Uncover Insider Secrets of Real Estate Negotiations – Joe Muck
On this episode of The Closing Table, we sat down with Joe Muck!
To watch the full episode, check it out on YouTube below. In the meantime, here’s a summary of the conversation…
Here’s what you missed from Joe Muck…
The conversation began with a word association icebreaker on purchase agreements, home equity loans, and more. Joe then introduces himself as born and raised in Detroit, and is known for his fun-loving and caring nature, with a touch of sarcasm. He cherishes sunshine and embraces the outdoors whenever possible.
Joe’s experience working with both boutique and larger brokerages has significantly influenced his approach to real estate transactions. When discussing boutique brokerages, Joe emphasizes the value of the close-knit environment and personalized training. With a smaller group of agents, he had the opportunity to learn extensively about the business through close proximity to seasoned professionals actively involved in deals. This immersive experience was pivotal in keeping him motivated and confident, especially during his initial stages in the industry when the lack of knowledge could be intimidating
On the other hand, Joe recognizes the merits of larger brand brokerages. While the trainings offered may differ, he acknowledges the unique advantages of working within a bigger brand. The environment, resources, and support available can be beneficial for certain individuals, even though it may not replicate the intimate setting of a boutique brokerage. Joe emphasizes that both options have their merits, and it’s crucial for agents to find the environment where they can thrive the most, whether it’s a smaller boutique or a larger brand. Ultimately, what matters is finding the right fit for one’s professional goals and personal preferences.
When it comes to choosing a buyer’s agent, Joe sheds light on common mistakes made by buyers and the role of technology in his work. One of the most common mistakes buyers make is relying solely on advertising or surface-level impressions of agents. Joe emphasizes the importance of digging deeper and asking agents about their experiences. It’s crucial to ensure that the chosen agent possesses the knowledge and wisdom necessary to guide buyers through the transaction successfully.
Regarding the role of technology in his work as a buyer’s agent, Joe acknowledges that while he may not be fond of certain features offered by their local Multiple Listing Service (MLS), technology remains an essential tool. He highlights the underutilization of technology by some agents. For example, when clients are searching for specific home features, the search results may not be accurate if agents fail to include those features in their listings. Joe also discusses the value of WhatsApp for communicating with clients who may not have a local number or are located abroad. Additionally, he addresses the challenge of working with clients who are not tech-savvy and explains how he navigates such situations.
In terms of negotiating the best price and terms for buyers when working with seller’s agents focused on maximizing seller’s profits, Joe emphasizes the importance of proactive communication. He advises reaching out to the listing agent to gather additional information beyond what is listed on the MLS. This knowledge, such as the seller’s desired terms or occupancy needs, can be instrumental in negotiating effectively. Joe also stresses the significance of understanding the buyer’s position and working closely with them to achieve the best possible outcome.
The discussion then revolves around the value Zillow’s business model brings to both real estate agents and homebuyers/sellers, as well as the benefits and drawbacks of Zillow expanding into the role of a real estate broker and hiring their own agents. Zillow’s user-friendly interface and accessibility provide significant value to homebuyers and sellers. Joe highlights how Zillow has made the home search process much easier for anyone with a computer or smartphone. It has eliminated the previous barriers people faced when searching for homes. Moreover, Zillow serves as a convenient one-stop shop for individuals who lack local knowledge or referrals. They can find real estate agents, schedule showings, and even get pre-approved for a mortgage with ease.
However, Zillow’s expansion into the role of a real estate broker and hiring their own agents comes with both benefits and potential drawbacks. Joe acknowledges that Zillow is a reputable company but cautions that their ultimate goal seems to be eliminating the need for realtors altogether. He mentions the growing trend of a brokerage company that entices agents with various incentives and investment opportunities, potentially aligning with Zillow’s intentions. Despite expectations, Zillow did not acquire this brokerage. The underlying objective for Zillow appears to be creating a world where real estate agents are reduced to 9-5 desk jobs, solely responsible for opening doors and inputting data into a system. However, Joe emphasizes that not all transactions are the same, and the complexities and nuances of real estate can only be learned through experience.
Joe also raises concerns about the cost and effectiveness of Zillow ads, which have become expensive but may not always yield substantial results. He also addresses the limitations of Zillow’s “zestimate” feature, cautioning that while it can be a helpful tool, it should not be relied upon as the sole determinant of a property’s value.
The conversation then shifts to the importance of protecting homeowners’ privacy, particularly in relation to blurring their houses on Google Maps, as well as other steps homeowners can take to safeguard their privacy and security. When it comes to blurring houses on Google Maps, Joe takes a different stance. He does not recommend it and believes that once homeowners are ready to sell their homes, it is beneficial for as many people as possible to have eyes on the property. He acknowledges that each property is unique, and for those located in rural or lake areas, Google Maps can be a useful tool for checking distances and views. However, he does acknowledge the valid point of protecting privacy, as Google Maps images can sometimes reveal information that people may not realize.
Regarding additional measures to protect privacy and security beyond blurring homes on Google Maps, Joe indicates that, in general, there aren’t many options available if the house is not for sale. He acknowledges that this is an interesting topic for him to contemplate and does not currently offer specific advice on additional measures.
The conversation wraps up with Kevin asking Joe the approach he would take to own a home, considering his resources today and the knowledge he has gained from past experiences. Joe reflects on his own experience as a homeowner during the Great Recession and highlights the importance of not succumbing to excessive worry. Despite facing a significant decline in property value and minimal returns upon selling, he remains optimistic because the house he purchased has since appreciated exponentially. He advises aspiring homeowners not to overextend their budgets and suggests setting a limit slightly below the approved mortgage amount. For instance, if approved for a $500,000 loan, he would consider setting a budget of $450,000.
Joe also mentions that certain factors he considered in the past may not hold the same value today due to inevitable and unforeseeable changes. The dynamic nature of the real estate market emphasizes the need for adaptability and being prepared for unforeseen circumstances. Furthermore, Joe emphasizes the value of understanding personal finances, particularly in relation to mortgages and down payments. He encourages aspiring homeowners to educate themselves about the various options available that can work to their advantage. By acquiring knowledge about mortgage terms and down payment strategies, individuals can make informed decisions that align with their financial goals.
Check out Joe Muck:
Facebook Business Page: https://www.facebook.com/profile.php?id=2251103
Instagram: https://www.instagram.com/joe.muck/
Instagram Business Page: https://www.instagram.com/j_muck_realty/
LinkedIn: https://www.linkedin.com/in/joe-muck-9b66a13/
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