Are you ready for a Miracle?

Are your systems and checklists and schedules READY for this?

Daily Real Estate News | June 8, 2011 | Housing Shortage Is Likely Coming, Report Says
Within the next decade, 16 million new housing units will be needed to meet population growth and shifting demands, according to Harvard University’s Joint Center for Housing Studies in its latest annual "State of the Nation's Housing" report.

That means household growth, which has dropped drastically in recent years, will need to greatly reverse its trend to meet the forecasted spike in demand. From 2007-2010, household growth averaged about 500,000 per year--less than half the 1.2 million annual pace averaged prior from 2000-2007.

To absorb the current rate of foreclosed and distressed homes plaguing most markets, a more normal rate of household formation is critical, according to the report. However, household growth partially has stalled as young adults have delayed home ownership and immigration has slowed.

As such, in recent years, builders have drastically cut production of new homes.

"With inventories of new homes at historic lows, a turnaround in demand could quickly result in tighter markets," the report notes. "Over the longer term, the number of younger households is set to rise sharply, supporting growth in the population that fuels growth in both new renters and first-time buyers. The path of the economy and evolution of the mortgage market will determine when and if this increased demand materializes."

The report predicts a need for greater housing units for several reasons. For example, the report projects demand for 1 million new homes a year is needed to meet population growth in the coming decade. The report also predicts a surge in smaller homes, estimating that 3.8 million baby boomers will be looking to downsize their homes within the next decade. Also in adding to the increase in housing units needed, Immigration growth, the need to replace existing homes, and demand for second homes will contribute to rising demand, the report notes. Therefore, researchers conclude at least 16 million new housing units will be needed over the next decade.

Source: “Harvard: Real Estate Recovery Hinges on Return of Demand,” Inman News (June 6, 2011)

How To Series #1 - How to Intelligently Change Companies

If you make a decision to change companies, many experts say either just “Don’t do it”, or warn that if you do, you can lose 6-12 weeks of business adjusting. That is just too long in most cases, to make the move practical financially, however, a change in companies doesn’t have to be impractical and costly.

Here are 12 steps to help you avoid losing more time than is necessary if you’ve made the decision to change… and a few tips to decide whether you should make a change at all.

1. Determine what you are hoping to accomplish with the move. Be specific. Beware of making a change due to an emotional conflict or a promise of leads from the new Company. In over 30 years of real estate, we’ve found the only way to generate business is through effective and constant Lead Generation and diligent Lead Follow-Up. Lead “promises” from a company rarely come through and if they do, there is often a 35-50% “referral fee” that makes accepting leads impractical. That being said, there ARE legitimate reasons to switch companies *. Answer this question: Exactly how will the move benefit you and more importantly, how will it benefit your clients?

2. Write out the benefits of your current company as if you were trying to recruit someone to the company. List all the pluses… and only then list the minuses.

3. Interview more than one other company and take a prepared list of questions based on your pluses and minuses of your current company, so you are comparing apples to apples. Ask all of the questions and write down the answers to compare later. Be sure you walk the office and observe the other Agents and Staff in the office. Make notes on that as well. DON’T make a decision on the spot. Ask for a written offer from each company listing all the items they are offering you.

4. Once you’ve compiled all the information, if it’s at ALL possible for you to remain happy where you are, go to your current Broker/Manager and explain your reasons for leaving. It’s possible they will match or beat the competition to keep you. Give them the chance if you think they can make it work with you.

5. Consider your current company policy with your listings and pending transactions. Calculate the hard cost of the move, and factor that in.

6. Speak with your Current Clients and make sure they understand why you are moving and exactly what their options are. Be sure the reason is to improve the experience you can provide to your Clients. Absolutely no complaining about the Company you’re with now. Focus on the benefits to the clients. Period.

7. Long before the move day compile a list of everything that needs to be done. Everything. It’s going to be pages and pages, so start it early and add to it as you think of things. It’s not just your business cards! See if your new company has a list prepared too and ask how much they are willing to help with it.

8. Before the move have a plan in place and be poised to change everything in just one-two days. Every sign, flyer, marketing materials, signature in your email, every voice mail message, stationary, cards, licensure... Yes, pages. If the change happens all at once, it’s easier to focus on generating more business immediately instead of handling “oops” emergencies as they come up over and over again. Engage help to get the list done. You can’t do it all yourself.

9. Hints for your move checklist: If you save passwords in one place, look at that list to see places you need to change you might have forgotten about. Look at your credit card statement to see what bills you pay that will need to be informed. Check your email folders for other items that need to go on the list. Check your schedule items the last year for more tips on what goes on the list. That list perfected before you move can save you thousands of dollars in less mistakes.

10. Immediately start a structured program of notifying your past clients and centers of influence. You must use “redundant, varied and repetitive” methods. That means to call them, email them, mail them, text them, blog about it, facebook-post it, Tweet it, Linked-In changed, Active Rain changed, etc. All of those are on your list in above.

11. Spend the first week doing not much more than making sure everyone knows about the move. Every vender, every cooperating Agent you’ve worked with. Every referring Agent you’ve worked with and of course, your Database... Six weeks later, do it again. And then again at 6 months and 12 months. By then, you should be able to go back to your normal contact routines and everyone knows where to find you. Be prepared to spend the $ necessary to finance this plan and schedule the time to complete it.

12. Do a "mindset" check before you make the final decision. Is this the best thing for my clients? Exactly how? Be ready to explain that in a 1 minute “elevator speech” as well as a 3-minute more detailed explanation. Don’t spend more than 3 minutes explaining to anyone. They don’t want or need to know more than that.

* if you’d like to discuss "legitimate reasons" for changing companies, email me confidentially at FreeCoachingHelp@yourcoachingmatters.com

Back to the Basics

The buzz phrase of today’s market is: Go back to basics. But, what are those basics and haven’t they evolved? We created a laundry list of today’s basic. These are things you should be doing in order to thrive in business today.

Mindset/Intangibles
1. Great Attitudes and sense of humor
2. Flexibility and ability to think outside the box
3. Impeccable language and communication skills
4. Good Customer Relations (messages you leave, how fast you return calls, staff training, etc)
5. Rest, exercise, healthy food
6. Courage/unafraid of failure
7. Focus and discipline
8. Personal Growth Strategies (books you read, CD’s you’re listening to, TED.com videos to watch a week, etc.)
9. Take ACTION: Implement something new every quarter/year/month
10. Be active in the community you want to work in
11. Join networking events or groups and have a desire to meet people
12. Boundaries. Learn to use the word “No.” Limiting “Pro-Bono” cases
13. Good listening skills

Equipment/Mechanics
1. Phone—A Smartphone is a necessity because it has so many uses: email, computer, lockbox opener, financial calculator, etc.
2. Email— answered daily or sooner
3. Computer, Printer, Scanner
4. Signs and Lockboxes
5. Lockbox Openers (Supra Key) in some markets
6. Car that can take people places and are clean and presentable.
7. Quality materials. Print originals verses photocopies. Make sure you have a picture that looks like you, clean, clear, organized, etc.
8. Business card? Do you need one anymore?
9. Contracts: whether on paper, computer, iPad, other electronic device.
10. Camera or consider hiring a photography service
11. Measurement-taking device
12. MLS membership + national, state and local Realtor Association dues
13. Website
14. Social Media with good Social Media etiquette
15. Proper attire, good hygiene

Business Systems/Practices
1. Budget and Basic start up cash. Savings plan for 1 yr; 5 yr, etc. Trustworthy accountant/financial planner.
2. Someone answering the phones. Is it voice mail? Could it be a live person? What would that take?
3. Written Scripts and Objection Handlers - practiced often

4. A supportive Office Manager or Broker.Do you need training/support? Do you like the office systems? Do they work well for your purposes? Is the office culture appropriate?
5. Real Estate License and Continuing Education Plan
6. Vendor List (include Lender, title, escrow, roofer/gutter, plumber, flooring, Heat/Air, Termite, handyman, surveyor, septic, electrician, PM, Cleaners, Stager, landscapers, Attorney and specialty Attorney (divorce or Bankruptcy), CPA/estate planner, home insurance provider, home warranty, structural/soil engineer, furniture rental, home inspectors, locksmith, exterminator, painter, moving company, radon, remodeling, snow removal, chimney sweep, basement waterproofer, carpenter, asbestos/mold abatement professionals, contractors, gift basket/closing gift folks, duct cleaning, carpet cleaners and Employment Agency.
7. Basic financing knowledge
8. Basic market knowledge (preview properties, doing CMA practice)
9. Database/CRM system. When a lead comes in what happens to it? Add everyone you know and meet that can do biz w/you or refer you biz.
10. Schedule/calendar
11. Minimum standards ( X # of Pro-bono per year -under a certain $$; minimum price; maximum area)
12. Lead Generation Systems (Database? FSBO’s Expireds? NOD’s? SOI? – and what do you do with them?)
13. Lead Follow-Up System
14. Checklists – Lead to Listing or Buyer Contract. Listing to Sale, Sale to closing
15. Price Reduction System
16. Post Closing Follow Up System
17. Open House system if you’re going to do that
18. Goals/Business Plan
19. Numbers Tracker System. Where are you getting the best return on your investment of time, money, effort, energy?
20. Hire a Coach!
21. Exit strategy. Do you have a great Database and Business Systems to SELL?
22. Mastermind Group/Accountability Group

My Coaching question for of you is twofold:

1. How would you grade yourself in each area ? How could you improve?

2. What would YOU add to this list that’s missing? What do YOU consider the “Basics” in your business?

Eliminating Guilt from your life

Had the opportunity this weekend to listen to a wonderful speaker talking about her book called Keeping our Promises. Author - Stephanie Seigh. Book - http://amzn.to/GuitFree

The book is technically about motherhood (it was a Mothers Day talk) however the 7 steps outlined work for any area we might be carrying guilt around. Including our business lives.

The first portion of the talk covered was WHY we feel guilty. In a nutshell:

"Guilt is felt when we do not do something we promised ourselves or others that we would do" Stephanie said. When we make a Promise, we automatically create TENSION. Think about it... That tension is not released until we fulfill the promise. Hence, mothers feeling guilty. Our "promise" is to raise great kids and they aren't "done" - ever. See the problem with hanging on to the tension?

Stephanie explains that when we get VERY clear about the Promises we make, we can alleviate that tension and guilt. Makes sense, right? I thought so!

Here is an overview of the 7 Promises this brilliant author says we CAN make... and keep. Notice how these apply in your business life as well as your personal life.

We CAN Promise to:

1. BE PRESENT - Be fully focused on what's in front of us... rather than planning what we will say next... or judging what others are saying or doing...or what we'll do AFTER this. Interrupting others is a way that is clearly saying "I'm not present".

2. LIGHTEN UP - Recognize that the world is bigger than "this". When we lose our sense of humor this is a clear indication we need to lighten up. How can you lighten up? One way is to say "YES" as often as you can and realize that we are NOT the center of the universe...

3. BE KIND - I love this one since my own mom's "rules" for life were "Be kind. Be safe. Be happy." Stephanie describes this Promise as being "friendly, gentle, humane, generous... with our time, talents and attention". She warns though that this is not being "nice". In fact, being kind has a lot to do with telling the truth. And sometimes that's not "nice". Interesting isn't it?

4. TELL THE TRUTH - Reflecting back on #3, this one too, may not be "nice". It's about making sure that the "truth" we tell is judged against what is our OPINION... The real TRUTH verses the truth of our opinions or perceptions. It's about what is REAL or really happening/happened. She gave a great example on this one... for years Steph wanted to write this book... but didn't. She SAID she didn't write the book because she was so "busy"... but the TRUTH - the reality - was it was because she wasn't typing. We don't "write the book" because we're not writing. THAT is the truth. We have to actually sit down and WRITE in order to write the book. Get it?

5. BE GRATEFUL - What can you find to be grateful for? I've heard it said that one cannot be angry and grateful at the same time. The "grateful" emotion is very very powerful. Writing down 10 things each day to be grateful for can change you life, quite literally. Try it for a month. One of Stephanie's greatest hero's is Pollyanna from the very old Disney Movie. I often call my husband "Pollyanna". Pollyanna found the Silver Lining in everything. Note that this blog's website is the http://realestatesilverlining.blogspot.com/ - enough said.

6. BE LOVING - I love this one because being loving is FIRST, taking care of you. As Steph put it... "Ancient Airline Wisdom: Put the oxygen mask on yourself first". I can't tell you how often I'm telling clients to TAKE A DAY OFF... or GO DO SOMETHING (ANYTHING) FOR YOURSELF. I find most of us give until we're sick... or maybe I just know a lot of people like this! Being loving IS about taking care of YOU... but it's also about allowing others to be different from us. Interesting take on loving. Stephanie said that "Loving is about being detached from the result while still being "caring". Great thought. Very wise.

7. BE FORGIVING - Again, our first thought on this Promise may be to others when Stephanie's intention was to be forgiving of YOURSELF. And being forgiving FOR yourself... She describes being forgiving as "letting go of need to carry pain... letting go of the need to be right... letting go of the past and more importantly what WE have made the past MEAN... and letting go of the negative feelings we tend to carry around with us.

In closing, I hope you'll get a copy of the book. It's much deeper than this post. Click the title of the post for a link to order it from Amazon.

And a quote from Pema Chodrun - Joy has to do with seeing how big, how completely unobstructed, and how precious things are.

Be joyous. And make promises you can keep.
Donna