Good Morning, Pinnacle Club,
Hope you're excited about the day and ready enjoy success today. I know I am! (amazing how a full, good night's sleep - and a little Trick or Treating with the kids - helps the attitude!!)
Today let's talk testimonials for a minute. By the way, you'll also be receiving a "Business Booster" email from me sometime today or tomorrow about the importance of testimonials. However, I wanted to add a little more to that so you get a feel for how I use testimonials from past clients and referral partners, like you.
First, I ask for them - twice. At closing I provide a customer satisfaction survey and then I mail them another one a few days later, along with a thank you letter, fridge magnet, etc. I do this just in case they didn't the take the time at closing to fill it out or wanted to write a longer testimonial but just didn't have time at closing.
I ask permission to use client testimonials in my marketing and then simply type them into a simple Word document (see link below) so they're all in one place. Then be sure to attach that Word document to every introduction email you send to brand new, prospective clients so they can get a sense for your business expertise and how well you'll treat them.
I also recommend doing video testimonials at closing and posting them on LinkedIn, Facebook, Twitter and your website to milk the most of out them in as wide a variety of media possible.
Last idea - If you've ever visited my office and waited in the lobby for me, you most likely were handed a three-ringed binder stuffed full of the original testimonials I've collected. The cover says "Who Says Rock Stars Are The Only Ones With Fans?" (cute, huh??) The point is, I'd rather have clients reading about how great I am than looking at Eagle Magazine! Doing so helps strengthen a positive perception of me in their mind before we even meet.
Take a look at what you're doing currently to strengthen your business through testimonials and implement these ideas, too. It's fun, reminds you of how much others appreciate your efforts on their behalf, and it pays dividends in your business! Go do it.
Your Partner in Greater Success,
Bill Zimmerman (NMLS #3773)
Thursday, November 1, 2012
Tuesday, October 9, 2012
In her book, Double Your Income In Real Estate Sales, Danielle Kennedy discusses several ways to communicate better with buyers. You know that showing homes is more than being a tour guide. It is an agent's job to match clients' wants and needs to a home's features and benefits. Kennedy suggests the following four tactics to achieve this:
Ask probing questions. It's important to uncover wants and needs, and any hidden emotional issues that may later hinder the closing. It's better to reveal and solve those problems early.
Avoid speaking in industry jargon. Communication has to be pure and uncluttered. Remember, clients do not understand when you say, "I'll check the MLS/Paragon and see if it's out yet. Then I'll call the OB and find out about the metes and bounds, and if he caravanned the place Thursday." Insead, say what you mean in everyday language.
Verify with feedback. You and your buyers must understand all their wants and needs and maintain that understanding throughout the entire search process. To create and maintain a rapport, ask feedback questions such as, "Do I understand correctly; you would like..." or "It is my impression that your family needs... Is that correct?" or "Do you agree this floor plan is the best one for your family?" When in doubt, ask. Misunderstandings are far more embarrassing than asking clarification questions.
Listen, listen, listen. Danielle Kennedy and many others state emphatically that one of the primary differences between top producers and others is listening skills. Check your listening skills: How good are you at blocking out distractions? Do you give clients 100% of your attention? Do you take notes and ask the right questions? Do you rush through appointments? Do you let your cell phone interrupt your conversations?
Remember, Sales & Marketing people are the highest paid people in the world. Always stay sharp!
Your Partner in Greater Success,
Bill Zimmerman (NMLS #3773)
Ask probing questions. It's important to uncover wants and needs, and any hidden emotional issues that may later hinder the closing. It's better to reveal and solve those problems early.
Avoid speaking in industry jargon. Communication has to be pure and uncluttered. Remember, clients do not understand when you say, "I'll check the MLS/Paragon and see if it's out yet. Then I'll call the OB and find out about the metes and bounds, and if he caravanned the place Thursday." Insead, say what you mean in everyday language.
Verify with feedback. You and your buyers must understand all their wants and needs and maintain that understanding throughout the entire search process. To create and maintain a rapport, ask feedback questions such as, "Do I understand correctly; you would like..." or "It is my impression that your family needs... Is that correct?" or "Do you agree this floor plan is the best one for your family?" When in doubt, ask. Misunderstandings are far more embarrassing than asking clarification questions.
Listen, listen, listen. Danielle Kennedy and many others state emphatically that one of the primary differences between top producers and others is listening skills. Check your listening skills: How good are you at blocking out distractions? Do you give clients 100% of your attention? Do you take notes and ask the right questions? Do you rush through appointments? Do you let your cell phone interrupt your conversations?
Remember, Sales & Marketing people are the highest paid people in the world. Always stay sharp!
Your Partner in Greater Success,
Bill Zimmerman (NMLS #3773)
Tuesday, August 28, 2012
Bill Zimmerman's Weekly Tip - Without a System, You Will Reinvent the Wheel Every Time
Well, it's that time of year again - another new school year. For those of you with children in school I wish them the very best and hope they enjoy learning all they can this year!
Today we'll wrap up with the last of the "8 Universal Business Principles" as outlined by Dan Kennedy specifically for Pinnacle Club members (remember, he co-founded the Pinnacle Club nationally). I hope you've found them to be thought provoking and helpful to your real estate business.
Number 8 - Without a System, You Will Reinvent the Wheel Every Time
“Effective Systems Will Save You Time, Energy, Money and Help You Achieve Consistent and Predictable Results”
A system is a regular, orderly way of doing something. Most importantly, a system is a plan for the way something should be done – a plan that has been conceived incorporating (but outside) the normal, day-to-day activities that consume most agents. A system is duplicatable. If your business is not duplicatable, you really don’t have a business, you have a job.
Take a franchised fast food restaurant for an example. Everyday, with predictable and measurable results, a system is executed. In fact, what sets the average from the above average is a system and the execution of that system. So how do you create a system? Well, you don’t have to. There are many consultants in the real estate industry that market their systems. That’s one way. Hire them and use theirs. Or you could work with me and I can help you develop them. No matter what, if you are currently operating without systems in place that incorporates all 8 of the Universal Business Principles we have discussed over the past 9 weeks, you are on a spinning wheel going no where fast.
Ask yourself these questions:
Do you have a system for attracting prospects everyday?
Do you have a system for converting them to appointments?
Do you have a system to convert the appointments to clients?
Do you have a system that provides clients with superior service?
Do you have a system that turns them into lifetime clients?
Having all these systems operating together will create a predictable, consistent and highly successful business for you. If you are missing any or even all of these systems, I can help you put together an action plan for developing them in your business.
I have thoroughly enjoyed sharing these principles and strategies with you. I look forward to hearing from you on how they have opened your eyes and mind and even a few AHH HA’s! that hit you.
Your membership in The Pinnacle Club® will help you internalize these principles as well as help you become a craftsman at applying them in your real estate business.
Your Partner In Greater Success,
Bill Zimmerman
Today we'll wrap up with the last of the "8 Universal Business Principles" as outlined by Dan Kennedy specifically for Pinnacle Club members (remember, he co-founded the Pinnacle Club nationally). I hope you've found them to be thought provoking and helpful to your real estate business.
Number 8 - Without a System, You Will Reinvent the Wheel Every Time
“Effective Systems Will Save You Time, Energy, Money and Help You Achieve Consistent and Predictable Results”
A system is a regular, orderly way of doing something. Most importantly, a system is a plan for the way something should be done – a plan that has been conceived incorporating (but outside) the normal, day-to-day activities that consume most agents. A system is duplicatable. If your business is not duplicatable, you really don’t have a business, you have a job.
Take a franchised fast food restaurant for an example. Everyday, with predictable and measurable results, a system is executed. In fact, what sets the average from the above average is a system and the execution of that system. So how do you create a system? Well, you don’t have to. There are many consultants in the real estate industry that market their systems. That’s one way. Hire them and use theirs. Or you could work with me and I can help you develop them. No matter what, if you are currently operating without systems in place that incorporates all 8 of the Universal Business Principles we have discussed over the past 9 weeks, you are on a spinning wheel going no where fast.
Ask yourself these questions:
Do you have a system for attracting prospects everyday?
Do you have a system for converting them to appointments?
Do you have a system to convert the appointments to clients?
Do you have a system that provides clients with superior service?
Do you have a system that turns them into lifetime clients?
Having all these systems operating together will create a predictable, consistent and highly successful business for you. If you are missing any or even all of these systems, I can help you put together an action plan for developing them in your business.
I have thoroughly enjoyed sharing these principles and strategies with you. I look forward to hearing from you on how they have opened your eyes and mind and even a few AHH HA’s! that hit you.
Your membership in The Pinnacle Club® will help you internalize these principles as well as help you become a craftsman at applying them in your real estate business.
Your Partner In Greater Success,
Bill Zimmerman
Tuesday, August 21, 2012
Bill Zimmerman's Weekly Tip - The ONLY Way to Avoid Trading Your Time For Money is to Understand and Use the Powerful
We're almost to the last of Dan Kennedy's "8 Universal Business Principles" I've been sharing with you over the past two months. I hope you've found them profitable and interesting. An important part of being successful with your own business is to be consistent in applying new systems, ideas and attitudes as necessary to remain relevant to your past and prospective customers. I hope these tips add to your success!
Now on to today's tip:
Number 7 – The ONLY Way to Avoid Trading Your Time For Money is to Understand and Use the Powerful
Concept of Leverage
“Leverage is the Power to Maximize Your Results With the Least Amount of Time, Energy, Money and Risk”
Most of you give your business everything you’ve got. Working 10, 12, or 16 hour days, 6 or 7 days a week. The candle is burning at both ends…. And still wind up short. How do I know this? Because it is how I used to operate myself.
WHY IS THIS?
How is it that you can put so much into your business and still have so much left undone? Do you find yourself praying for another few hours in everyday, or dream about how productive you’d be if you could only clone yourself?
The Problem is That While You Work hard, You Work Only Within the Limits of Yourself…
…and When You Run Out of Time, You Have No More to Give
You’ll always run out of time doing things the Old School way. You see, that’s how many of us were raised. The ethic that was pounded into our heads said: “If you want to succeed…work harder. This way of thinking became a part of our subconscious. They highly successful have learned that the power of leverage can change all that. After you fully understand how leverage can and does work in business, you will never have to hope and pray for more hours in a day again.
Leverage is the Power to Maximize Your Results With the Least Amount of Time, Energy, Money and Risk”
Learn to leverage your business in three ways:
1. With Marketing
2. With Technology
3. With People
Marketing
Marketing is Reverse Prospecting. The Pinnacle Club has been designed to teach you and help you develop this mindset for your business. Every expert that contributes to the newsletters, weekly tips, monthly Millionaire Mindset Coaching calls and monthly Sales & Marketing Mastery Audio CD series is selected for their use and application of Direct-Response Marketing in their own businesses. In essence, how to leverage/position yourself through your marketing and get your prospects to call you (rather than you calling them). In fact, I myself am a dedicated student and user of this type of marketing.
Technology
Technology can be used to track and amass volumes of data which would be much more cumbersome and time consuming to organize by hand. How much data do you track? It can speed up and even invent new processes. It makes processes more efficient and allows for easy duplication. Technology makes things that were impossible, possible, and we all will become more and more dependent on technology in the future. I use a lot of technology in my business, from automated hotlines to contact management systems. I can show you how technology can be used to make your business more efficient and make more money with LESS effort.
People
Leverage your time through the efforts of others. The role of team members (when your business grows big enough to warrant it if you’re not already there) is to perform tasks that free you to focus on activities where you can change the outcome. Having the right lender, title companies and others is a key to leverage as well.
By leveraging these three important areas, you can turn your job into a business.
Your Partner in Greater Success,
Bill Zimmerman
Now on to today's tip:
Number 7 – The ONLY Way to Avoid Trading Your Time For Money is to Understand and Use the Powerful
Concept of Leverage
“Leverage is the Power to Maximize Your Results With the Least Amount of Time, Energy, Money and Risk”
Most of you give your business everything you’ve got. Working 10, 12, or 16 hour days, 6 or 7 days a week. The candle is burning at both ends…. And still wind up short. How do I know this? Because it is how I used to operate myself.
WHY IS THIS?
How is it that you can put so much into your business and still have so much left undone? Do you find yourself praying for another few hours in everyday, or dream about how productive you’d be if you could only clone yourself?
The Problem is That While You Work hard, You Work Only Within the Limits of Yourself…
…and When You Run Out of Time, You Have No More to Give
You’ll always run out of time doing things the Old School way. You see, that’s how many of us were raised. The ethic that was pounded into our heads said: “If you want to succeed…work harder. This way of thinking became a part of our subconscious. They highly successful have learned that the power of leverage can change all that. After you fully understand how leverage can and does work in business, you will never have to hope and pray for more hours in a day again.
Leverage is the Power to Maximize Your Results With the Least Amount of Time, Energy, Money and Risk”
Learn to leverage your business in three ways:
1. With Marketing
2. With Technology
3. With People
Marketing
Marketing is Reverse Prospecting. The Pinnacle Club has been designed to teach you and help you develop this mindset for your business. Every expert that contributes to the newsletters, weekly tips, monthly Millionaire Mindset Coaching calls and monthly Sales & Marketing Mastery Audio CD series is selected for their use and application of Direct-Response Marketing in their own businesses. In essence, how to leverage/position yourself through your marketing and get your prospects to call you (rather than you calling them). In fact, I myself am a dedicated student and user of this type of marketing.
Technology
Technology can be used to track and amass volumes of data which would be much more cumbersome and time consuming to organize by hand. How much data do you track? It can speed up and even invent new processes. It makes processes more efficient and allows for easy duplication. Technology makes things that were impossible, possible, and we all will become more and more dependent on technology in the future. I use a lot of technology in my business, from automated hotlines to contact management systems. I can show you how technology can be used to make your business more efficient and make more money with LESS effort.
People
Leverage your time through the efforts of others. The role of team members (when your business grows big enough to warrant it if you’re not already there) is to perform tasks that free you to focus on activities where you can change the outcome. Having the right lender, title companies and others is a key to leverage as well.
By leveraging these three important areas, you can turn your job into a business.
Your Partner in Greater Success,
Bill Zimmerman
Monday, August 13, 2012
The ONLY Way to Transform Your JOB Into a BUSINESS is to Work ON Your Business Rather Than IN It
Today's tip is a continuation of Dan Kennedy's (dankennedy.com - co-founder of The Pinnacle Club for Realtors) "8 Universal Business Principles." Today we'll focus on the only real day-in-and-day-out way to improve your real estate business. Enjoy!
Number 6 - The ONLY Way to Transform Your JOB Into a BUSINESS is to Work ON Your Business Rather Than IN It
“If All You Ever Do is “Do, Do, Do”,
You’ll Never Gain the Perspective of How to DO BETTER”
Most agents are so wrapped up in their job of selling real estate that their job and their lives are indistinguishable. It certainly used to be this way for me…
my job consumed me. Even when I took some rare time off, I was thinking about my job and worrying about the things I had to get done or what might be going on that I was missing that could hurt me financially.
Michael Gerber wrote a very important book called The E-Myth (the “E” stands for Entrepreneurial). The book talks about why most small businesses don’t work and what to do about it. If you haven’t read this book, put it on your ‘get it done now’ list. The BIG LESSON I got from the book was….
Your Business Is NOT Your Life…Your Business Must Serve Your Life
Your business and your life are completely separate entities. Your business is something apart from you, with its own needs, its own rules, and its own purposes – an organism that will live or die according to how well it performs its sole function: to find and keep customers!
Once you realize and recognize that your life is not your business, but something your business must serve, you can begin to go to work on your business rather than in it. This is where you can put the Franchise Prototype to work for you – where working on your business rather than in your business will become the central theme of your daily activity, the prime catalyst for everything you do from this moment forward.
What do I mean by a Franchise Prototype? Let me explain it this way. Pretend that your real estate business is the prototype for 5,000 more just like it. Perfect replicas. Clones if you will. Said another way, pretend you are going to franchise your business.
Could You Replicate Your Business 5,000 Times?
If you’re like most agents, whatever level of success you’re currently experiencing in your real estate career is heavily dependant on you. If you’re like most agents, you’re “on call” most of the time, slave to your pager, cell phone and email, performing the whole range of tasks and functions right from the CEO to President to marketing to sales to bookkeeper, babysitter and on and on.
If you really did have 5,000 more real estate businesses in other towns, could you operate them with your current system? The answer is, probably not. You couldn’t because you’re right there making most of the decisions as they happen, putting out fires, doing, doing, doing. I bet it’s a rare moment when you can sit down and look at it all objectively.
This is what Michael Gerber means when he points out that your business must serve your life. If your business is not serving your life on some level, you should be taking steps to either change your business or get out of your business – you should be working to live, not living to work.
If you and your business are to grow and thrive, you must begin to work on your business rather in it. In other words, it means stepping outside of the “doer” and taking a good look at the big picture.
If All You Do Day In and Day Out is Churn Out Job After Job, You’ll Never Find a Better Way to do These Jobs, and You’ll Never Attract Significant New Business to Your Doorstep.
Your Partner in Greater Success,
Bill Zimmerman
If you're a Treasure Valley real estate agent and would like to learn more on this and other relevant sales and marketing mastery topics visit www.ForIdahoRealtors.com
Number 6 - The ONLY Way to Transform Your JOB Into a BUSINESS is to Work ON Your Business Rather Than IN It
“If All You Ever Do is “Do, Do, Do”,
You’ll Never Gain the Perspective of How to DO BETTER”
Most agents are so wrapped up in their job of selling real estate that their job and their lives are indistinguishable. It certainly used to be this way for me…
my job consumed me. Even when I took some rare time off, I was thinking about my job and worrying about the things I had to get done or what might be going on that I was missing that could hurt me financially.
Michael Gerber wrote a very important book called The E-Myth (the “E” stands for Entrepreneurial). The book talks about why most small businesses don’t work and what to do about it. If you haven’t read this book, put it on your ‘get it done now’ list. The BIG LESSON I got from the book was….
Your Business Is NOT Your Life…Your Business Must Serve Your Life
Your business and your life are completely separate entities. Your business is something apart from you, with its own needs, its own rules, and its own purposes – an organism that will live or die according to how well it performs its sole function: to find and keep customers!
Once you realize and recognize that your life is not your business, but something your business must serve, you can begin to go to work on your business rather than in it. This is where you can put the Franchise Prototype to work for you – where working on your business rather than in your business will become the central theme of your daily activity, the prime catalyst for everything you do from this moment forward.
What do I mean by a Franchise Prototype? Let me explain it this way. Pretend that your real estate business is the prototype for 5,000 more just like it. Perfect replicas. Clones if you will. Said another way, pretend you are going to franchise your business.
Could You Replicate Your Business 5,000 Times?
If you’re like most agents, whatever level of success you’re currently experiencing in your real estate career is heavily dependant on you. If you’re like most agents, you’re “on call” most of the time, slave to your pager, cell phone and email, performing the whole range of tasks and functions right from the CEO to President to marketing to sales to bookkeeper, babysitter and on and on.
If you really did have 5,000 more real estate businesses in other towns, could you operate them with your current system? The answer is, probably not. You couldn’t because you’re right there making most of the decisions as they happen, putting out fires, doing, doing, doing. I bet it’s a rare moment when you can sit down and look at it all objectively.
This is what Michael Gerber means when he points out that your business must serve your life. If your business is not serving your life on some level, you should be taking steps to either change your business or get out of your business – you should be working to live, not living to work.
If you and your business are to grow and thrive, you must begin to work on your business rather in it. In other words, it means stepping outside of the “doer” and taking a good look at the big picture.
If All You Do Day In and Day Out is Churn Out Job After Job, You’ll Never Find a Better Way to do These Jobs, and You’ll Never Attract Significant New Business to Your Doorstep.
Your Partner in Greater Success,
Bill Zimmerman
If you're a Treasure Valley real estate agent and would like to learn more on this and other relevant sales and marketing mastery topics visit www.ForIdahoRealtors.com
Monday, July 16, 2012
Bill Zimmerman's Weekly Tip - You Must Make it EASY and FUN for Prospects to Do Business With You
I hope you're each having great summer in real estate. Even thought we've seen a good start to bouncing off the home price lows of last year the low inventory in Ada and Canyon counties creates its own set of challenges for agents. I'm always interested to hear how you're doing and look forward to speaking with you soon.
Today's tip focuses, again, on a universal business principle that's been applied directly to real estate agents. Enjoy!
Number 5 - You Must Make it EASY and FUN
for Prospects to Do Business With You
If Your Message is Hard to Understand, If You are Difficult to Reach, If Prospects Have to Go Out of Their Way, They Won’t Stick Around to Give You a Second Chance
Wearing Your Prospect’s Shoes
It is surprising to me that most real estate agents never put themselves in their customers’ or prospects’ position. Why else would they make doing business with them so difficult? For example, when you place an ad for your properties or services, what number do you give prospects to call? Most agents give an office number or their cell phone number which means two things.
One, your prospect has to speak to a salesperson (a dreaded sales person) to get the information they want. From past experience, they know salespeople are going to play a cat and mouse game with them and try to sell them something. The information they’re after (usually information on a property) comes with LOTS of strings attached, and PROSPECTS DON’T WANT TO FEEL OBLIGATED.
Two, besides the game of cat and mouse, your prospect will probably also have to engage in a game of telephone tag with you which means that the information they’re after is far from immediate.
How Much Do You Take Your Customers, Prospects and Business For Granted?
By merely stepping outside your office and walking up to your business wearing the hypothetical shoes of a prospect, you should see a lot of flaws in your operation. Once these obstacles are remedied, you can dramatically improve your current and repeat business potential. By making it easy, informative, non-threatening, educational, inspiring and fun to do business with you, you’ll loft your business above your competitors. Remember, you cannot service too much, educate enough, inform too much, offer to much follow-up and follow-through and you cannot make calling or coming into your business too desirable.
I look forward to your comments and, of course, working with you and your clients, too. Make it a great Monday!
Your Partner in Greater Success,
Bill Zimmerman
NMLS #3773
Today's tip focuses, again, on a universal business principle that's been applied directly to real estate agents. Enjoy!
Number 5 - You Must Make it EASY and FUN
for Prospects to Do Business With You
If Your Message is Hard to Understand, If You are Difficult to Reach, If Prospects Have to Go Out of Their Way, They Won’t Stick Around to Give You a Second Chance
Wearing Your Prospect’s Shoes
It is surprising to me that most real estate agents never put themselves in their customers’ or prospects’ position. Why else would they make doing business with them so difficult? For example, when you place an ad for your properties or services, what number do you give prospects to call? Most agents give an office number or their cell phone number which means two things.
One, your prospect has to speak to a salesperson (a dreaded sales person) to get the information they want. From past experience, they know salespeople are going to play a cat and mouse game with them and try to sell them something. The information they’re after (usually information on a property) comes with LOTS of strings attached, and PROSPECTS DON’T WANT TO FEEL OBLIGATED.
Two, besides the game of cat and mouse, your prospect will probably also have to engage in a game of telephone tag with you which means that the information they’re after is far from immediate.
How Much Do You Take Your Customers, Prospects and Business For Granted?
By merely stepping outside your office and walking up to your business wearing the hypothetical shoes of a prospect, you should see a lot of flaws in your operation. Once these obstacles are remedied, you can dramatically improve your current and repeat business potential. By making it easy, informative, non-threatening, educational, inspiring and fun to do business with you, you’ll loft your business above your competitors. Remember, you cannot service too much, educate enough, inform too much, offer to much follow-up and follow-through and you cannot make calling or coming into your business too desirable.
I look forward to your comments and, of course, working with you and your clients, too. Make it a great Monday!
Your Partner in Greater Success,
Bill Zimmerman
NMLS #3773
Wednesday, July 11, 2012
Bill Zimmerman's Weekly Tip - If You Try To Be All Things to All People, You Dilute Your Effectiveness
Good Morning,
Count your blessings. Don't you just love air conditioning! With the blazing heat and early fire season I'm just happy my job is mostly indoors. All the smoke from nearby fires makes it smell like someone's camping outside. Chin up - this too shall pass...
Time to dive into today's tip (the 4th of 8 Universal Business Principles):
Who Are You Targeting With Your Marketing Efforts?
If you ask most agents who they are trying to target with their marketing dollars, they’ll most likely be very vague in their response. Most agents probably believe they are after ANYone and Everyone in the hopes of attracting SOMEone who is looking to buy or sell a home. The problem with this strategy is that when you try to be everything to everyone, you fail to address the specific needs of anyone. If you’re “targeting” everyone, your message is bound to be broad and unfocused. It’s unlikely to be compelling and direct enough to draw in your prospect (whoever that is). An unclear definition of who you are talking to with your marketing will lead watered down statements that don’t mean very much to anyone (such as “List with Me. I CARE ABOUT YOUR BUSINESS.” You may fool yourself with an empty statement like this, but you won’t fool prospects.) Targeting is very important. It’s important because it will determine where and how you should advertise and what you should say. So ask yourself…
Who Would You Like to Work With?
Are you after buyers or sellers? If you’re after buyers, are you targeting first time buyers? Move up buyers? If first time buyers are your target, you need to develop a Renters ad in an Editorial-Style. Or a Zero Down ad. If you’re more interested in move-up buyers, develop a Trade-Up ad. If you after both sellers and buyers, then developing a Costly Home-sellers or Home-buyers editorial ad.
If you have questions or would like to discuss your business as it relates to the principles I've been sharing, feel free to contact me. Also, even though the refinance boom is in full swing, my primary focus is still on your purchase business - getting the job done right and on time.
Your Partner in Greater Success,
Bill Zimmerman
(NMLS #3773)
Count your blessings. Don't you just love air conditioning! With the blazing heat and early fire season I'm just happy my job is mostly indoors. All the smoke from nearby fires makes it smell like someone's camping outside. Chin up - this too shall pass...
Time to dive into today's tip (the 4th of 8 Universal Business Principles):
Number 4 - If You Try to Be All Things to All People, You Dilute Your Effectiveness
Its Very Important to Know Who You’re Talking To; Select Your Target Market So You Can Focus Your Marketing Efforts and Be Efficient With Your Spending.Who Are You Targeting With Your Marketing Efforts?
If you ask most agents who they are trying to target with their marketing dollars, they’ll most likely be very vague in their response. Most agents probably believe they are after ANYone and Everyone in the hopes of attracting SOMEone who is looking to buy or sell a home. The problem with this strategy is that when you try to be everything to everyone, you fail to address the specific needs of anyone. If you’re “targeting” everyone, your message is bound to be broad and unfocused. It’s unlikely to be compelling and direct enough to draw in your prospect (whoever that is). An unclear definition of who you are talking to with your marketing will lead watered down statements that don’t mean very much to anyone (such as “List with Me. I CARE ABOUT YOUR BUSINESS.” You may fool yourself with an empty statement like this, but you won’t fool prospects.) Targeting is very important. It’s important because it will determine where and how you should advertise and what you should say. So ask yourself…
Who Would You Like to Work With?
Are you after buyers or sellers? If you’re after buyers, are you targeting first time buyers? Move up buyers? If first time buyers are your target, you need to develop a Renters ad in an Editorial-Style. Or a Zero Down ad. If you’re more interested in move-up buyers, develop a Trade-Up ad. If you after both sellers and buyers, then developing a Costly Home-sellers or Home-buyers editorial ad.
If you have questions or would like to discuss your business as it relates to the principles I've been sharing, feel free to contact me. Also, even though the refinance boom is in full swing, my primary focus is still on your purchase business - getting the job done right and on time.
Your Partner in Greater Success,
Bill Zimmerman
(NMLS #3773)
Monday, May 21, 2012
Bill Zimmerman's Weekly Tip - The ONLY Vote That Counts is the Prospect's...
Yes, the weather's been beautiful and I know Memorial Day weekend is coming up and you may be looking forward to some much needed R&R. But, you're not on vacation, yet! Keep making meaningful progress toward your goals this week and you'll savor the time off even more.
Today we'll cover the second of Dan Kennedy's "8 Universal Business Principles" we're exploring to help you focus on improving your real estate business. Enjoy!
If You’re Not Sure Whether Something Will Work or Not, TEST it Out and Let the Prospect Tell You Whether It’s Right.
Only Direct-Response Marketing Can Give You This Power To Test
What Do Your Prospects Want? You must ask yourself some very important questions:
“What motivates the prospects I want to work with?”
“What factors are most important to them?”
Do they want a quick sale or top dollar?
Are they after best value or most attentive service or least hassle?
How do you find out what prospects want?
It’s very simple. You ask them.
Failing To Understand and Address Your Customers’ Needs is One of the Biggest Marketing Mistakes Real Estate Agents Make.
Rather than just assuming or guessing you know the answers, you should be asking your prospects directly by tracking their response and researching their needs. It is amazing how few agents ever test any aspect of their marketing and compare it to something else. Instead, they spend their money with blind faith, hoping that it will return to them in time. It’s putting your future in the hands of arbitrary, subjective decisions. It is an expensive and often tragic mistake for many reasons. First, we don’t have the right or the power to predetermine what the marketplace wants and what the best approach will be. We do however have the obligation and the power to put every important marketing question to a vote by the only people whose vote really matters: Clients and Prospects.
How do you put a marketing question to a vote? In the marketplace of course. By testing one ad concept against another, one headline against another, one sales letter against another and so on. The point is – and this isn’t guesswork – you will be amazed that one approach always substantially out pulls all others by a very large margin. You will also be very pleased at how many more sales you can realize from the same efforts.
Finally, the purpose of testing is to demand maximum performance from all of your marketing efforts. Test every piece of communication you expose to prospects. Any positive or negative data will help you to radically manipulate the effectiveness of your sales efforts.
The only way you can test and measure your marketing efforts is if
EVERY piece of marketing you use has a direct response component to it.
If the ad doesn’t earn you more than it cost, you shouldn’t run it. That’s the inherent problem with image ads; you have no way of tracking response. You must be tracking and testing how well each of your ads does for you. You have to incorporate hotline numbers and mechanisms that allow for maximum tracking - both online and offline.
Your Partner in Greater Success,
Bill Zimmerman
Today we'll cover the second of Dan Kennedy's "8 Universal Business Principles" we're exploring to help you focus on improving your real estate business. Enjoy!
If You’re Not Sure Whether Something Will Work or Not, TEST it Out and Let the Prospect Tell You Whether It’s Right.
Only Direct-Response Marketing Can Give You This Power To Test
What Do Your Prospects Want? You must ask yourself some very important questions:
“What motivates the prospects I want to work with?”
“What factors are most important to them?”
Do they want a quick sale or top dollar?
Are they after best value or most attentive service or least hassle?
How do you find out what prospects want?
It’s very simple. You ask them.
Failing To Understand and Address Your Customers’ Needs is One of the Biggest Marketing Mistakes Real Estate Agents Make.
Rather than just assuming or guessing you know the answers, you should be asking your prospects directly by tracking their response and researching their needs. It is amazing how few agents ever test any aspect of their marketing and compare it to something else. Instead, they spend their money with blind faith, hoping that it will return to them in time. It’s putting your future in the hands of arbitrary, subjective decisions. It is an expensive and often tragic mistake for many reasons. First, we don’t have the right or the power to predetermine what the marketplace wants and what the best approach will be. We do however have the obligation and the power to put every important marketing question to a vote by the only people whose vote really matters: Clients and Prospects.
How do you put a marketing question to a vote? In the marketplace of course. By testing one ad concept against another, one headline against another, one sales letter against another and so on. The point is – and this isn’t guesswork – you will be amazed that one approach always substantially out pulls all others by a very large margin. You will also be very pleased at how many more sales you can realize from the same efforts.
Finally, the purpose of testing is to demand maximum performance from all of your marketing efforts. Test every piece of communication you expose to prospects. Any positive or negative data will help you to radically manipulate the effectiveness of your sales efforts.
The only way you can test and measure your marketing efforts is if
EVERY piece of marketing you use has a direct response component to it.
If the ad doesn’t earn you more than it cost, you shouldn’t run it. That’s the inherent problem with image ads; you have no way of tracking response. You must be tracking and testing how well each of your ads does for you. You have to incorporate hotline numbers and mechanisms that allow for maximum tracking - both online and offline.
Your Partner in Greater Success,
Bill Zimmerman
Tuesday, May 15, 2012
Bill Zimmerman's Weekly Tip - Prospects Do NOT Want To Be Sold
Today we'll begin with the first of eight "Universal Business Principles" that, if applied to your specific real estate business, will help you improve your success in selling and marketing your services.
Enjoy today's tip from marketing expert and business coach, Dan Kennedy (www.dankennedy.com):
Number 1 - Prospects Do NOT Want To Be Sold
Prospects Absolutely Will NOT Hear What You Are Saying
Unless You Tell Them What They Want To Know!
Most real estate agents are salespeople rather than marketers. A salesperson sells prospects what they have and for most real estate agents what they have is “themselves.” A marketer makes sure they have what prospects want to buy. Where the salesperson is an easy victim to a smoother talker or a hotter deal, a marketer builds loyalty and lifetime customers.
Advertising is ignored by people with great vigor. For this reason, if your ad, flyer brochure or whatever looks, feels and smells like advertising, your prospect won’t even see it. Think of how much normal advertising you are exposed to everyday. The average person is exposed to thousands of messages each week. They defend themselves against all these ads by blanking them out.
Branding and Image ads are a horrible waste of your hard-earned money. The big, flashy, colorful image adverting used by most real estate agents features big pictures of the agents, lists of designations and vague, same-old promises of service, quality and integrity. In these image ads, you can’t tell one agent from another and neither can the prospect. Take a look at them. The majority all are offering, promoting and boasting about the same thing, i.e. how great the agent is and why you should use them. In short, they are trying to SELL the prospect. They look like ads and read like ads and thus they get blanked out because…prospects don’t want to be sold!
Empty, meaningless, same-old boasts are seen for what they are… sales tactics. Image advertising focuses on the agent making statements like…I’m #1, Million-dollar Producer, I Sell a Lot of Houses; I care about you, list with me and on and on. There are several things wrong with ads like this. First, they offer no benefits for the prospect. They don’t tell a complete story, don’t make a specific offer, no call for action from the prospect, and give the prospect any reason to buy. Plus you can not measure or track the results of the ad.
This may Sting a Little Bit…
Your Prospects Don’t Care About You. There’s a dangerous myth out there started by media salespeople that says once you get your name out there, people will seek you out. This is old, old-school mentality. The stuff first taught when you first get into real estate. The harsh realty is your prospects don’t care at all about you. Even though you are a terrific, honest, hard working, ethical and caring agent, in the prospect world, no one really cares about you, remembers who you are, can clearly remember what you said and has any time for you.
Image advertising is ineffective as a marketing tool. EFFECTIVE MARKETING talks to and about the prospect. It gives them real benefits, a non-threatening way to get information, and compelling reasons to call you to get it.
What’s in it for me? All of us, including your prospects have the same radio station going on in our heads: WIFM (What’s in it for me?) To be effective with marketing, you must get inside their head and figure out what they want to hear and then play it for them. If someone’s a country music fan, you’re not going to convince them to listen to a hard-rock station. If you want them to listen to you, you better play country.
The Purpose of Your Marketing is NOT to Promote Yourself,
But Rather to Attract Your Prospects…
…This is a Big Difference
Most agents think the purpose of marketing is to promote them, but this just isn’t true. The purpose of marketing is to ATTRACT prospects. You won’t attract prospects by SELLING to them. But you can attract them with EFFECTIVE MARKETING which baits them with something they want so that they call you to get it.
If You Want to Catch Deer, You Don’t Put a Block of Cheese Out…
…Gotta Use The Right Bait for The Right Critter!
With effective Direct-Response Marketing, your focus is not on you, but rather on your prospects’ needs, so that your prospect is motivated (not manipulated or sold) into action on their own volition.
Your Partner in Greater Success,
Bill Zimmerman
http://www.foridahorealtors.com/
Monday, May 7, 2012
Bill Zimmerman's Weeky Tip - The 8 Universal Business Principles
What a great weekend! I don't know about you, but I'm really enjoying being outside. My fourth oldest child, Heaton (7), is playing coach-pitch baseball for the first time and had a game Saturday afternoon. Even though it was a little chilly, it was still great to be outside watching my son play (and learn) baseball. I hope you're taking the time to be with your family, too - especially outside. Time flies away - live in the present.
For the next eight weeks I'm going to be covering Dan Kennedy's "8 Universal Business Principles." These apply to real estate as much, or more, than other fields. I work at mastery of these principles every day in my mortgage business and challenge you to make them a top priority of mastery in your real estate business, too. This week I'll give you the list. Then, beginning next week, we'll examine each one in specific detail, giving you ideas on how you can implement them into your real estate business.
So, here we go:
8 Universal Business Principles
Number 1 – Prospects Do NOT Want To Be Sold.
Number 2 – The ONLY Vote That Counts is the Customer’s.
Number 3 – Prospects Need A Compelling Reason to Do
Business With You.
Number 4 – If You Try to Be All Things to All People, You Dilute Your Effectiveness.
Number 5 – You Must Make it EASY and Fun for Prospects to Do Business With You.
Number 6 – The ONLY Way to Transform Your JOB Into a BUSINESS is to Work ON Your Business Rather Than IN it.
Number 7 – The ONLY Way to Avoid Trading Your Time For Money is to Understand and Use the Concept of Leverage.
Number 8 – Without a System, You Will Reinvent the Wheel Every Time.
Your Partner in Greater Success,
Bill Zimmerman
For the next eight weeks I'm going to be covering Dan Kennedy's "8 Universal Business Principles." These apply to real estate as much, or more, than other fields. I work at mastery of these principles every day in my mortgage business and challenge you to make them a top priority of mastery in your real estate business, too. This week I'll give you the list. Then, beginning next week, we'll examine each one in specific detail, giving you ideas on how you can implement them into your real estate business.
So, here we go:
8 Universal Business Principles
Number 1 – Prospects Do NOT Want To Be Sold.
Number 2 – The ONLY Vote That Counts is the Customer’s.
Number 3 – Prospects Need A Compelling Reason to Do
Business With You.
Number 4 – If You Try to Be All Things to All People, You Dilute Your Effectiveness.
Number 5 – You Must Make it EASY and Fun for Prospects to Do Business With You.
Number 6 – The ONLY Way to Transform Your JOB Into a BUSINESS is to Work ON Your Business Rather Than IN it.
Number 7 – The ONLY Way to Avoid Trading Your Time For Money is to Understand and Use the Concept of Leverage.
Number 8 – Without a System, You Will Reinvent the Wheel Every Time.
Your Partner in Greater Success,
Bill Zimmerman
Monday, April 16, 2012
Bill Zimmerman's Weekly Tip - Mortgage Loan Perfection 101. Why the Agencies are Bent on Perfection.
Welcome to another great week in real estate. The bees are humming, the flowers are blooming, and people are buying real estate! It's a great year to be in this business.
Before I dive into the tip today, I'd like to invite you to "Like" my new Summit Mortgage facebook page: (http://www.facebook.com/pages/Summit-Mortgage-Corporation/140851052656823
I'm offering a great Free Report, "30 Tips to Sell Your Home Fast and for Top Dollar" for those who Like my page that you can customize with your name/company/logo and give to your listing clients. Hope you take advantage of it!
Today's tip hopefully will shed a little light on why we loan officers are so picky when it comes to documenting a loan application. To be honest, I wish we didn't have to be. It's no fun to feel forced by investors to demand every last shred of personal financial information from clients before being able to close.
Frankly, it's embarassing for me to have to document every little thing. Reminds me of how I sometimes felt untrusted as a child by some of my teachers because of the way they questioned everything I'd ask. (Yes, I really have to go to the bathroom. Do you really want to find out I'm telling the truth?!?!)
Now that I'm done venting, please take a few minutes to read this article to better understand they why behind the required file detail of today's mortgage industry. Like me, you may not agree with it, but at least you'll have a better understanding of where these tight requirements are coming from:
Curious, on what the perfect mortgage loan file looks like?
Your Partner in Greater Success,
Bill Zimmerman
Before I dive into the tip today, I'd like to invite you to "Like" my new Summit Mortgage facebook page: (http://www.facebook.com/pages/Summit-Mortgage-Corporation/140851052656823
I'm offering a great Free Report, "30 Tips to Sell Your Home Fast and for Top Dollar" for those who Like my page that you can customize with your name/company/logo and give to your listing clients. Hope you take advantage of it!
Today's tip hopefully will shed a little light on why we loan officers are so picky when it comes to documenting a loan application. To be honest, I wish we didn't have to be. It's no fun to feel forced by investors to demand every last shred of personal financial information from clients before being able to close.
Frankly, it's embarassing for me to have to document every little thing. Reminds me of how I sometimes felt untrusted as a child by some of my teachers because of the way they questioned everything I'd ask. (Yes, I really have to go to the bathroom. Do you really want to find out I'm telling the truth?!?!)
Now that I'm done venting, please take a few minutes to read this article to better understand they why behind the required file detail of today's mortgage industry. Like me, you may not agree with it, but at least you'll have a better understanding of where these tight requirements are coming from:
Curious, on what the perfect mortgage loan file looks like?
Your Partner in Greater Success,
Bill Zimmerman
Monday, April 2, 2012
Bill Zimmerman's Weekly Tip - Is There a Limit to Loyalty?
Good Morning!
It's the day after Spring Break... (need I say more??) However, the good news is the sun is shining, birds are chirping, flowers are beginning to bloom and the grass is greening up. Spring is finally here! What a beautiful time of year to sell real estate. Enjoy it!
Today I'm going to share a recent blog post by my grandfather, Wesley Zimmerman, who's still an active business consultant, speaker and author. If you like what you read, feel free to subscribe to his blog. He offers weekly tips based on years of successful sales and life experience that are still very applicable to today. Enjoy!
Responsiveness and Loyalty
Is there a limit to loyalty? My association with computers began when I first sold one in 1957. It was a team effort, as so many sales efforts are. I learned, used three popular programming languages in the years following and became a recognized “expert”. The modern PC and mobile versions now boggle my mind. When I cannot see a way through the fog of updates, downloads and “help” messages, I turn to my “expert”.
I’ve known, admired, respected, liked and worked with my expert for twenty plus years. I’ve watched him grow a solid business helping poor, non-experts like me. Recently I was stumped by our computer set up. It simply would not work, it stopped our company and business cold.
I thought I knew what should be done to remedy the situation, but I needed reassurance. I called my expert for that and as always, I got his outgoing voice mail message. I told the message machine that a return call would suffice but if he happened to be in our area of the city, I’d love it if he could stop in and take a look. I stressed the need for a quick response. I replayed the message to make sure I said it right…
Overnight I decided on a course of action. Before executing it, I called a wonderful lady friend and explained the situation. She knows just enough about computers to turn hers on and off; however, she is very logical in her thinking.
“Why don’t you try this first, before you do what you have in mind?”
We did, it worked!
My expert has never returned my call. He rarely does, and when he does it will be several days after I left a message. One of his big customers is a friend of mine. He gets the same treatment.
Am I being too loyal?
Friends we will continue to be, but…
I practice and have been teaching others a simple rule:
Answer every phone call if only to leave the message: “I’ve heard you, will get back to you in ___ hours / ___ days.”
Reply to every email with “Thank you” or “Thanks, have a great day” or “Try this or contact ________ for help.”
Say something so the other person knows you are still alive and care about her/him.
Nuff Said !!!
Wes Zimmerman
Email: wes@7one.com
http://7one.com/blogwes/
©Wesley W. Zimmerman 3/25/2012
Your Partner in Greater Success,
Bill Zimmerman
It's the day after Spring Break... (need I say more??) However, the good news is the sun is shining, birds are chirping, flowers are beginning to bloom and the grass is greening up. Spring is finally here! What a beautiful time of year to sell real estate. Enjoy it!
Today I'm going to share a recent blog post by my grandfather, Wesley Zimmerman, who's still an active business consultant, speaker and author. If you like what you read, feel free to subscribe to his blog. He offers weekly tips based on years of successful sales and life experience that are still very applicable to today. Enjoy!
Responsiveness and Loyalty
Is there a limit to loyalty? My association with computers began when I first sold one in 1957. It was a team effort, as so many sales efforts are. I learned, used three popular programming languages in the years following and became a recognized “expert”. The modern PC and mobile versions now boggle my mind. When I cannot see a way through the fog of updates, downloads and “help” messages, I turn to my “expert”.
I’ve known, admired, respected, liked and worked with my expert for twenty plus years. I’ve watched him grow a solid business helping poor, non-experts like me. Recently I was stumped by our computer set up. It simply would not work, it stopped our company and business cold.
I thought I knew what should be done to remedy the situation, but I needed reassurance. I called my expert for that and as always, I got his outgoing voice mail message. I told the message machine that a return call would suffice but if he happened to be in our area of the city, I’d love it if he could stop in and take a look. I stressed the need for a quick response. I replayed the message to make sure I said it right…
Overnight I decided on a course of action. Before executing it, I called a wonderful lady friend and explained the situation. She knows just enough about computers to turn hers on and off; however, she is very logical in her thinking.
“Why don’t you try this first, before you do what you have in mind?”
We did, it worked!
My expert has never returned my call. He rarely does, and when he does it will be several days after I left a message. One of his big customers is a friend of mine. He gets the same treatment.
Am I being too loyal?
Friends we will continue to be, but…
I practice and have been teaching others a simple rule:
Answer every phone call if only to leave the message: “I’ve heard you, will get back to you in ___ hours / ___ days.”
Reply to every email with “Thank you” or “Thanks, have a great day” or “Try this or contact ________ for help.”
Say something so the other person knows you are still alive and care about her/him.
Nuff Said !!!
Wes Zimmerman
Email: wes@7one.com
http://7one.com/blogwes/
©Wesley W. Zimmerman 3/25/2012
Your Partner in Greater Success,
Bill Zimmerman
Monday, March 12, 2012
Bill Zimmerman's Weekly Tip - FHA mixes it up... again!
Today I'm going to be very mortgage-focused. There are a number of changes coming soon to FHA loans that you really need to be aware of because they directly affect how you write up purchase contracts when asking a seller to pay all or part of a buyer's closing costs. If there's a constant in this business it's change!
Let's dive right in:
FHA Revision to Seller Concession Policy & Increases MIP Premiums:
As your trusted source for mortgage industry news, I'm sending you the following information as it will effect your FHA buyers.FHA Notice on Revised Seller Concession PolicyLast Thursday, HUD published a request for comments (due in 30 days, by March 26) on their revised changes to FHA policies on seller concessions. As a reminder, HUD initially published a proposal back on July 15, 2010 to reduce the limit on seller concessions from the current 6% to 3% (citing an interest to match the conventional market). The new proposal, which has been adjusted to lessen the impact on lower-balance loans, is to limit seller concessions as follows:• Reduces the amount of permitted seller concessions to 3% of the purchase price or $6,000, whichever is greater; • Further limits seller concessions to never exceed the borrower's actual closing costs; • Redefines what can be considered as acceptable closing costs to be paid by seller concessions to: closing costs, prepaid items, discount points, up-front MIP, and any interest rate buydown. No longer permitted are "payment supplements" such as HOA/condo fees, mortgage interest payments, and mortgage protection plans; and • Changes the definition of "interested third party" by adding lender, mortgage broker and settlement company to the list. Under the regulation, payments by these parties must be included in the amount of seller concessions.
FHA Increases Mortgage Insurance Payments, Increasing Costs for Buyers:
On February 27, the Federal Housing Administration (FHA) announced that it is increasing its annual mortgage insurance premiums and upfront premiums in two phases. First, for loans with case numbers assigned on or after April 1, 2012 the FHA is increasing by 10 basis points (the current 1.15% of the loan amount will increase to 1.25%) the annual mortgage insurance premium, and is increasing upfront insurance premiums by 75 basis points. (increasing from the current 1.0% to 1.75% financed in to the loan amount)The changes are designed to encourage the return of private capital to the residential mortgage market while supplementing the FHA's Mutual Mortgage Insurance Fund, which has fallen below the congressionally mandated two percent reserve threshold. At least one report recently suggested that based on current home price and default projections the fund will become insolvent without action. The increased premiums are projected to contribute more than $1 billion to the FHA's mortgage insurance fund, and on average will cost new home buyers $5 per month.
Streamline Refinance Decrease in Annual and Up-front MIP:
On all Forward Streamline Refinance transactions that are refinancing an existing FHA loan endorsed on or prior to May 31, 2009, the Annual MIP will be 55 bps, regardless of base loan amount. On these same loans, the UFMIP will decrease from 1 percent down to .01 percent of the base loan amount. These changes are effective for case numbers assigned on or after June 11, 2012.
If you have any additional questions about these changes or how they will effect your buyers, please feel free to contact me today.
Let's have a great week!
Your Partner in Greater Success,
Bill Zimmerman
Let's dive right in:
FHA Revision to Seller Concession Policy & Increases MIP Premiums:
As your trusted source for mortgage industry news, I'm sending you the following information as it will effect your FHA buyers.FHA Notice on Revised Seller Concession PolicyLast Thursday, HUD published a request for comments (due in 30 days, by March 26) on their revised changes to FHA policies on seller concessions. As a reminder, HUD initially published a proposal back on July 15, 2010 to reduce the limit on seller concessions from the current 6% to 3% (citing an interest to match the conventional market). The new proposal, which has been adjusted to lessen the impact on lower-balance loans, is to limit seller concessions as follows:• Reduces the amount of permitted seller concessions to 3% of the purchase price or $6,000, whichever is greater; • Further limits seller concessions to never exceed the borrower's actual closing costs; • Redefines what can be considered as acceptable closing costs to be paid by seller concessions to: closing costs, prepaid items, discount points, up-front MIP, and any interest rate buydown. No longer permitted are "payment supplements" such as HOA/condo fees, mortgage interest payments, and mortgage protection plans; and • Changes the definition of "interested third party" by adding lender, mortgage broker and settlement company to the list. Under the regulation, payments by these parties must be included in the amount of seller concessions.
FHA Increases Mortgage Insurance Payments, Increasing Costs for Buyers:
On February 27, the Federal Housing Administration (FHA) announced that it is increasing its annual mortgage insurance premiums and upfront premiums in two phases. First, for loans with case numbers assigned on or after April 1, 2012 the FHA is increasing by 10 basis points (the current 1.15% of the loan amount will increase to 1.25%) the annual mortgage insurance premium, and is increasing upfront insurance premiums by 75 basis points. (increasing from the current 1.0% to 1.75% financed in to the loan amount)The changes are designed to encourage the return of private capital to the residential mortgage market while supplementing the FHA's Mutual Mortgage Insurance Fund, which has fallen below the congressionally mandated two percent reserve threshold. At least one report recently suggested that based on current home price and default projections the fund will become insolvent without action. The increased premiums are projected to contribute more than $1 billion to the FHA's mortgage insurance fund, and on average will cost new home buyers $5 per month.
Streamline Refinance Decrease in Annual and Up-front MIP:
On all Forward Streamline Refinance transactions that are refinancing an existing FHA loan endorsed on or prior to May 31, 2009, the Annual MIP will be 55 bps, regardless of base loan amount. On these same loans, the UFMIP will decrease from 1 percent down to .01 percent of the base loan amount. These changes are effective for case numbers assigned on or after June 11, 2012.
If you have any additional questions about these changes or how they will effect your buyers, please feel free to contact me today.
Let's have a great week!
Your Partner in Greater Success,
Bill Zimmerman
Tuesday, March 6, 2012
Bill Zimmerman's Weekly Tip - How to Develop Persistence
Even though March can't decide what it whether it wants to be spring or winter we may as well enjoy the crazy weather while it lasts. Hang in there. Spring's right around the corner - and so is the buying season!
Today I'll be sharing some thoughts from Think and Grow Rich by Napoleon Hill about what persistence is and how to develop a greater amount of it. Here goes:
There are four simple steps which lead to the habit of persistence. They call for no great amount of intelligence, no particular amount of education, and but little time or effort. The necessary steps are:
1. A definite purpose backed by burning desire for its fulfillment
2. A definite plan, expressed in continuous action.
3. A mind closed tightly against all negative and discouraging influences, including negative suggestions of relatives, friends and acquaintances.
4. A friendly alliance with one or more persons who will encourage one to follow through with both plan and purpose.
These fours steps are essential for success in all walks of life. The entire purpose of the thirteen principles of this philosophy is to enable one to take these four steps as a matter of habit.
- These are the steps by which one may control one’s economic destiny.
- They are the steps that lead to freedom and independence of thought.
- They are the steps that lead to riches, in small or great quantities.
- They lead the way to power, fame, and worldly recognition.
- They are the four steps which guarantee favorable “breaks.”
- They are the steps that convert dreams into physical realities.
- They lead, also, to the mastery of fear, discouragement, indifference.
There is a magnificent reward for all who learn to take these four steps. It is the privilege of writing one’s own ticket, and of making life yield whatever price is asked.
Your Partner in Greater Success,
Bill Zimmerman
939-0002
The Pinnacle Club ™ Exclusively For Realtors®
Monday, February 27, 2012
Bill Zimmerman's Weekly Tip - Do You Have Self-Discipline?
I hope you're making the most of your Monday. Monday's can be difficult days to get back into the swing of things, but you can do it! In fact, I've got a tip for you today to remind you that it's really all about self-discipline.
I know, I know... Self-discipline is difficult. It's hard to keep focused on doing the things you need to do to have a productive, satisfying day at work. But, think about your productive days or hours for a moment. Doesn't it make you feel good when you remember the positive, winning feeling of a good, solid day of work? I know I do - and I'm sure you can relate.
On it's surface, self-discipline at work is really just made up of a few simple bullet points. But, oh how difficult they can be sometimes. Here's a review of the basics:
Self-Discipline
(from No BS Time Management for Entrepreneurs, by Dan Kennedy)
· Show up…
· Show up on time…
· Show up on time ready to work! So few do.
· It takes tremendous self-discipline to productively allocate and invest time and to stick to your intentions.
Productivity is the deliberate, strategic, investment of your time, talent, intelligence, energy, resources, and opportunities, in a manner calculated to move you measurably closer to meaningful goals.
So, there you have it! Sounds simple enough, huh? Now the trick is to put it into practice. Let's start with the self-discipline to keep going and make this a very productive afternoon!
Your Partner in Greater Success,
Bill Zimmerman
I know, I know... Self-discipline is difficult. It's hard to keep focused on doing the things you need to do to have a productive, satisfying day at work. But, think about your productive days or hours for a moment. Doesn't it make you feel good when you remember the positive, winning feeling of a good, solid day of work? I know I do - and I'm sure you can relate.
On it's surface, self-discipline at work is really just made up of a few simple bullet points. But, oh how difficult they can be sometimes. Here's a review of the basics:
Self-Discipline
(from No BS Time Management for Entrepreneurs, by Dan Kennedy)
· Show up…
· Show up on time…
· Show up on time ready to work! So few do.
· It takes tremendous self-discipline to productively allocate and invest time and to stick to your intentions.
Productivity is the deliberate, strategic, investment of your time, talent, intelligence, energy, resources, and opportunities, in a manner calculated to move you measurably closer to meaningful goals.
So, there you have it! Sounds simple enough, huh? Now the trick is to put it into practice. Let's start with the self-discipline to keep going and make this a very productive afternoon!
Your Partner in Greater Success,
Bill Zimmerman
Monday, February 13, 2012
Bill Zimmerman's Weekly Tip - All You Ever Wanted To Know About HARP 2...
With all the talk about the new, expanded HARP refinance guidelines ("HARP 2" as the industry has dubbed it) I thought it would be helpful for you to have comprehensive bullet-points you can share with your clients, friends and family who are asking about the new program. The more you know, the more trusted you become to potential and past clients. Trust = referrals.
HARP 2.0 Fannie Mae - Overview
We have all been awaiting the announcement regarding the new HARP – known as HARP 2. On November 15, the agencies issued guidance with specifics and the differences as compared to HARP.
While the program went live December 1st, we are still awaiting guidance from our investors and the MI companies as to their intentions and willingness to participate.
As you may already know, the current HARP has been offered in varying degrees by the investor community. It’s safe to say HARP 2 will be no different. In fact, Wells Fargo issued the following announcement late last year:
"Fannie Mae's DU Refi Plus® continues to be the HARP program eligible for purchase by Wells Fargo Funding. While we are committed to extending the expiration date according to Agency requirements for DU Refi Plus Loans, any enhancements made by Fannie Mae to the DU Refi Plus program will not be available until we have had an opportunity to assess the impact and offering of the enhancements, and Desktop Underwriter® (DU®) has been updated to support the changes."
Another important factor is the fact that AUS (automated underwriting) implementation from both Fannie and Freddie will be delayed. For example:
DU Implementation of LTV Expansion
The changes to the LTV ratio limits described above will be implemented in DU in March 2012. Until such time as DU is updated, DU loan case files that receive an Ineligible recommendation due to an LTV ratio above 125% will not be eligible for delivery.
Essentially, I'm are still in the dark as to exactly what my options for clients will be at this point. As more of our investors express their intentions regarding implementation of HARP 2, I will share the information. The only thing I know for certain is the basic provisions of the program as stated below. Stay tuned for more information and be prepared for fairly fluid roll out of this program!
HARP 2 Basics
Eligibility deadline for application for a refinance under HARP has been extended to December 31, 2013.
The loan being refinanced must have been purchased by Fannie or Freddie by May 31, 2009.
Most loans owned by Fannie Mae and Freddie Mac will be eligible for a HARP 2 refinance. Subprime and Neg-AM loans are excluded.
Loan-to-value limits for all occupancy types:
o No maximum LTV for fixed-rate mortgages with terms up to 30 years.
o 105% for fixed-rate loans with terms greater than 30 years and up to 40 years
o 105% LTV for ARMs with initial fixed periods greater than or equal to five years and terms up to 40 years (as permitted by the ARM plan).
Borrowers must not have any late mortgage payments in the past 6 months.
One 30-day late mortgage payment is permitted in the prior 7 to 12 months.
The waiting period to refinance after a bankruptcy and for reestablishment of credit has been lifted.
The borrower must receive a benefit in the form of either a reduced monthly mortgage payment or a more stable loan product, such as refinancing an adjustable-rate mortgage into a fixed-rate mortgage.
Mortgage Insurance:
o If the current loan has mortgage insurance, mortgage insurance will also be required on the new mortgage.
o If the current loan does not have mortgage insurance, mortgage insurance will not be required on the new loan.
o Loans that currently have lender-paid mortgage insurance (LPMI) are eligible for HARP 2.0 based on some restrictions.
Unless the payment is increasing by 20% or more (Example: converting a 30 year loan to a 20 or 15 year loan) or funds must be brought-in to the closing for some reason or another, the borrower should not have to re-qualify in regards to credit, income and assets. This could subject to investor overlays.
An appraisal may not be needed, but as noted above, each investor will detail their guidelines for items such as this.
The agencies are significantly reducing the maximum amount of loan-level price adjustments that apply to loans under the HARP program. Loan-level price adjustments, or LLPAs. Borrowers that could qualify under HARP 1 may have a lower rate under HARP 2.
It appears that Bank of America recently rolled out HARP 2, but, with their typical big bank customer service, they won't promise to call you back for 60 - 90 days! (how do they stay in business???)
http://news.businessweek.com/article.asp?documentKey=1377-ai97OhZGMJ0c-2JENR5NRA46B22OBU3DJTSQLC2
As the Fannie/Freddie March 15th HARP 2 implementation deadline gets closer I'll be letting you know when HARP 2 will be available from me here at Summit Mortgage. Looking forward to hearing from you soon. Call anytime!
Have a great week,
Bill Zimmerman
HARP 2.0 Fannie Mae - Overview
We have all been awaiting the announcement regarding the new HARP – known as HARP 2. On November 15, the agencies issued guidance with specifics and the differences as compared to HARP.
While the program went live December 1st, we are still awaiting guidance from our investors and the MI companies as to their intentions and willingness to participate.
As you may already know, the current HARP has been offered in varying degrees by the investor community. It’s safe to say HARP 2 will be no different. In fact, Wells Fargo issued the following announcement late last year:
"Fannie Mae's DU Refi Plus® continues to be the HARP program eligible for purchase by Wells Fargo Funding. While we are committed to extending the expiration date according to Agency requirements for DU Refi Plus Loans, any enhancements made by Fannie Mae to the DU Refi Plus program will not be available until we have had an opportunity to assess the impact and offering of the enhancements, and Desktop Underwriter® (DU®) has been updated to support the changes."
Another important factor is the fact that AUS (automated underwriting) implementation from both Fannie and Freddie will be delayed. For example:
DU Implementation of LTV Expansion
The changes to the LTV ratio limits described above will be implemented in DU in March 2012. Until such time as DU is updated, DU loan case files that receive an Ineligible recommendation due to an LTV ratio above 125% will not be eligible for delivery.
Essentially, I'm are still in the dark as to exactly what my options for clients will be at this point. As more of our investors express their intentions regarding implementation of HARP 2, I will share the information. The only thing I know for certain is the basic provisions of the program as stated below. Stay tuned for more information and be prepared for fairly fluid roll out of this program!
HARP 2 Basics
Eligibility deadline for application for a refinance under HARP has been extended to December 31, 2013.
The loan being refinanced must have been purchased by Fannie or Freddie by May 31, 2009.
Most loans owned by Fannie Mae and Freddie Mac will be eligible for a HARP 2 refinance. Subprime and Neg-AM loans are excluded.
Loan-to-value limits for all occupancy types:
o No maximum LTV for fixed-rate mortgages with terms up to 30 years.
o 105% for fixed-rate loans with terms greater than 30 years and up to 40 years
o 105% LTV for ARMs with initial fixed periods greater than or equal to five years and terms up to 40 years (as permitted by the ARM plan).
Borrowers must not have any late mortgage payments in the past 6 months.
One 30-day late mortgage payment is permitted in the prior 7 to 12 months.
The waiting period to refinance after a bankruptcy and for reestablishment of credit has been lifted.
The borrower must receive a benefit in the form of either a reduced monthly mortgage payment or a more stable loan product, such as refinancing an adjustable-rate mortgage into a fixed-rate mortgage.
Mortgage Insurance:
o If the current loan has mortgage insurance, mortgage insurance will also be required on the new mortgage.
o If the current loan does not have mortgage insurance, mortgage insurance will not be required on the new loan.
o Loans that currently have lender-paid mortgage insurance (LPMI) are eligible for HARP 2.0 based on some restrictions.
Unless the payment is increasing by 20% or more (Example: converting a 30 year loan to a 20 or 15 year loan) or funds must be brought-in to the closing for some reason or another, the borrower should not have to re-qualify in regards to credit, income and assets. This could subject to investor overlays.
An appraisal may not be needed, but as noted above, each investor will detail their guidelines for items such as this.
The agencies are significantly reducing the maximum amount of loan-level price adjustments that apply to loans under the HARP program. Loan-level price adjustments, or LLPAs. Borrowers that could qualify under HARP 1 may have a lower rate under HARP 2.
It appears that Bank of America recently rolled out HARP 2, but, with their typical big bank customer service, they won't promise to call you back for 60 - 90 days! (how do they stay in business???)
http://news.businessweek.com/article.asp?documentKey=1377-ai97OhZGMJ0c-2JENR5NRA46B22OBU3DJTSQLC2
As the Fannie/Freddie March 15th HARP 2 implementation deadline gets closer I'll be letting you know when HARP 2 will be available from me here at Summit Mortgage. Looking forward to hearing from you soon. Call anytime!
Have a great week,
Bill Zimmerman
Monday, January 30, 2012
Bill Zimmerman's Weekly tip - Do you know how the Fed's shocking announcement last week affected rates??
Today I've put together a new "Talking Points of Interest" video that discusses what the Fed did last week and how that, and other forces, have lately affected mortgage-backed securities (MBS) and, by extension, interest rates.
I think you'll find it interesting and should help you be able to better explain the basics to your clients of how and why interest rates move. Here's the link:
http://www.youtube.com/watch?v=oAY6YRzFdPw&feature=youtu.be
Of course, please don't feel like you need to become an expert on mortgage bond markets, etc. That's why I'm here! Use me as a reference tool to use to answer your clients' questions about rates and where they might be headed. Feel free to call or email anytime you have a question. (don't worry, there are no "dumb" questions!)
With rates as low as they are now's the perfect chance to buy a home or refinance an existing mortgage. Be the bearer of good news to your clients! This is great news. Share it! It won't last forever...
Your Partner in Greater Success,
Bill Zimmerman
I think you'll find it interesting and should help you be able to better explain the basics to your clients of how and why interest rates move. Here's the link:
http://www.youtube.com/watch?v=oAY6YRzFdPw&feature=youtu.be
Of course, please don't feel like you need to become an expert on mortgage bond markets, etc. That's why I'm here! Use me as a reference tool to use to answer your clients' questions about rates and where they might be headed. Feel free to call or email anytime you have a question. (don't worry, there are no "dumb" questions!)
With rates as low as they are now's the perfect chance to buy a home or refinance an existing mortgage. Be the bearer of good news to your clients! This is great news. Share it! It won't last forever...
Your Partner in Greater Success,
Bill Zimmerman
Monday, January 23, 2012
Bill Zimmerman's Weekly Tip - Stopping "Productivus Interruptus"
Here we are again at the beginning of a new week. Even though it's hard sometimes to get mentally in gear and moving, I love Monday's! Why?? Because it's my chance to start fresh. To reach my goals. To do better than last week at mastering my time.
Today I'd like offer a few tips for stopping "Productivus Interuptus." Yes, it's time to stamp out this disease once and for all and experience the liberation that can come from becoming the master of your time while at work rather than letting circumstances master you.
Stopping "Productivus Interuptus"
(from the excellent read "No BS Time Management for Entrepreneurs," by Dan Kennedy)
· Get lost! Not them, you!
· Don't answer the phone
· Check the fax/email only twice a day
· Set the timer on the bomb - hold yourself to a time limit for each task
· Be busy and be obvious about it
Ten Time Management Techniques really worth using!
1. Tame the phone
2. Minimize meetings
3. Practice absolute punctuality
4. Make and use lists to categorize demands:
- Do it
- Delegate it
- Defer it
- Dump it
5. Fight and link everything to your goals
6. Tickle the memory with tickler files
7. Block your time
8. Minimize unplanned activity
9. Profit from "odd lot" time (i.e. listen to work-related CD's while driving, do work while waiting for a plane, etc.)
10. Live off-peak (i.e. avoid traffic by avoiding rush hour, do your grocery shopping at 9:00 at night, etc.)
"There cannot be a crisis next week, my schedule is already full."
– Henry Kissinger
I hope these tips help you become more productive this week. It's hard, I know, but focus every day on self-mastery of your time and the results will come!
Make it a great week.
Your Partner in Greater Success,
Bill Zimmerman
Today I'd like offer a few tips for stopping "Productivus Interuptus." Yes, it's time to stamp out this disease once and for all and experience the liberation that can come from becoming the master of your time while at work rather than letting circumstances master you.
Stopping "Productivus Interuptus"
(from the excellent read "No BS Time Management for Entrepreneurs," by Dan Kennedy)
· Get lost! Not them, you!
· Don't answer the phone
· Check the fax/email only twice a day
· Set the timer on the bomb - hold yourself to a time limit for each task
· Be busy and be obvious about it
Ten Time Management Techniques really worth using!
1. Tame the phone
2. Minimize meetings
3. Practice absolute punctuality
4. Make and use lists to categorize demands:
- Do it
- Delegate it
- Defer it
- Dump it
5. Fight and link everything to your goals
6. Tickle the memory with tickler files
7. Block your time
8. Minimize unplanned activity
9. Profit from "odd lot" time (i.e. listen to work-related CD's while driving, do work while waiting for a plane, etc.)
10. Live off-peak (i.e. avoid traffic by avoiding rush hour, do your grocery shopping at 9:00 at night, etc.)
"There cannot be a crisis next week, my schedule is already full."
– Henry Kissinger
I hope these tips help you become more productive this week. It's hard, I know, but focus every day on self-mastery of your time and the results will come!
Make it a great week.
Your Partner in Greater Success,
Bill Zimmerman
Wednesday, January 18, 2012
Bill Zimmerman's Weekly Tip - G-fee? What's a G-fee and does it affect interest rates?
Let it snow, let it snow, let it snow. Even though the roads are dicey, our mountains could certainly use the moisture. Plus, my kids are having a great time in the back yard... Hey, winter's finally here!
Today I want to be sure you're up-to-date on the new government-mandated increase to the guarantee fee. This is an important topic to understand to help you better explain what's happening to your clients. So, here goes:
Last month President Obama signed into law the Temporary Payroll Tax Cut Continuation Act. This Act uses increased guarantee fees (aka G-fee) on new mortgages to pay for reduced payroll taxes. The amount of the g-fee increases will be included in future mortgage costs.
As a valued referral partner, I feel it’s important to keep you updated on critical updates within our industry that could affect your mortgage planning. The Temporary Payroll Tax Extension will increase mortgage costs on loans that are slated for delivery to Fannie and Freddie. This would include the vast majority of loans that are not government or Jumbo loans.
Mortgage lenders will factor in these higher costs within the next couple weeks. Bottom line, rates will likely increase due to this fee.
If you are thinking of refinancing or purchasing and want to avoid paying for the country’s Temporary Payroll Tax Extension over the next 15-30 years give us a call as soon as possible.
I have also attached a news link below that covers this topic.
http://www.housingwire.com/2011/12/29/freddie-fannie-to-raise-g-fees-in-april
Your Partner in Greater Success,
Bill Zimmerman
Today I want to be sure you're up-to-date on the new government-mandated increase to the guarantee fee. This is an important topic to understand to help you better explain what's happening to your clients. So, here goes:
Last month President Obama signed into law the Temporary Payroll Tax Cut Continuation Act. This Act uses increased guarantee fees (aka G-fee) on new mortgages to pay for reduced payroll taxes. The amount of the g-fee increases will be included in future mortgage costs.
As a valued referral partner, I feel it’s important to keep you updated on critical updates within our industry that could affect your mortgage planning. The Temporary Payroll Tax Extension will increase mortgage costs on loans that are slated for delivery to Fannie and Freddie. This would include the vast majority of loans that are not government or Jumbo loans.
Mortgage lenders will factor in these higher costs within the next couple weeks. Bottom line, rates will likely increase due to this fee.
If you are thinking of refinancing or purchasing and want to avoid paying for the country’s Temporary Payroll Tax Extension over the next 15-30 years give us a call as soon as possible.
I have also attached a news link below that covers this topic.
http://www.housingwire.com/2011/12/29/freddie-fannie-to-raise-g-fees-in-april
Your Partner in Greater Success,
Bill Zimmerman
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