Real Estate Maven shares real estate Internet marketing ideas

Another problem with “testing the market,” is that you chase away the initial and largest pool of buyers.  Many serious buyers are monitoring the market, your market, this very minute.  They have seen all there is for sale in a certain price range and in a certain target location and have not yet found anything that they want or like.  They wait and watch and when something new comes on the market, it shows up on their radar screen and they have instant interest in the newcomer.  If your property is too high, they will by-pass it knowing it is too high or they will bypass it because of the combination of these reasons.  The price is too high and since you just put it on the market you will most probably not be ready or realistic enough to negotiate very much.  The buyer’s attitude will be that it is too soon for seller to get real.

Yet another reason not to play the “test the market” game is that in tough times or in a down market when property values are declining your property could actually be worth less in 10 or 11 months than it currently is.  Time equals money and the test period can create a loss situation.

So I have shown you that testing the market it can potentially cost you money and now I have highlighted the fact that testing the market can cost you opportunity as well.

But don’t be afraid.  My point to all of this is that you most probably know what your property is worth and that you always have. Do not be shy and second-guess yourself.  I will bet that if you spent one hour on a used car lot you could figure out what your car is worth.  Spend a few hours and you will be surprised how easy it is to come up with the value of your real property.  Now I want you to set your own price and stop with the test games.

You know what your property it is worth, so price it accordingly and then efficiently sell it.

You as the owner, especially if owner occupied property, have such an advantage of knowing your market – use it to your benefit.

For a full explanation on each of the 12 PRINCIPLES FOR SUCCESSFUL ONLINE PROPERTY SELLING go to http://www.askjamesjoseph.com/for your free copy.

In my new book REAL ESTATE 3G. HOW TO USE THE INTERNET TO SELL YOUR PROPERTY AND SAVE THOUSANDS OF DOLLARS IN COMMISSIONS I explain many of the changes and conflicts of interests that take place and have a negative impact on the sellers of real estate and how so many Realtors are actually counterproductive and harmful to the Seller’s cause.

I have more than 25 years experience in the Real Estate Industry as a Broker, Builder, Developer and Investor. I have bought and sold many, many properties directly without the use of MLS or listing Realtors. In fact I have sold entire subdivisions with very little involvement from the Realtor community and I can show you how to use the Internet to sell your property without wasting your money on a listing Realtor.

Sellers do not need the negative outdated services of listing real estate agents. I will show you how to work directly with buyers and cooperate with the type of agents that are entirely worthwhile, the buyer’s agents.

 My mission is to bring about the needed changes in this industry and reestablish control for the Sellers once more by educating sellers and coaching them on how to perform the simple steps that are involved in selling.

 

 

 

 

Real estate Internet Marketing. Testing the market price is a costly mistake.

Let me paint the picture of how a typical market analysis takes place.

A seller considering placing their property on the market will typically call two to three local agents to perform a market analysis.  The real estate community likes to call them a Current Market Analysis (CMA).  All three agents will come over and see the property and all three agents will usually come back with differing figures.  The particular agent that the sellers happen to like, based on personality, experience and energy (great traits in a salesperson) does not have the highest estimate of value.  In fact, the sellers disagree with all three current market analysis and on top of that, the sellers want to test the market!

Let’s look at this even further.  The next step will usually be that the sellers express their disappointment to their favorite candidate because they feel all the CMA’s are too low in price.  In fact, this agent was the lowest in estimate of value but the sellers want to go with this agent because they like this agent.  What happens next is that agent will almost always agree to take the overpriced listing at the seller’s desired price and try it out “for awhile.”  He or she might even agree to follow the seller’s desire and test the market even further by going up even higher in the original pricing.

Notice that the seller set the price by pushing it up higher than all the estimates of value and the realtor agreed and let the seller do so. 

So what’s the harm in this?  Plenty!

Properties that are priced accurately sell quicker and for a greater amount of the asking price.

If the property stays on the market for any length of time it will cost the seller real money.

Every day you own and carry your property, it costs you money that you will never get back.  I have never seen a transaction in which the sale price was added to the carrying costs that were accumulated while the property was for sale and then added together for a new price that was adjusted higher at the closing.

Daily expenses such as taxes, insurance, mortgage principle and interest are adding up.

As an example, let’s say your home is worth $300,000 and you place this property on the market for $375,000 to “test the market.”  After 8 months and 3 listing price reductions later and it finally sells for the $300,000 that it was always worth.

 

 

 

The figures breakdown like this;

$300,000 Sales price

-          9,600 minus 8 mortgage payments (consisting of almost all interest)

-          4,666 minus 8 months of real estate taxes ($7000/year)

-             400 minus 8 months of insurance ($600/year)

$285,334 Net amount after expenses

 

$300,000. Sale price

  285,334 net amount after 8 months expenses

_______

$14,666.

 

It costs almost $15,000 to test the market.

 

 

Now let’s look at an efficient sale.

You price the property at $304,900 and accept the same $300,000 as above only this time it sells in 1 month because it was priced accurately.

 

$300,000 Sale Price

-          1,200 minus 1 mortgage payment

-             583 minus 1 months real estate taxes

           50 minus 1 month’s insurance

$298,167

 

It costs $1,833 to sell in one month.

 

 

Compare the two different scenarios with the only difference bring that of time. Both accepted the same $300,000.

$285,334. Net after marketing for 8 months or

$298,167. Net in one just month

$12,833.  INCREASE IN MONEY TO THE SELLER BY SELLING THE 

                PROPERTY MORE EFFIECENTLY AND IN LESS TIME

 

This is a savings of almost thirteen thousand dollars, simply by not testing the market and selling the property more efficiently. Seven months time and $13,000 more in your pocket by not playing the all too tempting “test the market” game!

In my new book REAL ESTATE 3.0 HOW TO USE THE INTERNET TO SELL YOUR REAL ESTATE AND SAVE THOUSANDS OF DOLLARS IN COMMISSIONS.  I explain many of the changes and conflicts of interests that take place and have a negative impact on the sellers of real estate and how so many Realtors are actually counterproductive and harmful to the Seller’s cause.

I have more than 25 years experience in the Real Estate Industry as a Broker, Builder, Developer and Investor. I have bought and sold many, many properties directly without the use of MLS or listing Realtors. In fact I have sold entire communities with very little involvement from the Realtor community and I can show you how to use the Internet to sell your property without wasting your money on a listing real estate agent.

Sellers can now replace the negative outdated services of listing Realtors with the Internet. I will show you how to work directly with buyers and cooperate with the type of Realtors that are entirely worthwhile, the buyer’s agents. My 12 PRINCIPLES FOR SUCCESSFUL ONLINE REAL ESTATE SELLING is available for free online at http://www.AskJamesJoseph.com so be sure to get your free copy.

My mission is to show people how to easily use the Internet to sell their own property all the while saving tons of money by performing some very simple steps which will get your real estate seen and sold.

 

 

 

 

 

 

Real estate Internet marketing. The seller sets the price

As a seller, do not be afraid that you cannot price your property accurately.  In some states Realtors are taking and entering listings into the Multiple Listing Service (MLS) with a high and low price such as $599,000 to $699,000.  A One Hundred Thousand Dollar ($100,000.) price swing simply does not make any sense and is frightening to witness.  In this market or in any market what buyer in their right mind is going to pay the high price?   If a Realtor cannot properly appraise the value of a property, why would a seller consider doing business with that Realtor?  Where is this Realtor’s manager, and if there is so little oversight that they cannot or will not set a value, then why would you place your most valuable asset in their care?  Why would the National Association of Realtors (NAR) allow such a self-destructive practice under their leadership?  My point is that if these so called professionals are so wishy washy about price then you as a seller with complete familiarity with the property should have the fortitude to set a realistic price.

A common pricing mistake sellers do make is known as “Testing the Market.”  This poor practice has actually been performed by sellers and enabled by agents over the years for several reasons.  It has traditionally been easy for a seller to persuade a realtor to take an overpriced listing.  It is easy for the seller because the realtor is the one spending effort and money to move an overpriced property.  The seller will come down to reasonable price after the seller has been satisfied that “they are not leaving anything on the table.”  And the seller will still keep the listing with that same realtor when they lower the price of the property.  After all, the seller has everything to gain and nothing to loose.

Wrong!

What has just happened in this common scenario?  If this “Testing of the Market” by adding fluff to the price sounds familiar to you, then I have just made my point.  You (the seller) have just set the price.  You always have!  

In my new book REAL ESTATE 3.0 HOW TO USE THE INTERNET TO SELL YOUR REAL ESTATE AND SAVE THOUSANDS OF DOLLARS IN COMMISSIONS.  I explain many of the changes and conflicts of interests that take place and have a negative impact on the sellers of real estate and how so many Realtors are actually counterproductive and harmful to the Seller’s cause.

I have more than 25 years experience in the Real Estate Industry as a Broker, Builder, Developer and Investor. I have bought and sold many, many properties directly without the use of MLS or listing Realtors. In fact I have sold entire communities with very little involvement from the Realtor community and I can show you how to use the Internet to sell your property without wasting your money on a listing real estate agent.

Sellers can now replace the negative outdated services of listing Realtors with the Internet. I will show you how to work directly with buyers and cooperate with the type of Realtors that are entirely worthwhile, the buyer’s agents. My 12 PRINCIPLES FOR SUCCESSFUL ONLINE REAL ESTATE SELLING is available for free online at http://www.AskJamesJoseph.com so be sure to get your free copy.

My mission is to show people how to easily use the Internet to sell their own property all the while saving tons of money by performing some very simple steps which will get your real estate seen and sold.

 

 

 

 

 

Real Estate Internet Marketing principle #1 Be Brave and Set the Price – The Seller Always Has

Don’t be afraid! Most Sellers know exactly what their property is worth, especially the sellers of owner-occupied properties. Long before the Internet, most sellers were aware of what’s going on around the area and what’s been sold and for how much. Sellers usually know the area property history better than most realtors.
Now with the Internet, it is so easy to pull up your area and see where your property fits into the local marketplace. Sites such as www.googlebase.com, www.trulia.com and www.Realtor.com have everything most people need to use for comparable properties.
Be careful not to use automatic price values that are available on many of the Internet sites. Sites such Zillow publish what they refer to as a Zestimate of value but these values can range by a ridiculous amount of money, often ($200,000.) several hundred thousand dollars and more.
If you actually are unsure of where you property fits into the market, simply review the information on the Internet about what is for sale and what has recently sold in your particular area for similar properties. Where you fit into the local market is actually the key to the pricing process. Separate the other properties into two categories: 1) the properties that are just a little better than yours; and 2) the properties that are not quite as good as yours. Your property is in between these two groups and so should your price.
Yes there are exceptions to this and every rule but almost always a quick look at similar properties that are for sale and similar ones that have sold recently and it will be fairly easy to figure out the pricing.

It’s easy to use the Internet to market and sell your Real Estate.

Be brave and set the asking price. You see the seller has always been the one to determine what their property is worth.

Don’t be afraid!  Most Sellers know exactly what their property is worth, especially the sellers of owner-occupied properties. Long before the Internet, most sellers were aware of what’s going on around the area and what’s been sold and for how much.  Sellers usually know the area property history better than most realtors.

Now with the Internet, it is so easy to pull up your area and see where your property fits into the local marketplace. Sites such as www.googlebase.com and www.trulia.com have everything most people need to use for comparable properties.

 Be careful not to use automatic price values that are available on many of the Internet sites.  Sites such Zillow publish what they refer to as a Zestimate of value but these values can range by a ridiculous amount of money, often ($200,000.) several hundred thousand dollars and more.

If you actually are unsure of where you property fits into the market, simply review the information on the Internet about what is for sale and what has recently sold in your particular area for similar properties.  Where you fit into the local market is actually the key to the pricing process.  Separate the other properties into two categories:  1) the properties that are just a little better than yours; and 2) the properties that are not quite as good as yours.  Your property is in between these two groups and so should your price.

Yes there are exceptions to this and every rule but almost always a quick look at similar properties that are for sale and similar ones that have sold recently and it will be fairly easy to figure out the pricing.

If a seller it truly baffled on pricing, an appraiser can always be hired or consider paying a local real estate agent $100.00 to perform a current market analysis. Let them know that you are self-marketing and that you want to pay for their services. They will invariably try to talk you out of self-marketing but your honesty will go far and perhaps they will be back with the buyer you are looking for.

 

 

How to use to Internet to sell your real estate and save thousands of dollars in commissions

The vast majority of buyers are searching the Internet to find the real estate they are looking for. The figure keeps changing but somewhere between 85 to 90% of all buyers use the Internet as their main tool for property search.

In these economically challenging times most professional real estate offices (including the large national franchises) have cut way back on their budgets for print advertising in the newspapers. In real estate offices this is known as a BLACKOUT on advertising and it is happening all over the country.

The other reason why real estate agents and offices heavily utilize the Internet is because it costs next to nothing and it works! Plan and simple it works.

The Internet has changed the way real estate is marketed forever and agents have accepted it. Print advertising is extremely expensive and the Internet has now made print advertising passé.

This is not a bad thing. Agents place their efforts and energy on what works and now so can you!

Right now is the perfect time for the average home seller to learn this truth and use the Internet to sell their property without the expense of a listing real estate agent.

One of the best-kept secrets around is that for peanuts and very little effort, sellers can put their property on the Internet without an agent or a real estate broker.

If you have a digital camera and have ever used or seen Ebay then you can figure out how to post your property on the Internet. It’s that easy. Fill in the blanks, download some pictures and your property is out there for the world to see.

 

Oh sure, you are comfortable with the Internet. Maybe you have sold a car on it or have bought and sold other items on Ebay or Craig’s List. Or perhaps you are quite leading edge using all the latest technology. But this is real estate and it all seems a bit complicated. What about all the other steps that are involved in the real estate transaction?

 

Relax! This is not rocket science and most professionals in the real estate business are not scientists.

 

Use of the following 12 steps and it will make your transaction very manageable.

 

THE12 PRINCIPLES FOR SUCCESSFUL INTERNET REAL ESTATE SELLING is not only a guide for using the Internet to sell real estate online but also a formula for protecting and securing the seller throughout the entire transaction.

 

1. Be brave and set the price. The seller always has
2. You must perform all inspections before you market the property
3. Honestly represent the exact nature and condition of the property
4. Hire an Attorney. Do it early on in the sales process
5. Get proof of insurance from everyone
6. Anything you say can and will be used against you. So zip it!
7. You need to cooperate with and pay buyer’s brokers and agents
8. You can sell directly to buyers without an agent. If they don’t have one
9. Online advertising is cheap
10. Showings are easy
11. Be effective and follow up
12. All information concerning the property becomes the property of the property

 

If sellers will follow these principles they can sell their real estate online with the confidence that they can accomplish this important transaction from beginning to end.

For a full explanation on each of the 12 PRINCIPLES FOR SUCCESSFUL ONLINE PROPERTY SELLING go to http://www.askjamesjoseph.com for your free copy.

In my new book REAL ESTATE 3G. HOW TO USE THE INTERNET TO SELL YOUR PROPERTY AND SAVE THOUSANDS OF DOLLARS IN COMMISSIONS I explain many of the changes and conflicts of interests that take place and have a negative impact on the sellers of real estate and how so many Realtors are actually counterproductive and harmful to the Seller’s cause.

I have more than 25 years experience in the Real Estate Industry as a Broker, Builder, Developer and Investor. I have bought and sold many, many properties directly without the use of MLS or listing Realtors. In fact I have sold entire subdivisions with very little involvement from the Realtor community and I can show you how to use the Internet to sell your property without wasting your money on a listing Realtor.

Sellers do not need the negative outdated services of listing real estate agents. I will show you how to work directly with buyers and cooperate with the type of agents that are entirely worthwhile, the buyer’s agents.

 My mission is to bring about the needed changes in this industry and reestablish control for the Sellers once more by educating sellers and coaching them on how to perform the simple steps that are involved in selling.

 

 

 

 

 

Because of the Internet Sellers do not Need Listing Realtors

Because of the equal access to most Internet sites sellers of real estate do not need the costly, conflicting and ineffective services of a listing realtor.

The posting and sharing of information about your real estate on the Internet is easy and usually free. There are so many different sites a seller can and should place their property on. Even online Internet newspaper advertising is dirt cheap and affordable by any seller.

So much has changed over the last 10 to 20 years that it is now possible for anyone to effectively sell property over the Internet. The days are long gone when Realtors had complete control over the sales process. The National Association or Realtors has struggled to maintain this stronghold over the marketplace but the free exchange of information over the Internet has made this goal completely futile. With the only exception of access to the Multiple Listing Service everything has changed as a result of the Internet and bigger and better changes are still to come that will completely change the entire sales process even more. With or with out the blessing from the Realtor community change is coming to be sure.

Gone are the days when Realtors had the only access to listing information. The Multiple Listing Service use to print weekly books that only Realtors had copies of. This assured Realtors that buyers and sellers had to seek out information from a Realtor. Now the information is just a click away.

The National Association just cost the taxpayers of this country million of dollars in their failed attempt to limit equal access to virtual real estate offices. This failure only highlights the need for an open MLS structure.

The National Association of Realtors last bastion of control remains in their control and limits they impose on the Multiple Listing Service. This too shall change. The Internet and fresh ideas for its use will enable these changes for the better.

 

 

The Internet has provided so many positive changes for our lifestyle. The way we sell real estate is one of them and this process is still in flux. Although the National Association of Realtors still limits access and controls the Multiple Listing Service, there is now so many other alternative Internet websites that a seller can use to sell that are easy and quite often free. Selling your own real estate over the Internet without using a listing Realtor is not only completely possible now, but it will get even better in the near future with fresh ideas that will change everything.

 

In my new book LISTING REALTORS ARE OBSOLETE. USE THE INTERNET TO SELL YOUR PROPERTY AND SAVE THOUSANDS OF DOLLARS IN COMMISSIONS I explain many of the changes and conflicts of interests that take place and have a negative impact on the sellers of real estate and how so many Realtors are actually counterproductive and harmful to the Seller’s cause.

I have more than 25 years experience in the Real Estate Industry as a Broker, Builder, Developer and Investor. I have bought and sold many, many properties directly without the use of MLS or listing Realtors. In fact I have sold entire subdivisions with very little involvement from the Realtor community and I can show you how to use the Internet to sell your property without wasting your money on a listing Realtor.

Sellers do not need the negative outdated services of listing Realtors. I will show you how to work directly with buyers and cooperate with the type of Realtors that are entirely worthwhile, the buyer’s Realtors. My 12 PRINCIPLES FOR SUCCESSFUL ONLINE PROPERTY SELLING is available online for free at http://www.AskJamesJoseph.com so be sure to get your free copy.

My mission is to bring about the needed changes in this industry and reestablish control for the Sellers once more by educating sellers and property owners how to perform many of the simple steps to selling on their own.

 

 

Real Estate Sellers Should Never Negotiate a Verbal Offer

  

Under no circumstances should a real estate seller ever negotiate a verbal offer. It does not matter who is presenting the offer to purchase, a verbal offer should be avoided at all costs. If a verbal offer is passed along to a seller by the way of a Realtor, shame on the Realtor. Whether it is a buyer’s Realtor of the seller’s Realtor they should know better than to place a Seller in such a bad negotiating position. Steer clear of professionals that practice such poor behavior.

 

Included in a written Offer to Purchase should be the complete terms of the sale. Many of these items are potentially critical and all of them are entirely negotiable by the Seller.

 

Minimally an offer to purchase real estate should contain:

• Total price

• Deposit amounts
• Additional deposits and dates
• Identify holder of deposit money
• Contingencies
  • Financing amount and when obtained
  • Inspections and when preformed
  • Who pays for inspections
  • Permits or approvals
  • Who pays for permits and approvals
• Commission amounts
• Who pays for commissions
• What’s included in sale (what goes & what stays)
• Time allowed to meet contingencies
• Conflict remedies
• Special provisions
• Closing transaction date
• Location of closing
• Identification of property
• Date

 

By negotiating a verbal offer the seller is placed in two very bad situations.

First the buyer is talking (remember talk is cheap) one sidedly about the price without making an actual commitment because there does not exist deposit money from the buyer at this point to bind the outcome of the discussions. Everything that has been spoken of can change on a simple whim.

Secondly and more importantly a buyer can pick apart a seller and take extreme advantage of the seller by negotiating piece meal, one item at a time. Sellers need to see the entire proposal in order to make a good decision and prevent being taken advantage of.

By working verbally a seller could find themselves in a position where they are all excited by concentrating solely about the price only to be disappointed weeks later by any of the other sales terms. Perhaps a seller finds out much later on in the process that the buyers have a house to sell or that the buyers need the seller to carry a second mortgage in order to obtain the necessary financing. It could even be something strange like the buyers want the house to come fully furnished. With the exception of price all of the other many important terms have been left wide open because the complete sale specifications were not in print from the very beginning.

The point is the seller cannot be sure what the terms of an agreement are and they do not know what can unexpectedly appear later on because they were not spelt out early on in the negotiations. 

 

In order to have a clear meeting of the minds, there needs to be a complete understandings from both side of all the agreed upon terms. An offer to purchase needs to be in writing, contain all the necessary terms of agreement and contain a good faith binding deposit.

If you are self marketing do not fall into the verbal offer trap. Accept and discuss only what is in writing and is accompanied by a deposit. Remember that if you are unclear about what any of the terms of the sale are you need to definitely seek out legal advice before you sign.

 

 

 In my new book LISTING REALTORS ARE OBSOLETE. USE THE INTERNET TO SELL YOUR PROPERTY AND SAVE THOUSANDS OF DOLLARS IN COMMISSIONS I explain many of the changes and conflicts of interests that take place and have a negative impact on the sellers of real estate and how so many Realtors are actually counterproductive and harmful to the Seller’s cause.

I have more than 25 years experience in the Real Estate Industry as a Broker, Builder, Developer and Investor. I have bought and sold many, many properties directly without the use of MLS or listing Realtors. In fact I have sold entire subdivisions with very little involvement from the Realtor community and I can show you how to use the Internet to sell your property without wasting your money on a listing Realtor.

Sellers do not need the negative outdated services of listing Realtors. I will show you how to work directly with buyers and cooperate with the type of Realtors that are entirely worthwhile, the buyer’s agents. My 12 PRINCIPLES FOR SUCCESSFUL ONLINE PROPERTY SELLING is available online for free at http://www.AskJamesJoseph.com so be sure to get your free copy.

My mission is to bring about the needed changes in this industry and reestablish control for the Sellers once more by educating sellers and property owners how to perform many of the simple steps to selling on their own.

 

 

 

Election Will Have A Zero Effect on the Housing Market

I don’t want to be the bearer of bad news but the housing market will continue in decline and this occurrence would have been the same if the election had turned out differently for John McCain.

 

Any change in administration will not happen for months.

 

Any contemplated changes by the new administration (however beneficial) will not be acted upon for several more months.

 

Any accepted changes will then take additional time to become effective.

 

 

In the mean time;

 

Millions of new foreclosures will have hit the marketplace. A marketplace suffering from short demand that has supply added to it will have but one reaction to make, a downward effect on pricing.

 

Confusion is surrounding the bailout and whether the banks will free up lending practices or use the government funds for other purposes. 

 

The promise of a future rescue by the government of homeowners from foreclosure is much too little too late to change this housing market.  The time for positive action to help this market has long since passed because it has now mushroomed into something bigger than just the housing industry and homeowners.

Simple changes to the way the banking industry handled this situation could have been enacted quite awhile back and had a positive or stabilizing effect. Instead the financial institutions decided one and all to get into the real estate business and their track record in the real estate business has been and still is a dismal one.

The simple fact is banks do not what to own real estate because they do not know how to market real property. It quickly becomes an albatross to them.

Knowing this as one of their core beliefs, instead of foreclosing on properties and thereby becoming the owners of large portfolios of property, they could have perhaps handled thing differently to avoid the ownership and disposal role that they traditionally do not want or particularly handle very well.

Some new and radical way of dealing with homeowners that are late on their payments should have been explored. Perhaps something along the lines of converting the loan payment arrearages into second mortgages with balloon payments due on dates certain might have helped both sides in this difficult situation that now effect us all.

This idea or many others should could been investigated and enacted before the banks found themselves in the unwanted position of real estate owners.

Now we are in a situation that unfortunately has no quick fix. Although a change in administration is a great step in the right direction it will take considerable time, effort and talent to bring about changes for the better in the housing market.

Banking Bailout. Banks Handle Real Estate Marketing Wrong. The Real Estate Maven

Most of the injuries that many Banks are currently suffering from are self-inflicted. Financial institutions have been holding onto more foreclosed property than it is obviously healthy for them to own. It now seems painfully apparent this is because Banks do not have a clue about marketing and how to sell the very real estate that they were so hasty to reposes.

Trying to deal with most banks about their owned properties has been like some weird form of a cloak and dagger game. It seems that most Bankers find some sort of perverse pleasure in avoiding the very thing that they need the most BUYERS.

You see the banks have made it is almost impossible for the average buyer with interest to contact them about the very property that they are sitting on and need to sell. Even though this Property is obviously doing the banks more harm than good most financial institutions refuse to deal directly with individual buyers.

Larger financial institutions have not wanted to be bothered with the individual investors. They have sought to repackage groups of multiple properties into large portfolios to be resold to institutional investors. Maybe that is all that their staffs know how to do but it is time for them to change focus.

Many Banks have acted too high and mighty to deal with the individual investors. While they have shunned the small investor they have wasted precious marketing time and now look to the government for a solution

One can find the banks identity and address from town and city records but there is never a contact person to direct inquires to. An interested buyer cannot call these institutions and submit an offer and receive a call back. An interested buyer cannot write to these institutions and receive an answer about how to purchase the property in question. There is usually no way to have any dialogue whatsoever about the very real estate the financial institutions need to sell. It’s as if they actually do not want to sell. They do not want to be bothered with the little guy only the other giants of the industry. This attitude or strategy does not appear to have proven wise.

Some of the Bank Real Estate Owned departments utilize the services of the Realtor community. From what I have seen of the properties either the Realtor was trying to hard to impress the banks in order to obtain other listings from the banks or the banks are unrealistic in their appraisals of value. Either way the pricing I have seen has been completely out of line and this is not the time to be unrealistic.

The Banks need someone in house to see the properties, accurately price the properties and then concentrate on marketing the properties to each and every buyer they can find. Marketing over the Internet is simply not that hard to figure out.

 

The enormous difference between the RTC in the 80’s and the New Bailout bantered about this September is the Internet and the potential it creates to reach millions of individual buyers. Will the banks embrace this Internet marketing opportunity and liquidate their real estate holdings to each and every qualified buyer?

 

 

 

 

 Most banks have created an impermeable barrier that the ordinary purchaser cannot penetrate.  Financial institutions have made it all but almost impossible for the ordinary buyer to approach them about the foreclosed properties that they so desperately need to sell. Strangely, most of the very banks that turn the Government for bailout assistance make it all but impossible for buyers to contact them and negotiate to purchase on their Bank Owned Real Estate. In this volatile market banks should be looking at every buyer, big and small, as a potential sale.