New Home Sales - First Chapter of New Book Coming Soon
bryansoward.com
In June of 1996, while taking the required courses to obtain my Real Estate License, one of the instructors told me about the option to pursue a career in New Home Sales. She stated that it provided the opportunity to earn a six figure income, had less start-up costs than being a Realtor and that there was no overhead since the builder is responsible for “driving traffic” to the door. It sounded like a winning combination for me since I had less than $900 and was borrowing money from family just to take the classes and to pay for the testing.
I began my search by calling my local Builder’s Association and requesting the contact information for every builder in my area. They told me that for a $75 fee, they would give me a directory. That seemed like a waste of money, so I decided to pursue the phone book. There were very few listings for home builders and the neighborhoods that I called never answered the phone and would not return my call.
Finally, through a referral of a family member’s friend’s friend, I landed an interview with a Real Estate company that had a New Homes Marketing group. I was hired on the spot and driven to my new community. My new Sales Manager handed me the keys to the models and inventory and told me the alarm codes and voicemail password. The only training I received was being walked through the model and being told to turn on all of the lights while the models were open and to turn them off before I left. And he said, “Oh, by the way, if you need anything, call me.”
Thus I began my career in New Home Sales. I sat in the garage of that model for days before I saw anyone looking to buy a home. Of course, I saw a few neighbors that came in to complain that we were watering our model yard during the restricted times set by the local water authority. One particular homeowner called me and began cursing because the “workers” were using her water faucet on the side of her home. I wondered, “What the heck was this that I had gotten myself into?” I was put on a draw for the first three months of $1500 per month. With one child and a wife at home, another child on the way, I needed to sell homes quickly to feed my family. Besides that, the 35 cent crackers with cheese and a 12 ounce soda for lunch was an awful way to eat lunch each day. The problem was that I didn’t know how. I mean, I knew how to get people to like me and had always prided myself on being able to talk anyone into anything. But how in the world was I going to talk someone into spending what seemed like a fortune to me?
My first prospect that walked into the door “just wanted to look at the model.” So I went with them. We entered through the front door and I stated, “This is the living room.” I then followed them toward the kitchen. When they stopped to look around, I cleverly said, “This is the kitchen and breakfast area.” And so it went. After they left, I was happy that I had asked them to fill out my registration card in which they did.
I visited another New Home Sales Counselor in my same community. He loved to tell me how much money he was making and how many homes he had sold recently. I wanted to know what he was doing, so I asked how I could do it. Now at this stage of the game, I was pretty naïve. I never considered that another human being would not want to help someone in need. I never really considered that he and I were in competition with each other and each prospect was our “game.” In other words, the one who got the “kill” would take the prize home and feed his family. His only advice to me was that I should read some books on sales written by “sales experts.”
I made a mental note that I had seen these names on books on the bookshelf behind my Sales Manager’s desk. The next time that I saw him, I asked and he loaned me his tapes. This was going to be the “Golden Answer” to my needs. I listened intently to hear that my attitude and character would take me over the top. There was more there, but that’s all I wanted to hear. After all, I had a knack for getting people to like me and the homes were beautiful. It’s a winning combination, right?
The third customer that entered my office was looking for a home to move into quickly. I drove him and his girlfriend to one of my two inventory homes. “This is the dining room,” I began as I continued to make small talk about the weather. We entered into the kitchen and as I only knew how, remarked, “This is the kitchen.” I paused momentarily to let them soak in the room only to hear him tell his girlfriend, “No kidding.”
I was devastated. I thought I was being polite and courteous by simply showing the homes and letting them form their own opinions. I did not realize at the time that I was offending him. That was the only way that I knew how to show the homes and I felt suddenly stupid for doing it. I listened to more tapes and read more books on general sales only to hear theories and techniques that seemed awkward to even attempt on a prospect. I spent the next five months of my stint with this particular builder greeting prospects and walking homes with them and making small talk. I never asked questions and I never stated the obvious again. My spare time consisted of faxing my inventory sheet to Realtor offices and reading magazines.
Every now and then, I would get lucky and the home and location of the community would sell itself. My first three sales began with the customer asking me, “What do I need to do in order to buy this home?” I was so nervous and ignorant about the process that I would call my manager to get him to come “close” the deal. I was even afraid to ask them to sign the purchase agreement when they told me that they wanted the home!
The internet was not readily available at that time. I did not find books specifically about New Home Sales in the local bookstores and other New Home Sales Professionals were more interested in their next sale than helping a newbie learn the business. I was fortunate to have made a friend with a co-worker that worked in a community 10 minutes away. After he was hired by a large builder with a boot camp and continual training program, he recommended me. I was hired shortly after him and received the “jump start” that I needed. If that had not happened, I would probably have begun my search for a new career. Now, I ask myself after 12 years in the business, how many talented superstars get into the business that don’t have the opportunity of a “jump start” only to get out shortly thereafter?
BryanSoward.com
BLOG.BRYANSOWARD.COM
http://blog.bryansoward.com
Created With Quick Blogcast
BLOG.BRYANSOWARD.COM
Alleviating Customer Concerns
What may seem ridiculous to us may be a perceived reality to others. Most anger is derived from fear. When we are focused on alleviating our customers’ fears we avoid and can eliminate these types of angry confrontations. However, it seems that no matter how thorough we are in explaining the potential pitfalls that abound in new home construction, there is always a scenario that we have never had to deal with yet.
<< MORE >>
New Home Sales - Closing Mistake Number One
New Home Sales - Closing Mistake Number One
Why would a professional new home sales person spend a large portion of their quality time with a prospect and not ask them to buy the home? The first reason is that the counselor has failed to summarize their thoughts and notes taken during the sales process. It is essential that this step be taken both mentally by the salesperson and given verbally to the prospect. To the salesperson, it provides a level of comfort in knowing that he/she has reduced the number of objections to the point that rejection is minimized. For the prospect, his/her needs and wants have been satisfied. They need to be reminded of that due to the large amount of information that is being processed.
The second reason that the sale is not being requested is that the salesperson has not heard the buying signals of the consumer. A majority of salespeople love to hear their own voice, especially when they believe in what they are selling. This excitement and enthusiasm can become a downfall when we begin to speak more than we listen. Are we truly hearing them or are we waiting for them to finish so that we can tell them the next greatest part of the experience? It is not uncommon to hear a customer say, “I really like this.” Only to be followed with further explanations by the salesperson. What would happen if the salesman stopped and acknowledged the prospect with agreement? “Great! I am glad that you like it. On a scale of 1 to 10, how would you rate it?” If the answer is below 10, then ask, “What would it take to make it a 10?” Listen to the answer. Find a way to make it a 10 then ask them, “If you find a home today that you absolutely love, are you willing to proceed with the purchase agreement?” Once you have asked the closing question, SHUT UP and don’t speak. The homebuyer is now processing information in order to respond. It may seem like a long period of silence; however it does not seem that long to the prospect. They need the time to process their thoughts. When we, as salespeople, begin to speak after asking for the sale, we “save” the buyer from their thought process. This makes it easier for them to say “no.” However, the silence will either grant you the golden “yes” or it will flush out another objection that you can overcome.
A concerning third reason that we are not asking for the sale is that we sometimes develop a bad attitude. What are some causes of this?
Are you in a slump? Don’t let negative experiences in your past affect your present and future behavior. So you have had the last 10 prospects tell you “no.” Guess what? Welcome to sales! The best way to overcome this attitude is to determine your prospect to sales conversion rate. If you know that you typically sell 1 out of every 8 prospects a home, and then believe that you are going to get 2 “yes” answers out of the next 6 prospects. The Law of Averages is on your side. Keep asking for the sale!
Have you lost belief in what you are selling? This is typically caused by us listening to too many negatives about our location, pricing or product. Are your prospects mentioning the garbage dump next door, or the crime rate, or bad schools, or high tax rate? There are a myriad of opportunities to overcome with each aspect of what we sell. Do not focus on this. Do not allow others to influence your thoughts. Once you hear an objection that you can not overcome immediately, research it. Find an answer. Find a positive in it or something else that overcomes it. In fact, it is wise to find at least three reasons why your prospects should by in your community and/or each home. List them on each handout of the floor plans and keep it in your 3rd Party Book. Also, beware of talking to your competitors’ sales personnel as well. They will lie to you just to bring you down mentally. You will hear that they sold 15 homes last month and 20 the month before. When you drive through their community, you will only notice 3 homes started.
Did the angry customer just leave your office? Studies show that buying a home is one of the most stressful parts of a person’s life. When you combine the buying and closing experience with new home construction, it can add up to a lot of anguish on the part of the consumer. It is important to remember that most anger is derived from a spirit of fear. The buyer is fearful of being taken advantage of due to their lack of understanding about the construction process, financing process, sales process and closing process. It is important to remember that your title is not only “Sales” but also includes “Counselor” or “Consultant.” It is our job to alleviate their fear in order to eliminate the anger. By doing so, you will quickly diffuse the situation and feel more helpful and productive. Therefore, the next customer that enters your office will be greeted by a more confident and assured salesperson.
Are you mentally burned out? Is your family life what it needs to be? Is your spiritual life correct? These are all issues that are in no way less important than any other. In fact, they may be the most important. It is important to give yourself time away from work. Balancing your money hours with your personal hours is crucial to not running into the brick wall of burn out. Find something away from work that you enjoy. This includes spending time with your family. When we are distracted by problems with the most important people in our lives, our work suffers dramatically. Remember that all of the money in the world is not a substitute for quality time spent with family and friends. Finally, it is absolutely imperative that we recognize that there is a God of this world and without our accountability to Him, we are lost and fall short of His glory.
Why would a professional new home sales person spend a large portion of their quality time with a prospect and not ask them to buy the home? The first reason is that the counselor has failed to summarize their thoughts and notes taken during the sales process. It is essential that this step be taken both mentally by the salesperson and given verbally to the prospect. To the salesperson, it provides a level of comfort in knowing that he/she has reduced the number of objections to the point that rejection is minimized. For the prospect, his/her needs and wants have been satisfied. They need to be reminded of that due to the large amount of information that is being processed.
The second reason that the sale is not being requested is that the salesperson has not heard the buying signals of the consumer. A majority of salespeople love to hear their own voice, especially when they believe in what they are selling. This excitement and enthusiasm can become a downfall when we begin to speak more than we listen. Are we truly hearing them or are we waiting for them to finish so that we can tell them the next greatest part of the experience? It is not uncommon to hear a customer say, “I really like this.” Only to be followed with further explanations by the salesperson. What would happen if the salesman stopped and acknowledged the prospect with agreement? “Great! I am glad that you like it. On a scale of 1 to 10, how would you rate it?” If the answer is below 10, then ask, “What would it take to make it a 10?” Listen to the answer. Find a way to make it a 10 then ask them, “If you find a home today that you absolutely love, are you willing to proceed with the purchase agreement?” Once you have asked the closing question, SHUT UP and don’t speak. The homebuyer is now processing information in order to respond. It may seem like a long period of silence; however it does not seem that long to the prospect. They need the time to process their thoughts. When we, as salespeople, begin to speak after asking for the sale, we “save” the buyer from their thought process. This makes it easier for them to say “no.” However, the silence will either grant you the golden “yes” or it will flush out another objection that you can overcome.
A concerning third reason that we are not asking for the sale is that we sometimes develop a bad attitude. What are some causes of this?
Are you in a slump? Don’t let negative experiences in your past affect your present and future behavior. So you have had the last 10 prospects tell you “no.” Guess what? Welcome to sales! The best way to overcome this attitude is to determine your prospect to sales conversion rate. If you know that you typically sell 1 out of every 8 prospects a home, and then believe that you are going to get 2 “yes” answers out of the next 6 prospects. The Law of Averages is on your side. Keep asking for the sale!
Have you lost belief in what you are selling? This is typically caused by us listening to too many negatives about our location, pricing or product. Are your prospects mentioning the garbage dump next door, or the crime rate, or bad schools, or high tax rate? There are a myriad of opportunities to overcome with each aspect of what we sell. Do not focus on this. Do not allow others to influence your thoughts. Once you hear an objection that you can not overcome immediately, research it. Find an answer. Find a positive in it or something else that overcomes it. In fact, it is wise to find at least three reasons why your prospects should by in your community and/or each home. List them on each handout of the floor plans and keep it in your 3rd Party Book. Also, beware of talking to your competitors’ sales personnel as well. They will lie to you just to bring you down mentally. You will hear that they sold 15 homes last month and 20 the month before. When you drive through their community, you will only notice 3 homes started.
Did the angry customer just leave your office? Studies show that buying a home is one of the most stressful parts of a person’s life. When you combine the buying and closing experience with new home construction, it can add up to a lot of anguish on the part of the consumer. It is important to remember that most anger is derived from a spirit of fear. The buyer is fearful of being taken advantage of due to their lack of understanding about the construction process, financing process, sales process and closing process. It is important to remember that your title is not only “Sales” but also includes “Counselor” or “Consultant.” It is our job to alleviate their fear in order to eliminate the anger. By doing so, you will quickly diffuse the situation and feel more helpful and productive. Therefore, the next customer that enters your office will be greeted by a more confident and assured salesperson.
Are you mentally burned out? Is your family life what it needs to be? Is your spiritual life correct? These are all issues that are in no way less important than any other. In fact, they may be the most important. It is important to give yourself time away from work. Balancing your money hours with your personal hours is crucial to not running into the brick wall of burn out. Find something away from work that you enjoy. This includes spending time with your family. When we are distracted by problems with the most important people in our lives, our work suffers dramatically. Remember that all of the money in the world is not a substitute for quality time spent with family and friends. Finally, it is absolutely imperative that we recognize that there is a God of this world and without our accountability to Him, we are lost and fall short of His glory.
Sell Like A Child
SELL LIKE A CHILD
As a father of 4 children I find myself saying “no” frequently upon the multitude of sales pitches that get thrown at me by my kids. The advertisers on the Cartoon Network, Disney Channel and Nickelodeon have partnered with my children to sell their products. Sadly though, they do not get paid commissions. My kids are the best sales people that I have ever encountered and they get paid nothing. However, their persistence does pay off at times and they get paid with the product that they want.
My children have the luxury of familiarity with the prospect (me) that most other sales people don’t have. Face it, we get anywhere from 15 minutes to 2 hours with someone while trying to sell them. The kids also have the knack of knowing which decision maker to go to for a request. As salespeople, we are often left playing psychologist with our leads in trying to determine the dominant decision maker. Another example of the benefits of being a kid salesman is that they also know my hot buttons.
I am at a severe disadvantage when it comes to saying “no” to my kids! Of course, I don’t want to spoil them and buy them everything that they want. I couldn’t afford all of it or the bigger home that would be required to store it. Many times though, I give in and allow myself to be sold.
What makes these children perform like master salespeople? Are they logging onto the internet and reading http://blog.bryansoward.com or buying e-books like the one at http://bryansoward.com or something? (Pardon me for the cheap plugs.) Did the Zig Ziglar CD’s that I played for them while in the womb work? (This actually never happened.) All silliness aside, you get my drift. The answers are “No” and “No”.
First of all, they have established a relationship. I am smiled at, spoken to softly, hugged, kissed, tackled playfully, cuddled with, etc… on a daily basis. I would not suggest that you hug, kiss, tackle or cuddle with your prospects though. But let me ask you, are you smiling and talking kindly to your prospects daily? I can only imagine how I would feel if any one of my kids tried to sell me like this: “Hey dad. Look at these pictures of the puppies. Will you buy me one?” That’s an easy “no” for me. Thanks kids. I just saved a lot of money on vet bills, food, chew toys, carpet replacement, etc…….
Wait a minute. I just gave 4 objections. But they don’t get a chance to overcome them because they already sold me the wrong way in the first 5 minutes. So, let’s back up.
How does it really go down? “DADDY! DADDY! DADDY! (All caps are supposed to signify excitement here.) LOOK AT THESE PUPPIES! PUPPIES! PUPPIES! YEAH! I WANT A PUPPY NAMED THOMAS (notice the assumptive close used by naming the puppy already).
Now, imagine one of my children approaching you with the same excitement. “HEY. LOOK AT THESE PUPPIES. WILL YOU BUY ME ONE?” Does it work? Of course not. There is no relationship. Excitement is great and I am sure that they’ll make you smile, but are you really concerned about their happiness? So remember the same with your prospects. Form the relationship first. What is important to them? What are they looking to achieve? Asking questions like these will naturally form a relationship between the two of you. There is a quote that says, “Give everyone what they need and you’ll get everything that you want.” Once you discover the “need” then show them with excitement.
Examples:
“YOU HAVE GOT TO SEE THE KITCHEN IN THIS HOME!”
“YOU MUST SEE THIS NEXT HOME!”
“YOU’RE GONNA LOVE THIS!”
And most importantly, ask for the sale!
“WHAT A PERFECT HOME FOR YOU! LET’S GO MAKE IT YOURS.”
Bryan
http://BryanSoward.com
As a father of 4 children I find myself saying “no” frequently upon the multitude of sales pitches that get thrown at me by my kids. The advertisers on the Cartoon Network, Disney Channel and Nickelodeon have partnered with my children to sell their products. Sadly though, they do not get paid commissions. My kids are the best sales people that I have ever encountered and they get paid nothing. However, their persistence does pay off at times and they get paid with the product that they want.
My children have the luxury of familiarity with the prospect (me) that most other sales people don’t have. Face it, we get anywhere from 15 minutes to 2 hours with someone while trying to sell them. The kids also have the knack of knowing which decision maker to go to for a request. As salespeople, we are often left playing psychologist with our leads in trying to determine the dominant decision maker. Another example of the benefits of being a kid salesman is that they also know my hot buttons.
I am at a severe disadvantage when it comes to saying “no” to my kids! Of course, I don’t want to spoil them and buy them everything that they want. I couldn’t afford all of it or the bigger home that would be required to store it. Many times though, I give in and allow myself to be sold.
What makes these children perform like master salespeople? Are they logging onto the internet and reading http://blog.bryansoward.com or buying e-books like the one at http://bryansoward.com or something? (Pardon me for the cheap plugs.) Did the Zig Ziglar CD’s that I played for them while in the womb work? (This actually never happened.) All silliness aside, you get my drift. The answers are “No” and “No”.
First of all, they have established a relationship. I am smiled at, spoken to softly, hugged, kissed, tackled playfully, cuddled with, etc… on a daily basis. I would not suggest that you hug, kiss, tackle or cuddle with your prospects though. But let me ask you, are you smiling and talking kindly to your prospects daily? I can only imagine how I would feel if any one of my kids tried to sell me like this: “Hey dad. Look at these pictures of the puppies. Will you buy me one?” That’s an easy “no” for me. Thanks kids. I just saved a lot of money on vet bills, food, chew toys, carpet replacement, etc…….
Wait a minute. I just gave 4 objections. But they don’t get a chance to overcome them because they already sold me the wrong way in the first 5 minutes. So, let’s back up.
How does it really go down? “DADDY! DADDY! DADDY! (All caps are supposed to signify excitement here.) LOOK AT THESE PUPPIES! PUPPIES! PUPPIES! YEAH! I WANT A PUPPY NAMED THOMAS (notice the assumptive close used by naming the puppy already).
Now, imagine one of my children approaching you with the same excitement. “HEY. LOOK AT THESE PUPPIES. WILL YOU BUY ME ONE?” Does it work? Of course not. There is no relationship. Excitement is great and I am sure that they’ll make you smile, but are you really concerned about their happiness? So remember the same with your prospects. Form the relationship first. What is important to them? What are they looking to achieve? Asking questions like these will naturally form a relationship between the two of you. There is a quote that says, “Give everyone what they need and you’ll get everything that you want.” Once you discover the “need” then show them with excitement.
Examples:
“YOU HAVE GOT TO SEE THE KITCHEN IN THIS HOME!”
“YOU MUST SEE THIS NEXT HOME!”
“YOU’RE GONNA LOVE THIS!”
And most importantly, ask for the sale!
“WHAT A PERFECT HOME FOR YOU! LET’S GO MAKE IT YOURS.”
Bryan
http://BryanSoward.com
Are you being affected?
I am often asked by friends and family outside of the Real Estate business, "Are you being affected by the current market?" It reminds me of the time that my radiator went kaput on me while driving on the freeway. A nice couple driving next to me were kind enough to point out that my car was "smoking." I am glad that they did or I would not have seen the "smoke" coming out of my hood and through my air vents. I guess that they figured that I was driving with my head hanging out of the driver's side window for fun. Seriously though, they mean well and I appreciate their attention.
Their concern is justified by what they are now realizing by all the media buzz about the recent bank failures. However, this is what we, in New Home Sales, have been living on a daily basis for the last 18-24 months. We have seen very well qualified friends on the construction and administration side of the business laid off. We have seen Realtors and customers become more demanding. We continue to realize that we are still expected to sell and close homes, not only to save peoples' jobs other than our own, but to keep the company in business.
This is the frustrating side of it all. For the most part, we have limited control of the market. Besides voting for "friendly" lawmakers to the Real Estate and Mortgage markets, what else can we do? I struggle with responding to the initial question from our concerned friends and family. First of all, yes, we are affected by the recent bank failures as a result of the sub-prime meltdown. It's a simple answer but we can not leave it there. No one likes to hear doom and gloom. In fact, they are less likely to want to be around us if that is all we had to say. What are we going to do about it? That's what they want to hear. And, again, we can't tell them that we'll just muddle through it and wait on someone else to fix it.
I've sat through hundreds of meetings over the last 24 months addressing these issues. Marketing managers are on full-tilt. There has been no stone left unturned. These men and women struggle with increasing signage and advertising while cutting their budget. Each and every expense must be justified in order to continue spending. You name it and we've tried it: billboards, permanent directionals, temporary directionals, human directionals, flyers on windshields at the local shopping venues, flyers in local Real Estate offices, community booklets, Realtor parties, community parties, trade shows, parades of homes, wedding fairs, website improvement, home buyer seminars, banners, balloons, blimps, bus advertising, new model homes, television commercials, on-air radio advertising, knocking on doors and lest we not forget, incentives for buyers, increased commissions and bonuses for Realtors. I know that I have left something out but let's leave it at that.
Construction managers are more or less on a maintenance mode. They are building less homes and are maintaining more finished inventory than ever before. It is more common now to hear a builder ask us about sales than ever before. In fact, I received a call the other day from a construction superintendent letting me know that someone was stopped in front of a completed spec.
Sales managers are on a continual basis searching for motivation, training and opportunities to improve sales teams. Talented sales people are worth their weight in gold right now. I have interviewed dozens of candidates over the last year to find many people unwilling to leave their backlog of 10 buyers. It used to be that someone would have $50,000 plus in their backlog and they would consider transferring communities or builders. Now, no one wants to leave the $15,000 - $20,000 on their books. Times definitely are uncertain.
This brings us back to the point. What are we going to do about it? What can we tell our friends and family to give them a sense of hope for the economy and for our futures? Most of you are probably like me or you would not still be in New Home Sales if you did not love it. So let's agree on this.
We will continue to go to bed each night hoping in tomorrow. We will continue to wake up in the middle of the night and try to remember if you called Prospect X back. We will wake up each day, say our prayers, and look forward to the new day. We will overcome our fear of sitting in the sales office with nothing to do. We will drive to work and check our signage to ensure our best chance at getting that one sale. We will stop at a Real Estate office in hopes of talking to that Realtor that is showing homes that day. We will ask them to come to our community. "Just give me a chance," we will say to ourselves. We will open our models, turn on the lights, straighten the bedspreads, sweep the entryway, check messages and emails, prepare our community information neatly and best of all, prepare a contract package. We will place that package somewhere in plain sight like a present under a Christmas tree.
The rest of the day will consist of delivering flyers, calling prospects and sowing seed wherever we can find land whether it is fertile or not. We will search online for an answer to whole dilemma while speaking to ourselves about it being a "simple market correction" and stating "this has got to be the bottom; we are on our way back up." Then, when that car pulls in front of our sales office, we'll get a little jump in our chest. Like a fisherman that feels a nibble on his hook, we will stand up straighter and try to control our excitement. We'll put on our best presentation and earn the right to ask for the sale. Then we'll ask.
As we drive home each evening, we will re-live the moments of the day and prepare to be better tomorrow. After all, "this has got to be the bottom." We will then put a smile on our face and greet our family as we walk through the door. It's tough out there but we won't let them see it.
So, our answer to our friends and family is this: "Yep. It's tough right now. But we are doing everything possible to be successful in a challenging time. Since the beginnng of time, man has faced adversity. Those that look for solutions rather than complaining about the problem are the ones that end up on top when the adversity has passed. Those that commit to weathering the storm are the ones that re-build sooner after it has gone. We will be problem-solvers and solid rocks through this time. We will survive and then we'll thrive." Proverbs states that "the power of life and death is in the tongue. Those that love it will eat its fruit." What are you talking about? Life or death? I choose to eat the fruit of life.
Bryan
bryansoward.com
Their concern is justified by what they are now realizing by all the media buzz about the recent bank failures. However, this is what we, in New Home Sales, have been living on a daily basis for the last 18-24 months. We have seen very well qualified friends on the construction and administration side of the business laid off. We have seen Realtors and customers become more demanding. We continue to realize that we are still expected to sell and close homes, not only to save peoples' jobs other than our own, but to keep the company in business.
This is the frustrating side of it all. For the most part, we have limited control of the market. Besides voting for "friendly" lawmakers to the Real Estate and Mortgage markets, what else can we do? I struggle with responding to the initial question from our concerned friends and family. First of all, yes, we are affected by the recent bank failures as a result of the sub-prime meltdown. It's a simple answer but we can not leave it there. No one likes to hear doom and gloom. In fact, they are less likely to want to be around us if that is all we had to say. What are we going to do about it? That's what they want to hear. And, again, we can't tell them that we'll just muddle through it and wait on someone else to fix it.
I've sat through hundreds of meetings over the last 24 months addressing these issues. Marketing managers are on full-tilt. There has been no stone left unturned. These men and women struggle with increasing signage and advertising while cutting their budget. Each and every expense must be justified in order to continue spending. You name it and we've tried it: billboards, permanent directionals, temporary directionals, human directionals, flyers on windshields at the local shopping venues, flyers in local Real Estate offices, community booklets, Realtor parties, community parties, trade shows, parades of homes, wedding fairs, website improvement, home buyer seminars, banners, balloons, blimps, bus advertising, new model homes, television commercials, on-air radio advertising, knocking on doors and lest we not forget, incentives for buyers, increased commissions and bonuses for Realtors. I know that I have left something out but let's leave it at that.
Construction managers are more or less on a maintenance mode. They are building less homes and are maintaining more finished inventory than ever before. It is more common now to hear a builder ask us about sales than ever before. In fact, I received a call the other day from a construction superintendent letting me know that someone was stopped in front of a completed spec.
Sales managers are on a continual basis searching for motivation, training and opportunities to improve sales teams. Talented sales people are worth their weight in gold right now. I have interviewed dozens of candidates over the last year to find many people unwilling to leave their backlog of 10 buyers. It used to be that someone would have $50,000 plus in their backlog and they would consider transferring communities or builders. Now, no one wants to leave the $15,000 - $20,000 on their books. Times definitely are uncertain.
This brings us back to the point. What are we going to do about it? What can we tell our friends and family to give them a sense of hope for the economy and for our futures? Most of you are probably like me or you would not still be in New Home Sales if you did not love it. So let's agree on this.
We will continue to go to bed each night hoping in tomorrow. We will continue to wake up in the middle of the night and try to remember if you called Prospect X back. We will wake up each day, say our prayers, and look forward to the new day. We will overcome our fear of sitting in the sales office with nothing to do. We will drive to work and check our signage to ensure our best chance at getting that one sale. We will stop at a Real Estate office in hopes of talking to that Realtor that is showing homes that day. We will ask them to come to our community. "Just give me a chance," we will say to ourselves. We will open our models, turn on the lights, straighten the bedspreads, sweep the entryway, check messages and emails, prepare our community information neatly and best of all, prepare a contract package. We will place that package somewhere in plain sight like a present under a Christmas tree.
The rest of the day will consist of delivering flyers, calling prospects and sowing seed wherever we can find land whether it is fertile or not. We will search online for an answer to whole dilemma while speaking to ourselves about it being a "simple market correction" and stating "this has got to be the bottom; we are on our way back up." Then, when that car pulls in front of our sales office, we'll get a little jump in our chest. Like a fisherman that feels a nibble on his hook, we will stand up straighter and try to control our excitement. We'll put on our best presentation and earn the right to ask for the sale. Then we'll ask.
As we drive home each evening, we will re-live the moments of the day and prepare to be better tomorrow. After all, "this has got to be the bottom." We will then put a smile on our face and greet our family as we walk through the door. It's tough out there but we won't let them see it.
So, our answer to our friends and family is this: "Yep. It's tough right now. But we are doing everything possible to be successful in a challenging time. Since the beginnng of time, man has faced adversity. Those that look for solutions rather than complaining about the problem are the ones that end up on top when the adversity has passed. Those that commit to weathering the storm are the ones that re-build sooner after it has gone. We will be problem-solvers and solid rocks through this time. We will survive and then we'll thrive." Proverbs states that "the power of life and death is in the tongue. Those that love it will eat its fruit." What are you talking about? Life or death? I choose to eat the fruit of life.
Bryan
bryansoward.com
Goal Setting From A Child's Perspective
I started playing ball at Rice one year before Larry. My last known playing size was 6'3" 245 lbs; Larry was listed at 5'11" and 210 lbs. We were both fast and reckless on the field, talented, gifted, fundamentally sound, and strong. One of us made it pro, the other one didn't.
When I was 4, my brother got a new Huffy for his birthday. I was still on an old bike with training wheels. Of course, I wanted to be on a new bike like my older brother. My parents lived paycheck to paycheck and did not want to buy a new bike for a 4 year old that didn't even know how to ride. But I begged and pleaded anyway. To no avail. However, the silver lining to the "no" that I kept receiving was when my dad said, "Son, when you can ride a bike without training wheels, I'll buy you a new bike."
This past week while on vacation, I was spending the day, like most days off at the pool in my backyard. I've got 4 kids aged 12 ( Austin ), 10 ( Hunter ), 4 ( Taylor ), and 2 about to be 3 (Skylar). Now, Austin and Hunter are capable of swimming and staying out of any trouble in the pool. Taylor has recently learned and is very confident and capable in the water. We have to keep an eye on her just to make sure she doesn't get herself into a jam. Skylar, on the other hand, is able to swim short distances of 10-15 feet. He feels most comfortable near the edge of the pool.
Throughout the week, I liked to challenge the older kids to underwater games like sitting on the bottom, standing on their hands the longest, walking on their hands, or simply, who can hold their breath the longest. I noticed Skylar many times hanging on the edge and dunking himself underwater only to come up quickly after to catch his breath. My wife, Tracy, said to me, "Look at him, he's testing his limits." I agreed proudly. As the days progressed, I noticed that he was letting go of the wall now, but would quickly grab it as he surfaced.
Then, on Thursday, I was sitting in the hot tub enjoying the laughter and splashing with my wife, Tracy. Without worry, I was keeping and eye on Skylar while he continued his plunge, release the wall, resurface and grab the wall. So he continued. Suddenly, he burst up through the water with enough energy to grab 100% of my attention. He was smiling immensely and could not wait to catch his breath until the water ran off his face. As he drew in his smiling breath through pool water running off of his head, he exclaimed, "DADDY! I TOUCH THE BOTTOM ALL BY M'SELF!"
Of course I praised him for his accomplishment thinking of how far he has come lately with his confidence and ability in the water. He continued. Then, I realized. This boy had a goal! He was excited because he had accomplished a goal! I turned to Tracy and asked, "when do we stop growing?" My wife is an extraordinary person in regards to knowing what she wants and getting it. She responded simply, that we hadn't. I said, "No, humans adults, why do they stop growing?" She let me ponder that thought.
Over the next couple of days, I thought about the fact that we don't actually ever stop growing and learning. It's all about pain and pleasure no matter how young or old we are. Either we experience enough pain to stop what we are doing or we experience enough pleasure to continue. Pain, however, can stop us from taking risks. Trying the unknown can be painful so why should we try that? A toddler doesn't have that choice. HE OR SHE MUST CONTINUE TO TRY THE UNKNOWN! It is in their genetic make-up or they will forever remain in that state. Why should we, as adults, stunt our growth by not trying the unknown?
During the past week, I have learned that my wife is superwoman. I have experience kids peeing, pooping, fighting, arguing, whining, falling down, running through the house only to run into someone else or something, getting cut, getting bruised, getting thirsty, getting hungry, eating, and getting hungry and eating again before I could ever eat a meal. In addition, my 2 year old has opened every board game owned in the Soward home (while I was napping) and scattered pieces throughout 2 rooms. And, let me mention that he also personally opened a Smithsonian Institute Crystal Growing Chemistry Set owned by my 10 year old and managed to spread the powder throughout my study, foyer, hallway, and 2 bedrooms. Believe me, he experienced a little pain to remind him not to do that again!
As I look back through the week and thinking of Skylar's accomplishment in the pool and explorations in the home, it makes me realize this is simply the process that God intended. This is how we grow. Sometimes we are praised for trying something new. And there are times where we are hurt. No matter what the day brings, we are always growing and learning. The difference betweent the champions and losers is that champions apply the lessons learned.
Several years ago, I was speaking with my former teammate Larry after a UT-Rice football game. Larry now plays for the New England Patriots and was off that weekend. He has 3 Superbowl rings. He has been playing pro ball since 1996. He was undrafted after his college career ended. However, he was invited to attend the training camp for Jimmy Johnson's Miami Dolphins. This was Jimmy Johnson's first year coaching the Dolphins and was well know for his strict style. After the first pre-season game, Coach Johnson told reporters that only 2 people have made the team thus far, "Dan Marino and Larry Izzo." You see, Larry was on the kick-off return team, not known for its glamour, and had knocked down an opponent running at him full speed. He got up and knocked down a second opponent. In the world of professional football and all of its talent and athleticism, only the spirt of a warrior and the heart of a champion could accomplish this.
Larry reminded me in our conversation that "only if I hadn't gotten into the doghouse (with a former college coach)" I could have made it. Knowing what he knows now, I had the talent and the recklessness that needed to be had in order to be, at least, a special teams standout. It was bitter-sweet. Part of me wishes that he would have said that I wasn't talented enough to make it rather than blaming it on the "doghouse." You see, I put myself in that "doghouse." At some point I committed my life to being what I called a "fatally-flawed hero." However, no one saw me as a hero. I drank and partied away my career because I was scared to set and miss a goal. I was no longer the 4 year old boy that was told, "When you can ride a bike, I'll buy you one," and learned to ride a bike without training wheels in less than a week. I was the guy with the talent, that the people with the heart wish they had the talent of. Several years ago, before Larry and I spoke I had come to realize this and turned my life around. It took me 12 years to get up and seek another opponent to knock down. Every now and then, I am reminded to have the spirt of a warrior and the heart of a champion. This week I was again by a 2 year old.
Like Larry, Skylar knocked down one goal last Thursday by touching the bottom of the pool and by Sunday had actually sat on the bottom of the pool while I watched him through my goggled eyes smile at me underwater because he had just knocked down his second opponent.
We face adversity each and every day. That is the Devil's plan. God's plan is for us to get up, show up, knock 'em down, and knock 'em down again. You have a goal and that is to be the best in all that you do. In faith, family and work, be the best that you can be. There are opponents in your way. Find out who or what is in your way and knock them down one at a time. But first, knock down the opponent in your mirror named Fear. Without taking that one out, the rest will simply run by you. Stand and believe on the words written and repeated more than any other throughout the best selling book ever written, "Fear Not."
bryansoward.com