15 Million Reason$ to Use Social Media for Business
By Anthony Caciopo
In the business world, social media/social networking is embraced by some, disregarded by others, and viewed by many as a curiosity at best.
Commercial and investment property specialist David M. Kaufman is definitely a believer.
Thanks to social networking, David, a CCIM (Certified Commercial Investment Member), took part in a $15 million real estate deal in the British West Indies this past June. The Temenos Project is a major development located on the island of Anguilla in the Caribbean just north of Saint Martin and 250 miles east of Puerto Rico. The project has an operating Greg Norman-designed golf course and was to include multi-million dollar luxury villas but had fallen into disrepair and was foundering.
David’s roles in the deal were as marketing advisor and auctioneer. His long and accomplished career as a commercial/investment real estate owner, broker, auctioneer, executive and principal made him a natural to take part in the project, but like any partnership it required visibility and a way for those in charge of the deal to find him and connect to him.
How did it happen? “LinkedIn,” he says.
“The mere fact that when someone Googles your name, the first thing that comes up is your LinkedIn profile makes it a requirement to embrace LinkedIn, and your profile had better be sharp.”
“Add to that the ability to get through to someone inside a company effortlessly (nowadays you can't even get an operator on the line, let alone find out with whom you want to be in touch); have interested parties read your recommendations from your satisfied clients and see how smart and knowledgeable you are from answers you have given to complicated questions, which have been chosen by the ‘asker’ as being the Best Answer to their question, etc... you realize that LinkedIn is a very complete, sophisticated platform, indeed.”
Like many businesspeople, David did not immediately take to social media when he first began hearing about it.
“For years, I remember being ‘pestered’ by requests for connections from people who were on LinkedIn while I was not,” he recalls. “By chance, I was reading Forbes or Barons and came across an article on social networking in business. What struck me was a quote from a C.E.O. of a large NYSE-listed company, who said, ‘Anyone who is not on or doesn't know how to use LinkedIn may as well be retired.’ "
“Prophetically, the next day I got an email from a trade association, to which I belong, promoting an all day seminar that they were sponsoring on using social networking in business, including LinkedIn, Facebook and Twitter. Wow, what an eye-opener that seminar was!”
Direct, engaging and highly personable, David told his social media success story following a meeting with Brian Kuzdas, principal and founder of RealEstateAuctions.com, BankREOs.com and OwnACondo.com at 540 N. Lake Shore Drive in Chicago.
“The Anguilla golf course project was by far the most intriguing with which I’ve gotten involved,” he said, recalling a number of other substantial auction projects including the Omni Shoreham Hotel in Washington D.C. that he sold at auction for $40 million.
David, who currently is a principal at DK Realty Partners, LLC in suburban Chicago, said the Temenos project was more than just an ordinary real estate transaction.
“It was very important to the government because it is a huge source of jobs there,” he explained.
Currently, back in the Chicago area following the deal in Anguilla, David is hard at work negotiating new deals for his companies…with the help of social networking, of course.
“If I had to choose between LinkedIn or my telephone, I'd choose LinkedIn,” he says, adding with a laugh, “and no, I do not own any of their stock.”
Selling at Auction
When most people think of auctions they think of buying but in order to buy someone must be willing to sell. Selling at auction for real estate is definitely not for everyone. In the best of situations your property should be in the same price range as all the other properties in the auction. The last thing you want to see is that the majority of the properties in the auction are derelict homes in a low value area when you are trying to auction off your four bedroom, 3 bath, updated kitchen and family room home. You are most likely to not have much luck selling your home at market value since everyone at the auction is comparing prices on the other available properties.
Selling at auction requires a legal agreement and most auctioneers will wish to enter into a sole agency agreement. This means they will advertise your property in brochures and catalogues on your behalf with the understanding you will be liable for the costs of that advertising, as well as a portion of the room fee, regardless of whether someone buys your property or not. This may not seem fair but in reality you will have a hard time finding an auction company who will sell your property without such a legal, binding agreement. And these may not be the only fees involved so find out about the charges before you sign any documents. Once you have satisfied yourself with the agreements you should discuss pricing. Find out the likely market value of your property and seek advice at what price to advertise as the reserve bid.
Now that you have everything in place there is nothing left but attend the auction. As the seller you must attend the auction due to a variety of reasons, one of which is you may want to take a lower offer than the advertised reserve bid to get your property sold. When the gavel goes down that last time it signifies the agreement of a binding contract between buyer and seller and you have sold your home at true market value. The buyer must now pay 10% of the total sale price before leaving the auction house and in most cases must pay off the remaining balance in 30-45 days. Your responsibility as the seller is to guarantee your ability to legally convey the property to the new buyer. Selling at auction has its advantages for buyer and seller and can be the way to go depending on your motivation and comfort level.
The Advantages of Los Angeles Real Estate Auctions
The real estate market in California is very well-known around the world, and there is a good reason this is a fact. It's also a well-known fact that each time the market declines and market values drop, it is only a temporary recession, and they rebound in a short amount of time.
Despite the resiliency of the market, however, Los Angeles real estate auctions are an excellent arena for both buyers and sellers.
It helps them negotiate prices that are close to the market value, and most importantly, it expedites the sales process. No lengthy negotiations are required, and no stacks of paperwork face buyers as they're trying to close a deal. In fact, the majority of real estate auctions take less than three months from start to finish.
One of the reasons the Los Angeles real estate market is so resilient is that so much economic commerce going on in that area. People are constantly moving to California for jobs and business opportunities, and naturally, they're going to need a place to live. Often, rather than paying high prices in rent, they would rather invest their money in real estate.
This is why Los Angeles real estate auctions are in such a high demand. The population of southern California is one of the fastest growing populations in the country, and this puts demand pressure on prices and causes prices to go up. The competition auctions foster also tends to drive the prices up.
Therefore, sellers can benefit from auctions in Los Angeles just as much as the buyers. One of the things that is most fortuitous to sellers engaging in transactions that take place at auctions is that the auction house provides advertising for the event.
They pay for advertisements on the radio and television, and they also put ads in various print publications that are tailored toward the real estate industry. This is particularly beneficial because advertisements are quite expensive, and sellers might not have the capital to invest in them while trying to move a certain piece of property.
Because of the growth of the real estate market in California, use of Los Angeles real estate auctions are a growing trend. Federal aid has been directed to California to help it get out of its financial crisis, and thousands of immigrants stream over the border each day that will need to find housing.
They will most likely be looking to purchase real estate at the lower end of the market, so this will create a price floor for the rest of the market, and people at all income levels will benefit.
Auctions offer a quick and easy way for buyers and sellers to complete transactions, but it's important for both of them to be well-informed about the market so that they don't get ripped off or end up losing money by becoming caught up in a bidding frenzy.
Advantages of Real Estate Auctions
Do you want to find out how to sell a piece of property at a real estate auction? If so, you're in luck; there are numerous ways that real estate auctions can help sellers get the best offer on their piece of property. This is particularly important because auctions can actually help sellers get better prices than conventional methods of real estate transactions.
They are also more efficient, and this helps sellers if they need to move a piece of land due to financial hardships such as property taxes they don't want to pay, or other expenses associated with owning land.
When selling property at real estate auctions, tons of people will be checking out your piece of real estate. They're all at least somewhat interested in it, and they definitely are ready to complete a sale immediately. The process is quite easy, and is over in as little as three months.
In the first month, your property is placed on a list of all properties that are going to be for sale at an auction. The auction house will list the piece of real estate on a website, and then will advertise it to potential buyers in the surrounding area for you, making everyone aware of when the auction is going to take place and where it's going to be held.
During the last month, your piece of real estate will be inspected so that the buyers can move in immediately, and a few open houses will follow the inspection so that buyers can see it in person.
This last month is especially critical, because buyers usually decide whether or not they want to buy a piece of property after they see it for themselves. They will meticulously go through the real estate, so it's important to have all the repairs and maintenance completed before they walk through.
They're aware of the fact that when they purchase your property, they are buying it in the exact same condition it will be in when they see it. This is an advantage to the seller, however, because after the sale takes place, there is no room for complaints from the buyer if they aren't happy with a specific feature of the property.
If the advertising campaign done by a real estate company is effective, a minimum of a couple hundred people will come to make offers on all the properties up for sale at real estate auctions. This marketing isn't possible when someone is trying to sell a piece of property themselves; it would cost too much time or money.
A room full of buyers eager to walk away with a great deal will start making bids, and due to competition, you might receive a higher price for your property than you expected. The excitement involved in the process is also an advantage, but ultimately, auctions are an excellent way to streamline the process of completing a real estate transaction.
The Benefits of Condo Auctions
Purchasing a condo can often be a very long process. It can sometimes seem like there is an endless stack of paperwork that keeps taking up all your time. Or, you can dedicate months to tedious negotiations with someone selling the property, and then at the last minute have them back out of the deal. If you have to search for condos by yourself, this can also consume a great deal of time.
If you happen to be tired of these things and want to expedite the process, using condo auctions might be an excellent solution. The procedure is much more simple, and you can complete a transaction by just following a few easy steps.
At condo auctions, sellers and buyers are all at the same place, and they mutually benefit from this fact. The buyers have been qualified prior to the auction, and properties have been inspected to make sure that the buyers can move in as soon as they wish.
Therefore, you are able to bypass most of the negotiations. Usually, sellers opt to utilize auctions because they want the process over with so they can use their time for other things. Maybe the property is costing them money in property taxes or various expenses, and they would like to sell it in order to save some money. They're ready to get rid of it. Sometimes, that can happen in as little as a few seconds.
If you make a mistake and accidentally make a purchase that you didn't intend on making, you don't need to spend time fretting about that since it can easily be fixed. Auction aides are always there to help you, and retracting a bid is a common occurrence.
It's not as though a mistake that anyone could make will ruin your future or your financial stability. Another benefit to the auction process is that you don't need to have any connections or know anyone in order to get an excellent deal. You are on the exact same page as everyone else bidding in the room with you.
An additional advantage to condo auctions is that you can pay exactly what you want for a particular piece of property, even though this might mean you have to engage in very competitive bidding.
Just make sure you don't get so caught up in the process that you bid an amount that's more than you can afford. Decide before you go to the auction what amount is reasonable given your financial situation, and then don't allow yourself to make a bid that's beyond that price.
Auctions are a great way to simplify the process of buying real estate if you don't allow yourself to get so excited while you're there that you pay too much in the end. If you buy a condo, you are making an excellent investment for your future and can benefit from the low prices offered at auctions around the country.
Auctions
With the ever changing real estate market a centuries old process of buying and selling has resurfaced. Buying at Auctions are becoming one of the most attractive ways to buy real estate no matter if it is your primary residence, vacation home, or investment property. To many people in Chicago a real estate auction is foreign to their way of thinking regarding the purchase of their condo or home, but auctions have long been the primary means of buying real estate in other parts of the country, particularly the south. Auctions are the relatively simple process of buying and selling goods or services by offering them up for bid, taking bids, and then selling the item to the winning bidder. The definition above is the basic auction form but there are several variations, including time limits, minimum or maximum limits on bid prices, and special rules for determining the winning bidder or sale price. Many times the participants may or may not know the identities or actions of the other bidders and they can participate in a variety of ways, such as by telephone, or internet.
Buying at auctions can be confusing unless you are familiar with the three different types of real estate auctions available to the general public. First, is the absolute auction which is what most of the public recognizes. This type of auction usually guarantees a lot of buyer excitement and participation due to the property sells to the highest bidder, regardless of price. Many sellers have begun to use this method since an absolute auction offers the best performance results of all. The second type of auction is the minimum bid. Auctioneers will only accept bids at or above the published minimum price. This format reduces the risk for the seller if the seller wants a set price and will not sell otherwise. The down side of this type of auction is a greater risk of setting an anticipated value. The last form of auction is the reserve auction which many people have some difficulty understanding. To make the definition as simple as possible the high bid becomes the offer, not the sale. Reserve auctions do not publish a minimum price and the seller reserves the right to accept or reject the highest bid, usually within a specified time. Sellers in this type of auction predetermine the sale price and are not obligated to sell other than at a price entirely acceptable to them.
Buying at Auctions has been around a long time because they are an effective and efficient way to sell real estate and meet the needs of the public. Auctions are entertaining and most people who have been come back again and again, so if you haven’t yet attended an auction try it. I guarantee it will not be your last.
The Benefits of Condo Auctions
Purchasing a condo can often be a very long process. It can sometimes seem like there is an endless stack of paperwork that keeps taking up all your time.
Or, you can dedicate months to tedious negotiations with someone selling the property, and then at the last minute have them back out of the deal. If you have to search for condos by yourself, this can also consume a great deal of time.
If you happen to be tired of these things and want to expedite the process, using condo auctions might be an excellent solution. The procedure is much more simple, and you can complete a transaction by just following a few easy steps.
At condo auctions, sellers and buyers are all at the same place, and they mutually benefit from this fact. The buyers have been qualified prior to the auction, and properties have been inspected to make sure that the buyers can move in as soon as they wish. Therefore, you are able to bypass most of the negotiations.
Usually, sellers opt to utilize auctions because they want the process over with so they can use their time for other things. Maybe the property is costing them money in property taxes or various expenses, and they would like to sell it in order to save some money. They're ready to get rid of it. Sometimes, that can happen in as little as a few seconds.
If you make a mistake and accidentally make a purchase that you didn't intend on making, you don't need to spend time fretting about that since it can easily be fixed. Auction aides are always there to help you, and retracting a bid is a common occurrence.
It's not as though a mistake that anyone could make will ruin your future or your financial stability. Another benefit to the auction process is that you don't need to have any connections or know anyone in order to get an excellent deal. You are on the exact same page as everyone else bidding in the room with you.
An additional advantage to condo auctions is that you can pay exactly what you want for a particular piece of property, even though this might mean you have to engage in very competitive bidding.
Just make sure you don't get so caught up in the process that you bid an amount that's more than you can afford. Decide before you go to the auction what amount is reasonable given your financial situation, and then don't allow yourself to make a bid that's beyond that price.
Auctions are a great way to simplify the process of buying real estate if you don't allow yourself to get so excited while you're there that you pay too much in the end.
If you buy a condo, you are making an excellent investment for your future and can benefit from the low prices offered at auctions around the country.
Using a Real Estate Auction Company
As the real estate business continues to evolve, an ancient system of trading in the marketplace has come back into vogue and is continuing to expand along with the market.
Use of a real estate auction company has become more and more popular, especially due to the economic downturn, and their popularity is still growing even more.
Therefore, it's important to investigate why they have become so appealing and what benefits they can offer to people looking to invest in real estate.
According to the National Auctioneers association, more than $268 billion worth of completed sales started in auction companies. This means that auctions are one of the most accelerated sectors within sales for almost all varieties of property such as residential real estate or agriculture.
Use of a real estate auction company has grown for the past six years straight; however, some people are still misinformed about them and are wary of buying property through use of a company.
Nevertheless, using such a company to complete real estate transactions has a number of benefits. The following is a brief overview of some of them.
Usually, sales take less time, and can be completed in thirty to forty five days. This is because there are no long and complicated negotiations; the property is selling at its true market value.
Additionally, properties are sold with no contingencies, and there is no question of whether or not a deal will be completed. The sales approach is highly visible, and advertising campaigns often precede auctions that utilize brochures and brochures.
It also helps that both the buyers and sellers who are engaged in the auction process are ready to complete the deal; they are less likely to spend time deliberating or backing out of a transaction, and the results of the auction are immediate.
The reason why use of a real estate auction company to make real estate transactions has been in practice for such a long time is that it's extremely efficient and effective.
The company is able to foster a mood of excitement among potential buyers of real estate that promotes direct competition; in turn, this means higher prices are more likely than in conventional real estate business deals.
The seller will receive a higher price, and the buyer can be sure that he isn't paying anything beyond market value, or possibly less. Both parties involved in the auction can benefit from this procedure of selling real estate.
Difficult Market of Los Angeles; Real Estate Auctions Pose Advantages
It's a difficult market selling property in Los Angeles. Property values have fallen in on themselves, saturating the market with real estate far below its market worth of a few short years ago.
Not only can it take considerable time, but it's difficult finding a fair market price for real estate in Los Angeles. Real estate auctions, however, feature a competitive bidding process that can often escalate, often beating out the market value in this difficult economy.
Auctions present a viable way to accelerate the selling process. You could end up waiting years to sell property for a decent value in Los Angeles.
