Real Estate Coaching Radio

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Buyer Agent Commission Wars Heat Up

ALL the drama is on the buyer side.

 

The listing agent ALWAYS wins.

 

Developments on the buyer side:

 

1. Buyer's Agents VOLUNTEERING to chip in some or all of their commission just to win in a competitive bidding scenario.

 

2. Listing Agents reducing buyer side commissions in the MLS.

 

3. Builders reducing buyer commissions, sometimes to 0%.

 

4. Listing Agents / Sellers asking buyer's agent to chip in or eliminate their buyer side commission DURING negotiations so they'll accept the offer.

 

5. Buyers having to be asked to pay out of pocket for buyer agent commissions.

 

6. Buyers are asking to finance the buyer side commission into their loan.

 

7.  Buyers getting sick of losing and going directly to listing agent.

 

8. Buyers paying sellers a cash bonus to accept their offer.

 

9. Zillow eroding buyer side commissions as well as re-routing leads to in-house agents.

 

10. Buyers getting licensed themselves to create commission and / or negotiate for themselves.

 

BE. THE. LISTING. AGENT!

Industry Update: Short Sales, Forbearances and REOs

How can there be short sales and REOs in what may become the hottest sellers market in history? Listen now and learn where the opportunities are in the (soon to be) distressed real estate market niche. Todays show was inspired by this email from HARRIS Coach Michele McClintock. "Dear Tim and Julie, We are starting to see more and more short sales creeping into the marketplace. I have 14 new short sales just last week.

The market in South Florida is very strong and fast. Though I don't believe that we will see a crash like we did last time I do believe that we will see a sharp increase in short sales to come.

In todays environment and what we saw as a result of 2020, every agent needs to add to the interview process when listing (toolbox)

1. How much do you owe on your property?

2. Are you current on your mortgage?

3. Have you ever missed any payments?

4. During 2020 did you do a forbearance?

5. Have you ever done a loan modification? 

6.  Any second mortgages including lines of credit or HELOCs?

7.  Any judgments including credit cards, liens including State or Federal?

8.  Suggest ordering a payoff from the lender(s)

Recently, I have had about 10 homeowners, list their properties with agents, go to contract, go thru inspections, appraisals etc only to get news from the Title Company that they had to bring thousands of dollars that they didn't have or anticipate to the closing table.

In my experience when this happens it creates a domino effect with the transaction. The homeowner immediately blames their agent, for not "knowing" this. The Buyer's agent blames the listing agent and homeowner for not knowing this and in turn questions the agents credibility. Hence, Buyers want to sue because they cannot close and have incurred costs associated with the situation.

What most people do not realize is "if" the homeowner did a loan modification, forbearance or deferment their UPB is not reflective of these situations. The lender will often put  everything on the back end their mortgage creating a "balloon" payment at the end which must be factored in if paid off before the end of the loan. Hence the higher than expected payoffs.

Had the listing agent asked the homeowner these questions, they would have been better prepared professionally. Every homeowner that has had to do a short sale as a result of these situations have "blamed" their agent!

The "saves" that I am doing now because of these situations are endless. The blame game always comes back to the "agent" not homeowner. The homeowner often says to me "why didn't my agent ask me these questions when they listed the property?

"Knowledge is power"

Michele McClintock

Warning: Buyer Agent Commissions Falling Fast

If there was ever a time for agents to focus all their best energies on being listing agents, it's now. Across the country there is massive DOWNWARD pressure on buyer agent commissions. When you listen to Real Estate Coaching Radio you will learn what is happening to buyer agent commissions that may result in the end of the buyer focused agent business model. Listen and take notes.

Ready To Start A Team? Your Blueprint Has Arrived

You are about to listen to Real Estate Coaching Radio hosted by Tim and Julie Harris share with you part 3 of their series on successful teams. Today, you will learn about the proven team model that results in the most predictable profit. ' To team...or not to team...that is the question' It's a common held belief in real estate that your goal should be to form a team. Often agents are pressured to form teams as the natural progression of their real estate careers. Few agents stop to ask themselves what the goal of a team truly is. Is the goal of a team to simply sell more (and more) homes? Is the goal of a team to win awards and receive endless recognition? Is the purpose of a team to make yourself think the buying and selling public will see you in a more favorable light vs a single agent? No wonder so many teams fail. What if the only purpose of the real estate team (or individual agent) was to produce PROFIT. It might surprise you to learn that it's not uncommon for agents who 'own' big teams to make less personal profit every year vs one of their team members. In other words, the team leader...the agent who formed the team and takes all the personal risk and liability....makes LESS money, has LESS PROFIT than someone they hired to work with their buyer leads. Listen now and learn the drilled down, no BS bottom line on how to build a PROFITABLE, sustainable team.

Top 10 Team Success Secrets Revealed

'To team...or not to team...that is the question' It's a common held belief in real estate that your goal should be to form a team. Often agents are pressured to form teams as the natural progression of their real estate careers. Few agents stop to ask themselves what the goal of a team truly is. Is the goal of a team to simply sell more (and more) homes? Is the goal of a team to win awards and receive endless recognition? Is the purpose of a team to make yourself think the buying and selling public will see you in a more favorable light vs a single agent? No wonder so many teams fail. What if the only purpose of the real estate team (or individual agent) was to produce PROFIT. It might surprise you to learn that it's not uncommon for agents who 'own' big teams to make less personal profit every year vs one of their team members. In other words, the team leader...the agent who formed the team and takes all the personal risk and liability....makes LESS money, has LESS PROFIT than someone they hired to work with their buyer leads. Listen now and learn the drilled down, no BS bottom line on how to build a PROFITABLE, sustainable team.

Zillow, Clubhouse, EXP Realty, What You Need to Know

Join Tim and Julie Harris as they discuss the many changes happening NOW that will have an immediate (perhaps dramatic) effect on your real estate business. What you need to know now about Zillow, EXP Realty and the Clubhouse.

Why Most Teams Fail And What To Do About It

Fact: no one plans to fail, but many fail to plan.  Whether you are on a team or running a team, check yourself on these top reasons teams fail.

Fact:  Successful teams lead with lead generation, know that their product is profit, and are made of 'rowers' not 'riders'.

Why teams fail...

1 No lead generation, poor lead generation, inconsistent or unpredictable lead generation.  Nothing happens without leads!  A team is not viable without consistent listing inventory.  Magic Number: How many listings must you have at all times to meet or achieve your income goals?

2 The team leader doesn’t personally have the skills, systems or scripts mastered which they are attempting to delegate to team members.

3 The team leader is not just delegating, but obfuscating; not following through, actually confusing things instead of clarifying.

4 There is little accountability if any.

5 The team is more focused on culture, education, events, drama and anything but profit.  Profitability isn’t discussed as a regular part of business planning.

6 Too much emphasis on ‘contacts’, not enough on ‘appointments’ and ultimately on contracts closed.

7 Lack of exposure to a fully functioning and profitable team model; believing it’s ‘normal’ to struggle, to have feast and famine.

8 Mixture of jobs.  Buyers agents who are part time transaction coordinators, assistants who also do marketing.  Jacks of all trades but masters of none.

9 Overpaying buyers agents.

10 Driving revenue into the ground through the addiction of buying leads.

How To Build A Profitable Team (Must KNOW Info)

On today's podcast Tim and Julie Harris will drill down on the many minefields to be aware of when building a team. After you have listened to today's show don't be surprised if all of your preconceptions about team building are tossed out. The simple fact is that most teams make no profit or so little profit that the team leader would be better off with no team. It doesn't have to be this way. There are clear, proven pathways for you to build a profitable real estate team. You can have your cake and eat it too provided you follow these simple rules.

Your Super Simple Social Networking Plan Has Arrived (Listen Now)

What should come first, Marketing or Proactive Lead Generation (aka Prospecting)? Daily success happens when you prioritize the actions that will generate the greatest results over those that won't. Put another way, are you going to PROACTIVELY generate leads and build your business or passively attempt to do the same? Its THE question every agent must answer for themselves. The simple fact is the most PROFITABLE real estate practices are based on proactive lead generation. Yet, so many agents never learn how to proactively lead generate. Worst yet, some believe your aim in business is to proactively lead generate (prospect) so that one day your centers of influence and past client list will be so large you wont have to be proactive anymore. That is just plain silly. That thinking is akin to thinking you can go to the gym for a year, build your body and then magically expect to keep that physical condition even after you stop working out. Makes no sense. Anyone successful at anything long term knows that they must always be proactive in their lead generation and overall approach to business (and life). Listen now.

Zillow Strikes Again…What Will Happen Next?

On today's Real Estate Coaching Radio podcast Tim and Julie discuss the recent $500 million dollar sale of Showing Time to Zillow. What happens next? Zillow's steady consistent take over of the real estate industry continues unabated. Or does it? Listen now.