El Paso Real Estate

A mortgage lender or broker can work with you to determine the best financing program for you. For our purposes, I'm defining a lender as someone who actually has the money and would service the loan, and a broker is a resource who works with a number of lenders and can determine the best lender and loan program for you. The lender/broker will determine what a lender would be willing to loan you, but then you need to decide if you want to "max yourself out". Just because you can afford $2500/month doesn't necessarily mean you want to spend $2500/month. Only you can decide the amount that is right for you. But at least the lender/broker will tell you the maximum, so that we'll know what price range to look in. And don't forget-.Get Pre-Approved!

I can recommend lenders/mortgage brokers with whom I have worked in the past. Just ask.

Traditionally, real estate agents represent sellers. But now consumers have a choice: Buyer's Agents who represent buyers. That's a big difference!

A Buyer's Agent is bound by law and ethics to work solely on behalf of the buyer and provides levels of support and service not given by traditional agents. It is a relationship based on legal protection of the buyer, not the seller. And best of all, it costs the buyer nothing extra.

Consider this: If you call the agent of a particular property, you're calling the person hired by the seller to get the highest price for his property. The seller's agent has a vested interest in selling that property, and no allegiance to you.

A Buyer's Agent, with sole allegiance to you, has access to all properties on the market within the state(s) where she is licensed to show and sell. You have a professional advocate and representative helping you every step of the way throughout the entire buying process . . . working only for you!

Your Buyer's Agent is paid a percentage of the purchase price by the seller, so it cost you nothing extra. This percentage would go entirely to the seller's agent if you were not represented, and your sales price would not be reduced.

Very few people are aware of Buyer's Agency, but now that you know . . .Doesn't it make sense to have your own Buyer's Agent?

Here's a partial list of the services a Buyer's Agent can offer you:

� In-depth consultation on the real estate market, for primary residence or investment

� Comprehensive and confidential analysis of your goals and budget

� A study of comparable sales to help you determine the right price and terms to offer

� Automatic Email Notification of new listings that meet your criteria

� Scheduled showings at your convenience

� Assertive negotiation of all monies and terms, representing solely your best interest

� Contract preparation & prompt submission

� Pre-inspection by a licensed general contractor

� Coordination of all inspections, title and financing documents

� Help with details of relocation, making your transition a smooth and joyful process

� Referral to excellent real estate professionals in any market worldwide to help you sell your current property

� Continued assistance after closing

When you hire an agent to represent you, make sure he or she committed to that. If you have any questions about this, in any market, feel free to contact me, jeseg@remax.net.  Through my networks of independent brokers and our worldwide associations, I can also refer you to excellent agents anywhere in the world.

The trend in online users over the past 5 years has demonstrated an amazing demand for online networks that are focused on sharing thoughts and ideas, forming relationships and meeting like-minded individuals as evidenced by the enormous popularity of sites like YouTube, Flickr and MySpace.

According to a recent iProspect study "Though sites such as YouTube and MySpace were designed to appeal to a high percentage of the online user population, many social search engines have been built to serve, and attract, a community that is defined by their affinity to a vertical industry, a business model, or an interactive activity type."

With all the attention these social sites have received, it seems logical to suggest that creating your own affinity-based social network might be an online marketing solution worth employing.

Some of the key benefits:

• Uniquely effective way to supercharge marketing
• Capitalize on online communication
• Highly efficient means of networking and collaborating with those on the web.
• Search engine optimization
• Reach new audiences
• Build a loyal web following
• Extend online presence
• Increase traffic

These days, adding a social network into the marketing mix doesn't seem all that far-fetched but I wouldn't sit on it for too long. After all, it seems like only yesterday that blog was the new "it" word right? It was this "new" highly-effective technology that could boost your presence on the web from marketing and competitive differentiation to networking and improving search engine rankings. Well, that may still be the case but just like any new, first-class restaurant, the blogosphere is getting very crowded, very quickly. Seems to me that it might make more sense to go with a less contested strategy. After all, unless you've already established yourself, using the same methods as everyone else gives you absolutely no visibility in a swarming marketplace.

Social networks are very popular, highly effective communication tools and as compared to other online marketing efforts, relatively unchartered water. It's a fresh, innovative concept and something the corporate world should heavily consider.

Today, after leaving the office I asked myself, "What have I done to grow my business today?" This started me thinking....

How can I determine if what I did today actually pushed me forward to my goal and was worth repeating? I know that a lot of the time people have a hard time not just doing what they should do to grow their business, but was it effective? Of course you can measure a degree of success by increased sales figures, but sometimes a relationship or contact developed may not mean immediate business that you can measure monetarily. So how do you measure that type of success?

I never end my business day without asking myself that simple growth question, and if the answer is nothing, then I make a phone call or contact someone on my List of 10. Now my list of 10 is actually much longer than 10 now but I have never removed anyone from the list since I started it, and I was just considering trimming down the list as a time management exercise since it takes many weeks to cycle through my list at 5 contacts per day.

I was glad to learn that they were talking about me with their friends. I have a client that I haven't received business from in a long while even though I always ask for referrals. So when I received a call one day asking for a prequalification, I asked how they heard about me and was shocked to hear that he was referred by someone I had spoken with just that week from my list. When we talked, my previous client never mentioned they had a referral and when I called to thank him, I asked him why he didn't tell me about his friend then. His response was quite simple, I've done loans for friends of his before. He even named a few clients that I had closed loans for recently but had never mentioned his name. While I may have wished he had called me to give me the contact information, it was still a nice way to determine that my actions were worthwhile. And since I had just been thinking about trimming down the list to only people who send me regular business, well...lesson learned.

I may not always get business from these people each time I speak with them, and that's ok! As long as they aren't giving the business to someone else.

How can we sell upside down homes and have buyers and sellers happy? The market has so many homes that were bought at 100% financing and now the payments and taxes are sky rocketing. They turn to us to sell their home so they can hopefully not foreclose.

I find that sellers want us to lower our commission and cut costs but still sell the home. If by chance you find a buyer, the sale is very fragile until the day of closing. The mortgage brokers will give a denial of a loan without a real denial if the customer wants out. I find this disturbing. The Buyers even want it all, they want the seller to pay closing costs and put 500.00 down. Well no more for me. I thought because it was being bought through a community program I was safe, but no it fell a day before closing. I had a commitment and a HUD and the buyer still got a denial.

Advertising is a problem when you are not getting high commissions. Thank goodness for blogs and the internet or I would be sunk. It still cost money and time. And that is another thing the buyers and sellers have to realize our time is worth something, we trained and pay dues for the business, they should realize we need to make a living. Maybe if I blog enough, the buyers and sellers will see we are worth the money and not go to discount brokers that will end up costing them just as much. The upfront money then the signage and advertising costs the buyers money. The do it your self sell seems to be just a mortgage company with CSR's to cold call for the company. Most of the time there is not even a real estate agent involved. If there is the buyer and seller they both will paying more than if they went with a legitimate agent from a reputable company.Lets cross our fingers that the business survives this technical age of do it yourselfers.

From what I've learned about "systems" if you push the system to get what you want, the system pushes back, until you find the right leverage to get results. In this case, if an agent pushes his lead management system to get immediate results, the system pushes back.

Leads are set up to receive information and then, in their own time, act on that information and hopefully use your services.

The real estate agent might be looking at it as a business generating tool. The consumer, however, hasn't committed to anything-they are requesting information.
If an agent misunderstands the system and pushes it for immediate results, the system the leads work within and understand differently might push back.

It seems to me an agent has to develop an understanding of the lead's system, keeping in mind that no relationship has been built and no agreements made-the agent has to find leverage.

With my leads, I understand they have read my offer to give them information. They say, "Fine, give it to me."

That doesn't create an obligation on their part to do anything further. I then have to search for leverage, which is my added value in the process.

...Ok, I've sent you listings, now do you want to know what those listings mean in the context of the area? I can add value through interpretation. I have local knowledge and I can transfer that knowledge to you to help you make a fully informed decision...

...Dear Lead, Do you want to know the truth? I can add value by giving you facts, by making the process transparent. I can also narrow the search down to just those properties that suit your needs and I can email you new listings that come on the market so that you see them before even many of the agents in town see them. This will put you at an advantage to recognize good deals in real time...

Slowly, a relationship is built, yet it's built on real stuff like good relationships should be built on-honesty, willingness to help, non-pushiness (I made up that word), understanding, sensitivity and response to needs, and so forth.

...Now that I know you have kids let me give you school information and take that into account when sending you personalized listings. By the way, how's it going? Are the listings helpful? I just heard of a listing coming up that you'll find interesting-I'll get the information and send it to you this afternoon-it won't come on the market for a couple of weeks, but I talked with the agent and...

...Dear Lead, So you'll be coming into town next week. If you will, send me the listings you like the most and I'll be glad to make showing appointments. Do you need recommendations of a place to stay? A new hotel just opened near the area you are interested in and...

By now, I've told them about the services I provide and I've shown them. Now we are both in the same system with the same understanding and I can ask to be the representing agent and make a formal or informal agreement.

To me, it's all about timing and understanding the different points of the relationship, never assuming too much or demanding too much.

The time line would be shorter most likely working with someone who wants to list a home, but the principles of service and preparation and understanding the system are the same.

And each relationship is unique, which is the hard part.

There is no perfect formula to be applied across the board-the process will be a little different with each lead/prospect/client relationship developed.

That's why pushing doesn't work-it's blind, it has no idea how it will be received and what the reaction will be. Openness, understanding, listening, getting a good feel for the unique situation with each lead, to me, are vital to establishing a good working relationship.

It's not easy, but it's very rewarding, in more ways than one-not only do you build a good reputation, but you feel good about what you do-this has been my experience.

A job well done-it's a great feeling.

I had a great call with a Realtor the other day about maximizing her leads.

She really wasn't sure what I was talking about and it made me realize how much I've enjoyed helping out so many of you with your Internet programs.

After talking with this woman, along with many of the others I have talked too, I decided I should touch on maximizing your leads.

We use our leads for four purposes:

1. Real Estate Leads - Buyers who are looking to buy a home within the next year or so.

2. Real Estate Leads - Sellers who are looking to sell their home prior to buying their new home. You should have a question on your search page that asks: "Do you have a home to sell?" This will allow you to capture a substantial amount of sellers in this market needing to sell their homes. In this market about 50% of our leads have a home to see first.

3. Referrals - We have had tons of leads come in that have decided to purchase in areas we do not service. We do our best to refer them to agents in the area they are looking. Also, many of our buyers are coming from outside our area that has homes to sell. We always ask if they would like us to help them find a Realtor in their area to help. This is a great source of very easy income!

4. Mortgage Leads - Remember to ask, "Do you need information on financing?" Approximately 17% of our leads are also looking to financing. With this said, you should form a referall system with a Loan Officer.

This is how you can maximize a lead:

1. The customer needs to sell their home from out of state. You find them a Realtor and receive a 25% referral fee when their home sells.

2. Once their home sells they need to buy a new home. They will buy their home through you. Another 3% of the home sales price or more.

3. They also need financing so you let them know you can take care of that for them too. Another 1-2% of the home sales price.

Any way you look at this; you are getting the most of that lead as possible. So not only is it important to be able to capture leads and turn those leads into home buyers, it's important to look at the other avenues of revenue available to you with that lead.

As always, the more organized your system, the better you will be able to accomplish this goal.

Working with buyers is difficult. It's no wonder most real estate agents would rather list homes and avoid spending a lot of time dealing with buyers. Home buyers are demanding, fickle, sometimes emotional, sometimes unrealistic, but always there waiting for an agent to help them.

Even though many home buyers think they want to do it alone, I've found most eventually ask a Realtor for help. They may not want a contractual relationship with a buyer agent, but they want assistance.

Many have gone from listing agent to listing agent and they are tired of looking for homes that way, so the buyer is in between, they don't want to sign a buyer agent agreement but they want guidance.

If you decide to work with home buyers you will have to capture them soon and you will have to impress them with service. Most buyers don't know what they can get from a real estate agent until they get it-then they like it.

Buyers now are going online and making a request to an agent throuigh their website. They want listings or information about a listing or area-they are sticking their toes in the water, to see what the response will be.

If the response is immediate and it offers help, then the buyer will likely go further.

Upon the first significant contact is the time to impress the buyer with service.

• Offer gobs of homes to consider.
• Offer an automatic notifier of all new listings.
• Give them links to informational sites.
• Offer them information on the homes they like and offer to make showing appointments.
• Offer everything you have of value without being pushy, demanding or overwhelming.

Then follow up-nothing impresses a buyer more than following up.

Working with buyers can be rewarding if you get into the mindset of a buyer agent-and it is a different mindset than a listing agent. There will be times when you have many buyers and they are all asking for something, and perhaps none of them are making a decision-this is a crossroad, because the temptation is to call it all a waste and go back to strictly listing, marketing and waiting on a response.

However, if you stick with it and fill your pipeline, you will begin seeing results year round-those home buyers you've been sending information to for 4 months will finally come in to town and buy, then the pipe starts flowing.

But it takes awhile to get results and this is where agents have a problem because it's not producing immediate income like a listing might in a normal market.
Be sure you want to work with home buyers because it's a big commitment and the payoff is not immediate-and it's a lot of hard work.

Doing both is what many agents do-there aren't very many exclusive buyer agents anymore, but you will probably find yourself leaning one way more than the other, this is why to be effective you have to commit to working with buyers.

If you're doing it half-heartedly because you have a few listings to depend on, then the results will likely be poor.

Many mortgage brokers are self-employed, and work out of their homes. As refinancings and sales slow down, many mortgage brokers that you know may be looking for more work. They rely on Realtors to bring them business, just as you rely on referrals. The right mortgage brokers - ones that you trust will stick to a bargain - can be useful in helping you do a better job in marketing your listings and getting them closed.

Make a pact

Tell the mortgage broker that you are going to recommend him or her on all leads that you get from your listing, but you want the same courtesy in return. If your listing is instrumental in getting the mortgage broker leads, you want those leads turned back over to you to help them either buy your listing or another home.

Let the broker know that you expect a good working relationship. Hold out the carrot that you would like the relationship to continue on other listings. He/she will get your meaning loud and clear that trust is of paramount importance to you.

Help with fliers

It's surprising how poorly done most real estate fliers are. Some agents view them as a necessary evil in promoting the home, and many agents don't do fliers at all. But for smart sellers, a key decision point might be to hire the agent with the most creative and aggressive flier.

As a smart Realtor, you can use your fliers to your advantage in your listing presentations to show how much more you put into a flier than your colleagues and competitors. Emphasize to the seller how you work with a mortgage broker to help get buyers qualified quickly so you have a greater pool that are ready to buy the seller's home.

Fliers are important. They provide a wealth of information for buyers. Information makes buyers stick around. If they can't get it, they'll go somewhere else. It's as simple as that.

Put yourself in the buyers' shoes: If you got two fliers from two comparable homes in the same neighborhood, which would you spend more time reviewing - the one with the front-door picture on the front, some showing remarks (usually identical to what's in the MLS and on the Internet) and the Realtor's contact information? Or the flier with that same information, plus multiple photos, an Internet address with a virtual tour of the inside of the home, a few comparables, and mortgage information from 30-year fixed rates to 5-year ARMS on the back? The mortgage broker or you can also tease the buyer - 'Not sure if this home can be yours? Call me to get prequalified.'

It's easy to get all this information onto a flier, because every flier has two sides. Yes, your printing costs will be higher, but the information to the buyer is more valuable. The more interested the buyer is in the flier, the more interested they are likely to be in the home.

Help with open houses

Not only can mortgage broker partners help you qualify buyers so you have more business, they can also help you sit open houses. Open houses can either be lonely and boring, or more people come than you can safely monitor. It's a service issue and a safety issue, too. There's simply more security in numbers.

Having a mortgage broker present for your open house makes it more of an event. They can prequalify buyers on the spot, or at least get the process started, and they can answer questions to help keep prospects interested.

Help with marketing costs

A mortgage officer can also help cut your ad costs. Ask the officer to go in with you on your open house classified ad. It will make your ad more interesting to give some information about the house and then to announce that a mortgage broker will be on hand to answer questions and prequalify borrowers. The broker can also pay part of the cost of your fliers. After all, they are marketing their services, too. For that matter, you can even sell the broker advertising space on your Website or newsletter.

It's been a fun couple of years watching the real estate world trying to catch on to the realities of the "New" Real Estate and the importance of the Internet.

How many of you have Real Estate Websites? Go ahead, raise your hands! Ok, now how many of you actually get business from your Websites? I don't see many hands out there. So let's take a few minutes and look at why that is so.

Lead Capture

I am on the Web probably too much these days to see what the competition is doing. The Internet, in my mind, is the best way to capture home buyers. Remember, sales is a numbers game and Real Estate is no different. If you want to work, then the Internet is the place to be.

Of course if you are just doing this part time or do not have a great work ethic, Internet leads are not for you. So let's look at your website.

When someone comes to your site via the Internet, are they going to your home page? If so, that is your first mistake. The link from the Internet to your site needs to be directed at wherever you want the customer to end up.

For instance, if you want them to come to your site to do searches for property, then you need the link to go to the search page. However, if you do not have a mechanism to capture leads on your search page, you are making your second mistake. Most agents and brokers give away their IDX info on their site and don't ask for a name, email address or phone number from the consumer. Why would you do that? If they are going to do a search on your site, you need to be able to capture this info...what's the sense of having a site that is just informational with no capture?

Of course you can always just have them click on the "Contact Us" link on your site. You may get .00001% of the consumers to click.

With all that said, be sure to have your link on the Internet pointed to the portion of your site that is going to capture their data. Since 95% of the time they are just looking to do a search, it makes sense to have your search page as the landing page.

If you are going to do that, be sure to have them register before they can search your site. The ones that don't register were never going to contact you in the first place.

Lead Conversion

I was talking to a company in the Midwest the other day. To my surprise they were taking all the leads that didn't have phone numbers and throwing them away. In my experience about 50% of the Internet leads that come in do not have good phone numbers.

Again, this is a numbers game. I can tell you that we get sales every month from our customers that did not give us their phone numbers.

As long as the email is good, it's a good lead.

The key of course is to put your leads into a follow up system. There are many drip campaign systems out there to buy. The average Internet lead takes approximately 4-6 months to convert.

You all have an automatic update system in that comes with your MLS. Every lead you get, with or without phone numbers, should be put into this system. This way, without you doing anything, your leads will be receiving updated listings on a regular basis. The consumer believes you are doing a lot of work. The longer they receive listings, the more work it appears you are doing...without doing anything.

Once your leads with phone numbers are in your follow up system, it's important that you communicate with them by phone. Many people I talk to that are working Internet leads are not calling them. They simply put them in the MLS update system and then forget about it.

I can tell you from lots of trial and error, the agent that contacts the buyer and continues to follow up will be the winner. We have many customers let us know the reason they used our company was because we kept in touch with them. Many times they tell us we were the only company that actually contacted them.

For leads that you do not have a phone number, its important that the follow up emails you send request a phone number or invite the lead to call you.

Just these couple of little changes will certainly make a major difference in your capture and conversion of leads.