Note: This Thursday’s training webinar will be devoted to the Help-U-Sell Homebuyer Stimulus Program and to the BIG viral marketing campaign we are about to implement. It is very important that you get to this meeting. It is at 2pm Eastern Time (11am, Pacific) and you can register by accessing this link: Registration
It worked. When the Federal government implemented the Tax Credit programs, there was a definite upturn in business as the deadlines approached. In addition to helping millions of buyers realize their housing dreams, the programs created huge public awareness that special programs like these sometimes exist. The Help-U-Sell Homebuyer Stimulus Program was created to capitalize on that awareness and to make our qualified listings more marketable.
Many, if not most, home buyers today are ‘cash poor.’ This has always been true for first time buyers who are one of the largest purchasing groups today, but it’s also true for many other buyers struggling with tough economic realities. For this reason, many sellers today agree to pay some of their prospective purchasers’ closing costs. What the Help-U-Sell Homebuyer Stimulus Program does is to formalize that arrangement in a way that makes it marketable.
Truth is: many sellers already provide this help, but they don’t advertise the fact and usually don’t commit until a purchase agreement is in process. With the Homebuyer Stimulus program we’re asking sellers to consider the advantages of paying some closing costs upfront, at the time of listing. That then becomes a big market differentiator that we can advertise. A buyer comparing two similar homes in the same area is likely to opt for the one that is Help-U-Sell Homebuyer Stimulus Eligible because it may require less cash to close.
There are many new materials associated with the program:
- A listing Amendment and a sample clause for a purchase agreement
- A Seller information flyer
- A .JPEG banner to identify eligible listings at www.helpusell.com
- A new button to link to program information on participating broker websites
- A broker guide
- A sample ad
- And more
All of these items are in the Download Library under ‘ Homebuyer Stimulus Program.’
The program probably fits best on listings in price ranges attractive to first time buyers, where sellers have equity. It is probably less applicable to REOs or Short Sale Listings where a lender will make the ultimate decision on any offer to purchase.
What we’re asking participating sellers to do is pay 3% of the purchase price, up to $8,000, at closing towards the buyers’ non-recurring closing costs. All of the credit will be reflected in the HUD-1 and it’s all subject to State and Federal law, lender requirements, and type of loan secured by the purchaser. Any credit unrealized by the buyer due to regulation, type of mortgage or lender requirements, is retained by the seller. When coupled with Help-U-Sell Low Set Fee pricing, the total outlay by sellers may still be less than paying a traditional broker a full percentage based commission.
Tami Patzer (our Social Networking guru) has developed a viral marketing campaign using carefully placed video announcements about the program. Once implemented that program should create huge consumer awareness and interest nationwide. It is important that all Help-U-Sell brokers and team members become familiar with the program before that campaign begins. That’s why the Thursday webinar this week will be devoted to this. In the mean time, it would be wise to go to the Download Library, get the materials that are there and familiarize yourself with them.
Really: Get Ready! This will be big.