraid to let
people know it's not as bad as reported.Â
to renters. Again in some areas, like California, where
prices have fallen by anywhere from 40% to 60%, and housing
affordability is at a level we haven't seen for a decade, this is an
ideal time for first-time homebuyers to take advantage of the market.
They are being kept on the sidelines right now by the headlines and
irresponsible journalism and it's our job to seek them out and make
them aware of the opportunities. As local markets bottom out and work
their way through the sloppy bottom, interest rates will rise and these
buyers may find their chance disappearing long before the media ever
realizes we've bottomed out.Â
Perriello also cautioned
against working with unmotivated Sellers. 'If you have an unmotivated
Seller you're not just wasting your time and money, but you're
contributing to the inventory imbalance by having a house on the market
that has no hope of selling. You are adding to
days-on-market and inventory which adds to the skew of numbers that the
media seizes on. It works against us and against the recovery of the
market. Don't be afraid to re-price sellers every 30 days - build it
into your listing contract. If they're not motivated to sell - fire
them. This isn't the time to 'test' the market. Get serious or get out.
the panel in general and Perriello in particular advised Realtors to
let people know about the recently enacted $7,500 tax credit incentive.
He cautioned - 'know the difference between an tax rebate and a
credit'. This credit you will have to pay back but it's like getting a $7,500 interest-free loan
from the government for 10 years. This might just be the
final push your customers need to make a buy decision - and it's
currently a limited time offer, expiring in June 2009. This is part of
knowing your market and communicating that knowledge to your customers.
Wunderlich - Selling Southwest California Homes including
Temecula, Murrieta & The Southern California Wine Country Â Â Â
Â Â Â Â Â Â
Â Â Â Â Â Â
Remember, Don't wait to buy real
estate - Buy real estate and wait.
THE OPINIONS IN
COMMENTARY ARE STRICTLY GENE WUNDERLICH's PERSONAL OPINION. WHILE ANY
REASONABLE &/or RATIONAL PERSON SHOULD AGREE, THESE VIEWS MAY
REFLECT THOSE OF ACTIVERAIN, COLDWELL BANKER RESIDENTIAL BROKERAGE OR
ANY Â LOCAL, STATE OR NATIONAL ASSOCIATIONS.
Disclaimer: ActiveRain Corp. does not necessarily endorse the real estate agents, loan officers and brokers listed on this site. These real estate profiles, blogs and blog entries are provided here as a courtesy to our visitors to help them make an informed decision when buying or selling a house. ActiveRain Corp. takes no responsibility for the content in these profiles, that are written by the members of this community.