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CONTACT WALTER

559 S. Washington Ave., Kankakee,IL 60901

P.815.929.9258 P.815.929.9200

walter@waltersanford.com

Your Insider Investing for Real Estate Agents book has been very helpful. While I am not the one at the company who hires speakers, I have recommended your book and website to many of my colleagues. Cynthia Lee, Weichert Realtors

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Payback Never Pays June 11th, 2015 | Posted in Uncategorized

Leviticus 19:18a: “Do not seek revenge or bear a grudge against one of your people, but love your neighbor as yourself.”

The real estate business gives a lot of opportunities for pain from other people: sellers who waste your resources with unrealistic expectations, buyers who cannot pull the trigger, cooperative agents who don’t do their job, and peers who usurp your clients.

Many times, you cannot foresee the pain from a client, and it becomes a necessary part of our business that comes from us working for free until closing.  Coping strategies become necessary.

Ephesians 4:26a: “Do not let the sun go down while you are still angry….”

Get over it as soon as possible.  Don’t seek revenge or hold a grudge.  Personally, I must tell you it has been the hardest lesson I have ever learned and still fight with it!  When I follow God’s Word to love my neighbor who I perceived has wronged me, the pain goes away and God provides other opportunities.

“But Walter, you are a business man.  What if we are talking some real money that you are entitled to under contract?”

Paul gives instruction to that question also (I Cor. 6:7-8): “The very fact that you have lawsuits among you means you have been completely defeated already.  Why not rather be wronged?  Why not rather be cheated?  Instead, you yourselves cheat and do wrong, and you do this to your brothers and sisters.”

Your options are settle out of court demonstrating “love for your neighbor” or do your best to stay out of trouble in the first place.

Here are some rules to implement, ensuring better quality clients and quality transactions:

1.       Don’t take overpriced listings.  When I did take an overpriced listing, it was because there might be a “chance,” but I would not become attached to the outcome.  Isn’t taking an overpriced listing without disclosure of it being overpriced a lie anyway?

2.       Get the inspection done after taking the listings.  It makes sense to get the repairs done before a buyer has input.  Not being in rush to close will allow you/the seller to obtain numerous bids and conduct contractor negotiations to benefit the sale.  After the inspection, you will find out if the property can be sold at the marketed price and whether or not the seller will take care of the problems.

3.       Take large deposits from credit-worthy and pre-approved buyers who have verified down payments and jobs.

4.       Work with buyers who answer probing questions, get pre-approved, and sign a loyalty agreement, in that order and prior to going to see property.  Of course, you need to provide a value proposition for each of these requested steps or the buyer will balk.

5.       Shorten pending times as much as possible and keep the client involved in weekly follow-up.  If the coop isn’t getting the job done, ask for help.  If none arrives, go to his/her broker.

The Scriptures are wise in how to avoid and (when needed) how to handle conflict.  Paired with good systems, you’re on your way to avoiding “payback.”

Walter Sanford has been designing and implementing real estate systems for 30 years. One of the most successful REALTORS® and now wealthy from his systems, Sanford teaches his systems and strategies through his products, seminars, and personal coaching producing the best results in the industry. Do what works, do what is proven. Hire Walter Sanford. Call our office at 800.792.5837, email walter@waltersanford.com, or chat with us online at www.waltersanford.com.

 

You are Busy, Because It’s the Spring Market! May 12th, 2015 | Posted in Uncategorized

This will be fast, because you think you have no time…but please read on!

November happens! Spend a few minutes and delegate some of your lead generation duties now. Your affiliates (lenders, title, escrow, etc.) appreciate your loyalty, and they will help in lead generation that also benefits them with new clients.

I have a new product out this week. We will sell it to you for 50% off as a special to our clients before we offer it to the general public. Loan it to your affiliates. Have him or her choose one system to work on in filling both his/her and your pipeline. If you can guarantee loyalty, he/she will help!

One of the weakest parts of teams is getting the unpaid affiliate that you support with your business to be part of your team. Once they see how easy the systems are and how it benefits both, they will love it.

Buy The REALTOR®/Lender Alliance today. We cannot offer this special again.

I told you this would be fast! Call our office at 800.792.5837 for your special, reduced price and fast shipping.

Walter Sanford has been designing and implementing real estate systems for 30 years. One of the most successful REALTORS® and now wealthy from his systems, Sanford teaches his systems and strategies through his products, seminars, and personal coaching producing the best results in the industry. Do what works, do what is proven. Hire Walter Sanford. Call our office at 800.792.5837, email walter@waltersanford.com, or chat with us online at www.waltersanford.com

Killing Clients with Kindness and Value April 10th, 2015 | Posted in Uncategorized

Sometimes, we need to “kill” our clients with kindness and offer value.  I know it goes against everything in our nature to do so.

Recently, a coaching client had some challenges with a particular client, and I’m sure you have also worked with the kind of client who discourages you so much that you just want to hit the delete button!

How about offering a response that increases your fame and makes the client always wonder what they may be missing?  They might not list with you, but they will never forget you.

Included in the balance of this article are the email from the client, the request for help from my coaching client, and then my suggested response.

 

Email from the Potential Client:

Sorry, I have been really busy. Let me tell you where I’m at with everything. You may or may not be interested.

I am definitely putting the house on the market.  The house has been rented for the last 5 years with the same family.  They originally signed a rent to own lease. Three years ago, they decided they didn’t want to buy it.

Anyway, I recently informed them that I’m going to put the house on the market. Now, they are reconsidering buying the house. I don’t think they will buy the house, but I guess you never know.  If they do buy the house, it would be for sale by owner.  I will not let them drag their feet.

We happen to know a lot of REALTORS® in (area).  Some are pretty good friends and with that comes opportunities at rates way under the norm. One of them did sell our last house quickly but circumstances have changed. I know you are a very good REALTOR®, because I have heard other REALTORS® talk about you.

You may not be interested at this point anymore.  If you are still interested, let me know what your best rate is.  Let me know if you are okay with the current tenants on a “for sale by owner” agreement, if that happens. I would want a short-term agreement.

The current rent is higher than my mortgage payment so I’m okay if they don’t buy and I’m not forced to sell at a low price.  However, I want to sell ASAP.  I’m wanting to purchase another property so I’m not going to overprice the house and I will negotiate.

 

Email from Coaching Client to Me:

Walter, this guy is a college basketball coach.  I want to help him, but I need to have a chance to run a successful business, too!  How do I answer this?

 

Email from Me to Coaching Client (to share with potential client):

Thank you so much for the nice words.  It is very exciting to hear that our hard work is creating some buzz.  I think we can accommodate you and exceed your expectations:

1.       We believe that we exceed client expectations more often than most agents, because we spend the time to understand what the client needs.  Then we develop a customized program to meet and exceed that goal.  We would love to help you in accomplishing your real estate needs.

2.       We would be happy to exclude the current residents from the listing agreement for 30 days.  This would help in motivating the residents to move in that they can see the commission discount if they commit within the 30 day period.  I’m not sure what you’re trying to say here. We would like to offer you our closing service that handles everything for a flat fee of $4,000.  This handles the contract phase, aligning the team of affiliates, and the closing.  This, of course, is at your option.

3.       Our commissions are normal for our market, but we save you more money.  Our specialty is increasing your net proceeds.  We do this by bringing you more buyers with more effective marketing, better negotiating, better systems for handling inspections, better pre-approval tools for your buyer, better contracts, and less post-seller litigation from better contracts.  Commission discounts usually cost you money because of the agent’s lack of emphasis on your net proceeds check.

4.       Our rate is retail 6%.  This may eliminate us, but that would be a short-sided conclusion.  Here are 5 of the ways we can beat any commission discount:

A.      We beat the average List to sell ratio in (area) by a larger margin than any discount.

B.       We beat the days on market, which affects your carrying costs and lost opportunity costs on your equity.

C.      We have a low litigation rate as compared to national standards.

D.      We can market your home a little over retail due to our marketing.

E.       We urge a pre-inspection plan to get rid of the little and big problems before a buyer is involved.

5.      Our agreements are 6 months, but that is not what sells properties.  Marketing and price sell property.  If we are wrong about those two items, we will adjust every week based upon showings.

(Client’s name), you know the difference superstars make on a team.  Let’s go for the win.

It’s not so much whether my coaching client obtained the listing, but he needed to stand up for a profitable, long term business.  Never sell yourself short to get business.  You will never be happy.

In these situations, I cannot guarantee an outcome, but I can guarantee the client will never forget you.  Whether he/she admits it or not, he/she will have respect for you.  Do more lead generation so you won’t have to work so hard on leads like these.

Walter Sanford has been designing and implementing real estate systems for 30 years. One of the most successful REALTORS® and now wealthy from his systems, Sanford teaches his systems and strategies through his products, seminars, and personal coaching producing the best results in the industry. Do what works, do what is proven. Hire Walter Sanford. Call our office at 800.792.5837, email walter@waltersanford.com, or chat with us online at www.waltersanford.com.

 

 

 

Your Open House Profit Kit March 10th, 2015 | Posted in Real Estate

Through the years, I have discovered that more and more agents are fearful of meeting face to face.  Some agents hoped that technology would put a barrier between them and rejection, but all they found was a smaller income.

The top earners still know how to find what people need and give it to them.  Some of my top coaching clients are actually doing a few open houses to re-introduce themselves, face-to-face, with the neighborhoods that made them famous.

Below are the processes to add profit to your Sunday endeavor:

The agent chooses a great house with good visibility.  The sellers are counseled as to what it means to have a house ready to show.  The agent cures his/her resentment in giving up family, fun, faith, friends, and food by setting a goal to receive at least five good leads from the open house.

The agent advertises in social media and the newspaper, and they also send invitations to the neighbors.  Hopefully, this was the first open house in a long time on this property.

Upon arriving, he/she parks across the street as to leave plenty of room for others arriving to see the home.  Five to fifteen directional signs are placed at nearby corners along with signage at the front of the house with flags to make the property inviting.

Each guest is greeted with a simple greeting — “Thank you for coming.  Are you buyers or sellers?”  If they are buyers or sellers, they are given clipboards with appropriate forms to provide value.  The guests are given the opportunity to walk through the home and complete their value-filled checklist.  The agent spends more time with potential buyers and sellers than the professional open house attendees.  At the end of the three hour stint, the top agent calls it a profitable day by meeting that goal of five leads.

Here is the open house kit that you will need in your trunk so you are ready for to survive your occasional “rock the neighborhood” tour.

1.       o       Brochures

2.       o       Dream Home search form for buyers or sellers wanting to be educated about this neighborhood

3.       o       Pre-listing consultation form for sellers

4.       o       The free 24-hour phone value analysis form

5.       o       All flyers on all your listings

6.       o       Music

7.       o       Air freshener

8.       o       Contracts/ZIP form

9.       o       Mock listing file for that seller who is ready to go

10.     o       Laptop/tablet and printer

11.     o       Open house display cards

12.     o       Resume

13.     o       Flags at property line

14.     o       Home warranty information

15.     o       Original plans, if available

16.     o       Fireplace gas key

17.     o       Business cards

18.     o       Guest cards

19.     o       Vanilla

20.     o       Specific financing sheet

21.     o       Ten clip boards

22.     o       Counteroffers

23.     o       Buyers/sellers net sheet

24.     o       Table, chairs, and toilet paper, if vacant

25.     o       Busy work

26.     o       Lead sheets

27.     o       Maps of local area

28.     o       Put all valuables away

29.     o       Flame logs

Walter Sanford has been designing and implementing real estate systems for 30 years. One of the most successful REALTORS® and now wealthy from his systems, Sanford teaches his systems and strategies through his products, seminars, and personal coaching producing the best results in the industry. Do what works, do what is proven. Hire Walter Sanford. Call our office at 800.792.5837, email walter@waltersanford.com, or chat with us online at www.waltersanford.com.

 

What Gets You Up in the Morning? February 10th, 2015 | Posted in Uncategorized

Psalm 62:10: “Though riches increase, do not set your heart on them.”

The real estate boom early in the new millennium created many wealthy REALTORS® and lenders.  The owners of huge brokerage companies started thinking they were geniuses!  Huge homes, second homes, vacations, and cars were on everyone’s lists.

When the bubble burst, real estate prices along with many other asset classes plummeted.  Many investors and real estate companies declared bankruptcy; many owners found themselves upside down.  I had personally been through two other “big bursts” in my 40-year real estate career.

In 1997, I knew there had to be a better way, and I started being pulled by the Holy Spirit to know Jesus better.  Some people talk about a flash of light, an immediate understanding, or a time when the Spirit rocked them so hard there was immediate clarity.

For me, it was the presented paths and a gentle push to take the right one.  It was the presented opportunities, the people put into my path, and the people sent packing.  It was so clear that God was influencing my life, and I found myself having a constant conversation with God to show me the way He wanted it done.  Looking back, it is so clear that I have been led.

For you who knew me as a world class sinner, I still am a sinner!  But with God’s grace, I am daily striving to live a life for His glory.  I’m not winning less at what I’m doing, but I’m certainly winning for a different reason.

Verses 11 and 12 of Psalm 62 provide the way for you to move forward.  God has all the power and has unfailing love.  God is a refuge for us and He cares for us.  He is the only One in whom we can put our trust.  I want to provide a God-glorifying dividend in everything I do!

Sure, I still want to increase my riches, but now, it is for who and what I can help.  In fact, instead of material dreams, I dream about making a difference.  This change has affected my real estate investing, and I have seen it affect my wife’s real estate brokerage as well.

For me, flipping for profit is dead.  Buying low and selling high with some en vogue grey paint in between is not a game that I want to play.  It involves the maximum IRS involvement plus the costs of the sale, repair, and taxes cut into your estate.   It’s now keep and build equity with equity paydowns, change a tenant’s life with the best rental at the best rate, and pay off the mortgage waiting for the time when I can move the equity to an entity better positioned to serve God.

The concept is simple, and this financial environment supports it.

1.       Find property that is lower maintenance and in good school districts.

2.       Offer prices where, with your down payment, there is enough rental income to pay off a fixed, fully amortized loan.  Use at least a 40% of gross income expense factor as your cost of operation on everything, except principal and interest payments. 

3.       Shelter your income with depreciation expenses on fixed-loan properties and inflation will push up your rental income.  Take any positive cash flow and apply to the underlying loan for faster amortization.  Get your first free and clear property.  Use the income from that to pay down your other highest rate mortgages.  Continue working your real estate job.

4.       Provide a home for your tenants that blows them away!  Improve the property substantially at every turnover.  Treat your tenants as family.  Respond quickly and effectively.  Charge a fair rent and give deserving people the chance they need to change their lives.

5.       Have lots of free and clear properties that you can give or will to your church.  Use the income to fund missions you believe in.

When this became my business plan, the bubble pop did not affect me.  There was no negative cash flow.  God led me to a path that included Kankakee, Illinois (high income to price ratio real estate).  Add in my knowledgeable and supportive wife and a church that made the Bible relevant to make the equation more complete.  Therefore, riches increase and my heart is set on how they will work into God’s plan.

Now, I know some of you hard-boiled movers and shakers think that I have been overcome in drinking the “Kool-Aid.”  The path that has led me to navigate this crazy real estate market, find peace, and have purpose are just too obvious to not be orchestrated by God.  Therefore, consider the good you can do as your riches increase.  Riches are not promised by God, but it will be exciting to wake up each morning and see the path laid before you!

 

Walter Sanford has been designing and implementing real estate systems for 30 years. One of the most successful REALTORS® and now wealthy from his systems, Sanford teaches his systems and strategies through his products, seminars, and personal coaching producing the best results in the industry. Do what works, do what is proven. Hire Walter Sanford. Call our office at 800.792.5837, email walter@waltersanford.com, or chat with us online at www.waltersanford.com.

 



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