Insurance and Credit

Mortgage protection leads are important to any insurance agent who wants to do well in the business and who wants to offer good service to their clients.

Not every lead is good however, and the agent may sometimes expend more effort to close a sale than he first imagined. This is because people can change their minds about decisions depending on their current circumstances.

Most agents know that the insurance business is a hard sell and that prospects have the concept that they can get this vital piece of resource at a later date.

Only when caught in situations like losing a job, becoming disabled, or dying do people realize how important protection is.

If an agent does not work with mortgage protection leads, then the agent has to do a lot of cold calling. When appointments are set, the agent has to use a personal vehicle to tread the long miles to the prospects home and there are instances where the prospect forgets the appointment and is not home.

If the client is indeed home, then there is an opportunity for the agent to instruct and educate the prospect, but that still does not guarantee a closing because the prospect has to be ready in some way to accept and make the decision of being protected.

Other Factors Come Into Play

One more factor is the current state of mind of the prospect. A good agent uses that circumstance yo help a prospect realize the legitimate need for insurance. With the current economy peole tensd to with draw and become risk-averse in their decision making.

An agent’s task is to use the situation so a prospect can visualize the importance or insurance, and the likely outcome if they did not.

Having leads affords an agent some flexibility, and results in handling a prospect with increaqsed confidence. An individual would likely have enough information to realize the importance of insurance.

Educate Your Prospects

Agents sometimes choose to present information without coercion. If a prospect is initially reluctant, it does not mean that the agent has to give up with closing the sale. Your prospect may require a little time to consider things. There may be a spouse involved so the agent needs to make sure that the spouse will be home when the appointment is set. Both parties must agree prior to completing a sale.

The mortgage protection leads allow the agent to deal with prospects that are more willing to work with and are also willing to trust the expertise of the agent. If the agent seems to have the best interest of the prospect at heart, the prospect will give the agent the opportunity to prove that.

People prefer an insurance agent who is a straightforward individual. If the agent provides all the information including the advantageous and disadvantageous aspect of having insurance, the prospect gains reassurance and confidence in making the appropriate decision.

What is so special about real estate as an investment vehicle, as a way to get wealthy, as a way to create passive income and retire young and rich? Why is this market so different? Why is this an advantage to the creative real estate investor?

I’d like to discuss a couple of things with you. Defaults are at an all time high. People are spending way beyond their means and this is not only on their homes, but with credit cards and other forms of debt as well. We have the bank as well as the home owners to thank for that.

Let’s take a step back and look at the root cause of all of this. Basically, banks would give money to anyone in almost any financial situation. In many cases, this was way beyond the means of most people. So, fastforward a few years and it only makes sense that the real estate market for all kinds of homes is suffering more foreclosures than ever.

Government-guaranteed loans including HUD, FHA, VA as well as many others are going bad. Fannie and Freddie even went belly up. On top of that, banks are being forced to repo homes that they cant sell. Its a great opportunity to buy at fire-sale prices.

The number of homes selling below market value is at an all time high. Because so many people are in a bind and can’t sell their homes when they need to, it’s a buyer’s market. That means we have Motivated Sellers. With so many options, it should be much easier to find a profitable deal.

We have all heard this saying – “in real estate you make your money when you buy and get paid when you sell.” You may put money in your pocket when you sell the property, but if you bought the property correctly, you have lots of money making options. But if you bought the property incorrectly, you may not have any options. So finding motivated sellers and properties below market value is the first goal while investing in real estate.

A great advantage of investing in real estate is simply that there are plenty of buyers out there and more coming every day if you know how to locate, prescreen and close them. Unfortunately the credit crunch is making it difficult, and in some cases impossible, for them to get financing. The creative investor will be able to capitalize on this market. Creativity and knowledge will let you step in where the bank used to and you’ll be paid handsomely for it! What if you could offer owner financing with your properties? What if you could sell to anyone with either cash or credit?

Isnt that amazing? If the prices are so low and the available homes for sale so high, why cant a buyer just find these deals on their own? Nine times out of ten, they lack the knowledge required to execute these transactions. Now you have the knowledge, so get moving!

So you decided to sell your home, you have interviewed several real estate agents, picked the best agent, and have listed your home. There have been several open houses and some interest and you have finally received an offer. How do you tell if this is a good offer or not? Of course, your agent will help in that department, but, remember, they are there to sell your home they don’t have any idea what will work for you and your family.

First thing to look at is the buyer’s financing. Are they able to get a loan or are they just hoping to qualify? The best case scenario would be that they are pre-approved which means that a bank/lender has taken a look at their income, credit, and down payment and has agreed that they would qualify for a certain amount of financing. This is a good indication that the loan will go through. Sometimes, the offer will not include that the loan is pre-approved, but if the buyer really wants the home, they will include a letter of pre-approval to help your selection along. As a buyer, you or your agent has the right to contact the bank and make sure the information presented is correct and that the bank has verified income, employment, and down payment funds.

Next,consider if the buyer has put down a substantial down payment. The larger amount, the better for the sale to go through. The more money the seller has invested in the contract, the less likely they will be to back out. It also shows how “heart felt” the buyer is on the property.

Be sure to look for special conditions within the contract that you cannot meet or control. For example :If a buyer must sell his home first before purchasing your home.This condition requires you to factor in other questions. Does he have any offers on his home now or any approved buyers? He does have his house listed with an agent, doesn’t he? If there are any clauses that you do not understand, you must clarify them in writing.

One other thing that you must realize in the real estate contract you will receive is there are dates and deadlines that must be reviewed. There is a certain rhythm for things to happen. For instance, there should be an inspection, appraisal, loan approval, and the closing date. These items should not have excessive time allotted to each by the buyer. For example, the closing date must allow time for the bank process to be completed including the underwriting, appraisal, and paperwork. The inspection date should be close to the contract date to allow time for any problems to be resolved quickly by the seller so the contract can be completed.

Any one of these items can make or break a contract, so be sure that you review each and have a good knowledge of what is expected of you and the process you are about to complete.