Someone will spread the word – shouldn't it be you? I'm talking about the new economic stimulus tax credit that is waiting like a plum ready to pick beginning March 26, 2009. It's ripe and ready to be enjoyed by first time homebuyers, but this plum is also good news for just about everyone in real estateFirst, what are the essentials of the stimulus package's credit? Here are the basics I've gathered from various news sources:
- Up to $8,000 refundable tax credit if you buy (settle on) a home between March 26 and December 31, 2009.
- You must be a first time homebuyer, BUT if you have not owned a home in the past three years, you qualify as that first time homebuyer.
- You have to use the home you buy as your principal residence, not a second home or investment property.
Now for a few explanations:
- "Refundable" means that the credit is deducted from whatever you owe on your Federal tax return for 2009 (the one you file in April, 2010.) If you owe less than $8,000, the difference is refunded. For example, if you owe Uncle Sam $6,200 before the credit, IRS will send you a refund check of $1,800 after applying that credit.
- You don't have to file any special forms or papers now to get the credit – you'll do that when you file your tax return next year.
- There is a limit on the amount of the credit if your Modified Adjusted Gross Income is more than $75,000 for single taxpayers or $150,000 for married couples. Above those limits there are some partial credits available. The tax forms for 2009 will probably explain what to do about the limits, but you should consider consulting a tax professional like a CPA or Enrolled Agent.
- You do not have to repay the credit in the future unless you sell that house before you live in it for three years. In that case the full credit will be taken back at settlement.
The big question is, what does this mean for your business in real estate, and why should you be excited about it?
Suppose you know a young person or couple who want to buy a house but have been holding back. They are thinking, "We can't buy a home now, we'll have to wait." You can now say, "Maybe you can. Let's take a look at it now with an extra $8,000!"
I can tell you for sure that this makes a difference right in my own family. Three years ago my son sold his home and has been renting since. He thought he would just wait a few years before buying again, but this new tax credit has changed his perspective. With $8,000 credit, he's gone from thinking, "I can't," to "I can!"
Here's a great opportunity for you as the professional to remind people that all the elements are in place for them to take advantage of this credit. There is plenty of inventory, as we know. Mortgage money is cheap. And now the government will help you buy. Maybe the person you are talking with doesn't plan to buy a house, but what if they have a child or sibling in the market?
Whether you think the stimulus plan is good for the economy or not, it is here. Why not take full advantage of what it offers so that you can help your clients and your business? Talk it up. Get people thinking positively about possibilities. The only way you're going to change your economy is find the opportunities today and take then to the people who can use them.
Ready to ride? Go spread the word!
Patti Kouri, Accelerated Performance Coaching
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When someone has negative thoughts, their vision of the world comes true. But when someone has positive thoughts, that vision also comes true. How can that be? The world is the world, right?
I've heard that we have about 80,000 thoughts a day. For some people, up to 90% of them are negative thoughts. You know what that sounds like in your head, don't you? "The market is bad." "People aren't buying these days." "Mortgages are just about impossible to find." I'm pretty sure that those statements will be true if you believe them and repeat them often enough!
In selling, recognize that what you think is your reality and what your clients think is their reality. A successful salesperson remembers this and finds out what the client's reality is so that they can speak to that point of view. We must find out what our prospect's point of view is in order to influence them. Ask questions and then really listen. Look for answers that are spoken but also the ones that are between the lines, that are hidden in body language and facial expression, that are there in the tone of voice. You will learn what their reality looks like. With that knowledge you can speak to their wants and needs, and you can close the sale.
I'm lucky that I live where there's great weather, so I don't have that excuse for one of my goals this year. I'm playing golf at least once or twice a week with people MUCH better then me. I love the competition; it makes me want to be and do better. Playing with golfers who make me stretch also creates the motivation to go out and hit balls and practice, so the next time I'm out with them, I can be better. And it's working – I can see and feel the difference, and my score shows it.
It sounds simple – do the actions that align with your goals and you'll reach your objective. We all know it's not always easy, though, as life is filled with distractions. One thing that helps many people is to ask for and get support from someone who will help you but also keep you accountable. If you agree to walk every day with a friend you're less likely to skip that day when the weather isn't perfect. When you make a pact to change how you eat, checking in with someone who cares about you and your health will help keep you on track. And when you commit to playing
Do you remember the old TV show, "Mission Impossible"? I know there have been a couple of movies, but I'm talking about the original version. A team of professionals took on a seemingly-impossible mission that helped save the free world. Each person had a specialty, and each was trained to complete a specific part of the mission while coordinating with the others. The solutions they came up with were creative, unexpected, and successful. They did not accept anyone else's belief that the mission was impossible; they knew it was possible. They knew they could do it, and they did.
Every week, answer these three questions:
Suppose you've been panning (prospecting) for a while and not finding any gold – what's the problem? There are several reasons people fail at prospecting, including:
One of the key points of 
How much gold will you find today?
It started with 2009. First, I reminded myself that 2008 is over, done, gone, move on, don't drag it into the new year. We have a fresh opportunity with 2009 to make of it what we want. I keep remembering Henry Ford's famous quote:
So when I pick up a golf club, check my grip, and swing, I remind myself it's just a game, and that I can do it. But I'm a bit competitive (isn't everyone in real estate?), so I want to do well, to master this game. It's not about winning a round. What I want is to get better. I haven't even played enough to have a handicap! So that's my goal – to get my golf game to where I have a handicap and work to keep improving with every round. I want to have fun, of course, but there's a goal and I'm shooting for it just like learning to thread between bunkers to get on the green. Lessons help, coaching helps, and practice helps a lot.
Who doesn't like to be with people they know and feel comfortable with? Of course we do. Over time we build a rapport – a feeling of comfort and trust – with our circle of friends and close business associates. If one of them recommends a movie, we'll probably see it. If they tell us about a great restaurant, we might try it next time we go out for dinner. And if they share a good experience with a plumber or a doctor, we will be influenced by that when we have a leaking pipe or a bad cough.
We have rapport with those people: we know them, we like them, we trust them, and we respect them. That is exactly the type of relationship you want to build with your clients and prospects, for there is no selling without rapport. You don't have months to spend getting to know those clients, but there are ways to help build rapport more quickly by paying attention to verbal and non-verbal cues.
That's your starting point in building rapport with new people. You can build rapport while asking qualifying questions, and as you become more in sync, the more they will reveal to you. Be aware of how they speak – the speed and tone. Look at their body position – are they closed with arms and legs crossed, or are they open? What kind of gestures do they use? Now mirror or match what they do and how they speak, without seeming to mock them, of course. Use similar hand gestures and body position. Pace your speech and movements to match theirs.
We know that communication is much more than words. In fact, the words we choose account for only 5% of communication. Our tone is 35%, and our body language is a full 60% of our message. In your listing presentation, you can use what you know about communication to build that rapport that leads to sales.
Fear can be a powerful force, but only if we give it that power. When we look into our future and resolve to have no regrets for what we didn't do with our lives, we take the first step toward banishing fear.
Since 99% of fear is in your thinking, you can quickly and easily release your fear once you know how. Here are four strategies for releasing and overcoming the limitations imposed by fear in your life or business.
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So now you are ready for your own challenge:
Recently I asked a group of people over 65, "If you could live your life over, what would you do differently?" There were three answers:
You aren’t afraid of what you think you are afraid of.
Fear of failing Some people would rather do nothing then risk looking bad, making a mistake or not completing what they start. Perfectionists fall into this category. Growth and true learning are frozen because of this fear.
Fear of the unknown We have the highest rate of poverty, physical, sexual, verbal, and emotional abuse in the history of this country. Yet we also have the lowest rate of taking positive healthy action to stop or correct these circumstances. Why? Because most people would rather live with, and deal with, what they have and know now, than to take a risk with the unknown.
Fear of intimacy Many people equate intimacy with sex. Wrong! In fact, many people use sex to avoid intimacy. True intimacy is the ability to openly express and communicate lovingly, honestly and unconditionally to those who are important in one's life, community, and work. This kind of communication is vital if one wants to learn to be a tolerant, non-judgmental person who respects the needs and wants of those people in their lives.
Fear of abandonment This fear keeps people in relationships or jobs that are not nurturing, healthy and supportive. They would rather be miserable and suffer in their current situation than be alone and unwanted or unneeded. Even so, they feel no “real” connectedness socially or spiritually.
Ben Stein said it well: "The indispensable first step to getting what you want in life…is to decide what you want.” How do you get from weeds to winning? With this winning formula:
