Christopher's Hemet CA Real Estate Blog - Mission Grove Realty: August 2007

Top 10 reasons why a real estate agent should NEVER advertise on the web:

1. Advertising on the Internet is too expensive.
2. It doesn't work....The Internet is just a fad.
3. Everyone in the community already knows me.
4. Everyone in the world already  knows me.
5. I already know everyone in my community.
6. I already know everyone in the world.
7. My clients don't want to be on the Internet...See #2.
8. The homes I list have interest only to the people I know. See #3-6.
9. The phonebook IS the ONLY place to be.
10. Internet, what's the internet?

I heard a statement the other day that made perfect sense. "No one buys a home from the internet".

I thought for a minute.....the statement IS true. No one does buy a home FROM the internet.

Plain and simple...the internet is a useless tool for real estate agents.

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Christopher Walker - REO Broker and Realtor with Mission Grove Realty is a proud member of the Active Rain real estate network.

It would seem so according to a recent news story.

Seems that we may soon see Corporate logos emblazoned for all to see on our Nations Treasures. Will we soon  see the likes of:

• Liberty Mutual's Statue of Liberty?
• The Mall of America's National Mall?
• Bill Gates' Golden Gate Bridge?
• Hanna Barbera's Yellowstone Park?
• The Alaskan Wilderness by Exxon Mobil?
• Taco Bell's Liberty Bell?
• The White House sponsored by Dubai World?

Today's news story tells us that we are not to see advertising that shadows our National Treasures. It suggests "tasteful" advertising  without co-branding but, leave it to the corporate giants to eventually find the loopholes left there for them by government officials. It may come sooner than we think!

What would be your favorite Site / Corporate Sponsor Combo?

This is a call to action from all that I have invited to the Active Rain Network. Those that have accepted my invitation and....those yet to make the plunge. For those of you that have joined the Active Rain Network:

Why are you sitting in a corner? When I invited you to this party, it was not to have you sit, lurking in the corner. Do you really want to be the one that everyone asks...."hey, who brought that one to the party?"

This is a place, like any party,  for you to interact with others...to network....to make new friends and maybe enrich that, so called, life of yours.

You are the same people that call me and ask what you can do to grow your business. You have to start somewhere and I don't have all of the answers. You can find answers to almost any question on Active Rain so, what are you waiting for? You have to take the first step......take the plunge...do something for yourself.

• Do you want some great ideas?
• Do you want to grow your professional network?
• Do you need more business?
• Do you want to connect with Potential buyers and sellers?
• Do you want additional web exposure?
• Do you want to join the party?

YES? Then participate! Participation is what this community is all about. Look around and find your place. Comment on a post or 2, ask a question, post a new idea or.....revisit an old one. No one will fault you for it. Well......most of the time they wont. It is all a learning experience. Get out of the corner, get out into the room and mingle with the crowd.

I DARE YOU!

For those of you that have yet to take the plunge...here is your chance: Click to jump in and Join the party!

                                                                  Go ahead....click it!

And you call yourself a professional. GO AHEAD....Click it....I know you want to.  CLICK IT!!!

After reading The Silliest Realtor Game In Town (A Great Post) by George Tallabas , I felt that we all may need a serious "Heads Up" with regards to the practice of re-listing a property in order to "freshin' it up" or whatever you might wish to call this practice.  

The "Churning" of a listing  is a breech of the Realtor Code of Ethics.

What is Churning? This is when an agent cancels or withdraws a  listing from the MLS in order to re-list it back on the MLS in order to create the appearance that it is a new on the market.  In many cases, re-listing will reset the "days on market"  for the "churned" listing.  This is usually done to gain additional interest in an old or poorly represented listing.  In doing this, the listing may reappear on an MLS "hot sheet" and  on various e-mail alerts that are sent to clients through "listing alert subscriptions" or,  move to the top of a website. 

So....Everyone does it. It must be O.k. 

The following is commentary from the California Association of Realtors Legal Center which would apply to ALL REALTORS regardless of geographic location: 

"While practitioners want to zealously market their seller's listing, the big issue concerning this practice is that it makes a representation that can be misleading and inaccurate.  Entering inaccurate data and making misleading representations are both violations set forth in existing MLS Rules .  The REALTOR® Code of Ethics also requires REALTORS® to be careful to present a "true picture" in their advertising and representations to the public.  Furthermore, misleading representations in the MLS pose potential legal liabilities to those involved in the listing transaction"

• MLS rules apply to all Realtors regardless of whether the MLS you belong chooses, or has the resources to enforce the MLS regulations.
• "Churning" is  misleading and deceptive therefore violates the Realtor Code of Ethics and may lead to potential legal liabilities to those involved in the listing transaction (The Realtor AND the Seller).
• MLS "manipultion" of any kind renders the MLS data wothless when presenting to a potential client, when viewing a picture of the health of your market or...for any other use other than wallpapering the spare bath with MLS data sheets. Makes for good bathroom reading but...little else. If the only thing you use the MLS for is to look up listings, you wont be able to understand why this practice is a problem. The MLS is so much more than a place to look up listings to so many people.

Harmless?.....Tell that to your seller and your broker when they both get served! And I am not talking about breakfast. You're toast!

In this market, homeowners facing foreclosure are looking for anyone to place blame on. If their lender leaves the market, and they may have well done, who else is left as a target? Why open yourself, your seller and your broker to this potential liability. It will cost everyone involved a ton more than your potential gain. If you do a great job at presenting the property the 1st time...there would be no need to "freshin' it up". You dont get a second chance to make a great 1st impression and "churning" wont change that.

For those of you that have not seen my post: Recipe for Mortgage Fraud, you may want to have a look before continuing.

That post seems to have brought fears that others will use the information to defraud the public. The FACT is....the element out there that have the propensity to utilize these techniques.....already have the information or, know where to get it and......trust me (Don't use "Trust Me" with clients) they have more information....COMPLETE INFORMATION, than I provide there.

Does anyone out there feel that, by posting some details relating to mortgage fraud, the general public will attempt using it as a result? If you do, YOU might be  part of the problem that plagues the American public.

Please, no hate mail for that statement.

Do we educate our children in the ways of child predators; What they do, how they do it and what might happen as a result so that they can become predators themselves? Of course not. We are are passionate about our children and, when it comes to their safety, we all  want to protect them. Why do we not hold that same passion in the rest of our lives?

My wife is a 3rd grade teacher....an educator I should say. One of the best.  She is admired by her students, faculty and, although I don't say it enough, by her loving husband (ME!). When an administrator's child entered the grade level my wife teaches, she was her choice of educator. Why? Because my wife holds the same, if not more, passion for education. Something that is missing from our system of education and society as well....another post all together.  The education of society is placed on the education system entirely. Society refuses to accept responsibility for true education.  By true education I mean what schools are prohibited from teaching. You may already know the prohibited subjects. Subjects that are the RESPONSIBILITY and OBLIGATION of their parent(s) or guardians.

Posting recipes is a bad thing? The "fraudsters" out there wont and did not get the information from my post. They know how to find it and already have it....IN DETAIL.  Educating the rest of us is key. Knowing the ins and outs of fraud and many other aspects of illegal activity is imperative.... if you are to have the ability to spot it and protect your clients, as well as yourself, against it.  Look how many people that ask in my post. "does this really happen?" a testament that educating the honest in the ways of the fraudulent few is ABSOLUTELY IMPERATIVE. Have you ever wondered if the truly innocent are ever convicted and sent to prison....It happens. It happens as a result of their own ignorance. Something that might be solved through education. Education that can not happen in our schools. Public or private.

We are creating a society if ignorant people. It does not take a rocket scientist to figure that one out.

Protecting the honest... and our children, by limiting the information they have access to,  leads to MANY problems in our society today. We do not need to protect them in this way. Think about it. REALLY think about. All of the problems that might be solved though education. REAL education!

I can not wait too see how Bill and Melinda Gates  children turn out :). We already know the results of Paris Hilton's education...or lack thereof :(.

Yes, that's right folks. You too can have this seasons must have accessory. You have seen them worn by celebrities like:

1. -Paris Hilton
2. -Yasmin Bleeth
3. -Hugh Grant
4. -Tommy Lee
5. -Shannen Doherty
6. AND MANY MORE!
7. 
   
8. These are the same ones you have seen around town being worn by the stars of screen, television and music ! Want to look like a celebrity? Of course you do!

Don't miss your opportunity to join the ranks of the elite. The process is easy and the bracelets are FREE!

Seriously folks. Business has been a bit slow in many markets. When times get a little tough, some will turn to less than ethical means to get ahead. Some will justify their actions by pleading ignorance or because they were told that the deal presented benefits all parties so...it must be OK. Heck, it is done everyday so, it must be OK.

It seems that some are up to their old tricks again. I have seen offers (I thought this was over with many months ago) where the structure requires the seller to raise the price and provide cash back at closing. The typical offer comes in with a substantially higher offer price. Great for your seller, great for you! The seller then simply gives the difference between what they are asking and the new offer price back to the buyer at closing. Sound too good to be true? This is still happening and the unwitting and greedy seller AND agent may find out, all too soon that it is too good to be true...and ILLEGAL. If they have completed the transaction. You both could wind up with FREE BRACELETS. This IS illegal! No ifs ands or butt's! "Cash back at closing" deals are....LOAN FRAUD.

Want some easy money? This is not the answer. Many unscrupulous folks out there will attempt to convince you otherwise. All sorts of explanations given... all sorts of justification. They may even provide you with a letter or web site that provides information that will show how legal this activity really is. If it's on paper or...on their web site, it MUST BE TRUE.  Anything they will attempt to provide you is FALSE.

I thought this type of thing had gone by the wayside but...appears to be live and well. Either that or, someone has bought themselves a new book without securing a financing source in advance. Either way...Watch out!

Most  of  the  time.

If you can control the press then any press is good press. A Federal indictment does not fall in the category of controlled press.

Controlled press is what you see in our industry every day. Designed and controlled by the press itself. Your "TrustMe" ads printed alongside "bad press".What we need is some "bad press" that we control. Not too hard to do but, you must plan well in advance. Fail to plan and plan to fail.

P.T. Barnum was, arguably, the best marketer and promoter this country has ever seen. I am not an advocate of creating a marketing model designed around self promotion but, throw it in the mix and you could gain valuable exposure for your clients! Be careful though, this type of marketing is not for the faint of heart.

An example of Barnum's work that I recall is when he was sued by a circus goer who felt he had been deceived. His case claimed that Barnum's side shows were deceptive and fake. Specifically, he claimed that the Bearded Lady was actually a man. He brought suit against Barnum and the press immediately picked up the story. Headlines everywhere had Barnum's name emblazoned for all to see. Was Barnum headed for ultimate doom? The trial was covered in papers everywhere around the globe printing accounts of the days testimony. For weeks Barnum received "bad press".

The outcome....Barnum had been vindicated! Headlines everywhere printed accounts and the outcome of the case. Barnum was a hero. The bearded lady WAS REAL. The entire country could not wait for Barnum's Circus to get to their town.

Eventually it was made known that Barnum himself had hired the "Plaintiff" to bring suit.

Brilliant marketing. Marketing that would have been impossible to achieve even with Barnum's great wealth.

Now, I do not recommend that you bring suit against yourself to gain exposure. Things were quite different in Barnum's time. The opportunity does exist for you to think outside the box and find other ways to gain valuable, free exposure. The basic principles of marketing and promotion remain unchanged. Find your niche, design a controlled plan and then.... GO FOR IT. Spin your own story today. Have an idea about "press" we could create? share it!

Lets just say that everyone in America lost their home to foreclosure. All would be dead in the real estate industry wouldn't it?

Where would we all live? In tents....down by the river? Lets just say we did. A new economy would be created:

• Tents would be in short supply creating a surge in tent prices.
• Material suppliers would scramble to meet demand.
• A shortage workers would increase wages.
• The effects would be far reaching.

All those tents would create sanitation problems that would require facilities enhancements. Port-a-potty suppliers would be scrambling to meet demand. The Port-a-Potty industry would boom and they would have to invest their money somewhere. A few more of those vacant homes.

Since all those people would eventually end up on private land, attorneys across America would be filing complaints against the squatters in order to protect the property owner. Rich in cash from the foreclosure crisis in America, attorneys now possess over 2/3 of the worlds cash reserves. They will certainly buy a few of those vacant homes but will also be running government completely. Something we will cover in another blog.

Get the picture? There is always a market or someone to market to. You must think outside the box to find it sometimes. Analyze the market and determine who is profiting from it. Someone always is. Currently it is savvy investors, attorneys and homeowners that did not over extend themselves. Most of them do, or will see, the opportunity available for investment in real estate. They will be doing their homework and, if you are doing yours as well, you may just find your niche.

If the extent of your current marketing is the same old same old and you are getting no results (As most are) it is time to change. Look at where the market is and market directly to that audience. Be creative, innovative and, most importantly....be REAL. Doing what everyone else is doing will get you into the poor house quicker than ever!

I took this headline by combining the text from 3 different real estate Blogs here on Active Rain. Not an actual quote but, take a word here and a couple of words there, rearrange them and Voila! I have fixed everything! No finger pointing....no whining....Just though I would do my share. You can thank me later.

Agents:Be ready, I have done the ground work for reform and it is only a matter if minutes before you have clients lining up at your door. Is your cell phone on...and charged? Those that have bailed out or thinking of it....You had better get back in the saddle again for a great ride.

Lenders:All this talk of Countrywide's near meltdown, talk of regulation and, "Lending Scum".....It's all over! I have paved the road for you. Get those pencils sharpened and the printers warmed up....It is going to be a great week. You too will have an inexhaustible supply of clients.

Please don't mess it up! This is our second chance to get things right. I am not saying that there was anything wrong with what was happening before I fixed this  but, It is all better now. It is amazing how our perfect world was all mixed up because of a simple misunderstanding and the Press' spin on absolute perfection combined with only a few, very few, bad apples. Ohhh the all powerful press. What were they thinking? A conspiracy I tell you.

I received a comment in one of my blogs from an industry expert recently who combined 2 sentences to make one that fit their current need. Something the press does everyday...why not here...in the Rain? I just thought I would utilize that principle  to benefit all of us. After all, that is what "community" is all about...is it not? Helping each other.

Hiding from current issues, sugar coating obvious abnormalities and then posting them in order to convince everyone that all is good...a simple misunderstanding.. is good for our industry, is it not?. Shouldn't we all be contributing only 1 side of current issues. Spin the truly bad to read as pretty good. Don't worry, it wont make us look bad to the consumer when they figure it all out for themselves will it?

Once they figure it out, the market turns, something new comes along or...whatever. We can just follow the lead and start writing to the masses. We don't have to have our own ideas and values. Not here....why? The idea is to go where the money is....follow the leader....be as un original as possible. No one will ever notice ! Write for your clients not to them. Highly over rated I tell you and far less profitable. Go where they money is!!! No one will ever be the wiser.

Get out there and be ready! I have fixed everything for you! I hope you are all happy and productive!

YOU make the business. The business should never make you!

We do have an opportunity that needs to be addressed. Is it as bad as some say? I don't think so. Will it take time to recover form this....yes. It will also take educating ourselves...and the consumer. It will take mortgage reform as we saw in Great Brittan a few years back. Ignoring this will not make it go away...no matter how hard we try. Real estate is still a great investment if you choose the right professionals and clients will truly do their homework.  The rental market is booming and someone must be the landlord. Builders are offering unprecedented incentives to entice buyers and many are fantastic deals. There are home owners in bad situations that need help and offer additional opportunity for investors and traditional home buyers too...It is a great time in real estate though we do have issues that must be addressed and we must do our share to re-educate the average home buyer. If it is in print....it must be true so....this is it ladies and gentleman. The good news everyone has been looking for. No more excuses! Get out there and make some business before the business makes you!