Has anyone thought about helping people who MAY be facing foreclosure? This seems to me to be an ideal application for consulting. I have read in the Washington Post that 50% of the people going into foreclosure failed to contact their mortgage company. As a consultant we could offer to negotiate with the mortgage holder to lower payment or go interest only for a short period or other terms that would be in the home owners best interest. I would be interested in any comments.

I often get more "out of area" emails more so than local, and have diligently been trying to come up with a "consulting" response for these people.

Since I'm between web sites, and other life altering events, can anyone help with a response back to someone like this? It is also difficult to deal
with Merv's SmartPlan when I can't meet them face to face.

Here is the email I received, thoughts anyone?

So I started today with a close. My sellers opted for a FAIRLY traditional model, but they did such an outstanding job on their part that it made my job easier and we've actually closed less than 2 months after listing. Since I'm my own Broker, I don't have to fill out any Disbursement Authorizations. My paperwork is usually a rebate from the traditional 3% and I back out the fees that I normally incur and we do a line item credit. Can someone help me with the way the handle the paper trail for the HUD? Do you provide the title company with a flat fee or do you "discount" ?

OK, I've read through some posts, time permitting, emailed back and forth to wonderful, helpful people in the group and tried to contribute my 2 cents worth.

Here's my basic questions:

1. If working with Sellers, are the options the traditional structure, flat fee and the hourly structure. If you explain to them that if you are using the traditional model, you will be acting as a salesperson and not as a consultant after telling them that is what the traditional structure is all about? What percentage of the normal fee structure is used for a flat fee? How do you convince them that after being paid, you will actually follow through and do the work promised?

For buyers, if they pay up-front a fee that would be less that the unofficial 3% fee for acting as a buyer's agent, do you rebate the 3 % commission to the buyer to cover their up-front fee and get additional commission off the price or in their pocket (is that legal?).

So many questions, so little time. I'm going in to talk to Prudential for the third time. The broker called me again today. I said I needed to describe my new business model to her, of which I know very little at this point.

I still want to go out on my own, but I don't know if the timing is right.

HELP

Second Consult
The prospect is a senior (still working) who is moving from Sunny SC back to his roots in snowy rockford Illonios. He was a FSBO I approached 4 months ago, gave him a free virtual tour and one page web site.

Pre-Approach
gather data om actives and solds and FSBO's and market conditions.
printed off tallies on web hits to his virtual tour and one.
printed off tallies for my tours, realtor.com hits.\
printed off a diagram of teh entire home sell process
used three pags from my listing presntation-Price, Timing, How Homes Are Sold--These I would use to get his attention.
prepared a Consultants Worksheet for gathering data from client
developed a powerpoint to cover the consulting model vs conventional real estate model

Friday, I had my first consulting call. Just want to share a bit. I left my laptop in the car and brought with me a pad and my "listing book"--just for reference. (refered to it with regard to pricing and timing) I did use Mollies Seller Needs Analysis.Client is a tech writer who had a car accident which affects her ability to work and her income. I suggested alternatives to her in that area--sometimes, consulting goes beyond the pale of real estate--

I received a lengthy email last night from a curious customer wanting me to give him values for refi-ing two homes. I explained that i can give him a simple flavor of the market, but to give a full out market evaluation would require me to come to the house and view condition, location and market conditions.

He then emailed back and said Saturday would be great to do that...so my next email will be back to him explaining that since my fees for this type of service would most likely cost him more than to just have an appraiser do a formal appraisal, I will send him some market information and then he can assess which direction he wants to go.

I love that i have this tool in my toolbox, being able to tell people that I don't work for peanuts.

I did have my conversation with my CB manager about this, and she's completely open to the idea of telling people I charge for a consultation...collecting the funds in an escrow and then distributing it when it reaches a level conducive to a brokerage split; she said she liked taht because it will also assist my GCI for measurement purposes.