California Real Estate January/February 2010 : Page 19How these brokers repositioned their businesses | By Elyse Umlauf-Garneau “We’re all independent contractors, but the mind-set isn’t there and the lines have been blurred for so long,” she says. “Brokers don’t help new licensees think of themselves as being in business for themselves.” She see licensees saying, “Feed me, train me, and howare you going to make me a success?” That’s not a recipe for success. Berg’s model includes principles,such as generous commission splits, an expectation of a high level of marketing savvy and experience, excellent customer service, and self-reliance. San Diego Castles has no chic office space, just an executive suite that agents share the cost of and visit rarely. Agents work when,how, and where they wish. “The idea is, we’ll give you high splits, but in return you’re in charge of your business. We’ll tell you the tools that are available and where you can learn, but we’re not going to pay for it,”comments Berg. Among Berg’s duties as a brokerand ownerare keeping agents informed about legislative and contractual issues, reviewing files, meeting DRE requirements, and being available as a sounding board and mentor. “There’s something inspiring and motivating about taking a higher level of personal risk and having the promise of higher rewards,”she comments. “Give someone 100 bucks to play craps and they don’t care about the game. When it’s your own $100, the game changes.” Berg expects that large brokerages also will be forced to change. “They’re going to have to be leaner, meaner, and revolutionary,”she says. “The model of a big broker will lookand feel different, but their challenge is changing an entire cultural mind-set,” she believes. 3. 3. Keeping People in Their Homes Besides getting people into homes, Legacy Real Estate & Associates in Fremont is helping to keep them in their homes. The company started an in-house loss-mitigation department that serves as a liaison between lenders and property owners facing challenges servicing theirmortgages. The goal is to secure loan modifi cations, and Legacy owner Bill Aboumrad foresees such business being strong through 2011. Legacy does a thorough fi nancial assessment of a client’s situation, looking at expenses even as small as the weekly grocery bill, to get a handle on the true debt-to-income ratio. Based on that assessment, it determines precisely what clients can afford to pay for housing and whether they’re candidates for a loan modification. Legacy then manages the entire process, putting together an appropriate lenderpackage,and taking care of the chronic follow- ups in a process that, depending on the lender, can require up to four months. It works with clients’ lenders to develop a solution that can entail lower interest rates, extensions of amortization periods, or reductions of principal mortgage balances. “We eliminate the stress and the paperwork, and we don’t charge up-front fees,” Aboumrad comments. If Legacy is successful in getting a modifi cation, clients pay $3,500 for the service. One success story. One loan modifi cation reduced a client’s monthly payment from $2,200 to $800. “We haven’t lost one to a foreclosure yet,”comments Aboumrad. Legacy aims to do 150 to 200 such modifi cations in 2010. The strategy provides all-around benefi ts. “We help someone save their home and turn a loan into one that is performing for the lender,” he says. It prevents consumers from being preyed upon by scam artists, aids the real estate recovery, and creates happy clients who potentially will generate future referrals. 4. 4. Looking Inward Morale.Motivation. Education. Valerie Torelli of Torelli Realty, Costa Mesa, is zeroing in on this trio, fi guring that if the 14-person company can build effectiveness, efficiency, and knowledge within the office, everyone will be more successful in the field, which translates into greater company success and personal satisfaction. “We all sat down to discuss the need to realign our priorities to become better at client care,” she comments. Among the issues she’ll be addressing: Effective Communications Torelli aimed for a common philosophy in the office, so everyone, she says, “was operating on the same frequency.” One strategy is having everyone read the same business and philosophy books and discuss ways they can use the theories to improve day-to-day business. One example is The Four Agreements by Don Miguel Ruiz, which formed four rules that everyone in the offi ce embraces. They are: 1) Be impeccable with words; 2) Don’t take anything personally; 3) Don’t make assumptions; and 4) Do the best job you can. “When things aren’t good in the offi ce or there’s a problem, it’s a way of looking at things,” comments Torelli. As a result, she notices a new sense of openness, creativity, and honesty. “There will be no downsides orbad ramifi cations from speaking honestly,” she adds. Technology and Communications A writer is managing blogging and social networking for the company, and a PR person is identifying media opportunities Continued on page 30 JANUARY/FEBRUARY 2010 • CALIFORNIA REAL ESTATE 19 Publication List |
