Why superstar agents may be ignored (at first)

naples real estate school

When was the last time you had an amazing mailman?

How about custodial crews–do you look at the spotless floors of a supermarket or restaurant and think, “Wow, the cleaning crew here is amazing”?

Not likely.

Odds are, you notice when a place is dirty and pay no mind when it’s clean.

Same goes for mailmen: we don’t thank the mailman for giving us all of our mail on time, we only curse him when he fails to do so.

These are often thankless jobs that are being accomplished to their utmost potential when the people carrying them out are unnoticed.

Is it possible that real estate agents are in this category?

The Super Star agents are the ones who can anticipate problems and, as a result, have a solution at the ready.

When people (in any industry) do this successfully, their work often goes unnoticed in the short term.

But over time, if you are consistent, your ability to smooth out transactions and make life generally easier for your clients will yield more business.

The key is to put in work that may be invisible to the world for a while.

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About Larson Educational Services:

Utilizing 40 years of real estate training and professional education experience, Florida real estate school Larson Educational Services is the premier provider of Florida real estate licensing, exam preparation, post-licensing, CAM licensing, mortgage loan originator licensing, and continuing education in Southwest Florida. Classes are available in Fort Myers, Naples, Sarasota, and online. We are an approved Florida Real Estate School (License #ZH1002299), Florida CAM School (License #PRE31), Florida Insurance School (License # 370501) and NMLS Approved Course Provider.

Larson Educational Services

13040 Livingston Rd. #12,

Naples, Florida

34105

239-344-7510

LarsonEd.com

We’ve got an offer you can’t refuse

Good morning from the LarsonEd Godfather 🐴, Rick Larson.

He’s here to make you an offer you can’t refuse: Florida’s best real estate and insurance education.

Check out our new insurance courses here: https://larsontrak.larsoned.com/60-hour-health-life-agent-pre-licensing-course

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How to Convert FSBOs into Clients–Part 2

We all like to save a few bucks here and there, especially when it comes to home ownership.

But some boot-strapping home owners take DIY too far.

Sure, it makes sense to teach yourself how to fix a leaky faucet or replace a broken door hinge.

But at what point does this self reliance go too far?

The answer: when you decide to sell your home yourself.

Some people see listing their home for sale by owner (or FSBO) as a way to save an agent’s commission for themselves.

“I can put a few signs in the front yard,” they tell themselves. “And what’s so hard about taking some pictures and posting them online?”

What they don’t realize, however, is that their choice to go it alone could potentially cost them a lot of time and money.

So how do you turn FSBOs into a client?

In short, through education.

Inform FSBOs of the risks they’re unwittingly taking on and explain the possible negative implications of those risks.

Read Part 1 Here

How to convert fsbos

5. They will take longer

On average, FSBO listings will take longer to sell than agent listings. Unless the person selling without representation already knows a person who wants to take the property, this can mean a lot more time spent on the market. 

For similar reasons, properties listed by the owner are often incorrectly priced (watch here for some of the most common causes of inflated home prices).

Consequently, close to 20 percent of FSBOs are unable to sell their homes within their chosen time frame.

6. It’s a long lonely road for an FSBO

For better or for worse, FSBOs are lone wolves.

If an FSBO runs into a problem or has a question, they are all alone. Real estate agents have mentors and brokers to go to for help—agents have a network to go to for support. FSBOs do not.

7. Marketing is harder than it looks

FSBOs often underestimate the difficulty of listing and selling their home.

Think putting up a yard sign will be enough to sell your home? You’re not alone.

33% of FSBOs rely on yard signs to market their home.

Only 13% of FSBOs use the Multiple Listing Service (MLS) website. 

But what many of these sellers don’t realize is that getting on the MLS is not necessarily enough to make the sale.

Again, as an agent you have a network of connections and prospects who might be interested in a home that would otherwise sit unsold for an FSBO.

8. Less money, more problems

The name of the game for FSBOs is saving money.

However, odds are good that a for sale by owner will be nickel and dimed until their commission savings are nullified.

How much will the home inspection cost? What about signage and flyers? How about that home warranty? The list of small costs that are a necessary part of the sales process can add up.

And that’s to say nothing of the investment of time required for an FSBO.

Without the same resources as an agent, FSBOs wind up making a large investment of time to sell their home.

How much is your time worth? 

Read Part 1 Here

Florida real estate school

About Larson Educational Services:

Utilizing 40 years of real estate training and professional education experience, Florida real estate school Larson Educational Services is the premier provider of Florida real estate licensing, exam preparation, post-licensing, CAM licensing, mortgage loan originator licensing, and continuing education in Southwest Florida. Classes are available in Fort Myers, Naples, Sarasota, and online. We are an approved Florida Real Estate School (License #ZH1002299), Florida CAM School (License #PRE31), Florida Insurance School (License # 370501) and NMLS Approved Course Provider.

Brad Larson

Larson Educational Services

13040 Livingston Rd. #12

Naples, FL 34105

info@LarsonEd.com

239-344-7510

www.LarsonEd.com

How to Convert FSBOs into Clients–Part 1

We all like to save a few bucks here and there, especially when it comes to home ownership.

But some boot-strapping home owners take DIY too far.

Sure, it makes sense to teach yourself how to fix a leaky faucet or replace a broken door hinge.

But at what point does this self reliance go too far?

The answer: when you decide to sell your home yourself.

Some people see listing their home for sale by owner (or FSBO) as a way to save an agent’s commission for themselves.

“I can put a few signs in the front yard,” they tell themselves. “And what’s so hard about taking some pictures and posting them online?”

bad photo

Actually, a whole lot about real estate photography is easy to overlook. For starters, getting rid of the stuffed animals and Simpsons-esque furniture. (Photo courtesy of terribleagentphotos.com)

What they don’t realize, however, is that their choice to go it alone could potentially cost them a lot of time and money.

So how do you turn FSBOs into a client?

In short, through education.

Inform FSBOs of the risks they’re unwittingly taking on and explain the possible negative implications of those risks.

How to convert fsbos

1. The potential for scams

FSBO sales create the potential for fraud by both parties.

Some FSBO sellers will ask that their buyer go forward without an agent as well. “We can make this deal without either of us losing money to an agent,” they might say.

Hoping to save a few extra dollars in the deal, the buyer might agree, throwing down an earnest money deposit in the process. If the FSBO decides they don’t like the deal, the buyer might be out of luck without a valid contract or receipt, saying goodbye to their EMD.

FSBO scams can include producing fake papers, such as appraisals or loan documentation, or purchases through a fake third party, like a non-existent attorney.

Ask an FSBO why they would open themselves up to these potential scams. Tell them you’re a trained professional who specializes in these transactions and, believe it or not, they’re not as easy to pull off as they might seem.

2. For the love of paperwork

One of the biggest unforeseen obstacles FSBOs encounter is the daunting paperwork of a real estate transaction.

Maybe the FSBO did a Google search and found a one-size-fits-all contract and thought their work was done. But do they actually understand what’s on that contract? Are they capable of customizing it?

Ask the FSBO how valuable their time is and how it could be used in better ways than learning the ins and outs of real estate contracts they may use only a few times in their life.

Sales contracts, lead paint disclosures, property disclosures—inform the FSBO that any missteps in these papers can lead to legal problems that could’ve been easily foreseen by a real estate agent.

3. Bad deals

FSBOs aren’t as practiced or as knowledgable at finding discrepancies in contracts before signing on the dotted line. For example, let them know that they may have to pay lots of money to back out of a bad deal if there are some oversights in their paperwork. You can help save them that money and headache.

4. They’ll get less money

FSBOs make about 16% less than median sales prices. This could be due in large part to them not having the time or resources to devote to understanding their home’s market value. Likewise, they may not know how to accurately read market reports, and they might not know how to create a proper marketing campaign.

FSBOs who sell to their friends or someone they knew, dropped their median sale price from $210,000 to $151,900.

Why? Because their friend expected a deal.

Check back next time for part 2.

Florida real estate school

About Larson Educational Services:

Utilizing 40 years of real estate training and professional education experience, Florida real estate school Larson Educational Services is the premier provider of Florida real estate licensing, exam preparation, post-licensing, CAM licensing, mortgage loan originator licensing, and continuing education in Southwest Florida. Classes are available in Fort Myers, Naples, Sarasota, and online. We are an approved Florida Real Estate School (License #ZH1002299), Florida CAM School (License #PRE31), Florida Insurance School (License # 370501) and NMLS Approved Course Provider.

Brad Larson

Larson Educational Services

13040 Livingston Rd. #12

Naples, FL 34105

info@LarsonEd.com

239-344-7510

www.LarsonEd.com

There’s SNOW doubt about it…

There’s snow doubt about it: LarsonEd is the COOLEST new insurance school in Southwest Florida.

Sign up for classes here: https://www.larsoned.com/insurance/

#florida #naples #insuranceschool #healthinsurance #lifeinsurance

florida insurance school

Larson Educational Services

13040 Livingston Rd. #12,

Naples, Florida

34105

239-344-7510

LarsonEd.com

Is LarsonEd Best of…Wackiness?

Do you think LarsonEd is the best family-owned business in Fort Myers?

Heck, maybe you just think LarsonEd is the WACKIEST family-owned business.

Either way, we humbly ask for your vote in Gulfshore Business Magazine’s “Best of Business” awards.

Just follow the link below and put in “Larson Educational Services” for #20, Best Family-Owned Business…but only if you think we deserve it (spoiler alert: you do).

CLICK HERE TO VOTE

fort myers best of business

Larson Educational Services

13040 Livingston Road #12

Naples, Florida

34105

239-344-7510

LarsonEd.com

6 Tips for First-Time Home-Buyers

When people are faced with the unknown, they will often choose inaction.

Why?

Because inaction is the default–it’s inside your comfort zone to do what you’ve always done.

That’s why so many potential first-time home-buyers often bite on the first house in their price range or simply choose to continue renting. 

Here’s how you can handle the unknown of buying your first home.

1. Decide if buying is right for you

So often, people talk about renting as “throwing money away.”

Is it really?

You need a place to live, don’t you? So you pay money in exchange for a roof over your head.

Just because you’re not building equity with a rental like you would with your own property doesn’t mean the rental is a waste of money.

Think about it this way: it might be cheaper to grow your own food rather than buy groceries every week, but does that mean you’re “throwing money away” at the grocery store?

Does that mean you should buy a farm? 

Consider your long-term goals and ask yourself if owning a home fits with your personal, professional, and financial future.

And try out this excellent interactive “Rent Vs. Buy” calculator from the New York Times: https://www.nytimes.com/interactive/2014/upshot/buy-rent-calculator.html

2. What you’re approved for is not necessarily what you can afford

If you’ve decided that home ownership is right for you, then getting pre-approved for a loan should be one of your first steps you take.

A mortgage loan originator will look at your financial situation and determine your buying power.

You might be pre-approved for, say,  a $350,000 mortgage, but does that mean you need to find a $350,000 home?

Absolutely not.

And not every loan originator will be created equal. They are an integral part of the home-buying process, so you should shop around for the best one the same way you would for your real estate agent.

Your agent and her brokerage may have a relationship with a loan originator, but do your due diligence and see if there are other options in the area.

3. Find a great agent

The agent who comes recommended by your aunt or your best friend may not be the best agent for you.

Your needs in an agent may be different from the people who recommend them. 

And the best agent may not be your friend. It’s a nice thought to help your real estate agent friend by giving him your business, but a lot of friendships have ended when money came into the equation. 

Working without an agent is an even more treacherous road to wander down.

An individual may sell their own home as a for sale by owner listing (FSBO) in an effort to save on the agent commission.

In some rare cases, these FSBO sellers may request that you purchase without an agent, just as a way to keep agents out of the transaction.

Not a good idea.

Find an agent you trust and who can serve as your expert on a potential neighborhood or a certain property type. 

4. Try to be objective

Of course you should have some sort of emotional attachment to the home you eventually purchase. However, there are a handful of factors that can emotionally sway your decisions.

For example, you might be in a pinch for time and need to move in fast on a purchase. Or maybe a certain property just hit the market, or there are other offers on the property.

Utilize your agent in these situations. They will be able to provide you with more objective information, such as recent purchase prices on comparable homes.

5. Consider the true cost of ownership

When considering the monthly costs of home ownership, there’s more to it than just insurance, taxes, and the loan.

Routine (and not so routine) maintenence can add up quicker than you think. And deferring maintenence costs a lot more than routine maintenence.

There’s no landlord or property manager to save you now: it’s all coming out of your wallet.

Set aside money every month for maintenence–not only for routine fixes, but for emergency stuff as well, so these extra costs don’t come at the wrong time.

Also, consider how much will your utilities cost. Find out if there is reliable internet and cell service in the home as well.

6. Don’t bank on funding your retirement

When you buy your home as a place to live, it’s best not to think of it as an investment.
It’s not important what your home is worth at this moment, all that matters is that you’re happy with it in this moment.

When it comes time to sell, all that will matter is how much it will be worth then.

And even if you take a loss on the sale, consider the years of use and happiness you got from the property.

Sign up for classes by visiting us at LarsonEd.com.

Larson Educational Services

13040 Livingston Rd. #12,

Naples, Florida

34105

239-344-7510

LarsonEd.com