residential B US I N E S S I N TELL IGE N CE FOR THE R RC PROFE S S IONA L
may + june
2018
THE
SPECIALIST ALSO IN THIS
ISSUE
IT’S ABOUT
TIME Gear up for your day with these productivity power tools
CRS-036
Generate leads on the cheap What drives interest in condos Low-inventory market tips
Blockchain safeguards How to own a niche market Solutions for routine tasks
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contents
May 20 June 18 vol. 17, no. 3
features
22
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A PITCH FOR THE NICHE
ROCK AROUND THE CLOCK
Use these 4 highly productive techniques to stay in touch with clients and prospects.
Owning a niche promotes your brand, strengthens your credibility and generates quality leads.
By Michael Chazin
By Donna Shryer
GOING, GOING, GONE! 26 CRSs who know how to navigate through low-inventory
$
markets can turn minimal supply into maximum returns. By Matt Alderton
THE SYSTEM 30 TheWORKING value of using systematic procedures to organize and structure recurring tasks. By Myrna Traylor
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The Residential Real Estate Council
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contents
May 20 June 18 vol. 17, no. 3
departments 4 VANTAGE POINT
34
5
By Gary Williams, CRS
5 ENTRY POINTS
Industry Headlines, Business Technology, Ideas & Trends
12
6 The Deal that Blockchain Built
How blockchain technology could revolutionize the real estate business model.
By Megan Craig
9 Leads on the Cheap
Want success? Here’s how to drive leads for just a few dollars.
By Eric Schoeniger
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12 What Light Through Condo Window Breaks
REALTORS® in markets across the country are seeing increased interest in condo living.
By Andrew Conner
16 PEER TO PEER: Zanthia Hastings, CRS RE/MAX Executive Realty Charlotte, North Carolina
40 LEARN FROM THE BEST
Dollars and Sense by Dan Ariely and Jeff Kreisler
+
Busy Season Fun Time Tips on how to balance work and play this busy summer season.
37 NEWS FROM THE COUNCIL
Virtual Pro eLearning, RRC Smart Home Certification and a new YouTube video series.
34 WORK + LIFE
Reviewed by Allan Fallow
inside RRC
36
An RRC instructor explains why millennials deserve more credit.
41 RRC CONNECT 48 ASK A CRS
Great questions to ask when listing a house or working with a buyer.
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ON L I N E R E S O UR CE S THE RESIDENTIAL SPECIALIST ONLINE Visit the website at trsmag.com to access the digital edition of The Residential Specialist.
Advertise in Find a CRS New banners have been added to the roster of Find a CRS online directory advertising options. Log in to CRS.com, go to My Dashboard and click on Online Directory to see your advertising options.
Join We Are CRS The Council’s official Facebook group, We Are CRS, is a great way to connect with members and designees. CRSs are making and receiving referrals there every day. Join at Facebook.com/groups/WeAreCRS.
Coming Next Issue ... B US I N E S S I N TE L L I GE N C E F OR TH E R R C PR OFE S S I O NA L
Special Technology Issue
Business tools based on new technology New tech tools used for business activities such as mining data, cultivating customer relationships, accounting and managing open houses are compared with traditional business models. Emerging technologies for marketing and branding Review the newer technologies available to develop and execute effective strategies for marketing and promoting your brand.
EDITOR Michelle Huffman mhuffman@crs.com 800.462.8841 CONTRIBUTING WRITERS Matt Alderton Michael Chazin Andrew Conner Megan Craig Donna Shryer Eric Schoeniger Myrna Traylor 2018 BOARD OF DIRECTORS President Gary Williams, CRS President Elect Michael Burkhard, CRS First Vice President Richard Waystack, CRS Immediate Past President Leigh Brown, CRS Members Jen Ward, CRS Shawn Cunningham, CRS Steve Stewart, CRS Yolanda Lowe, CRS Vinnie Tracey, CRS Chief Executive Officer Lana Vukovljak Staff Liaison Patricia Stodolny PUBLICATION MANAGEMENT www.glcdelivers.com
ADVERTISING MANAGER Chuck Gekas Director of Business Development 312.321.4443 cgekas@crs.com The Residential Specialist is published for Certified Residential Specialists, general members and subscribers by the Residential Real Estate Council. The magazine’s mission is: To be a superior educational resource for CRS Designees and members, providing the information and tools they need to be exceptionally successful in buying and selling residential real estate. The Residential Specialist is published bimonthly by the Residential Real Estate Council, 430 North Michigan Ave., Suite 300, Chicago, IL 60611-4092. Periodicals postage paid at Chicago, IL, and additional mailing offices. Change of address? Email requests to crshelp@crs.com, call Customer Service at 800.462.8841 or mail to RRC at the above address. The Residential Specialist (USPS-0021699, ISSN 1539-7572) is distributed to members of the Council as part of their membership dues. Non-members may purchase subscriptions for $29.95 per year in the U.S., $44.95 in Canada and $89.95 in other international countries. All articles and paid advertising represent the opinions of the authors and advertisers, not the Council. POSTMASTER: Please send address changes to: The Residential Specialist, c/o Residential Real Estate Council, 430 North Michigan Ave., Suite 300, Chicago, IL 60611-4092. COPYRIGHT 2018 by the Residential Real Estate Council. All rights reserved. Printed in U.S.A.
Publishing Manager Phil Malkinson Art Directors Scott Oldham Ivette Cortes
New ways to secure and promote listings Learn about novel tech tools available to power your listing presentation and help with pricing, marketing and showings. Innovative methods for working with clients Check out tools for home tours, data security, lending, as well as interior design to help buyers better visualize new homes.
PLUS:
Learn how agents grow their network with a cross-promotion strategy by working with home inspectors, attorneys, lenders, insurance agents, contractors, landscapers and more. Would you like to be a source for a future story in The Residential Specialist? Send an email to mhuffman@crs.com to be added to our potential source list. To see a list of the topics we’ll be covering, check out the magazine’s 2018 editorial calendar online at crs.com.
WHO ON YOUR
TEAM could benefit by receiving a personal copy of The Residential Specialist?
STAY INFORMED The Residential Real Estate Council provides
crs.com
superior education, exceptional networking opportunities and critical resources. The Council’s flagship magazine, The Residential Specialist, delivers the latest industry trends, success stories and proven strategies to grow your business. To subscribe for yourself or a colleague, call 800.462.8841. Note: Members of the Residential Real Estate Council receive the magazine as part of their member benefits.
[vantage point]
from the desk of Gary Williams, CRS 2018 RRC president
TEAM WORK Ø
YOU SHOULD CONSIDER THE COUNCIL YOUR TEAM. BY TEAMING UP WITH THE COUNCIL DURING THIS BUSY SEASON, YOU CAN KEEP YOUR PRODUCTION HIGH AND YOUR HEAD ABOVE WATER. May June
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First, let me start with this: Thank you! Thank you to everyone in the RRC family for all you do for the Council, the designation, and your ongoing support for staff and the 2018 leadership team. You make me look good. My motto has always been and will always be, “There is no ‘I’ in team.” It is not about me, it is about all of us working together to complete one common goal. For working together, we will be successful, but apart we will fail. You should consider the Council your team. By teaming up with the Council during this busy season, you can keep your production high and your head above water. We have so many new RRC courses, and it would be well worth your time to take one of these new education offerings. Transforming Difficult Situations Into Profitable Deals will help you take difficult buyers, sellers, appraisers and other agents and turn them into closed, successful deals. Power Up on Smart Home Technologies will bring you up to speed with the latest smart home technologies—and all the other legal and security issues that come with them—so you can effectively price, market and sell these unique properties. Plus, if you take our Smart Homes course, you will be halfway toward earning your RRC Smart Home Certification—a brand-new certificate that signals to buyers and sellers that you have advanced knowledge of these homes (you can read more about that on p. 38). But during this busy season, don’t lose sight of what’s important. Remember to think about your time management: How do you balance your home life and your work life? Remember, a happy family will support you in the long run and help you boost your overall production. Hopefully the productivity methods and systems discussed in this issue (on p. 18 and p. 30) will help you clear your schedule so you have more time for those you love. At the Council, we want to support you as a professional and a well-rounded person. So let’s all work together to make 2018 the BEST we can for all of us. I am here for ALL of you and promise to do whatever I can to support you. Remember I am only a phone call or email away for all of you. Thanks for all your support, and keep up the great work!
1
[entry points] + industry headlines + business technology + ideas & trends
TIP SHEET
CLIP ’N’ SELL
Today’s buyers have very particular tastes and turnoffs. Realtor.com® suggests these five tips to get the best offer quickly:
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Photography and video taken with the use of drones are more effective at marketing your proper ty than traditional photos because they provide a show sweeping aerial view. It can also od. rho hbo neig ding oun surr r you off
5
me t ho
r y, ma t sur ve ar t s a en sm
in ec nk es t t o a r r s r a e y Inv ording ve buyewhen th s. And
4
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Use a drone
A c c p e c t i h i gh o p t i o n w o u l d y s pro nolog using nnials . o h h c ille es t e ua t e o f m h hom l t a n v c e e e er c r t-t 6 1 p r sma o fav
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Pre-insp
e
ction M an y b u y ers are lo oking for m ove-in re ad y homes th at lack an y potential problems . A pre-ins pec tion c an reassure buyers o f y o ur h o m e ’s condit ion, or highlig ht repairs y ou might wa nt to mak e before lis ting.
The Residential Real Estate Council
crs.com
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[entry points]
THE DEAL THAT
blockchain BUILT Smart
Solutions streamlining your business through technology
How blockchain technology could revolutionize the real estate business model By Megan Craig
Ø
With Bitcoin making headlines, a new word has entered the business lexicon: “blockchain.” Much like the internet two decades ago, blockchain is a relatively new technology with seemingly endless possible applications. But outside the techie world, people have a limited understanding of how it actually works and whether it should be trusted. Still, some experts see blockchain’s potential to completely change how real estate transactions are handled.
How blockchain technology works
A blockchain is essentially a decentralized database with continuously updating digital records. Instead of using a central depository of information, blockchains use a network of databases that are constantly synchronized and available to those on the network (all via the internet).
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Much like the internet itself, blockchain networks can be either private or public, says David Conroy, R&D lab engineer with the National Association of REALTORS®’ Center for REALTOR® Technology. The private version works like a private business’s intranet system, with information available only to those with a login to that specific network. Public blockchains are accessible by anyone, without a login needed. Blockchain gets its name from the way the digital transactions are completed, by being added to blocks with other transactions being carried out at the same time, then cryptographically protected. The blocks are “validated” using complex coded problems, and once the coding is finished, the new block is linked to older blocks, creating a chain that shows all the transactions made since the start of that blockchain. Because the chain is constantly checked and updated across the entire network, everyone sees the same information at the same time, and everyone can follow each piece of the transaction as it occurs.
HOW BLOCKCHAIN APPLIES TO REAL ESTATE Real estate is one of the few areas (outside the Bitcoin-style digital currency market) in which people can already use blockchain with real, applicable functionalities, says Ridaa Murad, founder of Breakform|RE in El Segundo, California. Blockchain technology could affect the real estate business pipeline by:
1
Getting all parties on the same page
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3
Centralizing documents, Increasing security creating a streamlined in transactions process Having more people involved
A single real estate transacObviously, when fewer tion involves a large number people are involved—for of parties, including a buyer, a seller, agents, insurers, example, if there’s no need lenders, the recorder’s office, for an escrow company, bank, etc.—meaning dozens of buyer’s broker and multipeople have a vested interest ple insurance companies in the process and outcome sending information back of the transaction. Blockand forth—less time is spent chain’s decentralized nature “running around with a notary” removes friction and allows because everything is done the necessary parties to be peer-to-peer on the blockinvolved in each step of the chain in a closed system that process at the same time, can be followed by everyone, since all parties have access Murad says. to all the data at any given time, Conroy says.
in a transaction provides a massive opportunity for cyber criminals, Conroy says. “It only takes compromising one person or one email account for a cyber criminal to delay, derail or defraud clients and transactions,” he says. “But blockchain allows everyone to use the same thread of information to verify identity and funds, and share data about the property—everyone works from that same information while constantly being able to verify that the info is trustworthy and accurate.”
4
Making the process faster, from start to closing Improved security and accuracy, combined with easy and fast communication among all parties in a transaction, means closings could happen as quickly as two to three weeks from the start of the transaction, according to Conroy. Murad is even more optimistic, projecting that same-day closings could be the wave of the future thanks to blockchain.
—Ridaa Murad
Blockchain sounds failsafe, right? It is, except for one sticky problem: People still largely control it. That means individuals’ blockchain access codes are only as safe as they’re kept, says Ridaa Murad, founder of Breakform|RE in El Segundo, California—a common problem with current passcoding systems. Of course, another huge issue facing blockchain technology is similar to that faced
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“It removes the need to get more third parties involved in the transaction. The more people involved, the less chance of a transaction being successful. Blockchain realigns incentives in a manner that actually works for the parties involved in the transaction.”
The downside
GADGET INSPECTOR
by the internet in 1994: People don’t really understand how it works, and therefore don’t trust their transactions to be handled correctly through this new and seemingly complex technology. “Companies are seeing the potential, but people aren’t really secure about putting all that information out there in this way yet,” Conroy says. Continued on page 8 }
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The Residential Real Estate Council
Say goodbye to Wi-Fi dead zones with the Orbi Outdoor Satellite. The add-on to your Orbi Router or Wi-Fi system provides up to an extra 2,500 square feet of coverage when you’re outside. Easily mount the weather-resistant box to your porch, a shed or the side of your home for fast, uninterrupted streaming outdoors. Price: $329.99 netgear.com
crs.com
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[entry points]
THE DEAL THAT
blockchain }Continued from page 7
BUILT
Is blockchain the future of real estate?
We’re still far from having all transactions done on the blockchain, Murad says, mostly because so few people understand how the technology works. Also, he says, despite the fact that it’s superior in many regards compared to other similar technologies currently in existence, that doesn’t guarantee that it will become commonly used in businesses. People will need to adapt. But Conroy sees it as the obvious evolution of the real estate business model. “It will revolutionize how real estate is transferred. It will be one of the most impactful technologies for sure,” he says. “It will increase the speed of transactions, reduce risk, make customers more informed … It has the biggest opportunity to create positive change.”
With the advent of blockchain, brokerages specializing in cryptocurrency transactions—such as Bitcoin Real Estate and Crypto Condos Realty—are sprouting up.
IT’S HAPPENING …
In at least a couple of instances, agents have made and closed deals from start to finish exclusively using blockchain technology. In September 2017, Sheryl Lowe of Kuper Sotheby’s International Realty in Austin, Texas, became the first broker to close on a home purchased entirely with cryptocurrency (Bitcoin) when it represented the buyer of a custom home. A little farther from home, in Ukraine, an entire transaction was completed using smart
Megan Craig is a freelance writer based in Chicago.
SOCIAL GRACES
YOUR GAME ACE
In January, Facebook changed its news feed algorithm to prioritize posts from friends and family over public content. And according to an article from Inman, a leading source of real estate information, it’s not a bad thing for REALTORS®. Real estate is still a relationship business, and relationships on social media are built with small interactions over time. The changes to Facebook’s news feed is a reminder for REALTORS® that it’s not enough to just be there—you must do more to stand out from the competition. Start with these tips:
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contracts on the Ethereum blockchain, showing how quickly and securely the technology works for this purpose. That home was sold, perhaps unsurprisingly, to Michael Arrington, co-founder of the tech news site Tech Crunch. “It’s only being done right now by absolute cryptonerds,” says Ridaa Murad, founder of Breakform|RE in El Segundo, California. “The one in Ukraine, this is just a guy trying to show everyone it can be done way faster, way better, way cheaper.”
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Create a Facebook list of past clients and be intentional about interacting with at least five of them daily.
2
Share great content from clients on your personal Facebook page.
Use Facebook Live at least once a week to share valuable tips and information. Typically, live videos get more interaction and comments than other posts. It may be the best way for real estate agents to get significant traction on their Facebook pages going forward.
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Create a Facebook ad strategy ASAP. After posting a live video to your business page, boost or advertise that post to get the highest level of engagement.
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LEADS ON THE
cheap Want success? Here’s how to drive leads for just a few dollars.
Inside Track
By Eric Schoeniger
end, join an activity-based club where you can spend time with like-minded people. It can be any activity you enjoy: golf, gardening, painting, bridge. Just be sure it attracts people of the right age and income to be good clients. “I joined a hiking group, and I use that to generate leads,” says Michael Soon Lee, CRS, training manager at Realty ONE Group BMC Associates in San Ramon, California. Lee spent a few dollars to have his company logo embroidered on his hiking shirts, which helps the topic of real estate come up naturally.
Home sales have been increasing for a decade, with what’s trending in real estate 5.78 million expected to turn over this year. But there are 2.4 million active real estate licenses. So roughly speaking, in 2018 there will be an average of 2.5 sales per license. In other words, the real estate market is strong, but there’s a lot of competition. You need to generate leads that convert. Cold-calling Network with lawyers. and door-knocking can work, but they take time. One great source of leads is professional Lead-generation services can help, but they referrals, especially from divorce and estate cost money. lawyers. “Two life events are almost guarFortunately, you have alternatives. Here are anteed to result in the sale of real estate,” Lee says. proven techniques that cost little, but can gener- “One is when a couple divorces and neither stays ate leads that pay off. in the home. The other is when an aging parent passes away and the adult children sell.” Connect to build leads. Attend networking events that attract lawyers. Place yourself in situations where lead Ask them to refer clients to you in exchange generation can occur naturally. To that Continued on page 10 }
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The Residential Real Estate Council
SIGN UP FOR AGENTDESKS Agentdesks is a mobile real estate networking and customer relationship management (CRM) platform. The Residential Real Estate Council offers Agentdesks free of charge to all CRS Designees. Agentdesks connects REALTORS® with other top agents in their markets. It also allows CRS Designees to join exclusive CRS referral groups to match their buyers with properties. The mobile tools act as a hub to organize customer phone, email and website interactions in one place, with always-on access to data and resources.
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LEADS ON THE cheap }Continued from page 9
for your own referrals. Seek out the best lawyers in town because they’re likely to have the most qualified clients.
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Host an open house—even if it’s not a house you’re selling.
An open house can be a great source of both buyers and sellers. But the house doesn’t have to be one you’re selling. Offer to host open houses for other agents. You might find buyers for the other agents. You’ll almost certainly generate leads for yourself. Consider holding open houses with another agent or with a lender. That way, prospects won’t be left unattended if several show up at one time. And you can split the cost of providing food that can entice prospects to extend their visit. “Open houses are especially effective for new agents,” Lee says. “Every new agent should hold an open house once a week.”
Collect testimonials.
Virtually every agent has a smartphone with easy-touse, high-quality video capabilities. Today’s clients are often happy to participate in a video testimonial. “Record seller testimonials right after they’re handed a check, because they’ll never be happier,” Lee says. “Record buyer testimonials after they’ve had their furniture moved to their new home, and you can sit them down on their own sofa.”
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Build your brand.
Nothing drives leads like name recognition. There are plenty of low-cost ways to build your brand, says Lana Kopsala, CRS, a sales associate with Coldwell Banker in Leominster, Massachusetts, including the following:
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ÄÄBoost your Facebook posts—Does your real-estate business have a Facebook page? For as little as $1, you can “boost” your posts to reach a broader audience. Just click the Boost Post button, decide how much you want to spend, and fine-tune your audience by age, gender, location or interest. ÄÄErect a billboard—Look for high-visibility locations in your area to post a sign promoting your business. Kopsala got permission to place a small billboard on a busy traffic island. The sign has been there for five years free of charge. “Clients tell me, ‘I see your name everywhere,’ but it’s just because they drive past my billboard,” she says. ÄÄGet yourself on TV—Kopsala used her smartphone to record a mini-commercial. Now, for $3 a day, she appears three times an hour on the closed-circuit television at her local gym.
Give back.
Get involved in a local nonprofit that’s important to you. Look for organizations that market themselves well. Promote your involvement on your website and through social media. And seek out activities that let you meet people. “Rather than just run a 5k, I’ll help organize the event or man a booth,” Lee says. In addition, Lee sometimes tells clients he’ll contribute 10 percent of his net profit from the sale of their home to a nonprofit of their choice. “If they’re choosing between me and another agent, that offer will often make the decision for them,” Lee observes. “And it’s a win-win-win: Want help with for the client, for the nonprofit the next step? Take our classand for me.”
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Eric Schoeniger is a freelance writer based in Doylestown, Pennsylvania.
SOCIAL GRACES
BE AN INSTAGRAM PRO Instagram is one of the leading social media platforms and a great way for REALTORS® to engage with potential clients. Here are six ways to highlight your
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listings and business, according to Inman, a leading source of real estate information: Make your account a busiÄÄ ness page: Select “Instagram
room course, Converting Leads Into Closings.
Business Tools,” and link your Instagram account with your business’s Facebook page. Make sure your profile is public. Tag your locations: Simply ÄÄ adding locations to your posts and stories can boost the number of views.
Residents wade through the flooded Jacksonville Landing in Jacksonville, Florida, after Hurricane Irma took an unexpected turn and caused massive power outages and coastal flooding around the state.
GADGET INSPECTOR It’s easy to get active and find the right events in your local community with the All Events in the City app. Every day you can find upcoming local events and outdoor activities, such as yoga workshops, art classes, business seminars or concerts. Compatible with iOS and Android devices. Price: Free itunes.apple.com
When compared to a smartphone, the GoPro HERO6 Black is perfect for self-recording. Retaining its compact size and waterproof, voice-control features, the HERO6 Black now has 4K and slow motion video with improved image stabilization. Plus, you can automatically create a video of your footage on the GoPro app with QuikStories. Price: $399.99 | shop.gopro.com
Use comments to engage ÄÄ
with users: Social media means being social. Respond to comments and comment on other people’s content in and outside of your network. Don’t forget captions: Give ÄÄ additional context to your
POLICY POINTS
WATER PRESSURE The National Flood Insurance Program has been swamped by billions in claims since Hurricane Katrina devastated New Orleans in 2005, and Congress is looking for ways to bail it out, according to Realtor.com®. The federal program has been the only flood insurance available for most homeowners since 1968. The problem? It is not collecting enough to cover losses. The Congressional Budget Office recently estimated that the federal program was running at an annual deficit of about $1 billion. The shortfall comes mostly from losses in coastal areas. And as climate changes, events such as rising sea levels and an increase in the risk of catastrophic storms like 2017’s Harvey, Irma and Maria are expected to worsen, which creates larger, long-term problems the program will face. The House of Representatives passed a bill in November 2017 that would save money by cutting the amounts paid to private insurers that sell and service the policies. The bill also encourages private insurers to enter the market, improve flood mapping and cap annual increases on homeowners’ premiums. The Senate has yet to pass a bill, but a bipartisan group of senators from coastal states—including Florida and New Jersey—have proposed the Sustainable, Affordable, Fair, and Efficient (SAFE) Flood Insurance Reauthorization Act. SAFE would reauthorize the flood insurance program for six years. Like the House bill, SAFE would cut the amount paid to the private insurance companies that sell and service the flood insurance policies; but it wouldn’t encourage private insurers to enter the market.
content with creative captions. They’re also another opportunity to engage with potential customers. Vary your posts: Use a comÄÄ bination of photos, videos and boomerang-style photos to keep it fun and interesting for
potential customers. Go live: Going live on InsÄÄ tagram is a great idea for REALTORS®. Walk through a new listing while talking about each room, key features and things that make the listing unique.
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[entry points]
WHAT LIGHT THROUGH
condo WINDOW BREAKS REALTORS® in markets across the country are seeing increased interest in condo living
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Window
A new condominium development blooms in Nashville, Tennessee.
ofOpportunity
strategies to grow your business
By Andrew Conner
Although it took longer for condo sales to rebound after the recession when compared to sales of single-family homes (SFH), in the past few years many markets across the country have seen sales improve. According to the National Association of REALTORS®, condo sales have been increasing year over year since 2015, and the latest data shows the increase in condo sales for 2017 outpacing SFH sales by about 0.7 percent. Looking beyond the national trends, in some markets condo sales are booming. REALTORS® in these markets point to a number of factors that are causing this turnaround, some of which are unique to their markets and others are common across all markets.
Millennials on the move?
In many markets, particularly metropolitan areas, condos may seem like a sure bet for millennials: They offer proximity to entertainment, dining and even workplaces, and they’re often more affordably priced than SFHs. And while this is the case in some areas, it’s not a ubiquitous trend. “We just sold a condo to a 23-year-old, but she’s unusual,” says Jody Dimitruk, CRS, sales associate at Berkshire Hathaway Home Services Fox & Roach REALTORS® in Center City Philadelphia, Pennsylvania. “I think [millennials] are delaying buying. Many still have student debt and the mindset is different in that they’re not setting down roots. They feel like they can get a brand-new rental with all the bells and whistles, and still have cash to spend on traveling and
PLAY BY THE RULES
Even though Stephanie Crawford, CRS, broker/owner at Brokers Cooperative in Nashville, Tennessee, describes condos as a “vibrant and lively” segment of her market, she has seen sales fall through. When this happens, it’s often due to the ever-changing rules and guidelines surrounding condo financing, including owner-occupancy ratio, investor concentrations, reserve requirements, commercial space guidelines and others. So what should you do? Crawford recommends staying abreast of these rules by having lender resources readily available when assisting a condo buyer or seller. She acknowledges it’s challenging to keep on top of all the rules, but at least having an awareness of the rules and how they could affect your clients will make you a better agent. Another great resource that Crawford suggests agents become familiar with is the Department of Housing and Urban Development’s Federal Housing Administration (FHA)-approved condominiums web search tool (entp.hud.gov/idapp/html/condlook.cfm). This tool is especially useful if your buyer is using an FHA loan.
going out with friends rather than spending it on a down payment.” Johanna Loke, CRS, sales associate and Dimitruk’s partner at Berkshire Hathaway Home Services Fox and Roach REALTORS®, adds that she used to see a significant number of condo buyers in their mid-to-late 20s, but in the past five years or so, that has changed and now first-time condo buyers are usually in their mid-30s. Tamara O’Connor, CRS, REALTOR® with Premier Living Properties in the Tri-City area of Illinois, has seen a similar trend. “I think for younger people the biggest issue is affordability,” she says, so they gravitate toward condos. “We would see more sales if we had more affordable inventory. We are seeing a lot of people in their late 30s and early 40s—a lot of them first-time buyers—who love the area, the walkability and the price. Some have kids who are 7 or 8 years old or older, and everything is about driving to a soccer game or baseball practice, so there’s not as much demand for those acre [SFH] parcels.”
Boom across the board
However, Al Floda, CRS, REALTOR® with Keller Williams Realty Peachtree Road in Atlanta, and Stephanie Crawford, CRS, a broker/ owner at Brokers Cooperative in Nashville, Tennessee, have both found increased interest in condos from buyers of all ages—from millennials to baby boomers and everyone in between. “In Atlanta, every demographic is adding to the interest in condo living,” Floda says. “It’s really across all ages and walks of life. Land prices have exploded and that has resulted in a dramatic increase in home prices. For most people, the only entry point into homeownership is via a condo.” To explain how the popularity of condos is exploding in Atlanta, Floda notes that since the 2009 meltdown, sales have more than tripled, the number of distressed sales has dropped from 30 percent to less than 2 percent, and supply has decreased from two years to two months. Continued on page 14 }
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[entry points]
}Continued from page 13
In Nashville, Crawford saw a similar trend, as the condo market rebounded in line with the overall housing market after the recession. Additionally, demand in Nashville hasn’t been limited to one type of buyer. “I think millennials are interested in condos, but lots of other segments are also interested,” says Crawford. “Seniors who are downsizing often want condos, and in Nashville we have higher education, so there are parents or graduate students who buy condos for school. Condos make up about 15 percent of our market, but here you’re not really saving money by buying a condo. If you want that urban, walkable lifestyle, that’s what you get.”
Empty nesters leaving the roost
So in markets where millennials are delaying buying—whether a condo or a SFH—who is creating this demand? As Crawford mentions, in many cases, it’s empty nesters, or parents who have seen their children go off to college and start lives of their own and are now looking to downsize. Often the reasons for these moves mirror the reasons millennials and other segments of buyers are interested in condos: less space to clean and maintain, no lawn to mow, and proximity to dining and entertainment. “We have a couple we’re selling to who already live in Center City [Philadelphia], but they were in a four-story home and wanted to downsize to one floor so they could shut the door and go away when they go out of town,” says Dimitruk. “In general, a lot of the buyers tell us they’re [in the city] all the time anyway, going to a restaurant or a show, so they might as well live here.” Regardless of the age of the buyer, condos are becoming more attractive, particularly to buyers in metropolitan markets where space is at a premium. Many REALTORS® expect this trend to continue because more buyers are looking for the conveniences and advantages of living in a smaller space that’s closer to a city. “Pricing is the only reason this trend will end,” O’Connor says. “I talk to people constantly and this is what they want. We start looking at what’s closest to downtown and only if they can’t find what they want—either due to high prices or lack of inventory—do we start looking further out.” Andrew Conner is a freelance writer based in the Chicago area. Want up-to-the minute information about how condo sales are changing? Go to CRS.com/resources and check in with the Inman Select feed. You can also search condos on CRS.com to find more.
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Percentage of respondents who streamed live video on the following platforms:
Fa c e
b o ok
Live
17 % YouT u
S t or
ie s
12 %
be
16 % Per i
Live
s c op
9%
e
Twit t
O t he r 5%
er
9%
y o un
ow
8%
Source: UBS Evidence Lab, eMarketer
WHAT LIGHT THROUGH condo WINDOW BREAKS
THE TOP STREAMING PLATFORMS IN THE U.S.
STREAM ON
EVERYDAY NIGHT LIVE
Livestreaming video has become one of the more effective ways for REALTORS® to market themselves, according to Inman, a leading source of real estate information. Real estate is a relationship business, and livestreaming can help people really get to know you—and trust you. Using the platform to promote the community, such as at a local parade, is another great way to engage with potential buyers and sellers. You can post the video and then boost it for maximum potential. It’s important to remember to build a strategy, however. Plan what you want to livestream in advance, especially home tours to show off the key features to potential customers while walking around the home. These videos are an effective tactic for engaging and attracting viewers.
GADGET INSPECTOR
GENERAL INSPECTION
MEASUREMENT
OF UNITS Many buyers of condominiums tend to underestimate the value of a home inspection—or sometimes will want to forego it altogether. But a home inspection can be just as important for condo buyers as it is for buyers of singlefamily homes (SFH). Some frequently asked questions about condo inspections include:
Does the condo inspection cover more than just the subject unit?
1 2 3 4
Usually not. Common areas and items such as the roof, exterior walls, elevators and foundation are not normally part of the scope of a condo inspection because their condition and upkeep are the responsibility of the homeowners’ association. Individual HVAC components exclusive to the unit would be included in the condo inspection.
IKEA’s wireless charging furniture is a simple, beautiful surprise for your home. Available as a lamp, side table or nightstand, these sleek-designed pieces will reduce the stress of running out of a battery charge in your phone or other mobile device, and eliminate messy cords. Most smartphones are set to go for wireless charging, but if not, all you’ll need is a charging cover (also available at IKEA). Price: Starting at $43 ikea.com/us
Will condo buyers receive a comprehensive inspection report?
By nature, a condo inspection covers fewer areas than a standard home inspection, but the report should cover each of those items or systems with the same amount of detail as an SFH inspection.
Should the buyer plan to attend the condo inspection? It’s always a good idea for the buyer to accompany the home inspector during the inspection. Not only will he or she learn about the home’s condition, but the inspector may point out features or functions the buyer may have been unaware of.
The builder is telling prospective owners they don’t need an inspection because the building is new. What can I tell my buyers? New construction doesn’t always mean everything is OK. In fact, issues often come to light during the first year or two after a building is completed. Occupancy inspections by local building departments check primarily for code compliance and are not equivalent to home inspections.
This article was provided by Pillar To Post home inspectors. For more information, go to pillartopost.com.
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Condos are perfect for downsizing, but offer limited wall space. The Frame from Samsung is the perfect solution by combining your TV and beautiful works of art. Simply switch between 4K Ultra HD resolution and an array of paintings, prints and photos with the touch of a button. Choose your pieces of artwork or upload your personal photos. With customizable frames and no visible cords, the Frame will blend seamlessly with your decor. Price: $2,800 samsung.com/us
The Residential Real Estate Council
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May 15 June
[entry points]
RE/MAX Executive Realty Charlotte, North Carolina
profiles of people to watch
How did you get into real estate and what is your current role? Initially I was a stay-at-home mom, and my uncle urged me to get into real estate. I was surprised how quickly things took off. I love this business! I was a single agent for 13 years, then decided to become a team leader, and that’s my role now. Why did you decide to pursue the CRS Designation? During the economic downturn, I needed to bring more value to my clients and I wanted to build my business around reputable systems. When I investigated and saw that the top agents in my market were surviving, I wondered, what did they know that I didn’t? I found that about 80 percent of them had the CRS Designation. Are there other CRSs in your firm? Yes, many of them! I personally promote CRS on my team. About four of my team members have their CRS now, and the others are working toward earning that designation.
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How do you “ I m my team s biggest cheerleader. It s approach marketing so gratifying to watch new agents, who your services? started out feeling unsure of themselves, Do you have any special tactics that gain proficiency and achieve success. help you stand Watching that process makes me feel out from other REALTORS®? I ve made a difference.” I have a mix of strategies— I use direct mail, inside sales agents, email and social media. But our past clients are our No. 1 source of referrals. We host several What sets your on the number of bedrooms client events throughout the interactions with and bathrooms, and this couyear to keep in touch with this your clients apart? ple appreciated my approach base to ensure referrals and I ask prospective buyers to to find their ideal location. repeat business. We’ve held What part of the dream a little. I tell them to I ask these questions picnics, movie nights and a business is your close their eyes and answer in part because Charlotte Christmas party. For our older favorite? questions like, “What does is so spread out and offers clients, we hold luncheons Besides serving my repeat your life look like when you a wide range of lifestyle because they don’t like to go clients (I just love seeing how move here? How far do you options. I know that if I can out at night. they and their families have need to be from the grocery match 95 percent of their One of our most successful grown!), I love coaching my store or airport? Do you go to dreams with specific areas events we had was a “Night team. I really enjoy directing, plays?” A recent agent referof Charlotte that can afford of Interior Design,” where we helping and watching my ral I received was a retiring them their desired lifestyle, presented interior designers agent team members grow doctor and his wife who were they will be happy. I think my to our clients. There were and deliver a great client moving here from New York, knowledge and appreciation of six stations with different experience. so I asked them, “What does multiple areas around the city, features, like paint colors for I’m my team’s biggest life look like in retirement?” including its rural areas, helps the year, lighting choices or cheerleader. It’s so gratifying They were pleasantly surme help them. They know I’m how to create a different look to watch new agents, who prised by the question. Other listening to them and attuned with pillows or accessories. started out feeling unsure of REALTORS® are more focused to their family’s needs. We co-sponsor this with a themselves, gain proficiency Zanthia Hastings, CRS, achieved her furniture store that gives and achieve success. WatchCRS Designation in 2011. She can be discounts on items purchased ing that process makes me reached at zanthia@soldbyzan.com or 704-737-6976. that evening, so it’s a win-win. feel I’ve made a difference.
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Photo: Mitchell Kearney
ZANTHIA HASTINGS, CRS
Peer to Peer
Zanthia Hastings, CRS, has worked with local furniture stores like Traditions Interiors & Accessories to host interior design workshops for her clients.
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quality
time
Rock the Clock U N O R
D
A
[feature]
Use these 4 highly productive techniques to stay in touch with clients and prospects
By Michael Chazin
A REALTOR’s® quest for greater productivity can be understood in terms of achieving harmony in your life and your business, says Mark Given, of Mark Given Seminars, Roanoke Rapids, North Carolina, and an RRC Certified Instructor. Given says agents need to focus on what they want and how best to achieve it to become more productive.
1 THE PIN METHOD—
Use Time More Efficiently
Sales productivity usually improves when a REALTOR® understands which actions are most important. The PIN Method classifies activities by their impact on productivity and provides a way to use time more effectively. “PIN encourages agents to look at each day’s activities and classify them as 'P' (productive) for income producing activities,” says Rich Sands, Rich Sands Seminars, Inc., Aurora, Colorado, and an RRC Certified Instructor. “I” stands for indirectly productive activities or activities that set up productive activities. “N” stands for non-productive activities.
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quality time
[feature]
“Everyone understands that during their day they waste some time,” Sands says. At issue is how aware they are of wasted time and how aware they are of ways to become more productive. Productive activities are easily identified. A listing appointment, showing property or attending a closing are all productive activities. Income-producing activities should be the top priority every day, suggests Stacy Sanseverino, CRS, and productivity coach at Keller Williams, Philadelphia. “Running an open house, door knocking, making calls to past clients are all productive,” she says. Can an agent be confident she has chosen the best activities? “If you’re really not sure, ask yourself if this activity is going to get you your next appointment,” she says. Activities that serve your current clients help convert income-producing activities into real income. You interview a buyer, set up showings or work on administrative tasks to get your client to closing. “These activities are critical and can usually wait until noon so you can focus on making sure you have new closings scheduled for the future,” Sanseverino says. “If agents can identify what they do and whether activities are a 'P,' 'I' or 'N,' it helps them prioritize, which is a major part of increasing productivity,” Sands says. He suggests daily activities be planned the night before to see how many fall into each category. If there are too many non-productive activities, he says, it’s time to delegate some.
2 TIME BLOCKING— Scheduling Made Easy
BEN FRANKLIN CREATED ONE OF THE FIRST TO-DO LISTS, WHICH OPENED BY ASKING, “WHAT GOOD SHALL I DO THIS DAY?” AND ENDED, “WHAT GOOD HAVE I DONE TODAY?”
SIX APPS TO BOOST PRODUCTIVITY When an agent wants to increase production, there are a number of tools available to help optimize performance and streamline workflow. Here are a few examples: Todoist builds to-do lists on your smartphone, in web browsers, on your computer or from your email inbox. en.todoist.com Campaign Monitor builds and sends email marketing campaigns to past, current and
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Time blocking is an approach to scheduling that helps agents manage their time more efficiently. Instead of working by the clock, the idea is to focus on finishing big and small tasks one at a time. This helps limit distractions, get tasks done faster and eliminate lengthy to-do lists. With time blocking, agents divide their day into segments and each segment supports different activities. Sanseverino suggests that first thing in the morning is lead-generation and prospecting time. “Whether you are calling people, writing monthly cards or doing a blast on social media, it’s whatever helps you keep in touch with clients and prospects,” she says. Sanseverino suggests agents think of this as an investment. “If you want to earn $100,000, then every Monday you need to spend three hours reaching out proactively.” She says that’s a $20,000 time block. “You need to do it every day, consistently, for a whole year to earn that 100 grand.” The mid-day time block is for administrative activities, including office meetings and educational classes. The remainder of the afternoon is when agents need to be in the field on appointments, showing properties or running open houses. “So it is future business first, then now business, then go out and do whatever you need to do to secure now and future business,” says Sanseverino.
future clients and helps turn customers into loyal fans. campaignmonitor.com Genius Scan is a portable scanner that inputs documents on the go and sends them quickly Highrise is a simple customer relationship and easily as a PDF or jpeg file. thegrizzlylabs. management (CRM) solution to track leads and com/genius-scan manage follow-ups. highrisehq.com Evernote is a digital notebook that saves and BombBomb develops video emails and proaccesses notes and to-do lists across all devices. Ideal vides metrics to track who is viewing your content. for taking notes on the go. evernote.com bombbomb.com/tour/real-estate
quality time
[feature]
3 MICROSOFT OFFICE 365— Keep Days Fully Organized
“Time management is pretty much worthless without task management,” says Dave Kupernik, CRS, 24K Real Estate, Parker, Colorado. When he first started his own agency, he went to an Apple Store and told them what he needed to run his real estate business; they sent him to Microsoft. That was when he started to run Office 365. Office 365 includes Word, Excel, Power Point and Outlook. “In addition, there are some other useful products, in particular OneNote,” he says. He starts every workday with three programs—OneNote, Outlook and his
KNOW YOUR DESTINATION To optimize productivity, agents need to focus on their goals—what they want and how best to achieve it. Often that comes down to determining an annual sales goal, then identifying the best strategies to achieve that goal. To calculate his sales goal, Dave Kupernik, CRS, 24K Real Estate, Parker, Colorado, extrapolates off a dollar budget using his average commission to arrive at the number of closings per month needed to reach his annual goal. Then he schedules prospecting activities he knows will lead to sales needed to hit his goal. Similar information is available through various approaches. Keller Williams’ “Career Growth Initiative” is an online suite of tools that can translate an annual profit goal to the number of appointments needed monthly to earn a desired income, explains Stacy Sanseverino, CRS, and productivity coach at Keller Williams, Philadelphia. “At the core you need to have a business plan,” says Rich Sands, Rich Sands Seminars, Inc., Aurora, Colorado, and an RRC Certified Instructor. “It’s hard to manage your time if you don’t know what you are trying to accomplish.”
contract management software. OneNote is a digital notebook that he divides into sections for each category of clients, including active under contract, and prospective buyers and sellers. He reviews each client to make sure he is aware of any actions that need to be taken that day. “As I look at each person’s file, I take care of their needs, and that gives me control of my day,” Kupernik says. As Kupernik reviews each client in OneNote, if he finds a task that needs to be handled, he can tag it and it shows up as a task in Outlook, where
he keeps his to-do list and appointments. To further streamline the process, he now updates tasks using Alexa from Amazon. When he needs to update his calendar, for example, he just tells Alexa to schedule an appointment, and an email is automatically sent to that contact with all the details.
4 SET PRIORITIES—
Take Control of Your Day
To start his day, Given writes down the most important tasks he has to accomplish. He uses printed sheets that say “Today’s Priorities” at the top with five spaces where he writes down important actions that need to be completed. “Before I get fully drawn into the day, I focus on what I need to accomplish and write it down,” he says. As he goes about his daily activities, the sheet is always front and center. “Every day there are unexpected emergencies,” Given says. Not knowing the most important tasks that need to be accomplished puts you in reaction mode. When an agent is reactive, proactive responses are out the window. “You might say your actions are not on purpose, but on accident," Given says. "If I am constantly putting out the next fire, then I am stressed all the time.” It is better to be proactive. “I try to focus on the most important activities,” Given says. “In between those most important activities, I put out fires because there are fires almost every day.” To become more productive, REALTORS® need to understand how activities impact their ability to list and close properties, and how those efforts contribute to their ability to Meet your Designaattain their sales goal. “A huge part of tion Maintenance Requirement today! productivity is self-awareness,” Sands Read this article and says. “Know yourself well enough to “Working the System” on p. 30, take a know when you are at your best and use 10-question quiz and that time for maximum impact.” earn 2 credits. Go to Michael Chazin is a freelance writer based in the Chicago area.
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The Residential Real Estate Council
CRS.com/trs-quiz to get started.
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STYLE NICHE: BROWNSTONES
✱ FIRST-TIME BUYERS ✱ INTERNATIONAL BUYERS ✱ MILITARY FAMILIES ✱ RETIRED COUPLES ✱ INVESTORS*
✱ COLONIALS ✱ CRAFTSMAN ✱ CUSTOM ✱ HIGH-RISE ✱ LOTS AND LAND ✱ LUXURY ✱ MULTIFAMILY ✱ NEW CONSTRUCTION*
DEMOGRAPHIC NICHE: GROWING FAMILIES
GEOGRAPHIC NICHE: CITIES ✱ ZIP CODES ✱ SCHOOL DISTRICTS ✱ NEIGHBORHOODS ✱ WATERFRONT HOMES ✱ DOWNTOWN HOMES ✱ UNIVERSITY HOMES*
A pitch
perfect
practice
FOR THE
✱ ECO-FRIENDLY ✱ GOLF COURSE ✱ FENG SHUI ✱ PET-FRIENDLY ✱ SMART HOMES ✱ WALKABLE COMMUNITIES *
[feature]
Owning a niche promotes your brand, strengthens your credibility and generates quality leads By Donna Shryer
* Source: honeybarmedia.com
FEATURE NICHE: GARDENING AND FARMING
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Everyone’s buzzing about the benefits of a niche. And though it’s true that REALTORS® who set themselves apart from the competition typically enjoy more profitable careers, owning a niche takes more than claiming a specialty. It’s essential that you strategically develop a niche that generates quality leads, excites you and fills a void in your market. “A profitable niche is essential, but if you choose solely based on financial gain, I don’t think you’ll be able to maintain the patience, determination and stamina needed to build a niche,” says Skip Kirst, CRS, and broker associate with Collado Real Estate. Kirst’s primary niche is geographic farming, which involves focusing the majority of his marketing efforts on a specific geographic area to let clients know he’s an expert in that area. Kirst’s niche is “Bridging City and Beach,” focusing on the Orlando/Winter Park and New Smyrna Beach, Florida, markets. The two communities are located about an hour apart, which makes laidback New Smyrna Beach a natural getaway for a large part of the Orlando/ Winter Park community.
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[feature]
perfect practice
Lead the way
“Clients can sense when you enjoy helping them; they feel your enthusiasm,” says Bobbie Jean DeMunck, CRS, REALTOR®, Coldwell Banker Vanguard Realty in Jacksonville, Florida. “My niche is for-sale-by-owner homes, and almost 90 percent of my business comes from conversions. Even sellers I don’t convert appreciate how much I care, so when they meet someone who isn’t into FSBO, I get their referral.”
Some REALTORS® feel that focusing on a niche means missed opportunities in other areas. Not so, says Guillermo Serafin, CRS candidate, broker, Strategic Blueprints, Inc., serving Los Angeles. Serafin specializes in pairing investors with distressed homeowners, helping the latter recover from potentially ruinous situations. He feels that owning a niche empowers your real estate lead generation efforts and generates more referrals than a “Jack of all trades and master of none” could ever hope to acquire. In fact, Serafin feels that these specialized referrals are the way of today. “Physicians, accountants, attorneys, REALTORS®—every profession has specialists,” he says. “We expect to be referred. In my niche, people find me more often than I find them.” Working from Springfield, Missouri, Paul Dizmang, CRS, broker-owner, Dizmang Associates, agrees. “Real estate clients gravitate to a specialist,” says Dizmang, whose niche is investment properties. “My clients don’t understand how to assess investments or navigate the process. So they ask friends for referrals. They look for a REALTOR® with my expertise.”
Happiness is contagious
Traditional wisdom says that if you find professional success, then happiness will follow. Kirst suggests it’s the opposite. “Real estate is a relationship business. It’s critical that you enjoy working with the people and communities in your niche,” he says. “My family has lived in the Orlando/Winter Park areas since the mid-1800s. I also have a home in New Smyrna Beach. I love these communities and my roots run deeply in these areas. I understand the market, and I know many of the other professionals involved with each purchase and sale. Combining my knowledge and relationships from a 26-year legal career with my passion for real estate was key to creating my professional niche—and success followed.” It’s also important that client motivation within your niche of choice appeals to you. “My clients are investors and their motivation is intellectual,” Dizmang says. “Either the numbers make sense or they don’t. If your niche is luxury properties, client motivation is emotional. They want to fall in love with a home. Which client do you most enjoy working with? The answer tells you where you’ll probably be most successful.”
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Fill in the blanks
Before choosing a niche, determine if your expertise fills a void in the market. If, for instance, your specialty is baby boomers yet the median age of homeowners in your market is mid-30s, your prospects will be low. “This specialty isn’t big enough to sustain itself, and I doubt you’ll find a void to fill,” Dizmang says. If your chosen niche doesn’t pan out, you can change your specialty or move someplace where your expertise is needed. Relocating was the right choice for German-born Christel Silver, CRS, broker-owner of Silver International Realty,
FIND YOUR FIT
Becoming a specialist in a particular area of your real estate market is a powerful way to increase quality leads. However, before embracing any niche, consider these four points.
4. 1.
Find a niche that’s underserved and fill that void.
2.
Run the numbers to determine if your niche has a strong presence in your market.
3.
Choose a niche that brings you happiness; clients will sense your enthusiasm— or lack thereof.
Learn what concerns those in your niche and lead with this information in cold calls, website content, social gatherings, community meetings and all other marketing efforts.
perfect practice
ch-ch-chchanges
When it comes to owning a profitable niche, it’s imperative that you reassess your specialty every few years. “Niches are about life. What works today may not be prudent tomorrow,” explains Guillermo Serafin, CRS candidate, broker, Strategic Blueprints, Inc, serving the Los Angeles area. Serafin specializes in pairing investors with distressed homeowners. Prior to 2007, his niche may not have panned out. And while it’s a robust niche today, Serafin admits that it could diminish with time. “Life” took a bite out of Sasha Farmer’s niche. As a CRS broker with Team Real Estate, based in Charlottesville, Virginia, her initial niche was first-time homebuyers. “This was back when the first-time homebuyer credit was new,” says Farmer. “When the credit was discontinued, my niche shrunk. I had to strategically morph with the times, which led me to create a new niche based on businesspersons with quality leads to share. It’s a niche indicative of the times—and growing fast.” That doesn’t mean every niche will dwindle or disappear, although it’s fair to say that niches will shift. Today’s strongest niche in luxury homes may be beachfront property. Tomorrow it may be historic properties. In a decade, it may be three-story penthouses in major cities. Life happens, and periodically re-evaluating your niche keeps you on life’s cutting-edge.
serving the east coast of south Florida. When Silver first came to the U.S., Maryland was her market. “Using my background, I advertised to real estate investors in Germany—but my idea didn’t work. Investor interest was in Florida, California and Texas.” When Silver moved to the Sunshine State in 2001, she re-evaluated her chosen niche. German investors remained interested in Florida and, better still, there was a void in REALTORS® serving German investors. Today, Silver owns this niche, with at least 50 percent of her business in the international arena.
Up close and personal
Marketing campaigns for different niches are at once unique and identical. Marketing content
and motivational pull should be unique to your subset of clients, yet your strategies don’t have to deviate between niches. ÄÄ If cold calling is your thing, lead with your desired clients’ hot button. For example, DeMunck says her FSBO clients are most worried about how to negotiate the best price possible for their home. So she focuses on her track record in this area, which is strong. ÄWhen Ä considering local groups, associations and committees, go where those in your niche go. If your niche is the senior community, connect with local AARP offices and senior centers. In Silver’s case, she joined the German American Chamber of Commerce, a global committee for her association, a German club, and became a Certified International Property Specialist (CIPS). She was also appointed the NAR President’s Liaison to Germany. If your niche doesn’t come with obvious groups, create your own. Serafin hosts workshops for investors and distressed homeowners at the local library. ÄÄEmpower your website with keywords, client-specific content and pertinent graphics. One of Silver’s tactics is an entire webpage in German. Kirst’s “Bridging City and Beach” homepage theme features a split screen: the Orlando skyline next to the New Smyrna Beach shoreline.
[feature]
yes, it’s a niche!
● Geographic niche
Homes near a shopping center
● Demographic niche
Tech-savvy clients
● Style niche
Log cabins
Ride the wave
Ironically, establishing yourself as an expert within a specific niche helps build a stronger, larger and more profitable client base outside the niche. “When I got my real estate license, I decided to work with for sale by owners as my primary business source,” DeMunck says. “But after making a name for myself, I started getting calls from people who didn’t even know my niche. All they knew was that a friend had highly recommended me. Leads and referrals helped me branch off from where I started.” Following this train of thought, a niche will enhance your business, but it doesn’t mean you’re locked in a box. Referrals and leads will bring new opportunities you never expected. “Run with these opportunities,” DeMunck says. “That’s how you build a lasting career.”
● Feature niche
Man-cave homes
Grow your niche with our eLearning courses—Focus on First-Time Home Buyers, For Sale By Owner or Smart Home Technologies—by searching those titles in our Education Catalog.
Donna Shryer is a freelance writer based in Chicago.
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May 25 June
Going,
Going,
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G
low
tide
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Gone! CRSs who know how to navigate through low-inventory markets can turn minimal supply into maximum returns By Matt Alderton
Because of its elevation—5,280 feet above sea level—people call Denver the “Mile High City.” Its altitude isn’t the only thing that’s high, however. Home prices also are steep, having increased 44.3 percent since the Great Recession, according to an analysis by personal finance website SmartAsset. Michael Marcus, CRS, bears witness to Denver’s hot market every day. “Like large swathes of the country, we’re operating under record low inventory,” says Marcus, who heads the Marcus Team, a Denver-based real estate team of Coldwell Banker Residential Brokerage. “It’s not that homes aren’t coming on the market. But if the agent has done a good job addressing the three basic components of real estate—location, condition and price—they don’t last long.” Denver isn’t the exception. According to the National Association of REALTORS®, it’s the rule: In December 2017, it reports, total U.S. housing inventory dropped 11.4 percent, marking the 31st consecutive month of year-over-year inventory contraction. At the current sales pace, NAR says, unsold inventory is at a 3.2-month supply, down from 3.6 months a year earlier and the lowest level since it began tracking total inventory in 1999. “It makes it more challenging to be an agent on either side of the transaction,” Marcus says. “As real estate agents, it’s our job to help our clients make decisions that are good for them. In a low-inventory situation, sometimes you have to fight a little bit more with clients to help them understand that what you’re recommending is the best decision.” Fortunately, the challenges aren’t insurmountable. When you know how to strategize effectively, low inventory can be just as fruitful as it is frustrating.
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BY THE NUMBER S In December 2017, housing inventory was down
10.3 % from a year earlier. It has declined for 31 consecutive months on a year-on-year basis. Source: Reuters
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low tide
Perfect pricing
analysis put the most weight behind ‘sold’ properties,” he One of the most difficult aspects of selling homes in lowexplains. “I tend to give more weight to ‘under contract’ propinventory markets is pricing them correctly. erties because they’re more recent. Although you don’t know Gee Dunsten, CRS, of Long & Foster Real Estate in how much they’ve sold for, you can usually guess whether it’s Salisbury, Maryland, gives clients a choice of three different sold for over or under asking based on the number of days pricing strategies: between listing and contract.” The market-based approach derives a price based on Because the wrong price can cause listings to fester, comparable sales. Pricing is fast, simple and easy to justify Maura Neill, CRS, recommends a pre-listing appraisal. “The because it’s based on market evidence. However, it doesn’t pre-listing appraisal does a couple things for us,” says Neill, account for homes’ unique attributes and might not reflect founder of Buy Sell Live Atlanta, her team with RE/MAX their potential in an appreciating market. Around Atlanta in Alpharetta, Georgia. “It’s great ammunition The ‘less is more’ approach prices a home slightly to use with a buyer to be able to justify how we priced the under its market value with the goal of generating enough home. Also, it’s a great marketing tool; if the appraisal comes interest to catalyze a bidding war. If it works, the home could in at $550,000, we can price the house at $549,900 and say in sell for more than it’s worth—and possibly faster, which our advertising that it’s priced below its appraised value.” could reduce the seller’s carrying costs. If it doesn’t work, the home could sell for less. The retail approach treats homes like Marketing still matters merchandise in stores: When listings are new, Because people buy homes, not prices, marketing remains critical, accordthey’re at their highest possible price. Like ing to Marcus. “People have to like the house in order to buy it,” he says. retailers, however, sellers agree to reduce the “So you have to approach every listing as if it’s going to be difficult and price if their home doesn’t initially sell, and may do a full-blown marketing program around it.” have to apply several discounts before it does. Two of the most important marketing elements for Marcus are listing The upside is a bigger profit when homes sell photographs and descriptions. The former, he says, should be professionquickly; the downside is that it may take longer ally done and completed before listings appear on the MLS. The latter, to sell at what becomes true market value, and meanwhile, should emphasize benefits over features. may increase the cost of carrying the home “Instead of, ‘Open floor plan,’ say, ‘Family time is easy with an open until it sells. floor plan.’ That gets people to say, ‘Oh yeah, that’s important to me,’” Whatever path they choose, “the goal is to Marcus says, who also advocates staging and virtual tours. form a partnership,” Dunsten says, who adds Maintenance is marketing, too. “Buyers are hungry, but they aren’t any that sellers in high-octane markets are more less picky,” Neill says. “They still have expectations that a house is going likely to trust and embrace a pricing strategy to be in good condition. If it isn’t, it’s going to sit on the market longer.” when they feel like they’ve co-created it. And sell for less. “People don’t want to fool with stuff like replacing the Marcus uses a market-based approach, but carpet or hiring a painter,” Dunsten says. “They’ll justify paying a little bit with a twist. “Most agents doing a comparative more if everything’s pristine.”
5 TIPS FOR REPRESENTING BUYERS IN A LOW-INVENTORY MARKET
You’ve heard the phrase “buyer beware.” When it comes to inventory-challenged real estate markets, however, more apt phrasing might be “buyer’s agent beware.” Not only is it harder to find the perfect home, it’s also harder to secure it thanks to increased competition, which can breed fast sales and fierce bidding wars. Fortunately, the “buyer’s-agent
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blues” isn’t a terminal condition. It can be treated with the following tips: Insist on a buyer 1 consultation and signed buyer brokerage agreement, says Maura Neill, CRS, founder of Buy Sell Live Atlanta, her team with RE/MAX Around Atlanta in Alpharetta, Georgia.
In low-inventory situations, she says, agents must be certain that buyers are serious and fully understand the rough real estate waters ahead. Encourage buyers to seek 2 loan approval prior to commencing their home search, suggests Tim Burroughs, CRS, of eXp Realty in Boise, Idaho. Being
low tide
GENERATION GAP
According to U.S. Census data, there were 83.1 million millennials born between 1982 and 2000. Meanwhile, the number of baby boomers, those born between 1946 and 1964, is 75.4 million. When it comes to housing, the two groups are on a collision course. "What it comes down to is we have two very large generations butting heads," says Svenga Gudell,
And the winner is …
Zillow's Chief Economist. "You have millennials who are just entering the market, who are even a larger generation than the baby boomers, and you really just need more homes," she says. "We're currently dealing with '1994-level' inventory, despite having 63 million more people in the country. So at this point we have to build some more homes in order to accommodate all those people."
Ultimately, the goal isn’t just generating interest—it’s generating a sale. Which brings agents to what can often be the biggest challenge of listing in a low-inventory market: getting sellers to choose the right offer when it comes in.
approved through underwriting affords buyers a competitive advantage, he says, by giving sellers confidence that the deal will close. Extra earnest money can have a similar effect. Be flexible with fewer 3 demands and concessions. Neill, for example, suggests allowing sellers to choose the closing date, waiving home warranties or—with the lenders’ blessing—offering shorter contingency periods for inspections, appraisals and
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≠“Sellers start to dream of bags of money falling on their heads, and they get greedy,” Marcus says, adding that sellers in low-inventory markets like tempting fate by waiting for bigger, better offers. Because those offers don’t always materialize, Marcus determines upfront with sellers how they’ll handle offers. For example, they agree in advance whether they’ll evaluate them individually as they come in or as a group after collecting them over a period of days. Likewise, they agree on what the process will be in case of multiple offers, how long they’ll take to respond and what their non-negotiable conditions (e.g., closing date, choice of attorney, inspection terms) will be, all of which helps sellers act rationally. Just in case that’s not enough, however, Marcus also sends initial contracts as read-only PDFs so his clients don’t sign them prematurely, and withholds “love letters” from prospective buyers seeking to bias his sellers. In the case of multiple offers, Marcus uses a spreadsheet to help sellers choose an offer based on all its merits, including not only price, but also closing date, earnest money and other variables that indicate the offer is serious and will actually reach the closing table. “I want my sellers to treat this as a business decision,” Marcus says. That approach doesn’t just yield better outcomes for sellers, it also creates more business for agents, according to Dunsten, who says that the key to thriving in a lowinventory market is positioning oneself as a business consultant instead of a salesperson. “In a low-inventory market, there are multiple agents competing for the same properties,” he says. “If you want to be the one who’s selected, you have to approach your business in a different way. People don’t want to talk about listing a house; they want to know how fast you can sell it and how much you can get them. That’s the bottom line.” Matt Alderton is a freelance writer based in Chicago.
financing. You also could self-pay closing costs, which according to Burroughs, can be paid either by buyers or their lenders, who sometimes will agree to “premium” price loan interest rates to cover closing costs. Use escalation 4 clauses—which state that buyers will beat competing offers by a given dollar amount, up to a stated maximum—to give buyers an edge during bidding wars, says Michael Marcus, CRS, who heads
the Marcus Team, a Denver, Coloradobased real estate team of Coldwell Banker Residential Brokerage. Consider having buyers 5 send thank-you notes or video messages in which they make an emotional appeal to the sellers, says Gee Dunsten, CRS, of Long & Foster Real Estate in Salisbury, Maryland. Although most sellers sell to the highest bidder, he says, some will sell to the most likable one.
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For more information, download the recording Dominating Your Low-Inventory Listing Market, presented by Gee Dunsten in the Education Catalog at CRS.com.
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May 29 June
WorKiNG
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mind your
business
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S Y S
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The value of using systematic procedures to organize and structure recurring tasks By Myrna Traylor
Ø
The dictionary definition of “system” is a good place to start when thinking about organizing and systematizing tasks in your business—it's defined as an organized or established procedure. The important thing to remember, of course, is that a system has to have a goal. The systems you choose need to help you complete important, repetitive tasks, freeing you to do the things that will take your business to the next level.
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The Residential Real Estate Council
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May 31 June
mind your business
[feature]
Customer relationship management (CRM) systems help manage your business. Daylite can track client leads, tasks, projects, appointments, contacts and more. Realvolve CRM is designed for the real estate industry.
“Certain things happen over and over again in a typical transaction,” says Debbie Yost, CRS, broker/owner of RE/MAX Casa Grande in Arizona. “A good system allows us to automate repetitive details and focus on the client to give them exquisite, five-star service.” For Yost, client communication is the area that deserves the highest level of attention. Checklists are good, says Yost, but client communication is sometimes missing from that format. “When a client calls, they have questions because they don’t go through [this process] every day like we do,” Yost says. “If a client calls with a question, we’ve failed. We choose to proactively communicate with the client to prepare them for the next step and answer their questions before they realize they have them. For example, if you’re on a flight and the pilot warns about upcoming turbulence, you’re prepared when things get bumpy. If the passengers received no warning, they’d be thrown into a panic.”
Old school vs. new vibe
Sasha Farmer, CRS, an agent with Montague, Miller and Company in Charlottesville, Virginia, also sees relationships as vital to her business and has set up a system to facilitate making her daily business and prospecting calls. “I implemented this system because I’m kind of a ‘phone-o-phobe,’” she says. “I like to talk to people, but I could waste lots of time deciding who to call or why.” Farmer and her team have a system in which each weekday is assigned a certain set of calls. Monday is for her VIPs, Tuesday is a weekly check-in with current clients. “Since they know I’ll always be calling on Tuesday, it cuts down on non-emergency pings and emails,” Farmer says. Wednesday is reserved for the deep dive into the past client database. “On week one of the year, I start with last names starting with ‘A,’ second week, ‘B,’ and so on,” Farmer says. “By July 1, you start on ‘A’ again. You’ve touched
“ When a client calls, they have questions because they don t go through [this process] every day like we do. If a client calls with a question, we ve failed.” —Debbie Yost, CRS
gatekeepers no longer
Some say that buyers might be looking at homes online for up to two years in advance of working with a REALTOR®. So Debbie Yost, CRS, broker/owner of RE/MAX Casa Grande in Arizona, recommends that REALTORS® put a system into place that gives clients general information about lenders, the process, neighborhoods and so on. That way, when they are ready to start actively looking, buyers are already comfortable with you and the process, and they are ready to focus on the specific properties they might consider purchasing. Sean Moore, CRS, with RE/MAX Boone Realty in Columbia, Missouri, is in full agreement with that kind of client management. “That ship sailed 20 years
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ago,” he says of the role REALTORS® used to play in providing access to the MLS. Zillow, Trulia and others “opened the back door on that data,” Moore says, “so now we have to give the consumer that data” and then back it up with more service. “Through my websites, I have all the information available on each listing so the consumer can get all the details they want,” Moore says. “This separates me and my team from other brokers. One of my clients told me one of the reasons she chose me over several other REALTORS® is that she could search for property without leaving her contact information. She was really seeking a transparent, open agent.”
mind your business
[feature]
To-do list apps such as Remember the Milk and Todoist sync information among all your devices and organize your tasks and reminders.
everyone twice each year, so you feel less weird about contacting someone that you otherwise wouldn’t have spoken to for a couple of years.” The other advantage to the system is that her staff can go into the database and assign names for Farmer’s daily calls. In addition, the daily calls are part of a bigger system of regularized contact with clients and businesspeople. Beyond the daily touches, each week Farmer makes sure she has 15 face-toface meetings, five “break-breads” and writes 10 thank-you notes. “Every week my assistant stamps, addresses and return-addresses all the envelopes—I just need to write the note and seal it.” As an incentive, her assistant “hides a $100 bill under the stack of thank-you notes,” Farmer says. “If I don’t complete the stack, she gets the $100! If I finish the task, I get to keep it.” Even with such a hands-on approach, Farmer does not rule out using apps to keep things organized. “You need good tech,” she says. “It should be a good system that has recurring tasks that you can assign to staff.” Farmer says that she and her team use a blend of apps, some that are on each person’s phone and some that are office-wide. They use Daylite as their CRM (newer agents like Realvolve) and also rely on to-do lists like Todoist and Remember the Milk. “You don’t want something that only has people or only has tasks,” Farmer says. “You want something that has both—that can remind you of a task and auto-fill with the correct client at critical points.”
System solutions
Sean Moore, CRS, with RE/MAX Boone Realty in Columbia, Missouri, set up systems for his team that are highly automated, beginning with lead generation and follow-up. “My favorite lead router is called Five Street. It’s all about the
instant follow-up; the program automatically responds to each lead, then broadcasts them out to my team. “Some teams use a round robin system [to assign leads] to agents A, B, C,” Moore says, “but that system is flawed. Agent B might be busy and the lead just sits there. My system broadcasts the leads to the entire team and the first person who can completely accept and respond to that lead takes it. [The business] evens itself out among agents over the course of the year.” So, what does every functional agent need? ÄÄA lead router. Scale this to your level of need and your style. “I know REALTORS® whose entire book of business is generated from picking up contractors at the local bar, whereas others do everything through open houses,” Moore says. ÄÄA customer relationship management system (CRM). Which one is best? “The one you use,” Moore says. ÄÄEffective communication. Yost recommends that during the final 10-day countdown to closing, “the client should hear from you every day via a short call, text or email. Break down the process—how much money to bring to closing, what to expect at the walk-through. Tell the client what to expect,” Yost says. “They’ll be comfortable knowing that every day, the check-in will tell them each step.” ÄÄPut paperwork in the cloud. “My team has gone paperless,” Moore says. “With secure measures, such as secure signatures, all the paperwork goes and stays in the cloud, and I can do everything from my cell phone. It’s truly amazing. I’m sending digital signatures to 80-year-old clients and they love it.”
MACRO VS. MICRO MANAGEMENT Once you have systems in place to take care of the big things like following up leads and pre-closing details, you can use your preferred to-do list to keep track of those smaller tasks that could get lost. Whether you prefer paper and pen or a mobilebased app, organization gurus agree that it’s best to have one calendar/list so that prerequisites or conflicts are immediately visible.
Meet your Designation Maintenance Requirement today! Read this article and “Rock Around the Clock" on p. 18, take a 10-question quiz and earn 2 credits. Go to CRS.com/ trs-quiz to get started.
Myrna Traylor is a freelance writer based in the Chicago area.
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crs.com
May 33 June
resources for learning & leisure
ACCOUNTS deceivable GOOD READS
Money may be “a difficult and abstract concept,” but that doesn’t mean we can’t rethink our spending and saving. By Allan Fallow
More than a decade after Andy Warhol’s death in 1987, his five-acre, five-house Montauk estate was put on the market at the absurd asking price of $50 million. That was more than five DOLLARS times the value of AND SENSE comparable estates HOW WE MISTHINK in the area, and MONEY AND HOW TO it represented a SPEND SMARTER whopping 220-fold increase over the by Dan Ariely and amount that Warhol Jeff Kreisler and his business HarperCollins, $ partner, film direc276 pages, 27.99 tor Paul Morrissey, paid for the property in 1971. Understandably, the place languished for six long years. But once Morrissey slashed the listing to a paltry $40 million,
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he managed to sell it within six months—for $27.5 million to J. Crew CEO Mickey Drexler. In their new book Dollars and Sense, behavioral economist Dan Ariely and comedian Jeff Kreisler use the Warhol episode to illustrate anchoring, one of the many ways we deceive ourselves about the true value of various goods and services. “Anchoring occurs,” the authors say, “when we are drawn to a conclusion by something that should not have any relevance to our decision. It is when we let irrelevant information pollute the decision-making process.” Thank goodness your trained eye is immune to the anchoring effect, right? Well, maybe: In a 1987 experiment involving “some of Tucson’s most respected and trusted real estate agents,” those who learned that the listing price of a property they had been invited
to inspect was $119,900 estimated the home’s actual market value at $111,454, whereas those who were told its listing price was $149,900 valued the place at $127,318. And laypeople were even more vulnerable to the anchoring effect: That $30,000 increase in the asking price caused their estimates of its actual value to balloon by $31,000.
In denial
Why should an asking price dictate a home’s value? It shouldn’t, the Dollars and Sense authors contend—“for anyone, in any way, at all.” Rather, they argue: Real estate value should be determined by market conditions like recent sales (comps), by the quality of the home (inspection and MLS info), by the size of the lot, and by the quality of the schools and the competing prices (nearby listings). This should be especially true for
experts who know the market and home prices better than anyone, but it wasn’t. The listing price clearly affected their value assessments. Saving “the most fun part” for last, Ariely and Kreisler reveal that 81 percent of the agents—and 63 percent of the nonprofessionals—claimed they had not considered the asking price whatsoever when coming up with their valuations. “In other words,” they write, “the listing price changed how everyone valued the property, but most of them had absolutely no idea it was happening.” That crusading spirit of “You may not even realize how grievously you are misthinking your money” pervades the entire book. Consider “easy-payment” options such as gift cards, EZ-Pass technology, Venmo, e-wallets and automatic bill-pay, all of which the authors condemn for reducing our pain of paying. (MRIs and neuroimaging studies have proved that the act of paying stimulates the same areas of the brain that process physical pain.) Credit cards, for example, use “evil genius” to warp time—that is, to separate the moment when we consume something (that restaurant meal this weekend) from the moment when we must pay for it (the bill that arrives up to a month later). By dilating the time between experience and expense in this way, credit cards “create a detachment that makes us more willing to spend.” For these reasons and more, the authors blast plastic as “a drug that blurs our ability to process information and act rationally.”
All that glitters ...
Another dynamic inducing us to misthink money is the endowment effect—our tendency to overvalue the things we own. To illustrate how this can (and does) skew real estate transactions, for one, the
authors create a mythical family, the Bradleys, and walk us through the rationale that has led them to prize the home they are trying to sell far more than any potential buyer ever will. Let’s listen in now as their (equally fictional) real estate agent—one Mrs. Heather Buttonedup—tries to talk them out of listing the property, which they bought 14 years ago for $400,000, for $1.3 million today: “Look at all the work that needs to be done [Heather gingerly points out]. People don’t want an open floor plan these days. The buyer will have to make some real changes.” “What?!” cries Tom Bradley. “Do you know how much time, effort, and money we put into making these renovations? It’s awesome.” “I’m sure it is to you, but—what is that?” “It’s a bike rack.” “Above the kitchen table?” “It adds excitement to every meal.” Dollars and Sense may not add excitement to your every meal—Ariely goofed by recruiting an allegedly comic writer as his coauthor. But this primer on our “mental money miscues” will remind you of certain essential basics, such as the fact that people spend nowhere near enough time trying to find cheaper mortgages. (Very few civilians, the authors contend, fully understand the force-multiplier effect of even a tiny decrease in the APR.) It will help you see mortgage-option complexity through the eyes of the consumer. And it will make you applaud Ariely’s call to arms: “The future looks bright if we’re a bill collector or bankruptcy lawyer, but for most of us, that brightness comes from the flames burning a hole in our wallet. “It doesn’t have to be like this.”
YO U M I G H T A L S O L I K E …
YOUR BEST YEAR EVER by Michael Hyatt [Baker Books] 272 pages $ 14.99/hardcover New York Times bestselling author Michael Hyatt offers a system for crafting and achieving goals. THE RIGHT—AND WRONG—STUFF By Carter Cast [PublicAffairs] 288 pages $ 19.04/hardcover Northwestern Kellogg School of Management professor Carter Cast helps you avoid career derailment. THE ORIGINS OF HAPPINESS by Andrew E. Clark, Sarah Flèche, Richard Layard, Nattavudh Powdthavee, George Ward [Princeton University Press] 326 pages $ 35.00/hardcover A dream team of social scientists looks at key factors affecting well-being and how to become more healthy and happy. GREAT AT WORK by Morten Hansen [Simon & Schuster] 320 pages $ 19.49/hardcover A study of 5,000 managers and employees reveals the “Seven Work Smarter Practices” for anyone looking to maximize their time and performance.
Allan Fallow is a freelance book doctor in Alexandria, Virginia. Follow him @thefallow.
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SMELL THE FLOWERS
resources for learning & leisure
BUSY SEASON
fun time
A CRS’s work is never done—especially during the summer, when it seems like everyone else is out soaking in the sunshine. However, with a bit of prior planning, it’s possible to balance work and play this busy summer season. Here are some tips:
Keep a beach bag in your car. Save time by keeping a bag filled with towels, sunscreen and swimwear so you’re ready to hit the beach or pool at a moment’s notice. Not a fan of the water? Keep a to-go bag with comfortable clothes and shoes, a refillable water bottle and other supplies you may need for the summer outing of your choice.
Create a summer to-do list.
Whether it’s a day-cation or a simple activity like seeing that new summer blockbuster, if there are things you definitely want to do before fall rolls around, write them down. Once you have your list, work the activities into your schedule so you can plan ahead as much as possible. And keep the list where you’ll see it regularly as both a reminder and motivation to have some fun!
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Host a teambuilding activity.
Refresh and energize your real estate team by scheduling a day during the week to spend outside of the office, eating and playing fun outdoor games such as disc golf or bean bag toss.
Have a lunchtime picnic. Instead of grabbing lunch and eating in your car or at a desk, eat at a park or other outdoor area. If your family is free, ask them to bring a blanket and join you. If you don’t have time for a picnic, try to eat at a place with outdoor seating, so you’re still able to take advantage of the warm weather.
Make your own weekends.
As a real estate agent, you may not work the typical Monday through Friday, 9 a.m. to 5 p.m., schedule— your clients may only be available to view a home in the evenings, or you might be hosting an open house on Sunday. If this is the case, try to take a quieter weekday away from the office to spend time outdoors doing something you enjoy.
inside
RRC
LEARNING
news from the council
made easy RRC Education is now offered in a brand-new way
The Council is offering a new learning experience that combines the convenience of eLearning with the networking opportunities and experience of live courses. Virtual Pro is a combination of self-paced and virtual live learning that will allow students to complete the program together.
BENEFITS
The Virtual Pro offers numerous benefits and conveniences to enrich and simplify the learning experience.
ÄÄ Portions of the course can be completed on your time ÄÄ Network with your peers through group activities ÄÄ Candidates can become designated quickly
ÄÄ Interact with RRC Certified Instructors during live presentations ÄÄ Exclusive invites to meet in person at upcoming Council meetings and events ÄÄ No need to travel
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ÄÄ Low pricing: $199 for members and $300 for non-members, which includes RRC membership— so if other REALTORS® in your office need to get their Designation, this is a great way to bring them on board
The Residential Real Estate Council
crs.com
May 37 June
inside
RRC news from the council
smart home CERTIFICATION Gain expertise in the fast-growing Smart Home market
Distinguish yourself in your marketplace with professional certification in Smart Homes, a quickly evolving and growing area of residential real estate. RRC Smart Home Certification helps demonstrate to buyers and sellers that you dedicated yourself to developing expertise about the technology, privacy issues and best transition tactics employed to help them with their smart home sale.
Obtaining training and certification not only increases your technical and listing skills, it also enhances the value that you can offer to the clients you represent. You will be better equipped with the skills and tools you need to help you properly identify what qualifies as a Smart Home and advise clients on how to properly value the technology.
REQUIREMENTS
BENEFITS ÄÄ Stand out in your market ÄÄ Premade toolkits to immediately use ÄÄ Plug into the Smart Home technology community ÄÄ Build relationships with potential clients in the community ÄÄ Unique marketing ideas to utilize in business ÄÄ Future partner programs ÄÄ Networking opportunities
1. T ake the Smart Home Technologies for the Residential Specialist eLearning course (2 credit hours). 2. A ttend the Power Up on Smart Home Technologies one-day course (8 credit hours). 3. T ake two hours of relevant webinar recordings. AVAILABLE WEBINARS: ÄÄ Smart Cities and Their Impact on Residential Real Estate ÄÄ Taming the Smart Home ÄÄ Millennials: The Struggle is Real ÄÄ Dance Like Everyone Is Watching: Why Content Matters ÄÄ Stop Making Excuses and Start Making Videos ÄÄ Get Social Smart: Honing Your Social Media Strategy ÄÄ Video Marketing: No More Vanilla
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hot topics
PROMOTE YOUR DESIGNATION
IN REAL ESTATE
The Council’s designee marketing materials are now available at the Print Marketing Materials Portal. Designees may scroll through available materials and order them from our partner Lake County Press, or download them directly from the portal for free. Go to CRS.com/print-materials-portal to find the materials. Quarter Page Ad 717.pdf
Stay current with this new YouTube video series
The Council is launching a new YouTube series. Dubbed Sound Bites, the videos offer real estate industry insights and ideas that elevate in just 10 minutes. Hosted by Leigh Brown, CRS, the series features short interviews that help Council members get completely up to speed on real estate hot topics in just a few minutes. You can view the first one on the Council’s YouTube channel, which hits the bullet points on tax reform with NAR Deputy Chief Lobbyist Jamie Gregory.
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M
Y
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Other topics include:
ÄProductive Ä Cultures ÄLiving Ä with Intention ÄSelling Ä Homes with Bitcoin ÄBuilding Ä an Innovative Team Culture Subscribe to our channel (just search for Residential Real Estate Council on YouTube), and you will automatically be updated when new videos are loaded onto the platform. Otherwise look for them on Tuesday mornings.
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MILLENNIAL MYTHS
%
debunking
of millennals have asked for a raise in the past 2 years.
80
strategies from the industry’s top educators
46 %
Most think homeownership is a good investment
RRC INSTRUCTOR
Gee Dunsten, CRS, has been in the trenches of real estate for three decades and has helped more than 3,000 families achieve homeownership. He is an RRC Certified Instructor as well as a nationally recognized residential sales and marketing specialist, author and speaker.
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You need a 20 percent down payment to buy a home Recent surveys revealed that consumers often overestimate the down payment funds needed to qualify for a home loan. Many believe they need at least 20 percent down, and they are not aware that many programs actually let buyers put down as little as 3 percent. 61 percent of millennials who purchased a home in 2016 put down 10 percent or less. Their dream home could be within reach much sooner than they thought if they knew they only need to save 3 to 10 percent.
FACT
There are many stereotypes that influence the way people feel about millennials and that paint them in a negative light. But a new Bank of America study concluded that “millennials deserve more credit, both from themselves and from others, for their mindfulness when it comes to money and their lives.” Here are some key takeaways from the study that illustrate some of the positive financial steps millennials are taking: � 63 percent are saving (47 percent have $15,000 or more in savings) � 54 percent are budgeting (73 percent who have a budget stick to it every month) � 57 percent have a savings goal (67 percent who have a goal stick to it every month) � 46 percent have asked for a raise in the past two years (80 percent who asked got one) � 59 percent feel financially secure (16 percent have $100,000 or more in savings) Many have wondered if millennials even want to own their own homes instead of renting. Well, not only do they want to own their own homes, many already do and they are looking to trade up! A recent study by Realtor.com shows that 49 percent of Americans who plan to sell their home in the next 12 months are millennials. But let’s face it: There are still many young people out there who have delayed buying a home when, in fact, they could stop wasting time and money paying rent and begin building their own wealth by putting their housing cost to work for them. According to NAR’s Generational Study, 84 percent of millennials believe homeownership is a good financial investment, and 45 percent believe it’s a better investment than stocks. Yet there are some misconceptions that hold back millennial homebuyers.
Myth 1
Myth 2 You need ‘perfect credit’ to buy a home A recent Fannie Mae survey revealed that 59 percent of Americans either don’t know or are misinformed about what FICO® credit score is necessary to qualify for a mortgage. Many Americans believe a ‘good’ score is 780 or higher. A report focusing on recently closed (approved) loans found that 54.7 percent of approved mortgages had a FICO® score between 600 and 749. Over the last 12 months, the average FICO® score for home purchases by millennials was 721. Millennials should not make the mistake of disqualifying themselves by thinking they need a 780 credit score. As agents, our role should be to do everything in our power to enlighten and inform, and thereby empower young people in our society so they too can realize the American dream of homeownership.
FACT
Gee Dunsten
RRC
connect
YOUR RRC
network
WEST CALIFORNIA’S MONTEREY PENINSULA A trusted name on the Monterey Peninsula for nearly 50 years! Terry McGowan CRS, GRI, ABR, SRS, e-Pro, SRES Cal DRE# 01126129 Sotheby’s International Realty 831-236-7251 terry.mcgowan@sothebyshomes.com www.terrymcgowan.com
My clients met an agent at an open house in the community where they expected to buy, which CONNECTION PERFECTION was outside my area. After several showings with him, they called in a panic: They were feeling pressured and uncomfortable with the agent. They wanted to cut him loose and needed my help in finding “a better agent.” So, of course, I turned to a CRS. I interviewed eight agents, and Debbie Kosum, CRS, Realty One Group Southwest in Temecula, California, stood out as an agent who would listen to their needs and concerns. These buyers are teachers, so learning what they needed to know was of utmost importance. They were absolutely thrilled with Debbie’s style and ability to find them the perfect home.
Specializing in helping You reach Your Real Estate goals since 1991!
WEST
expand your network
—Karen Crowson, Coldwell Banker, San Diego, California
WEST
WEST
WEST
WEST
COLORADO Joan M. Pratt
MS, CRS, CLHMS, CDPE, CARI
DenverMetroReferrals.com
720-506-3001 RE/MAX Professionals
“Elevate Your Expectations” « « « « « Voted Five Star Agent for Overall Satisfaction for 6 Straight Years!
WEST
Selling Lake Tahoe Since 1989 tural Resources Na ”
Over $800 million in Tahoe Sales
“One of Lake T
ah o
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Cr
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t. c o m
CZ
ai g
Z a ger | l a k
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COLORADO SPRINGS Joe Clement CRB, CRS, ABR, QSC, CLHMS
BEN & CAROLE HEINRICH Local real estate experts in Carmel, Carmel Valley, Pebble Beach, Big Sur, Monterey & Pacific Grove for over 30 years.
(Certified Luxury Home Marketing Specialist)
www.TheClementGroup.com joe.clement@wesellmore.net
719-499-5000
Carole, CRS, CFP® Ben, CRS & CRB RSPS & SRES CRS NorCal chapter past president
www.TheHeinrichTeam.com 831.626.2434
Joey Clement CRS, ABR, CDPE
www.HomesInSD.com joey@homesinsd.com
Team@TheHeinrichTeam.com
858-922-4546
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RRC connect
RRC expand your network
CLASSROOM COURSES
RRC classroom courses earn either eight credits (for one-day courses) or 16 credits (for two-day courses) toward the CRS Designation. At press time, the RRC courses listed below were scheduled for 2018. For more up-to-date listings, visit CRS.com/education-catalog. To attend a class, please go to CRS.com/events-calendar, locate the date of the course you would like to attend and follow the registration prompts.
Buying and Selling Income Properties May 29–30—Rochester, New York [Greater Rochester AOR] Instructor: Pat Zaby, CRS
Zero to 60 Home Sales a Year May 31—Rochester, New York [Greater Rochester AOR] Instructor: Pat Zaby, CRS
Building an Exceptional Customer Service Referral Business May 30–31—St. Louis, Missouri [Missouri RRC] Instructor: Gee Dunsten, CRS
Technologies to Advance Your Business May 31–June1—Brentwood, Tennessee [Williamson County AOR] Instructor: Monica Neubauer, CRS
PACIFIC
PACIFIC
HAWAII
How Technology Can Ruin Your Real Estate Business* June 1—Austin, Texas [Texas RRC] Instructor: Craig Grant, CRS *Satellite attendance available! Listing Strategies for the Residential Specialist June 4–5—Monroe, Michigan [Michigan RRC/Monroe County AOR] Instructor: Rich Sands, CRS
CANADA
MAUI Real Estate
www.JoanneFoxxe.com
...sharing Aloha through excellence and experience...
808-385-2918 jofoxxe@gmail.com
Nancy D. Metcalf, CRS REALTOR®, Vice President
Luxury Property Specialist RB-16599
Hawaii CRS of Year, 2003 Direct: (808) 223-9246 nmetcalf@cbpacific.com www.nancymetcalf.com
Joanne Foxxe CRS, GRI, SRES e-pro
Celebrating 25 years assisting clients!
Maui CRS director
SOUTH
MID-ATLANTIC
Luxury waterfront specialist serving Longboat Key & Sarasota, FL for 35 years
MID-ATLANTIC
NORTHERN VIRGINIA Fairfax • Alexandria • Manassas Woodbridge • Bristow • Stafford
Brad Kirkendall CRS, CNE
25+ years real estate expertise
571.262.1900 Brad@NovaEliteRealty.com www.NovaEliteRealty.com
941.356.0437
DebraPitell-Hauge@michaelsaunders.com SarasotaHomes4Sale.com 440 Gulf of Mexico Dr | Longboat Key, FL 34228 941.383.7591 | michaelsaunders.com
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Treating your referrals with integrity, knowledge and professionalism
Fairfax • Alexandria • Manassas Woodbridge • Bristow • Stafford
Effective Buyer Sales Strategies June 7–8—Lansing, Michigan [Michigan RRC] Instructor: Rich Sands, CRS Top of Mind Techniques to Boost Your Brand June 11—Wilmington, North Carolina [North Carolina RRC] Instructor: Kim Knapp, CRS
Reach more than
30,000
CRS peers with your ad here. Contact Joe Stella: jstella@glcdelivers.com or 847-205-3127
MID-ATLANTIC
Succession Planning: Building, Valuing and Selling Your Business June 25—Las Vegas, Nevada [Barrett Seminars] Instructor: Mark Given, CRS
Silver Bullet Solutions June 21—Atlanta, Georgia [Georgia Institute of Real Estate] Instructor: Mike Selvaggio, CRS
Succeeding in the Luxury Market June 26—Las Vegas, Nevada [Barrett Seminars] Instructor: Lee Barrett, CRS
Win-Win Negotiation Techniques June 22—Atlanta, Georgia [Georgia Institute of Real Estate] Instructor: Mike Selvaggio, CRS
Top of Mind Techniques to Boost Your Brand June 27—Las Vegas, Nevada [Barrett Seminars] Instructor: Lee Barrett, CRS
Choose Choose from from more more than than 11 11 CRS CRS and and Ninja Ninja classes! classes! Mike Mike MikeSelvaggio Selvaggio Selvaggio Selvaggio Mike Mike Selvaggio
CCIM, CCIM, CCIM, CRS CRS CCIM, CCIM, CCIM,CRS CRS CRS CRS
Listing Strategies for the Residential Specialist June 28–29—Las Vegas, Nevada [Barrett Seminars] Instructor: Lee Barrett, CRS
BB oo oo kk N N oo w w
Choose from Choose Choosefrom from more than 11 more morethan than11 11 CRS and Ninja CRS CRSand andNinja Ninja classes! classes! classes!
Effective Buyer Sales Strategies June 28–29—Broadview Heights, Ohio [Akron Cleveland AOR] Instructor: Jackie Leavenworth, CRS
Mike Mike Selvaggio Selvaggio
CCIM, CCIM, CCIM, CRS CRS CRS CCIM, CCIM, CRS CRS CCIM, CCIM, CCIM, CRS CRS CRS CCIM, CCIM, CRS CRS
CCIM, CCIM, CCIM, CRS CRS CCIM, CCIM, CCIM,CRS CRS CRS CRS
MikeMyCoach.com -5559900 MikeMyCoach.com -5 -5555599990000 MikeMyCoach.com MikeMyCoach.com -5 -5559900 MikeMyCoach.com -5 558844-5 (3 (3 (300002222))))555588884444-5 (30022))558844 Mike@Selvaggio.com Mike@Selvaggio.com Mike@Selvaggio.com Mike@Selvaggio.com (3 Mike@Selvaggio.com Mike@Selvaggio.com Mike@Selvaggio.com (3 Mike@Selvaggio.com e lleleea leelle eaaararrrr ille hhhhihiliile w w w w w nnnniniininin nn uuunuunnnn
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NORTHEAST
Turning New Homes into Ongoing Revenue July 10—Brentwood, Tennessee [Williamson County AOR] Instructor: Mike Selvaggio, CRS
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NORTHEAST
Serving Central Connecticut Top 3% Nationally Top Producing Realtor for Over 30 Years
7 Things Successful Agents Do Differently July 19—Clearwater, Florida [Pinellas REALTOR® Organization & Florida RRC] Instructor: Gee Dunsten, CRS
Your referral source for the greater
Pittsburgh
Win-Win Negotiation Techniques July 24—Southfield, Michigan [Greater Metropolitan AOR] Instructor: Pat Zaby, CRS
area
Felix DuVerger ABR, CRS, GRI
I help clients make the Wright move
2790 Main Street Glastonbury CT 06033
Facebook “f ” Logo
CMYK / .eps
Facebook “f ” Logo
Nancy Wright, ABR, CRS, GRI
860-652-4521 CMYK / .eps
@felixduvergerrealtor
Technologies to Advance Your Business June 25–26—Kissimmee, Florida [Osceola County AOR] Instructor: Kim Knapp, CRS
Zero to 60 Home Sales a Year June 18—Fairfax, Virginia [Virginia RRC] Instructor: Gee Dunsten, CRS
MID-ATLANTIC
NN Noooow w w BBBBooooooookkkk N w
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Top of Mind Techniques to Boost Your Brand June 11—Owensboro, Kentucky [Kentucky RRC & Greater Owensboro REALTORS®] Instructor: Kim Cameron, CRS
@felixduverger_realtor
RE/MAX Realty Brokers 5608 Wilkins Ave. Pittsburgh, PA 15217 OFS: 412-521-1000 x170 CELL: 412-508-0040 nancywright@remax.net
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SHARE YOUR EXPERTISE
Would you like to be a source for a future story in The Residential Specialist? Send an email to mhuffman@crs.com to be added to our potential source list. To see a list of topics we’ll be covering, check out the magazine’s 2018 editorial calendar online at crs.com.
[resources]
reach out to the experts who made this issue happen
PERSONALIZE, REPRODUCE AND MAIL THIS NEWSLETTER TO YOUR CLIENTS
EDIT Rock Around the Clock
Rich Sands, CRS, Rich Sands Seminars, Inc. 303-817-5329 richteaches@gmail.com
Mark Given, CRS, Mark Given Seminars 252-536-1169 markgiven@yahoo.com
Dave Kupernik, CRS, 24K Real Estate 303-953-4801 dave@davekupernik.com
Stacy Sanseverino, CRS, Keller Williams 215-431-5431 stacy@phillyliving.com
A Pitch for the Niche Bobbie Jean DeMunck, CRS, Coldwell Banker Vanguard Realty 904-704-1208 bjdemunck@gmail.com
Guillermo Serafin, Strategic Blueprints 877-314-3384 g@architectoffinance.com
Paul Dizmang, CRS, Dizmang Associates 417-887-0501 paul@getpaul.com
Christel Silver, CRS, Silver International Realty 561-929-5799 chs@silverhouses.com
Sasha Farmer, CRS, Sasha Farmer Team Real Estate 434-260-1435
sashafarmer@gmail.com
Skip Kirst, CRS, Collado Real Estate 407-342-0265 skipkirst@gmail.com
Going, Going, Gone
Maura Neill, CRS, Buy Sell Live Atlanta, RE/MAX Around Atlanta 404-919-5565
maura@buysellliveatlanta.com
Michael Marcus, CRS, Marcus Team 303-409-6338
michael@marcusteam.com
Gee Dunsten, CRS, Long & Foster Real Estate 410-251-8233
Working the System
Tim Burroughs, CRS, eXp Realty Idaho 208-409-7653
debbie@yosthomes.com
gee@gee-dunsten.com
tim@TimBurroughs.com
Debbie Yost, CRS, RE/MAX Casa Grande 520-560-2839 Sasha Farmer, CRS, Sasha Farmer Team Real Estate 434-260-1435
sashafarmer@gmail.com
Sean Moore, CRS, RE/MAX Boone Realty 573-424-7420 sean@sean-moore.com
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Leave YOUR HOME as is, or personalize the newsletter by adding your photo, logo, address and phone number to the mailing panel.* You can also substitute any article in the newsletter with one of your own. Edit the newsletter e lectronically by downloading the Microsoft Word version at crs.com/ yourhomenewsletter. PLEASE NOTE: The images featured in the YOUR HOME newsletter may only be used within the PDF version of the newsletter. These images may not be reproduced or republished elsewhere outside of this newsletter format. RRC members are free to re-use the text of the articles contained in the newsletter, however.
REPRODUCE
Do it yourself with your office copier, or take the newsletter or electronic file (in addition to your photograph and any information you want inserted) to a printer who can prepare and reproduce the newsletter for you.
DISTRIBUTE
MAIL. If you photocopy YOUR HOME or use it “as is,” please note that it is designed to be folded in a trifold with the mailing panel facing outward. Postal regulations require that trifolds have two closures (tabs or tape) on top. For your convenience, we have placed asterisks (*) where the closures should be. Be sure to check with your local mailer or post office to make sure you have prepared your mailings properly. ELECTRONIC FILE. Attach the customized newsletter file to an email to your clients or create a web link to the file on your website. Consult your webmaster or technician to make sure the file is prepared correctly for these purposes, since these basic instructions will vary by person and system. * This newsletter is for the exclusive use of RRC members.
your *
home M AY/J U N E 2 018
Tips and tre nd s for homeow ners, buyers and sellers
7
GARAGE STORAGE mistakes
If you use your garage as storage space, you’re not alone. Unfortunately, because the space isn’t climate-controlled, it’s best to keep these items elsewhere, according to Realtor.com: ➊
➐
❸ ➎ ➋
➍
➏
➊ Family photos. Pollutants, moisture and heat can quickly destroy your photos. Digitizing all photos is the best practice, or keep printed copies in a dry area inside your home. ➋ Propane tanks. These should never be kept indoors or too close to your home because they can leak or ignite. Store them outside on a flat surface instead. ➌ Car batteries. Batteries can be greatly affected by external moisture. Don’t store them on the floor; rather, place them on a piece of wood or cardboard. ➍ Artwork and collectibles. Dampness can cause tarnish and mold to grow. Insects can infest and rodents can feast on certain items. Dirt and dust can cause stains and buildup on almost anything. And car fumes can penetrate textiles and canvases. Keep prized possessions indoors. ➎ Food. Unless you have a refrigerator or freezer in your garage, fresh food can attract vermin even in a sealed container. Canned foods are best indoors, as sweltering heat can hasten their spoilage and freezing temps aren’t great either. ➏ Paint. If not sealed correctly and exposed to extreme temperatures, paint can actually spoil. Find a space that’s dark, dry and cool, like a utility closet, laundry room or mudroom. ➐ Carpet and rugs. Fresh air is vital for rug fibers and garage spaces aren’t usually well-ventilated, which can cause mold and mildew. Store in a place with low-humidity levels. Or if the garage is your only option: Block any direct sunlight and place a dehumidifier near it.
5 DIY TIPS
As a homeowner, there’s no landlord or engineer to ask for help. So Realtor.com recommends you learn to handle these five basic problems: 1. Change HVAC filters: Replace quarterly to keep your system running smoothly and cut energy bills. 2. Cutting the water supply: Find and tag the shut-off valve when you first move in. When you need to turn it off, turn the handle 90 degrees. 3. Unclogging drains: Chemical drainers may work, but a drain snake is also an excellent option. 4. Resetting a circuit breaker: Open the panel cover and find the breaker in the “off” position, then turn to “on.” 5. Clean gutters: When gutters aren’t cleared of debris, water can get trapped, seep into your house and cost thousands in damages. Clean them annually or every two years.
BROUGH T T O Y OU B Y Y OUR A GEN T, A MEMBER OF T HE RE SIDEN T I A L RE A L E S TAT E C OUNCIL
A
EQUAL HOUSING
DO YOU KNOW SOMEONE WHO IS THINKING ABOUT BUYING OR SELLING A HOME? PLEASE MENTION MY NAME. This newsletter is for informational purposes only and should not be substituted for legal or financial advice. If you are currently working with another real estate agent or broker, it is not a solicitation for business.
OPPORTUNITY
Tips and trends for homeowners, buyers and sellers
SMALL FLAWS
What may seem like small problems in your home can be a big deal to prospective buyers who will want to discount the price. Realtor.com names six of the minuscule things that could be big hurdles to closing: ÄAn Ä old electrical panel. Buyers will want it “up to code.” Get bids from multiple electricians to try and get a reduced repair quote, or offer that amount as a credit in lieu of repair at closing.
SAY YES TO CRS
big deal
can be a
IL
*
*
EFER R
LS!
ER OV
ÄRipped Ä window screens. Window screens will wear out over time, but tears should be taken seriously. Either replace them before listing or offer credit at closing.
ÄThe Ä bathtub or shower. Some people prefer showers, others want bathtubs, especially parents with small children. A bathtub with a showerhead above is the best option.
ÄThe Ä location of the laundry room. The laundry on the ‘wrong’ level can be a big negative, especially in a three-level house or townhouse. Offer to move the washer and dryer to a new location if possible.
ÄKitchen Ä walls. Many people prefer open kitchens. If you think your kitchen’s walls make it feel cramped and that’s stalling your sale, consider opening it up yourself.
� Small closets. There isn’t much you can do to ease these concerns, but try to make your closets look roomier by de-cluttering. Hiring a contractor to build or extend closets where needed—or pointing out to buyers that they can do this themselves—is another fix.
Buying or selling a home can seem like an overwhelming task. But the right REALTOR® can make the process easier—and more profitable. A Certified Residential Specialist (CRS), with years of experience and success, will help you make smart decisions in a fast-paced, complex and competitive marketplace. To earn the CRS Designation, REALTORS® must demonstrate outstanding professional achievements—including high-volume sales—and pursue advanced training in areas such as finance, marketing and technology. They must also maintain membership in the National Association of REALTORS® and abide by its Code of Ethics. Work with a REALTOR® who belongs in the top 3 percent in the nation. Contact a CRS today.
FEBRUARY 1-2, 2019 • CAESARS PALACE, LAS VEGAS
IRD EARLY BIAL SPEC
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EARLY BIRD PRICING FOR
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GO TO
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ask a
CRS advice from your peers
Q:
YO U R A N S W E R M U S T B E I N T H E F O R M O F A Q U E S T I O N
Do you have a great question you ask when listing a house or working with a buyer?
To a seller: What would you do if we sold your current home before we can find you your next home?
At a listing: What are the three most important things you want to know about selecting me as your agent?
To a buyer: Are you prepared for some out-of-pocket expenses upfront for home inspections and appraisal fees? —Teresa E Bishop, CRS, Benchmark Realty, LLC, Franklin, Tennessee I like to ask sellers what three things about their home made them want to purchase it. It gives me ideas on how to market the home.
When do you want to be in your new home? This allows the agent to determine how serious the seller or buyer is.
—Jane Hegwood Brown, CRS, The Realty Group, Douglasville, Georgia
—Craig Kaplan, CRS, Keller Williams Realty Landmark II, East Elmhurst, New York
What went well in your last real estate transaction and, more importantly, what went wrong? The goal is to open a dialogue about their past experience with REALTORS® and make sure I provide the best experience! —Michele Bailey, CRS, Homes on 30A, Santa Rosa Beach, Florida
—Mike Copenhaver, CRS, RE/MAX Metro, Houston, Texas Buyers find the right home by eliminating homes. Statistics show that they will eliminate 50 percent of the homes they like online just by driving by them. After they have cut the list in half and start touring homes, you need to ask them within minutes of being in each home if “it’s the one” or if they are feeling it. If the answer is no, get out and move on to the next home, and stop wasting time and energy on homes they will never buy! —Sean Moore, CRS, RE/MAX Boone Realty, Columbia, Missouri
What can I do to make this process easier for you? —John Vaillancourt, CRS, Keller Williams Realty, Westborough, Massachusetts
This is a new one: If you were to remain here and selling wasn’t an option, what would you repair, replace or update next? —Pat Gust Tasker, CRS, Shorewest REALTORS, Menomonee Falls, Wisconsin
Have a great story to share? Email social@crs.com or look for discussions happening online at our Facebook, Instagram, LinkedIn and Twitter pages.
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