D-Social Mortgage Blog

 Prior to diving into the world of commission-based salaries, I was a recruiter for about 10 years during the 1990's. As a recruiter I recall a sizable portion of my time focused on networking, networking, networking which of course included countless calls.  I used to refer to my phone as an oxygen mask; I needed it to survive.  The internet was new and very slow.  I remember having to dial-up to access anything, and that in itself took forever.  Back then to develop a rapport with clients, joining Networking Groups was essential.  Much has not changed in this regard.  Networking continues to explode in the after-hours aspect of the day over appetizers, cocktails and the exchanging of business cards.   The next day was much like clock-work.  Enter the info into your rolodex, send out your "nice to meet you card" and schedule a follow-up meeting.  Those were the days.... Or were they?

As I gained more experience as a recruiter, I recall it being a hit-or-miss based on my actions or lack thereof.  If I didn't take the time to engage in conversation, if I were robotic in passing out my cards, and if I didn't take the time to make my follow-up calls, all my time was a waste of time.  Always the hard way, I learned and understood the value of connecting.  Being proactive yet realistic is also key, meaning not to expect a client in each person but to safely assume all new meets could be potential clients.  Now that I could do. Like dominoes, each person is a potential connection... the rewards of Networking.  

I left the world of recruiting for the life of Home Mortgage Loans and Real Estate. Quite frankly, I do not see any differences-in fact, I see similarities... assisting consumers, customer service, referral, rapport building, and back to networking, networking and networking. My forte I assumed. But I felt that I was missing something during this volatile mortgage and real estate market. I heard about the crave of networking sites, such as LinkedIn, Wanna Network Myspace, Facebook, etc. My former recruiter colleagues would share that this is the new way of recruiting and networking... so I signed up and thought I knew all about it. I got disappointed because I wasn't getting any responses. I thought to myself, "Whats the big deal?" This may work in recruiting/staffing, but not in the Home Mortgage Loan and Real Estate industry.... So I let my nice sites go untapped... Until.

One evening I was relaxing and received a call from my business partner who was raving about this book on Social Networking. He was excited about some of the tips. Well he got me all excited that I went to purchase the book.  I'm sure I don't need to tell you that remaining afloat with the latest innovative technology is always a challenge.  And then I read this book that left me inspired:  The Truth About Profiting From Social Networking by Patrice-Anne Rutledge. The moment I read the synopsis, I knew this is going to be the way we do things in the 21st century and it is applicable to the Home Mortgage Loan and Real Estate industry.  Amazingly, it is not that different from networking in the 90's.  The added touch is utilizing the network; a simple concept that could open the doors to endless possibilities in networking.  Most definitely the way to go. 

Has anyone ever felt the same or thought they knew everything about Social Networking?

The Federal Reserve, taking a break from its aggressive rate-cutting policy, chose not to alter key interest rates Wednesday, leaving the Fed Funds rate at 2.00% and everyone wondering where interest rates are headed next.

Since last September, the Fed has cut rates seven times for a total of 3.25%. However, many experts believe that the Fed's decision this Wednesday, along with comments from the meeting itself, indicate an increased concern over inflation.

This means the Fed could start increasing rates as early as its next meeting, which takes place in August.

The Fed is in a quandary. The economy has slowed, led by a decline in home sales and rising inflation, stemming primarily from increasing energy prices. The Fed's primary role in relation to the economy is to combat inflation and preserve economic growth. To combat inflation, the Fed will ultimately have to increase interest rates in coming months.

What Does This Mean to You?

If you're client base is looking to buy a house, consider these key points:

• Home prices in some areas are at five-year lows, while personal incomes in that same period have increased. Homes are more affordable for many right now, particularly first-time home buyers.
• Sellers are extremely motivated and many buyers in our area have benefited from the unbelievable deals that exist today.
• Experts foresee a strong rebound in home prices when the economy begins to recover, according to a new report from the Joint Center for Housing Studies. That means buyers today will be sitting on valuable properties tomorrow. Remember, annualized appreciation for homes exceeded 6.35% from 1940 to 2000.

Housing booms follow housing busts - and the savvy buyers aren't afraid to jump into a tough market. But these savvy buyers know that homeownership is a long-term investment. Ultimately, population growth and demographics point to a stronger housing market in coming years.

Even if you're client base is not looking to purchase a home, opportunities still exist. With the Fed taking a breather, this doesn't mean you should be taking a break. It's never been more important to create a financial plan that makes the most sense to your client databases long-term goals.