First off this is by no means a comprehensive guide to avoiding rookie blunders but it is definitely a starting point for any of you thinking of becoming an agent or those of you just starting out in the real estate world. The more informed you are the better off you’ll be!

1) Not interviewing with several brokerages / Selecting brokerage for wrong reasons
– One of the most important decisions you face as a new agent is choosing which company you will go to work for. Many new agents will simply go with the big-name companies they’ve seen on billboards around town or on TV commercials without talking to other brokerages. It is in your best interest to interview with at least a few different brokerages for several reasons:

• Get to meet the broker and see how well you get along
• See what differentiates one brokerage from another (training, marketing, commission plans, etc)
• Do they offer a mentoring/start-up program?
• Fees / Floor time / Technology / Health Insurance / etc.

With interviews taking at MOST one to two hours you are definitely better served by interviewing with at least a few brokerages.

2) Start-Up Fees and Expenses
– This one can really affect new agents right out of the gate. In addition to RE school, which can run several hundreds of dollars, you also have to pay for state exam(s), licensing fees, association/board fees, usually some sort of “office” start-up fee, lockbox key fees, and so on and so forth.

You MUST be prepared to pay these up front and still have enough reserves to help you through the rocky transition phase most new agents go through. The general rule of thumb is a 2-4 month “Just In Case” reserve fund. Marketing and advertising expenses should also be taken into consideration here if that is an avenue you wish to pursue. On a side note, be sure to keep good records of all of your expenses as well as all of your receipts!

3) Not Having a Clearly Defined Plan of Action
– So you’ve passed the exam, been hired with one of the several brokerages you’ve interviewed with, gone through all of the paperwork, had your business cards / riders / name badge / open house signs ordered, gone through office orientation, and you’re finally sitting in an empty cube in the office! …. Now what?…

This is probably the BIGGEST cause of new agent dropout because without a clearly defined plan of action you will NEVER be as successful as you want to be. Now to be fair, most brokerages will offer some sort of training that will help you layout some sort of basic business plan. Do yourself a favor and PAY ATTENTION! I’ve had success by generally following these points:

• Setting Goals - By setting goals you always have something tangible to work towards and can constantly tweak your efforts to make sure you are progressing steadily. For example if you have a gross commission goal for the year you can work backwards and determine how many new listings you need to take every month to keep up with your goal; if you fall behind in taking new listings you will see it immediately and can take immediate corrective action.
• Budget - This can be broken down much further but at the highest level you need to make sure you allocate sufficient funds to whichever avenue you deem most appropriate and be sure you stick to your budget. Advertising/Marketing can take up a large majority of this.
• Marketing - As a new agent your biggest hurdle will be getting your name out there and drumming up new business. If you already have a large Sphere of Influence (SOI) you are off to a great start and can start there, but if you don’t you have that much more of a challenge to overcome! There are many types of marketing to pursue, among them Direct Mailings, holding Buyer/Seller Seminars, taking Open Houses, etc. Be sure to hand out business cards every chance you get and let everyone you meet know that you are in the real estate market.
• Scheduling - This one is definitely the most important for myself. Have you ever found yourself constantly busy throughout the day yet when you get home you find you really haven’t accomplished all that much? Having a schedule that clearly outlines what, when and why you are doing things will help greatly in Real Estate. Take the time to sit down each morning to look over your schedule for that day to mentally and physically prepare yourself. It helps!

I hope these basic tips are helpful to some of you!

Technorati Tags: Real Estate Agent Mistakes, Rookie Agent, Top 3 Mistakes

Tucson Real Estate - Growth Continues
by Michael Krotchie

Salutations everyone! Just a brief update on the continuing growth of Tucson real estate market in Pima County, in particular the Northwest side of town. The town of Marana, which covers approximately 120 square miles, has been experiencing rapid growth the past few years. With a soon-to-come Town Center consisting of a mix of commercial, residential, and corporate/public uses the town is anchoring a solid foundation of a market that is already attracting large developers eager to take advantage of the swelling population.

Tangerine Road Developments

One of the more exciting developments to come is the Westcor development, a 295-acre spread located at the I-10 and Tangerine Road interchange. This large commercial project is tentatively planned to include a regional mall, an automall, a theater and a hotel. How exciting! With a new grocery complex (Fry’s) starting construction in Gladden Farms later this year and a planned elementary school in the same area, Marana’s vision for growth is becoming a reality. And this is just west of I-10!

East of I-10 on Tangerine Road is the Dove Mountain community which is nestled at the foothills of Dove Mountain (where the 2007 PGA Accenture World Match Play Tournament was held in February of this year). There are talks from Ritz-Carlton to construct one of their largest resorts in the WORLD in Marana!

Twin Peaks Road Development

Approximately 10 miles south of Tangerine on I-10 the town of Marana is planning to finally begin construction on the new Twin Peaks Interchange. Slated for completion in 2009, this interchange will be anchored by a proposed $100 million, 1.3 million square-foot retail “power center” called the Marana Spectrum. This 170-acre site just east of I-10 is planned to have approximately 100 stores anchored by at least 3 stores of 100,000 square feet or more.

Trico-Marana Road Developments

There are also plans for a new I-10 interchange north of Trico-Marana road (a few miles north of the Marana Road Interchange). This interchange is being built by the developers of the Villages of Tortolita to facilitate access to their upcoming development. The Villages of Tortolita will consist of 6,500 homes and will include shops, parks, apartments and office space.

With all of the above planned developments beginning in the near future the Town of Marana is laying the foundation for a rock-solid commerical, residential and luxury community. Big-name developers are taking notice and are eager and willing to take part in the explosive growth that lays ahead. When the major I-10 renovations are completed from Prince to 29th Street (from my previous blog) Marana will be a major center of attraction for both residents and businesses alike.

Technorati Tags: Tucson Real Estate, Tucson growth, Gladden Farms, Twin Peaks interchange, Villages of Tortolita

For those of you who don’t live in Tucson and even for those of who do live here the construction situation with I-10 is nearly in full swing. The Arizona Department of Transportation (ADOT) recently began a nearly three year re-development of I-10 from the Ruthrauff exit to the 29th Street exit.

The current 3-lane freeway will be expanded to 4 lanes in each direction and the Prince Road interchange will also be modified to allow Prince Road to pass over the railroad tracks and I-10 (the interchange solution is still being debated and may be left as is). ADOT is claiming an 18 month timeline for the Ruthrauff - Prince construction with Prince Road being completely closed under I-10 for ~6 months.

The construction with the most immediate impact will be the stretch of I-10 between Prince and 29th Street. Beginning in June 2007 and continuing through the Spring of 2010 ALL freeway ramps will be closed between these two points with I-10 serving as a thoroughfare as ADOT implements a 4th lane in each direction. Two freeway lanes in each direction will remain open for the duration of construction and on the frontage roads a third lane will be open each way to accommodate the increased traffic. To be clear, anyone who wants to get off of the freeway between Prince and 29th Street will NOT be able to during construction.

Please advise clients (especially out-of-state) of the current construction situation; driving cross-town will definitely be more of a hassle with the increased surface street traffic. Driving on I-10 from the NW side to the SE side may be slower or faster; although they are closing down one lane on the freeway there will be no one merging onto or getting off the freeway.

For up-to-date information visit ADOT’s website.