Click on the link below and read the article that was just published in Realtor Magazine (Realtor.org) about short sales called "Short Sales: The New Wild West". This is what realtors are reading and it's important you stay up-to-date on what information is out there.......Note: As you'll read, the information sheds a negative, scary, one-sided, law-suit ridden light on what we do as investors.
http://www.realtor.org/rmosales_and_marketing/articles/2009/0903_shortsales_wildwest
Thursday, February 26, 2009
Tuesday, February 24, 2009
Calling Countrywide's Bluff
Countrywide seems to take twice as long as any other lender I've dealt with. I'm sure they have no intention of causing buyers to walk, homeowners to damage their credit further, or houses to foreclosure as a result of their delays, but that is the way their current process works. But don't think you can't take back control of the process despite the slow, non-sensical policies and many times unhelpful, hands-tied customer service reps.
I currently have a file that was referred to me late in the game - in fact, I'm just handling the loss mitigation part of the deal as a favor for a realtor and to get future business. About a month ago, I was able to get another appraisal ordered. Unfortunately, the appraiser never called to get into the property. When I called the loss mitigator about this problem, they informed me that they give the appraiser 10 days to make an appointment. Of course, this never happened. I then tried for 2 solid weeks to get in touch with the loss mitigator to no avail. And neither the customer service reps nor short sale dept. would do anything on the account until 12 more days had passed "without notes on the account".
After 12 days had passed, I called to find out that the file was closed and they were proceeding with the Trustee's Sale scheduled to occur in a week. What the f&%k, right? I immediately asked to talk to a supervisor and was informed that 2 appraisals were recorded to have happened on the property within the last 2 weeks that were MUCH higher than the offer submitted so the offer was declined without a counter. I replied, "Really? That's interesting because I'm the only one with the keys to the property and I was never called by an appraiser." The supervisor said that they have two appraisals in the computer occurring on such and such dates. I said, "Great, then why don't you send them to me. I'd like to see the interior pictures."
Anyway, I was able to convince the supervisor that any appraisals done on the property were bogus and must be discounted. I was also able to get a new loss mitigator assigned and a real appraisal ordered to take place next week. Net-net......If I wouldn't have put my foot down and known exactly how to handle the situation, the property would have been foreclosed upon and a homeowner's life changed for the next 5-7 years.
Situations like these just reconfirm in my mind what a valuable service we are providing to homeowners and how we're part of the solution when so many others on the sidelines are part of the problem.
I currently have a file that was referred to me late in the game - in fact, I'm just handling the loss mitigation part of the deal as a favor for a realtor and to get future business. About a month ago, I was able to get another appraisal ordered. Unfortunately, the appraiser never called to get into the property. When I called the loss mitigator about this problem, they informed me that they give the appraiser 10 days to make an appointment. Of course, this never happened. I then tried for 2 solid weeks to get in touch with the loss mitigator to no avail. And neither the customer service reps nor short sale dept. would do anything on the account until 12 more days had passed "without notes on the account".
After 12 days had passed, I called to find out that the file was closed and they were proceeding with the Trustee's Sale scheduled to occur in a week. What the f&%k, right? I immediately asked to talk to a supervisor and was informed that 2 appraisals were recorded to have happened on the property within the last 2 weeks that were MUCH higher than the offer submitted so the offer was declined without a counter. I replied, "Really? That's interesting because I'm the only one with the keys to the property and I was never called by an appraiser." The supervisor said that they have two appraisals in the computer occurring on such and such dates. I said, "Great, then why don't you send them to me. I'd like to see the interior pictures."
Anyway, I was able to convince the supervisor that any appraisals done on the property were bogus and must be discounted. I was also able to get a new loss mitigator assigned and a real appraisal ordered to take place next week. Net-net......If I wouldn't have put my foot down and known exactly how to handle the situation, the property would have been foreclosed upon and a homeowner's life changed for the next 5-7 years.
Situations like these just reconfirm in my mind what a valuable service we are providing to homeowners and how we're part of the solution when so many others on the sidelines are part of the problem.
Sunday, February 22, 2009
New Weekly Meeting Time - Need Your Input!
Hello Everyone,
Ever since the holidays, our turn-out for the weekly conference calls has been dwindling. At the same time, I think I speak for everyone when I say that our calls have never been more packed with great, insightful info and many of us are starting to close deals.
The truth is that our business is getting more fun every day and I don't want you to miss out. Not only because of the great conversations and knowledge base that we're building on the calls and with our blog, but because for every person who joins the calls our conversations are EXPONENTIALLY that much better. New investors, seasoned investors or just curious listeners. From a simple question to an experience someone had dealing with a lender, the lifeblood of our calls is based on you and your experiences.
I know that the regular time of our meetings (Wed. 6:30PM PST) has still been a challenge for some to attend, particularly with the late breaking SREC meetings that keep popping up (I think they're jealous). So, I'd like to suggest some interesting alternatives and I want your feedback:
---Mondays or Wednesdays at 10AM PST (yes, a morning meeting on the West Coast and a lunch meeting on the East Coast). If making our meeting during normal business hours will get people to attend, then let's do it.
---Mondays or Tuesdays at 5PM PST (early for those on the West Coast, but very doable for those everywhere else)
---Mondays or Wednesdays at 6:30PM PST (same time as present)
PLEASE LET ME KNOW WHICH DAY/TIME YOU PREFER ASAP. THIS WEEK'S MEETING WILL BE ON WEDNESDAY, BUT WE'LL ADJUST BASED ON THE GROUP'S FEEDBACK FOR THE FOLLOWING WEEK. AND PLEASE, EVEN IF THE NEW MEETING TIME DOES NOT TURN OUT TO BE YOUR FIRST PREFERENCE, I ENCOURAGE YOU ALL TO ATTEND. THIS IS SOMETHING TRULY SPECIAL THAT IS MAKING ALL OF US WHO ATTEND SMARTER, RICHER INVESTORS AND INDIVIDUALS.
To Everyone's Success,
Jordan
Ever since the holidays, our turn-out for the weekly conference calls has been dwindling. At the same time, I think I speak for everyone when I say that our calls have never been more packed with great, insightful info and many of us are starting to close deals.
The truth is that our business is getting more fun every day and I don't want you to miss out. Not only because of the great conversations and knowledge base that we're building on the calls and with our blog, but because for every person who joins the calls our conversations are EXPONENTIALLY that much better. New investors, seasoned investors or just curious listeners. From a simple question to an experience someone had dealing with a lender, the lifeblood of our calls is based on you and your experiences.
I know that the regular time of our meetings (Wed. 6:30PM PST) has still been a challenge for some to attend, particularly with the late breaking SREC meetings that keep popping up (I think they're jealous). So, I'd like to suggest some interesting alternatives and I want your feedback:
---Mondays or Wednesdays at 10AM PST (yes, a morning meeting on the West Coast and a lunch meeting on the East Coast). If making our meeting during normal business hours will get people to attend, then let's do it.
---Mondays or Tuesdays at 5PM PST (early for those on the West Coast, but very doable for those everywhere else)
---Mondays or Wednesdays at 6:30PM PST (same time as present)
PLEASE LET ME KNOW WHICH DAY/TIME YOU PREFER ASAP. THIS WEEK'S MEETING WILL BE ON WEDNESDAY, BUT WE'LL ADJUST BASED ON THE GROUP'S FEEDBACK FOR THE FOLLOWING WEEK. AND PLEASE, EVEN IF THE NEW MEETING TIME DOES NOT TURN OUT TO BE YOUR FIRST PREFERENCE, I ENCOURAGE YOU ALL TO ATTEND. THIS IS SOMETHING TRULY SPECIAL THAT IS MAKING ALL OF US WHO ATTEND SMARTER, RICHER INVESTORS AND INDIVIDUALS.
To Everyone's Success,
Jordan
Thursday, February 19, 2009
Loan Mods and Short Sales Don't Mix With Lenders
Ever call the lender and wonder why the file has still not been assigned to the short sale department? Ever wonder why a lender will order a second BPO or appraisal (even if one had been done last week) when you finally get a loss mitigator assigned? I've run into this problem a few times and have finally found a major (not only) cause of this situation.
First off, lenders will not let a homeowner pursue both a loan modification and a short sale simultaneously. They'd rather eat up 60 days of a homeowner's NOD time, ruin their credit and cause further mental anguish by pursuing a loan mod only to deny it. Thus leaving the homeowner with little time before the Trustee's Sale to pursue a short sale.
Anyway, many homeowners first pursue a loan modication in an effort to keep their home and then realize that a short sale is their only remaining option. Lenders open up a loan mod file and then will often NOT close that file unless directly ordered to by the short sale department or/and the homeowner. You will drive yourself crazy when you call in to talk to the short sale department and the customer-service rep says it shows the file is still in loan modification when you've been trying for weeks to get a loss mitigator assigned. MAKE SURE the lender closes out the loan mod file.
By the way, lenders will sometimes order a BPO based on a loan modification request. This BPO often does not count when the file is handed over to the short sale dept. and, hence, another BPO is ordered. Two different departments that don't talk and start from scratch when they get a file.
First off, lenders will not let a homeowner pursue both a loan modification and a short sale simultaneously. They'd rather eat up 60 days of a homeowner's NOD time, ruin their credit and cause further mental anguish by pursuing a loan mod only to deny it. Thus leaving the homeowner with little time before the Trustee's Sale to pursue a short sale.
Anyway, many homeowners first pursue a loan modication in an effort to keep their home and then realize that a short sale is their only remaining option. Lenders open up a loan mod file and then will often NOT close that file unless directly ordered to by the short sale department or/and the homeowner. You will drive yourself crazy when you call in to talk to the short sale department and the customer-service rep says it shows the file is still in loan modification when you've been trying for weeks to get a loss mitigator assigned. MAKE SURE the lender closes out the loan mod file.
By the way, lenders will sometimes order a BPO based on a loan modification request. This BPO often does not count when the file is handed over to the short sale dept. and, hence, another BPO is ordered. Two different departments that don't talk and start from scratch when they get a file.
Countrywide Minimum as 2nd Lender
I have a deal right now with Countrywide as the second lender. The balance is $250K+ and I submitted a HUD giving them $1000. Take that you slow behemoth! Anyway, I then spent weeks on the phone talking with their short sale department in an effort to find out why a loss mitigator had not been assigned. Finally, some light from a rare, very helpful woman.
Apparently, Countrywide's minimum requirement as a second lien holder is $3000. Any offers that come in under $3K get pushed under the rug and no loss mitigator will be assigned. I was told to resubmit the HUD with $3K to Countrywide and not only would a loss mitigator be assigned, but that I would likely get an approval on $3k or $5K. Interesting. So I did. And within a few days, a loss mitigator was assigned and I'm now awaiting their acceptance/counter.
Apparently, Countrywide's minimum requirement as a second lien holder is $3000. Any offers that come in under $3K get pushed under the rug and no loss mitigator will be assigned. I was told to resubmit the HUD with $3K to Countrywide and not only would a loss mitigator be assigned, but that I would likely get an approval on $3k or $5K. Interesting. So I did. And within a few days, a loss mitigator was assigned and I'm now awaiting their acceptance/counter.
Things You Should Know Dealing with WAMU
WAMU just recently established new guidelines in terms of what items and how much their willing to pay for different items on the HUD. I just found this out a few days ago during my negotiations with WAMU on a property.
Most importantly, WAMU has taken the stance that they will not pay ANY of the closing costs if an investor is purchasing the property. How do they know it's an investor? Because an LLC or Corp. is making the purchase. This could easily cost you another $5K or more in the deal based on your purchase price (it cost me about $6K). Sounds kind of ridiculous doesn't it? So what if an investor purchases the property - what if the investor is unwilling to pay all the closing costs? Is WAMU really going to let the property foreclose? Personally, I didn't push it as there was plenty of room in the deal and I just wanted to get it closed.
WAMU also won't pay any seller concessions if it's an investor puchase. This can mean $erious dollars. They have taken the stance that investors aren't living there and must buy the property as-is. Of course, you can simply adjust your purchase price to take into consideration any concessions you planned on asking for. But remember, your offer still needs to fall within the lender's delegated authority percentage. Could you scream, waive your arms and put up a stink about this? You could, but again, it's a numbers game. If you reverse-engineer your deal to meet their required delegated authority percentage, these things don't come into play.
Other WAMU quirks:
- No loss mitigation fees of any kind
- If two agents on the deal, then 5%
- If one agent on the deal, then 3% up to $300k purchase price; only 2.5% if over $300k
- Will pay second lender up to $5K without a problem. I even had the second lender down to $3K but the payoff extension is running out. I was told that if it runs out before escrow closes to just tell the second lender they'll get $5k to close the deal.
Overall, my first deal with WAMU has been better than most lenders. They moved quickly in ordering the BPO (10 days), assigned a loss mitigator two weeks after that, and then countered my offer a few days later.
Most importantly, WAMU has taken the stance that they will not pay ANY of the closing costs if an investor is purchasing the property. How do they know it's an investor? Because an LLC or Corp. is making the purchase. This could easily cost you another $5K or more in the deal based on your purchase price (it cost me about $6K). Sounds kind of ridiculous doesn't it? So what if an investor purchases the property - what if the investor is unwilling to pay all the closing costs? Is WAMU really going to let the property foreclose? Personally, I didn't push it as there was plenty of room in the deal and I just wanted to get it closed.
WAMU also won't pay any seller concessions if it's an investor puchase. This can mean $erious dollars. They have taken the stance that investors aren't living there and must buy the property as-is. Of course, you can simply adjust your purchase price to take into consideration any concessions you planned on asking for. But remember, your offer still needs to fall within the lender's delegated authority percentage. Could you scream, waive your arms and put up a stink about this? You could, but again, it's a numbers game. If you reverse-engineer your deal to meet their required delegated authority percentage, these things don't come into play.
Other WAMU quirks:
- No loss mitigation fees of any kind
- If two agents on the deal, then 5%
- If one agent on the deal, then 3% up to $300k purchase price; only 2.5% if over $300k
- Will pay second lender up to $5K without a problem. I even had the second lender down to $3K but the payoff extension is running out. I was told that if it runs out before escrow closes to just tell the second lender they'll get $5k to close the deal.
Overall, my first deal with WAMU has been better than most lenders. They moved quickly in ordering the BPO (10 days), assigned a loss mitigator two weeks after that, and then countered my offer a few days later.
Conference Call Recap 2/18/09
Thanks to those who attended last night's conference call. We didn't have as many members as usual, but the information and discussion is always....priceless. Here are some of the key learnings:
Dwindling Loss Mitigation Fees
An increasing number of lenders seem to be discounting or eliminating loss mitigation fees from the HUD. They insist that loss mitigation is really the responsibility of the real estate agents and that loss mitigation companies need to hit up agents for part of their commission if they want to get paid. So what to do?
Several options were discussed including the following:
1) Most lenders will allow some type of seller concessions. Since you are the buyer and any money you make on the HUD goes to the same place (your pocket), why not increase your seller concessions on the HUD to make up for loss mitigation fees lost. You can also tell the loss mitigator that the seller has agreed to pay you out of the seller concessions so to go ahead and approve or add money in that area of the HUD.
2) You can put loss mitigation fees on the buyer's side of the HUD so the lender is not paying for them. This increases your purchase price which increase your gross offer. You can then simply reverse-engineer your gross offer price to meet the lender's delegated authority percentage based on who actually owns the loan (Freddie, Fannie, FHA, VA, Conventional).
3) You can add a loss mitigation fee disclosure letter to your short sale package that basically justifies your value in the transaction and establishes the fees you expect to be paid. This is particularly powerful because it lets you keep your loss mitigation company on the deal (and get paid when it closes) even if you don't purchase the property.
4) Most lenders will pay 5% real estate commissions if there are two agents involved in the transaction. If you are the investor, you can use this to your advantage in negotiating the loss mitigation fee. For example, if you have agreed to split the real estate commissions with the listing agent, you could agree with the lender to reduce the total agents' commissions to 4% and allocate the other 1% to loss mitigation fees. Now instead of getting 2.5% commissions (half of 5%) and no loss mitigation fees, you actually capture 2% commissions + 1% loss mitigation fees = 3% total fees. Because you are doing all the negotiations, it's only fair that you capture something for loss mitigation.
2nd Mortgage Lenders Going After Deficiency Judgments
How do you deal with (or try to prevent) second lenders who are adamant about pursuing deficiency judgments from the homeowner? Some second mortgage lenders don't just want the $3000 you've offered as a payoff, but also want a note signed by the homeowner for the outstanding balance - usually paid over 5 years at zero or little interest. While there is no property attached to this note and the likelihood of getting paid is very small, some lenders are stubborn or just want it for their books. Is this a veiled threat on their behalf or will they really go all the way to foreclosure if they don't get the note?
The truth is that some homeowners don't mind signing the note given that they have no funds or intention of paying the lender anything. But smarter homeowners don't want any other possible credit damage or just want the home completely behind them. One strategy discussed on the call was to tell the second lender that the homeowner was in the process of declaring BK and that any note would be wiped away. Another method was positioning yourself as the lender's ally in getting more money from the first lender. This would involve going back to the first lender to get an approval for $5000 (for example) paid to the second lender at closing. Now you have a bargaining chip with the second lender to say that you were able to get $5k for them if they agree to let the deficiency go.
Shielding Your Different Companies from Lenders
As a short sale investor, you quickly realize the benefits of having different companies that you own all working on the same deal. Different companies = additional revenue streams that the lender will pay you on the HUD. However, it gets a bit tricky when the investor's name is signed on all the docs (buyer, brokerage, loss mitigation, private lending). Just for reference, there is only place on the Option Contract and one place on the NOD Purchase Agreement where the buyer's name must be written underneath the signature line - but that one place is enough to trip you up.
For example, if the lender discovers that the loss mitigator he/she is talking to on the phone is also the buyer, they certainly won't pay any loss mitigation fees and may even close the file because they think it's a conflict of interest (just ask Karl). If the buyer and the buyer's agent/brokerage are the same person, they won't pay any of the buyer's brokerage commissions. And they certainly won't pay any loss mitigation fees if they discover that the realtor and the loss mitigator are the same person. So how do you shield this information from lenders?
One way is to create your buying company with both you and your wife as principals. One of you signs as the buyer and the other is the loss mitigator. Although you have the same last names, this usually won't trip you up because your relationship with the loss mitigator is typically on a first name basis. You can also simply hire someone to do the loss mitigation for you. To solve the buyer/agent same person dilemma, remember that brokerages are paid commissions - not realtors. You therefore do not have to indicate who the buyer's agent is, only the brokerage representing the buyer.
Much more, but that's all I could keep track of. I encourage more of you to join our calls - we all benefit greatly with each person that joins.
Dwindling Loss Mitigation Fees
An increasing number of lenders seem to be discounting or eliminating loss mitigation fees from the HUD. They insist that loss mitigation is really the responsibility of the real estate agents and that loss mitigation companies need to hit up agents for part of their commission if they want to get paid. So what to do?
Several options were discussed including the following:
1) Most lenders will allow some type of seller concessions. Since you are the buyer and any money you make on the HUD goes to the same place (your pocket), why not increase your seller concessions on the HUD to make up for loss mitigation fees lost. You can also tell the loss mitigator that the seller has agreed to pay you out of the seller concessions so to go ahead and approve or add money in that area of the HUD.
2) You can put loss mitigation fees on the buyer's side of the HUD so the lender is not paying for them. This increases your purchase price which increase your gross offer. You can then simply reverse-engineer your gross offer price to meet the lender's delegated authority percentage based on who actually owns the loan (Freddie, Fannie, FHA, VA, Conventional).
3) You can add a loss mitigation fee disclosure letter to your short sale package that basically justifies your value in the transaction and establishes the fees you expect to be paid. This is particularly powerful because it lets you keep your loss mitigation company on the deal (and get paid when it closes) even if you don't purchase the property.
4) Most lenders will pay 5% real estate commissions if there are two agents involved in the transaction. If you are the investor, you can use this to your advantage in negotiating the loss mitigation fee. For example, if you have agreed to split the real estate commissions with the listing agent, you could agree with the lender to reduce the total agents' commissions to 4% and allocate the other 1% to loss mitigation fees. Now instead of getting 2.5% commissions (half of 5%) and no loss mitigation fees, you actually capture 2% commissions + 1% loss mitigation fees = 3% total fees. Because you are doing all the negotiations, it's only fair that you capture something for loss mitigation.
2nd Mortgage Lenders Going After Deficiency Judgments
How do you deal with (or try to prevent) second lenders who are adamant about pursuing deficiency judgments from the homeowner? Some second mortgage lenders don't just want the $3000 you've offered as a payoff, but also want a note signed by the homeowner for the outstanding balance - usually paid over 5 years at zero or little interest. While there is no property attached to this note and the likelihood of getting paid is very small, some lenders are stubborn or just want it for their books. Is this a veiled threat on their behalf or will they really go all the way to foreclosure if they don't get the note?
The truth is that some homeowners don't mind signing the note given that they have no funds or intention of paying the lender anything. But smarter homeowners don't want any other possible credit damage or just want the home completely behind them. One strategy discussed on the call was to tell the second lender that the homeowner was in the process of declaring BK and that any note would be wiped away. Another method was positioning yourself as the lender's ally in getting more money from the first lender. This would involve going back to the first lender to get an approval for $5000 (for example) paid to the second lender at closing. Now you have a bargaining chip with the second lender to say that you were able to get $5k for them if they agree to let the deficiency go.
Shielding Your Different Companies from Lenders
As a short sale investor, you quickly realize the benefits of having different companies that you own all working on the same deal. Different companies = additional revenue streams that the lender will pay you on the HUD. However, it gets a bit tricky when the investor's name is signed on all the docs (buyer, brokerage, loss mitigation, private lending). Just for reference, there is only place on the Option Contract and one place on the NOD Purchase Agreement where the buyer's name must be written underneath the signature line - but that one place is enough to trip you up.
For example, if the lender discovers that the loss mitigator he/she is talking to on the phone is also the buyer, they certainly won't pay any loss mitigation fees and may even close the file because they think it's a conflict of interest (just ask Karl). If the buyer and the buyer's agent/brokerage are the same person, they won't pay any of the buyer's brokerage commissions. And they certainly won't pay any loss mitigation fees if they discover that the realtor and the loss mitigator are the same person. So how do you shield this information from lenders?
One way is to create your buying company with both you and your wife as principals. One of you signs as the buyer and the other is the loss mitigator. Although you have the same last names, this usually won't trip you up because your relationship with the loss mitigator is typically on a first name basis. You can also simply hire someone to do the loss mitigation for you. To solve the buyer/agent same person dilemma, remember that brokerages are paid commissions - not realtors. You therefore do not have to indicate who the buyer's agent is, only the brokerage representing the buyer.
Much more, but that's all I could keep track of. I encourage more of you to join our calls - we all benefit greatly with each person that joins.
Tuesday, February 17, 2009
Conference Call Recap 2/12/09
We talked about SO MANY things on the call that it was impossible to keep up.....but also impossible not to be engaged. So many great learnings and ideas about how to make our businesses more efficient and profitable.
Anyway, here's some info recalled by Jeff:
Connecting with the BPO Agent
When BPO/App calls - make sure to write down the phone number where they called from, then skip trace the phone number on google while you're speaking with the BPO/App to build rapport. Example: Ring Ring Ring PH# on caller ID: (213) 253-1120....
Take that ph# and throw it into google like this.... "213 253-1120" you will get a solid match to a website. Now you have the company name, address, other workers, email etc etc...
While you are on the phone say something like the following:
You: "You're from _____ company right? (which you just found out)
BPO/APP: "yes"
You: "Yeah, the ______ bank told me you where going to call" (which you didn't know)
You: "WOW!!! This property is special (let them think whatever)...would you be offended if I sent you some of the information that ______ bank already has?
BPO/APP: "no" (everyone will say it)
You: "Your email is ________________, right?" (which you just got from the internet)
***now you have planted the seed - with your comps/pictures****
***remember, if it doesn't help you - IT HURTS YOU!!!***
SIDE NOTE: This method of skip tracing while on the phone is golden - you can use this while you are negotiating with the lender.
Example.
Bank: "May I have the loan number... blah blah"
**give all the info - while you're waiting for them pull everything up***
You: "Where am I calling today?"
Bank: "Fortworth, TX" (pay attention very carefully)
You: "Awesome..." NOW GOOGLE THE CITY, STATE IN GOOGLE MAPS FAST AS YOU CAN
You: "So are you near _____ or _____" (picking a main highway)"
The goal is build rapport as fast as possible... by using this technique the individual on the other line will assume you have been to that city. Everyone likes to do business with people they know. You can even say things about a golf course, the lake, the mall, etc. This way you now
have some type of connection.
Marketing
MLS: Marketing to previously "pending" MLS listing that went back to "active". This means that the buyer fell out of escrow and the agent is probably extremely frustrated. ***Listing
must be a short sale***
Send an email to the listing agent....
Example:
" Hey agent Joe, I saw your listing on 123 abc street just went back to active. I wanted to make an as-is all cash offer on this property. I can close very quickly but you're seller needs to be comfortable to allow us to do the negotiation with the bank."
**This week I'm going to test this....***
Breaking Down Brokerages Barriers
I (Jordan) have been fighting with the larger brokerages for weeks now trying to get them to accept the Option Contract and the way I do business. But these brokerages are big and slow and tangled in more red tape than you can imagine. Despite the sheer volume of short sales, REO's and foreclosures here in California, the real estate industry is a relative newbie in dealing with distressed properties - particularly the large brokerages. They just don't now how to handle or deal with anything other than the ordinary, standard agreements and ways of doing business. And none of them (with 200+ people in each) have ever worked with this type of an Option Contract.
Lately, I've had to let my attorney loose on these brokerages to demand what legal basis they have for not accepting the contracts. As a result, it looks like I'm about to be accepted by Prudential and Keller Williams. But I've had to modify the Option Contract & Affidavit of Understanding per each individual brokerage. And it turns out that it's not actually changes to the legal principles in these contracts that have changed. But rather adding clauses like the following:
- "The homeowner agrees that he/she is not under the influence of alcohol or drugs when signing this contract"
- "This contract is 5 pages in length."
- "(Bold this clause)"
- "This contract will be recorded in the county recorder's office"
After all the legal posturing, it's these kind of things that make them feel comfortable. Amazing, isn't it? I guess someone's got to break down the walls. Hopefully, my efforts will open up the doors for everyone. I'll let you know.
So much more that I can't remember. Until next time...
Anyway, here's some info recalled by Jeff:
Connecting with the BPO Agent
When BPO/App calls - make sure to write down the phone number where they called from, then skip trace the phone number on google while you're speaking with the BPO/App to build rapport. Example: Ring Ring Ring PH# on caller ID: (213) 253-1120....
Take that ph# and throw it into google like this.... "213 253-1120" you will get a solid match to a website. Now you have the company name, address, other workers, email etc etc...
While you are on the phone say something like the following:
You: "You're from _____ company right? (which you just found out)
BPO/APP: "yes"
You: "Yeah, the ______ bank told me you where going to call" (which you didn't know)
You: "WOW!!! This property is special (let them think whatever)...would you be offended if I sent you some of the information that ______ bank already has?
BPO/APP: "no" (everyone will say it)
You: "Your email is ________________, right?" (which you just got from the internet)
***now you have planted the seed - with your comps/pictures****
***remember, if it doesn't help you - IT HURTS YOU!!!***
SIDE NOTE: This method of skip tracing while on the phone is golden - you can use this while you are negotiating with the lender.
Example.
Bank: "May I have the loan number... blah blah"
**give all the info - while you're waiting for them pull everything up***
You: "Where am I calling today?"
Bank: "Fortworth, TX" (pay attention very carefully)
You: "Awesome..." NOW GOOGLE THE CITY, STATE IN GOOGLE MAPS FAST AS YOU CAN
You: "So are you near _____ or _____" (picking a main highway)"
The goal is build rapport as fast as possible... by using this technique the individual on the other line will assume you have been to that city. Everyone likes to do business with people they know. You can even say things about a golf course, the lake, the mall, etc. This way you now
have some type of connection.
Marketing
MLS: Marketing to previously "pending" MLS listing that went back to "active". This means that the buyer fell out of escrow and the agent is probably extremely frustrated. ***Listing
must be a short sale***
Send an email to the listing agent....
Example:
" Hey agent Joe, I saw your listing on 123 abc street just went back to active. I wanted to make an as-is all cash offer on this property. I can close very quickly but you're seller needs to be comfortable to allow us to do the negotiation with the bank."
**This week I'm going to test this....***
Breaking Down Brokerages Barriers
I (Jordan) have been fighting with the larger brokerages for weeks now trying to get them to accept the Option Contract and the way I do business. But these brokerages are big and slow and tangled in more red tape than you can imagine. Despite the sheer volume of short sales, REO's and foreclosures here in California, the real estate industry is a relative newbie in dealing with distressed properties - particularly the large brokerages. They just don't now how to handle or deal with anything other than the ordinary, standard agreements and ways of doing business. And none of them (with 200+ people in each) have ever worked with this type of an Option Contract.
Lately, I've had to let my attorney loose on these brokerages to demand what legal basis they have for not accepting the contracts. As a result, it looks like I'm about to be accepted by Prudential and Keller Williams. But I've had to modify the Option Contract & Affidavit of Understanding per each individual brokerage. And it turns out that it's not actually changes to the legal principles in these contracts that have changed. But rather adding clauses like the following:
- "The homeowner agrees that he/she is not under the influence of alcohol or drugs when signing this contract"
- "This contract is 5 pages in length."
- "(Bold this clause)"
- "This contract will be recorded in the county recorder's office"
After all the legal posturing, it's these kind of things that make them feel comfortable. Amazing, isn't it? I guess someone's got to break down the walls. Hopefully, my efforts will open up the doors for everyone. I'll let you know.
So much more that I can't remember. Until next time...
Thursday, February 12, 2009
conflicts and schedules
Due to the SREC call Thursday at 9EST I won't be able to make our 9:30EST meeting. It's difficult to catch all the coaching calls, when they get set up so quickly and are subject to changes at nearly the last minute. That being said I ran into a snag this week and I'd like to get some feedback from the group.
In the course of negotiating a stubborn second with Regions Bank, we got bumped up the food chain three times. Yesterday, we got an email that said they noticed my name associated with the Buyer and with the negotiating company. They called it a conflict of interest and closed the case. They want to get the money (we offered them the $3500 allowed by the first lender Wachovia) and go after the deficiency judgment (about $55,000). That's the real issue.
I'm considering letting the girl at the Stewart Title office have a crack at it, on commission. She gets paid when it closes. Of course, there's no conflict in negotiating your own purchase with the bank, but I wonder, since I sign the Option with my name, as manager AND when I negotiate, my name is on each email, how are you all keeping the two entities separate in the lender's minds?
This is the only place this has come up and I'm convinced they were looking for any reason to close the case, since they think there's money in this retired school teacher's future.
In the course of negotiating a stubborn second with Regions Bank, we got bumped up the food chain three times. Yesterday, we got an email that said they noticed my name associated with the Buyer and with the negotiating company. They called it a conflict of interest and closed the case. They want to get the money (we offered them the $3500 allowed by the first lender Wachovia) and go after the deficiency judgment (about $55,000). That's the real issue.
I'm considering letting the girl at the Stewart Title office have a crack at it, on commission. She gets paid when it closes. Of course, there's no conflict in negotiating your own purchase with the bank, but I wonder, since I sign the Option with my name, as manager AND when I negotiate, my name is on each email, how are you all keeping the two entities separate in the lender's minds?
This is the only place this has come up and I'm convinced they were looking for any reason to close the case, since they think there's money in this retired school teacher's future.
Thursday, February 5, 2009
Conference Call Recap 2/4/09
Thanks for a very productive and thought provoking call last night. The following are the main learnings discussed:
Don't Let the Banks Waste Your Time - Offer Lower
After spending hours faxing in 50, 60 or even 100 pages of documents making up the short sale package, some banks will claim that they lost your paperwork or never received it. One method used by Karl is to lower your offer price. His thinking is that it sends a message to the loss mitigators implying that he's not going to play these types of games and that they better take his offer seriously. Interesting approach.
Upcoming SREC Vegas Conference
Most of us have heard that the upcoming SREC Vegas conference will cover much of the same content as the previous conference. If this is truly the case, does it make any sense to attend? Although for networking purposes most of the group thought it would be helpful (including getting some new members to add to our discussion), it appears that most people will not be attending if it's the same content rehashed again. Of course, it would be great if we had at least one person from our group attend the conference to network.
Talking to Brokerages About What We Do
I made it a priority recently to get into the larger brokerages and talk to realtors about what I do. However, I soon realized that many office managers weren't warming up to the idea of having another "short sale guy" coming into the office. After digging deeper, I realized that they were assuming that I was either a short sale realtor vying to get some of their unwanted short sales or a loss mitigation company. However, when I finally got their attention I was able to explain that I am the BUYER, have nothing to sell, and want to work with them to turn their office into a short sales machine. More like a coach rather than someone selling thier services. Very effective.
Karl said something last night that helped me immediately and may also have helped you. Because realtors (including office managers) often have egos and don't like to be told that they don't know how to do something (i.e. short sales), approaching them as a short sales expert may not be your best move. A better way to approach them is by using what he calls the "Columbo Angle". Columbo, the TV and movie detective, was very successful by coming at things from a point of understanding, being disarming and exercising humility rather than trying to come across an expert. According to the Columbo Angle, you might say something like "Let me try to understand how your office is currently doing short sales and see how I can improve upon it in any way." I personally think this can only help you.
Tax Consequences of Short Selling
We had some good discussion about the tax consequences for the homeowner of completing a short sale. While I recommend everyone ask their CPA to be sure because I can't give tax advice, our understanding was that the Tax Reform Act of 2007 gave tax exemptions to homeowners as long as it was their primary residence and they hadn't refinanced. If it was an investment property or there was a refinance, the homeowner would have to prove insolvency or be subject to paying taxes on the 1099.
Getting the BPO Value
Some lenders will straight up tell you the BPO value if you ask, but many will not because it could compromise thier negotiation leverage. However, there are several ways you can use to get the BPO value:
1) Ask the BPO agent
2) If the BPO agent won't tell you, ask them some other questions ("The offer on the property is $xxx,xxx. Is this at all close to the BPO value? Is it in the ballpark?")
3) If the BPO agent still won't tell you, ask them to do a BPO for you on the same property address. Of course, it will come out the same. If it doesn't, you can always call the lender and tell them the BPO agent is committing fraud.
4) Wait for the counter offer from the lender. Usually the counter is the BPO value.
5) Ask the homeowner to call the lender and ask for it. Someone last night mentioned that it's possible that the lender will tell the homeowner the BPO value since they own the property. Worth a try.
Making Friends with Loss Mitigators
Rather than thinking of loss mitigators as your adversary, try to think about them as a team member. One approach Karl recommended might be, "How can we work together to get this off your chest so you can meet your quotas?" Again, I think this approach can only help you.
Email vs. Faxing in Short Sale Package
Julio mentioned that he now tries to email the entire short sale package into lenders rather than faxing it in. This could save you a considerable amount of time if you have a fast scanner. But how do you get the email address of the loss mitigation department (many won't give it to you)? Julio tells them that he's tried to fax it in numerous times and he keeps hearing that no one has received it. He then asks them for an email address and sends everything while he still has the person on the phone so he can confirm they received it. Better yet, he has a record they received it (even if they say they did not) if his email goes through. If he has to fax it it, Julio stamps each page with the loan number.
Is emailing better than faxing? That's a personal decision. But we all agree that it's better to send everything all at once then piece by piece. This way all the documents of the short sale package are together and it's harder for them to "lose" any.
Seller Concessions - Yes or No?
Should you ask for seller concessions on the HUD? Some people say that concessions are simply your own money that you're asking the lender to return to you. If this is the case, why ask for more money back from the lender thereby making it harder for them to approve the deal? The other side of the argument is that it could make your gross purchase price higher (which can look better) if you adjust for concessions OR give you a chance of getting more money back from the lender if you don't raise the purchase price. There's a good argument for seller concessions in our current state of the market including the need to entice the buyer and pay for unforseen repairs.
Drawing the Line of Fiduciary Responsibility
Very good discussion on this topic. Some realtors say that it is their fiduciary responsibility to send all offers to the lender. If they hold offers, they are not acting in the best interest of their client. We hashed it out and all agreed on the same conclusion. The realtor only has a fiduciary responsibility to the homeowner, NOT the lender. No offers are to be submitted to the lender unless the homeowner agrees, even if that means the property forecloses and you had a good offer in hand. The homeowner makes the decisions, not the lender, and he/she is whom you have a fiduciary responsibitly to.
However, when you as an investor record the Memorandum of Option Agreement, you take equitable interest in the property. Equitable interest in the property gives you the right to act on behalf of the homeowner to market, list and sell the property. It is therefore up to you (the investor) to decide which offers get submitted to the lender. And guess what? The realtor (who is now your listing agent when you list the property) has a fiduciary responsibility only to you.
When to Disclose Your Option to End Buyer's Realtors
Good question here with no obvious answers. When you relist the property on the MLS, some realtors might ask questions. Or when you counter their offers on the property, some realtors might ask how the lender is approving their offer or if it has even been submitted. I think it's best to be as straightforward and honest as you can at this point and emphasize the positives which include:
--Your client no longer has to wait for months to get the deal approved; it can be approved immediately and escrow closed within 30 days.
--Your client wouldn't have the opportunity to purchase this property if it wasn't for the investor; it would have gone to foreclosure
--Your client is getting this property below market value, with built-in equity
--The entire short sale process has been cut nearly in half because of the investor's actions - your buyer may have walked if it took the normal time to get a deal approved
At some point, this is a conversation you're going to have to have with realtors. Better off having it earlier than later and coming from a confident, normal course of business standpoint rather than having realtors think something shady is going on, which of course it's not.
Whew! That's it for this week. See you all on the phone next week with hopefully some deals closed.
Don't Let the Banks Waste Your Time - Offer Lower
After spending hours faxing in 50, 60 or even 100 pages of documents making up the short sale package, some banks will claim that they lost your paperwork or never received it. One method used by Karl is to lower your offer price. His thinking is that it sends a message to the loss mitigators implying that he's not going to play these types of games and that they better take his offer seriously. Interesting approach.
Upcoming SREC Vegas Conference
Most of us have heard that the upcoming SREC Vegas conference will cover much of the same content as the previous conference. If this is truly the case, does it make any sense to attend? Although for networking purposes most of the group thought it would be helpful (including getting some new members to add to our discussion), it appears that most people will not be attending if it's the same content rehashed again. Of course, it would be great if we had at least one person from our group attend the conference to network.
Talking to Brokerages About What We Do
I made it a priority recently to get into the larger brokerages and talk to realtors about what I do. However, I soon realized that many office managers weren't warming up to the idea of having another "short sale guy" coming into the office. After digging deeper, I realized that they were assuming that I was either a short sale realtor vying to get some of their unwanted short sales or a loss mitigation company. However, when I finally got their attention I was able to explain that I am the BUYER, have nothing to sell, and want to work with them to turn their office into a short sales machine. More like a coach rather than someone selling thier services. Very effective.
Karl said something last night that helped me immediately and may also have helped you. Because realtors (including office managers) often have egos and don't like to be told that they don't know how to do something (i.e. short sales), approaching them as a short sales expert may not be your best move. A better way to approach them is by using what he calls the "Columbo Angle". Columbo, the TV and movie detective, was very successful by coming at things from a point of understanding, being disarming and exercising humility rather than trying to come across an expert. According to the Columbo Angle, you might say something like "Let me try to understand how your office is currently doing short sales and see how I can improve upon it in any way." I personally think this can only help you.
Tax Consequences of Short Selling
We had some good discussion about the tax consequences for the homeowner of completing a short sale. While I recommend everyone ask their CPA to be sure because I can't give tax advice, our understanding was that the Tax Reform Act of 2007 gave tax exemptions to homeowners as long as it was their primary residence and they hadn't refinanced. If it was an investment property or there was a refinance, the homeowner would have to prove insolvency or be subject to paying taxes on the 1099.
Getting the BPO Value
Some lenders will straight up tell you the BPO value if you ask, but many will not because it could compromise thier negotiation leverage. However, there are several ways you can use to get the BPO value:
1) Ask the BPO agent
2) If the BPO agent won't tell you, ask them some other questions ("The offer on the property is $xxx,xxx. Is this at all close to the BPO value? Is it in the ballpark?")
3) If the BPO agent still won't tell you, ask them to do a BPO for you on the same property address. Of course, it will come out the same. If it doesn't, you can always call the lender and tell them the BPO agent is committing fraud.
4) Wait for the counter offer from the lender. Usually the counter is the BPO value.
5) Ask the homeowner to call the lender and ask for it. Someone last night mentioned that it's possible that the lender will tell the homeowner the BPO value since they own the property. Worth a try.
Making Friends with Loss Mitigators
Rather than thinking of loss mitigators as your adversary, try to think about them as a team member. One approach Karl recommended might be, "How can we work together to get this off your chest so you can meet your quotas?" Again, I think this approach can only help you.
Email vs. Faxing in Short Sale Package
Julio mentioned that he now tries to email the entire short sale package into lenders rather than faxing it in. This could save you a considerable amount of time if you have a fast scanner. But how do you get the email address of the loss mitigation department (many won't give it to you)? Julio tells them that he's tried to fax it in numerous times and he keeps hearing that no one has received it. He then asks them for an email address and sends everything while he still has the person on the phone so he can confirm they received it. Better yet, he has a record they received it (even if they say they did not) if his email goes through. If he has to fax it it, Julio stamps each page with the loan number.
Is emailing better than faxing? That's a personal decision. But we all agree that it's better to send everything all at once then piece by piece. This way all the documents of the short sale package are together and it's harder for them to "lose" any.
Seller Concessions - Yes or No?
Should you ask for seller concessions on the HUD? Some people say that concessions are simply your own money that you're asking the lender to return to you. If this is the case, why ask for more money back from the lender thereby making it harder for them to approve the deal? The other side of the argument is that it could make your gross purchase price higher (which can look better) if you adjust for concessions OR give you a chance of getting more money back from the lender if you don't raise the purchase price. There's a good argument for seller concessions in our current state of the market including the need to entice the buyer and pay for unforseen repairs.
Drawing the Line of Fiduciary Responsibility
Very good discussion on this topic. Some realtors say that it is their fiduciary responsibility to send all offers to the lender. If they hold offers, they are not acting in the best interest of their client. We hashed it out and all agreed on the same conclusion. The realtor only has a fiduciary responsibility to the homeowner, NOT the lender. No offers are to be submitted to the lender unless the homeowner agrees, even if that means the property forecloses and you had a good offer in hand. The homeowner makes the decisions, not the lender, and he/she is whom you have a fiduciary responsibitly to.
However, when you as an investor record the Memorandum of Option Agreement, you take equitable interest in the property. Equitable interest in the property gives you the right to act on behalf of the homeowner to market, list and sell the property. It is therefore up to you (the investor) to decide which offers get submitted to the lender. And guess what? The realtor (who is now your listing agent when you list the property) has a fiduciary responsibility only to you.
When to Disclose Your Option to End Buyer's Realtors
Good question here with no obvious answers. When you relist the property on the MLS, some realtors might ask questions. Or when you counter their offers on the property, some realtors might ask how the lender is approving their offer or if it has even been submitted. I think it's best to be as straightforward and honest as you can at this point and emphasize the positives which include:
--Your client no longer has to wait for months to get the deal approved; it can be approved immediately and escrow closed within 30 days.
--Your client wouldn't have the opportunity to purchase this property if it wasn't for the investor; it would have gone to foreclosure
--Your client is getting this property below market value, with built-in equity
--The entire short sale process has been cut nearly in half because of the investor's actions - your buyer may have walked if it took the normal time to get a deal approved
At some point, this is a conversation you're going to have to have with realtors. Better off having it earlier than later and coming from a confident, normal course of business standpoint rather than having realtors think something shady is going on, which of course it's not.
Whew! That's it for this week. See you all on the phone next week with hopefully some deals closed.
Tuesday, February 3, 2009
Conference Call Recap 1/28/09
I'll keep this one short and sweet because I didn't take notes last meeting...
Reverse Engineering the Deal
This is something Jeff Kaller talks about in his "Kaller Method". It's an interesting concept that lets you back into an offer price that the lender is most likely going to approve (without countering). How is this done? Here are the major steps:
1) Pull comps to estimate 90-day quicksale price
2) Determine bank's delegated authority (% of BPO bank will accept)
3) Calculate 20% profit margin
4) Subtract this profit margin, realtor commissions and closing costs from 90-day quicksale price - this is the price the bank must accept (the lender's net) to get you the 20% profit margin
5) Divide the lender's net by the delegated authority %. This gives you the number the BPO must come in at.
6) Ask yourself the question, "Can I get the BPO to come in low enough to do this deal?"
7) If yes, make an offer that is 11% higher than the lender's net (6% commissions, 3% closing costs, 2% misc. fees) so the bank, after subtracting these costs, will net a number you know they will accept.
Does it work? I created a spreadsheet that follows this reverse engineering logic and found it very helpful when talking with negotiators.
Outbound Marketing - New Approach
I mentioned that I'm trying a very straight approach in my next marketing efforts using SalesTeamLive. I customized my letters and postcards to remind homeowners what a foreclosure will mean in real terms (no credit cards, no leased cars, etc.) and explained how I can help them. I'll let you know how it turns out.
Setting a Vision/Mission for your Business
Let's face it. We all want to earn a great living. However, our business is more than about money. It's about helping homeowners. And when you talk about your business in this light, you'd be amazed what happens. Here's a personal story to bring this point home..
Before becoming a real estate investor, I spent 15+ years developing the brand strategies for some of the biggest brands in the world and, most importantly, those that had lost their way or lost thier purpose in the world. How did I give them back thier relevance and purpose? I talked them out of being a product-centric company and into being a company with something important to say. I created a vision for each of these companies that was much bigger than their products, much bigger than the competition, and hit a nerve with their target audience.
Here's an example for Crest Toothpaste: Rather than being known as the toothpaste company that whitens your teeth, they instead have the opportunity to be known as the company that brings smiles to the world (by giving you whiter teeth). This one little change in the way they talk about themselves makes all the difference and separates them from every other toothpaste company. It would probably double their sales overnight with a good advertising campaign.
Back to real estate investing....When asked about my company, I can either talk about myself as a short sale real estate investor or start the conversation by saying the mission for my company is to help save families in the Greater Los Angeles area from the devastating effects of foreclosure. And I firmly believe this. Which description of my company do you think people want to become a part of? Something you should consider next time you give your elevator speech.
Being a Warrior
I can't tell you how many times that extra call, extra thank you email, extra meeting at Starbucks has made all the difference for me in either getting deals or establishing a relationship with someone I recently met that will yield deals in the future. Personally, I'm more of a big picture kind of guy (hence the example earlier) and not very good at tying up loose ends or dotting my I's and crossing my T's. However, we all know that this business is as much about relationships as anything. And a few good relationships could mean hundreds of thousand of dollars. So the next time you're tired, lack the confidence or could easily skip making that extra contact, go the extra mile and be a warrior. It will make all the difference.
That's all I got. If it sounds like I'm preaching, my apologies. Some of this stuff is just streaming from my consciousness. Please add to this posting any other topics we discussed so our conversations are not lost.
Reverse Engineering the Deal
This is something Jeff Kaller talks about in his "Kaller Method". It's an interesting concept that lets you back into an offer price that the lender is most likely going to approve (without countering). How is this done? Here are the major steps:
1) Pull comps to estimate 90-day quicksale price
2) Determine bank's delegated authority (% of BPO bank will accept)
3) Calculate 20% profit margin
4) Subtract this profit margin, realtor commissions and closing costs from 90-day quicksale price - this is the price the bank must accept (the lender's net) to get you the 20% profit margin
5) Divide the lender's net by the delegated authority %. This gives you the number the BPO must come in at.
6) Ask yourself the question, "Can I get the BPO to come in low enough to do this deal?"
7) If yes, make an offer that is 11% higher than the lender's net (6% commissions, 3% closing costs, 2% misc. fees) so the bank, after subtracting these costs, will net a number you know they will accept.
Does it work? I created a spreadsheet that follows this reverse engineering logic and found it very helpful when talking with negotiators.
Outbound Marketing - New Approach
I mentioned that I'm trying a very straight approach in my next marketing efforts using SalesTeamLive. I customized my letters and postcards to remind homeowners what a foreclosure will mean in real terms (no credit cards, no leased cars, etc.) and explained how I can help them. I'll let you know how it turns out.
Setting a Vision/Mission for your Business
Let's face it. We all want to earn a great living. However, our business is more than about money. It's about helping homeowners. And when you talk about your business in this light, you'd be amazed what happens. Here's a personal story to bring this point home..
Before becoming a real estate investor, I spent 15+ years developing the brand strategies for some of the biggest brands in the world and, most importantly, those that had lost their way or lost thier purpose in the world. How did I give them back thier relevance and purpose? I talked them out of being a product-centric company and into being a company with something important to say. I created a vision for each of these companies that was much bigger than their products, much bigger than the competition, and hit a nerve with their target audience.
Here's an example for Crest Toothpaste: Rather than being known as the toothpaste company that whitens your teeth, they instead have the opportunity to be known as the company that brings smiles to the world (by giving you whiter teeth). This one little change in the way they talk about themselves makes all the difference and separates them from every other toothpaste company. It would probably double their sales overnight with a good advertising campaign.
Back to real estate investing....When asked about my company, I can either talk about myself as a short sale real estate investor or start the conversation by saying the mission for my company is to help save families in the Greater Los Angeles area from the devastating effects of foreclosure. And I firmly believe this. Which description of my company do you think people want to become a part of? Something you should consider next time you give your elevator speech.
Being a Warrior
I can't tell you how many times that extra call, extra thank you email, extra meeting at Starbucks has made all the difference for me in either getting deals or establishing a relationship with someone I recently met that will yield deals in the future. Personally, I'm more of a big picture kind of guy (hence the example earlier) and not very good at tying up loose ends or dotting my I's and crossing my T's. However, we all know that this business is as much about relationships as anything. And a few good relationships could mean hundreds of thousand of dollars. So the next time you're tired, lack the confidence or could easily skip making that extra contact, go the extra mile and be a warrior. It will make all the difference.
That's all I got. If it sounds like I'm preaching, my apologies. Some of this stuff is just streaming from my consciousness. Please add to this posting any other topics we discussed so our conversations are not lost.
Subscribe to:
Posts (Atom)
Posts
