Many agents in the industry today acknowledge they are mobile. The majority of agents I know have some form of PDA device (Blackberry, IPhone, Palm, etc..) and a laptop. While having one of these devices does establish a mobile presence, many of these agents may not be utilizing their devices to ensure they are not only productive and efficient while away from the office, but cutting edge as well.
Know Your Device and Equipment
Whether it's an IPhone or a Blackberry, today's agent must understand the full capacity of their device to maximize their productivity. This means constantly being in tune with the latest apps and updates their devices offer. If not already, soon there will be an application for practically everything imaginable.
I chose an IPhone. The IPhone has mortgage calculators, loan apps with client management, property searching apps, and recently an app that is perfect for the real estate professional - AgentWorx (not yet available for Blackberry). AgentWorx organizes your listings and details along with your buyers from a dashboard. Let's say you get a call from a sign. Simply go to that listing on your IPhone and the specs and details are right there! There is also a leads tab and features a way to forecast future income. Another featured app the IPhone has is MobileMe. This instantly updates all of my outlook contacts and appointments with my IPhone wirelessly. I then have a Groups App that automatically imports specific groups I create, and color coordinates each group. Being a Broker, this allows me to e-mail our office as a whole or any other group by tapping the screen. It's that simple. Recently, one of my agents was selected for our MLS company's beta-testing for a mobile MLS app. From what he showed me, it looked great! So whether you are using a PDA, Laptop or Netbook with Wireless plan, or all of them, your business is now everywhere you go whenever you need it.
How Far Will Technology Go?
My philosophy as both a broker and an agent is technology will only get more advanced and more complex. While it's initial use will be fairly easy, complete utilization will take some craft. The real estate office will become smaller and more remote (this is already happening). The water cooler chatter will be replaced by texting and blogs, and offices will become more barren as work becomes more mobile. I particularly am in favor of this. I am accessible 24/7 via my mobile device to my agents and clients. I have web-based servers that maintain our files, and I can handle 75% (or more) of the issues away from the office (as can most of our agents). Technology is advancing quickly and is here to stay. Embrace it now and make it an integral part of how you run your business.
Friday, September 11, 2009
Thursday, May 14, 2009
To Buy, Or Not To Buy?
To buy, or not to buy, that is the question!
I have been getting this question quite often recently from many buyers. Most buyers appear to be "on the fence" about buying in today's economy. While I do agree that much thought, preparation and consideration has to be made about a buyer's particular income and economic situation when purchasing a home, I also encourage buyers who are able to purchase to take advantage of the incredible opportunities that exist for buyers in today's market.
Why should I buy now?
Yes, banks are restricting credit and financing has become increasingly more difficult to get, yet interest rates are extremely low and FHA loan limits are high. Couple that with a declined average home price and buyers are in perfect financial position to buy that home. Now, add to the mix the $8,000 tax credit (yes, it is basically FREE money but ends at the end of November) and the buying decision is an easy decision to make.
What about renting? If you qualify for a mortgage, and plan on living in a specific area for more than 4 years, it really does not make sense to rent when you can buy. As financing gets harder for some people, rentals will be in more demand, and those prices will actually increase. With rates so low, more principal is being paid rather than interest, which makes a great situation to buy.
Besides the financial advantages, owning a home is still the single most important investment people will make. In fact, the home purchase in my opinion will now become as important a decision and investment as it was to the baby boomer generation. The world we now live in (post-credit craze) will create a value in the few possessions we as a society have. The home will once again be at the forefront of those possessions. People will not be spending as carelessly as in previous years, and I believe homeowner's will be staying in their homes for a longer average than in the past 2 decades. At last, we once again have a traditional and healthy real estate market, where the majority of purchases will be made by homeowner's rather than speculators and amateur investors looking for the next "get rich quick scheme". This will eventually lead to sustained values that will begin to appreciate in a more consistent manner.
I have been getting this question quite often recently from many buyers. Most buyers appear to be "on the fence" about buying in today's economy. While I do agree that much thought, preparation and consideration has to be made about a buyer's particular income and economic situation when purchasing a home, I also encourage buyers who are able to purchase to take advantage of the incredible opportunities that exist for buyers in today's market.
Why should I buy now?
Yes, banks are restricting credit and financing has become increasingly more difficult to get, yet interest rates are extremely low and FHA loan limits are high. Couple that with a declined average home price and buyers are in perfect financial position to buy that home. Now, add to the mix the $8,000 tax credit (yes, it is basically FREE money but ends at the end of November) and the buying decision is an easy decision to make.
What about renting? If you qualify for a mortgage, and plan on living in a specific area for more than 4 years, it really does not make sense to rent when you can buy. As financing gets harder for some people, rentals will be in more demand, and those prices will actually increase. With rates so low, more principal is being paid rather than interest, which makes a great situation to buy.
Besides the financial advantages, owning a home is still the single most important investment people will make. In fact, the home purchase in my opinion will now become as important a decision and investment as it was to the baby boomer generation. The world we now live in (post-credit craze) will create a value in the few possessions we as a society have. The home will once again be at the forefront of those possessions. People will not be spending as carelessly as in previous years, and I believe homeowner's will be staying in their homes for a longer average than in the past 2 decades. At last, we once again have a traditional and healthy real estate market, where the majority of purchases will be made by homeowner's rather than speculators and amateur investors looking for the next "get rich quick scheme". This will eventually lead to sustained values that will begin to appreciate in a more consistent manner.
Wednesday, March 11, 2009
Credit Card Crunch?
In the midst of the housing crisis and credit crunch (mainly mortgage loans, business loans and lines of credit) lurks the possible end-all of the American financial system - the credit card crunch!
The magnitude of the potential damage that will occur in our global economy can be prevented if both politicians and bankers actually use the brains they claim to have and stop what is already occurring. Let me explain.
The credit crisis has already affected millions of Americans and may affect millions more in the upcoming years as the major banks that make up the allocated credit available to consumers plan to cut half of the available credit on the market. This is not just those cardholders with high limits and late payments; this is an approach that will alter every aspect of our current financial system and every person who has a card in their wallet.
Recently, many good-standing consumers have seen their interest rates skyrocket and credit limits plummet with little explanation from the credit card companies. With fed rates so low, how can they now justify, in a more difficult economy, this hike in rates?
If a $10,000 card balance on a $20,000 limit was at 12%, the minimum payment would be around $180/mo. That person's credit report would still show a favorable score since 50% of the limit was still available.
Now the credit card company retracts the line to $10,500 and increases the rate to 28%, thus the payment is increased almost double. The applicant can try to balance transfer, but wait, the retraction of the original limit most likely lowered the applicant's score thus making the applicant a higher risk.
The truth is the credit card is a prime economical tool for consumer spending. Roughly 45% of card holders have a monthly revolving balance. What will happen when that is taken away?
The magnitude of the potential damage that will occur in our global economy can be prevented if both politicians and bankers actually use the brains they claim to have and stop what is already occurring. Let me explain.
The credit crisis has already affected millions of Americans and may affect millions more in the upcoming years as the major banks that make up the allocated credit available to consumers plan to cut half of the available credit on the market. This is not just those cardholders with high limits and late payments; this is an approach that will alter every aspect of our current financial system and every person who has a card in their wallet.
Recently, many good-standing consumers have seen their interest rates skyrocket and credit limits plummet with little explanation from the credit card companies. With fed rates so low, how can they now justify, in a more difficult economy, this hike in rates?
If a $10,000 card balance on a $20,000 limit was at 12%, the minimum payment would be around $180/mo. That person's credit report would still show a favorable score since 50% of the limit was still available.
Now the credit card company retracts the line to $10,500 and increases the rate to 28%, thus the payment is increased almost double. The applicant can try to balance transfer, but wait, the retraction of the original limit most likely lowered the applicant's score thus making the applicant a higher risk.
The truth is the credit card is a prime economical tool for consumer spending. Roughly 45% of card holders have a monthly revolving balance. What will happen when that is taken away?
Sunday, January 18, 2009
Are Homes Becoming Over-improved?
As I analyze current market trends and sales data, I can not help but notice the number of over-improved homes on the market. First, the term "over-improved" is any property that has been updated in such a dramatic way that the current sales price is beyond what the market can bear. So, one can easily remove the "over-improved" label by properly pricing the property in relation to the current market, regardless of improvements.
Unfortunately, many real estate agents encourage "over-improving" and do not educate homeowners the reality of improving a home. That granite counter top or slate tile floor may be beautiful and the difference maker to sell a home compared to the competition, but it does not necessarily mean the home is worth more.
If a given area has home prices in a 200k-250k range, then a home really should not sell above 250k, especially in this market. What sellers should know is to improve their property wisely, and determine if it is to sell or for the seller to enjoy. I was watching a program on HGTV where the agent came back after improvements and gave an adjusted market price 5% higher than the improvement costs. This does not make sense, since improvements in real estate (structure) typically depreciate (like cars) while the land typically appreciates. So beware when you are making improvements. Choose them wisely and hopefully make them for your enjoyment and don't worry so much about the possible future gains the improvements may make.
Unfortunately, many real estate agents encourage "over-improving" and do not educate homeowners the reality of improving a home. That granite counter top or slate tile floor may be beautiful and the difference maker to sell a home compared to the competition, but it does not necessarily mean the home is worth more.
If a given area has home prices in a 200k-250k range, then a home really should not sell above 250k, especially in this market. What sellers should know is to improve their property wisely, and determine if it is to sell or for the seller to enjoy. I was watching a program on HGTV where the agent came back after improvements and gave an adjusted market price 5% higher than the improvement costs. This does not make sense, since improvements in real estate (structure) typically depreciate (like cars) while the land typically appreciates. So beware when you are making improvements. Choose them wisely and hopefully make them for your enjoyment and don't worry so much about the possible future gains the improvements may make.
Subscribe to:
Posts (Atom)
Posts
