Home Builders are Trying to Woo Millennnials in More Ways Than One

The National Association of REALTORS report "Real Estate in a Digital Age" underscores the important roll people between the ages of 25 and 35 have in the future health of the housing market. Sixty-eight percent of all first-time home buyers are part of this vital demographic. Millennials are responsible for 32 percent of all home purchases. These home buyers have a median annual income  of $84,500 and do not have the stigma of a home foreclosure in their history like many older home buyers. Banks, real estate agents, title insurance companies, and home builders target millennials as customers and clients to maintain a balanced business and remain competitive going forward in 2016. Bloomberg reports that construction companies must add more millennials as employees to handle increased demand and have a stable future.

Companies must develop new talent

Mike Lancaster is president of Frank L. Blum Construction that is headquartered in Winston-Salem, NC. Lancaster says home builders must do more than they have in the past to attract young workers. There was a time that builders would just hire young people and place them on the job site to learn the trade own their own. According to Lancaster, construction firms must attract, appreciate, and develop young talent. Blum Construction is trying to do this by starting a mentoring program. They also put more focus on training new hires. The Winston-Salem area is among the most affordable housing markets in the United States. To be ready for the increased demand for middle-class housing, Blum Construction is improving its employee benefits package to attract and keep young workers.

Builders previously preferred experienced workers

People often take things for granted. They think if they want a new home there will always be plenty to choose from. They also think that title insurance is less important when buying a new home. But, title insurance is needed on any home, and new home construction is a good indicator of the overall health of the economy. When the housing market collapsed, over 2.3  million construction workers became unemployed. The U.S. Census Bureau reports that 900,000 of those people returned to work in the same industry between 2007 and 2010. Very few of those returning workers were under the age of 35. Companies were picky about hiring and found it less costly to choose experienced workers who would not require the added effort of training. People who have worked in construction for many years are less likely to look for employment in some other sector. But, analysts suggest that another reason for the lack of young construction workers is that recent high school and college graduates with more employment options to choose from simply opt for some job that does not involve manual labor.

Fewer young people want to learn a trade

The Associated General Contractors of America (AGC) conducted a survey in September of 2015. Their research found that 79 percent of companies are having a difficult time finding hourly workers. This is especially true for jobs like welder, carpenter, mason, and other positions that require some amount of manual labor. Additionally, 55 percent of the responding companies said they are having some difficulty filling salaried positions like project manager and supervisor. Young people are Millennials prefer to communicate, work, shop, browse homes, and do as much as possible via their tablet or smartphone. Technology often allows young people to complete required tasks from any location. If they can work remotely, they will. A skilled trade requires on-site training, hands-on experience, and that the artisan be present to get the job done. The youngest generation of the work force does not see the importance of learning a skilled trade or has not yet been adequately incentivized to seek employment that requires they use their hands for something other than manipulating a keyboard.

Just as title insurance is a vital part of purchasing a home, skilled workers are, and will continue being, a vital component of the housing market and overall economy. It is a bad idea to skip purchasing title insurance to try to save a few dollars. Perhaps home builders will need to incorporate a more direct approach to attracting young workers to construction. Just pay them more.
accustomed to using technology in their everyday lives and business practices.

Video Marketing in Real Estate

Real estate agents are often early adopters of new technology. If it makes the home shopping process easier for their buyers or gives their seller clients a competitive edge, they will invest the time and money to make it a part of their marketing plan. While some methods are little more than schemes to make money off of gullible agents, one method of marketing for real estate agents has been around in some variation for many years; it continues to give agents who use it the upper hand. That tool is property video marketing.


Advantages of video marketing
Real estate agents typically have different opinions on the best marketing practices. Some embrace new technology, others stay rigidly with what they learned from their mentor or broker decades ago. Things like including as many photos of the property as possible and yard signs are undeniable essentials. Here are a few benefits of property video marketing.

• Video marketing for real estate agents opens up additional marketing channels like YouTube.
   
• By virtually taking potential buyers inside a property, it connects with them earlier.
   
• Helps weed out potential buyers who are not really interested in the house and ensures buyers have a better understanding of the home prior to viewing it in person.
   
• Sellers are more likely to list with you because you have a greater arsenal of marketing tools.
   
• It increases the excitement about the subject property by providing buyers with an easily share able and intriguing presentation of the home.
   
• Video is a compelling and powerful method of marketing to an international audience.

Not just for high-end properties anymore
Video as a business tool is used by every industry. As technology advances, the cost of production decreases. Practically all homes have internet that is fast enough for unlimited video streaming. Many people now take for granted streaming videos on their smart phones and tablets while they are on the go. You do not have to spend a lot of money for professional productions on every home you list. For some properties, the cost may outweigh the benefits. Many agents do quality video presentations themselves on every home they list. It takes some time to learn to do it right, but their clients appreciate them being personally involved in the process and the added effort the agent puts into showcasing their home in every possible way.

A few key considerations
Video marketing for real estate agents is one of those things that needs to be done well or not done at all. Just as it can be a powerful method of making a good impression, it can equally give a negative impact when done poorly. You want every aspect of your business and marketing to exude professionalism and attention to detail. Sloppy, blurry, and rushed property videos convey that you do not put much value on the listing. The potential buyers will not either, and your sellers will not place much value on your services. If you work with a professional production company on a regular basis, they should offer you economical pricing on videos for all your properties.
Video marketing for real estate agents will help you stand out when done right. As the years go by and more agents begin incorporating it into their listing strategy, it becomes less an enhancement and more an expected service. When done economically and strategically, it elevates you in the eyes of buyers and sellers. For subdivision developments and builders, the progressive videos and updates on progress keep buyers interested and returning to your site. Selling homes is still a people business. The best videos include a presenter who highlights various features of the home. By telling a compelling story with your video, you help the potential buyer think of the property as their home. That is ultimately your goal with all aspects of your marketing, and few other tools can do that as effectively as video.

What Is Title Insurance And Why Do I Need It Anyway?

Most home buyers are focused on whether or not they will be able to meet their financial obligations of home-ownership. They take for granted that the property title is in good order and suitable for legal transfer of ownership. But title issues and unknown liens on your home can be more stressful and problematic than the potential stress associated with paying your household bills. What you do know, you can deal with. But what is title insurance for? The things you don't know about.


Potential title problems

The housing market collapse resulted in a lot of titles being sold in bulk, transferred to companies that went under, and being part of some hurried legal processing. The opportunity for clerical mistakes, unknown liens, mistakes in record examination, or home titles being used in some fraud is rampant.  There is also the possibility of undisclosed heirs and other omissions in the deed. By some accounts of real estate law firms, one out of every three title searches finds some defect in the record that must be corrected prior to closing. Title insurance protects you in the event some problem occurs that was not found in the public record or was overlooked in the process of searching the title.


Your title insurance policy

The Owner's Policy is typically in the amount of the purchase price of your home. You get it by paying a one-time fee on the day of closing. This policy insures you for as long as you own the home and it passes to any heirs who may inherit the property from you. It protects you financially and will sometimes provide legal defense in the event of forgery, undisclosed heirs, mistakes made during the title examination process, errors or omissions on the deed, and other covered problems that may occur. The Owner's Policy is not automatically provided and you need to make sure that you request the policy and know who will be responsible for paying. It is always a one-time fee that will protect you and your heirs who hold some interest in the subject property.


The loan company's policy

Practically all lenders will require a Lender's Title Policy when making a home loan. This policy does not protect the home buyer in any way. Many buyers wonder, "What is title insurance for the lender when I already have a policy?" It is for the dollar amount of the loan and decreases in coverage as the loan is paid down. It protects the lender financially in the event some unforeseen problem with the title arises and you are no longer making loan payments to them or, due to some title issue, they are unable to sell the property after foreclosure to recoup the loan amount. The Lender's Title Policy goes away when the loan is paid in full.


Title insurance when refinancing

Even if you refinance with the same bank that originally made the home loan, they will most likely require another title search and Lender's Title Policy. You will still be protected by the original Owner's Policy that was purchased when you closed on your sales transaction. You may ask, "What is title insurance covering when I refinance?" It is possible that you had some work done on the house and incurred a mechanic's lien or had a judgement placed against you for child support or unpaid taxes after your home purchase. In case any of those things occurred, the lender will need a new policy when you refinance.


Additional things to remember

Who pays for the policy may vary by state. Regardless, you have the right to choose the title company when you are paying for the policy. You can research title companies online to see what previous customers have to say about them. To know what is title insurance protected and what is not covered, contact the underwriter for a copy of your policy. Standard Owner's Policies will protect you from the most common and frequent title issues. For an additional fee, expanded coverage is available to protect you in such situations as your home construction not complying with home owner's association restrictions.