The Dreaded Cold-Call

Making cold-calls is almost always seen as a terribly unpleasant job! If you’ve ever done any cold calling, you know you’ll hear the word “NO” or a very audible hang-up more often than not. To succeed at this sales tactic, you want a few weapons in your arsenal of skills:

1. Don’t allow yourself to be deterred by a negative response. Develop the mind-set of “what’s the worst that could happen, someone is going to tell me that they’re not interested, so what, who cares, next call.” And then it is time to move onto the next phone number and prospect!

2. Always remember cold calling is not about making the sale; it’s about creating an interest in the product you offer, and successfully setting up a second conversation or meeting where you can prove the value of that product. This first cold call gives you the chance to start building rapport, respect, and a strong relationship with this customer.

2. Have a friendly introduction ready but make sure to avoid sounding like a rehearsed advertisement! As you speak, include some knowledge you have of the prospect’s business (i.e., a recent achievement they have accomplished or goal they are trying to meet) and try to strike up a conversation.

If you are able to generate interest on the prospect’s part, then consider that a successful cold call! Whether you end up getting the sale or not, hopefully you have established a link that will aid in future negotiations. The key is to be personable, understanding, and knowledgeable in both what the prospect’s business is about and that what you have to offer that person will be extremely valuable to them!

Ask What You Can Do for Your Community

In this tough economy, it is time to ask yourself what you can do for the place where you live and own a business. Since people in your community need all different kinds of financial help, and your business could use any free advertising it can get, volunteering is a great way to create free advertising. Not only will your business get promoted through publicity for the event, the company’s public image will also be strengthened by showing your business cares about the community in which you operate.

Before you decide to donate a percentage of your sales to the local schools or organize a food drive at the homeless shelter, make sure the event is well planned. If you are able to bring together a well publicized event, with radio, television, and newspaper coverage through solid press releases, other companies will want to be part of your event too. Those new participants will be able to spread the word to their clients, put up flyers in their stores, and also mention the event on their web site. Make sure that your company logo and contact information are on every piece of information and you have just created an amazing promotional machine by doing community service.

A well done event to help your community, complete with solid press and strong partners, can be an important, long lasting marketing tool. So, if your business is a bit slower and you have free time to donate, ask what you can do for your community now and your company will thank you later.

Go Green to Help the Environment and Increase Home Value

Now is the time to start thinking seriously about home improvements, especially when it comes to energy savings. The government’s stimulus package includes The American Recovery and Reinvestment Act of 2009 and is available to the general public for tax credit when they make energy efficient improvements to their homes. A tax credit of 30% is available when that improvement includes insulation, as well as the substantial savings realized from having lower heating and cooling bills because of the improvement.

There is a myriad of small inexpensive ways of reducing heating and cooling bills, from insulation to caulk and weather stripping. Eco-friendly homes can be more marketable than a similar traditional home. Buyers are more conscious now than ever about the cost of energy, and eco-friendly homes make for a long term energy savings.

In dollars and cents, many experts have found that an eco-friendly home sells for 10 to 15 percent premium than traditional homes. Combine that with the tax credit, in fiscal terms upgrading a home to be eco-friendly can result in a significant increase in sales price. In addition, with the rising price of energy, eco-friendly home demand will continue to rise.

Commercial Foreclosure - Top 5 Counties

Commercial foreclosures have been a hot topic lately. With vacancy rates rising and rents declining, commercial properties are seeing a decline in cash flow. Combined with the lack of financing, this has led to a spike in commercial properties on the foreclosure lists. It is no surprise that this is happening now as the commercial market lags behind the already peaked residential market. Many of our clients are interested in commercial foreclosures and are inquiring as to where to find the largest number. A list of our top five commercial foreclosure areas for May 2009 includes: (1) Clark County, NV (2) Los Angeles County, CA, (3) Miami-Dade County, FL, (4) Maricopa County, AZ and (5) Lee County, FL.

Because commercial loans are generally made on much shorter terms than residential mortgages, many property owners just refinance at the end of their term. However, with the lack of available financing, many financially viable properties are making their way onto our Default Listings. For more information about commercial properties click here.

The commercial foreclosure market seems to be heating up, so those interested should begin by exploring the most up-to-date commercial foreclosure listings that Default Research provides.

California Title Companies No Longer Able To Provide Default Information

On September 25, 2008, the Governor of California signed Senate Bill 133 ("SB 133"), which became effective January 1, 2009. This new legislation instituted a program for the California Department of Insurance to register, regulate and monitor title company marketing representatives and addressed what the legislation referred to as the "problem of illegal rebates and inducements dispensed by title marketing representatives". The bill regulates who may be employed as a title marketing representative by forcing such individuals to obtain certain certificates and hold said certificates for certain lengths of time.

The changes to California Insurance Code Section 12404 under SB 133 impact existing title companies and their sales and marketing practices. In addition, there are severe penalties imposed upon a title sales representative found to be in violation of SB 133 including a 5 year revocation of license and monetary sanctions, as well as an investigation and potentially severe monetary sanctions against the Title Company, including up to a $10,000 fine.

Since January 1, 2009, there are a number of newly-prohibited activities and expenditures for Title Companies. One of the main prohibitions pertaining to the foreclosure sector is the prohibited activity of creating and/or providing marketing/informational materials that are not exclusively related to title insurance. For example, flyers related generally to short sales, foreclosures, REO processes, auction processes, tax issues, loan modifications and refinances, HELOCs, and new construction are prohibited unless they solely discuss how these items are handled in the title insurance process or how these items impact a preliminary title report and title policy. Hence the reason your California title company may no longer be able to provide you with notice of default listings. As an alternative I highly recommend you check out http://www.defaultresearch.com/ for obtaining pre foreclosure listings for your county.

Affordable Improvements to Sell Your House

Despite recent improvements in the housing market, home sellers interested in selling quickly for the maximum dollar amount should consider making some small improvements to positively affect the bottom line and decrease time on the market. A home that appears well cared for with recent updates will stand out from the competition. Updates do not have to be a $50,000 newly renovated kitchen. Think small and spend your money wisely.

Start with the outside by checking curb appeal. Repair or replace a wobbly mail box and plant flowers around it. If your house numbers are hanging by a thread, it is time to replace them. Be sure to trim the shrubbery, as well as weed, edge, mulch flower beds, and plant flowers to add a splash of color close to your house. Could your front door use a coat of paint or a new lockset? Remember to mow your lawn, too. A house that looks well tended on the outside will draw buyers in.

On the inside, start at the ceiling and work your way down. Lighting fixtures older than you should probably be replaced. Replace broken or damaged electrical outlet and switch covers. Doorknobs that are worn or broken should also be replaced. If you cannot remember when a room was last painted, consider painting, but be sure to choose a neutral color. If your furniture is old or mismatched, consider slipcovers and some new, inexpensive throw pillows. If you have dirty carpet, rent a rug cleaner from your local home improvement center and get busy cleaning the carpets. This is especially important if you have pets or rooms with high foot traffic. Just because you do not smell your pet does not mean potential buyers cannot smell pet odor. Making your house look and smell its best will enable buyers to see themselves living there.

Another important and simple thing to help sell your house is to remove clutter and depersonalize. Do not distract your potential buyers with your personal collection of bobble heads. Your buyers’ attentions should be focused on your beautiful home and no place else. Since you are selling your house and moving, you might as well start packing up personal collections, photographs and other items for your move to a new home. Packing now will make the stressful time of moving day a little easier by having most of your things ready to go in the moving truck. When your house is being shown, do not forget to turn on every light in the house, and open all blinds and curtains to make your home appear light-filled and inviting.

Remember, you are selling space - make your entire home look as spacious as possible by placing your overflowing stored items from over-packed closets, basements, and sheds in a storage rental unit. As you would stage any other room in your home, stage your closets and storage areas with only a minimum amount of things you cannot live without while your house is on the market. Buyers will be impressed with how much storage space your house has if everything is not falling out of the closet as the door is opened.

There is really no need to break the bank to get your house sold quickly. A few well chosen updates as well as removing clutter by packing up personal items will work wonders in making your home appear more spacious and appealing to buyers.

Lender Documentation Requirements

There are many documents lenders require, whether purchasing or refinancing a home. The amount of documentation required varies by lender and, at times, can be very intimidating to someone unfamiliar with the process. This is especially true now as lenders toughen up their standards in light of the recent financial crisis

Documentation requirements are different for someone who is self-employed, and are usually more stringent. For the self-employed, you may be required to provide personal Federal Income Tax Returns including Schedules for the last two years. Business owners will need to provide Business Federal Income Tax Returns for the last two years. Profit and Loss Statements for the current year and 1099 Statements may also be required. For income verification you will need two of your most recent pay stubs as well as your most recent two years of W2s. It is also important to remember that your lender will need to verify your employment, so be prepared to provide your company’s Human Resources Department contact information.

If you have rental property income, in addition to your Federal Income Tax Returns with Schedules, you may need to provide your lease agreements. Additionally, while the bank is not allowed to inquire if you receive child support, they can inquire if you pay it, and you may be required to supply your payment history.

For pension as well as social security income, you may be asked to provide two years of 1099s. The bank may also require documentation from your pension provider stating payment amount and frequency, and/or the most recent award letter with the dollar amount you will be receiving from your social security. If you have an annuity, the quarterly statement with account balance is usually adequate. You will also be required to protect your home with homeowner’s insurance. Be sure to provide your agent’s name, address, and phone and fax number to your lender.

Finally, you will be asked to provide two months of bank statements from checking/savings, any investment account statements, stock certificates, and statements for life insurance, but only if the life insurance has cash value.