House Invest

The Traditional Real Estate Model Has Changed
The foundation of the real estate economy is based upon the commission earned from the buying and selling of property In every transaction, there is a buying side and a selling (listing) side Real estate companies focus more on the listing side because listings also attract buyers In most markets, if you control the listing market you will have market share (more transactions) The company can also increase market share by recruiting more agents . .Most companies’ recruiting efforts focus on promoting their market share, brand awareness and office culture Agents are attracted by the potential of business opportunities provided by a company’s listings This value proposition is particularly important to newer agents who do not have the benefit of repeat clients and referral business In the past, agents had the opportunity to obtain customers (primarily buyers) by servicing walk-ins, and ad or site sign calls These walk-ins or calls resulted not only from the volume of listings, but also from Realtors controlling the general sales process . .Until recently, the real estate sales process was controlled by Realtors because Realtors controlled the information Only Realtors had complete access to MLS Listings and housing information Even if a buyer saw a house in an advertisement, it usually never contained an address This forced the buyer to call or visit a real estate office for more information and to interact with an agent Buyers were forced to work around the Realtor’s schedule in order to start looking at houses Realtors would also selectively eliminate homes from consideration to help narrow the choices for buyers Although this service was appreciated, it limited the information and amount of homes a buyer would be able to consider The Internet has forever changed this process . .Technology has created a generation conditioned to be instantly gratified This generation wants and expects to maintain control over the process and have access to the information The resources available online has subsequently minimized the occurrence of walk-ins and calls resulting from advertisements Traditional real estate companies and traditional Realtors must therefore adapt to these tech-savvy home buyers . .Unfortunately, there is a generation gap forming between buyers and Realtors The average age of a first time home buyer is around 32 years old The average age of real estate agents is 53, and the average age of real estate brokers is 62 . .For traditional real estate companies to compete effectively, they must learn how to market to the Internet generation and start attracting younger people into the industry .
Source: www.rsstnx.com

Average Home Prices Fall Nationwide in the First Quarter of 2009
Ninety percent of American cities endured falling home prices in the first quarter as first - time home - buyers looking for bargains were the major influence in the market . .According to a statement made by the National Association of Realtors on Tuesday, May 11, 2009; median sales prices of existing homes declined 134 out of 152 comparative metropolitan areas compared with the same period a year ago Prices did rise in 18 other undisclosed cities . .Foreclosures, “fixers”, REO’s, and other distressed properties contributed to about half of the market’s closed sales, even though sales did fall 3 2 percent from last year . .In a statement made by David Resler, chief economist at Nomura Securities, “I think we’re near a bottom, but we’re not there yet ” While prices could hit bottom as soon as this summer, he said they are likely to remain stable and start edging higher slowly . .All things being equal, the emerging signs of recovery in the housing market could be short - lived if employers continue to lay off workers en masse . .All but six states had falling sales figures - Nevada, California, Arizona, Florida, Virginia, and Minnesota - experienced sales jumps due to buyers being able to grab foreclosing or foreclosed properties at deep discounts Sales more than doubled in Nevada, rose 81 percent in California and grew 50 percent in Arizona - signaling that the worst may be over for those distressed states . .Yet, the average sales price nationwide was $169,900, down 13 8 percent from a year ago Obviously, half of the homes sold higher and half sold for less . .Fort Myers, Florida, showed the biggest drop of more than 50 percent Following closely at 40 percent or more were the following municipalities: Saginaw, Michigan; Akron, Ohio; San Francisco and San Jose, California; Phoenix, Arizona; Sarasota, Florida; and Riverside, California . .On the other hand, the largest price gain, more than 21 percent, was in Cumberland, Maryland Davenport, Iowa was the only other double - digit increase in value city with prices climbing nearly 14 percent . .Many of us in the real estate and lending industry, believe that once first - time home - buyers begin utilizing the $8,000 tax credit included in the Obama economic stimulus package; we should see a boost in sales, especially in the second half of the year If this indeed occurs, then prices should stabilize in all areas .
Source: www.rsstnx.com

Real Estate License Do s and Don ts For Success
When it comes to getting a real estate license, there are many things to keep in mind From finding a training program to choosing the best school and even the right city to work in after you’ve gotten licensed, you need to be fully aware of all of the different decisions that you need to make, as well as the different aspects of real estate that may affect your career decisions There are many different people who will tell you many different things about real estate license courses You can’t trust everything that you read online, though, and finding reputable information can prove to be a challenge If you’re considering a real estate license, here are some do’s and don’ts . .DO: . .-Choose a training program that is high quality and offers everything that you need .-Check out your financial options for paying for training, including student loans and other financing methods .-Consider your options before you choose a school or training program .-Ask professional acquaintances and others for advice on the career that you’ve chosen .-Make sure that you find a city or area that you enjoy working in, because you will have to have the passion to sell people on living there . .DON’T: . .-Pick a school just because it’s cheap .-Sacrifice the quality of the training to save some money .-Jump into real estate license training without understanding the full detail of what you are getting into .-Attend a program or go to a school that you’ve never heard of if you are skeptical in any way, shape, or form .-Work in your hometown or where you’re already located unless you love the area If you don’t like it, your clients won’t like it . .These few little tips can help making the transition into training and your new career much easier than if you didn’t have them to think about Take the time to find what works for YOU, regardless of the opinions of others Even though you should ask for referrals if you know people who can give them, that doesn’t mean that you have to use them If you find a better school or program or simply don’t like their suggestions, go with what works best for your needs Getting a real estate license might not seem like a smart career move right now, but when the market picks back up and you’re one step ahead of the rest, you’ll be thankful that you did it .
Source: www.rsstnx.com