David Dorman

With all of the incentives for first time buyers, it's no wonder that there has been a dramatic increase in buyer's coming into the real estate market! Many are hoping to take advantage of the 8K tax credit being offered by the government. The program, which expires in November, allows buyers to get an 8K tax credit on their next tax return. I am often approached by first time buyers who want to know where to start the buying process. The first step in buying is finding the right people to help you with your transaction. When buying especially, a REALTOR can help save you time and money. Your REALTOR will navigate you through the whole process. Ask to meet with them prior to heading out and looking at homes. Make sure you "click" and that they are a good fit for you. It's important to find this agent by a referral. Picking an agent by calling off of a sign or random website is risky. Any agent fresh out of school can list a home and place a sign in the ground or create a website. Is this someone you want to help you make the biggest purchase of your life? Research the agent and ask for references. A good agent will have these items readily available and offer them up usually before you ask for them! Again, do your homework before making a huge mistake.

Next, you need to know "the numbers" so that you can make a smart purchase and not get yourself in over your head. The numbers are the figures you will need to know such as what you can afford, how much out of pocket you will be, and what additional costs are associated with buying a home. You should for sure set a budget and stick to it! A good agent will be able to direct you to several good lenders. I always recommend to my clients that they talk to a minimum of 2 lenders and compare costs. It's amazing how we will shop various stores to save a few bucks on a purchase, but time and time again, I have seen buyers take the first mortgage option offered and not question it. The fees can vary greatly and after all, it is your money! Shop around! When you find the right deal, take that extra step to get fully approved on paper. On average, the first time buyer qualifies in the upper 100's to low 200's. The competition for homes is heavy, so having an approval helps give you the extra edge over other buyers without an approval. It shows the seller you are a serious buyer and gives them a "warm fuzzy" about working with you.

You should try and see several homes, but if you find one you like, don't be shy about making an offer. Chances are if you like this home, someone else is either ahead of you or right behind you thinking the same thing! When making an offer, you need to have a realistic approach. Ask for comparables and recent market activity. Contrary to popular belief, there is no set percentage to ask off of the list price. Every listing has different circumstances. In your offer, you may want to ask the seller to assist you with closing costs. This will allow you to keep more money in your bank account for the improvements you may want to do to your home later. Just remember, at the end of the day, like you, the seller has a bottom line too and if you can't make it work, move on. Also, if you really like a place and it's realistically priced, don't loose it over a few thousand dollars. Make a decent offer and don't look back. Sometimes you have to pay a little more to get what you want. At the end of the day, a few thousand dollars over 30 years does not dramatically increase your monthly payment.

By following these basics, you can achieve the dream of home ownership!

Have you every really stopped to ask your self "what do my clients want?" Do they want someone with a fancy car? Do they know what any of your designations mean? Do they care how much bling you have or how wonderful you say you are? The answers to most of these questions is probably a resounding "NO".

What is important to your client? You will never know unless you ask them. After every client, I send them a survey from a "third party" that send me back the results. I ask them questions about everything and you would be surprised to find out what is important to them. Many agents will never know because they won't take the time to do the work. Fact is, when you know what makes your clients tick, you can tailor your business around them. It seems like a lot of agents focus on their money instead of the client. This shows through and while they will likely finish the sale with the client, that same client will not refer them to anyone. I take the opposite approach. A longtime ago when I first got into the business, my broker told me something that has stuck with me ever since. She said "Take care of the client and the money will come naturally". It's true. How many times have you added up your commission in your head instead of just taking care of business? How would you feel if the rest of the world worked the same way? What if your doctor treated you based on what you were going to pay him? It kind of makes you think. Don't be fooled into thinking that your client does not notice. They do and they will tell eveyone they know.

I challenge you to take an honest look on what your priorities are with your clients and hold a mirror up to yourself. Are you ethical? Are you honest and do you take care of clients, or just take their money?

Did you know that Orlando has over 8,500 registered REALTORS? How many are actually good?

It used to be that you could usually find a trusted advisor in a REALTOR, but with more and more inexperienced agents in the business, how does the consumer find the right agent? It's more than just experience. It's character and education for the most part. Many buyers and sellers "end up" with an agent instead of choosing them. I have been involved in numerous transactions where I have wondered how in the world did this buyer or seller end up with their agent. Truth be told, many buyers simply call off of a sign and work with the first agent that picks up the phone. That is amazing to me. The biggest purchase most of us will ever make, and we leave it to chance or luck of the draw! Just because an agent manages to get a listing, does not mean they are qualified to help you purchase a home. The dirty little secret about real estate is that agents learn as they go and rarely do agents come right out of their educational classes to get the license, knowing the in's and out's of real estate. Statistically, most of the complaints from buyers and sellers about agents, has to do with agents with 3 years or less experience. Don't be fooled by a company name either. Sadly, a new agent can join a major franchise and have access to the same marketing and promo materials to make them look like a 15 year vetran. That does not make them an equal agent anymore than me putting on scrubs and saying I am qualified for brain surgury. Do your homework! Ask for credentials. Ask for past clients recommendations or other referral sources. A good agent will have a list of people to talk to. A good agent will know their stats and be able to produce them. There is a lot of talk that goes on with agents, but a good agent will have the facts to back up their claims. I find the best way to get a good service person is to ask a person you trust for a referral. This not only helps you locate a person they have done business with, but it also makes that service person work extra hard to help you since they know you were a referral.

You should also look for an agent who takes the time to market their business. If they don't spend a dime on marketing, chances are they are either not able to afford it and are desperate for cash, or they don't care enough about their business to do so. A good agent will spend at least 10% of their income towards marketing. Having an agent that is desperate for cash is not a person you should have representing you. Let's think about that. If your agent is desperate for a sale, don't you think that puts them in a compromising position to get your sale pushed through? Do you think they would say just about anything to get the deal done? Look for an agent with a steady flow of business. It's the same concept as not going to the grocery store when you are hungry!

If you are selling a home, make sure your agent has experience. It's great that you have a friend in the business or a family member that just got their license, but make sure they are qualified (see above) and know the process. Once you hire them, make them show you your listing and the marketing. Don't just take their word for it. I hate to say it, but many agents will lie through their teeth about what they are actually doing, just to get a listing. Make sure they are a good negotiator. A difference of a a percent or two may not sound like much but when you are selling a home, you want to get every dollar you can out of the home. Make sure your agents spends money to market your home. Ask them how much they spend. A good agent will know. They will also have systems to market properly. Take it a step further and ask if they are a certified agent. Have they had a background check? Sounds simple, but most consumers don't verify who they are working with. It's important.

The bottom line is simple. Take your time and make good choices. Do your research. Google your agent and see where they rank. Ask for references. Don't make an emotional decision and once you do hire the agent, make sure they do what they said they would do. If they don't, fire them. By the way, a good agent will rarely ask you for a cancellation fee if you cancel the contract. There are exceptions, but if your agent wants to charge you a 1% cancellation fee, you should be wary and ask why. I don't know many jobs where you can get away with getting paid for not doing your job!

If you want to find a CERTIFIED agent to help you buy or sell, go to www.parentrelocationcouncil.org. These agents are all certified and background checked. PRC is building a network of quality agents across the nation. They can't buy their way in, they have to pass inspection! The agents are reviewed after each transaction as well and if they don't perform, they are out of the organization.

I can't help but feeling more and more like a grumpy old man these days. This is a challenging market here in the Orlando area. There are numerous short sales, REO properties, and if you are lucky, traditional sales. I gotta tell you, I truly love helping people but lately, I find that many agents in our area do not seem to care about their clients and just disregard the rules and regulations of our MLS. Lack of disclosure, lack of information and lack on communication. They just don't seem to care, or know better.

Today, I was looking up a home to show a client and must have found 15+ homes that lacked the "short sale" disclosure in the public remarks, asis required. These same listings often include only one photo of the home, they lack a property description and they have the absolute bare minimum of room dimensions and input. The kicker is when you look at the number of days on the market, it is usually a crazy high number. It truly makes me a crazy person. The people that higher us to sell their homes deserve better. I can't put it any plainer. Does anyone else share this frustration with lazy agents? Does it not make you want to call the agent up and let them know that you would love to know more about their house for sale, but in the few short 9 months that they have had it listed, they have only managed to post one photo? The public in general does not know any better, but they do view us as greedy, lazy people. Don't take my word for it...go to www.outrageousagents.com Scary stuff!

So where do we go from here? How do we separate ourselves from these agents? Well, first, I'd like to invite anyone who is not willing to do the work it requires to properly represent a buyer or seller to please leave the business. Let the people that know what they are doing and have taken the time to educate themselves do the work. Okay, that's harsh and wishful thinking. I would however encourage the rest of us to start reporting data entry errors and to contact sales managers when agents are not acting properly. It's time to take back the good name of REALTOR and present ourselves the way we should be seen. As professionals. Let these other agents know how you feel. We can make a difference.

If you are like me and have had enough, you might just be a good candidate for PRC. It's not for everyone, in fact many will not qualify. But if you do, I can help you market yourself away from the amateurs and position you as a quality, professional and CERTIFIED agent. PRC offers unique marketing tools and so much more to elevate and separate the qualified from the not so qualified. You can read about it at www.prcstandards.net There are over 1.5 million REALTORS in the United States. There will only be 30,000 that will be PRC Council members.

Well, it's time to go to bed, thanks for letting me vent a bit. I know that there are good...dare I say great agents out there. I want to work with them! If you are one of those agents, it's time to stand up and take back what has been lost! Night :)