CB Home Loans Mortgages Tamed Video

This is one of the best promotional videos for a mortgage company that I've ever seen...

blowing my own horn...

We had a great office meeting this morning with Clark Toole, our Chief Operating Officer. Here's Mr. Toole handing yours truly a productivity award:

What's in a code?

Have you ever seen those funny looking squiggly cubes that are popping up here and there?


Ever wonder what they are? Maybe they’re secret coded messages or an extraterrestrial alphabet. Actually the answer’s a bit more down to earth. It’s called a QR Code (quick response code). And it’s a very effective way to link two worlds that previously had little to do with each other; the print world and the online world. And if you start to look around, you’ll note that they’re creeping up all around us from billboards, to newspapers, and yes…even real estate.

It works by allowing you to snap a picture of it with any Smartphone, and then instantaneously taking you to a designated website. Whether it’s a just a fad or a marketing revolution is hard to say, but here’s my personal experience. After putting one of these on the back of my business card and direct mail pieces the traffic on my website increased by 25%! I’m SOLD, and I plan to further expand the use of the QR code by placing it on all printed materials from my letterhead, to flyers, yard signs, and even my car, (remember the 200,000 mile machine from a previous post!).

A Eureka moment in the marketing of real estate?…………..yours truly thinks so. 

market diagnosis and pain mitigation

‘It’s never been harder to buy or sell a property.” This is a sentiment that’s shared by many of my colleagues that have been in the real estate business for many years and through many market cycles. Fact is that they’re right. And historically speaking, here’s one reason why: From 1900 to 2000 home prices appreciated roughly 3-5% year over year. Yet from 2000 to 2006 the cumulative appreciation was 89%! We reached such ridiculous heights, that the fall had to be painful. And that pain continues to manifest itself in the way of foreclosures, bankruptcies, and the havoc that those wreak on everyday Americans. Make no mistake about it, we’re right in the thick of a social and financial reality check in our country; a painful one at that.
However, even pain can be mitigated. And in the case of real estate, that mitigation comes in the form of information. As a home seller, it’s not nearly enough to know what homes sold for last month, last week, or even yesterday. Where the market was this morning is of no consequence to you. Where it will be tomorrow and how you position yourself within the context of that future will ultimately determine your success or failure. And if a real estate professional cannot demonstrate that he or she has their finger on the pulse of that future, than I suggest that you find yourself another doctor.
“But what if I’m buying”, you may ask. Truth is that the methodology is not much different. Learning about recent sales is an indicator of past market activity, where the market was, and subsequently of limited value. Yet to determine whether a property is a good buy, or whether to buy at all, you need to know where the market will be in the foreseeable future. And once again, if your real estate professional lacks the resources to do that, then you certainly need a second opinion…or maybe a specialist! LOL!

marketing in proper perspective

The real estate brokerage business is perhaps one of the most competitive service industries out there. And in our eternal quest to gain market share we real estate agents continually play a game of marketing one upsmanship. We say things like,”hire me and I’ll market your property in this magazine, that newspaper, and these internet sites”. And then the next agent will say, “I’ll do that as well, and on top of that I’ll add x, y, and z too!” And the icing on the cake is that all of this “stuff” that we’re giving you will sell your property “quickly and at the highest price”
Here’s a reality check that’s likely to put me at odds with many of my colleagues: No marketing, at any time in the history of real estate, has ever sold a single piece of property. I’d love to take credit for this eureka statement, yet my humble respect for Mr. Jay Schweppe prevents me from doing so (more on him in a future post maybe). Even yours truly, with a degree in marketing, has seen the light.
Here’s the logic: Marketing can sell products. Marketing can sell services. Is your house a product or a service? Or perhaps it’s something else. Truth be told, real estate is a commodity, and no amount of marketing, no matter how good, can sell it. When was the last time you saw an ad in The Wall Street Journal reading “great deal on wheat futures”? Yet wheat futures sell every single trading day. There are always buyers, regardless of what the market conditions are. And what ultimately determines how much sells, is whether there’s a perception of value for the commodity on that day.
Real estate is no different. The buyer pool remains relatively constant, yet it’s the perception of value that changes. Is the perception of value for real estate in 2011 different than it was in 2005? Of course! So what’s a would-be home seller to do? Make no mistake about it; the only tool that a home seller has at their disposal to create a perception of value for their property is the asking price. “So why all the fancy schmancy marketing?” one may ask. That’s a good question.
One must be able to reach as much of the Buyer pool as humanly possible. So it stands to reason that the Seller who employs the most prolific, extensive, interactive, targeted, cutting-edge, and technologically driven marketing platform, will ultimately reach the entirety of the buyer pool. Couple this with a well-positioned property that creates the necessary perception of value, and the net result will be a sold property. Happy selling!!!

pricing for the internet age

A not so big secret within the real estate industry is that the single most important factor that determines whether a property that's on the market sells or not is the asking price. This is not to discount the dstinct advantages of having a pro active agent and a comprehensive marketing strategy. Yet an effective pricing strategy needs to go beyond just having an attractive asking price. It must take into consideration the evolution of consumer's shopping behavior; namely the shift from print media to online sources. As a matter of fact, almost 90% of home buyers begin their search on the Internet, yet certain home sellers are still pricing their homes as if they were running a discount store. What savvy educated consumer is going to be persuaded by the fact that your property's priced at $199,000 as opposed to $200,000?



The typical real estate search engine allows buyers to search for homes using specific price brackets; usually in $25,000 or $50,000 increments. Taking the $199,000 home for example: If a buyer is calling up properties in the 150k to 200k range, this home will be found; whoopee! Yet, it will be the highest priced home in the search results. Conversely, if this same home is priced at $200,000 it will be found by the same buyer pool in the above example, and it will also be found by prospects looking at homes in the 200K to 250K price range. And here's the booby prize: This home will now be the lowest priced one in the search results! How's that for bumping up the perception of value for your property up a notch? Considerably more people will find the home at $200,000 then at$199,000. More online hits will lead to more inquiries, which will lead to more showings, which will eventually lead to a SOLD property.

So remember, position your property like it's 2011........not 1911.

Real Estate's "lame duck" session

In politics, the period of time following a November election until the new Congress is in session in January is often referred to as a "lame duck" session. This is the case because generally speaking, very little legislatively actually gets done.

Real estate also has a "lame duck" session of sorts. It's that time period that seems to start at the beginning of December through early January. Historically speaking, the transactions that take place during this period tend to be few and far between. It's only natural, I suppose, as people's minds tend to be on family and the holidays. Yet within this reality lies opportunity for those Buyers and Sellers of real estate that are willing to take a chance.

Think about it: what better time to make a offer on that home you've been eyeing than when every other Buyer's mind is somewhere else? The competition from other Buyers will be virtually non-existent. And what about if you're thinking about selling? The conventional wisdom if that you never put your property on the market around the Holidays. Baa humbug! "I say." Why not buck the conventional wisdom and get your home to market while your competition is sitting around waiting until after the New Year. Once again, no new competition.

In short, you need not let the "lame duck" dampen your hopes of real estate success. When others are afraid of the water, I suggest that you jump in!