May 2018

The Limit on Your Dreams Does Not Exist, but the Number of Homes For Sale Does.

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As we enter the summer months, the busiest time for purchasing a home, a common problem across the United States is facing the next generation of potential homebuyers. Although many Millennials have delayed marriage and children, they are reaching the age where it is “getting real” and they are wanting to purchase their first home.

We should all have an image of our dream house but then acknowledge the actual home we are able to afford. While many in Generation X may have missed the opportunity to purchase their top choice during their search for their first home, they knew there was always going to be another home to purchase. Historically, the housing market has had a 6-month availability of housing inventory that was actively available for sale on the market at any given time. Today, with less than 60 days of housing inventory available and multi-bid situations becoming the norm, if first-time homebuyers miss an opportunity to purchase a home they like and are able to afford, they may be waiting a very long time before they can be in a position to submit the winning offer on a home they want.

What does 10 years of record lows in new home construction look like? What does it mean for the future of first-time homebuyers?  Take a look at the chart below from the Commerce Department.

As a nation we are building too few single family homes. The nation has not seen an extended timeframe with a low level of new home sales activity per adult population like this since prior to 1965. A generation of 4 million people are continuing to turn 31 every year across the nation and we are only building around 800K new homes annually. The cycle we are in of historic low levels of new construction is not bent, it’s broken. Correcting this long-term challenge will require alignment of local and national government agencies and private equity to target a solution that requires all of them to be involved in solving this problem.

How is this going to affect your real estate business and your income? Goal orientated individuals realize that it’s not only the market that determines their future, but how they approach the market. For instance, 30% of homes in Southern California markets sold in Q1 without being entered into the MLS system. The amount of pocket listings held out of the MLS by brokerages and agents are growing and will be coming to your market.

My plan is to help you develop the mindset you need and the activities to perform in order to succeed as a top-performing real estate agent in this market. Homebuyers and sellers need local market expertise, and to be a successful real estate agent you must own that position in the mind of your consumers.

Join me at Amplified Selling in Richmond and Fredericksburg, Virginia June 20 and 22 and learn how to tune up your activity to amplify your results.

To your success,

 

United Real Estate

Am I Supposed To Take This On Myself?

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Part of the American dream, and who we are as a culture of diverse people, is our desire to enjoy freedom and have the ability to express that freedom by owning our own home. We live in a very fortunate time in history. The idea of liberty, that founded our country, was defined as individuals being free from oppressive restrictions. As we have grown as a nation, we have broadened our idea of liberty by relating it towards freedom. Today, we seldom speak of liberty but daily speak of freedom.

As we grow as individuals, how we look at liberty/freedom has shifted to focus on the ability to pursue our own interests and preferences. Freedom for the growing population is not about owning only a home, but also includes operating their own business. This ability to dream big is reinforced by the abundant stories of entrepreneurial success. As more individuals look at expanding their freedom through self-employment, they enter the business world with abundant hope. In doing so, they move from being an employee where their wages are determined by someone else and have someone tell them where to be and what to do, to having the opportunity to coordinate all aspects of their business, including income.

Everyone who has started their own business took a leap. However, most who took that leap either failed or were disappointed by the results of their new venture. According to the Small Business Administration over 50% of businesses fail during the first five years. Most fail not because they don’t have a business plan, they fail because they cannot execute the number one component of that plan – acquiring customers. That success ratio can be daunting, but you do not have to take that leap by yourself.

In all industries, acquiring enough customers to become a successful entity long-term requires a focus on sales. You must effectively sell your product, your service and yourself. Selling is a difficult venture because it is accompanied with a lot of no’s. Hearing no every day can be very discouraging. Of all the details that you have to master to develop your business, selling is the most important task but also the loneliest one.

If you work in commission-based sales, such as real estate, where customers don’t frequently transact, you have to work daily on attracting new customers who will be in the market to sell or buy a home sooner rather than later. To be successful to the point where you are making more money than you would in an employee/employer arrangement, you must have a plan you will work toward each day to prospect for new clients. In real estate, the ability to earn a large income is tremendous. The daily activity you have to accomplish to achieve that success can also be overwhelming. If you are doing it alone or are frustrated with your results, there are reasons. Those reasons are real to you, but they can be overcome if you have a foundation of success to rely upon.

Individuals who have huge positive breakthroughs in their lives did so by taking massive action. Life or career changing results take place from either inspiration or desperation. In Amplified Selling, I will be teaching you how to obtain a new level of success from inspiration. Individuals who achieve a high-levels of success long-term do it in two parts — 80% having compelling reasons to succeed, 20% tactically knowing how to perform client building activities. The latest training we are offering, Amplified Selling, will cover both the compelling and the tactical components of becoming a successful entrepreneur with an ever-increasing customer base. Taking a big leap forward requires getting big help. That process and help is available to you.

The first sessions will be held May 16 in Louisville, KY followed by May 17 in Lexington, KY with more locations to be announced.

To your success,

 

United Real Estate