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Ivan Choi said there were over 400 in attendance last night at the annual REOMAC dinner meeting at the Marriott. There was a commerical short sale and note sales workshop at 3:00pm to start things off. I heard really good comments from the first speaker, one comment was out of the 200+ commercial short sales he has done, the longest was only 90 days! Huh, kinda makes me start to re-think some things.

I didn't know these REOMAC speakers personaly on stage but the second presenter was more on the financial side of the commercial default/ distress part of the business and I have to be honest it was very informative and interesting. That stuff would normally put me to sleep but to see how the inner workings of this high end commercial financing and syndicated loans with the wall street people making money of the margins was new to me. Thank you REOMAC, any day I can learn about my craft and put into use is a good day.

Then the opening reception at the REOMACdinner meeting was a meet and mingle with other industry folks was interesting as well. I took along my flip video camera and will post on you tube under  REOMACDinner Meeting Dec 2010 or San-Diego-REO.com . This was my 3rd dinner meeting with REOMACand as always I saw some old friends and some of my new friends as well.

The after dinner discussion was on a differerent level and I agreed with some of the comment and did not agree with others. Everybody has an opinion and maybe one of those will really help us out of this mess.

See ya...Cheers :)   This space is reserved for the video.  I am editing as REOMAC speakers are NOT to be on video.

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Regardless if you are for or against making changes to the Mortgage Interest Tax Deduction, lets first talk about what this tax deduction really is.

The mortgage interest deduction is a social entitlement. Like all other social entitlements, it does the following.

1. Allows the government to directly influence free markets.

2. Has a continual growth pattern, never retracts.

3. Replaces the power of the individual citizen with the power of special interest.

4. Progresses a Socialist / Progressive agenda

Point # 1:

The Mortgage Interest Deduction is a tax deduction that came into existence back in 1986 with the Tax Reform Act of 1986. The decision to create the tax deduction was done so under the belief it would encourage homeownership. As many of us learned with the recent real estate bubble bursting, it’s my belief and opinion that anytime our Government decides to artificially influence free markets in the name of “progress”, it may not actually be a good idea. Yes, I do believe Government has a role but, I do not believe it should be in the business of creating “incentives”. As we have learned, Government incentives can artificially inflate segments of our economy that can ultimately burst.

Secondly, I don’t believe America was built on an ideology of Government handouts or incentives, at least not the America I grew up in. We are a self reliant people, we are a charitable people, we are not socialist or progressives who believe in large or more Government.

Point # 2:

As we are learning from Europe, social entitlements do not retract or go away. They grow and grow and grow till, they end up eating all the money and collapse under their own financial weight. Sadly, I wish I could say America hasn’t made any of these types of entitlement mistakes however, we have with healthcare and social security.

Social security is bankrupt and we are currently paying our elderly, retired and disabled with debt. Social security is crippling this country and we are looking at posterity measures not to save social security but to keep our country from financial ruin.

The recent healthcare passage is another entitlement that is raping our children’s future. I don’t know about your household expenses but, we are going to see a 2,500.00 rise in 2011 in our health care insurance and that was directly contributed to “obamacare” in a nice little letter from our insurance provider. Even the CBO, Congressional Budget Office is warning now that cost predictions were off and healthcare has the potential to bankrupt this country.

So, to my point, how many of you can even stomach the idea of ending social security? I venture to say, none of you.

Point # 3:

Social entitlements are just that “social”. In other words, it’s a form of collectivism that removes the voice of the individual for the voice of the collective good. The problem with this is, the “collective good” is nothing more than a pipe dream. You see, we are all individuals, we are all different, we all have our own likes and dislikes and therefore, we can never have a 100% collective good. So, instead of social entitlements offering a “good” to everyone, they just end up offering a “good” to those who would be directly impacted.

For example, the Mortgage Interest Deduction doesn’t do any good for people who aren’t buying or own a home so, it doesn’t help everyone. Social security only helps the elderly, retired, disabled but, if you are a 25 years old, healthy working person, you pay into a bankrupt system that chances are, you will never use because, by the time you qualify, it will be collapsed.

Social entitlement create population segments that are segregated based on the qualification for the benefit. It’s a form of class warfare.

Point # 4:

Social entitlement moves our country away from the Republic we were created to be and moves us towards a more socialist, progressive Government where our constitution is made irrelevant and our elected officials, loose their power and the individual citizen become non-existent. This isn’t the American way.

I am no accountant. In fact, until about a year ago, when I finally created a check registry on Excel, I would rarely record purchases and transactions. My method of book keeping would be occasionally checking my bank account online. Well after several overdraft charges, I decided it was time to start recording my transactions. As I mentioned, I am not the most qualified person to run my accounting department.

I manage a lot of properties for mortgage companies. Part of my job is paying for services like utilities, recurring lawn maintenance, trash-outs, re-keys, etc. At any given time, I could have upwards of $10,000 of my own money floating around out there. I would pay for the service and then submit the invoice for reimbursement. The problem was in my disorganization. I lost a lot of money due to invoices not being submitted right or on time.

With the help of Carter Smith from my Dream Team (see Supporting Cast post at www.nickbusinessjournal.com) I finally decided to hire an accountant to handle my invoicing and billing. We are still in Beta testing phase but I feel confident that this is going to be a huge game changer for me.

This is going to allow me to focus more on what I am good at (selling) and take the burden of what I am not good at off my hands. It may or may not save me much money, but at a minimum it is going to allow me more time with my family. And that is most important to me.

Shortsales, Foreclosures, Deed-in-Lieu, Loan Modifications, HAMP, HARP, and a host of others industry terms have only recently become common vocabulary. Many of these terms have been around a long time, however they have become much more common because of current market conditions. The Real Estate Market of the last couple of years has been particularly volatile. Because of this, it is increasingly more difficult for home sellers and buyers to know all of their options and to choose the right one for their particular situation.

Because of the number of variables and volatile market conditions (which can vary drastically from state to state, city to city, and even neighborhood to neighborhood) it is imperative that consumers seek the advice of Real Estate Professionals who have current, recent, and relevant experience!

Ask your real estate professional how many transactions they have been involved in in the past 12, 6, 3 months! Most likely, conditions in your market have changed alot during that period and if your agent has not been active, you may want to seek another opinion from a more qualified professional.

Also, consider the importance of dealing with an agent experienced in the type of property you are interested in. Just because an agent has sold some condos doesn't necessarily mean that they know what the single family market is doing.

It is more important now than ever to seek the advice of experienced and qualified professionals when making such an important decision as required in a real estate transaction.

Experience REALLY Counts in This Market!

For Experienced Pros in the Boise Idaho area visit us at www.BuyandSellinIdaho.com

Ok I will grant you this is an REO forum but I believe we all help buyers at one time or another and what I am about to say might irk a few colleagues but then again let's have some dialogue on this! Here I go:

I was reading on another blog how this one agent wanted to inject his own comission bonus into a purchase agreement and the overwhelming consensus was that it was illegal to do so. It seemed to get hung up on that one fact alone,not just the offer being submitted was "lowball". Yet a less than market price can be but not necessarily is an injustice to a seller and may even be an insult if it was priced in accordance to its condition and the area. The buyer is not being serious just throwing a figure at the seller. I mean really lowball too! not just 10% off list price.

Homebuyers are sometimes their own worst enemy in my own experience. I mean how many of you would just go to the first doctor, lawyer, or mechanic that you run into? No one I think. Yet I see homebuyers on openhouses that want to talk to the listing agent, thinking obviously that they will get a better deal. Sometimes I wish the California DRE would outlaw dual agency for real estate salespersons, drastic but it solves the problem.

It happened to me recently that a couple that was referred to me wanted A PARTICULAR property. After I found out some information about it, I emailed them (I only had an email address) and they were appreciative and told me they were going to drive around and see what was available that weekend as the property the inquired about was not available to show. As time wore on the property became available and I emailed them about 3 times to set a time to see the property. She replied that they put an offer on a house and she would let me know Monday if she still wanted to see LeFloss Ave. I asked her if they went through the listing agent , if they called a number on a sign, etc. and proceeded to tell her about dual agency , how buyer's agents do more than turn keys,and how they are short changing themselves on truth in representation. She thanked me for the advice and I guess it did not matter to her as she said they would let me know on Monday if seeing Lefloss was necessary.

Another more onerous ploy is someone that I have been working with for 8 months trying to find a home in another city. I set her up with my trusted loan oficer as well. I spent a long time dealing with her constantly changing specifications and eveny time I would change my showing criteria to what she wanted, she would find something wrong with the homes I showed her or say they wanted too much (she wanted quality so I showed her homes on the upper side of her approval range.) We even were going into contract on a home 15 miles further east but she backed out after the listing agent could not or would not get the bank to honor a previously quoted price.

She eventually was first shopping loan officers as she was very conscious about loan costs. Funny thing is they were all within dollars of each other! Then it turned to me...she said she was being honest but she was having a "local" agent shop for her as well! I told her all agents see the same properties on the listing system, and pointed out if she was not shown a property that she drove by, it was because that property did not fit her criteria. I handpick the properties to show my client. I also told her that I spent alot of time learning about what she is looking for and that she would have to retrain another agent. I hope she did not go off a sign like above! I literally put her on the top of my priorites.

Therefore that does it. Out comes the Buyer/Broker agreement! I am tired of disloyalty because I work hard for my buyer clients. I thought being free and by choice would make them feel comfortable but then how much does a homebuyer know about what really happens during an escrow? Would they not prefer to see only homes that fit their needs and desires? Or do they want to buy a home like they buy bread at Walmart? Homebuyers need to learn about agency and how a dedicated buyer's agent can protect their interests.

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The threat of hyperinflation is more real as Russia and China announce that they are renouncing the U.S. Dollar for and will use domestic currency in bilateral trade.

So, what does that mean to you, average American.

Well, first you need to understand that the only reason the US Dollar was chosen to be the World reserve currency is because, no other currency in the World was as stable as the US Dollar.

Now, that has all changed. With the Fed doing these “Quantatative Easements” which is essentially monetizing the debt, the world is wising up and moving out of the dollar.

It just dosen’t make any monetary sense for these countries to hold onto US Dollars because they are loosing money due to the fact the Fed is monetizing the debt. To make this a bit more real for you to understand, imagine for a second, you and I are countries. So, let’s say…..I want to sell you something, anything but, you can’t pay for it right now, you need to pay for it in six months, when we ultimately settle. Now, here is the problem. If your currency that you pay me in isn’t stable and it’s value drops 10% over that 6 months well, I just lost 10% on my deal.

Now, translate that to how America is purchasing money from China in the form of loans. China isn’t going to continue to loan because even if they charge us higher interest rates, we are devaluing our money so quickly, they still end up loosing millions, billions and possibly trillions of dollars before the bill is even due!

So, what does China do? They start selling off their dollars by renouncing the dollar and moving all their trade deals to their own domestic currency. In other words, they will flood global markets with so many dollars that instead of seeing dollar values drop 10% over 6 months, we can see it drop 10% in hours.

In other words, domestic US prices of goods and services will skyrocket equal to the amount of loss and because this will create panic with in the US financial system, you will see a run on banks which we all know, they don’t have the cash to pay out because of the real estate bubble bursting.

I am normally not a doomsday type of person however, when countries start announcing that they are no longer trading their goods and services in US Dollars but, instead they start selling those dollars to try and recoup whatever they can, I am afraid we may have slept through the wak up call.

The point is, the more Quantatative Easement we do, the more we end up screwing foreign countries and the less powerful our dollar becomes against other currencies. The biggest fear is that ultimately our country could end up moving towards a more socialist society in response to this mistake the Feds are making.

The IBT reports:

“We agreed to expand the possibilities for application of national currencies during trade and economic contacts,” said Russian Prime Minister Vladimir Putin after holding talks with the Chinese premier Wen Jiabao.

However, the move is not aimed at challenging the dollar but to protect their economies, as the countries started exploring other options in the wake of the global financial crisis.

With Russian ruble already trading on the Chinese exchange, yuan trade in Moscow is expected to begin in early December.

The bilateral trade between the two countries is estimated to reach above $50 billion by the end of 2010, according to the Russian government. A major chunk of the trade is transacted in US dollars currently.

Has this happened to you?!?

Lately I have had clients make offers on Freddie Mac REOs with the local Freddie Mac REO listing companies. In Boise, as in many communities around the country, local brokerages have a virtual monopoly on listing properties for Fannie Mae and Freddie Mac.

The overwhelming number of REOs dumped onto our market has completely overwhelmed these listing agents. Of course, some of these REO agents are really great. Others agents though.... Just try getting a response from them within a week or two! We have one offer in on a Freddie Mac property and have not had a response from the listing agent for over three weeks! Turns out they recently received approximately 50 new Freddie Mac REO listings. Seems to me that this will merely reduce their poor service and slow responsiveness to non-existent!

It stands to reason that if Fannie and Freddie really do want to liquidate their massive inventory, then they need to spread these listings out over many more agents so that no one individual is overwhelmed. If you have had similar frustrations please comment so we can raise awareness of this issue and help facilitate positive changes in this industry!

I found the following graphic at REOInsider.com

Can we be thankful in these economic times of inflation, bankruptcy, foreclosures, and unemployment. Some of today's headlines read “Homes in Default Hit Historic Records”, “The Real Estate Dooms Day Scenario”, “Home Value Loss....Greater than The Great Depression”. It's hard to be thankful, when commissions are cut, more Realtors getting into the industry, more guidelines and rules to follow. Can we be thankful in this business? The answer is yes. We in the default industry are a people that are united in helping people. We help the homeowners stay in their homes, or help them sell their property pre-forclosure, we help the banks liquidate their assets. We can be thankful because we are needed. We can be thankful because this economy has made us stronger, surviving in these times has given us the experience, creativity and toughness to know that we can face anything the future holds. We are blessed with supportive family, and friends. We can be thankful because we give and keep on giving, and that brings us more prosperity, if not now, soon. During these times, keep a positive attitude, keep looking up and be thankful.

Most of us understand that when we borrow money to buy real estate we sign a document that requires us to pay back the money over time to the bank. Most borrowers loosely refer to that debt as a "mortgage." When our most recent market bubble burst many Americans, unfortunately, became intimately familiar with what happens when they don't make their mortgage payments - Foreclosure.

The Foreclosure process is different depending on the state in which you reside and the two different foreclosure processes have very different impacts and time lines. For instance, when JP Morgan Chase and GMAC Rescap announced they would be halting foreclosures, the decision only affected 23 states; the reason, only 23 states require court approval to amend foreclosure affidavits. These differences find their roots both in the mortgage laws our country inherited after the split from England, and later common law changes which occurred in some states after legal challenges.

Background - Title Theory vs. Lien Theory

Simply put the foreclosure process your state follows can depend on whether the state laws subscribe to the idea that a loan is simply a lien against your property "lien theory" or that a loan is a conveyance of title to the lender until the borrower pays back the loan in full "title theory." English mortage law follows title theory, therefore when our country began, the mortgage laws required title "ownership" of the home be transferred to the lender until the debt was paid off.

In 1791 attorneys in the state of South Carolina argued successfully that a mortgage, despite its wording, simply created a lien against title giving lenders the right to acquire title only after the proper foreclosure proceedings had been followed in a court of law. Thus with the Act of 1791 South Carolina became the first state in the Union to subscribe to lien theory with regard to mortgages. Since then 33 states have adopted the lien theory, while nine states continue to subscribe to title theory. Nine other states, and the District of Columbia, use an intermediary theory where the mortgage is treated as a lien unless the borrower defaults, at that time title is conveyed to the lender to pursue foreclosure.

Mortgage vs. Trust Deed

Although many Americans call the loan against their property a mortgage, many of them actually agree to a different instrument with their lenders - a Trust Deed. The differences include both the number of parties involved in the transaction, who technically holds title to the property, and ultimately how the foreclosure process will proceed.

A mortgage is an actual document that borrowers sign and convey to their lender in order to secure a debt on their home. It involves two parties, the borrower (mortgagor) and the lender (mortgagee), and creates a lien against the property that is normally recorded in public records. This lien prevents the borrower from transferring title or ownership until the debt (mortgage) is paid in full and the lien released.

The title holder during the loan period can be either the borrower or lender depending on which custom is practiced in the state where the property is located – “title theory” or “lien theory.” As discussed above, the borrower conveys title to the lender during the loan term in a "title theory" state and continues to hold title in "lien theory" states. When a mortgage is the security instrument, the lender usually has to go through a court action to foreclose. This is called a judicial foreclosure.

Unlike a mortgage, a trust deed (aka deed of trust) involves three parties – the borrower (trustor), the lender (beneficiary), and the trustee. The purpose of the trustee is to act as a neutral third party holding title until the debt is paid in full. Who is eligible to be a trustee varies from state to state although most often trustee services are provided by either a title company or an attorney. Actually, trust deed agreements include two documents, the trust deed which conveys title to the trustee and the promissory note between the lender and the borrower, outlining the terms of the agreed upon loan.

Another significant difference is in the foreclosure process. When a deed of trust is involved, foreclosure is faster, less expensive, and less complicated than when a mortgage is the security instrument. If the loan becomes delinquent, the trustee has the power to sell the home (as conveyed in the trust deed itself). As protection to the borrower, the lender must first provide the trustee with proof of delinquency and request that foreclosure proceedings be initiated, then progress according to law and as dictated by the deed of trust. This type of foreclosure does not have to go through the court system and is commonly referred to as a non-judicial foreclosure.

Judicial vs. Non-Judicial Foreclosure

Perhaps the most vexing position to hold as a lender is to be plaintiff in a lawsuit against the unfortunate family, in financial hardship, facing the prospect of losing their family home. In many states across the country foreclosure proceedings still take place in a court of law, sometimes in front of a jury, to decide whether or not a lender can take back real estate in the foreclosure process. Limited to lien theory states, the timely and arduous process provides defaulted borrowers opportunity to defend their ownership and requires lenders to meticulously follow procedural laws.

The judicial foreclosure process begins with the lender filing a complaint and recording a notice of Lis Pendens (it's important to note both the predure and form will vary by state). The complaint will state what the debt is (amount and the real estate by which it's secured), and why the default should allow the lender to foreclose and take the property pledged as security for the loan.

The homeowner is given a notice of the complaint (NOC) either by mail, direct service, or publication of the notice, and will have the opportunity to be heard before the court. If the court finds the debt valid and in default, it will issue a judgment for the total amount owed, including the costs of the foreclosure process. After the judgment has been entered, a writ will be issued by the court authorizing a sheriff's sale.

The sheriff's sale is an auction, open to anyone, and is held in a public place, which can range from in front of the courthouse steps, to in front of the property being auctioned. Sheriff's sales usually require cash to be paid at the time of sale, however they may sometimes allow a substantial deposit with the balance paid later that same day or up to 30 days after the sale. At the end of the auction, the high bidder will be the owner of the property, subject to the court's confirmation of the sale (another key difference between judicial and non-judicial sales). After the court confirms the sale a sheriff's deed is prepared and delivered to the highest bidder, when recorded, the high bidder becomes the new owner of the property.

Non-judicial foreclosures, on the otherhand, are processed without court intervention, in accordance to the foreclosure procedures established by state statutes. When a loan default occurs, the homeowner will be mailed a default letter, accompanied by the filing of a Notice of Default (NOD). If the homeowner does not cure the default within the time-lines specified by the state where the property is located (in California the time period was 90 days from delivery of NOD prior to 06/15/2009 new laws have added 90 days to that process see ABX2 7 and SBX27), a Notice of Trustee Sale (NOTS) will be mailed to the homeowner, posted in public places, recorded at the county recorder's office, and published in area legal publications.

After the legally required time period has expired (21 days in California), a public auction called a Trustee Sale will be held the highest bidder becomes the owner of the property, subject to their receipt and recordation of the deed. Auctions of non-judicial foreclosures will generally require cash or a cash equivalent either at the sale, or very shortly thereafter.

Although each state dictates their own foreclosure procedures, all foreclosure actions follow either a judicial or non-judicial method. Which method typically depends on the legal theory (lien or title) practiced in the state and which instrument (mortgage or trust deed) is used to secure the debt. The implications of these actions can determine other key factors in the foreclosure process such as deficiency judgements or rights of redemption. For detailed information in your state consult an experienced real estate attorney licensed in your state.

charts courtesy of James L. Wiedemer - The Home Owner's Guide to Foreclosure

It is not easy to close a transaction, and an REO is no exception. In my area we do not have a lot of bank owned properties for sale. Even in 2009, when San Jose had a good number, the northern part of Santa Clara County had very few foreclosed homes as a percentage of listings, and newer, nice homes were even harder to find. In 2010 the REO inventory has been few and far between, so when a 4 year old home in the western part of Sunnyvale came on the market I had a buyer who jumped on it right away, and managed to get his offer accepted in a multiple offer situation. The home was foreclosed by Chase, and they wanted a pre-approval from Chase, so the listing agent told everyone to go through Long Nguyen, a very nice and competent loan officer from Willow Glen. My client was very impressed with Long, and decided to use him to get the loan for the property, not just for the pre-approval. Well, nothing was particularly easy. The appraiser took 14 days to submit her report, and on a 17 day contingency that does not work out too well. The underwriter also declared the property a second home instead of a primary residence, so that took time to fix. Last week it was apparent that not only would we not meet the contingency removal deadline, but the closing date was also not going to be possible. Long tried to pull strings and got his wrist slapped, but kept persevering. My client was a little perplexed about how innefficient everything was, but did not blow a gasket. In the middle of a bad conversation about things not going right I stopped and thanked Long for doing so a great job and working so hard for us. He acted as if I had just handed him a million dollars. I guess a thank-you goes a long way, especially in these tense times.

The great news is that loan docs were finally drawn, my client signed today, and hopefully we close by Wed, only 2 days late. Chase gets their money and a new loan, my buyer gets a 4 year new home with great schools and only a little cosmetic damage, Long, the listing agent and I get our commission, and no one was yelled at, belittled, or made to feel like they were not wroking as hard as possible. It really makes for a more pleasant transaction if you just say a few thank-yous.

WOW, I just was looking over some SEO (Search Engine Optimization) stuff for a question recently sent to me by a member and I noticed, in Google’s search Engine, if you type, Jesse Gonzalez Nashville, you get 293,000 results of which, I am all of the top 10, first page!!!!

The best part of all this, I didn’t have to pay a dime for it. Yes, it was completely free.

So, how did I do it?

Blogs.

That’s right, all I did was blog at least once a week and now my brand, my name, is the top 10 for Jesse Gonzalez Nashville. In fact, I started looking over other possible searches for me like, Jesse Gonzalez, Jesse D. Gonzalez, Jesse Gonzalez Realtor, Jesse Realtor in Nashville, Jesse Foreclosure Realtor, Jesse Foreclosure and it seems that no matter how you word it, I pop up at least twice in the top 10 and at least once in the top 5.

Once again, if you want to become a local real estate expert, if you want to SEO optimize your brand, you can’t underestimate the power of blogging.

For goodness sake, what is stopping you? Are you just sooooo busy that you can’t spend at least 20 minutes a week writing at least a three paragraph blog. Are you soooo busy that you can’t post your blog on AgentNewsWire for even greater SEO Optimization are just soooo busy all that is just too much? Are you sooooo scared that you might write something wrong or misspell something or offend someone or (insert your excuse here).

I got one thing to say…………..just remember that your competition isn’t.

I am looking at bring my daughter in to my business. I could use advice, here is my plan.

Form a LLC with her as the owner at least 51%. I am currently with Keller Williams and will eventually get my Brokers license then go independent but I still want her to be able to take it over someday and in the meantime I want us to be able to be a minority owned company I think that will help expand my REO business.

Ok not really but I really wanted to announce that somehow NAHREP has figured out how to get the shortsale and REO department VP to come to a two hour presentation this Thursday at 11 am in Pasadena CA!

Amazing low cost...$25.00!!! Two hundred seats still available! Shall I bring my resume? I am definitely going full on business attire for this....never can tell they just might be in a good mood that day to hand over a listing.

Hope to see some of us there!

Most companies are looking for the best, inexpensive ways to advertise because they don't have millions, or even thousands, to spendon advertising. Make the most out of the ad dollars you do have, nomatter how limited you are. These cheap ways to advertise give you avariety of options to choose from when you're on an ad budget diet whilegiving you a good return on your advertising investment:

Create a Flier

Creating your own flyer to advertise your business is simple, inexpensive and it's a great way to generate buzz about your company. Ifyou really want to make your flyer an effective advertising tool, offerincentives or discounts to people who bring in your flyer. This alsogives you an informal way to track how many people are coming in justbecause they saw your flyer.

Advertise on Cable

Wait! Before your eyes skip over this section, thinking it's just for those who can afford a TV commercial, keep reading. You canadvertise on cable through crawls, full screen ads and above programlistings. These alternative advertising methods are very affordable.Crawls can cost under $10 a day.

Use Your Web Site to Advertise Your Business

Many business owners think they only need a Web site if they sell products online. No matter what type of company you have, you need a Website. Potential customers hit the Internet looking for companies intheir local area. If your competitor's online and you're not, guess whohas the advantage. Build a Web site that's beneficial to customers,though. You want to make a positive, lasting impression and having apoorly built Web site is a terrible way to advertise your company.

Post Your Commercial on YouTube

If you do have a TV commercial, get more shelf life out of it without having to pay for more air time. YouTube is an often-overlookedadvertising vehicle. It costs nothing to post your commercial on thesite and you can promote it on your own Web site so customers in yourarea can watch your commercial(s) online.

Cross-Promote Your Business Through Partnering

National companies partner every day because it's an excellent ad tool to reach new customers and cut the advertising costs at the sametime. But partnering isn't just for corporate giants. Going in withother businesses helps you save advertising money while increasing yourexposure to customers.

Produce a Newsletter

A newsletter helps you keep in touch with your current customers and tap into a market of potential customers. Your newsletter shouldn't beused to send ads to your customers, though. Use your newsletter toprovide your customers with valuable information that makes you thecompany they remember when they're ready to buy.