Special offer

2007 It was a pretty good year!

By
Mortgage and Lending with SecurityNational Mortgage

No I don't mean 2007 compared to 2006, 2005 or 2004. But was it really so bad?

About a month ago I saw a statistic that said we are near 1995 real estate sales levels. That seems dismal to many. This is especially true if you have only been in the business for 3-6 years.

I relocated to Orlando in 1995 from Atlanta. First Franklin moved me here to open the mortgage wholesale production office for the southeast. I remember at the end of that year thinking what a great year it had been. Our production numbers were up. The coming year looked even better.

Are we setting the expectation bar so high that it cannot happen (again)? I think so.

We need take out of the equation the mega boom years when we think about sales and production figures. Compared to 2003, 2004, and 2005, 1995 looks bad. But It was not a bad year, either was 1996, and 1997. In the late 90's the hedge fund market crashed and sent the real estate markets into a tail spin. When we look back at that time now I think we would gladly settle for that level of damage.

The huge almost monthly equity gains everyone experienced are gone, some of that equity gained has disappeared.

You will no longer be able to make a living off of 4 or 5 investors; did anyone really believe that type of business would last? Get over it. Now what are you going to do?

It's time to take a reality check. (Anyone remember Zig Ziglar's saying "do a check up from the neck up'?)

Have the number of prospective borrowers / buyers disappeared? Not by much.

Are there fewer competitors around today compared to 18 months ago? Yes - a lot less. If you started in this career during those boom years you might have missed learning some of the basics of networking, cold calling, prospecting and presenting.

If your start predates the boom period you already have mastered those skills. You just need to go through a refresher course.

I believe that we create our own future; if we think that it will get worse and act accordingly we will create a self fulfilling prophecy.

If we believe that we can succeed by giving our selves the opportunity to succeed we are also creating a self fulfilling prophecy.

2008

2008 will either be a great year or a bad year; it's up to you and me.

Steven Odierno
Mahwah, NJ
NJ Mortgage & Marketing Professional

Hi Lee - Thanks for lending some perspective to the present mortgage business environment.  I have only been in the business since 1999, so I have witnessed nothing but unfettered growth.  We must "act as if" 2008 is going to be a great year and, with a lot of hard work, we will eventually realize that self-fulfilling prophecy to which you referred.  Best of luck.

Feb 19, 2008 07:25 AM
Paul McFadden
Responsive Pest Control - Seattle, WA
Pest Control, Seattle, WA.

Thanks. Lee, for your positive perspective. I completely agree with you.  I don't know about you but I plan on making it a very good year.

 

Paul

Feb 19, 2008 11:22 AM
Lee Walsh
SecurityNational Mortgage - Lake Mary, FL
Executive Talent Scout for Mortgage Professionals

Steven,

The fact that your still in this business instead of exiting at the first sign of a downturn in your career says a lot about your professionalism.

Paul, Thank you for the comment! 

Feb 19, 2008 10:15 PM
Susan Davis
Austin, TX
Excellence Advocate
Great post Lee! I love Zig Ziglar and I believe that we are in control of what we create in our lives and we will have what we think about and focus on. So why would anyone want to focus on the negative!?
Feb 21, 2008 02:45 AM
Lee Walsh
SecurityNational Mortgage - Lake Mary, FL
Executive Talent Scout for Mortgage Professionals

Thanks Susan! One of my favorite  Zig quotes - he talked about controlling your day and your attitude..

"Are you a wandering generality or a meaningful specific."

Feb 21, 2008 03:55 AM
Bo Hunt
First Choice Mortgage Group - Douglasville, GA
Metro-Atlanta Mortgage Professional

Thanks Lee! I completely agree with you. While we may have challenges, it is a great market. There are many potential buyers out there wanting help, and it is up to us to educate them and help them attain their goals. It is the challenges we face that shape our character. 

Feb 22, 2008 03:56 PM
Susan Neal
RE/MAX Gold, Fair Oaks - Fair Oaks, CA
Fair Oaks CA & Sacramento Area Real Estate Broker

Hi Lee, thanks for your comment on my most recent blog entry.  After reading yours it looks like you and I are on the same page.  And your message at the end reminds me of a quote (from Henry Ford, I think):  Whether you think you will succeed or you think you will fail, you are right.

I do feel sorry for those who got into the real estate business at the height of the last boom.  They are used to fielding calls and having buyers fight over their listings.  They don't really know how to do this business.  Those of us who have lived through several booms and corrections have to dust off our old work habits and put the tried and true procedures back to work.  I can only advise newer agents to participate in every seminar and training program they can -- but not to start out with an expensive coaching program until they have the basics down.. Local Realtor Associations offer inexpensive and sometimes free programs that are great!

Things are good for those of us who are willing to treat this as a job and not a moneymaking hobby.  It can certainly be fun, but it is also hard work.  If you enjoy it (and you can decide to enjoy it), you can make even the hard work fun.

Sorry to post such a long comment, but I got inspired by your post.

Susan

Feb 26, 2008 05:17 PM