Sean Shertzer

Is Real Estate REALLY just a numbers game?

One of the things that I've been told, and that I've read, is that real estate is strictly a numbers game. You talk to x number of people until you finally hit a yes. Or "so many no's" will finally get you to that big "yes".

Well, I've been reading a lot of Jennifer Allan's blogs on ActiveRain, and I downloaded her Sell with Soul eBook last year, and I've been slowly trying to get into the SWS way of doing things since that's more my nature and style. Anyway, I took a friend to dinner last night that I haven't seen in a few months and wanted to reconnect. She remembered I was a real estate agent, even, and asked for some of my cards since she works in an insurance office. I didn't get any business, and I wasn't looking for any; we just had a nice dinner and reconnected. However, one of the things she said at dinner made me think of real estate and whether it's really a numbers game, or if it's actually just a timing game. She's a single mother of two boys, so there are times she needs to get out and relax. She made mention of that, and she was really grateful that I asked her to go to lunch or dinner just to catch up. She said that my timing couldn't have been better. It had been a hard week for her, and she needed to just have some time to slow down and relax and not have to deal with anything.

So that brings me back to my original question. Is real estate really just a numbers game, or is it more of a timing game? Jennifer Allan's SWS model, from what I can tell so far in my experience, gravitates more toward real estate being a timing game. You don't have to knock on x number of doors to get that "yes" or cold call y number of people before one actually talks to you. It's a matter of timing. Just like my dinner invitation to my friend, it's all a matter of "when", not "how many".

For those that are still stuck on real estate being a numbers game, think of it this way. Say you go out door knocking, or cold calling, and you knock or call on 100 people. Finally #76 says "yes". What if you just went to door or phone number #76 first? Would they have said "no" just because somehow they knew that you hadn't reached your magical number yet? No, of course not. If they're ready to go, they're ready to go and to listen or give you business. You just need to know "when" someone is ready, and that's why you want your name to stay in front of people.

It's not a matter of 1,000 people knowing your name and that you're in real estate. It's the fact that you got your timing right and asked them when they were ready to go or ready to listen. Is finding the right time difficult? Oh yeah. I'm not saying that you shouldn't put your name in front of 1,000 people if you get the chance, but it's not the fact that the law of probability and numbers will probably get you more business, it's that your name is in front of the person at the right time. It's not that you saw 75 people before the one person who said "yes", it's that you hit them at just the right moment.

So, back to the question: Is Real Estate/Selling/Prospecting really just a numbers game? The short answer is NO. It is a timing game.

If you're not from the Phoenix area, you may not think that much of this storm that we're having, but for those of you that are from the area, you know this is totally out of the ordinary. An article in the local paper says that Phoenix is expecting 3-5 inches of rain today, and according to another source, that is comparable to what the area generally receives in a whole YEAR! So Phoenix is definitely getting deluged with rain, and we're not used to it by any means. Now, some of the people I work with are from Washington and other rainy places, so it's not really unusual for them. I, myself, came from Northern California, so I'm used to rainy seasons in the winter also, but I'm not used to it here in AZ. It's been dark, cloudy, and rainy all day, with no signs of it going away yet. The local news says the storm is supposed to stay here and finally leave around Saturday.

Am I complaining? Not really. It's rare for us to get rain here, so anytime rain comes, it's a welcome sight. However, as I mentioned above, people here aren't really used to it, so drivers are not driving as well and not compensating for the wet roads, people are out in droves in the stores or staying home to keep dry, and the power is unpredictable in some of the more rural areas. Actually, the monsoons are better to a point. They come for about 10 minutes, dump a lot of rain, then move on, and the temperature stays warm. Most of the time, if you wanted, you could wear a T-shirt and shorts and play in the rain because it's warm and then go into your home and dry off, and I have done that (hey, I have to succumb to my inner child sometimes). It's fun. But I realize beggars can't be choosers, and I really don't mind the rain, so bring it on! :)

Common Courtesy & First Impressions

How many chances do you have to make a first impression? One, right? Wouldn't you like to make a good first impression every chance you get? It all starts with common sense and common courtesy to other people. That said, I'm just going to go on a little rant of a pet peeve I have, but it is also a call to action if you find yourself in this category.

The major point I'd like to get across is if you set up an appointment with someone, please keep that appointment if at all possible, or if something comes up that you need to take care of, call the other party and tell them that you can't make it, and if possible, reschedule.

Most people seem to understand the common decency of calling the other party to cancel or reschedule, but it seems that fewer people actually do it. We're all human, and most people understand that things come up that are unavoidable or you sincerely forgot, but as long as the communication is there, it's not as big of a deal. But if you just don't want to, or you forgot because you were lazy and/or didn't write it down, why even bother making plans or setting an appointment?

Personally, I set up 4 appointments for this week, two of which were on Tuesday, and two were today, on Friday.

The two on Tuesday I even called the day before to confirm, and they both said we were still on for our appointments on Tuesday. The appointment times came and went, and no one showed up. I gave them about 15 minutes past the time, which is a "rule" I have made for myself to give people since people do run late sometimes (myself included), and then I tried calling them to no avail. One didn't have a voicemail set up, and one did, so I left a message. Neither one has even called back as of today, and it's been 3 days.

Today's appointments turned out the same way, no shows. I left a message for one, but one I did get a hold of. That one is a busy professional also, and forgot our appointment and set another one for roughly the same time. I can understand that one more so, and I knew about her busy schedule beforehand at least. In the end, we ended up rescheduling, and I will make sure to do my part to confirm a day before for sure this time.

Like I said, please try to keep any appointments/meetings you make. I know things come up which are unavoidable, but why can't you just take two minutes to make a phone call or shoot over an email and say, "Hey, something came up, can I reschedule our meeting?".

I'm not saying that I'm perfect, and I've been known to be guilty of this in the past, but we all need to do our part and communicate with the other party. It helps both parties, and it make life a little bit easier in the end. Again, you can only make one first impression. Why make a bad one?

In closing, I would just like to reiterate my point: If you have an appointment with someone, try to keep it. If something unavoidable comes up, communicate with the other party, and if possible, reschedule.

New Year's Resolutions - What resolutions are you making and what resolutions are you going to keep (realistically)?

Every year around this time, most Americans make at least one New Year's resolution. A resolution is something that you resolve to do, in this case, in the coming and new year. It's also a fact that not many Americans actually keep their New Year's resolutions. Some of the popular New Year's Resolutions* are:

• Lose weight - Many Americans are overweight/obese, and those that are seem to always resolve to lose the weight (or at least the fat). Some, if not most, don't seem to be able to keep the resolution through the whole year, and they seem to fizzle out of it in a month or two, or less. If you plan to make this one really happen, short term goals are easier to manage.
• Manage Debt - This is more manageable, and more seem to actually be able to do this one a little each year. Some people seem to confuse this one with "rid debt completely", which is usually harder to do unless you make more money. Those that actually keep their focus on just managing it and not letting it get out of control make the most progress.
• Save Money - This goes along with "Manage Debt" to a point. If you manage your debt well, and you budget better, you often can save a little money each month or week or whatever time frame you decide on. More often than not, "Cut Expenses" is a good resolution to go along with this one. Anywhere you can manage to cut an expense, or cut it down, make saving money easier.
• Get a better job - This one is popular, especially if you believe you're in a dead end job or don't see any future in your current one. If you really plan to change jobs or careers, start thinking about schooling or applying at many places. Especially in today's economy, jobs are harder to come by. Make sure you stick with your job to try to make it better, or at the very least, keep the one you have until you know for sure that you get a different one. Many people quit their current job and then are out of work for months because they thought they had a new job, only to find out they really didn't.
• Quit Drinking/Smoking - This one is always very popular, but again, it does not last too long. Smokers and drinkers think it's relatively easy to quit, but apparently, it's not. I don't smoke or drink, but I have friends that do. Smoking is one of the hardest habits to break, and if you really drink a lot, drinking is too. Just like "Losing Weight", the key is short term goals and little steps. Some can quit cold turkey, but most people have to wean themselves gradually.
• Reduce Stress - Everyone wants less stress, right? For this one to happen, though, you have to be willing to change your habits and demeanor. It's hard to accept, but a lot of the time, you are the one making a situation more stressful. You are the one to keep adding to the stress. We are all individuals, and some of us get along better than others. You have to learn to accept other people, and you have to know when to let go. However, there are times when it is the other person, and there are times when things are stressful and totally out of your control, and you have to just go with the flow. Usually, going with the flow will lessen the stress immensely.
• Take a trip - Everyone likes to travel. Some people are such workaholics, or just don't have time to take off work, so they never get a chance to take a trip. Some people that make this resolution mean to take a vacation, but this could also mean a short day trip or weekend to a close destination. For example, people here in the Phoenix area could go up to Prescott, Sedona, or Flagstaff for a weekend getaway, or even a day trip. People in the Sacramento area could go to Reno for the day, or even San Francisco for the day. Pick a close location (a couple hours away) just to unwind for a day or two. Just a day or two away from the daily grind can be amazing and can recharge your batteries quickly.

* List is from usa.gov, but commentary is mine.

With any New Year's Resolutions, you have to be able to keep up with them. If you don't, why even bother making them? Make 2010 a year of firsts. Let this be the first year you will keep all the resolutions you make, for better or worse. Track them over time. If you see one that you know in years past you haven't kept, change it so you can, or get rid of it. There's nothing wrong with getting rid of a goal that you know you won't keep. There's nothing wrong with changing your resolutions as long as you can keep to them.

Good luck in 2010. I hope all your resolutions come to bear!

To close, why don't you share some of your New Year's Resolutions? If you want help, please email me, and we can both help each other keep our goals for 2010.

One of the most important steps in buying a home is pricing it, in other words, doing your homework. The seller can literally choose their list price out of thin air, technically speaking. They could put it on the market for $1,000,000 if they wanted, or on the flip side, they could also list in for $1. Now I admit, those are just ridiculous figures that most sellers wouldn't do unless the market supported that. However, the main point, that the sellers just basically set their own price, is very valid. Sometimes, a seller will list their house low to encourage a bidding war. Sometimes, a seller will list really high in case a buyer actually pays that price (and believe me, there are buyers that will, but luckily they are very few and far between).

Since sellers can set their own price (within reason), a homebuyer really needs to do their homework. Does the market support that list price? Is that homebuyer willing to pay that price? A few facts do need to be taken into consideration. Are there repairs that need to be done? Is the price within the range of what similar homes in the neighborhood are selling for? Does the home have a pool? These are all questions that need to be answered before a homebuyer makes a decision on what price to offer. There are also emotional items that may be taken into consideration. That depends on the individual, and they can only be asked and/or answered by that person.

Here in Arizona, sellers are required to disclose just about anything they know about the home. For example, if the upstairs bath faucet leaks, they need to disclose. If there's a hole that a painting is covering in the wall, they need to disclose. There's a couple things that sellers do not have to disclose. There's also some things that the seller may not actually know about the house. That's why the home buyer is the ultimate one who has to do all the homework and cannot, in most cases, come back to the seller afterwards if something is found after the fact. In Arizona, there is a 10 day inspection period in which the buyer can verify or research anything and everything they want to know about the house, and it even says in the contract that if it's important to the buyer, get it researched or verified.

What all of this comes down to is that you, as the homebuyer, need to really do your homework on the home before you can even consider making an offer, both to protect you in a future investment and to help you in deciding what price to offer the house seller.