Patience

Here’s a message from my favorite Warrior Mom, Katherine:

“Patience is not passive; on the contrary, it is active; it is concentrated strength.” ~ Edward G. Bulwer-Lytton

Patience can seem like, oh I don’t know, something weak.  Like maybe you’re giving up or deciding you just don’t care or accepting defeat.  Bulwer-Lytton describes it instead as something that takes enormous strength and focus, which makes me think of the Warrior Mom.  Warrior moms gather up their power into patience and determination to get through the ups and downs.  I like that thought.

Why Home Sales Will Rise This Year

A great prediction! According to the National Association of Realtor’s chief economist Lawrence Yun, the remainder of 2011 should finish strong for home sales due to the following reasons:
- More jobs.
- Rising stock market wealth.
- Rising apartment rents.
- Continuing high affordability conditions.
- Home values at historically justifiable levels.
Investors looking to hedge against inflation.
- Foreigners buying U.S. homes on the cheap.

The House That Built Me

I love this song. It reminds me why I love what I do every day for a living. http://www.cmt.com/videos/?id=1639757

Plan, Believe, Act!

“Our goals can only be reached through a vehicle of a plan, in which we must fervently believe, and upon which we must vigorously act. There is no other route to success.”  -  Stephen A. Brennan

San Antonio has “Next Gen” appeal

Four Texas cities are among the top places in the nation for young professionals to live and work, according to a list released yesterday by Next Generation Consulting (NGC).

On NGC’s “Next Cities” list, Austin ranked sixth among cities with populations greater than 500,000. San Antonio landed 17th and Houston 20th. Lubbock ranked 16th among cities with populations of 200,000 to 500,000.

To compile the rankings, NGC analyzed 45 categories for all U.S. cities with more than 100,000 people. Among those categories were earning, learning, vitality, around town, after hours, cost of lifestyle and social capital.

“Simply being the cheapest place to live, or the city with the most jobs, is not a long-term workforce strategy,” said NGC founder Rebecca Ryan. “The next generation is very savvy about choosing where they’ll live.”

http://www.mysanantonio.com/business/sa_ranks_high_as_place_to_work.html

BIBS Insulation

Many new home builders are proud to use progressive building techniques.  The Blow-In-Blanket System (BIBS) is one type of insulation method that can be used in the exterior walls of homes. It is often considered a superior method over batt insulation because it does not settle or deteriorate over time. Nor does it leave gaps or spaces unfilled allowing air to penetrate.

By blowing fiberglass insulation into fabric-encased framing members, a consistent layer of insulation is formed to protect your home from the outside air. The fiberglass fill is packed in so tightly that it leaves no room for gaps or settling over time. An energy efficient R-value of 15 is achieved with the density of two pounds per cubic inch. This is just one outstanding and efficient component of many new homes, and applies towards an ENERGY STAR rating.  This makes an outstanding re-sale tool in the future too!

What’s the hot new decorating color for 2011?

The 2010 Pantone color of the year was turquoise, and we saw it used EVERYWHERE in home furnishings from pillows to bedding to wall paint. Will we see that repeated again in 2011 with the recently chosen Honeysuckle color?  I think so!

Overcoming Appraisal Issues

You performed your market research and spent your advertising dollars wisely. You attended sales training and studied the best customer service practices. You demonstrated your beautiful home, pointing out the features and benefits to a prospective buyer in such a way that they see the value of your home and chose to contract at the full sales price. You assisted the buyer with obtaining loan approval from a reputable bank, which was easy because they are well qualified and making a down payment. You prepared for closing, knowing that you’ve done all of the things involved in the new home sales transaction very well – only to find out the appraisal came in below the contract sales price for your home. How do you hold the contract together and not lose this important sale?

• At the time you schedule the walk and close dates with the buyer, tell them what they can expect over these next few weeks as the mortgage bank prepares for closing. They will need to give their final bank statements and paycheck stubs to their lender, gather their necessary closing funds, secure their home insurance, and authorize their lender to order an appraisal. This is the ideal time to notify your buyer that there have been some recent challenges with appraisals nationwide, but that you will assist them in providing comparable closed sales within the area. They may have no appraisal issue at all on their home, but preparing your buyer ahead of time could prevent shock and then fear later on if they do.
• Know your market. Study MLS to ensure that you have information on all of the strongest closings in your area for both new and used homes. Ask the lender to have the appraiser contact you for assistance, or share your information with the lender to pass on to the appraiser if they are unwilling to communicate with you directly. The point is to be proactive.
• Be ready to problem solve if the home’s value does come in low. Explore other loan types, since a new appraisal will be ordered if you go from a VA to an FHA loan. This gives you a second chance to make a higher value. If that’s not an option for your buyer, try meeting in the middle with the buyer bringing additional funds to closing from their 401K or a gift from their family member. Ask the lenders and realtors to assist you with this issue, because they may be able to also help by reducing a few fees.

The most important thing is not to give up. We must try to gain every last dollar of appraised value that we can now to support our ever increasing construction expenses. And our homes are worth it!

NAHB’s Sales and Marketing Designations

In today’s market, seizing opportunities to further develop your sales skills can prepare you to meet the challenges of a competitive environment. Professional designations from the National Association of Home Builders are a terrific way to enhance your knowledge and prepare yourself to meet the challenges head on. As stated on the www.NAHB.org  website, professional designations offer excellent opportunities to improve your skills, advance your career, and be recognized for your commitment to professional growth.

Certified New Home Sales Professional (CSP)
The CSP designation was designed for specialists in new home sales to enhance their professional image, increase their marketability in the home building industry, and sell more homes! A few of the topics discussed during the three day course include qualifications and characteristics of a new home sales person, the difference between selling new homes and resale homes, and the role of the Critical Path to successful selling in the new home sales environment. This is an excellent place to begin your sales and marketing designation journey.

Master Certified New Home Sales Professional (Master CSP)
This designation acknowledges the continued educational achievements of graduates of the CSP program. The courses of “House Construction as a Selling Tool” and “Essential Closing Strategies” are required, but there are many others you may choose from for your 2 elective courses. This is a terrific way to pick areas that are of the highest interest to you.

Certified New Home Marketing Professional (CMP)
CMP is the mid-level designation for IRM students who have completed the marketing intensive IRM courses I through IV. These exciting courses include the topics of “Understanding Housing Markets and Consumers”, “Marketing Strategies, Plans, and Budgets”, “Lifestyle Merchandising, Advertising, and Promotion Strategies”, and “The Challenge of New Home Sales Management”.

Member, Institute of Residential Marketing (MIRM)
The MIRM designation is the top-level achievement for professionals in new home marketing. It includes not only the completion of the CMP courses listed above, but also the creation of a case study on a specific topic relevant to your experience. It is such an accomplishment to earn this prestigious designation!

Visit the www.NAHB.orgwebsite today to learn how you can earn the extra edge needed to promote your new home sales and marketing career.

REALTORS® + Builders = Sales!

Our annual REALTORS® discussion panel was held at the August Sales & Marketing Council breakfast. We were given the opportunity to learn what the best builder strategies are for marketing to realtors and their clients. We were fortunate to have Andy Mushinski with Coldwell Banker D’Ann Harper REALTORS®, Dayton Schrader with RE/MAX Associates, Shanna and RJ Reyes with ERA Legend Realty, and Justin Crisp with Keller Williams Legacy participate. For those of you who were unable to attend, and for others who’d like a refresher, here is a recap of some of the most important points of the presentation.

• When asked what they liked best about selling new homes, the realtors responded that most of their clients prefer to buy new due to warranties, cleanliness of the homes, the ability to customize the color selections, and the new building technologies – particularly in the area of energy efficiency.
• When asked what they liked least about selling new homes, the realtors responded first with their frustration about our frequent requirement that buyers use our preferred mortgage company. The other dislikes they mentioned were a lack of communication, untrained on-site sales people, multiple superintendents during the construction process, not maintaining advertised office hours, and a lack of accessibility to our available inventory homes information.
• When asked what their preferred method was for receiving available inventory homes information, the realtors unanimously responded with MLS as their top choice. Next came the Realty Pak, the San Antonio Builder Blast, weekly emailed updates, and SA New Homes. They stressed the importance of including a contact phone number, so the information can be verified for accuracy before they make a trip out to the community with their clients.
• When asked what the preferred buyer incentive was for their clients, there were different recommendations depending on the home’s price point. For first time homebuyers in the under $200,000 price range, closing cost assistance and interest rate buy-downs ranked #1. For buyers above $200,000, concession money to be used towards upgrades became a more popular response.

For walk-in traffic to our model homes, it may take up to 35 units of traffic before we are able to convert one to a sale. Conversion ratios drop dramatically to 4 units of traffic, though, when taking into account only buyers working with a realtor representative. As a building community, it is imperative that we grow and maintain a strong relationship with the professional REALTORS® to maximize our success.