Move up market

Agents Beware: Help Your Clients Avoid Buying a Nightmare

Customer Care

Mar 18, 2019

As a new agent, you no doubt learned that, in many states, home sellers have a legal obligation to disclose known problems with the home.

As well, home buyers have an obligation to perform due diligence. The law, however, understands that home buyers, even with the best due diligence, are inexperienced and may not understand what to look for.

Enter, the real estate agent – the third side of the disclosure triangle. While states differ in their agent disclosure requirements, most make it pretty clear that an agent has a duty to disclose any known material facts that may impact the value of the home.

In California, for instance, the Civil Jury Instructions state that:

“A broker must disclose these facts if he or she knows or should know that the buyer is not aware of them and cannot reasonably be expected to discover them through diligent attention and observation.”

Legal duty aside, helping your client make a wise buying decision is basic, good customer service. The stuff that referrals and glowing testimonials are made of.

As you advance in your real estate career you’ll learn that most houses have problems, from the tiny to the gigantic. Yes, even newly-constructed homes.

Some are obvious, while others lurk behind very scant evidence of their existence. With experience, you’ll get to know the clues – the red flags that something isn’t right.

Compel fence sitters to call (Available in the postcard section under Fence Sitter Buyers Series)

In the meantime, we’ve gathered some of the more common clues to look for when showing homes to your buying clients.

The electrical system

Old homes are notorious for their electrical system problems. Outdated or damaged wiring, too few electrical outlets and burned out or loose connections are common.

Before buying into your client’s desire to buy a home that needs to be rewired, let him or her know that they can “expect to pay $8,000 to $15,000 to rewire a 1,500- to 3,000-square-foot home,” says Angie Hicks of AngiesList.com.

A chief complaint of many owners of old homes is that there aren’t enough electrical outlets to meet their needs. While the cost of adding new outlets isn’t as high as replacing the home’s wiring, it can still be costly, depending on the electrician’s hourly fee.

“. . . adding a new electric outlet can range from $100 to $800, with the average cost around $350,” according to the pros at ImproveNet.com.

As you tour a home, especially if the home is more than 50 years old, do a bit of snooping. Flick all the switches in the home to ensure they’re operating.

Help the move-up market understand the process (available in the postcard section under Move-Up Market)

Take a look at the electrical outlets for obvious signs of trouble (scorch marks, etc.). Run your hand over the outlets. They should be cool to the touch. Warm outlets are “strong indications of an unsafe wiring condition,” according to Donna Boyle Schwartz at BobVilla.com.

How’s the plumbing?

Don’t be shy – turn on the water at the taps and check the pressure. Low water pressure may signify a leak somewhere in the lines.

It may also be a sign of less serious problems, including:

A water softener that needs servicing
A pressure reducing valve that isn’t set properly
Clogged aerators

Check the pressure while running the hot water only. If it’s lower than the cold-water pressure, there may be a problem with the water heater.

Press your toes on the flooring surrounding the toilet. If it feels soft, the toilet may have a leak.

Finally, in multi-level homes, look at the ceilings on the floors beneath bathrooms for signs of discoloration. This may indicate a leak somewhere.

Maintenance Red Flags

You’ll be hearing the term “Deferred maintenance” a lot during your real estate career. Some folks find home maintenance too easy to put off. As the years go by, problems don’t go away, and many tend to get worse.

Deferred maintenance is often easy to spot. It’s the overflowing gutters, the chipped paint, the dripping faucet and the toilet that rocks when someone sits on it.

While some of these may seem like minor fixes, taken as a whole, you’ll need to wonder what else was deferred that you can’t see. It’s something that you definitely need to share with your client.

Check out the floors

While your home-buying client is marveling over the gorgeous hardwood floors in a home, you should be checking to see if they slope.

Especially if the home isn’t vintage, sloping floors may indicate foundation problems.

The two most common include “ . . . uneven settling in the outer foundation, or uneven settling of the support columns beneath the floor system. Either way, it’s not a problem that fixes itself, but it is a problem that will get worse over time,” warns the experts at BDry.com.

Buying a home with foundation problems isn’t something you want to encourage. HomeAdvisor.com claims that the national average cost to repair a foundation is $4,158.

Centex Foundation Repair in Central Texas gives us a better idea of cost by looking at their client’s bills: $2,162.42 on the low end to $13,705.19 on the high end.

“. . . so far this year our average price of repairs has been $5,911.70,” they claim on their website.

Excite Fence Sitters to take the first step (available in the postcard section under Fence Sitters Series)

Run this by your client before he or she falls madly in love with those Brazilian walnut floors.

Send at least 100 The Time is Now postcards from the Fence Sitter Series to an area where you want more buyers.

Need help targeting the perfect niche of buyers or sellers? Use our mailing list tool to create the ideal list (it’s easy) or call our support team for assistance at 866.405.3638!

PLUS: When you have time…here are Free ways we can help you have an INVINCIBLE 2019!

1. Become a Listing Legend Free eBook

Ready to take a vertical leap in your real estate career? If you’re looking for inspiration…and the tools and methods to dominate a market and go to the top in real estate…you’ll find them in this free book. – Click Here

2. “Get More Listings” Free Online Webinar

“Get MORE Listings & Begin to Dominate Your Market!” Free online webinar. Learn the 3-7-27 strategy for explosive growth, why 95% of agents have less than 20% market share, and how to become the agent everyone competes against. – Click Here

3. The 12 Month Done-For-You Strategic Marketing Plan

The Real Estate Marketing Planner is a powerful 12-Month-Guide that strategically defines what marketing to do when. Four key market segments are included, Niche Marketing, Get More Listings, Geographic Farming, and Sphere of Influence. – Click Here

4. The Free One-Page Real Estate Business Plan

Treat your business like a business it is vital to long-term success in this industry. Some agents may put together elaborate business plans, yet there’s something powerful about keeping it simple. Check out our one page Online Real Estate Business Plan. – Click Here

5. The Free Online ROI Calculator

Consistency and automation are the keys to success. Discover how effective direct mail marketing can dramatically increase your bottom line. Enter your statistics in our Free online ROI Calculator and click the ‘CALCULATE MY ROI’ button to see your results instantly! – Click Here

Avoid these 4 common real estate agent marketing mistakes

Marketing Success

Jan 21, 2019

Turn on the marketing “light bulb”

It’s a safe bet that the percentage of real estate agents who come from a background in marketing is quite small. Therefore, it’s understandable that marketing can be a challenge.

Fortunately, learning by example is an effective way to overcome this lack of knowledge. Let’s take a look at the following four common real estate marketing blunders so that you can avoid making them in the future.

Marketing Mistake 1: The lack of a plan

Planning isn’t as interesting or fulfilling as doing almost all things in life. So, we get it that creating a marketing plan isn’t something you put at the top of your to-do list.

But, that’s marketing mistake number one. Just as you caution your buying clients to enter the process prepared, with a plan, so too should you, when marketing your business.

Even a rudimentary plan can help keep you on track and on budget, but the more detailed the plan, the better it will perform.

The Real Estate Marketing Planner Free Download

A powerful 12-Month-Guide that strategically defines what marketing to do when is our Free Real Estate Marketing Planner. It includes weekly strategies for Four key market segments including, Niche Marketing, Listing Inventory, Geographic Farming, and Sphere of Influence.

Please take advantage of this Free 12-month Marketing Planner, go here to download.

Marketing Mistake 2: Not understanding where the money is

One of the biggest myths about homebuyers is that the largest group of them are first-time buyers.

You’ll find this misinformation online on agent websites, sites trying to sell stuff to agents and even news stories.

“ … the majority of people looking to purchase a new home are first-time buyers.”

NAR tells us that first-timers make up only 33 percent of all homebuyers (and that number is down from the previous year). Therefore, diversify your marketing dollars to include target markets in addition to first-time home buyers. Some of the other top target markets include Baby Boomers, Move-Up Market, Lifestyle & Interests, Empty Nesters, High-Income Consumers, and Investors.

Notify the move-up market to turn to you for help. (Available in the Move-Up Market postcards section)

Marketing Mistake 3: And who are they?

NAR breaks buyers and sellers into generations and Gen X (born 1965 to 1976), according to the association, makes up the largest home seller pool at 27 percent.

In reality, baby boomers (between the ages of 54 and 72) in the market far exceed that number, at 43 percent. NAR, however, cuts the generation in half, making it appear to be a smaller group of consumers.

But, since both generations own homes and are likely to move, a smart agent will target both.

When you understand where the money is, and vow to strategically target those with it, everything else marketing-related, from the social media platforms you utilize to your content, falls into place.

Marketing Mistake 4: Going it alone

Assist an Empty Nester Achieve an Important Transition (Available in the Life Event postcard section)

Marketing involves a whole host of talents that most real estate agents don’t possess. Sure, you may be an ace photographer or may have studied graphic arts in college, but an agent who has all of what it takes to market his or her business would be a rarity, indeed.

There’s not a thing wrong with outsourcing your marketing needs, be it from the creative side (writing, photographing, videography, etc.) or the hands-on side (managing bulk or email lists, website work and social media management) or the design side by trusting in an industry marketing expert like ProspectsPLUS! for all of your real estate marketing materials.

Your job is to generate the leads required to make deals. Save time and frustration by hiring experts for the rest of the work including turning to industry expert marketers, such as ourselves, for marketing materials that speak specifically to the market you are targeting.

We understand the possible fear of committing the appropriate budget for this important area of your business. First, outsourcing marketing tasks is tax deductible (as are marketing materials). Second, it frees up more of your time which, in turn, means you’ll be working more on the money-making activities.

Offer decision-making assistance to baby boomers (Available in the Life Event postcards section)

Time for you to go after the “current” largest target market, Baby Boomers!

Send at least 100 Downsizing, Retiring Soon postcards from the Life Event Series to an area where you want more listings.

Need help targeting the perfect niche of buyers or sellers? Use our mailing list tool to create the ideal list (it’s easy) or call our support team for assistance at 866.405.3638!

PLUS: When you have time…here are 4 free ways we can help you have an INVINCIBLE 2019!

1. Become a Listing Legend Free eBook

2. The Free One-Page Real Estate Business Plan

3. The 12 Month Done-For-You Strategic Marketing Plan

The Real Estate Marketing Planner is a powerful 12-Month-Guide that strategically defines what marketing to do when. Four key market segments are included, Niche Marketing, Listing Inventory, Geographic Farming, and Sphere of Influence – Click Here

4. The Free Online ROI Calculator

Also…check out these game-changing tools!

Three Click Postcards – Just snap a home photo & create a postcard all from your mobile phone

MLSmailings.com – Automated Just Listed, Just Sold Postcards

Market Dominator System – Become a neighborhood brand & achieve 20% market share

Want to Refer a friend or colleague? Refer them, Here. THEY get a Free $25 Gift Card and YOU become their hero. BTW, you also get a $25 Gift Card too (now that’s what I’m talking about)!

Our business flourishes from recommendations (similar to yours). We truly appreciate when you leave a review – Review us here

5 Budgeting Tips for Agents

Business Success

Jul 25, 2018

Get ahead of the inevitable rate hike

Fannie Mae’s economists dusted off their crystal balls, peered into the housing market’s near future and came away upbeat.

In the overall economy, they predict strong growth and low unemployment rates to continue. So, bring on the rate hikes, right?

They predicted four rate increases in 2018 (up from the three they predicted in March) and then another three in 2019. Hopefully, this won’t impact too many of your buying clients.

Their housing market-specific news includes a continued tumble in the conventional mortgage application rate. Which is why, in a business so dependent on a healthy economy, it’s important to be strategically budgeting both your personal and business money.

I did a deep dive into the experts’ opinions on what it takes for an independent contractor to financially succeed during the tough times. Here are several of their basic tips.

Start with your personal budgeting

Taking care of your personal finances is job one. Once that’s done, you’ll have a clearer picture of how much money you need to make and how much of it you can devote to your business expenses.

When budgeting, you need to be flexible enough to accommodate your income swings and to allow for an emergency fund. Most financial pros suggest you’ll need enough to cover both your living and business expenses for six months.

Once complete, that budget may be a real eye-opener. Look for ways to cut needless spending and redirect that money elsewhere.

Forbes.com’s Laura Shin suggests taking a critical look at your recurring spending. “Are you really using all the offerings of your mobile phone plan …? Do you go to the gym often enough to justify the monthly cost? What if you took up running, played tennis with a friend or used exercise DVDs instead?”

She also mentions that you consider cutting the cord. Cable TV has become ridiculously expensive when there are other, less expensive options (streaming) out there.

Your business budget

If you don’t already have a business account, open one now. Your tax preparer will worship the ground you walk on.

And, if you do your own taxes, you’ll be immensely grateful every quarter that you don’t have to pick through your expenses to separate the business from the personal.

Your real estate business budget needs to include more than your listing expenses, gas, and auto maintenance costs. Among the other categories, ensure your budget includes money for: taxes, health insurance, disability insurance, website expenses, salaries, marketing your business, closing gifts, wardrobe, and professional fees.

Once you’ve created the budget, it needs to be maintained. Track your expenses and income and tweak the budget, as needed.

Consider the bucket system

If you’re like a lot of us, you haven’t a clue where you spend your money and how much is wasted. Budgeting is a pipe-dream that you know will never meet reality.

So, make budgeting a game, of sorts. Divide your expenses into three “buckets.”

1: The first bucket holds all your ongoing expenses, such as utilities, house and car payment and other debt payments.

2: The next bucket is for expenses such as food (both dining out and groceries), entertainment and clothing.

3: The third bucket is for the money you’ll spend in the future for things like healthcare deductibles, retirement accounts, home repairs and maintenance and vacations.

Do the same with your business expenses.

Your business expense bucket

Start the system with bucket number three, decide how much of each commission check you’ll need to set aside for future expenses. Experts suggest that you open a separate account for your third bucket. The first payment you make from each commission check should go to this account. The rest of the check goes toward monthly personal expenses (bucket number one).

The amount left over after taking care of recurring expenses is what you can dump into bucket number two.

To remain on track, monitor your spending for two or three months to determine how much you’re spending from the second bucket. Take the average, multiply it by 12 and divide by 52. This will give you the amount of money you can spend, weekly, from the second bucket. Divide it again by seven to get your daily limit.

Remember to be mindful of your spending, especially for business items. “Expenses should create income. If an expense doesn’t create income, it should be eliminated,” Tom Wheelwright, CPA told Inman.com’s Dani Vanderboegh.

Question every purchase. If you don’t need to make it, don’t.

A smart way to utilize your marketing budget? Attract buyers with a proven method of marketing.

Send the Don’t Wait postcard from the Fence-Sitter Series to at least 100 prospects in an area where you want more buyers.

Need help targeting the perfect niche of buyers or sellers? Use our mailing list tool to create the ideal list (it’s easy) or call our support team for assistance at 866.405.3638!

PLUS: When you have time…here are 3 free ways we can help you CRUSH IT in 2018!

1. The 12 Month Done-For-You Strategic Marketing Plan.

2. The Free 2018 Real Estate Business Plan.

3. The Free Online ROI Calculator.

Also…check out these cool tools

Three Click Postcards – Just snap a home photo & create a postcard all from your mobile phone

MLSmailings.com – Automated Just Listed, Just Sold Postcards

Market Dominator System – Become a neighborhood brand

Want to Refer a friend or colleague? Refer them, Here. THEY get a Free $25 Gift Card and YOU become their hero!

Become a Market-Maker & Win BIG

Agent Success

Jun 26, 2018

Dean Jackson takes your game up another notch by disclosing the steps to becoming a “Market-Maker”. Learn how to differentiate yourself, become the wise insider, and disrupt your market. Dean Jackson is the founder of GoGoAgent and Listing Agent Lifestyle.

Reverse your thinking

On a fundamental level, the real estate business consists of finding one person who wants to buy a home and finding one person who wants to sell a home and matching those people up.

Most agents begin focusing on finding a buyer after they get a new listing. In fact, often agents are only focused on getting listings because their belief is they need these listings to be able to find buyers.

But what if you reversed this thinking? What if instead of matching buyers and sellers, listing by listing, you become a Market-Maker who’s truly controlling your market?

Bring what the seller REALLY wants

How powerful would it be to show up at a competitive listing appointment with a buyer who already wants to buy the house or a list of people who are interested in a house like their home?

There is nothing more powerful than this position because you’ve got the very thing that the seller wants more than anything.

Even if you brought this buyer to an appointment where the seller was thinking of listing with their mother, if all they had to do was sign with you and their house was sold, mom would be out.

Yeap, they would sell their mother out in a second because self-interest always wins, and their self-interest is to find a buyer.

That’s an extreme example but I guarantee you if you line up the four best listing presentations in your marketplace to compete against and you arrive with a buyer who says, “How much would you like for the house?” and “I’ll take it,” nobody’s getting that listing but you.

When you see listing appointments from this perspective, it makes the most sense to focus on already having buyers whenever possible. It will always give you an advantage on the listings.

A case study

As an internal case study, I spent some time running my “Getting Listings Program” with the intent of find lakefront home sellers in Winter Haven (where I live). At the same time, I marketed home and land ads for buyers looking for lakefront homes.

It wasn’t too long before I received responses from interested parties.

One of those responses was a phone call from someone who’d seen my marketing about the “new lakefront homes that were coming onto the market”. He told me he sold his house in Stuart and was looking for a lakefront home in Winter Haven.

Then literally within an hour of getting that call, I received an email from a home seller on Lake Ruby. She stated, “I’ve been getting your marketing pieces for the last few months and we’re ready to sell our house.” This house actually was a perfect fit for my buyer from Stuart. It was such a perfect coincidence I couldn’t have scripted it better.

Become the insider

The results of my case study really solidified my understanding that the very best thing you can have in a competitive listing arena is a buyer or access to buyers. While everyone else is talking to sellers about, “Once I list your house we’re going to do this and this, and this to find a buyer”, you are going to set your self apart.

Your talk track will be, “I started looking for the buyer for your house 180 days ago by doing this, and this, and this, and right now I have a pool of these buyers who are looking for homes just like yours”.

To be able to match buyers and sellers up in this way, triangulating them, that’s where true “Market-Making” lies. Now, you’ve got insider information and access to people who are thinking about buying a home, and you’ve got insider information on people who are thinking about selling their home.

All that is left is to match these people up. And that’s where you’re adding value and differentiating yourself because no one else will be attacking a market in this innovative and far-reaching way.

To learn more about the other incredible tools and resources Dean has available for agents go to GoGoAgent.com and ListingAgentLifestyle.com.

Start collecting your pool of buyers now by sending the When Moving Makes Sense postcard from the Move-Up Market Series to at least 100 prospective buyers.

Need help targeting the perfect niche of buyers or sellers? Use our mailing list tool to create the ideal list or call our support team for assistance at 866.405.3638!

PLUS: When you have time…here are 3 free ways we can help you CRUSH IT in 2018!

1. The Free 2018 Real Estate Business Plan.

2. The Free Online ROI Calculator.

3. The 12 Month Done-For-You Strategic Marketing Plan.

Also…check out these cool tools 🙂

Three Click Postcards – Just snap a home photo & create a postcard all from your mobile phone

MLSmailings.com – Automated Just Listed, Just Sold Postcards

Market Dominator System – Become a neighborhood brand

Want to Refer a friend or colleague? Refer them Here. THEY get a Free $25 Gift Card and YOU become their hero!

Prev 1 23Page 3 of 3