Keep in mind that a property in the preforeclosure stage does not necessarily mean it is already up for sale. To be sure that it is, you will have to check with its owner. But how exactly do you do this?

Plenty of Options

In most cases, owners of properties in preforeclosure are weighing all options available to them. On the one hand, they may be trying to bring the payments to currency and thus stop the foreclosure process altogether. Even then, an offer from a prequalified buyer may still be the best option for the owner.

Selling at preforeclosure is beneficial to not only the buyer, but the seller, too. Buyers enjoy substantial discounts from preforeclosure properties in most cases. The owner, on the other hand, may get out of the mortgage and maintain his or her credit score. If all is done properly, sales agreements may pave the way for low downpayments.

Still, buyers should be aware that owners of pre-foreclosed properties are in delicate situations. More often than not, they are experiencing financial difficulty for one reason or another. It is not strange for them to think things through rather than be impulsive.

For these reasons, potential buyers should approach owners with utmost respect. Being aggressive may be seen as rude and is not needed in the first place. Privacy will be held in high regard in these situations. With such considerations, it is best to make contact through mail.

Postcards Work Best

To contact the owner of a property in preforeclosure, it is best to do this by sending him or her a postcard. Sending one imparts the message in a non-aggressive and unassuming manner. There is a good chance it might find its place in the trash, though. Still, it is much better than making a phone call or knocking on their door. It relieves the pressure and gives them time to think about your offer.

No need to provide a long-winded explanation here, it is best to take a direct approach on the matter to produce desirable results. In sending the postcard, let them know that you are interested in their preforeclosure and that your offer is a viable option. A shorter and direct to the point message is a more effective means of communication and is less time consuming to read.

What to Say

Coming up with things to say in the postcard is quite easy. Here are a few guidelines to remember:

• Mentioning foreclosure, default payment or anything similar should be avoided so as not to humiliate the homeowner in case someone else reads it.

• In a sense, you are making sales pitch here so it is best to explain how a sale could benefit the owner of the preforeclosed property.

• Provide multiple ways for the preforeclosure property owner to contact you for a faster transaction.

Real estate agents already understand the importance of setting themselves apart in their industry. In a highly competitive profession such as this, distinguishing yourself as an authority is not a choice; it is a requirement.

Google+, the newest social networking site managed by the popular search engine, is introducing new tools that will help real estate professionals establish themselves as an authority in their area and boost their sales. These changes will be effective March 1, 2012, and they will be changes that take place throughout the entire Google network.

The first change that has already begun to appear on Google is the “personal results” that appear at the top of your screen when you perform a search. If anyone connected to your Google+ page has a posting that is relevant to the search you performed, it will appear in this area. You can access what others have to say about your searched phrase before you ever visit one of the search results.

How This Is Beneficial To The Real Estate Agent:

Most real estate agents already understand that people are turning to the Internet for information on purchasing homes before they contact an agent. Agents can take advantage of this by creating information packed sites that are continually updated with new and relevant information on the housing industry. When these updates are posted, and someone within their circle performs a search on this subject, Google+ will automatically send the person performing the search a link to the agent’s website. This helps the agent establish authority, which increases the potential for sales.

The second change that Google+ has made is the ability to add live recordings to a post. Videos are the most popular thing on the Internet at this time. In a recent press release by Google, it was stated that the word “video” plus the subject matter was the most searched term on the Internet.

Agents can add video to their Google+ posts and increase their authority with the public by giving their postings a personal touch. Videos will also help increase your page ranking in the search engine and connect with people who are looking for video posts only.

Video posts can be about anything relevant to the industry or about the area in which you are selling properties. You may want to give an introduction video to your services, or you can create a virtual tour of a home you are trying to sell. Google+ allows videos to be up to 15 minutes in length. With this much time available, the possibilities are endless.

In such a competitive field, agents must take advantage of every opportunity that is presented to them. Google+ is fairly new in comparison to other social networking sites, but this does not disqualify their importance in the marketplace.

Taking advantage of these new tools being offered by Google, with the company promising additional tools in the near future, real estate agents can successfully build an online reputation that will drive sales their way.

Make it easy for them, fill your pipeline and increase your commissions while you’re at it by spreading the word about creative financing opportunities.

Take the initiative to educate your local public about distressed property financing. Don’t be afraid to go beyond the conventional mortgage! These days it’s difficult for many buyers to qualify for mortgages, but that doesn’t mean they can’t get the money elsewhere.

Here are just a few alternative ways for your clients to finance distressed property purchases:

• Use the equity in existing investments or properties
• Leverage their IRAs (see our feature on Glen Mather this month to learn more)
• Take on investors
• Tap into whole life insurance policies
• Cash in on certificates of deposit or other investments

Be a Good Samaritan and a great businessperson by spreading the word through local seminars, free downloadable guides on your website, creating a webinar of your own or posting videos on YouTube.

Not only will this educate buyers and give them the confidence to invest in distressed real estate, it will also put you at the forefront of their minds and brand you as an expert they want on their side.

And when they’re ready to start their searches, you’ll be the first person they call.

What better way to fill your pipeline, grow your distressed property business and enjoy the commission boost that comes with it?

If you yourself don’t feel confident enough about these types of financing to recommend them to your potential clients, that’s no reason to avoid this tremendous opportunity.

Simply reach out to the experts in your area – bankers, investors, fund managers – and propose a partnership. Ask them to speak at your events or interview them for your videos or reports. Do what it takes to get the information you need. Chances are these people will be more than happy to share their expertise with you in exchange for a piece of the pie when your leads turn into qualified buyers.

There is a huge amount of opportunity out there in the distressed property market for buyers and their agents. Spread the word so that both you and your clients can capitalize on current market conditions.

Plant the seed. Watch it grow. Reap the rewards.

Real estate agents perform many services to help their clients buy or sell their home. For those who are about to sell their home, an agent will often:

• Conduct a price comparison of other similar area properties to gain insight on how to price the home
• Conduct a walk-through of the home and take pictures for promotional materials
• Interview the seller and work with them on how to sell thew home quickly
• Work within their office to generate interest in the property
• Conduct open-house events and other promotional events to move the property

When working with a buyer the agent will perform many, if not all of the following duties:

• Interview buyer to gain knowledge of the type of home they wish to purchase
• Encourage them to get pre-approved for a mortgage so that they know what type of price range to search for homes in
• Show buyer homes at their convenience. This often means working weekends and evenings
• Prepare offers, contracts for sale and in some cases, closing documents.

Real Estate Work Environment

A majority of real estate agents work in the residential sales field. This usually results in the agents working for private brokers in their local area. Some real estate agents sell commercial properties, but large firms handle most commercial transactions.

A typical real estate agent will work 40 or more hours a week. This is because most people looking to sell a home come in during regular business hours, while most people looking to purchase want to see homes in the evening and on weekends. Most agents find a way to balance out the irregular hours to make it work for their lifestyle.

Training and Career Advancement

To become a real estate agent you will need to hold a high school diploma and have some educational training in the industry. Real estate agents must be licensed in all fifty states and in D.C. to work at this profession.

Most of your training as a real estate agent will come with on-the-job experience. Through the guidance of your broker, you will learn the best ways to sell a home, help someone purchase a home, as well as other tricks of the trade.

Classes are always available for advancement such as Certified Short Sale Agent, Certified Foreclosure Agent, Certified Commercial Foreclosure Agent and other real estate training courses. In the future, as you become more experienced, you can apply for a broker’s license and start your own office.

Skills

Real estate agents should possess the following skills:

• Organizational skills are necessary.
• Scheduling skills. You need to be to all appointments on time
• People skills. Clients can be frustrating. You need to have the ability to smile- regardless
• Ability to find your way around your community with ease.

Outlook on Employment

Real estate agents and brokers are one of the fastest growing segments in the economy. Regardless of housing market fluctuations, the need for agents and brokers remains. As the population changes, so do lifestyle and housing requirements.

At this time in history, the baby boomers are transitioning into smaller homes and condominiums. These potential clients want to sell their homes and find new ones, all with the assistance of an agent. This is just one example of the constant need for agents.

Earning Potential

Real estate agents work off a commission structure that is established by the broker that they represent. Earnings are determined by the amount of deals you close and nothing else. Therefore, the more motivated you are in the field, the more money you will earn.

In 2008, the median salary for a real estate agent was around $49,000 per year. However, in many areas of the country agents were generating over $100,000. In less populated areas of the country, the average wage was around $25,000. Again, this is determined by the amount of sales you personally close on and agents can make as much or as little as they desire.

Recently, we helped a large entity implement technology that streamlines the marketing and managing of offers for its distressed real estate listings. As our customer service representatives have fielded the calls on its behalf, I have been curious about how its agents and brokers have been reacting to the big change.

The first group is what is known as the early adopters. These are the individuals who embrace the latest and newest tools to assist them in their daily routines. The early majority is the next group. These folks are conservative in nature, but open to new ideas. The last group is the late majority. This is the group that is not as socially active and are typically fighting and screaming through change.

What type of agent are you? Are there ways you could be more efficient if you had certain tools?

The more we can expose ourselves to the latest tools, the better agents we will become. Sometimes it can be daunting. However, if you take a step to be more “cutting-edge,” which is a relative term, than you were yesterday, you are growing. And because you are working on yourself, your business will grow, too.

Before jumping if you are not an early adopter, you can spend some time researching. This may make your transition easier, however don’t get so bogged down in researching that you never take a step forward.

Learning something new everyday will enhance your life and make your business grow. In the end, isn’t that the way you want your clients and prospects to see you?

Take a step. Enjoy the journey.

Why Select Team Work Over Single Selling?

Some people find that their strengths are more geared to the selling aspect of a transaction, while others prefer all the paperwork and details. Combining these two strengths creates a team that will accomplish anything. However, a team that is made up of two “top sellers” and no one to take care of the details may not be a team of preference.

Friend or Partnership?

You do not have to be friends with the people who you work with on your team, but you do need to have enough in common to make it work. Before entering into this type of partnership make sure that you and your teammate(s) share the same selling styles, have the same goals, and get along in a manner that will be seen as professional.

You should come to an agreement right from the start on who will do what tasks to move the property. You will also need to determine how the commission and expenses will be split.

Does your teammate work the same hours as you do? Do they work the same amount of hours that you do each week? It may not be a good idea for a full-time real estate agent to team up with a part-time agent and still split the commission evenly. This is a very important point to look at prior to commitment. You do not want hard feelings or court cases to follow a sale because someone feels they deserved more of the cut.

Contracts

All real estate brokers require agents to sign a contract that defines their employment. This contract will state how commissions are paid and how clients are selected for each agent. When agents form a team, they should draw up a personal contract for their team that includes:

• How commissions are paid to each member and when distribution will occur
• How many hours each member is required to dedicate to the team
• Vacation time and days off
• How clients are distributed to team members
• Duties of each member

You can draw up something simple based off your original contract with the broker, or you can pay an attorney to create one for your team.

Additional Tips

While it is not uncommon for people to prefer to work alone, especially in this type of industry, remember that it is also nice to have someone who you can rely on to pick up the slack if you become overwhelmed with business or simply have a bad headache and need to go home.

When you work as a group, make sure that you are always in contact with each other so that sales progress and commissions are earned. This does not mean that you have to do everything together that would be a waste of time and effort; it just means that you need to keep your lines of communications open at all times.

Family teams have become very popular, especially husband and wife teams. Husbands and wives need to remember to keep it professional in front of the client. This means no arguing or snide remarks. Leave work at work and enjoy each other at home. That is the only way to have a good team when it comes to family.

Areas likeProvidence, which used to by synonymous for comfortable middle to upper middle class living, are now struggling with foreclosure rates. These areas have but some of the most fantastic real estate properties on the market. If your own finances are not in the red, now is the time to make use of your money and score a real estate investment for yourself.

Professionally speaking,Californiahas a lot to offer. If you are thinking of establishing an IT start-up, you will find a lot of support – and possibly financial backing as well – fromSilicon Valley. You can finally rub elbows with the who’s who in the world of computers and technologies the moment you pack your bags and head to the ever-sunny regions ofCalifornia.

If you are business-oriented,Los AngelesandSan Franciscoare considered as two of the top commercial hubs of the country. You are guaranteed to find plenty of opportunities to work for any of the top companies in theUnited States, as they are likely to have their major offices or even headquarters located in these cities.

Certainly, those who wish to have their names known in the arts will not regret snapping up a foreclosure property in theCalifornia. After all, this is where the bright lights ofHollywoodlie in wait for your destiny to unfold.Californiaalso has some of the best schools for other genres of art such as dance, music, theater, and painting. No matter what form your love for art takes, you are sure to find a haven in one of the perpetually busy and colorful streets of this state.

Luxury is almost a by-word forRodeo Driveand the rest ofBeverly Hills. It is definitely the perfect place to purchase a foreclosed home if you wish to pamper yourself with your retirement income after long and hard years of overworked and frugal living.

Last but not the least,Californiaalso allows nature lovers to commune with Mother Earth with its numerous splendid natural attractions.

Many people dream of going toCaliforniaand living there – even if it is not inBeverly HillsorLos Angeles. What they truly just want is to experience the allure and beauty ofCalifornia, which no other state can effectively mirror.Californiaadmittedly has its dangerous sides, but what state does not?

With foreclosures practically knocking on your door, maybe it is time to listen to your heart and welcome such an opportunity. The rates for foreclosed property won’t stay so low for the rest of your career – or life. If the rates go down, what you could have used to purchase a mansion would be just fit to purchase a dye-in-the-wool home in the suburbs.

Selling foreclosure can be fun, rewarding and challenging. If you are persistent, competitive and are up to the challenge, you can look forward to earning big commissions when you sell a property or locate one for a potential buyer.

Understanding the Unique Elements of Foreclosure Sales

Unlike selling conventional on-market homes, you have to understand the unique elements that come with foreclosure sales. One is to give your buyer a very good and positive aspect of the foreclosed home, such as the discounts they can potentially get. You also have to be able to look at a home and see the gems hidden under what can be neglect, cosmetic improvements or structural issues.

Because foreclosed homes often spend more time in the market, you will deal with homes that may be damaged. However, your mission is to let the client see what the possibilities are.

Knowing the Ins and Outs

A good foreclosure specialist knows the ins and outs of foreclosure law and how to turn it to their advantage. Familiarity with the foreclosure laws in your state of operation can help you get the best deals even before they have a chance to hit the market. This can help you scour listings for the type of property you like to specialize in.

Another thing you should be familiar with are the types of financing a buyer can get. From government sponsored financing such as that of the Federal Housing Administration (FHA) to traditional loans from lenders.

Starting with the Government

One way for you to kick-start your career with the foreclosure business is to take licensing exams for government-owned foreclosed homes such as that of HUD. HUD and VA commissions range from 6 to 10 percent and can net you a comfortable profit. Government-owned houses are also a good bet to invest in because they tend to give buyers a lot of leeway and financing options to help renovate, rehab or own a home.

Advertising Yourself

Networking and marketing yourself can help you gain clients and good work will always give you more clients. Encourage happy customers to give your name out to get great word of mouth business. Create a website, take out ads or even add a magnet or sticker to your car. Advertise what type of foreclosure you specialize in so clients know what they are going to get. You will be surprised at the business you will get even if you simply run an ad in the local paper.

Honing Your Edge

Learning the processes can take some time but honing your edge is a great investment and a great head start into the viable business of selling foreclosed homes. Never pass up a chance to attend seminars or learn from other veteran agents. Stop sitting on your heels ad join a lucrative market that is fast becoming one of the biggest businesses in the United States.

Start earning your commission today!

Let us start with the basics. Financially, you are going to need to have a budget and some type of income to help you get started, especially before the first deals start to happen. Establish a budget and then stick to it. Estimating personal expenses and business expenses (including marketing) should be taken into consideration. Weigh your income expectations against your budget constraints and see what you have to do work with. Be realistic-expect to work hard and put in long hours to get your business off the ground.

The bigger the list of prospective clients is the better chance at growing your income. Do not be fooled by people wanting to sell lists of leads. Lead generation is something you can accomplish by making a presence known to people who might turn into clients. This is one of the key reasons to build your own brand. You never know who might turn into a client or where you will meet them. Hand your card out at places you frequent, including restaurants and the grocery store. Exchange contact information with people then follow up on that contact. Doing so will help you to enlarge your Sphere of Influence, which all good salespeople must do to become successful. Find out what marketing method works to your advantage for the type of clients you would like to attract, and then follow through on that method.

Organization is very important. You are going to become very familiar with your computer. Utilize the tools on your computer such as spreadsheets and other systems that will promote time management. Keeping your contacts organized (friends, family, business associates, clients and prospective clients) will allow you to focus more on actual business tasks. Along with being organized, keep yourself motivated. Once you have decided on your long range and short-range goals, put together a list of items that you need to accomplish in order to achieve them. Set aside time each day to do what needs to be done to grow your business. This can include calling people, sending emails, or doing market research. While it might be tempting to put things off, procrastination will not get you anywhere-except further away from your goals. Think positive and stay on track.

Finding the right brokerage is extremely important. Interview them as they interview you. As a new agent, you are going to need help growing your business. See what they offer in terms of a support system. Do they offer in-house training or do they have mentoring program? Do not just look at the commission split, keep in mind that although they might take less of your commission, they might ask for more up front costs in some areas such as office supplies or Errors and Omission insurance. That can have an effect on your budget and bottom line. A strong support system and less up front cost might be a better way to go for a new agent, even if that means splitting more of your commission.

New agents can be successful if they are aware of their strengths and weaknesses, are willing to set realistic goals, and follow through with a detailed plan to grow their business.