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Two State Core class May 9, 2012

Lead Paint Issue:

The "new" rules regarding remediation were effective in 2010. But according to the report from some students, it sounds like enforcement has been stepped up. Here is the scoop on the law:

From the website of Benjamin Moore Paints: Make sure you and your team receives EPA certification for lead paint work. If you're not EPA–trained and certified, you risk hefty fines and the possibility of losing your business.

According to the Environmental Protection Agency (EPA), painting and maintenance activities can release lead dust and chips from paints manufactured prior to 1978. To prevent lead poisoning, the EPA issued its Lead Renovation, Repair & Painting (RRP) rules, which went into effect April 22, 2010.

Contractor companies (including sole proprietorships) and individual contractors performing indoor or outdoor renovation, repair, and painting projects that disturb lead–based paint in homes, childcare facilities, and schools built before 1978 must be certified, trained, and follow specific work practices to prevent lead contamination. Noncompliant contractors could be fined up to $37,500 per violation, per day.

Click here for the EPA page with the details.

And click here for the EPA page on inspector training classes in our area. (Thanks to Dustin Woods, Student Extraordinaire, for the assist.)

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Two State Core class 1/11/2012

1. Question regarding how to incorporate state-mandated disclosures in a sale wherein the bank or foreclosure company uses it's own contracts: You should use the new 2012 KCRAR form on our forms page under the section "Agency Disclosures and Agreements" and it's titled:

"Additional Disclosures Including Those Mandated by State or Federal Law"

2. Question regarding Lead Base Paint disclosures on foreclosures:
Scroll down here to the post from Core class on March 31, 2011.  (Thank you to those of you who remembered this when I forgot.)

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Broker Core Class-

(Kansas court cases regarding disclosure of property defects with ramifications in Missouri)

Click to read each case:

Osterhaus v Toth

Brennan v Kunzle

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November 4, 2011

Class: Breakfast & Lunch with Freddie Mac 

Here is a link to the three Powerpoint presentations you saw that day.

Click what you'd like to see:

1. Freddie Mac     2.  TruHome Solutions    3. Community America Credit Union

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March 31, 2011 - Two State Core

1) RE: Timing of the Earnest Deposit on a Short Sale.  The revised 2011 Short Sale Addendum makes it clearer that the EMD can NOT be delayed like inspections can until after the lender gives approval. Refer to line #50 on that form.

2) RE: Lead Base Paint Disclosures with foreclosed properties. The regulation exempts the use of this with foreclosures. See the HUD Fact Sheet here. Thank you to Scott DeNeve, Broker of Platinum Realty.

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2010 - Two State Core:  

MINIMUM SERVICE REQUIREMENTS

I wrote a whole blog post about this, so go back and look for this title.

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November 24, 2009 Two State Core:

Here is the website where you can check if a mortgage is a Freddie Mac or a Fannie Mae loan. As I understand it, if you can't find the property listed, keep trying some spelling variations -- street, terrace, road, etc.  Click here for the site.

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November 11, 2009 Two State Core:

 The question was whether the Listing Agent can be present with the Selling Agent (and the Buyer) when a counter offer from the Seller is being presented.  (We had discussed how it was permissible for the Buyer's Agent to join the Listing Agent when the offer is presented to the Seller.)

The answer is yes! Here is the excerpt from the Heartland MLS Rules & Regs:

SECTION 2.3 - RIGHT OF COOPERATING BROKER IN PRESENTATION OF OFFER/COUNTER OFFERS

The cooperating broker (subagent, buyer agent, or broker acting in other agency or non-agency capacity) or his representative shall have the right to be present when an offer they secured is presented by the listing broker to the seller(s) of any offer he secures to purchase. He does not have the right to be present at any discussion or evaluation of that offer by the seller(s) and the listing broker. However, if the seller(s) gives written instructions to the listing broker that the cooperating broker not be present when an offer the cooperating broker secured is presented, the cooperating broker has the right to a copy of the seller's written instructions. None of the foregoing diminishes the listing broker's right to control the establishment of appointments for such presentations.

The listing broker or his representative has the right to participate in the presentation of any counter-offer made by the seller. He does not have the right to be present at any discussion or evaluation of a counter-offer by the purchaser (except where the cooperating broker is a subagent). However, if the purchaser gives written instructions to the cooperating broker that the listing broker not be present when a counter-offer is presented, the listing broker has the right to a copy of the purchaser’s written instructions.

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 November 5th in Liberty, MO

Two State Core

 The question arose regarding licensees advertising HUD-owned properties since HUD gives everyone permission to do that.  However, Missouri Real Estate Commission Rules & Regs prohibit us from advertising property without a listing agreement in effect. Here is an excerpt from the email I received from a MREC Investigator. "You are correct.  The statutes and regulations require the broker/brokerage to have a written effective listing agreement for a property before they, or any of their affiliates, advertise, place a sign upon, or do any other form of marketing.  There is no exclusion to the statutes or regulations for HUD owned properties. " So, unless I learn something otherwise... stop advertising those in Missouri!

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November 6, 2009

At Home With Diversity Power Point presentations:

Session 1

Session 2

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August 5, 2009

Two-State Core

Jan Pringle sought the opinion of one of the KCRAR Contracts instructors who also teaches Short Sales: "It is my opinion that the definition of a short sale is a sale in which the proceeds do not cover the mortgage amount owed. Whether the seller has funds to cover the difference is not what defines a short sale. 

"Just because the seller has the funds to bring to closing to make certain everything is paid off does not mean he will actually do so when faced with doing it at closing time. I believe that it should be treated the same in all ways as a short sale where the funds are not available so there is no misunderstanding by the buyer."

Additionally, here is a lot more information in a column appearing in the August 2009 edition of KCRAR's Realeyes newsletter: (by Susan Bowers, HMLS President) This should explain things better than I did in class.

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July 15, 2009

Two-State Core

There was a question regarding the scenario of having two agents in one office engaged in the same transaction. In this case, you wondered if one agent could be a Seller’s Limited Agent while the other was a Designated Seller’s Agent. My response from the Missouri Real Estate Commission was the suggestion for the Broker to change the listing agent’s status to Designated Seller’s Agent so each license could represent their own client.

_______________________________________________________________________________

From the Two-State Core class on August 5th:  Jan Pringle sought the opinion of one of the KCRAR Contracts instructors who also teaches Short Sales... "It is my opinion that the definition of a short sale is a sale in which the proceeds do not cover the mortgage amount owed. Whether the seller has funds to cover the difference is not what defines a short sale. 

Just because the seller has the funds to bring to closing to make certain everything is paid off does not mean he will actually do so when faced with doing it at closing time. I believe that it should be treated the same in all ways as a short sale where the funds are not available so there is no misunderstanding by the buyer."

Additionally, here is a lot more information in a column appearing in the August 2009 edition of KCRAR's Realeyes newsletter: (by Susan Bowers, HMLS President) This should explain things better than I did in class.

__________________________________________________________________________

From the class on June 9, 2009 - FBI & Appraisal Fraud. The student handout materials were lacking the following parts of Don Gossman's presentation.  Sorry! Here they are:

Part II

Part III

If not, you may be making some fellow REALTORS and Sellers angry and you could be asking for trouble.

Are you the type of  Selling Agent who leaves your buyer and the inspector alone in the property while you skip off to do other things?

Most agents would say, "Holy Dereliction of Duty, Batman!" (dereliction as in recklessness, negligence.)

It's so important to supervise this that some agents hire another licensed agent to attend for them when they can't be there. The vast majority of agents plan and schedule for these inspections and do whatever it requires to perform their jobs professionally and responsibly.  And not to mention - how did the buyers and inspector get in there? Did you share your code? There's a big fine for that.

Is there a state law against it? No. Does that make it okay? No. Is it a violation of the Code of Ethics? Hmmm... you might find it is once a co-op agent takes you to task on it.

Of course you shouldn't engage in conversations about the inspection details because that should stay only between the inspector and the buyers. But it doesn't mean you should disappear, either. Remember these people have been granted access to someone else's property - under your name.  

And no, I wouldn't try it "just this one time." That's sure to be the instance when the buyer's children destroy something ...or when the sellers come home to find unauthorized strangers roaming about their home... or someone gets injured...or when something is damaged or stolen ...or when doors are left open.  I know of a lawyer who said if you want to put yourself in an indefensible position in the event of a lost or stolen items claim, then go ahead and leave people there alone. Also, you might have your broker ask your Errors & Omissions Insurance carrier for their opinion, too.

This is considered part of your job description.  A buyer or inspector should not be in a property without you.

Here is an excerpt from Inman News discussing a certain scheme being perpetrated upon agents and homeowners: See highlights below in blue. (Boy, some things never change... the bad guys keep conjuring up ways to con us.)

Stay on your guard! Remember the old adage "if it seems to good too be true it probably is."

The FBI said that as of April 2010, it had 3,029 pending mortgage fraud cases, 68 percent of which involved dollar losses totaling more than $1 million. The FBI said mortgage fraud investigations totaled 2,794 in fiscal year 2009, a 71 percent increase from the year before and a 131 percent increase from fiscal year 2007.

Emerging schemes include commercial real estate loan fraud, condominium conversions, first-time homebuyer tax credits, bankruptcy fraud, "property flopping" and short sales, property theft and fraudulent leasing of foreclosed properties, tax-related fraud, and the resurgence of debt elimination or redemption schemes.

In "property flopping" or short-sale property-flipping schemes, perpetrators use distressed properties of homeowners who are unemployed or facing foreclosure. They negotiate a short sale with the bank or lender, purchase the property at a reduced price, and flip it to a preselected buyer at a much higher price.

Perpetrators collude with appraisers or real estate agents to undervalue the property using an appraisal or a broker price opinion to further manipulate the price down -- the flop -- to increase their profit margin when they flip the property, the FBI said.

The FBI said some lenders are circumventing the Home Valuation Code of Conduct (HVCC), rules governing appraisals of homes purchased using loans backed by Fannie Mae or Freddie Mac, by using other non-commission employees to order appraisals.

The FBI said regulators and law enforcement officials continue to oppose a waiver of the FHA 90-day property flip rule in effect through Jan. 31, 2011. The waiver "contributes to an ever-increasing pool of potentially fraudulent property flipping schemes as it does not require the seller to have title to the property for a minimum of 90 days," the FBI said.

The FBI said bank-owned (REO) properties are also vulnerable to schemes in which perpetrators file false warranty deeds using false rental agreements and collect advance fees from an unauthorized tenant.

But that's not all the bad stuff that's out there...

The FBI has a whole list of schemes you ought to know about.

 Try this link to the FBI and learn about "Reverse Mortgage Fraud," False Equity Schemes and Foreclosure Rescue Schemes.

We hope you'll do your best to educate yourself along with your fellow Realtors, your friends and neighbors.  Knowledge is the only way to fight these things, so stay on top of it.

Happy sales to you until we meet again.

Jan

"You'd better start swimmin' or you'll sink like a stone... 'cause the times they are a changin'."

Bob Dylan's lyrics ring true when we think about our rapidly-evolving industry. And although some things have come and gone over the years, home energy audits and energy-efficient upgrades aren't passing fads. They're here - right now- and they're here to stay. Greening a residential property is a subject that gains more momentum every day.

Special mortgages are available and there are various programs offering incentives to help pay for upgrades. You need to learn what's out there, and here's a primer:

Go to this page for an overview of

Never - Never- Never

HOLD AN OPEN  HOUSE BY YOURSELF!

I repeat... Never! It doesn't matter if you carry a gun or a taser...just don't do it! Have another ADULT with you and ALWAYS stay posted next to (or glued to) the front door with the door open for easy exit.  Let visitors go through alone no matter how innocent they look... you're a Realtor, not a security guard, so just stay put by the door.  What are you going to do if you see them steal something? Wrestle them to the floor? Karate kick them? Come on Elmer Fudd, get real. You're worth far more than a wrist watch or a prescription bottle, no matter what your in-laws say about you. 

In nice weather, stay out front with a chair and folding table. Have your phone in your hand at all times - or better yet - hold the homeowner's cordless phone so if you have to hit 911 the police can trace the call.

You probably didn’t know that 206 Realtors® were murdered on the job in the United States from 1982 to 2000.  And just recently in Ohio and Iowa there are three more families mourning the loss of their loved ones. If you think you’re a good judge of character, you’re not! Con Men are Con men for a reason… they’re good liars. And if you think you can defend yourself, you’re dead wrong.  Attacks happen quickly and you’re probably not trained for lightning fast responses like an Army Special Forces Ranger.

An Open House ad is simply another way of saying "Hey Baby, come get me! The door is open and here's the address!" And of course never, never say vacant  or immediate possession in an ad or in MLS.That's like waving a red flag in front of a bull. There are many more Realtor-related purse snatchings, rapes and molestations than you ever hear about. . .don't be another victim.

As for your other daily activities here are some tips:

With apologies to Floyd Wickman I’ll pass along a term this great sales trainer started. I can’t explain it as well as Floyd the Master, but here goes:

CITO! It means COME INTO THE OFFICE.  And that’s exactly what you should say to every single potential buyer. Whether they call on your ad or your sign or are referred by someone you know, start with the CITO (pronounced “see toe”) and you’ll save tons of time, gasoline and make a lot more money.

 It makes sense to meet them before rushing over to a property and here are two extremely good reasons:

1. Your personal safety
2. It’s good business

 Learn to say, “Let’s get together at my office.  We’ll have a cup of coffee and review some things before we head over there.”  (If pressed, tell them you have an office policy about personal safety and you have to meet them first. Normal people will understand.)

Once they arrive you can get them settled in the conference room and show them your buyer presentation and ask to see their pre-approval letter.  Of course they don’t have one so you can send them off to take care of it before showing property.  After all, they want negotiating strength, don’t they? And most sellers need to know they’re approved, right?  There’s no point in seeing houses today without the pre-approval letter!!! You just accomplished two things… you’ll have a preapproved buyer and you’ll weed out the lookie-loos and the con men. DO NOT show houses until the approval is ready.  You won’t lose out on anything by waiting.  You’ll gain.

Anyone who won’t drop by your office first is probably not a real buyer for you, anyway.  It’s a 99.9% certainty they won’t buy from you.  So forget about them, don’t waste your time and protect yourself from evildoers. Use the extra time to prospect for real customers.

This initial meeting is a wonderful way to bond with buyers and explain issues like buyer agency, inspections, showing procedures, contracts, earnest deposits, etc. This works equally well with strangers, friends and relatives.  Win them over first and your whole job will be that much easier down the road. You’ll have credibility with them and enough knowledge about them to do a better sales job.

Granted, you won’t see a lot of agents using the CITO. Okay, let’s look at this way… you’re smarter than they are! You save more time and gas than they do!  You have more buyer loyalty than they do! 

CITO.  Goofy word.  Smart choice.

Happy sales to you until we meet again, Jan.

KCRAR members are invited to comment on this topic by entering the information called for below. Comments will be monitored prior to being posted. Inappropriate language or comments not in keeping with criteria for use of KCRAR interactive blogs will be disallowed and not posted. Click here for criteria  

Twitter at 5: Still misunderstood -- Misused in real estate REALTOR® Notebook
Inman News™, March 24, 2011
By Teresa Boardman

Twitter had a birthday this week and is now 5 years old. I have been using it for four of those five years. Twitter is a part of my business and a part of my life, and it all seems so basic that it is hard to remember life before Twitter.
I am thankful that I learned how to use it before the "How to Use Twitter" classes for real estate professionals became popular. There was no such class when I first signed up and started tweeting.
Most of the people who teach it today were not using it four or five years ago. It does not take long to learn the mechanics of using Twitter, and no formal training is needed. It takes longer to understand Twitter and how to leverage it for business or personal use. The first time people are exposed to potential real estate uses for Twitter, a typical reaction is, "I don't get it."

Some of the large real estate brokerages are providing social media training for their agents. I can tell which offices or groups of agents have had their Twitter training. The agents set up accounts and then follow other agents.
Most stop using it within the first month, but some hang in there -- and some of those agents obnoxiously promote their open houses before giving up after a few months because there are still only three people attending the open houses and no one seems to want to follow them.

Twitter has a high abandon rate. It's been reported that about 60 percent of all users abandon it during the first month, which is another reason why I question the value of having Twitter classes at all.
After five years Twitter is still misunderstood even though it is now so mainstream that it is referenced on prime-time television and on those drive-time radio shows. Twitter isn't for everyone.

Real estate agents would get more value from Twitter if they followed people in their own community who do not have real estate licenses instead of following other agents.
There is value in meeting agents in other states, but there is even more value in meeting neighbors, small-business owners and community leaders. And there are no referral fees if they decide services.

It is through Twitter that I learned about a local social media breakfast. A group of social media enthusiasts meet every six weeks, and there is always a wonderful speaker and plenty of opportunities for in-person networking.
There is also a social group that meets once a month for a "tweetup." We all know each other from the Internet and decided that it would be fun to meet in person, and we were right.

Twitter is a great way to follow news stories. I follow the local news media, and as a result I usually know what is going on in my community long before it is on the evening news. I also follow some national news and real estate news.

 Those who are interested in using Twitter or trying it again should try looking at it as a communication tool. Don't use it for the kind of direct marketing that works best on bus benches and newspaper ads.

Use it to meet people in your community and use it to listen to what is going on in your area. Use it to connect with someone else and to share information and ideas or just have a conversation.

Learning the mechanics of how to use Twitter is easy: Visit the Twitter website or watch one of the many videos on YouTube. There are books on the subject, too. Some are for amateurs and some highlight business uses.
A great way to understand Twitter, beyond the mechanics of how it works, is to lurk on the site and read the tweets. I cannot recommend any Twitter classes for real estate agents. To date, the classes I have seen have been spectacularly useless.
Teresa Boardman is a broker in St. Paul, Minn., and founder of the St. Paul Real Estate blog.

Happy sales to you until we meet again! Jan Pringle

Realtor Murders at Open House

How many times do you have to be reminded before you’ll protect yourself?

Read on! It’s short!

In light of the recent murders of REALTORS® in Ohio  here’s a short primer on how to be safe at Open Houses. And keep in mind these horror stories have occurred in all states over the years to both men and women.

I know most agents don't do things this way and it's nice to know a lot of people have showed up for their funerals.

1. Always have another adult with you.*

2. Schedule open times for just ONE HOUR in duration.  Your signs can say Open Sunday 1-2. This is easier for everyone’s schedule and it affords less time for bad guys to appear. If someone is interested they’ll either get there in time or they’ll call for a showing.

3. Stay posted by the OPEN FRONT DOOR.  This can facilitate a quick exit and you should  refuse to leave your spot. Don’t be lured to interior rooms if they have questions. And don’t be fooled by seemingly innocent couples and families.

4. The best option is to wait for nice weather and stay seated OUTSIDE the front door.  Maybe have a chair and folding table and flyers? Let visitors go in without you; you’re not an armed, trained security guard!  When you close up for the day double check all windows and doors to ensure someone didn’t unlock one for a later burglary. Explain to visitors it’s a personal safety policy not to be inside with strangers.

5. Leave your purse locked in your car trunk and park on the street for an easy getaway.  Keep your keys, cell phone and pepper spray in your hand at all times. Or hold the seller’s cordless phone so you can dial 911 and the call can be traced to your location. Some cell phones have this capability, too. Don’t be afraid to just plain run down the street if you feel weird. The second someone seems odd or gets too close to you, just run and ignore about how it might appear to someone innocent.

6. Never advertise (or state in MLS) that a property is vacant.

7. Never enter a vacant property alone.

8. As for sign or ad or sign calls ... meet them in your office first and get them pre-approved before showing.

9. Another option is NOT to do open houses at all. Sellers should be able to understand the risk.

(*Some agents who have a trained dog with them at all times.)

Stay safe!  And happy sales to you until we meet again.

Health Insurance

New Software Programs

Legal Updates & Law Changes

Marketing Tips

Special Classes & Workshops

Realtor Events, Tool and Resources

Make www.KCRAR.com your computer's Home Page!

Every day when you log on you'll see the latest and greatest information and you can also access HMLS from there, too. But if you don't start at KCRAR's home page, you'll probably never think to go there and see what's new and important.

I've had hundreds of phone calls from people like you who didn't know about an important law change or seminar or something they really needed to know about. Why?  They didn't visit our Home Page.  Your computer can't help you if it's pointed in the wrong direction.

Help yourself and your career by STARTING at KCRAR and then hop over to HMLS as needed. You'll be glad you did.

See you there!

Jan

i.e. Who Gotta Do What?

There has been discussion regarding “Minimum Services” i.e. what is required of the Listing Agent and what the Selling Agent is permitted to do when it comes to presentation of offers directly to a Seller.

I cobbled together some information for your review and it merits careful reading and discussion with your broker and/or the Legal Hotlines. Following is correspondence I’ve received from Investigators with the Kansas and Missouri Real Estate Commissions.

To unofficially summarize, it appears that when a selling agent is instructed to take an offer directly to the seller, it is the listing agent who may be in violation of the requirements and not necessarily the selling agent.

KANSAS:

Dear Jan:

For all practical purposes, there is no such thing in Kansas as “limited service”. Although I have not seen any “legal” definition of what that means, it appears to me that licensees think it means taking money from the public to post something on MLS for some period of time, and then walking away from their customer or client. BRRETA spells out by statute in K.S.A. 58-30,106 for seller agency, K.S.A. 58-30,107 for buyer agency and K.S.A. 58-30,113 for transaction brokerage, exactly what the minimum duties and obligations are for the licensee practicing one of those types of brokerage relationships.

K.S.A. 58-3036 and K.S.A. 58-3035(f) reflect that if a person performs or for compensation performs, a licensure required activity, they must have a real estate license, (if they do not come under an exemption in K.S.A. 58-3037), and they must be using the license. K.S.A. 58-30,103 spells out what must occur in order for a licensee to “represent” a client. Absent an agency agreement, the licensee by statutory definition is acting as a transaction broker. This also means that in order for any person who has a real estate license to be involved in any transaction whose activity or activities requires a real estate license, that person can only be involved in one of three ways; seller’s agent, which includes designated seller’s agency, buyer’s agency, which includes designated buyer’s agency, and transaction broker. There are no other legal choices. It is not legally possible for two or more parties to contractually agree to break the law.

It would appear to me that the question then becomes, is the act or activity or any part of the act or activity of taking compensation to place a listing, property or FSBO onto the MLS a licensed activity. In my opinion, the answer to that question is, yes. K.S.A. 58-3035(f)(7) reads that if an individual assists or directs in the procuring of prospects calculated to result in the sale, exchange or lease of real estate, a real estate license is required. Does it take a real estate license to take a listing? Does it take a real estate license to post information onto the MLS?

It would also appear to me that any licensee that is or has been involved in doing “limited services” as written about above, is or has been in violation of the license law and the BRRETA. In addition, if that person also has as part of their limited service(s) a requirement that the selling agent bypass the listing agent, for direct contact with the seller when it is known by the selling agent that the seller has an agency agreement with another broker, that the listing agent is inviting the selling agent to be in violation of K.S.A. 58-30,103(p).

When an instance of a “limited service” activity of a licensee comes to light at the Commission, the Commission generally determines that there have been one or more violations of the license law and/or BRRETA, (depending on the individual facts of each case), and has taken disciplinary action against the licensee(s). And, generally, if the facts indicate that the buyer’s agent had no choice but to contact the seller direct, the Commission has not been disciplining the buyer’s agent.

Of course the Commission has no issue with licensees in the marketplace providing different levels of service which may or may not come to the public at a different price, but the “level” of service cannot go below what is required as a minimum by state law. Note that both K.S.A. 58-30,106 and K.S.A. 58-30,107 are titled as “Minimum requirements of the agent”, and K.S.A. 58-30,113 is titled with word (licensee) “obligations”.

As far as I know, there has been no change to BRRETA, in the past or this month, in regards to this issue. There has been no new law concerning this issue. At this time, I know of no change being contemplated in the future.

David Pierce
Chief Investigator
Kansas Real Estate Commission
david.pierce@krec.state.ks.us

MISSOURI

Jan,

In regulation 20 CSR 2250-8.100 (2) it is stated that every licensee shall promptly tender to "the seller or seller's agent" every written offer. Thus, in the instance of a listing "limited service" broker instructing selling agents to present the offer to the seller, I believe the selling agent is okay in doing so. As long as the selling agent doesn't attempt to solicit the listing from the owner, I don't believe the selling agent would have any worries about violating 339.151 RSMo.

As you know, this is my personal opinion and not a legal opinion or necessarily the opinion of the Commission.

Joe Denkler
Missouri Real Estate Commission
573/751-2628
joe.denkler@pr.mo.gov
www.pr.mo.gov/realestate.asp

Additional note from Jan regarding Missouri:
Although it sounds like the selling agent is not in violation when taking an offer to the seller, it would appear as though the listing agent is NOT permitted to simply disappear from the picture. Before a listing can be included in our MLS it must be an exclusive listing, therefore I believe the following excerpt from Missouri 339.780.7 (1-3) addresses the listing agent’s responsibilities under the Minimum Services Requirement.

7. All exclusive brokerage agreements shall specify that the broker, through the broker or through one or more affiliated licensees, shall provide, at a minimum, the following services:
(1) Accepting delivery of and presenting to the client or customer offers and counteroffers to buy, sell, or lease the client's or customer's property or the property the client or customer
seeks to purchase or lease;
(2) Assisting the client or customer in developing, communicating, negotiating, and presenting offers, counteroffers, and notices that relate to the offers and the counteroffers until a lease or purchase agreement is signed and all contingencies are satisfied or waived; and
(3) Answering the client's or customer's questions relating to the offers, counteroffers, notices, and contingencies.

What to do if you think someone is in violation? Report the listing to HMLS. And, you are free to file a complaint with the real estate commission. Information about filing complaints is on the websites at these links:

Kansas

Missouri

Happy sales to you until we meet again, from Jan P.

Have you ever felt the same level of concern as those agents?

Maybe you silently snicker "Wimpy Wimpy Wimpy" at agents like that...   Do you work on foreclosures or short sales when you're really not knowledgeable enough? Do you fail to counsel a buyer about their eyes being bigger than their wallets? Do you handle pricing, marketing, financing and negotiations with a "so what" attitude?

Dr. Yun, the Chief Economist for the National Association of Realtors, spoke for KCRAR Brokers at a seminar on January 6, 2010 and he mentioned the importance of talking with the consumer before they leap in the wrong direction.  He talked about how during the recent "boom" we saw a lot of buyers purchase their "dream home" as their first house instead of a "starter home" and the results have been devastating. 

True, you can't control people, yet you can counsel them. The truth is that many agents did encourage buyers to slow down and I personallly know hundreds of agents like that. I know agents who actually walked away from transactions they believed too risky for the buyer's situation. Although you may not be the official "buyer's agent" you still have a moral responsibility to help that consumer.

My fervent hope is for 100% of you to do the same thing from now on. Counsel and guide! Take the time to do everything correctly, explain things thoroughly and treat people the way you would want to be treated. DUDE, IT IS YOUR JOB!

To that end please find an expert to take over when you don't know what you're doing. Even the experts have trouble sometimes, so you know how impossible some things must be for novices. Study, learn and stick with what you know. People depend on you whether you like it or not - or believe it or not.

Happy sales to you until we meet again, Jan.

Please don't tell me you rush out the door to meet a new buyer just because they asked to see a house.  Please don't tell me you do that!

Behavior like this creates a huge pain in my chest. Back in the 70's there was a television character, Fred Sanford, who used to say, "This is the big one!" That's how I feel when I hear agents ignoring all common sense and good business sense.

The fantastic Floyd Wickman (in his Sweathogs training course) always taught the concept of CITO.  This stands for Come Into The Office. Now, recite that phrase 25 times so it becomes subconscious and natural for you to say it.

When you receive a call on your sign or ad and they want to see the property, just insist on... (hey, you remember!) Come Into The Office. To be more exact, "I'd love to show you that house.  Come into the office and we can get together for a cup of coffee - we'll go over some details and I can select a few more properties and have the latest financing information put together for you to study and then we can go." If they still resist, try this: "Frankly, we have an office policy about not going out with strangers.  It's for our own personal safety. So let's just meet first, okay?" (So what if you're a 6'4" 320 lb. football defensive guard? Say you do this to support the women in your office.) Take note: if they won't come in...forget about them!  They weren't buyers for you anyway.  Just lookie-loos or someone else's client.

Meeting with them first will accomplish some very important things:

1. You can advise them about getting pre-approved for their loan.  Shuffle them out the door without showing any property when you don't know if (or for how much) they are qualified.

If they say they are pre-approved, ask for the letter and review the Good Faith Estimate.  The odds are good it's a worthless 'pre-qual' letter and there are better rates to be found, anyway. If they want to see a house right away, tell them "I'd hate for you to fall in love with something you can't get.  Sellers want to negotiate with pre-approved Buyers."

2. You can thoroughly explain Buyer Agency (if you chose to go that route) and get them to sign the agreement once they understand it and aren't afraid any more. If the showing was going to be for your own listing, explain Seller Agency and that you'll be their Buyer's Agent later on.

3. You can question them about motivation, desire, urgency, preferences and whether they have a house they need to sell first.  Wouldn't it be nice to know they've already seen 52 houses and they're still saving for their down payment?  You wouldn't have wasted time showing them anything, right? (At least I hope not!  With the time you would have wasted you could have called 25 people on your Center of Influence list and been looking for real buyers and sellers.)

4.  You can get them aquainted with you.  Talk about your background, education, services, dedication, love of small animals and children, expertise with short sales and foreclosures, etc.  Bond with them and win them over so they'll stick with you. (Maybe even give them chocolate.)

5.  You can caution them about walking into open houses or new homes areas or calling ads in the newspaper or talking to FSBO's without you. Explain they'd be in dangerous waters without a buyer's agent to protect them.

6.  You can prepare them for what to expect regarding inspections and the costs, the potential time line for house hunting, negotiating and closing. Send them home with a blank sales contract to study.

7. You can weed out the serial killers. Okay, I know you're laughing. But how else can you be sure the person(s) is legitimate? Send them to get pre-approved!  I don't think Ted Bundy would have gone to apply for a loan.

Please postone perilous proceedings and preempt potential problems!             CITO!

Happy sales to you until we meet again,

Jan

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However, many other agents are ranting big time about this and they want me to say something . . . . .

If you fit into a situation similar to the following example, you need to read this whole article and rethink how you're doing business:

Scenario: You meet a buyer and they sign a Buyer Agency Agreement.  You show them a few houses and a week later you call them and leave a message that you know of more good listings for them to see. They don't return your call. You figure they're just busy with the kids' soccer games. You call again after several days and they say they've been visiting the Happy Haven new homes community and they found something they really like.

You panic!!!! What were they doing there without you????? Maybe they didn't understand the importance of the BA agreement, or maybe you didn't explain it well enough. (Usually the latter, so go read my blog titled Postpone Perilous Proceedings).

Now you call the agent at Happy Haven and tell them these are "your buyers" and you intend to write a contract for them. But the agent says you're not entitled to the commission.  What's up with that?!

The buyers never mentioned your name even though the onsite agent asked them if they were working with anyone.  (New Homes agents are careful about this so they can avoid the situation appearing in this article.)

So what happened here? The buyers have been to the sales office at Happy Haven 3 times and spent a couple of hours each time.  On the third trip they brought their parents, too, and spent 3 hours then went to lunch and came back for another hour. The onsite agent feels he spent waaaaaaaaay too much time with them to consider you the selling agent. He said he would have been happy to spend a little time with them and let you be paid as the sellling agent, but the situation has gone too far.

Your response is, "But I have a Buyer Agency Agreement! The buyers have a right to representation!" Yes, indeed, buyers have a right to representation. However, you have no absolute right to the commission. KCRAR's BA agreement says if you don't receive your appropriate commission from the transaction, as the agreement calls for, then the buyer is responsible for paying you.

What can you do? Well, your broker could request to arbitrate the situation at KCRAR. Read more about Arbitration and Mediation. and try to get a favorable ruling for getting paid by the listing broker.

Note: A Buyer Agency agreement is not a guarantee of commission.  Sorry you misunderstood this! It is not a document between you and a listing broker that states a listing broker is required to pay you anything... remember it is a document between you and the buyer. 

The listing company's listing entry in HMLS shows what percentage they promise to pay the selling agent. However, as in this case, the listing broker doesn't consider you to be the selling agent.

The moral to the story?

First, sit down (early) and talk with your Broker when a situation might head south.

Fully explain things to your buyers UP FRONT.  Make sure they understand not to go without you to FSBO's, New Homes Communities, Open Houses. Make sure they know not to call listing agents' names on yard signs or ads. You can make sure they know if they buy from someone else that you will be expecting them to pay you what you should have made per the BA agreement stipulations.  (or be content to do without the commission.) If they're good buyers, live with them until they buy!  Educate them and don't let them out of your sight!

Equally important is don't expect for another agent to do all the work and sit quietly while you collect the commission.  It just doesn't make sense, does it?  I know it's very disappointing to lose, but you have to understand the big picture, too.

BTW: If you're not familiar with new homes you should team up with an agent who is experienced at this and have them help you.  It's not the same as resale and there are a lot of things you must know to protect your buyer-client.  You shouldn't expect the Seller's Agent to do it all and they certainly can't advise you about how to help your buyer.

Happy sales to you until we meet again,

Jan

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Have you encountered an unlicensed person engaging in real estate activities?  

I mean things like showing property, writing, discussing and/or negotiating offers and counter offers with buyers or sellers? This is NOT okay.

Lately I've received several calls about these onerous, outrageous offenders. They are utterly underhanded and unscrupulous. This category would include those with an expired license, those who have a license in one state but not in the appropriate one, those who are unlicensed assistants overstepping their legal boundaries, and those who just don't care.

Unlicensed people are breaking the law.  There are civil and criminal penalties for acting without a real estate license AND the licensee who allowed them to do it is subject to penalty, too.

The rest of us work hard to obtain and maintain our licenses. We're authorized by the state(s) to list and sell real estate because we've studied and been tested on the laws of the land. Unlicensed people are walking time bombs! KABOOM! You can end up in court, too, when something goes wrong in your transaction.

What should you do if you suspect someone is an illegitimate interloper? First, ascertain the facts. Ask the perp (I mean person) if he or she is licensed and/or you can visit the real estate commissions' websites to see for yourself. (click here for the Kansas and  Missouri licensee lists and complaint forms) Also, keep good records about everything that occured.

I encourage you to stop the proliferation of these parasites. Take it upon yourself to file a complaint with the appropriate real estate commission and call a halt to this madness. Speak up! This isn't the time to be too shy or too busy or too unwilling to rock the boat.  Only you can do something about it.  Bonafide licensees everywhere will thank you (and maybe give you some chocolate).

Happy sales to you until we meet again.                                                                          

Jan 

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2010 will be exactly like 2009

This may be good news for a few people, but for many others it's lousy. The bottom line is this: the past year is going to recreate itself unless you do something to change it, fast.

You've heard this stuff before, but I thought you could use a reminder...

Set your goals -- Write your affirmations --Visualize the outcome -- Feel the Emotion of Completion

What do you want for yourself next year? For your business, your family, your health, your recreation, your personality, your education? (I just had to slip in that last one.)

Get things straight in your mind right now or it will be another same ol' - same ol' year.

I have some heavy reading for you for those cold winter evenings when you're stuck inside the house contemplating your navel or wondering why your dog keeps doing whatever:  Go check out Lynne McTaggart's The Field. I won't reprint a lot of recommendations, but here is a good one -"... an extraordinary advance in our understanding of consciousness as a field of all possibilities where intention orchastrates its own fulfillment." Deepak Chopra

And a good DVD, too, that I very highly recommend: What the Bleep Do We Know? Yes that's the title. Get it at Netflix or Amazon.

When you're finished with those please write in and let us know what you think of them. If you're already familiar, give us your review to post here.

Happy sales to you until we meet again, Jan.

Most of us are good hearted, trustworthy and eager to please.  Unfortunately we assume everyone is the same way.

Watch for scams!  Con men and women rely upon your trusting and eager-for-a-sale attitude so they can take advantage of you. Here are field reports of popular scams going on right now.  If you know of others, email me and I’ll publish them. And you know what to do if you encounter a scam, right? Ditch them ASAP and notify the FBI.

1)      This one involves a woman who wants to “rent to own” or lease a vacant residence until she can close, but she has to move immediately. She claims to be pre-approved but insists the lender will call you versus you calling the lender.  The important part is she needs to move NOW and can pay $200 right away and will pay the rest of the deposit and the 1^st month’s rent in two weeks. However, she NEVER pays a dime.

By the time an eviction is secured, she has already moved and is working on her next unsuspecting victim.

(note: vacant properties have always been prone to various problems including personal safety. NEVER advertise a property as vacant or ready to move in.)

2)      This one involves a man who claims to be looking for upper bracket properties.  Actually, there have been several upper bracket scams over the years!  This one in particular sends an email as copied here:

         I might be interested to put an offer for a property that I have seen before.

    I spoke with the seller’s agent for a while, although they are very nice people,  I don’t feel comfortable going ahead without my own agent (also on the basis of my lawyer’s advice). Obviously you haven’t worked for me yet, but overall I might be interested to introduce you as my agent (for this transaction only) if you would agree with following conditions:

1- Out of buyer’s agent commission that you will be offered, I will collect 75% from you and you will take 25%. I will get a check from you equivalent to this amount at closing (regardless of when you will be paid). We will put this agreement in our contract with numbers and all details.

2- Although you will take only 25% of buyer’s agent commission, you will perform full and honest duties to protect my interest and represent me during this purchase to the best of your capabilities.

3- You will produce me with related documents regarding the percentage of commission that you are offered before signing the offer so we could enter the numbers in our contract.

Please let me know fast, I might want to go head with the offer very soon.
 
Best regards
Faris           CELL 913-645-7929

The moral of the story?

Always make potential buyers COME INTO THE OFFICE! I know you're sick of hearing this and /or you don't think it's important because you don't see other agents doing it. But think of the time you would save and the bonding you would create with potential buyers!  Make them come in and listen to your buyer presentation, see if they have a pre-approval letter - and if not, send them off to get preapproved BEFORE showing. I'm going on the assumption that serial killers and paranoid schizophrenics won't apply for a loan.  Now, aren't you glad you met them at the office first? Trust me, the ones who won't come in aren't worth a thing except trouble.

Happy sales to you until we meet again, Jan

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I think he was right... it's truly hard for us to understand the law sometimes and we never know when it might rear up and bite us on the . . .ankle.

That's why we have lawyers! But before a person is recognized as an authority on the law, there really needs to be the letters J.D. behind his or her name.

Here's my name and alphabet soup: Jan Pringle, WHS, CTM, ATWD, RETAA, GCREP-GL.  Did you notice there's no J.D. showing there? In fact, far from it!

The good news is you have access to real, real estate attorneys who actually graduated in the study of jurisprudence. In other words, not Jan Pringle.

Here's the point I want to make. . . I love all your phone calls. You keep my memory sharp and you keep me busy researching and studying so I can help you in your business.  You keep me on my toes when you call to play Stump the Pringle. But sometimes you're just asking the wrong person.

Sometimes you should be calling a real, live attorney.

So don't be disappointed when you call the KCRAR office with a question and end up hearing me say, "You need to call the LEGAL HOTLINE."

We have a whole page on this website about this FREE service to managing brokers. Check it out here. How can you go wrong? If you think it's a legal question... save yourself a dime and call the Hotline before calling me. You'll be glad you did.

Happy sales to you until we meet again, Jan

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If you were serious about building your business your answer should be in the range of 

10 to 25 every day.

No, I'm not kidding. That wasn't a joke.  It was a reality check. Have you noticed buyers don't grow on trees?  I've been looking at trees for many years and have yet to see a single one.

You should start calling everyone you know because Buyers need you right now more than ever before. Rates are terrific, there's plenty of inventory and there's a federal tax credit. Wow.  I doesn't get better than that.

Go through your Center of Influence list (your friends, neighbors, relatives, past co-workers, old high school and college buddies, parents of your kids' friends, your kids' teachers, your spouse's co-workers, your parents co-workers and friends) and say this:

"The current real estate market and the new federal tax credit presents such an outstanding opportunity for home buying that I want someone I know personally to benefit from it!  Please think! Who do you know who would be a first time buyer?I couldn't live with myself if someone I know misses this opportunity." Then send them a follow up email to remind them to keep thinking.

And make sure you're up-to-date on how the tax credit works and the details about the Missouri program that gives the tax credit in the form of DOWN PAYMENT at closing. Have you attended any of KCRAR's classes on selling foreclosures or short sales? Get with it!

You can't locate the people who need you by staring up into the trees.  Besides, you'll just get a crick in your neck. Make it a promise to yourself to get on the phone and start dialing right now and for every day to come.  Then don't stop dailing when you get a lead.  Keep dailing and find 20 more!

Hey, they need you.

Brrrrring.  It's a beautiful sound.

Happy sales to you until we meet again, Jan

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READ THE CONTRACT.

I receive a lot of calls wherein the Agent has a question that could have been answered if they had just read the contract more closely. (Of course they DO end up reading it again more closely, or discussing a particular paragraph with their Broker, but not until after they've called me.)

Don't get me wrong, I'm alway happy to talk with everyone and help in any way I can.  Besides, if I'm on the telephone I can't drive you crazy writing blog posts. But the fact of the matter is simple: If you don't know every single line in the sales contract (and all the addenda) you could be causing confusion for yourself  and your clients/customers.  Hey, it's complicated stuff!

Just make sure that you're totally current with the latest contract.  You probably were a Wiz at it last year, but each year there are some changes. So go ahead, turn off the TV tonight, grab some chocolate and start reading. And remember we have a regularly-scheduled CE class that discusses the revised contract and it's titled, "Sold! The Revised Residential Contracts."

I can't say it better than Dr. Seuss did, "The more you read, the more things you will know. The more that you learn, the more places you'll go."

Happy sales to you until we meet again,

Jan

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So you'd better read this...

Of course we all know about Fair Housing and the list of protected classes under the Federal Fair Housing Act (and the 1968 amendments):

Race, Religion, Color, Sex, National Origin, Handicap, Familial Status

But, did you know. . .

The states of Kansas and Missouri added this word to the list: ANCESTRY

And Kansas City, MO added these to the local list:                                                        MARITAL STATUS, SEXUAL ORIENTATION, GENDER IDENTITY, AGE

Remember to treat everyone the same and follow the same procedures all the time. A good way to stay on track is to follow the advice in my blog entry titled,                             Postpone Perilous Proceedings.

If you have a potential buyer or seller who has any amount of difficulty understanding English you would be wise to contact one of our bilingual KCRAR members for assistance. That's my advice and I'm sticking to it. Click here for the list of names.

There is much more emphasis and enforcement now than during the previoius presidential administration and many eyes may be upon you!  If you don't do what's right because it's right, do it because you don't want a lawsuit.

Play fair!

Happy sales to you until we meet again,

Jan

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The fastest way to learn what's new is via our Friday Focus Workshops.

Because CE classes takes months from inception to scheduling, you can lean about pressing new issues much faster.  Come to these workshops which are not for CE credit but worth a fortune in 'Get Smart Credit." We don't even care if you come late or leave early.  They're free, informal and designed to be easy for you.

Always only 90-minutes long!                                                                                           10:00am-11:30am                                                                                                   KCRAR Classroom

We'll hit hard and fast on what you need to know so you can get back to your busy schedule. Make it a habit to check this website (under Educaton) to see what's scheduled and you can either register or just drop in.

Tempting, Timely and Truly Terrific Topics:                                                                     Learn about things such as Selling Short Sales, Building Green Homes, Working with Well's Fargo's Foreclosures, Special New Financing Programs, What an Energy Audit is all about. . . and the hits will keep on coming.

Don't be an "As Needed" type of agent.                                                                    Learn what you need before you need it so you don't get caught short when a situation requires your knowledge. If you wait until you suddenly need to know something, the information won't be there.  Get ahead of the game and catch Friday Focus Fever!                                                                 

Registration is preferred so we can arrange seating, but if you forget to enroll it's okay to just walk in and we'll be glad to see you anyway.  (Warning: Chocolate may be required for admission. We'll let you know.)

New Topics? If you have a suggestion for a new workshop topic please respond to this blog by scrolling down on this page. Or respond even if you don't have a suggestion so I know someone is actually reading this!!

Happy sales to you until we meet again,                                                                             Jan

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Yes, it's definitely English and it refers to aspects of SOCIAL MEDIA.

Here's a good, short explanation about this electronic phenomenon from Wikipedia (the popular internet encyclopedia) "Social media supports the human need for social interaction, using internet- and web-based technologies..." Think about reading a newspaper or watching television news. It's a one-way street where all you can do is listen.  But with social media you can say what you want, anytime you want, and be connected with people you rarely see. Social media brings people together in a very unique way.

I'm talking about using some popular social web sites to promote yourself and stay in touch with people. I don't mean your personal website (that's another of those 'one-way streets'). I mean www.Facebook.com and www.LinkedIn.com and www.Twitter.com and others designed for people to connect and share with each other.

But how can you learn about all this?  Well, BFF, there are articles on our website right here.  Start reading, then jump in and set up passwords and establish accounts on various websites. But you need to learn what the experts say about it, so start reading right away because it's easy to make mistakes and you don't want to inadvertently hurt your business.  Then watch what others are doing and you'll get the hang of it. These websites are free so don't worry about spending any money. It's easy and you'll be up and running in no time.

I know whole families on Facebook who are actually 3-generation participants. Parents and their children are active users while the third generation is actually the sonogram photo they  posted of the soon-to-arrive grandchildren. LOL!

It's entertaining, informative and a good way to advertise yourself, IMO.  Once you get more proficient you might even want to start your own blog.

BTW, don't get so hooked on social media that you become one of those people driving down the street texting and tweeting behind the wheel!  If you cut in front of me I'll have to blog about what you did!

Thanks for reading and happy sales to you until we meet again.

 PS. LOL? IMO? BFF? BTW? Learn some internet slang and abbreviations here and impress your friends. But beware, they're not all PC (politically correct).

What is your experience with Social Media?  Tell us!

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For 20+ years I've been trying to teach you about safety procedures for Open Houses but you keep doing things that put you in jeapardy.  Either I'm a lousy teacher or you have lousy hearing. So let's try this again:

Do Not  -  Do Not   -  Do Not -  Do Not 

HOLD AN OPEN  HOUSE BY YOURSELF!

I repeat... Do Not! It doesn't matter if you carry a gun or a taser...just don't do it! Have another ADULTwith you and ALWAYS stay posted next to the front door with the door open for easy exit.  Let visitors go through alone no matter how innocent they look... you're a Realtor, not a security guard, so just stay put by the door.  What are you going to do if you see them steal something? Wrestle them to the floor? Karate kick them? Come on Rambo, get real. You're worth far more than a wrist watch or a prescription bottle, no matter what your in-laws say. 

In nice weather, stay out front with a chair and folding table. Have your phone in your hand at all times - or better yet - hold the homeowner's cordless phone so if you have to hit 911 the police can trace the call.

You probably didn’t know that 206 Realtors® were murdered on the job in the United States from 1982 to 2000. If you think you’re a good judge of character, you’re not! Con Men are Con men for a reason… they’re good liars. And if you think you can defend yourself, you’re dead wrong.  Attacks happen quickly and you’re probably not trained for lightning fast responses like an Army Special Forces Ranger.

An Open House ad is simply another way of saying "Hey Baby, come get me! The door is open and here's the address!" And of course never, never say vacant  or immediate posession in an ad or in MLS.That's like waving a red flag in front of a bull. There are many more Realtor-related purse snatchings, rapes and molestations than you ever hear about.. don't be another victim.

As for your other daily activities here are some tips:

With apologies to Floyd Wickman I’ll pass along a term this great sales trainer coined. I can’t explain it as well as Floyd the Master, but here goes:

CITO! It means COME INTO THE OFFICE.  And that’s exactly what you should say to every single potential buyer. Whether they call on your ad or your sign or are referred by someone you know, start with the CITO (pronounced “see toe”) and you’ll save tons of time and make a lot more money.

It makes sense to meet them before rushing over to a property and here are two extremely good reasons:

1. Your personal safety
2. It’s good business

 Learn to say, “Let’s get together at my office.  We’ll have a cup of coffee and review some things before we head over there.”  (If pressed, tell them you have an office policy about personal safety and you have to meet them first. Normal people will understand.)

Once they arrive you can get them settled in the conference room and show them your buyer presentation and ask to see their pre-approval letter.  Of course they don’t have one so you can send them off to take care of it before showing property.  After all, they want negotiating strength, don’t they? And most sellers need to know they’re approved, right?  There’s no point in seeing houses today without the pre-approval letter!!! You just accomplished two things… you’ll have a preapproved buyer and you’ll weed out the lookie-loos and the con men. DO NOT show houses until the approval is ready.  You won’t lose out on anything by waiting.  You’ll gain.

Anyone who won’t drop by your office first is probably not a real buyer for you, anyway.  It’s a 99.9% certainty they won’t buy from you.  So forget about them, don’t waste your time and protect yourself from evildoers. Use the extra time to prospect for real customers.

This initial meeting is a wonderful way to bond with buyers and explain issues like buyer agency, inspections, showing procedures, contracts, earnest deposits, etc. This works equally well with strangers, friends and relatives.  Win them over first and your whole job will be that much easier down the road. You’ll have credibility with them and enough knowledge about them to do a better sales job.

Granted, you won’t see a lot of agents using the CITO. Okay, let’s look at this way… you’re smarter than they are! You save more time and gas than they do!  You have more buyer loyalty than they do! 

CITO.  Goofy word.  Smart choice.

Happy sales to you until we meet again, Jan.

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Here's the key to very easy money:

Referrals!!

Are you a residential salesperson with a lead for commercial real estate? Refer it! It's hard to resist the temptation to attempt a transaction that looks lucrative, but when you're outside your field of expertise the odds of making even one thin dime are slim. Plus, the client doesn't get the help he/she deserves. When you don't even know the lingo, let alone the first thing about the calculations that need to be done... you're not going to win this one! But you can start learning about the commercial world with this online course: http://www.realtor.org/commercial and read about the education and designations you can pursue. A quotable quote from Dan Sight, CCIM, owner/broker of Sight Commercial Realty said, "Real estate is all about serving your client. Realtors with the most expertise are the most successful. The learning curve for expertise in commercial is quite long and residential agents can best serve their client by referring them out to a qualified commercial Realtor."  BTW: commercial people never work residential leads. They always refer!

Are you a clueless about new home construction? But you have a buyer who wants to put together a build job? Refer it!  Give the buyer to someone who has experience and you can tag along throughout the transaction and learn how to handle it on your own the next time. It's wrong to expect the onsite agent to do it all and help with writing your contract... they're not there to represent your buyer, you are!

Does your buyer want to look on the north side of the metro, but you're only familiar with the south side? (or vice versa) Refer it!  Why waste all that time and gasoline and potential liability vernturing into an area where you don't know the slightest thing about the prices, subdivisions, streets, schools or local government? You might as well try to sell something on the moon! And besides, you'll only look stupid.

Is English not your buyer's first language? Refer it!  If you can't communicate well enough about the fine points of the contract it should be obvious the buyers need to be working with a bi-lingual agent. Okay, so you took a couple of semesters of Spanish in high school. But could you translate the contract and addendums and explain the details in Spanish? Not! So refer this one, too, and go along on showings to stay involved and learn about the buyer's culture and background. It will be more fun this way and the consumer deserves no less.  The buyer's relatives or friends don't make good translators in these situations because it's complicated! Another Realtor is the best bet and KCRAR has a certified list of bilingual agents for many different languages at: http://www.kcrar.com/foreign-language-certified-contact-list

Do you have a buyer or seller you just can't satisfy? You should realize you are probably going to lose them anyway, so Refer it!  The signs of failure are all there... they don't listen to you ... you've tried everything you can think of and they still won't make an offer or lower their listing price... your personalities/age/background are worlds apart... they're starting to not return your calls... So curb your ego and tell them you recognize you're not able to help them, but you have an expert for them. And you'll actually pick up a few bucks.

Remember: Referrals = Easy Moola!

Happy sales to you until we meet again.

Jan

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is Kansas City's very own Mike Phillips, that's who!

Mike Phillips, Owner/Broker of Century 21 All Pro, was recognized by the Wall Street Journal as the #1 real estate agent in the country with 1,148 transaction sides in 2008.

Besides (obviously) juggling a million other things, Mike teaches the KCRAR continuing education class on selling foreclosures.  You've heard the old adage, "If you have a job to be done, give it to a busy person."  Well, that's the case with Mike.  When I'm scheduling a month's worth of classes and emailing a dozen different people with potential dates, Mike always writes back asap with a "yes" to whatever date I suggest.  Amazing!

And we're thrilled to recognize another very significant accomplishment by another of Kansas City's own... Ellen Brewood, Realty Executives of Kansas City in Leawood.  "Sellin Ellen" distinguished herself by making the Wall Street Journal list in the #26 spot with 296 transaction sides. Fantastic!

How about top teams?  Here's more good news! Our town can also boast having a high ranking team among us, too. In the Wall Street Journal's 31st place  is. . .  The Koehler Bortnick Team, LLC of Reece and Nichols with 380 sides. Unbelieveable! This group has been recognized with many other impressive awards over the years, too.

Considering the 2008 total membership of the National Association of REALTORS was 1,197,529 it's an honor for us to have the cream of the crop right here among us.

Is it something in the air around here...or the water? Maybe it boils down to good old fashioned tenacity, confidence and ability.  I vote for the last three with a huge dose of hard work thrown into the mix. In the absence of hypnotizing them and delving into their subconscious minds to understand what makes these highly successful people tick, we'll have to assume it's the above reasons. But whatever the case, let's hope they all find time to smell the roses, too.

Next time you meet up with one of these outstanding individuals, pat them on the back and thank them for showing us how it's done!

Congratulations!

Happy sales to you until we meet again, Jan

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Larry Licensee, CRB, GCREP-GL, AHWD

???? abcdefghijklmnopqrstuvwxyz ?????

So what's the big deal with the alphabet soup behind someone's name?

Well, it says something about you to the public.  It says something good.  Granted, the public doesn't know the first thing about Graduate Realtor Institute or At Home With Diversity or Certified Residential Specialist. 

But, they DO have a subconscious minndd that noticces the lettterss. (See what I mean?)

They sense a mental link to the education degrees they're familiar with and have seen before, such as M.D, DDS, B.A., CPA, Ph.D. The letters tell them you are a person of advanced education - someone who is probably more knowledgeable and capable than the average Joe or Jolene.

Building trust and confidence with the consumer is an important key to success, isn't it? With some alphabet soup, you've won the first step in winning them over and besides, you'll always have lunch ready, too.  (haha)

But there's another huge benefit to these letters. It means you not only look smarter... but you really ARE smarter! After all, we want people to trust us with a decision involving hundreds of thousands of dollars. But there's something wrong with this picture if we can't be bothered to be well educated so we can deserve their trust and perform as effectively as the consumer deserves.  

Information abounds about the various designations and certifications available to you. Just click here for Kansas designations or here for Missouri designations. 

And if you're really smart you'll jump on the bandwagon with what KCRAR has to offer. The Workforce Housing Specialist certification only requires two short classes and your name will be listed on our public service website, too. This course is only offered twice each year and it's coming up again: August 7 and August 14, 2009. You can register for it as you would for any other class. The cost is $120 for both days and you'll be cool like me. . . Jan Pringle, WHS

Look smart.  Be smart.  Get some alphabet soup cooking!

Happy sales to you until we meet again!                                                                       

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Here comes the most controversial match of 2009! 

The opponent in the purple corner is When I Need It and                                                        in the green corner is Before I Need It.

These two contenders have very different styles of combat and have battled for decades to resolve the age old question of “Which way is better to attend education programs?”

One look at the faces of these two adversaries tells a big story. Before I Need It is calm, composed and smiling. There isn’t a hint of nervousness. This fighter is floating like a butterfly and stinging like a bee.

When I Need It, however, appears panicky and uptight, circling the ring anxiously. This fighter just met a new buyer with specific needs beyond the education level of this fighter and unfortunately classes on the needed subject have already taken place. Also, license renewal is just around the corner for this fighter and time is running out.

On the other hand Before I Need It attended classes on the subject in question a long time ago and has already coasted through several transactions. Actually, this contender is armed with other valuable knowledge that will help with the unique needs of future buyers, too. Things always proceed smoothly for Before I Need It because classes and workshops are attended (wow! you guessed it!) before they are needed.

In a contest like this the winner is usually easy to predict.  The odds are definitely in favor of Before I Need It when it comes to either license renewal classes or special-topic workshops. Before I Need It is always well versed, ready for anything, comfortable with a changing market and has more CEU’s than needed for license renewal.

Ladies and Gentlemen,

The winner and still Champion of the World is -                           Before I Need It!

Happy sales to you until we meet again,

Jan

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Actually it doesn't matter what you're sick with. . . 

If it's something we can catch from you please stay away from class!

Unless you're absolutely certain your sniffles are from hayfever or that your upset tummy is because of your own cooking, please be considerate and stay home. PRETTY PLEASE WITH SUGAR ON TOP!?!?!

When you sneeze, cough and otherwise exhale germy germs in the classroom you affect all the people around you.  And when your big bad bugs land on your fellow Realtors they take them home and give them to their families who go to work or school and give it to countless others. You could easily affect hundreds of people! (Me included. Yuck!)

Why?  Probably because you waited too long to get your CE hours and you have one week until license expiration. On the other hand, since you have two whole years to take your classes why wait until the last minute? Start early! What a novel concept! When you're down to the eleventh hour there are too many things that can go wrong... your car won't start, your alarm doesn't go off,  you forget to turn off the iron and have to make a U-turn on the highway to go back home, or you're in a coma.

Whatever you do, don't drag your sore sickly self to class. Stay home in your favorite PJ's, brew some hot tea with honey ... and the Surgeon General advises a shot of whisky, too. (haha I just made that up)  You can take some online classes with your own computer, then relax and think of all the revenge and paybacks you just saved yourself from.  Get well soon!

Happy sales to you until we meet again. Jan Pringle

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Stand and deliver!  (I suppose that should be type and deliver or maybe keyboard and deliver.)  You're letting me do all the talking on this blog and I'm getting hoarse.  It's YOUR turn to speak up here.  Shout it out!!

Come on, what's bugging you? About real estate, silly, not the Shamwow guy. 

What thoughts ran through your mind when reading my other posts? So tell me... am I nuts? Did I miss the important points? Am I hitting on all the wrong topics? Should I just shut up?

What topics would you like to hear from other agents about?                                   Write in and tell me what you want to know. How others solve short sale problems? What kind of prospecting is working for them?  Their biggest roadblocks right now? The little things that drive them overboard? Their fear of blog posts? The ins and outs of various financing programs they know about? Do you need advice on something in particular? Write in a comment at the end of this post and ask your question...                  

What's your sign?                                                                                                         I'm a Capricorn the Mountain Goat and we're supposed to be good at organizing, so don't let me down here!

Let's hear from an intellectual Aquarius, unpredictable Cancer, imaginative Pisces, enthusiastic Aries, determined Taurus, eloquent Gemini, broad-minded Leo, analytical Virgo, sociable Libra, passionate Scorpio, straightforward Sagittarius and of course. . .other incredibly witty and stunningly beautiful Capricorns.

Happy sales to you until we meet again.

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This class sold out!  Congratulations to the 120 newly greened agents! Watch for this class coming back later in 2009.

You Should Be Green!

Not like a leprechaun, silly, but green like an Environmentally-Savvy Realtor.

Homebuyers today probably know more about eco-friendly building and resale retrofitting than most real estate agents.  That's a bad thing!

You need to be ahead of the pack.  You need to distinguish yourself from other agents so you can get more business. You need to be a leader, not a follower, when it comes to the Greening of Real Estate.

It's easy to be Green. . . Attend the Green Certification class being sponsored by KCRAR. It's only 3 hours long and the price is right at $89.00. 

This course is a one-time only offering!  We're including a mini-expo with exhibitors of green products and you're going to learn a lot.

Be there!

To register, log in at this website and go to Course Registration.

Happy sales to you until we meet again,                                                                           Jan

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