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March 24 2016


How to Increase Your Credit Score to Qualify for Home Mortgage

Find Realtor in San Diego

Every time I talk with someone about my offer and career, it always happens that "they've thought about getting yourself into real estate" or have a friend who has. With so many people thinking of getting into real estate, and achieving into real estate - why aren't there more lucrative Realtors in the world? Well, there's only much business to go around, so there can only be so many Real Estate Agents in the world. I am, however, that the inherent nature from the business, and how different it can be from traditional careers, makes it difficult for the average person to successfully make the transition in to the Real Estate Business. As a Broker, I see many new agents make their way into my office - for an interview, and sometimes to start out their careers. New Real estate professionals bring a lot of great qualities for the table - a lot of energy and ambition - they also make a lot of common mistakes. Here are the 7 top mistakes rookie Realtors Make.

1) No company Plan or Business Strategy

Countless new agents place all their emphasis on which Property Brokerage they will join when their shiny new license will come in the mail. Why? Since most new Real Estate Agents haven't ever been in business for themselves - they've only worked as employees. They, mistakenly, feel that getting into the Real Estate clients are "getting a new job." What they are missing is that they're going to go into business for their own reasons. If you've ever opened the doors to the business, you know that one of several key ingredients can be your business plan. Your business plan helps you define where you're heading, how you're getting there, and just what it's going to take for you to make your real estate property business a success. Allow me to share the essentials of any good business strategy plan:

San Diego Homes for sale

A) Goals - Is there a problem? Make them clear, concise, measurable, and achievable.

B) Services You Provide - you dont want to be the "jack of all trades & master of none" - choose commercial or residential, buyers/sellers/renters, and what area(s) you would like to specialize in. New residential realtors tend to have the most success with buyers/renters then move on to listing homes after they've completed several transactions.

C) Market - who're you marketing yourself to?

D) Budget - consider yourself "new realtor, inc." and take note of EVERY expense that you have - gas, groceries, mobile phone, etc... Then write down the new expenses you adopt on - board dues, increased gas, increased cell usage, marketing (very important), etc...

E) Funding - how are things going to pay for your budget w/ no income for that first (at least) Two months? With the goals you've searching for yourself, when will you break even?

F) Marketing strategy - how are you going to get the word out about your services? The MOST effective way to advertise yourself is to your own sphere of influence (people you know). Make sure you do so effectively and systematically.

2) Not Using the Best Possible Closing Team

They say the greatest businesspeople surround themselves with individuals that are smarter than themselves. It will require a pretty big team to close a transaction - Buyer's Agent, Listing Agent, Lender, Insurance professional, Title Officer, Inspector, Appraiser, and quite often more! As a Agent, you are in the position to mention your client to whoever you ultimately choose, and you should make sure that anyone you refer in will be an asset to the transaction, not someone that will bring you more headache. And also the closing team you refer in, or "put your reputation to," are available to make you shine! Once they perform well, you get to participate of the credit as you referred them to the transaction.

The deadliest duo available is the New Real estate professional & New Mortgage Broker. They celebration and decide that, through their combined marketing efforts, they're able to take over the world! They're both focusing on the right part of their business - marketing - however are doing each other no favors by selecting to give each other business. Should you refer in a bad insurance professional, it might cause a minor hiccup inside the transaction - you make a simple phone call as well as a new agent can bind the house in less than an hour. However, given it typically takes at least fourteen days to close a loan, if you are using an inexperienced lender, the end result can be disastrous! Many times yourself in a position of "begging for a contract extension," or worse, being denied a contract extension.

A good closing team will typically learn more than their role inside the transaction. Due to this, you'll be able to turn to them with questions, and they will step in (quietly) whenever they see a potential mistake - because they want to help you, along with return receive more of your business. Using good, experienced players to your closing team will assist you to infinitely in doing business worthy of MORE business...and best of all, it's free!

3) Not Arming Themselves using the Necessary Tools

Starting out as a Real Estate Agent is pricey. In Texas, the license alone is an investment that will cost between $700 and $900 (not implementing into account the amount of time you'll invest.) However, you'll run into even more expenses when you attend arm yourself with the necessary tools of the trade. And don't fool yourself - they're necessary - when your competitors are definitely using every tool to help THEM.

A) MLS Access is probably the most expensive necessity you will run into. Joining your local (and state & national, automatically) Board of Realtors will allow you to pay for MLS access, along with Austin, Texas, will play $1000. However, don't skimp in this region. Getting MLS access is among the most important things you can do. It's what differentiates us from your average salesman - we do not sell homes, we present the homes that we have available. With MLS Access, you will possess 99% of the homes for sale in your area available to present to customers.

B) Mobile Phone w/ a Beefy Plan - Currently, everyone has a cell phone. And not everyone has a plan that will facilitate the level of use that Agents need. Plan on getting access to least 2000 minutes monthly. You want, and need, to be presented to your clients 24/7 - not just nights and weekends.

C) Computer (Preferably a Laptop) - There is no way around it, you need a computer & be savvy enough to utilize email. You would be wise to invest in some business safes, as well. If you'd like to save some money (and who wouldn't) then you can certainly get the client & email management software Thunderbird from http://www.mozilla.com and you'll get a free office suite from http://www.openoffice.org The sole downside to these programs is they do not sync along with your PDA or Smartphone. A Laptop are a wide plus because you are able to work from home or out and about. New Real Estate Agents are often surprised by just how much time they spend Outside the office, and a laptop makes it possible to stay on top of your projects while on the go.

D) Real Estate Friendly Car - You don't have to have a Lexus, but your Miata won't do the trick. Make certain you have a 4 door car or SUV that is comfortable and presentable. Maintain it clean, and for God's sake, don't smoke inside it! You're going to spend considerable time in your car, and hang a lot of miles onto it, so if it's fuel efficient, it's actually a BIG plus. In case you are driving a sporty convertible, or have your KILLER Jeep from college, you need to trade it in.

4) Deficiency of Proper Funding

If you've taken the time to produce your business plan, than when they are not have your budget, however can't stress enough the significance of having and following a budget. However, this alone doesn't address the key aspect of funding. 90% of most small businesses fail because of lack of funding. Typically, new agents may wish to have 3 months of reserves in savings before you take the leap into full time agency. However, money in the bank isn't the best way to answer the question of funding. Maybe your companion can support you for the certain period of time. You can maintain a part-time job that will not interfere with your business as being a Real Estate Agent. Many successful waiters make the transition to successful real estate agents with no money in the bank. When you start your new business, don't expect to earn any income for, at the very least, 60 days.

5) Refusing to shell out Money on Marketing

Most new Real Estate Agents don't realize that the hardest part of the business is choosing the business. Furthermore, they've just spent around $2000 for their license and board dues, and so the LAST thing they want to do would be to spend more money! Again, the challenge lies in the lack of understanding that you've just jumped in the Real Estate Business, you have not taken a new job. And any good businessperson will explain that how much business you receive is directly correlative to the amount you SPEND on marketing. If you choose the right brokerage, you'll get some good inbound leads. However, don't neglect a great, personal marketing campaign from the beginning to get your own name out since the Real Estate Agent to go to.

6) Not Focusing Their Marketing Efforts within the Most Effective Areas

One reason why many new Realtors who do begin purchasing personal marketing stop is they spend it in the wrong place. Easy and simple place, and where conventional Real estate property tells you to spend your dollars, is in conventional print marketing - the newspaper, real-estate magazines, etc... Here is the most visible location to see real estate advertising, it's where large offices spend a great part of their money, therefore many new agents mistakenly spend their cash here. This becomes very frustrating to new agents due to the low return. Large brokerages are able to spend their money here as they are filling two needs - they're marketing their particular properties for sale while creating new buyer traffic for their buyer's agents. New Agents should look to their own sphere of influence and referral marketing to see the most effective return on their investment. A realtor can spend as little as $100/month marketing to their family, friends, and colleagues and find out an incredible return. There are several great referral systems around that most focus on the same premise - that when you consistently market you to ultimately your sphere of influence since the Real Estate Agent to go to - you will get more business. The bottom line is to pick a system also to follow that system. You will note results.

7) Picking out the Wrong Brokerage for the Wrong Reasons

New Real estate professionals choose their new broker for numerous reasons - these people have a good reputation, they provide the most competitive split, any office is close to their home, etc... While these alone aren't bad benefits of using a broker, they aren't going to do a lot that will help you in your success. The #1 need to choose a broker, along with the question to ask is, "What would you offer your new agents." If the answer is, "The most competitive split in town" when they are not keep looking. Remember, 100% of $0 continues to be $0. If you're leaning on the largest broker in town, who has a great reputation, don't forget this: You're starting a BUSINESS not really a JOB. While it may be fantastic to brag on your friends about landing a job at a prestigious company, it's no accomplishment to hang your license for a passing fancy wall in the same office as other successful agents.

Your #1 concern when interviewing new Brokers is the thing that they offer you like a new agent. Have they got incoming leads? Exactly what does their training program consist of? What's their retention level? What's their average sales price? Will they encourage their agents to promote themselves? A Broker's purpose is always to help new agents start successful careers and to help established Agents progress their careers one stage further. As a new agent, concern yourself less with commission split or agency name plus much more with specific programs and agency standards.

A new path in Real Estate is very exciting. Starting a Property business provides the new Agent with opportunities for limitless potential and freedom. New Agents possess a notoriously high failure rate, however, so a whole new Real Estate career is yet another very scary prospect. However, should you avoid the 7 Top Mistakes Rookie Agents Make, then you'll be far in front of the competition!

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