Author Archives: Collin Ellingson

Midtown Atlanta Infrastructure Improvements Will Pave the Way for a Housing Rebound

Posted on February 3, 2012 | Leave a comment

Midtown is hopping these days, and the excitement isn’t limited to the buzz over the myriad of new restaurants which have popped up over the past few months.   Over the next several years, planned infrastructure improvements promise to dramatically enhance the livability of one of Atlanta’s most dynamic neighborhoods. 

The Midtown Alliance, the organization guiding Midtown’s renaissance since the 1970’s, is spearheading a number of new projects, outlined in the link below: 

http://www.midtownalliance.org/Streetscape%20Update.pdf  

One example is the $4.1 million Juniper Street Streetscape project, slated to begin construction in early 2012.  Local planning, architecture, and landscape architecture firm Tunnell-Spangler-Walsh  was retained to design the scheme.  According to details on the firm’s website  “the plan…includes transit improvements, traffic calming, and traffic flow changes that will transform the street from one that repels and divides to one that attracts and connects.”

 (http://www.tunspan.com/cutsheets/urban_streetscapes/Juniper_Street.pdf )

Physical enhancements in connectivity improve resident quality of life, assist in local business attraction and retention, facilitate job creation, and ultimately, drive housing demand.

As a real estate professional, this is great information to share with prospective homebuyers, as investments in the future help us all to focus on the long-term vision, as opposed to short-term economic challenges. 

On another note, yesterday’s Atlanta Real Estate Summit, sponsored by the Atlanta Business Chronicle, The Atlanta Board of Realtors, and RealValuator,  covered lots of territory and at times encouraged and expressed divergent opinions about the state of the national and local housing market.   One thing no one disputed, however, was the continued decrease of in-town new construction housing inventory.  Real estate is not only local, but hyper-local.    

As real estate professionals, it’s our job to stay informed about the conditions in each of the sub-markets in which we operate.  In doing so, we facilitate an informed and confident decision making process for our customers and clients.

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Posted in Atlanta Board of REALTORS, Market data, Market Intelligence, Midtown Alliance, Midtown Atlanta, Uncategorized, Urban Living Atlanta

Life for buyers after the federal homebuyer tax incentives

Posted on November 8, 2010 | Leave a comment

By: Collin Ellingson

The federal homebuyer tax incentives clearly had a positive impact on the market, as it’s been estimated that one in five homebuyers who used the tax credit wouldn’t have bought a home without it, and sales of new and existing homes surged as homebuyers rushed to beat the deadline.  The incentives created interest in the real estate market and prompted consumers in all price points to consider their buying options.

So what is the status for buyers who weren’t able to submit contracts before the April 30 federal tax incentives deadline?  Many are finding that they are faring as good as, if not better, than those who took advantage of the $8,000 tax credit.  This is true for a few different reasons:

  • Since the deadline, many developers have worked to continue the buying momentum by offering incentives of their own, such as paying a portion of closing costs or HOA dues and more.
  • And, as the number of contracts and building permits wanes, sellers have felt the pressure to lower their prices, often by 10 to 20%, in order to attract buyers.
  • Coldwell Banker worked to make deals even more enticing by awarding buyers up to $8,000 from participating sellers through its Buyer Bonus Program.
  • And, interest rates have continued to hover around record-breaking lows, meaning that over the life of a loan, a homeowner could easily save more than the value of the credit.

So, while the original buying motivation of many consumers was the tax credit, buyers are continuing to move forward with contracts because they recognize the overall value of homes currently on the market – the value pertaining to final sales price, extra incentives and lending terms, as well as the quality construction of the homes and the lifestyles that they provide.

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Posted in Tax credit

Maximizing sales success in the remaining 74 days of 2010

Posted on October 18, 2010 | 1 Comment

By: Collin Ellingson

It’s hard to believe, but there are only 74 days left in 2010.  With October sales off to a great start, NRT Development Advisors‘ sales agents are using these 74 days to maximize their sales success story for 2010 and ride into 2011 on a wave of positive momentum.

I think we are in for a different – a much more positive – fall and winter than what the real estate market typically experiences due to reduced levels of customer traffic and, therefore, decreased sales activity during this time period.  In fact, Fannie Mae predicts national Q4 new home sales absorption will increase by 38,000 units over Q3 levels (representing an 13% quarter over quarter increase).  That means an agent who sold ten homes in the third quarter of this year should be on pace to sell eleven homes in the fourth quarter.

NRT Development Advisors’ agents are busy setting personal sales goal for the remaining 74 days of 2010, and we’re ready to enlist all necessary resources to help get them there. They are diligently:

  • Revisiting their existing customer databases and setting daily outreach goals to encourage past prospects to rediscover the communities that the agents represent.
  • Calling the top 20 coop agents who have sold at their communities and providing them with an update on sales, commission schedules and any new incentives, as well as inquiring about the buyers with whom they are currently working.
  • Making sure that each prospect has a distinct action and follow up plan.
  • Networking with fellow NRT Development Advisors colleagues and requesting that they refer prospects to your community, when appropriate.
  • Reanalyzing if their community’s pricing product, and positioning are competitive within the market.

There are plenty of buyers out there looking to find a NEW home for the holidays.  Our agents are staying proactive and ahead of the market, ensuring that the last 74 days of the year are the most productive yet.

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Posted in sales agent, Sales and Marketing

Be the Consultative Sales Expert

Posted on September 16, 2010 | Leave a comment

By: Collin Ellingson

Variations of the “market uncertainty” theme are some of the most frequently cited objections we are hearing from current prospects in the market for a new home.  This is why the “consultative sell” as opposed to the “hard sell” is proving more effective in this market.  It’s great to be a strong closer, but attempting the close without listening to your prospects will almost always result in NO sale.

The consumer is overfed with conflicting information, and therefore they are starved for expert advice.   Become their expert.   Resolve the following question(s), and the “market uncertainty” prospect will become your next buyer:

 “Prove to me that this is a great time to buy a home”.

“Provide me with the confidence to make a buying decision.”

“Share with me why this property represents a great opportunity?”

 NAR recently released their top “10 Market Facts for Uncertain Times” to aid Realtors™ and their clients in understanding the current market.  They are listed below:

1. The economy is growing, though slowly.
2. The private sector is finally creating some jobs.
3. Consumer confidence remains low, though clearly off bottom.
4. The 30-year mortgage rate is at generational lows.

 

5. The national median-home price is stabilizing.
6. Other home-price measurements also are showing price stabilization.
7. Home price-to-income ratios have returned to fundamentally justifiable levels.
8. Economists expect price increases in upcoming years
9. Delinquencies are high but recent loan originations are performing well.
10. The long-term path to self reliance may be helped from long-term housing-wealth gains.

NAR also released a Powerpoint presentation which expands upon each point, and can add yet another selling tool to your arsenal.   Please take a minute to download the presentation and review the slides.   They are excellent taken individually, or as a whole.

 Why not print the entire presentation, or save to your laptop or Ipad (!!), to review with your particularly analytical clients? 

 You will be positioning yourself as THE market expert who your client can trust to aid them in making the right decision.

 The powerpoint link is:  ( http://www.realtor.org/wps/wcm/connect/9e2ed38043cfc555926ffb34cafa6d66/Market+Facts+%28September+2010%29+edits2.ppt?MOD=AJPERES&CACHEID=9e2ed38043cfc555926ffb34cafa6d66

 (copyright National Association of REALTORS®.  Reprinted with permission)

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Posted in Atlanta Real Estate, Nationa Association of Realtors, Real Estate, Real estate advice in Atlanta, sales agent, Sales and Marketing

Don’t Let Market Data Deter Your Customers from A Great Homebuying Opportunity

Posted on August 25, 2010 | Leave a comment

By: Collin Ellingson 

The data released this week from the National Realtors Association didn’t exactly paint a positive picture of the current market.  National sales for existing homes in July dropped to a 15 year low.  July sales fell by over 27 percent compared to June, and sales decreased 25 percent from July 2009.1

So, your prospects and customers come armed with this information when they enter your sales center, open house, or new listing.  What to do?

  • Listen – Your customer/client needs to know that you are a consultative ally in their home purchasing process.
  • Acknowledge – In order to establish trust and credibility, you must acknowledge your customer’s concerns and fears.
  • Question – Ask direct questions to uncover the true mental obstacles to a purchasing decision.
  • Present a Solution – Turn each objection into a positive opportunity.

 Sure, July sales fell, but that is partly due to the wealth of closing activity which occurred in June as a result of the homebuyer tax credit.  Summer seasonality is another factor.  So, one could argue that the drop in sales was expected.

In addition, most of the favorable “buyer’s market” conditions which existed in the spring are still in place now:

Historically low interest rates: 

  • Historically low interest rates:  As of 8/25, 4.5% on average for a 30-yr fixed, and 3.5% for a 5/1 ARM
  • Housing affordability is still at all-time highs
  • Sellers are willing to negotiate price and conessions
  • Desirable inventory = choice

Most of the new-home communities we represent at CBNRTDA possess readily available financing options, including FHA and conventional project approvals.  

Also, in contrast to much of the competition, many CBNRTDA communities have surpassed 30%, 50%, or even 70% sold-out status.  

Show your clients why and how your listing and/or community is bucking the market trend. 

Use this information to sell from a position of STRENGTH, STABILITY, and SECURITY, and you will often see buyer hesitancy disappear.

 1 “Atlanta Housing Market Suffers Big Setback”.  The Atlanta Journal and Constitution.  August 25, 2010.

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Posted in Atlanta Real Estate, Market data, Nationa Association of Realtors, NRT Development Advisors, Real Estate

Energy creates sales!

Posted on August 11, 2010 | Leave a comment

By: Collin Ellingson

In the heat of a long summer, just when energy may be the most difficult to muster, Coldwell Banker NRT Development Advisors encourages sales teams to project positive energy.  This is probably the most critical component of one’s sales success, and a element one can use to truly differentiate themselves, both professionally and personally.

energy

n pl -gies

1. intensity or vitality of action or expression; forcefulness

2. capacity or tendency for intense activity; vigour

3. vigorous or intense action; exertion

4. (Physics / General Physics) Physics

a. the capacity of a body or system to do work

b. a measure of this capacity, expressed as the work that it does in changing to some specified reference state. It is measured in joules (SI units). Symbol E See also kinetic energy, potential

Energy creates movement and change….Energy creates SALES.

“Without energy, nothing would ever change, nothing would ever happen. You might say energy is the ultimate agent of change, the mother of all change agents.” 1

Scientist Dave Watson describes energy as “the ability to make something happen”. 2

Thinking of energy as it relates to your selling style and process, this critical (though abstract) component cannot be overemphasized.

The art of selling ultimately comes down to a transfer (and sharing) of energy between salesperson and customer.  You are creating an environment for CHANGE.  So, it stands to reason that the more positive energy you put into your customer or client’s sales experience, the greater the positive energy transfer to that person.

Sure, the critical path to sales, market knowledge, product knowledge, broker relationships, etc., are all critical elements of the sales process, but we would like to offer that altering ones energy level may be the single most effective (and simplest) change one can make in order to increase sales.  Why?  Because so many sales professionals give off LOW energy!  This is an easy way to one-up your competition!

Ask yourself these questions:

Am I giving off positive energy throughout the sales experience?

  • Am I smiling?
  • Do I feel rested?
  • Am I relaxed?  (Preparation is a key ingredient here).
  • Are my customers/clients smiling, appearing engaged, and even laughing? (you have more control over this than you may think)

If you answer “no” to any of these questions, evaluate what you can do in order to change your energy levels.  It may be as simple as adopting a regular morning exercise schedule, ensuring adequate “me” time every day, engaging with your friends and/or coworkers more often, or providing some recommendations to your seller in order to improve the positioning of your property.

Energy is powerful…and contagious.  Use it to your advantage!  We promise you will see a difference.

1 http://www.ftexploring.com/energy/definition.html

2 http://www.ftexploring.com/energy/definition.html

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Posted in NRT Development Advisors, Real estate advice in Atlanta

Potential for Tax Credit extension

Posted on October 30, 2009 | Leave a comment

By: Collin Ellingson

More encouraging news that the First Time Homebuyer Tax Credit will likely be extended and expanded as the Senate agreed this week to initial terms after intense lobbying from the NAR and NAHB, among others.

A recent U.S. News and World Report article on October 29th reported that the terms include an extension to April 20th, 2010 for all contracts, with an additional 60 days allowed for closing.  The new terms would also allow EXISTING homeowners to claim up to $6,500, and would increase the income limits for single and married buyers to $125,000 and $225,000, respectively.

While this is encouraging news for the real estate industry, I wouldn’t let the pending extension delay a first-time buyer purchasing decision today.  There are no guarantees that the new measure will pass with all terms intact, and a November 30th closing is still within the realm of possibility. First-time homebuyers should take advantage of the sure thing: choosing the home they want, locking in at today’s discounted price, AND taking advantage of the tax credit.  That’s a win-win-WIN.

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Posted in First-time homebuyer

Great Start to the Day!

Posted on September 17, 2009 | Leave a comment

By: Collin Ellingson

What a great start to the day.  I hosted Coldwell Banker NRT Development Advisor’s first-time homebuyer webinar this morning, along with Matt Peters of Coldwell Banker Home Loans.  We discussed the $8,000 first-time homebuyer tax credit, as well as the different types of loans that are available to first-time homebuyers.

 The 30-minute webinar – including the presentation and audio – is posted online for any agents or buyers who’d like to hear more.  Click here to access it. 

 We hope to conduct similar webinars in the future, so please e-mail me if you have any feedback or questions that you’d like to see addressed in future webinars!

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Posted in First-time homebuyer

Tagged

Using social media tools to engage homebuyers

Posted on June 28, 2009 | Leave a comment

By: Collin Ellingson

Much recent media attention has been focused on how the web and technology is changing the way people search for a new home.  Just as significant, however, is the effect that all this new technology is having on how we, as real estate professionals, conduct our daily business.  The tools at our disposal, some of the most significant of which have emerged within the past six months, can connect us to existing and future customers in ways we never would have considered just 12 months ago.  A myriad of hardware, software, and web-based tools allow today’s real estate professional to remain fully tuned-in to the “conversation” occurring in today’s real estate marketplace. Despite the challenges of the current market conditions, these truly are exciting times!

Recently, I attended the Super Sales Rally at the Georgia Homebuilders Show, facilitated by Meredith Oliver, of Meredith Communications.  If you haven’t heard Meredith speak, make sure you do in the future.  She is a treasure trove of tech-savvy sales and marketing practices.  A key theme of Meredith’s discussion focused on the idea that “sales” and “marketing” are now fully integrated activities.  As an agent, if you aren’t using technology and the virtual social arena to sell yourself and your community BEFORE a customer ever sets foot in your office or sales gallery, you are missing an opportunity to connect a homebuyer with the home which suits them perfectly…..yours!

The exciting thing is that today’s technology allows us to be so much more than mere order takers.  We can be a truly valuable consultative resource to any prospective homebuyer.  Melissa listed a vast array of hardware, software, and social media tools which can transform you from order taker to a proactive hub of real estate information

One tool I was particularly enamored with is the Flip-Camera.  This cool little device can, among other things, allow you to take live video of a customer’s property presentation, pop the device into your USB port, and then email the clip afterward as a follow up and memory point of their visit.  Imagine how that small extra step makes your community stand out to a prospect after a day’s worth of back-to-back property showings.  Meredith also focused heavily on the emergence of Facebook as a vital positioning tool used to define your personal niche as a real estate professional, and generate traffic to your website.  There is far too much to list here.  Go to www.creatingWOW.com to learn more about Meredith Oliver and her services.

The bottom line is this:  Sales IS marketing and marketing IS sales.  Enter the virtual marketplace and set up your shop!

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Posted in Sales and Marketing

Interest Rates Hovering Above 5% – Now is the Time to Sell Homes!

Posted on June 5, 2009 | Leave a comment

By: Collin Ellingson

I’m sure you have been watching the gradual mortgage interest rate climb to over 5% this week.  Most analysts in the financial arena do not forecast a return to lower rates in the near future.

While the phrase “Now is the time to buy” might have become cliché during the past 18 months, it is absolutely the case right now, considering the current market characteristics of low prices, excellent inventory, and low but increasing interest rates.

If agents have ready prospects who are delaying their decision with the hope that rates again fall below 5%, it is important to stress that a delay could potentially translate into higher interest rates and, therefore, higher monthly payments.  Even at 5%, rates are still at historically low levels.  If  customers are first time homebuyers utilizing FHA financing, and they qualify for the $8,000 tax credit, they can use all or a portion of the credit to buy down their interest rate, or toward their down payment (above 3.5%).

Lenders are ready to assist consumers in capitalizing upon these market changes to build urgency and help customers take advantage of the amazing values currently in the market.

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Posted in Uncategorized