Rudy McCormick's Blog

Some time ago a not so famous segment posted on my facebook wall to hurry up and take advantage of the first time buyer tax credit before it expired. I commented that there is no way they can let this program expire in its current form as this is 50% of the already weak market. If you don't think this market is weak your nutso and if you don't admit it your a liar. Anyway about a year ago this month I had been a part of an article for the Milwaukee Journal regarding the market and how soft it was last year. In the area I had been working ( Wisconsin Dells Real Estate, Lake Delton Real Estate, and the surrounding areas) most of the transactions that were taking place were either cash sales, short sales, or foreclosure sales. I would say that was the largest segment of the market at about 30% of the closing sales. Today I am no longer active in selling properties, I cannot properly work for a seller while the market, the government, and the banks all work for the buyer. That is another story all together. I did, however read a post that suggested that over 50% of the sales are either short, or forclosure sales. So technically speaking if you take the cross section of that 50% you get to see pretty clearly a number of things.
The first thing I see in this market is that if the largest section of the market is distressed then you have to ask " who buys distressed properties?" , and the answer is first time buyers...Investors looking to buy rental properties..and a very small percent will be upgrading their homes.
So if you think the fed would allow the largest section of the market to just vanish along with their borrow from Peter to pay Paul program, once again I think your nutso.

There is one segment that continues to be steady, stable, and pretty much neutral in terms of value. Recreational property, yes land and farms are still chugging along at their own pace. This segment will outshine other areas in real estate due to its unique position. You can hunt on a wooded parcel, camp, and do a lot of things other than pray for your investment dollars to explode. So to make a long story short, I told ya so and I will do it again very soon.

Ok so there are new conflicting reports out there from the NAR, the state of Wisconsin, and other purely speculative resources stating that home values are down as much as 33% and volume is down at least that much. My attitude has always been to give the consumer what they really want, which is the truth. Honestly I believe that no one, and I mean NO PERSON really truly knows the depth of the real estate devaluation swing, because its not over. Economic indicators have been up, however, up on a microscopic level undetectable by all. In fact I think Timothy Giethner is the only one that can tell with his ever so soft feel for the global economic pulse.
Real Estate is going to continue to be soft, YES I SAID SOFT. And I will say that some agents are experiencing some what of a busy period, prices are down, and so are closings so if your agent or real estate company is telling you how great things are back away slowly until your far enough away to turn and run. Unless your completely ok with being lied to, which according to what is happening in other sectors of society right now is probably most of you!!

Search Marketing on the other hand is fairing much better than real estate right now with a modest 8% growth rate industry wide. Makes sense too because everyone who owns a business needs a website and EVERY WEBSITE NEEDS SEO. Its the same is restaurants, every one needs to eat...Well every site needs visitors. Got yours?

Using search to market yourself is getting more popular, however during this small spike in opportunity many real estate professionals are not using their websites to the fullest potential. Search Engine Optimization and Website Promotion go hand in hand. People searching for foreclosure sales and listings are looking for multiple properties before they make contact. If you are making these types of transactions part of your portfolio then you NEED TO OPTIMIZE and build traffic thru social media. More often than not people will start a social media program only to let it slide, which is the worst possible thing you can do. As with any marketing, consistancy is the key to making it generate leads for you. If your not going to work this as a marketing arm of your business you will be left behind. Optimize all of your pages for maximum effect. If you want to make your website work for you, optimization is the first in a series of steps you will need to take.  Working with a marketing professional will do the following:
1. Use the right keywords
2. Tag the right places on your pages
3. Structure your pages to sell
4. Offer better content to the user
5. Increase conversions thru better placement of contact forms.

If your overwhelmed with foreclosure business that is great, then use your website to pre-qualify prospects, allowing you to work the best ones to optimize your efforts.

According to the Associated Press, real estate sales inched up slightly in May of this year. They are touting this as a good sign, however, its a bit misleading. The reason its a bit misleading is very clear. Watching the search volume trends for real estate over the last several years I can tell you first hand that real estate interest spikes in April and May, or its supposed to. Inching up may be a good sign for those with a linear way of thinking, for me its not so good when you factor in what is supposed to be happening. Search on Google relating to real estate goes up well over 50% during the months of April, May, June, July, and August, before starting its year end downward bell curve. While I agree in trying to do everything possible to grow the business, and believe me no one feels worse about the loss of income and lives this huge crash has and will continue to cause. Lets face facts here people, come year end the truth will be told and I am guessing that this will be the slowest year yet, slowest in decades.....

Just in case you don't understand here is a little comedy to help you.




http://www.madisonmlshomes.com
http://www.propertyinwisconsin.com
http://www.eastsidedan.com

I spoke to a trusted friend and real estate broker yesterday who mentioned he was personally swamped with new business. The next person I spoke to in Wisconsin Dells was at a closing.
Does this mean the market is going to rebound? I'd love to hear from you about this subject and what has contributed to your success in this challenging time.


Enjoy this video, oh and if your a broker looking for a great partime agent contact me asap!

Are you ready for the next in a long line of correction pleateau's in your home mortgage? The government is now looking for people to modify thier home mortgages. I keep hearing that this is for everyone, but it does not work for folks who simply can't make the payments at all.
Either way this is the best time to Modify your mortgage and you can do it your self or have a Loan Modification Specialist help you, I would suggest the help...Its pretty complex and I hope that this time every single person reads their loan agreement carefully! Its just good business.

If your looking for real estate in Watertown, WI 53094, 53098 Contact Rudy McCormick at 608-963-6051.