Sunday, February 27, 2011

Mortgage Market Guide Issue 9

Last week in Review: Mortgage Bonds were pushed and pulled by fear and uncertainty. Read what it means to home loan rates.

Forcast for the Week: It doesn't get much bigger than this! Here's a sneal peek of high-impact reports due out this week.

View: You could slash your tax bill by up to $1,000 for each qualifying child! Read this week's guide for more information.

Thursday, February 24, 2011

Marketing-The Foundation of Success in Real Estate

Making it big in the real estate business takes a lot of hard work. In fact, it is presumably harder than most businesses you could get into. But, the other side of the coin is that the rewards earned in this business are far greater than that earned in any other average business.

You have a tremendous earning potential in the real estate business if you create an effective system for accomplishing the mundane repeated task of your business to earn higher returns.

But generally, people flock towards this business by just keeping the profit range in mind and the common perception is that all you need to do in this business is to sell a house and maintain good network to earn profit. But this is not true, as some investors who know everything about the real estate business sometimes only manage to earn average.

The main secret to succeed in this business lies in the techniques used by the sellers. As a real estate investor, you need to attract the sellers and for this you need good marketing techniques. Your business will thrive on the marketing techniques you imply to attract customers. So start thinking like a marketer and try and develop new strategies to dominate the market and captivate the customers. To attain constant success, you must adapt new marketing strategies combined with other business skills. Besides marketing, you should also have good negotiating and convincing skills.

Firstly, you have to understand the concept of marketing and the way it works to make the best out of marketing. While applying a marketing strategy, you can try the conventional and random approach. The only hitch in this approach is that you can only interact with limited number of sellers and very often, the costs incurred are very high on telephones and advertisements. This process can be very draining, as it sometimes leaves you with nothing, neither the money nor the customer.

The support of the media results in a very systematic and organized approach to attract large number of sellers and it also provides a significant impact on your business. Other cost-effective methods to draw huge responses are through the Internet, television, radio and classifieds in the newspapers. By using the media, you dont have to chase the customers and instead, the customers who are interested in selling will step forward and contact you.

The marketing strategy works well under any given market conditions and also helps to establish direct contact with the potential customers. It draws genuine customers and those who qualify to meet your criteria for the final deal. Once you have a listing of the potential sellers, you can concentrate on your other business skills to close offers. This method of direct marketing is highly cost effective and saves your precious time by targeting only potential customers.

The deadliest duo in the real estate business is the real estate agent and the mortgage broker, who combined with their marketing skills, can cross any business hurdle. They both focus on the adopted path of their business and also give each other business.

Once you know the market, you can maintain a constant flow of prospective sellers and earn huge profits by putting in minimum effort.

Wednesday, February 23, 2011

Get Over The Fear of Networking

It's a fact that most of the business that is conducted today is the direct result of network marketing efforts. Most people have to see a product or service advertisement seven times before they will buy, but are more likely to purchase much sooner if a friend, family member, colleague, or some person of influence refers them to that product or service.

It's the fear factor that drives most small business people away from networking.

Public speaking is the issue I'm going to discuss today, and I make it really rather simple. If I can do it anyone can. Practice the steps listed below.

1. You are a professional and what do professionals do? They study and they practice their craft. So step one is the most important, practice at every free moment of the day. Practice to where you have it down without even thinking about it, until it becomes natural.

2. Get plenty of rest prior to an event and have your materials already prepared no later then the night before.

3. While on the way to an event, you need to do 2 things. You need to relax and start getting motivated. To steal a line from Happy Gilmore, "go to your happy place".

Now here's the real secret. How to network without rejection. Well you first have to realize that your not there to sell everyone in the room. In fact your not there to sell anyone at all. The purpose of networking is seeing how you can help others and they, in turn, can help you. Now if you get a client out of this then great, but it's not the objective. Now knowing that your not there to sell anyone, then no one can reject you. Follow the instruction below to develop your own 30-second spiel.

1. Hello my name is (your name) and I'm with (your company name)

2. This is important! Do not simply say the type of business you are in. Instead you want to create a 1 to 2-sentence statement of what your business does. Example "We help families create wonderful summer memories while staying cool and refreshed."

3. Tell them 1 or 2 important facts or typical hot buttons your clients will have.

4. Well the only thing left is to tell them who makes the perfect client for you and in a rejection free statement if they know anyone to please have them contact you. Remember you are there not to sell them, but to find those that can help you to find more leads and you are there to help them.

5. Try to keep it to no more than 30 seconds.

Now you have the tools to be able to network without rejection and without fear.

Tuesday, February 22, 2011

Why Good Clients Don't Always Give Referrals

Despite being delighted with your services and eager to share you with their friends, even good clients miss opportunities to give referrals. This is caused by entropy, inertia, and inconvenience. Basically, most clients will not inconvenience themselves to give a referral – they may postpone giving it, or forget it altogether.

Common reasons why referrals may fall through the cracks:

  • The client thought of another business provider to refer (“Let me think, I believe Tony’s sister is in that business…”)
  • The client had no easy way to pass contact information (“I don’t have her number on me. I’ll send it to you when I get home”)
  • The client forgets to give the referral
  • The referral-receiver lost or forgot about the referral
  • The referral-receiver has indefinitely postponed making the contact, due to lack of time or attention, or a change in their own schedule (“I’ll do it later when I’m not busy”)
  • The referral-receiver is too busy, too nervous, or misinformed to initiate contact
  • Another person gave the referral-receiver another contact before they had a chance to call the business person
  • The client had no incentive to give a referral

What is required to get a referral often ends up being a grand coincidence. For example - a friend asks for a referral AND the referral-giver happens to remember AND the referral-giver happens to have your business card on them. In this example, inconvenience wasn’t a problem. As soon as one of these factors is inhibited, the referral is lost.

Savvy independent business people know the value of referral business – most thrive on it. Even though customers are often delighted to give referrals, there are many that fall through the cracks because of the customer’s natural sense of avoiding inconvenience. By using Referral Marketing, marketers can improve their odds of gaining more referrals and encourage referral-giving behavior – resulting in more referral business and a better bottom line.

Contact me for more information about the program I use that allows you to "click it and forget it". Meaning, once you input your client’s information and the campaign you want them in, it will send your marketing piece to them, asking for referrals with a click of the mouse. It also sends birthdays, holidays, and their yearly review reminder for you. Allowing you more time to build your business.

Wednesday, February 16, 2011

Marketing Real Estate To Generation Jones

The Baby Boomers are a well-known demographic that is moving into retirement, but real estate agents should also pay attention to the Boomer’s younger sibling, “Generation Jones” as named by historian Jonathan Pontell. Generation Jones is the demographic born between 1954 and 1965 and now comprising 25% of the U.S. population. Their roots are definitely practical, but their branches keep reaching for the sky. A balanced approach that meets both these needs is what is best to attract Jones’ formidable real estate buying power.

The Baby Boomers are the demographic of people born just post-World War II, from the 1940s to the 1960s. America was “booming” in postwar prosperity and in population. Generation Jones is the younger generation, those born in the latter half of what is known as the “Boomer years”. The term “keeping up with the Joneses” comes from this generation. They grew up with the advent of technology and in the midst of the spirit of social change. They are technologically savvy, being the first of the generations to grow up with television in the background. They want the better life that The American Dream promises, but many have yet to see that materialize.

Generation Jones is seeing retirement on the horizon, but many of them have children at home still and no plans to actually stop working. While they might retire from their jobs in the next 10-20 years, they have a lot to do right now. Many of them are looking at working beyond retirement. This may be the last larger home they purchase before they start downsizing once the last child leaves the nest.

Your real estate selling strategy has to combine genuine value with innovation to appeal to this generation’s appreciation of material goods and services. “Green” appliances and features appeal to them because they want to produce a better world while still enjoying the conveniences of today’s inventions. They want open design concepts and a flexible living space. They appreciate the tried-and-true classics, but if there’s something out there that’s better then they’re all for it.

Despite this openness to technological innovation, though, Jones can be emotionally attracted by appeals to nostalgia. Tasteful references to the 70s and the 80s – in color, design and popular culture can capture their interest. There are a number of fan sites for “retro renovation” of mid- and late-century homes and rooms. By offering information on modern renovations for retro homes, you could be in a good position to attract Generation Jones.

One thing about Generation Jones to avoid is the “B.S. Detector”. Having been a generation bombarded by ads since before they could toddle, Jones people are adept at seeing exaggerated claims and outright lies in a sales pitch. When something looks too good to be true, Generation Jones people are sure it’s not and will go the extra mile to prove their suspicions right. Be honest. If the roof is about to slide into the garden, say so.

The value of a home as a center, not just for family and financial stability, but for one’s hobbies and aspirations is a good point to take with Generation Jones. They are old enough to know that you can’t have it all, but young enough in our culture to know you can have what you’re willing to reach for. If you can lure someone from Generation Jones with genuine value while appealing to their sense of aesthetics, you are in a good position to make a sale

Tuesday, February 15, 2011

Guide To Avoid Mortgage Mistakes

I have been asked to share my guide to the masses and I agree, more people need to be aware of what is out there. Today I am attaching a link to get access to download my free "Guide To Avoid Mortgage Mistakes". Please feel free to send a copy to any friends, family, co-workers or clients that are looking to purchase or refinance their home. This will show them that you care about their finances and can go a long way in future referals. If you or your client would prefer I mail them a "hard" copy, just contact me and I would be happy to pop one out in the mail. Have a productive day!

Thursday, February 10, 2011

Three Best Real Estate Marketing Tools In The World

Wow! Some real estate agents pay $300.00-$400.00 per month for leads.

Is there a cheaper, yet equally effective way to get leads to grow your business?

Absolutely, but how do you find them?

Below are three simple, but proven real estate marketing tools and strategies that'll get you securing more leads than you'll be able to handle. In fact, you could end up with so many you'll start your own "Team Dynamo".

Build A List

The name of the real estate marketing game nowadays is capturing the names and email addresses of everybody you meet to develop your own list of responsive buyers and sellers.

Why? Because with email addresses you can market to folk on your mailing list until the cows come home...and for next to nothing.

Regular postage is .41 cents a letter, sending the same letter via email is free. If you mail 500 letters it would cost $205.00 in postage, plus the cost of printing, paper and envelopes. You could easily be out of $225.00 - $250.00 for so for just one mailing.

Now, contrast that with emailing the same list of folk, no postage, paper or envelopes required.

Total cost? Nothing.

Hopefully the point is understood. While there are certainly times and places for direct mail campaigns, so too are there for email marketing campaigns.

But list building is a slow process and typically doesn't result in quick sales. Instead, know that as you acquire names over a period of months, then years, you'll have long-term prospects that'll come to trust you and your opinions and seek you out when they're ready to make real estate transactions.
Currently I am using a software program that sends a weekly email to my clients and business partners. All I need to do is add a new name, email address and which campaign I want them to be in. From that point on they are getting a weekly, or what ever timeframe you want, emails with useful information and a request for referrals with a one click button at the bottom of the email. It also includes birthdays and holidays. I even co-brand with my referral partners with their picture and information on every email for clients they referred to me. So we BOTH get our name in front of past clients and asking for referrals constantly. An added benefit I provide to all my referral partners.

Real Estate Marketing Reports

The buzz on the Internet is all about content marketing. The premise is that Internet surfers are looking for information, and are not necessarily looking for you and/or otherwise interested in what you have to sell.

Instead, they are wanting and seeking information to help guide them in their quests to buy and sell real estate. No wonder the most successful lead generating web sites are those that offer an abundance and diversity of information.

There's an old saying that goes "he who gives shall receive" and it is as true today as ever.

Agents who give away information, like information found in pre-written real estate marketing reports, are rewarded by prospects eagerly exchanging their email addresses for the information contained in the reports.

And the outcome? Prospects will continue to come back to you again and again until they're ready to buy or sell real estate. And guess who'll be there ready and able to help them?

Multiple Streams of Leads

Perhaps the best advice I can give anybody is this; do not put all of your leads in one basket. Instead, diversify your lead generating strategies for more listings and sales.

Leads and listings can be gotten via nearly every way imaginable, including but not limited to direct mail campaigns, real estate marketing flyers, post card marketing, networking, buyer and seller seminars, FSBO, etc.

While each approach offers its unique advantages and disadvantages they all work.


There you have it, three real estate marketing tools and strategies that can push your marketing success to new heights.

Get started today with either one, or all of these to increase your income. For more information about the email marketing campaign I use or if you would like me to add you clients to a joint campaign for free, just contact me.

Wednesday, February 9, 2011

Have You Ever Made This Mistake?

Today I have a great little story for you with a great take home message!

There was a bakery with a large clock on the inside wall that faced out towards the sidewalk. The baker noticed that every morning an older gentleman walked by, took out his pocket watch and set the time according to his wall clock. This went on for over 10 years.

One day the baker was waiting outside when the gentleman with the pocket watch came up to perform his daily ritual. After watching the gentleman set his watch, the baker spoke to him. "I have watched you set your pocket watch to my clock every morning for the last 10 years. I was wondering why you do this?" "Well", the gentleman responded, "I am the foreman at the lumber yard, 2 blocks north of here and I am responsible for setting the time clock whistle to 5:00 o'clock so that all the workers in the yard know that it's quitting time. So I set my watch to your clock each morning to make sure it is accurate."

The baker stood back in shock. "Oh my", he replied. "I have been setting my clock to that whistle every day for the last 10 years."

The point of this story is this: know who you are following and that they know what they are talking about!

This is absolutely critical in today's real estate market. When you are working with a lender, you cannot afford to work with a rookie, a non-expert. I frequently have agents tell me, "I am showing houses to someone this weekend, but they are already pre-qualified."

Unfortunately I also receive the last minute phone calls. "My people are no longer qualified or the lender can't get the job done or the lender changed the program and added a bunch of fees that were not disclosed in the beginning", and so on.

Here is my suggestion. When your clients tell you they are re-qualified you tell them this. "Mr. & Mrs. Buyer, I'm so glad you have already had someone go over the numbers with you. I know that buying a home is a big deal and probably one of the largest financial investments that you will ever make. And just like you need a second opinion before having surgery, I would feel more comfortable if you got a second opinion with this also. I want to make sure that what you have been quoted is accurate, and that the numbers are legitimate. I know a great mortgage person. This guy is the real deal, a real expert; I'm going to have him give you a call. Is the morning or afternoon better for you?"

Now you have just given them another value added service, AND you have also saved yourself from wasting time by driving around someone that is not really qualified, or who is going to walk away from the deal because the financing is different from what they were quoted.

You cannot afford to make these big mistakes in today's market. I see rookies make this mistake all the time, and shake my head when even seasoned pros make it too. I just want to make sure you are setting your clock to the right whistle. My service costs nothing, it let's your client know you are doing what's in their best interest, and it can save your commission check and your reputation with other agents.

This is a real no brainer and is something that has been implemented by most of the top agents. So call me or email me to provide a 1st or 2nd opinion for your next client.

Well, thanks for letting me help and as always have a productive day!

Sincerly, Jason

Tuesday, February 8, 2011

Fannie Mae and Freddie Mac are increasing their costs

Fannie Mae and Freddie Mac are increasing their fees on loans tied to risk based pricing. Botom line is if you have less than a 740 score and putting less thann 25% down on a purchase, you will experience and increase in the cost and/or rate of your future purchase loan. You can see more on the video at this link:

Anyone out there thinking about buying a property, now is the time to move. Please contact me for a free Estimate for your new loan.

Sunday, February 6, 2011

Mortgage Market Guide for the week of Feb 7 2011

Last Week in Review: January’s Jobs Report is in - was it a good or bad one?

Forecast for the Week: It’s a quiet week when it comes to economic reports, but it remains to be seen whether the news from around the world will be good or bad for our markets.

View: Need some cough syrup? Just ran out of bandages? Read this week’s View article...and learn more about the new Flexible Spending Account rules...before you head to the store.

Read more in this week's Mortgage Market Guide:

Thursday, February 3, 2011

Now Is The Time To Buy Real Estate

A Wall Street Billionaire says NOW is the time to buy Real Estate. Watch the video here: http:// Tell your friends, neighbors and/or clients about it.

Wednesday, February 2, 2011

Riding the Wave of Change in Your Real Estate Business

"The sky is falling! The sky is falling!" This is what many agents felt when people started looking on the Internet for their next home. "The end is near!" This was the response by many when the MLS was made available to anybody with an Internet connection. Technology, the Internet specifically, has forever changed the way people buy and sell their homes.

The real estate market has changed so quickly and completely that there are many real estate agents at a loss for what to do now. Experienced agents that never had a problem attracting new clients through traditional advertising are now finding out that they need to rethink their marketing strategy. New agents are finding themselves in an industry that is in the middle of a transformation. They have been finding that the rules that they just learned about building a successful real estate business are being rewritten before they even have a chance to apply them.

Old Rule: As a real estate agent you have exclusive access to the list where your prospect will find the home of their dreams. Your sellers rely on you to put their house on this list of dreams.
New Rule: Anyone with an Internet connection can search the MLS listing. FSBO’s can add their home to the list through any number of sources.

Old Rule: You hold Open Houses so that interested home buyers can see the inside of your seller's home without an appointment. This is also a good way to prospect for buyers.
New Rule: Interested home buyers view digital pictures and virtual tours of homes at their convenience, without an appointment, at anytime of day.

These new rules do change the real estate industry in a fundamental way. They do not, however, mean that the end is near or that the sky is falling. As long as you understand that the new rules exist and what it means for your business, you will be able to ride the tides of change all the way to the bank.

If buyers and sellers do not need real estate agents for the MLS or for viewing houses, what do they need them for? How can agents get prospects to come to them?

At the same time the Internet was changing the way people buy and sell their homes, it was also contributing to a more fundamental change in people as consumers. People are hungry for information and they want that information at their fingertips at all times. A savvy real estate agent will take advantage of this demand for knowledge and information by becoming the source that buyers and sellers come to.

Agents can establish themselves as an expert there to help. By offering reports such as "Ten Things You Must Do Before Selling Your Home" or "3 Mistakes You Don't Want To Make When Buying A New Home" your prospects will come to you. An important aspect of this new marketing strategy is going to be capturing the information of prospects requesting your reports. Whether it be name, address, phone number, email or in the best case scenario all 4 points of contact, make sure you are able to follow up with them.

Here are just some of the benefits of becoming an information source for people that are starting the process of buying or selling a home.

*An agent can start to build a relationship with potential clients based on trust and respect.
*Buyers and sellers seek out the agent instead of the agent seeking out the prospects.
*There is no better quality of lead than one that raises its hand and says, "I would like information about selling my home."
*Agents can set themselves apart from their competition by using non-traditional advertising.
*By establishing a good rapport and helping potential clients find the information they need, they will come to you when they are ready to make their move.

The real estate industry has been undergoing a fundamental change. Some agents may have a doomsday view of these changes and at this point real estate agents have two choices. They can simply wait for the end to come or they can adapt with this evolving market and ride the wave of change all the way to the bank. For an additional tool to take advantage of the tech or cyber buyer, generating more views of the property and more leads for you to follow up on, please watch the video at the top of this site or simply contact me for more information.

Tuesday, February 1, 2011

How To Build a Repeat & Referral Based Real Estate Business

However good your skills are in negotiating and selling real estate, any marketing professional will tell you that they are not enough to retain your clients. Communication is vital to winning and keeping clients for your business building rapport and earning respect are vital. Clients do not just buy your services; they buy your continuous support and that means maintaining that important element of human contact.

Without that human touch, your business will lose clients. With it, not only will you retain clients but also you will gain referrals. Statistics show that it is less expensive to keep a client than gain a new one. Most of us know the 80/20 rule that 80 % of business comes from current clients and 20 % from new ones. But were you aware that according to the Harvard Business Review it costs up to 8 times more to gain a new customer than retain an old one (Zero Defections by Frederick F. Reichheld and W. Earl Sasser, Jr.). If you do the math you will find that the 20% is only worth 4% of your business in real terms. You do not want to lose your past clients!

One of the main features is to utilize a Client Database Management system that allows you to maintain communications with little effort on your part. Formulate a desired contact strategy and produce 100% customizable direct mail for your clients on an annual, quarterly or monthly basis.

Designed pieces include postcards, letters, and folded card formats and can include calendars, recipes, sports schedules, magnetic dry erase boards and more. The contents are fun and full of helpful and informative tips for your clients.

Some subjects for example can include home improvement tips or knowing when to refinance. Each piece works to keep your name in front of your clients year round and also prompts your clients for onward referrals.

The service is typically competitively priced and pays dividends as you get referrals from clients already in your book of business by the most powerful medium of all word of mouth.

In the competitive world of real estate, that's a solid gold guarantee not only of continued repeat business but of new business as well.