In This Chapter

Technology is so important to success in real estate sales that it warrants an entire chapter. You can get along without becoming a technology wiz, but you will not be able to tap your peak performance unless you make technology the cornerstone of your business. I have three recommendations for you to achieve real estate business goals: first, research all tools available, second, buy the best tools that you can afford, and third, use them!

In the real estate sales business, technology is required not just because it has become a business standard, but because technology is your pipeline. Agents must have real-time access to the multiple listing service and their all-important leads. The challenge for the active agent is that we are highly portable. We need to conduct business from various locations—a regular office, a home office, a client’s home, and anywhere in the field. The only answer is for you to become technologically savvy.

This chapter covers some of the tools you will need to get your high-tech real estate practice in gear. Chapter 14 shows you how to organize your technology and duplicate it at home, in your vehicle, and elsewhere.

After you get your real estate license, your new mantra becomes “Be organized and be high-tech.” There are so many details in real estate sales that you cannot afford the luxury of being disorganized for a moment. To be a Top Dog, you must embrace technology and recognize it not only as an essential ingredient of your business, but as its foundation. Technology efficiently tracks an enormous amount of contacts, details, communications, and scheduling in addition to the multiple listing service’s thousands of listings. It also keeps you in real-time contact with your clients and leads.

It’s true that many old-timers were incredibly successful without the use of technology. When they built their business model, technology was not what it is today. Now they are dinosaurs. In this age of advanced technology, especially in the fast-paced real estate world, you must make technology an extension of yourself to be a peak performer. There is just no getting around it. The excuse that you are not high-tech will not work any longer. Today’s real estate business requires real time, which is only met through up-to-date technology.

As a sophisticated agent you require technology to perform a multitude of functions. Today, you prepare your contract documents on computer, not by hand, and many are now using transaction management programs. Managing your leads and prospects through a comprehensive contact-management program is essential for you to fully canvas your market and conduct Internet-based marketing campaigns. You also require a calendar program to record important contract dates and to follow up with leads. E-mail and interaction with the MLS is mandatory.

In the high-tech model this book advocates, your laptop will travel with you to all locations except where laptop access is inconvenient, where you will use your PDA. Computer technology has become so advanced that some lock-box keys now operate through PDAs or cell phones. With a computer at your fingertips in your many locations, business will travel with you everywhere you go. This, you will find, affords the ultimate freedom and flexibility—one reason you chose this job.

Now you can sit at the coffee shop and review the multiple listing database you uploaded to your PDA that morning. Or better yet, go online and search new listings in real time. Make business calls with your cell phone and schedule appointments on your PDA, which you will upload to your calendar and contacts database on your laptop or online when you synchronize. You can send and receive e-mail with your wireless technology and surf the net for new client closing gifts.

You will find that a sizeable portion of the real estate industry is not yet as high-tech as I suggest, but if you want to be on the cutting edge and a peak performer, heed these steps. Don’t let your peers get to you when they tease you about your technology entourage. They’re just jealous!

Before you purchase any computer hardware, do the research. Don’t rely solely on the salespeople in the computer store. Make sure the literature for everything you buy confirms what the salesperson says. I have a cabinet full of interesting technological devices that were not compatible with my other technology, or didn’t do what the salesperson said they would do. The following list is the suggested basic technology you will need in your life as a mobile real estate professional:

If you are going to be high-tech, ask all the questions and confirm all the answers before you buy. It is easier to do this in advance than to worry about connectivity, synchronization, or a host of other issues after you have made the investment. It would be prudent to also investigate the post-sale services of the vendor such as customer service, technology support, and repairs.

The office you join will probably provide a desktop computer for your use. Use your personal laptop instead so your information will follow you wherever you go. In this manner, you will be far more flexible, which is one of the reasons you came to real estate to begin with. The first consideration when buying a laptop (or any computer) is what operating system you want. To determine this, consider what software packages you will use. Note that any Internet application such as the MLS can be accessed by any operating system. Whichever machine you buy, make sure you get the best you can afford. Make sure your laptop has built-in wireless capability, a PCI slot, and enough USB ports to plug in flash cards and other pieces of equipment like a printer, scanner, and so on.

You want a good size screen and quality display so when you show clients properties they can see a clear visual picture. You will be able to cut down on driving and showing time if you introduce your clients to prospective properties by computer and if they display almost as well as being on site. Many agents just print out listings for client preview. These properties look far more visually appealing on the computer screen.

Some of us also still use desktops at home or at the office to benefit from the larger monitors and keyboards. If you do, make sure your laptop has a networking card so you can easily network the two computers to synchronize their information and back them up. You will also want to be able to synchronize with your PDA. If you choose to have your database online as many people are doing these days, you will synchronize your computers with your online database.

Real estate specialty developers are finally putting together hardware products customized to real estate transactions. While these products do not have the track record of traditional technology, you may very well want to consider them instead of building your own real estate-based computer. VREO, Inc. (www.vreo.com) has developed a Tablet PC just for real estate agents. Although I have not personally checked it out, it seems to have all the built-in gadgets the portable agent needs, including digital signature capability. Just make sure that it will run the other software you will need for your business, discussed later in this chapter.

Since my laptop is my lifeline, I have Internet connectivity bases covered. My first choice is Wi-Fi because you get the speed of DSL. You either have Wi-Fi capability built into your computer or you get a Wi-Fi card. Wi-Fi is based on radio signals and is faster than other wireless options. Your computer searches for a Wi-Fi hotspot and connects if it finds one. Many consumer-oriented facilities have what they call Wi-Fi cafés. While many aren’t actual cafés, some of them are, like Starbucks. They are more often shopping center lots, hospitals, hotels, truck stops, or campgrounds. They are popping up anywhere people gather in large numbers.

If I can’t get Wi-Fi, I use my WWAN (wireless wide-area network), which is a card I put in my PCI slot, and I’m online in seconds. All cell providers have these wireless cards. They use cell signals instead of the radio signals Wi-Fis use. I use Verizon’s air card. If you don’t have wireless capability built into your computer or a wireless adapter, you can use your cell phone as a modem by connecting your cell phone’s data port to your computer’s USB port. Either way works. The connection is clear and constant and while it is not as fast as DSL, it isn’t as slow as dial-up.

I use my laptop extensively in the field, which sometimes brings me outdoors. If you plan to use your computer outdoors, make sure you have a screen protector to reduce the glare. I wrote most of this book outdoors at an RV resort. Weight may also be a consideration if you travel a great deal with your computer slung over your shoulder. You can find several suitable laptop models that weigh in at just a few pounds.

If you plan to use your laptop where electricity is not available, make sure you have extensive battery power capacity. I have both replacement batteries and an adapter that plugs into my cigarette lighter. If you also plan on printing make sure your portable printer uses the same connector as your computer.

You will need a cell phone. Because you often use your cell phone when driving, consider one with voice recognition so you can program it to dial for you when you speak a certain name. Install some form of hands-free capability so you can drive with both hands and talk with the use of a headset or microphone. Purchasing a cell phone with Bluetooth capabilities allows you to use a wireless headset. These are relatively inexpensive headsets (under $100) that obviate the need for the wire between your cell and your headset and are very convenient.

The features on cell phones might make you wonder if it is a cell phone, a PDA, or a very small computer. Cell phones not only take phone calls, they can store your contacts and calendar as well as allow you to receive and send e-mail and access the Internet. At the very least, you need a cell phone that includes a contacts list.

When choosing your cell phone if you want the capability of using it as a modem for your laptop to access the Internet, make sure it has a data port. The data port can also be used for synchronization of information with your other computers. Also, ensure that you charge your phone every night and have a car charger in your vehicle. You will be astounded at how much battery life is used up over the course of the day. Better to have it charging in the car and always ready than to be out and about and incommunicado because your cell phone battery went dead.

A PDA allows you to bring your address book, calendar, contacts, e-mail, and multiple listing data everywhere you go. In addition, some PDAs double as a cell phone and can provide dial-up Internet access. If you decide to use your device to access e-mail directly from the Internet, you may find Blackberry is the best. However, other brands such as the Palm Treo Smartphone have made inroads into Blackberry’s superiority in this regard and incorporate a better cell phone capability than Blackberry. Personally, I have not mastered the tiny keyboards on phones. Others are annoyed by the alternative method of multiple keystrokes to record a character when composing e-mails.

Your PDA is synchronized with your laptop or desktop as well as the MLS with the use of a docking station. This synchronization process is discussed in Chapter 14. Then again, you may choose to have a web-based contact management system, also discussed in Chapter 14. There are so many products on the market today it’s almost like being a kid in a candy store. Prices have come way down on many models and there has been a proliferation of products that multitask, giving you even more options.

If I have any choice at all about which computer device to use, I choose my laptop. I bring it nearly everywhere I go—to the beach if I have business to do and to the relatives on family occasions. I work much better with the size of its screen and keyboard and its processing power. Although PDAs have large-size keyboards you can attach as an add-on and expansion cards for additional memory, there is only so much you can do with a hand-size device. So yes, I am the person you’ve seen at the hairdresser’s sitting under the dryer with my laptop perched in front of me.

You will need a digital camera to take pictures of the properties you list. There is a variety to choose from. Some are built into your cell phone, though these usually have very low resolution. Others can be purchased as accessories to your PDA. To open the picture on your computer, you need the software application that relates to the digital image. Most cameras come with their own photo software. This software allows you to tweak the picture until it achieves the look you are after. You will use your photos for your marketing materials and to include with your listings on the multiple listing service and on your website. You can also e-mail your digital photos to interested buyers. Multiple listing services now have the capability to show a large portfolio of pictures of a property. You also can take your own slide show, or hire one of the many companies that prepare virtual slide shows for you.

Your office usually provides this equipment for use at the office. You will need to provide for home and in the field. If you do not already have this equipment, you might choose to get your own fax, printer, scanner, copier, or an all-in-one. Your research may indicate that the more features, the more susceptible the device is to problems. Take a look at consumer reports and make your own evaluation. In particular, pay attention to the quality of the printer in all-in-one devices. If you plan on any printing of higher quality generally these devices do not suffice.

I recommend that you have your own fax machine with a dedicated line at the office and at home to ensure that your faxes come directly to you and that the line is available to you at all times. Even more important, with your own fax line, when you leave the office, you can forward your faxes to your home fax machine. If you want to be truly high-tech, you don’t even need a fax machine to send and receive faxes anymore. You just sign up with a company (www.efax.com, for example) that gives you a special e-fax number. Faxes are then forwarded to your e-fax number where they are converted to e-mail format and sent to your e-mail address. Faxing out is handled in a similar manner.

E-fax is undoubtedly the better solution so your faxes reach you wherever you go. With e-fax, you end up with faxed documents right on your computer so you can save them directly in your client’s computer file. You also can send faxes by e-mail in the same way. In this manner you can be truly portable as you send and receive e-mail, voice mail, and faxes at any location. Additionally, you can secure the privacy of your transactions.

Having a color printer is an asset in the highly visual real estate business where color is the norm. If you plan on building a vehicle office, you will want a portable printer that will connect to either your laptop or PDA. This is especially handy for obtaining client signatures in the field.

I couldn’t live without a scanner. I conduct business primarily by computer technology and strive to be paperless. The scanner turns my paper products into an image that I then store on my computer to complete my transaction database and e-mail to others involved in my transactions. Portable scanners are available, too, for scanning while out in the field.

As you go along, you can evaluate how important a scanner is for your particular needs. I find e-mailing documents to be a handy alternative to faxing, especially since clients often have e-mail but don’t have a fax machine. I will do just about anything to not have to transmit documents by snail mail or by a fax machine.

Now that I am using a transaction management online database, I just upload documents into our online transaction and give team members passwords for viewing. In this manner, I am paperless in my transactions, with the exception of the documents that need signatures. We are still stuck with hard copies for obtaining signatures on documents until such time as digital signatures are authenticated in real estate transactions.

There is, however, new technology that incorporates digital signatures into transactions. The software must be run on a Tablet PC, not a regular laptop, but the innovative company that provides this software also provides the Tablet (www.Vreo.com). Federal law now authorizes the use of digital signatures, and no doubt states will soon follow this mandate. The real estate industry is clearly headed in this direction, and you may choose to be on the cutting edge by using paperless technology now.

You want your operation to become a high-level multitasking operation through the efficient use of computer programs. While this chapter describes the programs, Chapter 14 shows you how to integrate and organize them so they work together. The software functions you will need are …

You are probably familiar with many of these applications and will only need training in a few areas. Your goal is to use and manage your applications in such a way that these tasks are easy and compatible. Open one program and you’re ready to write a letter. Open another and send an e-mail or fax. There is no need to duplicate information between programs since this information is in your contact database, which can be accessed for the rest of your programs.

You will need an office suite for basic functions such as contact management, calendaring, e-mail, word processing, working with numbers and spreadsheets, and for visual presentations. The most universally used suite is Microsoft Office featuring Word, Excel, and Outlook. If you do not get these programs packaged together, such as through the Microsoft Office Suite, you will need to obtain them individually.

Microsoft Word is a word processor used for the production (including composition, editing, and formatting) of documents. Excel is a spreadsheet program for mathematical and financial analysis. Outlook is a personal information manager and e-mail communication software. Although often used mainly as an e-mail application, it also provides calendar, task and contact management, note taking, and journal ability. PowerPoint is a popular presentation program. It is used to create slideshows, composed of text, graphics, movies, and other objects, which can be displayed on-screen and navigated through by the presenter or printed out on transparencies or slides.

It is wise to use applications that are widely accepted within the business community. Microsoft Office fits that criterion. While the program you use is clearly a matter of personal preference, when you send documents by computer you have to ensure that the other party can easily read them. Therefore using a popular program such as Microsoft Office would be wise. Also, make sure your software is up to date. While updating your software can be expensive and sometimes frustrating, not doing so can also present problems.

Another reason to utilize a universally used model like the Microsoft Office Suite is to ensure that the program you use on your laptop or desktop can be used on your other hardware and with any Internet-based server you may choose to store and manage your information. You want to make sure that you can synchronize and export between devices and servers. Following the high-tech Master Marketing Model discussed in Chapter 13, the new contact information and client meeting you entered into your PDA while at lunch is exported to your online database and updates it so that you can pull the information up on your laptop at home later that evening.

Learn how to use all the features of these programs. They will make your life much easier and transform the agent-juggling act into one efficient and highly organized system. Once you input a person’s or company’s contact information, you never have to do it again as long as you know how to access it from different programs. If you want to send someone an e-mail, just click on his or her e-mail address. A fax calls for a click on their fax number. If you want to send a letter by snail mail, your contact program address book provides their address for the letter in your word processing program.

There are several issues you should look at in choosing a contact management program, such as Outlook. One is the template used to index contacts. Another is whether you will use your program in conjunction with an online database management provider.

Some agents feel that Outlook does not fit the real estate sales business model well enough, and they instead choose ACT!, Top Producer, Realty Empowerment Systems, or FileMaker Pro, to name a few. These programs allow you to index each contact under any number of categories, either preset or customized. All you do is check the category you want to apply to a contact.

But you also can use Outlook in conjunction with a product available from Sonoma Enterprises (www.SonomaEnterprises.com) called Active Agent. This program, when downloaded onto your computer, will change the contact template used in Outlook, Top Producer, and a few other programs. Instead of the standard contact form, it modifies the template with a real estate theme so you can enter the information and designate real estate categories for that contact.

You should consider contact management systems that are web-based products. These are accessed from any computer that is connected to the Internet. Our high-tech Master Marketing Model featured in Chapter 13 adopts a web-based product with lead generating capabilities and 24/7 marketing of your services. While the merits of this type of product are discussed in later chapters, here are some basic advantages of a web-based product:

When choosing a web-based product make sure that you can download your information easily and quickly. You must consider the big picture. What happens if you decide to switch to another product later on down the road? Will you be able to easily retrieve your information and upload it to your web-based contact manager? These are all important factors to consider.

Many agents still write checks by hand and then spend at least a week organizing, categorizing, and totaling receipts for tax purposes. There is no reason to live in the dark ages any longer. Technology provides tools to make these activities simple.

Use an accounting and check-writing software program. These programs automatically itemize your deductions as you write checks. They will also keep track of your trust account and separately itemize client deposits. With these accounting programs, preparation for filing your taxes becomes simple. All expenses are tracked under the correct deduction category as you pay them; then, at tax time a report shows each category, all expenses in that category, and a total for those expenses. Always think as a small business owner should: Does this payment qualify as an expense? Which category does it fall under?

Pay for everything by check or business credit card. When you pay your credit card bill, take a moment to itemize each expense into the correct category. When you write your checks each billing interval, you just pull up the contact information for that vendor. There is no need to input vendor information again as it is already there. All you do is change the amount of the payment if it differs from the time before. Handy window envelopes allow the vendor name and address printed on the check to be seen through the window for mailing purposes.

There are now transaction management programs available to guide you through the myriad steps your transactions require. What was once a highly complex process with a multitude of contract terms has now become a streamlined, organized practice. This important transformation has come through the advent of standard contract forms that integrate with transaction management programs.

Not long ago we had hundreds of contract forms. Now, across the United States contracts have become more standardized. For the most part, we use ZipForm in most states and WINForms in California, both available online and as product downloads. These standard forms now integrate with transaction management software, such as Relay Online Transaction Management (www.rebt.com) to simplify transaction documentation and management so that even a new agent can make sense of what is without a doubt a highly sophisticated and detailed process.

These transaction management programs offer customizable checklist templates that identify each transaction step, offering forms to complete each step and calendar dates for accomplishing them on a timely basis. As you will see in Chapter 14, diary dates end up on your calendar and you are e-mailed a reminder in advance of each event.

Furthermore, since the entire transaction is online, the many parties involved in your transaction can review the status of activities and integrate their activity with yours, making the transaction far more collaborative than when each person works solo. The database becomes more unified for the many transaction participants to join together as a unified team. Of course, no one will view the private details of your transaction unless you give them password permission.

I suggest you take two steps with transaction management. One is to use either ZipForm (www.zipform.com) or WINForms (www.winforms.com), depending upon where you practice, and use transaction management software (www.rebt.com), preferably online, that integrates these standard forms. The second is to obtain the assistance of professional transaction coordinators to help you carry out the massive number of transaction steps.

You can obtain transaction coordination virtually (online) or in person. Virtual assistance is available through companies like Team Double-Click (www.teamdoubleclick. com). The charge is $300 per buyer or seller side per transaction. Or perhaps your office provides transaction coordination assistance. If you use a transaction coordination system like Relay or SettlementRoom, you want your coordinator to have experience with the same program. The two of you will complete the steps online so each of you can be aware of the transaction’s progress.

Learn how to attach files of all types to e-mails and e-faxes. For instance, your contracts and other forms are most likely stored on the computer. If not, go to www.Zipform.com or www.WINForms.com (California agents) and begin using the right form for you. Instead of being limited by the paper shuffle (printing out documents and transmitting them by fax, by mail, or by hand, and receiving them back in the same manner), you are able to attach these documents to an e-mail or e-fax and send them from your computer. If a file is not online or stored in your computer, you can scan the document into a computer file and attach it.

Attachments aren’t only for forms, you can attach pictures, other e-mails, and address book pages. By using an attachment to e-mail instead of inputting directly into the e-mail, formatting is better retained and transmission may be faster. There are all kinds of tricks of the trade that will make your computer experience much easier and more productive. Take the time to get some training and spend some time with each of the features of your contact management program.

You will need to scan documents in order to get them into a computer format so you can store them on your computer or send them to others as e-mail attachments. This is done with scanning hardware and the software that comes bundled with it. If you also want to edit the documents you scan, you will need character recognition software.

Most cameras come with their own photo software. This software allows you to tweak the picture until it achieves the look you are after by adding more light or color, centering the picture, or resizing it, to name a few of a multitude of options. You will want to use these features to their fullest so you can make your listings look more appealing.

Everyone needs access to the Internet these days. If you have e-mail connectivity, you also have Internet access. The Internet is an amazing source of information and tools. Of course, you have to consider the reliability of the source depending on the type of information you find. The Internet can be a multi-purpose tool, useful for gathering information and for marketing your services and advertising your client’s listings.

To connect to the Internet, you need the service of an Internet service provider (ISP). You will have to connect to the Internet to get your e-mail, access the MLS listings, or gather information from other websites. A dial-up connection is the most economical, but can be very slow and inconvenient when viewing graphic-intensive pages or accessing applications like the MLS. No truly high-tech person can do without a high-speed connection such as DSL or cable. The additional cost will be worth the time you will save not having to wait to view pages.

Make sure you understand your Internet browser and its capabilities so you can make the most of the world of information available through Internet access. The Internet is quickly becoming the place where a lot of marketing takes place. Keep abreast of what the Internet offers. It changes daily. Its potential is unlimited.

The multiple listing service (MLS) is a membership-only website, although there is now a public version called IDX featured in the next chapter. The MLS site includes many sophisticated features that allow you to perform complex searches for properties for sale or rent and to locate comparables. There are also prospect-matching functions that allow you to automate e-mails of new listings to prospects without even touching your computer. Your prospect receives a full-color display of new listings without any continuing effort on your part.

There are also tax records to search and important statistics to access. Most MLS programs also include desktop art features for professional creation of flyers, brochures, and other marketing materials. Make sure you receive thorough training in the use of this service. You will receive some training through your office, but you should also sign up for some courses through either your local board or the multiple listing service itself. Agents often underutilize computer technology. As you can see, this would be a big mistake for you.

This section should have a big warning sign that says: “If you rely on computer technology, you must have a backup and an antivirus system in place.” Because your computer contains your real estate world, you must safeguard its information.

Virus protection is easy. Make sure you have virus protection software, such as Norton AntiVirus, installed on each computer, and that each is updated at least weekly. Backing up takes a little more work.

Some ISPs are now offering excellent antivirus and firewall software to their subscribers. This can be a big plus to you and your computer. You can download the software at no additional cost to you and have complete protection from virus infection. Not having virus protection on your machine is tantamount to driving with your eyes shut. You will eventually run into something and it could be fatal to your computer and its database.

The convenience of having a portable computer has its own downside: as it is transported from place to place, it becomes susceptible to crashes and loss. Always back up your information to another location that does not travel with you or utilize an online database management system.

In my office, we have multiple computers that are networked together. One computer acts as a server that all information is backed up to. If you have just one computer or have no network capability, you will have to use writable CDs/DVDs, USB drives, Zip disks, or tapes as your backup medium. Consult a professional or a technology-savvy friend if these processes and terms are unfamiliar to you.

Whatever you do, don’t ignore backups! Backup utilities come bundled with the latest Microsoft operating system as part of its highly accessible system tools or can be purchased separately from other vendors. Some backup utilities are included with writable hardware like CD/DVD writers and Zip drives. It just takes a few clicks to initiate a backup. You can set the backup to occur automatically with just a few more clicks. One week is the maximum time to elapse between backups. I back up only my documents, since my software is available and filed away.

Now that we have affordable Internet-based servers available to house our information, backing up and virus protection are reinforced. Currently, my office is transitioning all our server information to an Internet-based server. The result will be ease of information synchronization and improved virus protection and security.

Because you will have multiple locations where you access information, it is necessary to understand computer connectivity for e-mail, fax, and Internet access. This means knowing how to track your Internet service provider’s access numbers and change your access to conform to that number if you use dial-up access. You will want to know how to make these changes on the devices that will travel with you: your laptop and your PDA. Although I am on land line at the office and home, I use wireless while in the field whenever possible. It’s easy because it finds its own cells to interact with.

You will want to synchronize data throughout all of your devices, which involves having the right hardware and software. Some PDAs have software applications that will not “sync” with the applications used on your laptop. Do not purchase these devices. Get those that are compatible with the applications you use on your computer. If you use an Internet database, make sure all of your files will be exportable to the online system.

The answer to full integration is twofold. First, make sure that each computer device you purchase is fully compatible with your contact and calendar applications. Second, make sure your computers have the right ports so they can physically network with your other computers or your online database so you can exchange information between computers. Again, if you don’t understand the issues involved in making these devices compatible with each other, consult a friend or technically savvy person who can help you.

For some programs you will require hands-on training, for others online instruction will do, and for others self-instruction will suffice. It all depends on your level of interest and discipline. You will probably use a combination of these sources. Most software programs have handy tutorials that step you through the basic processes. Some classroom training is advisable for the programs you will use most often.

There are many places to acquire the skills necessary to become fluid with your computer programs. Local community colleges have night and day courses on the most common programs. The private sector has many good courses to offer, too. Some are quite economical while others can be pricey. You can take many courses online in the convenience of your own home or office. Ask at your local Association of Realtors.

Often they provide technical assistance. Check with the title companies, too. They have a multitude of programs that you may take to sharpen your computer skills.

The National Association of Realtors is up to date on technology. Join them and make sure you get on their weekly e-mail update. They provide weekly information advisories that include the newest, latest, and greatest of everything to keep your business cutting edge. Don’t just get these advisories. Read them.

The Least You Need to Know