Transcript:

Kevin:                    I have a question real quick sorry to interrupt you but what about like, I think the question too is like somebody who’s got 20% down, you might have like 15% or they want to put maybe a little bit more down.

 

Billy:                      Buy now, if you’ve got that and you can buy, buy now.

 

Kevin:                    And then the other part of that too is like well they’re saying well I’m going to save money because I want to get more money down so I can reduce my…

 

Billy:                      Okay I got you, I know where you’re going with this and to answer that question I can do an analysis and it’s going to be incremental the amount of money that you would save if you were, because when you amortize alone over 30 years the payment is miniscule when you put down an additional 5% really. So your appreciation that you’re going to get is going to be far better, so you’re going to not only lock in a lower interest rate but you’re going to grab it when the markets lower because we know that the combs are going to continue to appreciate, so unless your propensity to save is you can save 5% a month which I seriously doubt, you buy now 5% of the purchase price is what I’m saying.

 

Kevin:                    And then with rates going up, I mean if the rates are going up you’re going to have a higher rate.

 

Billy:                      Yes, you’re going to have a higher rate and you’re going to have a higher purchase price, because in a couple months we know that that home will be listed at or it’s going to go for more right?

 

Kevin:                    Yes, awesome. All right number two what’s number two taxes advantage.

 

Billy:                      What are the tax advantages to home ownership, so again I have conversations with first-time homebuyers all the time and they’re faced with two choices right, they can stay where they’re at and rent or they can look at purchasing a home, so they’re starting to think about that idea of making a purchase which is why they’re on the phone now. And so we have to do a comparison and I always ask, I ask a lot of questions right, so I always ask okay have you had your rent increased alright, by how much, how does that make you feel, people are usually pissed off when they’re rent increases, do you have pets, are you charged more for your pets, do you have any space a lot of times people are renting, they’re usually renting smaller units, smaller condos and they’re wanting to look at something with more space in a single-family residence.

So what I do is then do an analysis of what their current payment is versus let’s say they’re paying twenty seven hundred and they’re going to buy a house that’s five hundred and fifty thousand, they’re going to put 10% down their total payment would be thirty six twenty eight and they can write off a hundred percent of all of their interests that they pay on the loan. They can write off all of the property taxes that they pay on their loan, and if they make less than one hundred nine thousand dollars as a joint couple they can write off the mortgage insurance. So it’s case-by-case, but with that situation they’d save and I did an analysis eight hundred sixty three dollars a month and I do this for every single scenario that I send out to your our clients, and I tell them how much they save in taxes and it’s right there and then I subtracted against that thirty six hundred and it shows that hey them hey their total payment with tax advantages are now 2765, you’re paying twenty seven hundred dollars now your mortgage could be twenty seven sixty five when you consider the tax advantages what’s there not to like.

So I love to go over those tax advantages on a monthly basis, the other piece of the tax equation is what’s the new tax code like right, that’s been kind of an unknown and the way that code was written is you can tax deduct on a $750,000 loan you can write off all of the interest. So if you had a million dollar loan you could only write off the interest that you would be hang on $750,000 of that million, did I explain that right does that make sense?

 

Kevin:                    Yes, so if they can get a loan they can write off up to 750 thousand dollars of that loan.

 

Billy:                      Right yes, and that’s of January 1st 2018 moving forward and only 5% of the population is anticipated to be affected by that, so very small number I haven’t run into anybody yet that’s been affected by that but yes a small number there. Okay, so that’s tax advantages does anyone have any questions on that one?

 

Kevin:                    Questions? No questions.

 

Billy:                      Okay, so the third thing I wanted to talk about was how I can help you make sure you’re going to get paid on a deal and make sure you get paid fast, and so that was something that Kevin and it’s not rocket science Kevin it alluded to it at the beginning of the call where what we’re doing is we’re allocating underwriting resources, we are allocating processing resources to get our clients approved, fully underwritten approval before they find a property, before they start writing offers. And so how does that help you, that helps you because you can write the offer with a 17-day close you can write the offer with a no loan contingency, so I think that those two things are really going to help you guys out in the marketplace with multiple offer situation that we’re in, what do you think?

 

Kevin:                    Yes definitely, I mean it’s really important we talk about it all the time when we submit our offers, having the clients fully underwritten loan approved, having that part of it completed and being able to present that with our offer. And also being able to present you as a lender as a partner to help us with the process and reach out to the listing agent talk with them, explain the buyer situation, explain the strength of their financing and really help us get the offer accepted that’s crucial and I know that you’re big on doing that.

 

Billy:                      Yes, I’m glad you brought that up absolutely I love calling the listing agent, when you submit an offer the way to go is just get me the name, the phone number of the listing agent let me know when you sent it in and then I’ll follow up with a phone call I’ll introduce myself and instill a sense of security and the fact that I’m local, I’m going to get the deal done or fully underwritten, their qualifications are sound and we’re going to close this deal we are going to close it fast, everybody’s happy, everybody gets paid. If it’s part of many Domino’s, the Domino will make sure that it gets done.

 

Kevin:                    I was going to ask you real quick what can we do when we’re talking with our clients to coach them in regards to their financing, and I’d say we make an introduction to you like what are some things that we should be saying to them to help ease the transition and make their experience as positive as can be?

 

Billy:                      Awesome yes that is so important that you bring that up, because you guys helping me to then get a dialogue is really beneficial, I can reach out to these people all the time and a lot of times they’ll just ignore me, ignore my call what you say will help me to get on the line with them and then once I’m on the line with them that really helps that I can sell what I needed to do. But so to answer your question, what you want to be talking about is the fact that Billy can look at your situation and people are often apprehensive about talking to a lender and what I’ve learned is that they’re scared, they’re scared that they’re not going to get approved, they’re scared they’re credits not good enough, they’re scared their incomes not high enough.

And so that fear is what stops them from talking to me, and so we have to overcome that fear and the way to overcome that fear is what I need you to iterate and what I say as well is hey talk to Billy he’s going to do an analysis on your situation if you don’t qualify now, he’ll give you an understanding of what you can do to then become a homeowner and in your future. If your income is not high enough he’ll tell you where your income needs to be, he’ll recommend strategies to increasing your income, maybe bringing on a co-borrower, maybe bringing on a husband wife, a brother or sister. If your credit is not high enough he can do an analysis, I have a credit expert that a report I can run and I can show them if they had ten thousand dollars what’s the best use of that ten thousand dollars to then increase their credit score.

Well Kevin has a credit repair that we can recommend them to if that’s the route we need to take, let’s see so we got income credit and then finally assets, those are the three things that I look at as a lender to determine if you’re qualified. If you don’t have enough assets we can look at down payment assistance, if you need to save up that money I can tell you exactly how much you need to save or you can get a gift right people don’t know this they can may be ask mom or dad for gifts or somebody else to help them out. So those are the things that you can you can do to really help overcome fear and then have a conversation with me, and that’s the biggest thing.

 

Kevin:                    And then I know you’ve been meeting with quite a few of the marker agents you’ve met with Stephanie Kayla, you’ve been working with Ray, if we have specific questions and we have a particular situation like we just reach out to you, can we reach out to you I know that obviously you’ve been very open and willing to share but I know like you’re even willing to like drive and meet, sit down, go over stuff with me for coffee, where I’m in town like teaching about certain topics that are maybe more specific, so we can just reach out to individually.

 

Billy:                      Yes, I would love to sit down and have and sit down and meet with everybody. I love face-to-face meetings, I loved face-to-face meetings with buyers, I loved face-to-face meetings with you guys so I’m located in Downtown Walnut Creek we’re on the sixth floor of growers square building it’s right downtown, you’re welcome to come into the office and meet, I would be happy to drive out to Oakland San Francisco and you can always call or text me on my cell phone it’s 9162967000 as well as email, I’m working through my email all day.

 

Kevin:                    And then you can cover SoCal too right you can handle Orange County if you have someone there?

 

Billy:                      Not face to face but absolutely, I’ll make the phone call.

 

Kevin:                    I know that. So anything else you’ll like to share or that you will like to talk about?

 

Billy:                      That’s it, hey I spilled my guts right there.

 

Kevin:                    Awesome man.

 

Billy:                      That’s a lot of who I am and I’m very open and I’m always looking for strategies to do my job better and I’m always learning guys so hey that’s my perspective on the business, and that’s who I am.

 

Kevin:                    Really great man, like I said the time that we’ve got to know each other over the last few months has been really great, you’ve done some transactions for us and you’ve done a great job that’s why I wanted you to come on today.

 

Billy:                      Appreciate that thanks Kevin I feel the same way.

 

Kevin:                    And you guys anyone have any questions for Billy, Katherine just asked what your contact info I’ll share Billy’s contact info on slack so everyone has it, so that way you guys can keep it. Any questions, thoughts, ideas, suggestions that anyone has right now for Billy, speak now or forever hold your peace. Okay all right cool, well we’ll share the info no questions, really great man Billy thank you so much, if you want to stick around for the last five minutes we’re going to ask Eli and Rebecca to jump on and talk about home bids and how home bids is working for them, they’ve signed three listing agreements in the last week using homebits.com.

 

Billy:                      Yes, I’m going to stick around I’ll just put myself on mute here.

 

Kevin:                   Cool, so Eli jump in man.

 

Eli:                          Hey everybody, how are you doing Eli and Rebecca are here.

 

Rebecca:              Hey, I’m Rebecca I recently got my real estate license and started prospecting, calling sellers, expires and anyone that would talk to me about selling their home really, but after a few calls I realized that every other realtor of calling the same numbers hundreds of times, most of the time I would get an angry seller or just an upset person and a heavy sigh with a cold hang-up. So I went back and I worked on my scripts and most of you would as well, I finally got to the point where I found it confident and had a lot of less people hang up on me.

 

Kevin:                    So you guys, let’s talk about home bids, so you guys are using homebids.com and you guys were able to sign three listings in the last week, so what is home bids and then how’d you guys get three listings using home bids?

 

Eli:                          Absolutely, well the whole point is that we were in everyone shoes where we are trying to get sellers and at the end of the day we show up and we deliver an amazing presentation and every time we go through it we’re excited and we get the same question, how much commission do you charge, would you lower your commission and we go back and forth and we ended up not getting one of the listings a couple weeks ago for that reason. So we decided to get creative and we found home bids and that’s what we want to bring to you, essentially as we’re calling it doesn’t really matter where people stand, we call and say hey Mr. seller are you still selling one two three main street and it can be like no not at all I’m like well what if I bring you multiple offers above asking price and only eight days and I will only charge your three percent commission would you like to know more details about that, and whether it’s a yes or no whether they want to sell their home or not they want to talk about it.

They are like what is this like I’ve never heard of that before, and so what we’re doing is essentially home bids is changing the way the real estate industries is going and we are at the very beginning stages of that change, and Rebecca and I are two out of four nationwide agents that are able to certify people in the home bits process. So essentially the traditional ways to list a home is you get the listing, you put on MLS, you market it, you advertise it and then you wait and pray for someone to come in and you never really know what agents, what buyers are going to come in so not so much control over that process of the listing agent as we would like. So what home bids gives you is the ability to put your home on auction and it’s all done via home bids pretty simple process, you list a home you put on the market, you advertise your market in the same way and people have to go to your website and they register in order to bid on the property.

If the bidding goes 1,000 dollars at a time and people are able to set their maximum cap that they would like to pay so it’ll auto bid for them and then at the last day that’s where most of the action happens and you get a lot of people bidding. The beautiful part is for listening agents is that you get 3% commission, you get the whole chunk so you get paid more for doing a lot a lot less, you don’t have to run around last-minute to go show a home the Mike buyer can only see it at this time, nope I’m so sorry they’re going in an amount of eight days that we’re going to list this home, we’re going to have three to four open houses, two during a week two on the weekend, if you can’t see then we’re so sorry, they’re going to be definitely a lot of people there. The idea behind this is when somebody comes into a house all on their own, they see the house it’s empty you’re the agent you’re talking to them so wonderful, but what you’re missing in an open house what a lot of people get is they’re walking around the house and they see hundreds of other people walking around just as interested as they are and what that puts in their brain, that embeds the idea that this home is very sought-after it’s going to be a hot property and they probably need to expect to bid a little bit more.

So when they go as a buyer they can bid themselves or they can have their agents who doesn’t have to be certified or trained or anything simply go on our website, register and they can bid for their client or the client can bid themselves, it’s super easy. So what they get is transparency, there’s no more oh let’s submit an offer and wait what happens, this is you can literally see where the price is at every given moment. So they stay online they bid and we take the top three to five bids at the very end of the day, we see exactly who they are and we get to choose the best and highest bid or we can just send them multiple counteroffer keep the bidding, we’re going essentially we’re giving the seller all of these amazing opportunities to just bid up the price, yet people essentially gamble over the house and the people gets it, only one person can but we’re including a lot of people in here. Another wonderful thing is as the listing agent you don’t ever have to guess who the buyer is, before they can even bid on the website they have to submit their proof of fund and pre-approval letter in order to be registered and be allowed to bid on the website, so you know you are always dealing with quality buyers that’s wonderful.

And if a person doesn’t have those things they can simply register with their credit card and if at the end they are one of the top three bids they get 24 hours to get their agent to submit a purchase agreement with their term, so that we get from we can not only look at price what it turns as well. And often these are orphan buyers they don’t have an agent yet they just want to bid on the house and if they win they need a purchase agreement, so guess what I’m going to hand it to Rebecca or she’s going to hand it back to me or we can use one of our fellow Marka agents to write a deal, we don’t want to do land these deals but we definitely want to work with some marker people, so we may have even by early throw around. So we’re generating listings, we’re generating buyer leads in many different ways and at the end of the day you get a pretty transparent report of the whole bidding process so we can give to the seller and say hey look if even if the property didn’t sell for what you wanted, this is what the market tells you people are bidding and this is the highest absolute bid and it’s pretty convincing when you show him that bids like this and you show him how high the property is gone.

Of course that doesn’t happen, 99% of time we go above market value and what the asking price is and it works out wonderfully and at the end of the day people who didn’t win the house and they don’t have an agent then we can just absolutely call them and go ahead and help them out and get another property. So we’re getting a bunch of buyer leads, we’re able to secure sellers, you’re not interested in selling your home well let me tell you what I got and after we tell them that you’d want to talk to us, schedule a follow up call or just meet in person and just go for it. So in the last week, we have secured three out of three…

 

Rebecca:              And next week we have about five more listing appointments to go to, so it’s working really well for us.

 

Eli:                          Yes absolutely, and we got the whole range we got from $300,000 homes up to what 1.4, 1.3 and 900,000 we got all kinds of price ranges. So home bids works for a lot of different styles and ranges and it’s pretty darn easy to use. So what we’re going to do for everyone at Marka is put on an event on March 15th at the Tennis Club where we are going to certify anyone who wants to learn and get this going for themselves, it’s worked for us so I’m sure it can work for anyone who puts their hard work and dedication to it. So like I said Rebecca and I are 2 out of 4 nationwide certified agents in this so essentially you come in to the training, you’ll learn a bunch and if you make a decision like we did to dedicate ourselves to get more listings this year and on top of getting a lot of buyers then you can just go ahead and we’ll tell you how to sign up, what to do, we’ll tell you the step-by-step process so you can succeed and then we can go out and we’ll provide with website, marketing materials, flyers, advertising everything that has already done for you and they have trip  and we’ll be there as your support system, we’re working a lot of different tools to support you guys as you’re doing this too because I’m sure most of you would love this.

And some of you are skeptical don’t want to join right away, you’re going to see some of our other agents are doing this be successful I’m sure you’ll jump on board at the very least you’re going to walk out of that training event certified after an hour, an hour and a half with us and maybe you can just market that aspect that your whole bid auction certified. So when win win situation we would love to see you on March 15th and we’ll take some questions if you guys have any for us.

 

Kevin:                    Before we jump into questions I want to just point out a couple of things that I think are very important, first is the commission so we all know about red fin we know about all these company that are kind of racing to the bottom in terms of the commission, essentially trying to steal our commission’s take our commission’s away, reduce our commission’s with red fin 1% listings with these that discount brokerages this and that, so one thing that the reason why I support home bids is because the commission is still the same, so the agents still get paid buyer’s agents and listing agent still get paid we’re not like hurting the industry, we’re actually helping the industry, home bids I think is a really great way to, it’s a different approach to listings so one thing I didn’t mention is a the buyer’s agent, so the seller pays three percent and then the buyer’s agent gets paid through the bidding process as the bids accumulate the buyer’s agent gets paid by the buyer.

So the two and a half percent is included in the offer price. And if you think about that for a second in today’s market it’s really a drop in the bucket, like nobody’s going to care about if they’re buying a property and there’s multiple offers and they’re bidding one by one, if the additional two and a half percent is covered by the buyer it’s an additional cost that’s part of the home bid process. So at the end of the day nobody is getting chiseled on their commission which is one thing that I think is really important and Eli can get into details about that. The other thing is what I like about it is if your coin expires of am most everyone has the same pitch, everyone has the same pitch it’s like oh I can sell your home for the most money, I can do this I can do that I can do this. This opportunity with home bids allows us to change the pitch a little bit it’s like a hack, it’s like a cheat code if you’re playing video games like it’s an advantage it’s a competitive advantage because we can say to the seller all you have to pay is 3% and we’re going to put it on an auction and we’re going to get it sold and we’re going to have transparency, so that’s a very attractive pitch that we have that we could provide to sellers.

And then number three is which another thing is with the eight-day auction if it doesn’t go, you can talk about how it works if it doesn’t sell at auction Eli, but one thing real quick is if it doesn’t work out for whatever reason with home bids which Eli was talking about it gives us a foot in the door at the very least we get to talk to the seller like Rebecca just said they have like five appointments, because sellers it’s a different tune that they’re hearing now, like all the calls they’ve gotten from agents there’s only been one that said they can sell their house for three percent, so now they’ve got their ears and even got their attention. So it gets you that foot in the door and it’s a matter of how you pitch it and how you can pitch this this opportunity to sellers to get you in front of them, so those are my thoughts but go ahead Eli.

 

Eli:                          Yes absolutely, so instead of getting hung up on we’re getting a question after we tell our pitch we’re getting questions like oh how does that work, we want to know more of it absolutely Mr. seller we would love to sit down and discuss it with you is Tuesday or Thursday better and they just want to hear it or at least tell their friend or whatever it is. So it’s a really wonderful and when we get two appointment and we tell the seller everything that we just told you here today and we’re going to be teaching you and let’s say they’re old school they’re traditional and they’re saying oh I’ve never heard of this, I don’t know if I can trust this whatever may happen well not a problem at all, in the offer and I point out the words to them right in a contract noticing agreement there saying no risk involved, the seller reserves the right to accept, counter or reject any bid.

So for that reason we tell them straight up, do you want to sell it with us this will tell you how much your home was worth is going give you multiple offers above market price in just a short amount of time, if this doesn’t work for any reason the point zero one percent chance it doesn’t work, don’t take it. I don’t want you to take an offer you don’t like, but I do want to bring you a lot of offers to think about rather than not bringing you offer at all. And they just fall in love with it and I say look if you don’t want to sell it our way, if it doesn’t work out not a problem after eight days we’re going to sell it traditionally, we’re going to revert this to a traditional 5% listing where we get two and a half buyer agent gets two and a half, we’re going to market it the same way every other agent would only we’re going to do better and then we can talk about how we do things better at that point, but right there at that moment even if we didn’t sell them on home bids we’re in the door just right there already and they like us and they can move forward with us on the traditional listing too. So it works wonderfully and you’re going to get one or the other, so people have been pretty happy so far with us on appointment and more to come.

 

Kevin:                    And then really nobody else is really doing this like Eli said there’s only like four people, I think it’s very interesting and I think that we should like if you guys this could be a really big opportunity, I think there’s like the setup you want to talk about how it works at people to set up sign up join or whatever, you want to get into that Eli and how that works?

 

Eli:                          What I want to do is I just wanted to give everyone a sneak peek, I’m sure everyone has questions they’re wondering how we are sounds good from every angle and it truly does and what I want to do is invite everyone to the March 15th event to come and see us for I don’t know an hour and a half and you’re going to walk out of there certified, and with all the tools and materials you need to succeed and we’re always going to be there to support you and go from there.

So we just want to tell you about the event and you come there you’re going to come out of it knowing every piece of details that you need, so hopefully we would see that come. One other thing a wonderful product like this is definitely not free and home bits charged $100 per person to get certified, so we wish we can put this on for you for free but this is going to be a $100 classy one time to come in and essentially that pays  for the certification, it’s just a small drop in a bucket compared to I mean even if you get one listing out of this it’s going to pay for it, so but I’m sure you heard that pitch before too but yes just show up at the event and learn a bunch.

 

Kevin:                    Learn a bunch it is totally worth it, like we pay a hundred bucks for one lead on realtor.com so okay and then one question here, Bjorn asked how are there’s so many bidders if there are only four agents doing this, it’s because the property is listed on the MLS so there’s only four agents that are certified like Eli and Rebecca but the property is still exposed to the public, so it still goes on the MLS it’s exposed just like any other property the only difference is that when people bid or want to make an offer they have to go to home bids and submit their offer through home bids.

And frankly the way that offers are presented today, it’s a little like I don’t know there’s something wrong with it in my opinion, it’s like a blind auction like I want to buy the house, let’s say I’m a buyer I want to buy this house but tell me what I have to offer like what is it going to take for the seller to sell this house to like nine out of ten times you don’t know the answer to that, you have to guess you have to play a game of blind auction you have to submit maybe they’re going to accept this or that what I like about this is it provides transparency, everyone can see what the offers are, it’s fully transparent, open and everyone knows and that to me I think is a service that’s lacking to buyers that are submitting offers. So to answer your question it’s exposed to the market and that’s why.

 

Eli:                          We put it on MLS, we market the home and you can just log in yourself even without an agent and you can see where the market is at, you can start bidding or have your agent bid for you and as an agent on the buyer side you don’t have to be certified in anything, you can just log on a website and start bidding, so you’re going to tell your client well it’s right now at 1.1 million you want to keep bidding, will you go up to whatever and there’s a lot of different tools to one for example you can’t just log in at the very last second with two seconds left for the last thousand dollars and just squeak out of it, it doesn’t really work like that another bid get submitted within the last 10 minutes, the draft for the auction automatically extends 10 minutes and it alerts everybody who has bid before that the auction is now extended and they have another opportunity to come in and submit another bid if you’d like to do so. And at the end the top bidder doesn’t necessarily win it, it’s about terms too so the top three bidders are required to submit a purchase agreement within 24 hours and that’s where we can see their terms, we can then counter or do whatever we want with those, so pretty convenient.

 

Kevin:                    Yes, and the nice point is it’s like again if it doesn’t work out for whatever reason you have a relationship with the seller now, so if it doesn’t work out on the auction for whatever reason there’s a pretty good chance you’re going to be able to continue to list that property but I think there’s no reason why we can’t go on home bids but I’m just that’s just like failsafe in case it doesn’t work out, I’ve got my foot in the door and I’m like a regular listing. So it looks like there’s one more message here, Roxanna so you’re bidding for the chance to submit an offer?

 

Eli:                          Correct.

 

Kevin:                    Go ahead Eli sorry, I was going to say we can get into all the details at the event but feel free go ahead.

 

Eli:                          Absolutely, so you’re bidding for the highest price but let’s say you’re a listing agent and you get out of bottom the list for 500,000 you get five offers above 800,000 well which one gets it, it’s not always the absolutely highest price that get the property, you also look at a term, you look at the lender they’re using, can take cover closing costs, can they come up a little more in price, can they do this and this and that this is what we’re looking at too. So it’s not well no this is the highest bid let’s do it, no there’s a lot more to it than that and that’s where you come in as the listing agent with your expertise and you explain to the seller all of their options.

So if someone has an inspection contingency probably a big red flag, but it just depends on the situation of course and this can be used with so many different homes, so many different properties as long as the market is there for it and right now it absolutely is. The only property probably won’t work for I would say is something with a very small market, for example senior living communities that they don’t have hundreds of bidders, they don’t have buyers that come in every day, they tend to sit around sometimes and be a little slower in terms of turnover, so probably a senior living community not the best property sell. Also when you get up off like the three million price point, there’s probably not hundreds and hundreds of bidders at that point San Francisco maybe there is still but in other areas not so, the multi-million luxury properties are also probably not going to be the best fit but everything in between from zero to three million and that’s not senior living in my opinion should absolutely be put on the site and bit.

 

Kevin:                    With that said I still think it’s a good way to get your foot in the door, so if it doesn’t sell with that three million dollar listing you put it on auction, you’ve created a relationship with the seller and good or bad you’ve got your foot in the door. So any other questions on that guys on home bids? So like Eli said we’re going to do an event in the Tennis Club in San Francisco where Eli and Rebecca are going to present and talk more about the details of home bids and then if you guys want to attend that and you can want to sign up, definitely want to be there for that. So with that anything else you like to add Billy, Rebecca anyone.

 

Billy:                      Yes hey I was just thinking you were talking about transparency, what’s up with listing agents and a lack of transparency on the bids that they have, I mean is there something like unspoken rule that you’re not supposed to disclose what your highest offer is?

 

Eli:                          There’s no rule against disclosing what the highest offer is, you can disclose it, it’s in fact it says it in the contract that there’s like a clause in there that says it’s not confidential.

 

Billy:                      So then why wouldn’t a listing agent it would be in their best interest as well as their clients best interest to be transparent and say yes I’ve got an offer that’s above asking and came in at this number?

 

Eli:                          I agree with that and I feel like it should be an open forum like you should be able to tell everyone what the offers are. I think the reason why a lot of agents don’t do it is because if I tell you that my offer is a million and you were planning on writing a million one or a million two or a million three and I tell you my highest offers is a million, now you may not be wanting to write a million three anymore now you only want to write a million fifty, you see I think that’s the reason but in terms of a multiple offer situation where there’s like a bunch of people and I feel like it’s in my view, my opinion is better to just be open about it and show it.

 

Billy:                      My opinion is nine times out of 10 they’re like I wonder if I can come in at 950 and you’re like hey I got an offer at a million and they’re like we got to come in and meet up, we got to come in higher than a million now you know now.

 

Eli:                          And that’s why what we teach is like when you do submit an offer, really the crucial period is after you submit that offer and reaching out to the agent and trying to extract as much info as possible so you can get that answer that you’re looking for what is the highest offer and the way that we get to that point is the work we’ve done prior to that with the agent by building rapport, by having you reach out to the agent and talk with them, create some positive energy there so that when we get to that point where it’s like I want to know I need to know what the answer is, what’s the highest offer that’s not a new conversation, that’s like me talking to my friend that I’ve been working with for the last two weeks or a week talking with this listing agent, so when I do when it does come time to ask that really important question, like we’ve already got a report and they may answer me. So that those are like some of the things that we do to increase our chances of getting offers.

 

Billy:                      Yes smart.

 

Kevin:                    All right guys thank so much Eli, Rebecca, Billy it was a really good call and I hope everyone has a great weekend and talk to everyone soon take care.

 

Eli:                          All right.

 

Rebecca:              Thank you Kevin.