I try and read a book a week. It doesn’t always happen, but I have a long list of books I want to get through. Most of the books I read fall into three categories: Real estate investing, self-help and marketing. The book that I’m reading this week is “Awaken the Giant Within” by Tony Robbins.

In the book, Tony talks about how you condition your mind for certain behaviors by reinforcing these behaviors and changing your belief about past behaviors (confusing, I know). He actually uses some fancy term, like Neuro Programming Association, or something along those lines. So, you’re probably wondering what this has to do with talking on the phone with sellers, right? Well, most new investors are scared to call a seller or talk to a seller on the phone. There is no rational basis for this, but they’ve conditioned their mind and now associate a negative feeling to talking with sellers.

I know that when I first started out in this business I hated talking to sellers just like everyone else. When I had a lead come in I would procrastinate for hours, before returning their call. Finally one day, I decided that I wanted more than anything to become a successful real estate investor and that no fear was going to hold me back. So, I scheduled a time each day that I would make calls to sellers (I highly recommend time blocking).

Anyways, since action cures fear, the more calls I made the more comfortable I became. Then as I started closing deals (which meant making money) I associated a good feeling with the phone calls….because phone calls began to equal money. Well, I’ve done something special for people who are afraid to talk to a seller on the phone, or don’t know what questions to ask them. I’ve recorded a two-part video where I go from A-Z showing you how I talk with a seller on the phone.

PART 1

Part 2

Next week, I’ll have another educational video for you that’s so secret I’m not going to tell you what it is (which means I have no idea what I’m going to show you, so I’m open to suggestions).

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Tags: Anthony Robbins, fear, productivity, real estate marketing, sales, self improvement

I hate running (unless someone is chasing me). I haven’t run in probably four years. Elevators and escalators are my best friends…but through a series of events which I don’t feel like explaining, I am now training for a marathon because of a promise that I made to someone. When you give someone your word, you honor that word no matter what. I started training last week and hated every minute of it. Starting out running three miles a day might not sound like a lot, but go out and try it, I dare you! I will keep you posted on my marathon training; however, I am pretty sure that you will see the same information from me every week: That running still sucks!

Anyway, now to give you a deal closing technique that will put more money in your pocket this week. A few weeks ago I talked about the “yes or yes” close (if you didn’t learn that closing technique, search my post two weeks ago.) This week I am going to tell you about the “puppy dog” close.

Here is what I want you to imagine: It’s a beautiful Saturday afternoon. You and your son or daughter are at the mall. You pass a pet shop and see the cutest little puppy staring at you through the glass. Your child begs to see the dog, and you say “yes, but only a quick look, then we have to leave.” The salesman comes over and hands your child the puppy. As the time approaches to leave the store, your child throws a fit that they want the puppy. The salesman calmly says to you “why don’t you just take the puppy home for a night and if you really don’t like him, bring him back tomorrow.” Now, we all know the rest of the story…the puppy is never going back to the pet store and you are now the proud owner of a new dog.

Here is how this technique should be used when it comes to our real estate investing businesses.
Imagine you are sitting at a seller’s kitchen table. The sellers are motivated, you have handled all of their objections and questions, and all they need to do is sign the purchase agreement (always an agreement, never a contract.) They pick up the pen, but do not sign. They stare at the agreement for what seems to be an eternity, then they tell you they are not sure they are ready to go forward. You should immediately say, “Mr. Seller, I understand that you are nervous. This is an important decision. Why don’t we go ahead and sign the agreement now, and if you are still unsure tomorrow about going forward, give me a call and I will shred the agreement……because we certainly don’t want you to sell to us if you are not 100% comfortable with the solution.”

Many people will sign the agreement and very few will call you and change their minds the next day. This technique takes “courage” that many folks don’t have. Most people will just let the sellers not sign and will leave the house. Remember, the most important part of this business is closing the deal…as Zig Ziglar says, “Timid salespeople have skinny kids.”

So on your next meeting with a seller (which should be this week) let them take the puppy dog
home (the agreement) and they can always call you the next day if they change their minds.

Tags: real estate, real estate investing, real estate investor, real estate marketing, real estate sales, sales

The following was a comment posted by Linda Parker as a response to our contributor, Jim Watkins’ post, Down Sales Market? Think Outside the Box. As the comment carries weight on its own, we’ve decided to publish it as its own posting:

OMG! Higher commissions do get agent’s attention.
When most companies are trying to kills us with commissions right now lowering them to 2.75%, 2.25%, 1.5% that we have to split with the boss, increasing that commission will most certainly get our attention….believe me! We will add a house we have NO interest in to get a client in the door of a big commission….especially in a down market! Jim, you’re right….keep it up.

Here are some more ideas on how to get it sold:
(a few of my secrets…not going to give them all away).
As one of the top agents off and on at William Davis Realty over the years (over 400 agents now?), on listings, you need to go a little further if the competition is being stupid! And, this certainly sounds like your situation with all the reductions!

• I suggest you hire a niece or nephew to do a lemonade stand out front on weekends. Do an open house behind their set up at the same time. Neighbors happen to know people/relatives who want to live in the neighborhood!
• This one gets a ton of calls….put a sign (attached your sign - usually only allowed one sign in Dallas/Fort Worth in the yard for sales) offering a “free cruise” (get a free 3-day/2-night certificate from one of those time share companies) for the buyer if they buy your house.
• Go to the local supermarkets and WalMart and fill out those courtesy bulletin board cards…..
• Fax it to HR departments of local employers for relocation purposes…that’s what I do.

Again, these are some secrets from my full service listings, but you can do this stuff yourself…..it’s easy!

As you say………….think outside the box…..it will sell and be the ONLY ONE to sell on your street if you use your head!!!

Again, special thanks to Linda for her insight and advice!

Tags: property for sale, real estate, realtor, sales, sell real estate, selling homes

Sales records were just smashed by the new Trump International Hotel and Tower Waikiki Beach Walk condo-hotel. Four hundred sixty-four hotel suites were purchased for over $700 million by investors last Thursday. “Developers said the sales set a record for the amount of residential property, both in dollar value and unit volume, sold in one development on a single day. The previous record was set in December 2005 when Vancouver-based Intrawest Corp. sold 318 suites in the first phase of a Maui resort for $425 million US.” The project will begin construction next month, and is slated for completion by the middle of 2009.

Trump has recently become the king of licensing, by selling his name to real estate projects around the country. With to no little investment in these projects, his company is looking more like Marvel Comics (another licensing firm) then a true real estate development firm.

Tags: condo, condotel, developer, Donald, finance, hotel, licensing, sales, Trump

It is not uncommon for people to catch cold during the fall and winter months, but it would appear the U.S. ecomony is also feeling a bit of a chill, and some experts say the recent slump in housing sales is to blame.

The U.S. Commerce Department reported that overall growth slipped to 1.6 percent during the last quarter–and that is the slowest it has been in three years, according to an article in Canada’s National Post reporting from Washington,D.C.

The paper says economists have zeroed in on housing sales as the primary culprit with prices falling the most in more than 30 years last month alone.

“We are feeling the effects of the housing bubble bursting and, while the ill wind is not pleasant, it is not likely to be long lasting,” Joel Naroff, president of Naroff Economic Advisors in Pennsylvania told the paper.

Tags: advisors, commerce, department, economic, growth, housing, sales, slump

Pending home sales data for August was just released by the National Association of Realtors. According to the Pending Home Sales Index, “contracts signed in August, rose 4.3 percent to a level of 110.1 from a reading of 105.6 in July, but is 14.1 percent lower than August 2005.”

David Lereah, chief economist of the National Association of Realtors, said that the over supply of homes for sale in the US should be drawn down as the inventory of new homes coming on the market slows.

Just to clarify - homes are considered pending once entered into contract, and stay pending until the sale is closed. Pending home sales is often used to measure the health of the housing market.

Tags: association, home, housing, index, NAR, national, of, pending, Realtors, sales

Although the stock market’s Dow Industrials has flirted with an all-time-high for the past several days, and oil has maintained its decline, the housing market continues to look weak. Here are a few highlights from Today’s MarketWatch report:

- “Banc of America Securities said Friday it expects pending home sales to decline between 3% and 4% in August from the previous month after its monthly survey of real estate agents revealed disappointing traffic trends.
- Merril Lynch economist David Rosenberg wrote Friday, “residential construction is officially in recession, as the home-building stocks predicted long ago.”
- A.G. Edwards analyst Gregory Gieber estimates the inventory overhang of new homes in the 190,000 area.
- The Dow Jones U.S. Home Construction Index, which follows housing stocks, is off 28% over the previous 12 months.”

In addition, we’ll find out about pending home sales data on Monday, which should give a good idea of how many of those houses that are on the market have gone under contract.

That’s all for now . . . enjoy the weekend!

Tags: construction, dow, home, housing, oil, pending, sales