"Handling the Referrals You Receive"
Realty Times (10/09/09) Zeller, Dirk

When real estate agents receive referrals, they should immediately thank the referral source orally and then follow-up with a written note of appreciation. Too often, practitioners assume that a "thank you" is necessary only when a referral turns into a closed deal. It also is recommended that they sit down with the referral source and ask a few questions about their relationship with the referral, the prospect's personality and interests, and to which organizations the prospect belongs. This information will help the agent to categorize the referral and improve the odds of turning the prospect into a client. C Level referrals are referrals for which the agent has only a name and a phone number, with no permission to use the referral source's name, while a B Level referral means the agent has contact information and permission to use the referral source's name to get a foot in the door. An A Level referral is one in which the referral source has given permission to use his or her name and answered some questions about the referral, and an AA Level referral gives the agent the benefit of having the referral source contact the prospect beforehand. Agents should not devote time and effort to leads that probably will not convert to a sale, even if the lead is a referral. Finally, they should keep the referral source updated on the prospect's status.
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"How Real Estate Agents Can Use Bonuses and Incentives to Get More Clients and Sell More Homes"
RISMedia (10/06/09) Minton, Rob

Rather than offer commission discounts or rebates to generate new business, real estate expert Rob Minton encourages agents to take a cue from infomercials and offer bonuses that do not eat into their profits. He has boosted response rates by offering vacation getaways from Travel America in his marketing campaigns, noting that a three-day Las Vegas vacation deal could cost less than $200, depending on the number of packages purchased. These bonuses then could be used to attract new clients, as well as garner attention from past clients and unconverted leads. However, Minton notes that it is important that agents create urgency by attaching a time limit to the bonus. He adds that any incentives should be disclosed as per state licensing laws, and clauses could be added to contracts indicating that the buyer or seller received a vacation package. Agents should contact their attorneys with any concerns prior to offering bonuses as part of their marketing campaigns.
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"Local REALTORS Turning to Online Sites for Networking Opportunities"
Annapolis Capital (MD) (10/13/09) Roth, Heather

Jon Coile, president and CEO of Champion Realty Inc., says the real estate industry has just begun learning how to leverage social networking sites. His company recently held a technology seminar to get older agents comfortable with using Facebook, LinkedIn and other such sites. Colie notes, "The problem is there are four generations in the market. So if you've got [baby] boomers trying to e-mail people and you've got [seniors] asking for old media advertising and you've got young people who don't even use e-mail . . . you've got a disconnect." Experts believe real estate professionals will get more of their business from social networking sites in the future.
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"Strategies: Can You Answer the Question, 'What Do You Do?'"
USA Today (10/09/09) Abrams, Rhonda

For salespeople, honing one's "elevator pitch" -- so named because it might be delivered to a prospective customer encountered during the short span of an elevator ride -- is a critical piece of marketing strategy. When asked about their livelihood, real estate agents and other sales associates must be able to offer a brief but clear summary of their job and company. Because the elevator pitch may last only 30 seconds or so, salespeople must spend the time and effort to determine what information can be left out of this networking conversion. Ideally, they should concentrate on the most important facts of their business and what separates them from the competition. It is not enough to simply state: "I sell real estate," for example, as this job description fails to distinguish the speaker from the thousands of other realtors in the business. A more appropriate response would be to indicate the geographic location and/or class of buyer that the agent specializes in. The elevator pitch can -- and will -- be used over and over again, as salespeople attend trade shows and networking meetings; incorporate it into their marketing materials and on their Web sites; and, finally, in any instance where they need to inform someone about what they do for a living.
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"The Confident Rookie Series: Admit You're New & What to Say When You Don't Know the Answer"
Realty Times (10/07/09) Allan, Jennifer

Rookie real estate practitioners preparing to negotiate their first deal often present themselves as more experienced for fear that the opposing agent will take advantage of them. However, seasoned professionals say new agents should be upfront about their inexperience -- in which case, the old hands might even be more willing to offer help. Even so, they should expect the opposing agent to seize on their inability to determine whether listings are overpriced or appeal a low appraisal because it is the duty of the opposing agent to act in the best interests of his or her client. This means new agents should ask an established agent in their office for assistance and have them review the steps they have taken so far or plan to take in the future. New agents also tend to panic if they do not know the answer to a client's question, but veterans say many questions are over the heads of experienced agents, as well. If they are not the listing agent, they probably will not know where property lines are or what pet restrictions are in place in a particular condo building, for instance, and they would be wise to tell the client that they do not know but will find out. If they are asked a question for which they should know the answer, experts say it is best for agents to admit that they should know the answer and vow to get the information.
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"Firms Get a Hand With Twitter, Facebook"
Wall Street Journal (10/01/09) P. B5; Needleman, Sarah E.

A number of small business owners, unable to keep up with all of the marketing opportunities available via social media, are outsourcing online functions to consultants. The costs of such support, however, can vary tremendously depending on the kind of work involved, and many start-up owners with small marketing budgets may need to weigh the pros and cons carefully before making a decision. One start up, 3 Green Angels, organizes Twitter parties or real-time online discussions based around relevant topics for $400, while Atlanta-based Everywhere LLC, charges clients as much as $20,000 to facilitate a trio of streaming video press conferences headed by popular bloggers. Jonathan Zadok, who co-owns Coffee Groundz LLC in Houston, says, "The idea with Twitter is that you get close to an immediate response. [With an inside employee handling it,] there's no middle man that has to go check with the company." He says all you really need is to spend 30 minutes daily with social media. Some firms are turning to consultants for training, while others are learning social media tools on their own.
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"4 Ways Real Estate Professionals Can Use Zillow.com"
RISMedia (10/05/09)

Real estate agents would be wise to take advantage of the vast reach of Zillow.com, given that the site draws over 8 million users per month. They can benefit by creating a free profile using the e-mail address attached to their listings, as the site matches listings to profiles. The profile should contain a photo, contact information, Web site links, specializations, the geographic areas covered by the practitioners and marketing text that uses keywords most likely to be input by consumers searching for an agent. Agents also should highlight their knowledge of the local real estate market by participating in the Zillow Advice interactive forum, where consumers ask real estate questions. Zillow provides monthly interactive Real Estate Market reports for more than 160 metro areas, and these reports -- plus the Accuracy Chart provided by Zillow to gauge the error rate in home price valuations -- should be used by agents when they communicate information to clients.
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"Home Buyers' Tax Credit Ends [Nov. 30], But Rushing Into a Purchase Could Be Risky"
Wisconsin State Journal (10/10/09) Rivedal, Karen

Qualified first-time home buyers have until the end of November to cash in on a federal tax credit worth up to $8,000 on home purchases made this year. Wisconsin Realtors Association Chairman John Flor remarks, "The time to act is now. We're seeing properties taking probably six weeks or so to close on average. There will probably be a lot of pressure on banks and lenders in those last few weeks to be able to get things done." However, Kate Nardi of the Dane County Housing Authority cautions that the tax credit should not push anyone into buying a house who is not ready for the responsibility. As homeownership coordinator, Nardi offers classes for potential first-time buyers aimed at helping them become "mortgage-ready" and more knowledgeable about such issues as budgeting, home inspections and working with REALTORS. She states, "It's not something you jump into just because this deadline is approaching. At the end of the day, nobody is there to make that mortgage payment but you, so just be cautious. Certainly [the tax credit] is an opportunity, but the timing isn't going to be right for everybody."
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"Lawmaker Proposes Mediation Before Foreclosure"
WBAY-TV (Green Bay, WI) (10/09/09) Kronenberg, Sara

A new bill proposed by Sen. Lena Taylor of Milwaukee would require mediation before a foreclosure process in the state of Wisconsin. Eric Peterson, Taylor's chief of staff, states, "We don't need to spend time clogging up the courts when all we need to do is get together and talk about solving the problem." The bill's primary goal is to keep people in their homes as long as possible and find a solution quickly.
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"Third-Quarter Housing Sales Show Mild Gain"
Appleton Post-Crescent (10/09/09) Burke, Michael

In Wisconsin, Racine County's home sales rose nearly 2.9 percent during the third quarter compared to the same three-month period a year earlier. Multiple Listing Service (MLS) data showed a 1.3 percent rise in July and a 15.7 percent gain the following month, but a 6.8 percent decline in September. In total, the 503 third-quarter residential sales represented a 2.86 percent increase from the third quarter of 2008. Racine Board of REALTORS President Linda Johnson expressed surprise at September's drop-off, but added, "It's [just] 12 units, 12 houses. But we're having that kind of year. It's been sporadic." Meanwhile, Kenosha County housing sales climbed nearly 3.1 percent in the third quarter.
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"Apartment Recycling Ordinance Isn't Enforced"
Journal Times (Wis.) (10/09/09) Brien, Stephanie

In Racine, Wis., a city ordinance requires apartment communities to provide recycling containers for their residents. To date, though, there has been little to no enforcement of the ordinance. When the city's Department of Public Works receives complaints from apartment residents wanting to recycle, staffers send a letter to the apartment owner and notify the Wisconsin Department of Natural Resources (DNR). The problem is the DNR does not have the authority to fine those owners who do not offer recycling. DNR spokesman Adam Collins remarks, "It's more of a city matter." If the city did make it a policy to enforce the ordinance, Chief Building Inspector Richard Heller said it would most likely fall on his department. Heller oversees the Unified Neighborhood Inspection Team (UNIT), which inspects neighborhoods to ensure compliance with city regulations. UNIT currently does not check apartment communities to ensure they offer recycling. Heller says his staff is stretched thin, having already inherited responsibilities from other departments. If UNIT is ultimately charged with checking apartment communities to see if they offer recycling, he warns, "it's going to take away from something else."
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"Three Wisconsin Students Start Real Estate Website"
WEAU-TV (Eau Claire, WI) (10/07/09)

A trio of Wisconsin college students recently launched www.homejotter.com, a Web site designed to help college students find off-campus housing. The site was started in Eau Claire and is now spreading nationwide, enabling realty firms to list the houses they have available for students. The creators, who meet with a local REALTOR often for advice on how to make the site beneficial, confirm that it is used all over Wisconsin and by more than 500 colleges across the country. Currently, homejotter.com is a free site for both students and property firms. Brett Stapper, one of the creators, comments, "The main purpose is to provide college students with a fast and easy approach to find an off-campus place to live." He further notes that the Web site currently averages 500 hits a day.
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"Democrats May Extend Tax Credit for Homes"
New York Times (10/08/09) P. A17; Calmes, Jackie

The Obama administration is working with Democratic leaders on Capitol Hill to possibly extend the $8,000 tax credit for first-time home buyers that expires at the end of next month. Aides confirm that an expansion of the tax break to make it available to current homeowners who purchase a new residence also is on the table. By the time it expires on Nov. 30, the incentive will have been responsible for approximately 400,000 new- and existing-home sales, according to some estimates.
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"REALTORS Are a Little Older, Making a Little Less"
Realty Times (10/13/09) Hunt, Bob

The National Association of REALTORS 2009 Membership Profile shows that the typical REALTOR is a white female aged 54 years old with a college education and 10 years of experience. The typical REALTORS also works approximately 40 hours per week. The survey shows a 14 percent decrease in the median income to $36,700 in 2008 from the prior year, while the median number of transactions slipped to seven from eight due to the housing downturn. Experience, referrals, education and specialized training had a big impact on income. The median income of REALTORS with 16 years or more experience was $53,900, versus $8,600 for those with only two years under their belts. Of those making over $150,000 per year in the real estate field, 54 percent had one or more professional designations and 63 percent had achieved at least a bachelor's degree. According to the survey, less than 50 percent of respondents said their earnings were the household's primary income.
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