Real Estate Education Training:
Doing The Heavy Lifting
The current Real Estate market has created an imbalance in the "available" supply versus demand for housing. What should be a buyer's market due to years of record setting foreclosures appears to be a seller's market with multiple offers, overbids and an increased number of pocket listings. Pocket listings are those properties held out of the California Regional Multiple Listing Service (CRMLS) by the listing agents to increase the listing agents chance of receiving the listing and selling commissions. By the way, FHA and VA buyers need not apply. Overbids and Multiple Offers usually mean that the only offers being considered are those thousands of dollars above the expected appraisal. FHA and VA offers may also come with repairs due to deferred maintenance and other costs that Cash or Conventional buyers might avoid. Thus the only real players in this situation will likely be Cash and/or Conventional buyers. I am especially concerned as a Vietnam Veteran that my fellow Veterans are truly at the bottom of the housing "food chain". Veterans fought for the freedom to maintain a system that now excludes us from participation.
This condition is also ripe for other bad characters using the low inventory as an excuse to get between those Realtors that have worked for months with buyers and often making multiple offers for homes on the buyers behalf. Those agents that knowingly mislead the buyers into thinking that only offers written on their listings by them will lead to acceptance are using fear as a bargaining chip to seduce other Realtor's clients. The Realtor that has worked for many months with the buyer educating them on the home buying process, conducting multiple housing tours and making other immeasurable investments are basically "fattening frogs for snakes". The rogue agent often tells the buyers that there are multiple offers on the home and that the seller wants a strong buyer that has been pre approved by their lender. The hard work and time put into helping the buyers may be lost if the buyers think that only the agent with direct access to the seller can get their offer accepted. We have all dealt with similar scenarios where this very subtle arm twisting has been applied.
I receive several messages via LinkedIn, Facebook and other social media from Realtors discussing their concern about the lack of conscience on the part of other agents. One told of a friend of over 30 years buying a property that left them out of the transaction after months of showing homes and writing multiple offers on the friends behalf. One Realtor mentioned that a buyer just stopped returning calls.
There are many other dirty deeds in play that may cause us continued discomfort including the increase in Pocket Listings. The seller may not truly understand the impact when allowing their listing agent to keep the listing out of CRMLS. Some may think their home and valuables are more secure by keeping the visits to a minimum and only when buyers are accompanied by the listing agent.
Our industry survives when the CRMLS rules and Code of Ethics are respected. We all benefit when they are enforced. We need to note and report any misuse by our fellow members of CRMLS Rules or the Code of Ethics if we want to maintain our standards for today's and future housing markets.
Michael Teer, Broker
Certified Residential Specialist (CRS)
Teer One Properties, Inc.
(951) 313-5168
www.miketeer.com
ProbateSoCal@gmail.com
CalBRE#: 01523582/00843708
Thursday, April 18, 2013
Tuesday, April 2, 2013
"2 and 1 Really Worked"
Real Estate Education Training: (www.teer1broker.blogspot.com)
Two Listings and One Sale
I was very fortunate to have been a part of the training team at a former Real Estate office and to have taught a Real Estate Finance class at a local Community College. The training classes at each were helpful for pre and post licensing students. The classes taught to prospective licensees were designed to assist them in passing the California exam and the Community College class also offered Continued Education (CE) credit. This was back in the mid 1980's just a few years after receiving my Real Estate Agent License in 1983 and my Real Estate Brokers License in 1986. The timing was good in several ways because I still remembered many of the areas covered on both the Real Estate Agent and Broker exams. I made a special note of what I did to pass the California exam(s). I emphasized the importance of completing the test questions at the end of each chapter on a regular basis and not relaxing until AFTER taking the California exam. My message was to retake each chapter test over and over until the results were over 90% of all answers on each chapter test being correct.
The post exam training focused on Real Estate Practise techniques. The training was usually geared to the philosophy of the Real Estate Franchise, as well as, sharing a few of my own "field" experiences. New agents are very malleable and are like a sponge when absorbing information. I too wanted as much information as I could secure from "tried and true" practitioners after becoming a Realtor. Those Realtors with regular monthly listing and/or sales success were the ones that I wanted to observe. I especially remember one newly licensed Realtor asking me how I responded to prospects that asked about Real Estate sales experience and references. I told the class that I did remember the anxiety experienced when heading out to my first listing appointment. The sellers did in fact want to know what experience I had in Real Estate sales and marketing. They wanted to know if I had access to the Multiple Listing Service (MLS) and a host of other things. I worked in an office with approximately 60 Realtors at the time so my response was that I had a large national franchise office behind me as well as a lot of other members of the MLS that would share in the commission if they brought us a buyer, etc. My "Achilles Heel" was the experience and number of listings inquiry. I did not have one single listing and had never closed a sale. I looked successful with my nice suit, shined shoes and clean automobile in their driveway but I had not earned one dime in Real Estate. I admitted that I did not have a track record. I shared that I was a new and full time Realtor and would have my entire day to commit to marketing their listing. I would not be distracted by a large inventory of buyers or sellers. I made it clear that I needed to sell their home and that I would only get paid if I did so. I shared my interest in doing Open Houses and other marketing tasks ( flyers, brochures, mailings, etc.). They agreed to give me the listing.
I wanted to succeed in my new "independent contractor" enterprise and was ready to put in the hours to be productive. It paid off because my first full year as a Realtor was (1984) and I was "Top Salesman" for my office of approximately 60 Realtors. My highest listings count for a single month in that office was 11 and my highest closed sales count was 9. Every month was productive with multiple listings and sales. I also made what was then called the Top Ten in my local Association (approximately 900 Realtors) in 1986. I know that having a family to raise and care for was a great motivator. I also believe that one can accomplish most tasks once they made up their minds to do whatever it takes to get the job done. Real Estate is a small business venture and investment for those who choose this line of work. Many of us come from more structured work environments where a paycheck is received on a regular basis. Real Estate can be more like a "real job" if certain commitments are made. One of the recommendations that an early Real Estate trainer made within a few weeks of my receiving my license and joining a very respected, then and now, franchise was to work for "2 Listings and 1 Sale" every month. He mentioned that having listings is like having every licensed Realtor and MLS member working for you to help you earn your living in Real Estate. We smiled when he said that "you can be on the beach in Hawaii and have someone back home putting money in your account by selling one of your listings". He also made a point to say that if you had listings it would increase your chance of getting paid multiple times a week. You would also have a combination of inventory, open escrows and closed sales. Further noting, that good work habits would often lead to months where more than 2 listings and 1 sale would occur.
I bought the idea and set a goal to earn at least 2 listings and 1 sale every month. It was slow go at first even with hitting the 2 listings and 1 sale a month mark. Listings must be promoted, buyers need to be shown affordable properties, etc. After a few months the listings began to increase and I experienced my first closed transaction. Median homes prices were approximately $65,000 so my share of the commission was around $800. It was my personal "Powerball"! My first commission was earned from an all cash sale of another Realtors listing and it closed in a few weeks. I could finally go home with a smile and some money in hand. My taking other agents floor time, doing Open Houses on my listings, showing homes with very little gas and other sacrifices had finally paid off! The 2 listings and 1 sale began to increase to a large inventory and several well qualified buyers. If I had to advise a new Realtor on a success model today, I would suggest knowing and actively using social media, become a member of the National Association of Realtors (NAR) Certified Residential Specialist (CRS), get involved in your community and work to secure a minimum of 2 Listings and 1 Sale every month. It really works!
Michael Teer, Broker
Certified Residential Specialist (CRS)
Teer One Properties, Inc.
(951) 313-5168 Cell
www.miketeer.com
ProbateSoCal@gmail.com
Two Listings and One Sale
I was very fortunate to have been a part of the training team at a former Real Estate office and to have taught a Real Estate Finance class at a local Community College. The training classes at each were helpful for pre and post licensing students. The classes taught to prospective licensees were designed to assist them in passing the California exam and the Community College class also offered Continued Education (CE) credit. This was back in the mid 1980's just a few years after receiving my Real Estate Agent License in 1983 and my Real Estate Brokers License in 1986. The timing was good in several ways because I still remembered many of the areas covered on both the Real Estate Agent and Broker exams. I made a special note of what I did to pass the California exam(s). I emphasized the importance of completing the test questions at the end of each chapter on a regular basis and not relaxing until AFTER taking the California exam. My message was to retake each chapter test over and over until the results were over 90% of all answers on each chapter test being correct.
The post exam training focused on Real Estate Practise techniques. The training was usually geared to the philosophy of the Real Estate Franchise, as well as, sharing a few of my own "field" experiences. New agents are very malleable and are like a sponge when absorbing information. I too wanted as much information as I could secure from "tried and true" practitioners after becoming a Realtor. Those Realtors with regular monthly listing and/or sales success were the ones that I wanted to observe. I especially remember one newly licensed Realtor asking me how I responded to prospects that asked about Real Estate sales experience and references. I told the class that I did remember the anxiety experienced when heading out to my first listing appointment. The sellers did in fact want to know what experience I had in Real Estate sales and marketing. They wanted to know if I had access to the Multiple Listing Service (MLS) and a host of other things. I worked in an office with approximately 60 Realtors at the time so my response was that I had a large national franchise office behind me as well as a lot of other members of the MLS that would share in the commission if they brought us a buyer, etc. My "Achilles Heel" was the experience and number of listings inquiry. I did not have one single listing and had never closed a sale. I looked successful with my nice suit, shined shoes and clean automobile in their driveway but I had not earned one dime in Real Estate. I admitted that I did not have a track record. I shared that I was a new and full time Realtor and would have my entire day to commit to marketing their listing. I would not be distracted by a large inventory of buyers or sellers. I made it clear that I needed to sell their home and that I would only get paid if I did so. I shared my interest in doing Open Houses and other marketing tasks ( flyers, brochures, mailings, etc.). They agreed to give me the listing.
I wanted to succeed in my new "independent contractor" enterprise and was ready to put in the hours to be productive. It paid off because my first full year as a Realtor was (1984) and I was "Top Salesman" for my office of approximately 60 Realtors. My highest listings count for a single month in that office was 11 and my highest closed sales count was 9. Every month was productive with multiple listings and sales. I also made what was then called the Top Ten in my local Association (approximately 900 Realtors) in 1986. I know that having a family to raise and care for was a great motivator. I also believe that one can accomplish most tasks once they made up their minds to do whatever it takes to get the job done. Real Estate is a small business venture and investment for those who choose this line of work. Many of us come from more structured work environments where a paycheck is received on a regular basis. Real Estate can be more like a "real job" if certain commitments are made. One of the recommendations that an early Real Estate trainer made within a few weeks of my receiving my license and joining a very respected, then and now, franchise was to work for "2 Listings and 1 Sale" every month. He mentioned that having listings is like having every licensed Realtor and MLS member working for you to help you earn your living in Real Estate. We smiled when he said that "you can be on the beach in Hawaii and have someone back home putting money in your account by selling one of your listings". He also made a point to say that if you had listings it would increase your chance of getting paid multiple times a week. You would also have a combination of inventory, open escrows and closed sales. Further noting, that good work habits would often lead to months where more than 2 listings and 1 sale would occur.
I bought the idea and set a goal to earn at least 2 listings and 1 sale every month. It was slow go at first even with hitting the 2 listings and 1 sale a month mark. Listings must be promoted, buyers need to be shown affordable properties, etc. After a few months the listings began to increase and I experienced my first closed transaction. Median homes prices were approximately $65,000 so my share of the commission was around $800. It was my personal "Powerball"! My first commission was earned from an all cash sale of another Realtors listing and it closed in a few weeks. I could finally go home with a smile and some money in hand. My taking other agents floor time, doing Open Houses on my listings, showing homes with very little gas and other sacrifices had finally paid off! The 2 listings and 1 sale began to increase to a large inventory and several well qualified buyers. If I had to advise a new Realtor on a success model today, I would suggest knowing and actively using social media, become a member of the National Association of Realtors (NAR) Certified Residential Specialist (CRS), get involved in your community and work to secure a minimum of 2 Listings and 1 Sale every month. It really works!
Michael Teer, Broker
Certified Residential Specialist (CRS)
Teer One Properties, Inc.
(951) 313-5168 Cell
www.miketeer.com
ProbateSoCal@gmail.com
Monday, April 1, 2013
"Influencers" Can Help You!
Real Estate Education Training:
Get Influencers on Board!
I started my Real Estate career in 1983 after working several equally enjoyable "real jobs" for many years. Those pre Real Estate positions were usually well defined and there were specific tasks that needed to be completed to get off probation, secure health care and other benefits that came with permanent full time employment status. I also went to work at a certain time and left at an established time. Not a lot of guess work and the chain of command in the work place was known from day one. You reported to this person or that person and they did your evaluations, recommendations for promotions and etc. Pretty simple and often easy to navigate once you got the hang of it. You did the job and received a pay check.
As stated above, I entered the world of Real Estate with tried and true ideas on how to be successful from past work experiences. The rules for success in Real Estate sales were in some ways similar but in other ways quite different. I placed my license with a very respectable national organization that offered great Real Estate training. I learned that if you followed proven techniques you would have a good chance at success. I remember one of the managers saying "dress for success". I came to the office in my suits from my management career and felt that I was hitting the mark in that arena. I also attended the office meetings to observe the rest of the sales team. I wanted to identify the top sales person(s) and learn by observation their work habits, tools and other techniques for success. I noticed that they all had a home office for the "top secret" work. This usually included direct marketing materials and contact calls that required a level of privacy. I also noted that they did not sit around the office drinking coffee and making a lot of small talk. Their time was disciplined to keep their production strong. They also received a lot of praise from management. During weekly office meetings these "top producers" received top sales, top listing, and top closed sales transaction awards. I noticed that the same small group seemed to earn compliments in one or more categories in every meeting.
You learned very quickly that this group did not do a lot of socializing around the office after meetings. They seemed very friendly when they needed someone to do their "floor time". Floor time, opportunity time or other names given to shifts (2 to 4 hours) answering the phone, taking messages and greeting walk in client prospects was not as highly valued by top producers. One top producer equated floor time to being a "glorified message taker". Newer agents often welcomed the floor time as a way to get business. I was anxious to secure floor time during my first year in Real Estate as well. I secured several clients via "up calls" or "walk ins". These clients were not attached to an agent in the office and sometimes were anxious to get assistance with their housing needs right away.
Another benefit of attending the "mandatory" office meetings was the opportunity to hear the pep talks, industry related success presentations from management and a few top producing agents wanting to bask in the sunshine. My grand father often said "that it is a poor dog that won't wag his own tail"!
There were always productive agents that enjoyed telling of a big deal or tough transaction that their skills allowed them to close. One agent mentioned that he always liked to involve the parents, siblings or other "influencers" early in the deal. He mentioned that during the initial interview he would try to identify anyone whose approval the client might seek. He mentioned that he was especially keen on getting that individual on board as soon as possible. He said that he would ask if the client "wanted to invite anyone else to see the property BEFORE writing an offer". His belief was that first time buyers were more apt to desire a second opinion from a parent or other influencer. He also referenced a transaction early in his career where the influencer attended the "final walk through inspection" prior to the client signing loan documents and closing the transaction that went sideways when a parent expressed dissatisfaction. He found himself back to square one! Several weeks of getting all the paper work and other tasks completed went right out the window. He said that he believes that all the other tasks are still important but failing to involve the influencer early in the transaction can be just as much a deal killer as a home inspection that identifies a number of expensive repairs due to deferred maintenance.
A home is often touted as one of the most expensive investments that a family will make. Taking an extra tour of the property with the clients and their influencer(s) is one of the least expensive investments that we can make.
Michael Teer, Broker
Certified Residential Specialist (CRS)
Teer One Properties, Inc.
(951) 313-5168 Cell
www.miketeer.com
ProbateSoCal@gmail.com
Get Influencers on Board!
I started my Real Estate career in 1983 after working several equally enjoyable "real jobs" for many years. Those pre Real Estate positions were usually well defined and there were specific tasks that needed to be completed to get off probation, secure health care and other benefits that came with permanent full time employment status. I also went to work at a certain time and left at an established time. Not a lot of guess work and the chain of command in the work place was known from day one. You reported to this person or that person and they did your evaluations, recommendations for promotions and etc. Pretty simple and often easy to navigate once you got the hang of it. You did the job and received a pay check.
As stated above, I entered the world of Real Estate with tried and true ideas on how to be successful from past work experiences. The rules for success in Real Estate sales were in some ways similar but in other ways quite different. I placed my license with a very respectable national organization that offered great Real Estate training. I learned that if you followed proven techniques you would have a good chance at success. I remember one of the managers saying "dress for success". I came to the office in my suits from my management career and felt that I was hitting the mark in that arena. I also attended the office meetings to observe the rest of the sales team. I wanted to identify the top sales person(s) and learn by observation their work habits, tools and other techniques for success. I noticed that they all had a home office for the "top secret" work. This usually included direct marketing materials and contact calls that required a level of privacy. I also noted that they did not sit around the office drinking coffee and making a lot of small talk. Their time was disciplined to keep their production strong. They also received a lot of praise from management. During weekly office meetings these "top producers" received top sales, top listing, and top closed sales transaction awards. I noticed that the same small group seemed to earn compliments in one or more categories in every meeting.
You learned very quickly that this group did not do a lot of socializing around the office after meetings. They seemed very friendly when they needed someone to do their "floor time". Floor time, opportunity time or other names given to shifts (2 to 4 hours) answering the phone, taking messages and greeting walk in client prospects was not as highly valued by top producers. One top producer equated floor time to being a "glorified message taker". Newer agents often welcomed the floor time as a way to get business. I was anxious to secure floor time during my first year in Real Estate as well. I secured several clients via "up calls" or "walk ins". These clients were not attached to an agent in the office and sometimes were anxious to get assistance with their housing needs right away.
Another benefit of attending the "mandatory" office meetings was the opportunity to hear the pep talks, industry related success presentations from management and a few top producing agents wanting to bask in the sunshine. My grand father often said "that it is a poor dog that won't wag his own tail"!
There were always productive agents that enjoyed telling of a big deal or tough transaction that their skills allowed them to close. One agent mentioned that he always liked to involve the parents, siblings or other "influencers" early in the deal. He mentioned that during the initial interview he would try to identify anyone whose approval the client might seek. He mentioned that he was especially keen on getting that individual on board as soon as possible. He said that he would ask if the client "wanted to invite anyone else to see the property BEFORE writing an offer". His belief was that first time buyers were more apt to desire a second opinion from a parent or other influencer. He also referenced a transaction early in his career where the influencer attended the "final walk through inspection" prior to the client signing loan documents and closing the transaction that went sideways when a parent expressed dissatisfaction. He found himself back to square one! Several weeks of getting all the paper work and other tasks completed went right out the window. He said that he believes that all the other tasks are still important but failing to involve the influencer early in the transaction can be just as much a deal killer as a home inspection that identifies a number of expensive repairs due to deferred maintenance.
A home is often touted as one of the most expensive investments that a family will make. Taking an extra tour of the property with the clients and their influencer(s) is one of the least expensive investments that we can make.
Michael Teer, Broker
Certified Residential Specialist (CRS)
Teer One Properties, Inc.
(951) 313-5168 Cell
www.miketeer.com
ProbateSoCal@gmail.com
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