The “accidental” real estate broker from Cebu, Dr. Samuel Ortega Lao, is now the Nationa...
“ What to Do ! What to Do ! “ said Winnie the Pooh and I am sure that a lot of our real estate practitioners are wondering What to Do !!!
Having come from Developer Sales, the Asian Financial Crisis hit me very hard as we were not ready for the hard times. Pre AFC payment terms were CASH or a 30% to 50% down payment so commissions were released in full within 7 days. We were AWASH with CASH but we were also WALDAS sa CASH. Having survived and even prospered in many an economic collapse, I made a short list of things that YOU can start doing.
- FIND YOUR SILVER LINING: Take a few steps backward to analyze your situation, checks your strengths and weaknesses then go for the niche where you will shine. After the AFC, I saw that the biggest owner of real estate was going to be the Banks. I started courting the Banks in 1999 and go my first deal in 2002.
- STOP THE BLEED: If you recently invested in real estate with the dream of the elusive self liquidating passive income, could be that you are bleeding right now if you are leveraged. Look for a Pasalo or just turn your back and walk away. Your bread on the table is more valuable that the dream of the investor status.
- CUT YOUR COSTS THEN CUT IT AGAIN AND AGAIN: In recent months, a swanky hip office was the pride of many real estate agencies. Some paying premium for bragging rights. In todays sales production, you might want to have a second look. Also check your cash outflow and cut it by 20% then 10% and finally 5%.
- PRESERVE YOUR RESOURCES: We do not know what is the light at the end of the tunnel. Is it a train coming or is it clear skies? This could last 6 more months or 2 more years. After the AFC when funds were starting to get depleted, I started selling my antiques and cars to replenish my living fund.
- NEGOTIATE AND PAY YOUR DEBTS: Do not use the pandemic as an excuse to squeeze yourself from paying what you have used and consumed. You never know the real situation of the other party. You have to keep the money in the economy passing for user to supplier to user to supplier.
- STAY FOCUSED ON YOUR INDUSTRY AND EXPERTISE: Today everybody has discovered their hidden talents for being Chefs and Bakers with our Facebook timelines full of online sellers. Keep your focus on the real estate industry and sharpen your skills in this trying times. Remember in real estate, ISANG BENTA KA LANG.
More to come next Tuesday. Check out my YouTube Channel and Subscribe: THE PROPERTY FORUM.