The relationship between Real Estate and Social Media

Marketing and PR have dramatically changed in the past several years because of the financial woes gripping the nation. Gone are the days of fat budgets for glossy printed brochures, multiple billboard ads, TV commercials and other forms of traditional methods. While many of these old marketing channels will hang around with a diminished stature, the social media way of marketing and PR is spreading like wildfire, and with Facebook having over 500 million members, social media is here to stay. It is therefore important to learn its relationship with the real estate industry and the right way to play it.

The foundation of an effective social media strategy starts with the website. A website is the backbone of an agent’s online presence. Baby boomers and the younger texting generations do most of their searches online for researching and buying all kinds of products and services. Even if agents have a strong social media presence, prospective clients will always want to visit their websites to gather facts and do a gut-check. Some of the key ingredients of a good website include an elegant design, user-friendly navigation, great content and Search Engine Optimization (SEO), to make it appear at the top of search engine results. Since consumers are increasingly using their smartphones for web searches, it is important to make your website mobile friendly.

After taking care of the website, it is time to create a social media strategy. This is important because social media gives agents the opportunity to create a two-way conversation with their prospects. Today’s prospects demand and expect immediate information. They also want it to come directly to them through smartphones, tablets and in some cases, their automobile dashboards. There are many ways to enter and conquer the world of social media. It may be through blogs, Facebook, Twitter, YouTube, LinkedIN, and a plethora of other platforms. It is therefore imperative to first become familiar with some of these popular sites because it will help you determine which direction to go in depending on your interests and strengths.

Facebook is perhaps the best platform for real estate agents because of its relationship factor. It allows people to easily opt-in and refer others. By creating relevant content, it can also be used for targeted advertising campaigns and online promotions to attract potential customers to the agent’s website and Facebook page.

Realtors can carve a niche by using blogs to position themselves as experts in their field, particular neighborhoods, types of housing and other aspects of their business. By consistently posting blogs on a variety of focused topics and issues, agents can attract a huge following, which could bring in qualified leads and referrals, and increase their visibility. It is important to make your blog insightful and interesting in order to continuously add new fans.

Twitter is also a great tool for realtors because it can be easily used with smartphones. Because of the 140 character limit for each tweet, brevity is the key. Unlike email, it provides you an opportunity to broadcast your message to all of your followers in real time. It can be used to broadcast new listings, open house events, model home showings, and links to pertinent articles.

LinkedIN can be used to build meaningful and direct connections with vendors, lenders, prospects and past clients. You can build credibility by answering questions in your area of expertise. You can ask satisfied customers to recommend you on your LinkedIN profile, which can help potential clients to choose you for their home buying and selling needs. You can join and participate in many groups or start your own group.

Other sites such as YouTube, Flickr, Stumble Upon and Digg are also good social media applications for agents. You can create your own customized YouTube channel to show videos of listings, virtual tours, testimonials of happy buyers/sellers, how-to video articles, etc. Similarly, Flickr can be used to display photos of homes, office events, and conferences.

If you are active on multiple social media accounts, there are apps available to help you automate and schedule the delivery of posts and tweets. Also feeds from one or more accounts can be syndicated to your other social media accounts, which in turn will help you in creating a greater following.

Coldwell Banker Ackley Realty is at the forefront of social media technologies to better serve its buyers and sellers. Raising the bar on traditional home searches, Coldwell Banker has created smartphone apps which enable tech savvy consumers to perform GPS-enabled searches for listings and sales in 28 countries. Also, their listings from Realtor.com, Trulia, Zillow and other websites feed directly to Facebook and Twitter accounts.

Please visit our various social media sites and follow us for interesting articles, specials and announcements.

Facebook: http://www.facebook.com/ColdwellBankerAckleyRealty

Twitter: http://twitter.com/AckleyRealty

You Tube: http://www.youtube.com/ColdwellBankerAckley

Linked in: http://www.linkedin.com/groups?mostPopular=&gid=1095987

Remodeling Ideas that Increase Value

Any remodeling you under take is going to increase the value of your house. However, some improvements add very little value while others add a lot. Before starting any remodeling work it is best to do detailed planning about colors, materials, styles and costs. It is also important to keep in mind that if you add a lot of additional rooms or make radical changes, you may end up pricing your house way above the average selling price of homes in your area. This could make it difficult to sell your house, or in soft markets, it may not sell at all.

To avoid such pitfalls, let’s examine remodeling projects that give the highest return on investment. In the prevailing buyers’ market it is very important to raise the perceived value of your house either by raising your home’s curb appeal and/or increasing its value through smart, cost effective remodeling. The best way to figure out which way to go is to find your home’s current value by calling a real estate agent or by using one of the many websites that can show it instantly. If you are calling an agent you should also ask the prices at with remodeled houses of the same size as yours were sold in your neighborhood. The agent can also do a Comparable Market Analysis (CMA) to analyze the average value added for different types of remodeling. This will help you determine how much money to spend and what kinds of renovation projects to do.

Curb Appeal

The first thing buyers notice about your home is its exterior and since first impressions are very important, remodeling the exterior and landscaping gives one of the highest returns on investment. Look at your house from various angles on the outside and take pictures. Create a checklist of things that need fixing or replacing. Repainting the exterior, including the patio, immensely enhances your home’s curb appeal. Paint or replace the main door, mailbox and shutters. A lush green, weed free lawn with colorful flowers and plants amplifies the image of your home. Invest in professional landscaping if you don’t want to do it yourself. Replacing old light fixtures above the main door and near the garage are also recommended. A walkway lined with lights and a pressure washed driveway and exterior will give the house a new look. If the steps leading to your door have iron railings, give it a fresh coat of paint.

Kitchen

The kitchen is arguably the most important and most used room of any house, not only because it is where food is stored, prepared and consumed, but also because it tends to be the social hub of most family activities. If you have the budget, replace your appliances with ones that have a high Energy Star rating. Stainless steel appliances are hot these days. If you have an old sink consider replacing it and also replace the faucet along with it. Granite counter tops are very popular these days. Replace or repaint old or damaged cabinet doors. Redoing the kitchen floor with hardwood or tiles is also an option that may pay off. Consider adding can lights and drop lights above the island to make your kitchen look elegant.

Interior Paint

Do you still have original wallpaper in your kitchen or your children’s room? If so, this has got to go. In the early 90’s it was fashionable to have different colored or multi-colored wall paint in various rooms. Today, homeowners prefer neutralized wall colors that complement the flooring, appliances, drapes and furniture. If you already have neutralized colors decide if a fresh coat is required.

Bathrooms

Renovating a bathroom or adding a new one will definitely increase your home’s value. Aging baby boomers prefer having their master bedroom on the first floor. If yours is not on the first floor see if it’s possible to convert a powder room into a full bath, and if you have a spare bedroom close by, you may even want to consider attaching the remodeled bath to it. If you have the space and budget to add an extra bathroom, it would be a big plus. Changing faucets, shower heads and shower doors will also enhance the bathroom’s look and feel.

Adding a home office may payoff in urban areas since a lot of people are increasingly telecommuting or starting home-based businesses. Investing in finishing a basement, replacing windows and siding or adding additional rooms may only add value to houses in hot real estate markets. New flooring does not add any significant value to your home. However, replacing worn out carpet in high traffic areas is definitely a good thing.

What is Curb Appeal?

The importance of creating a good first impression is considered very important for jobseekers and sales professionals. The same is true for the curb appeal of your home. Most potential homeowners are very clear about their requirements of the home they are seeking. In their quest to find that perfect home, buyers visit several “open house” events. Open house?…Why isn’t it called “open home?”  This is because when buyers tour open houses they are visually inspecting and analyzing the various tangible aspects of the house such as how spacious are the bedrooms, is the kitchen big enough, does the patio offer privacy and so on. All they are doing is looking at various houses which fit their specific requirements and criteria. But at some point in their search, they will find this one house that “feels like home.”

So what was magical about this one particular house that felt like home? It probably had all their desired needs on their checklist. But it may also have fulfilled their wants, emotional factors and other intangible feelings which gave them the feeling that this could be their home. Studies have shown that one of the factors that positively influence homebuyers’ emotions is the curb appeal of the house. Although this is such an important part of selling a house, surprisingly very few sellers invest time and money on improving curb appeal prior to putting their homes on the market.  Here are some simple steps you could take to significantly improve curb appeal of the house you are trying to sell.

Start with the exterior. If buyers don’t like what they see on the outside, they will perceive the inside to be not that great either, which means you won’t be able to bring them inside. Mow and edge the lawn, rake leaves, mulch flower beds and make the yard weed free. Trim bushes and get rid of overgrown or dead branches. If it is spring time plant some flowers. Having a lush green lawn and a well-landscaped yard is a big piece of the curb appeal puzzle. Consider having a seasonal wreath on the door or an American flag or the flag of your favorite sports team near the main door.

Pressure wash your driveway, walkway and sidings. Paint the exterior and interior if required. Clean windows inside and out with a glass cleaner. Stain and polish your main door if required. The same goes for door knobs and handles. Repair or replace broken shutters, gutters and shingles. Don’t forget the mailbox. Give it a fresh coat of paint or replace it if the one you have has worn out. Leave the outside lights on till about 10pm. Many people who work during the day and on weekends do their drive-byes in the evening after work. Ensure that the house number is clearly visible even at night.

After creating a wow factor on the outside do the same for the inside. Have all your carpets steam cleaned and vacuumed and your hardwood floors polished. Replace non-working bulbs, broken light fixtures and switches. Tighten hinges of cupboard doors and polish their door knobs. Clean the surfaces of stovetops, dishwasher, microwave, refrigerator and oven. Don’t forget to clean and polish granite countertops. Organize tools and bicycles in the garage symmetrically. Clean and stain the patio.

Place fresh cut flowers on the kitchen island and/or in large planters on either side of the main door. Light candles that have subtle fragrances in the kitchen, bathroom and other places in the house. Turn on the fireplace if it is winter to create a warm and cozy ambiance. Bake a batch of cookies so that their aroma wafts through the entire house. It will have a lingering effect on the buyer.  If the house is located on a busy street or highway, play soft jazz or classical music to drown out traffic noise. This will also take care of noisy neighbors or their barking dogs.

Dust and clean mantles, furniture, drapes, curtains and other surfaces.  Replace broken blinds. Scrub shower walls and bathtub floors. Clean and disinfect sinks and toilets. Fix leaky faucets and showerheads. Ensure that walk-in closets are neatly organized.

After you have taken care of the above mentioned tasks get a second opinion. Ask a friend or your agent to walk through the exterior and interior of your house. They may find other small issues that you may have missed. Creating a good feeling involves touching various human senses including visibility, smell, touch and noise. While people’s preferences, tastes and choice vary, a nice smelling house with a clean and well organized interior and an inviting exterior can bring every house one step closer to becoming someone’s “home.”

Importance of being pre-approved before you start viewing homes

Unless you are going to pay cash to buy your home, it is extremely important to first get pre-approved for a loan. Before delving into the significance of pre-approval, it is important to differentiate it from pre-qualification, since the two terms are often confused or mistakenly considered the same.

Prequalification is merely an informal estimate of how much house you can afford. Based on your stated income and total expenses, a lender would make an educated guesstimate of the loan amount you would potentially qualify for. A credit check is generally not performed for this process. A debt-to-income ratio is calculated which simply tells how much you should be able to borrow. The loan amount specified in the pre-qualification statement does not provide any credibility with either the lender or seller. If you are in the early stages of your home-buying process, you can use a free pre-qualification calculator from the Internet to get a clear idea of the loan amount you may qualify for.

Unlike prequalification, Pre-approval carries a lot of weight in the mortgage industry and it offers plenty of benefits to the home buyer, which we will outline shortly. Your lender would begin the pre-approval process by performing a much deeper probe of your financial affairs. You will be required to produce hard evidence of your income from employment and other sources such as a business you may own; assets, loans, monthly financial obligations, wage garnishments, tax returns, investments, and bank statements. You would have to pay for a mandatory credit check that the lender would perform for obtaining your credit scores, payment histories and a record of any payment defaults or bankruptcies. The lender would also communicate with your employer to verify employment status, history and current income. The lender then processes all this information and issues you a pre-approval letter, which specifies the exact loan amount they are willing to give you, the interest rate for the loan, monthly payment amounts and other terms.

Arming yourself with a pre-approval letter puts you in the driver’s seat in your hunt for a home. It offers you significant advantages over other buyers that are not pre-approved. Some of the benefits include the following:

·         Sellers love you because you are a serious buyer and not just a tire-kicker or looker

·         Some sellers and listing agents only accept offers from pre-approved buyers

·         Some owners will only show properties to pre-approved buyers

·         Since you know the exact loan amount you can get, you can focus your search on homes in that price range

·         Realtors and listing agents will take you seriously

·         It gives you leverage in the negotiation process

·         In a hot market, it gives you the ability to act quickly when you find the right home

·         For a seller you are more attractive than a cash buyer because they need to provide bank statements and a letter from their bank as proof of cash in hand, whereas you don’t

·         Because of stricter lending practices, your pre-approval may be delayed or denied because of financing issues, and you may lose the opportunity to make a timely offer

·         It will force you to get your financial affairs in order upfront, so that you don’t end up scrambling to get it done in a hurry when you find your dream home and want to pull the trigger.

When you are seriously ready to start your home buying process, getting preapproved is the best way to begin. It assures all stakeholders that you are a serious buyer. Just consider this fact.  To set up a home showing, the seller, seller’s agent and the buyer’s agent must coordinate the appointment. Sellers may have to make arrangements for baby-sitting, clean the house, and drive away with pets, house guests and elderly parents for a set amount of time. They turn on the lights, cool down or heat up the house to make you comfortable…and hope that you would buy their house. If you are not a pre-approved serious buyer, you are wasting everybody’s time and inconveniencing everyone involved in the house showing process.

When you are ready to make an offer on a house, you must submit the pre-approval letter with it. Be aware that if you are submitting an offer on a REO property, you may be required to get prequalified through a second lender even if you are pre-approved through your lender.

The reason for this is the listing agent or bank may have built a long-term relationship with a lender who they consider to be dependable and whose judgment they fully trust. To smoothly make the sale, the bank will often make prospective buyers to go through a prequalification process through their lender. This is similar to the “second opinion” that people choose to seek while making important decisions prior to going under the knife for a surgical procedure. Since all lenders are not the same and the experience of loan officers differ, the bank uses the second pre-qualification process to vet the sale.

2011 Women Who Mean Business Awards

Last night, the Orlando Business Journal recognized Central Florida’s top businesswomen whose efforts and creativity helped better our region and their firms. This year, 15 women are finalists in three categories: Business Owner of the Year, Business Executive of the Year, Up-and-Comer of the Year.

Coldwell Banker Ackley Realty's President Rajia Ackley was selected as a Finalist in the Business Owner of the Year Catagory.  Congratulations Rajia!

METRO MARKETS

Since the bust of the real estate bubble, people have become cynical about the state of affairs of the residential real estate markets in America’s major metros. While it is true that the residential housing market is depressed, it’s not all bad news.

According to the Fiserv Case-Shiller Index, which monitors and forecasts single-family home price changes in over 375 U.S. metropolitan cities, it is predicted that 75 percent of these metro cities will see stabilization in home prices by the end of 2011. According to this Index, despite price declines of up to 1.5 percent in the third quarter of 2010, home prices have leveled out in one out of four metro U.S. cities.

The Index points that after five years of record declines in home prices a few metro area housing markets are beginning to hit their bottoms. According to Fiserv, prices have already stabilized in the metro areas of Washington, D.C., San Francisco and San Diego. Furthermore, the Index states that as 2011 goes by, about 75 percent of the metro markets would bottom out and subsequently stabilize. Portland (Oregon), Minneapolis, and New York City are amongst those that will join the ranks of stability by the end of 2011.

Metros that are not expected to recover till the end of 2012 include Las Vegas, Phoenix and Miami, according to the Index. These three cities had the steepest declines in home prices. For the mid and smaller cities, the recovery in prices will be slow and an uphill battle because of the ongoing financial crisis and the large supply of foreclosed properties that continue to drag most of the nation’s housing markets.

The housing market situation in Central Florida is worth looking into from an opportunity perspective. According to the Florida Association of Realtors, home prices across the state of Florida have fallen about 20 percent since the past year. However, they are still about 13.3 percent higher than the past five-year period. But the good news is the volume of home sales is rising again, which is a signal that the market may be recovering. Thanks to the high inventory, conditions are ideal for buyers. Mortgage rates are at their lowest levels since the 60’s. Families that are looking to upsize can expect to get more home for their money.

According to several studies, Florida will continue to be the favorite retirement destination for the 80 million strong Baby Boomers. Central Florida in particular, where the healthcare and technology sectors continue to show healthy growth, is seen as one of the best bets in the nation as far as recovery and growth in single-family home sales.

Single family home sales in Central Florida reached 1,708 in March, which is a 36 percent increase over February. Over 10,000 properties were under contract waiting for closing. About 5,400 new listings were reported in March, which is a substantial increase. Consumer confidence is on the rise in Central Florida and interest from Canadian and European buyers continues to grow.

Existing-Home Sales Fall About 5% in 2010

According to a report released by the National Association of Realtors (NAR), existing home sales fell about 5 percent to 4.9 million in 2010. This included single-family homes, condos and co-ops. In 2009, the number was 5.6 million. The NAR report states that sales rate for previously owned homes rose 12.3 percent in December 2010 as compared to November. But compared to December 2009, the sales slid about 2.9 percent. The number of people who bought previously owned homes in 2010 fell to the lowest level in 13 years. The estimated median price was flat in 2010 at $172,500, compared to 2009.

NAR reported that the seasonally adjusted annual rate of existing single-family home sales rose 11.8 percent from November to December but dropped 2.5 percent compared to December 2009, while the rate of condo and co-op sales rose 16.4 percent in December and fell 5.2 percent compared to December 2009. The median price was $168,000 in December, which is a 1 percent decline from the same month in 2009.

But according to CoreLogic, a provider of housing market data and statistics, home sales totaled 3.6 million, down 12 percent from 4.1 million in 2009. As per CoreLogic’s report, NAR’s existing home sales data are overstated by about 15 – 20 percent. NAR is in the process of evaluating its benchmarking methodology to determine the reality behind this discrepancy.

It’s not just the lower sales numbers that concern economists, but also the falling prices.  Home prices fell 5.1 percent for four straight months ending November 2010. The downturn in home prices is driven by weak sales, an excess supply of unsold homes and larger impact from distressed sales.

The number of homes sold in 2010 was at its lowest point since the housing market collapsed. Sales were more than 50% below the level seen before the crisis in 2005 and 33% below the level measured in 2000.

The trend for 2011 doesn’t show any positive changes. As of the end of November 2010, there was a 16-month supply of homes on the market, which is the highest level since February 2009 when prices were falling about 20% on a year-over-year basis. Typically, the housing market has a six or seven month supply.

Since loans are becoming more expensive, the ability for borrowers to obtain home loans will become more difficult. So what does all this mean for home sales figures for 2011? Only time will tell.