Teaming Will Enhance Your Business

(but it is NOT a pre-requisite to joining ISREP)

ISREP encourages its members to establish a "team concept" for its business model. In other words, the team should consist of a real estate agent, a lender, a home inspector, an appraiser, a title and escrow company of choice. When organized properly, within 6 months, a team concept will start building the businesses of each of its participants!

Its conceivable that you may want to be part of more than one team, because of the differences in the kinds of transactions you may process. It would be natural for a lender to work with 5-6 real estate agents, for example.

And agents, it is very common to hear agents say they work with 3 lenders, for example, one who specializes in VA, another with FHA, etc. Maybe you all use the same home inspector, escrow company etc. Perhaps you dont.

Lets say an agent works primarily with first time home buyers. They would want to have an experienced Loan Officer who has experience working with FHA Loans, someone who understands the hardships and vulnerability of persons purchasing a home for the first timel Someone with the patience and personality to do a lot of hand-holding while helping the buyer(s) through the home buying process.

It would behoove the team to also have an appraiser on your team who actually is certified to do FHA appraisals. You might find they do appraisals for several types of loans as well.

Then of course, you need a home inspector on your team who will take the time to explain the various systems within the home, besides discovering defective scenarios needing a remedy.

And finally, try to choose a title and escrow company who the agent is comfortable with since they use their services in between transactions as well, and

Bottom Line: The typical team will have 4-6 participants and they generally will all provide services to a mutual client of one another. The beauty of the concept is they will get to know the business practices, skill and knowledge levels of each other, and they will each do their part to prospect more business for "The Team" --- rather than everyone having to prospect just for themselves.

Your Affiliate Adds Synergy To All Of Us!

We're all familiar with the concept that as an individual, we may struggle, but when we combine resources, we can "move mountains" --- with that in mind:

ISREP's fee structure is low because is doesn't expect to hire a large staff to maintain its operations. It believes a membership society of special interest (i.e. Real Estate) is a phenomenal resource for persons of high intellect, technological savvy, and many have had very successful experiences that set them apart from the rest of their fraternity financially.

We believe the sharing of information among our members will raise the bar and set a new industry standard by a real estate organization. We further believe one persons failures could be scrutinized by a team of common members, and the process tried again, this time with great success.

It are these principals that ISREP came into being. Especially with the major shift we are currently seeing in our industry. Professionals, like never before, need to band together, and emphasize our value to the average consumer.

The People Who Make The BIG MONEY Are Better At Marketing

When meeting other investors, one of the most frequent questions I am asked is how is it that I manage to buy up to 5 properties a month when they are struggling to find one.

It only takes me a few questions to get to the problem. Their marketing doesn’t make the grade. It’s either haphazard, inconsistent, or nonexistent, and instead of facing that they want to tell me that it’s the economy, or it’s different where they live.

Here is what I counsel all the people who want to make wheel barrels full of money: “Don’t ever forget that above all else you are in the marketing business. The extent to which you embrace this fact will ultimately determine your success or failure in this or any business!”

A bold statement, I admit. Now obviously you need to know the basics of the business, how to buy and sell homes for a profit, but beyond that, your marketing will be the difference between you and all the other investors out there.

Why is it such a difference? Because when you market well, people come to you to help them solve a problem, and that makes all the difference in the world. Yes, you can go knock on doors of every FSBO or foreclosure in town, but the positioning is terrible. First, you were not invited, and the prospect is likely to be so defensive or angry, you are not going to get very far. Unless you really like rejection and a very low return on your effort, this isn’t the way to go.

I send postcards and direct mail to my prospects all the time. Sometimes people say to me: “I tried direct mail and it doesn’t work in my area.” This, of course is absurd. What I usually say to them is “What’s the difference between a 1 dollar bill and a 100 dollar bill? It’s the message on the paper!

So many people send out $1 messages and expect $100 results. It just doesn’t work that way, and it never will. The $1 message screams out to your prospect all about you, and how you will buy their house sight unseen.

First, an ugly truth: Your prospect doesn’t care about you. He cares about someone who has a solution to a problem they are having. When you take out al the I, I, I, of your direct mail pieces, and replace it with possible solutions to their problem, then you have a far better chance of having them contact you.

No one is born a terrific marketer. You would not believe some of the mistakes I made when I started out. But I got the education I needed, and was never afraid to invest in seminars that ultimately got me to a position of making over $1 million a year. You can become a great marketer too, but you must get the education on how to do it right, and the system to execute it all.

I know that marketing will make the difference between an investor who does 3 deals a year, and the ones who are doing 4 or 5 a month like I do.

Proper marketing will produce truly motivated sellers which are the best prospects in our real estate business. This will make a difference between making $50,000 per year or $50,000 per single month!

To summarize, you need to become good at marketing, that’s the first step! The second step is for you to realize that you need a motivated seller to create huge profits. The first step will take care of the second one!

If you’d like to learn more about marketing automation and how to find more motivated sellers than you can handle, please go to

http://www.ProfitGrabber.com

There you will hear about Profit Grabber system that Marko Rubel uses to organize and automate his marketing. You can do the same and achieve $50,000 plus every month, buying foreclosures and other distressed real estate, using no-money down techniques!

Finding Motivated Sellers

Motivated sellers? My wife and I were trying to keep the renters happy, the rent coming in and the house repaired - while living 2100 miles away. You bet I was motivated. We just sold our house last month, and even got a good price, but I'll tell you a secret. We would have sold the place for... well I don't want to stress out the buyer if he reads this. Let's just say we would have sold it for much less.

There's your first clue on finding a motivated seller. If his property isn't where he is, he's probably ready to deal. How do you get this information? By asking. Talk to the real estate agent, the neighbors, and anyone else who might know something useful. Here are some other things to watch for that may indicate a motivated seller.

1. Relocation. If you hear that the seller is relocating for work, ask when he will be moving. He may already be worrying about those double payments.

2. Divorce. Divorce or relationship problems create many motivated sellers. Often a house payment needed both parties, and will have to be sold quickly.

3. Financial problems. A failing business, too much debt or other financial problems often force a sale. Find out if the owner is behind on payments.

4. Tenant problems. It is easy to get tired of being a landlord. It is also common to want to get out at any reasonable price.

5. Probate. If the house is in probate, and the heirs are all waiting to get their inheritance, they may be more interested in a quick sale than a great price.

6. Up-sizing or down-sizing. Owners moving into a larger or a smaller home may already have one in mind and need to sell quickly.

More Clues For Finding A Motivated Seller

Another way to find motivated sellers is to pay attention to the wording of ads in the classifieds. Statements like, "Need to sell," "Must sell," and "Will look at all offers," are good indicators. "Must have a good job," in a rental ad may indicate a landlord that is tired of tenants and ready to sell. Some other methods:

1. Find neglected properties. If they aren't maintaining the property, they may be short on cash, tired of it, or out of town - all good motivators.

2. Use property tax rolls. Go to the county records, which are open to the public in most places. What you are looking for is properties that list an owner with an address far away. You could have found us this way, and bought our place for less than we got.

3. Use timing. Just before school starts, people are motivated to get their house sold so they can get their kids enrolled in the new school where they are moving. If an apartment building has been sitting there for sale for the whole winter, the owner may be tired of the bills and ready to get it sold fast.

The bottom line is to use your eyes and ears and look for the clues. Talking to people helps a lot. However you find your motivated sellers, the next step is to motivate them even more, by giving them what they want. Start by negotiating for a fast, easy closing for them - and a good price for you. That, however, is a topic for another article.

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About the Author: Steve Gillman has invested in real estate for years. See a photo of a beautiful house he and his wife bought for $17,500 on his home page, or go straight to the section on Investing In Real Estate: http://www.HousesUnderFiftyThousand.com