Find Me Some Buyers...

We’ve heard this very comment countless times in the last 60 days, perhaps more notably in the Western United States, as the market continues to shift. The average days-on-market is longer. There are more houses on the market. And, the tables have turned in favor of the “all mighty buyer.” The market has shifted, and this inevitably means for some, on its way back to ‘normal.’


As Title Sales Professionals, what can we really do as real estate ‘Business Consultants’? Do Realtors actually expect us to pull buyers out of our pockets and hand them over? The answer is undoubtedly, ‘no’.


Remember, in the last 60 days, Average Joe Real Estate Agent has communicated more than ever with his/her clients (on the listing side) explaining why their house hasn’t yet sold.
This is commonly due to two things:

1. A shift in market inventory, creating more cost pressure - a.k.a. "Improperly Priced Home,"


2. High Expectations set by their clients from past market performance, combined with lack of evidence - a.k.a. "Comps are Reinforcing High Prices."

Feels like all buyers have fallen off the face of the earth. In ANY given market, there are plenty of buyers for properly priced homes.

We are most likely using the same marketing techniques that have worked for the last 5 years. And so are our Realtor clients. Today is a different market, and sometimes a different market requires us to change some of the ways we look at our business and how we do things. (Please note: I said, some, not all).

SO, Where ARE the Buyers? As a valued business partner in your client’s success, here are a few key topics of discussion with around finding more buyers…How are you….

How are you...Communicating with Your Clients?

• Pricing in general - methods thereof
• Communication around current listings and price adjustments, if needed
• Expectation setting with future listing clients

How are you . . .Marketing the Property to Buyers?

• Increasing the sales price of a home – lot’s of articles attached
  What is the profile of the buyer?
• Where are you looking for buyers (Is it strategic? Is there a plan?)
• Positioning the property in the market to be more appealing to buyers

How are you . . .Pricing a Listing?

• Methods of pricing (comps, other agents, brokers, etc..)
• Research (Are there other homes out there that fit the profile in the same neighborhood?)

Where can you . . .Find more Buyers? Ask yourself “Who needs to buy Right Now?”

• People that are relocating. Get a contact list of all HR departments of large companies in your territory.
• People with kids entering high school - school district lock down.
• People with kids entering college - downsizing.
• People with 3/5/7/10 year ARMs
• Investors with 4+ properties - not the onsie/twosie-types

I hate to say this one, but here it goes…..

• People that are dividing assets through a divorce or estate. Marketing to divorce attorneys for referrals.

Five articles I found in 5 minutes researching “How to increase the sales price of a home”, and “Why not to lower it (if it’s a fair price)?”, and “What the percentage return you can get if you decide to spend the money to make improvements.”

http://www.bankrate.com/brm/news/real-estate/BuyerGuide2004/increase-resale1.asp

http://www.servicemagic.com/article.show.Checklist-Increase-the-Potential-Sale-Price-of-Your-Home.10494.html

http://www.reiclub.com/articles/never-reduce-sales-price

http://rs6.net/tn.jsp?t=fa9mpwbab.0.0.7qs4zobab.0&p=http%3A%2F%2Fmoneycentral.msn.com%2Fcontent%2FBanking%2FHomebuyingguide%2FP84657.asphttp://rs6.net/tn.jsp?t=fa9mpwbab.0.0.7qs4zobab.0&p=http%3A%2F%2Flala.essortment.com%2Fincreasehome_rwli.htm

We are not expected to have all the answers – the key herein lies in asking your clients the right questions. All of the possible, unique, individual, customized solutions to this ‘Problem of Buyers’ are already in your clients’ heads. YOU just have to pick their brain to help them get it. Asking the right questions, armed with the right information from the articles above will help you do just that.

Remember, your overarching goal is to help your clients build their business in a way they see as meaningful. In this next 60 days, try focusing on what they are telling YOU. It is NOT ‘not enough buyers’, it is in empowering your clients and prospects knowing where to find them.

Try this out to get some appointments:

"My goal for all my clients this quarter is to help them position themselves in this market to capture a greater share of the buyers that are out there. Is that worth sitting down for 30 mintues to talk about and see if there is some way I can add value to your business?"

Good luck out there, I know it's tough...

Working By Interview

Working By Interview

As you think about the clients you interact with, especially top producers, notice that those that are extremely busy and value their time, tend to be driven by scheduling. When we work by appointment / interview ONLY, we communicate to those we are working with that our time is as valuable as theirs. (look at other professionals that work by appointment, Doctors, Lawyers, Accountants, etc…)

I understand that there are times when we absolutely have to do things for our customers RIGHT NOW! I’m not suggesting that you put off an important client with an immediate need. What I am suggesting is that when working with a new Prospect, use scheduling to create perceived value. By showing our Prospects that we can and will be available at their beck and call, we set an unproductive precedence which will permeate the relationship going forward.
By now, you’re probably getting pretty good at getting interviews with your Top Prospects – if you want to know how to get these appointments, email us at info@rightnowconsulting.com .

Once you’re on these interviews, it is important to remember that you are using a new method of uncovering needs and determining if there is a possibility of a mutually beneficial relationship. Resist the urge to present a solution during the first meeting. Remember, your prospects are more interested in how well you understand their needs BEFORE they are concerned with how well you know your products.














Beginning and Ending Interviews and Conversational Questioning.

Beginning the interview

1. Build rapport
2. Restate your Value Statement
3. Establish joing confidentiality
4. State your goal for the interview
5. Ask if the agent has a goal for the interview. Or, perhaps a qualifying question such as,
6. "How will you know if this was a successful interview?"

Start with a kick-off question (unique to the customer and/or focused on past successes) – see my other post on asking great questions

Conversational Questioning Steps

1. Ask a baseline question to introduce a topic
2. Continue with at least two follow-up questions to explore key points raised by the customer
3. Summarize what you heard regarding that topic
4. Check for the customer's agreement
   

Ending the Interview

1. Summarize the interview
2. Re-establish your desire for a business relationship
3. Confirm the need and specify next steps
4. Ask a Relationship Definition Question
5. Arrange for the next appointment

Put some structure to the way you interact in your face to face appointments with both your prospects and clients - you'll be surprised at the reaction you get.

I'll elaborate further on each as I get comments from you.

Happy selling!

Interviewing: The Art of Asking Questions

To be effective in interviewing clients or prospects, you should:

• Learn, not teach or preach
• Hold off on presenting products or solutions
• Get the prospect to like you
• Uncover history, goals, and needs
• Identify one need and qualify that need
• End by obtaining a commitment to a tangible next step

Here are several categories of questions you can explore when interviewing your prospects and Client...

Kickoff Questions (Questions that get the agent focused on themselves and their own glory.)

• Tell me about your past career success. What 3 things did you do as a new agent that you would credit for your current success?
• I know you haven’t always been a Realtor. what 3 skills did bring with you from your previous career that were essential in getting off on the right foot in real estate?

Goal Oriented Questions (Questions about goals the agent wants to achieve or has achieved in the past.)

• How many transactions would you like to close in the next 90 days?
• What do you want to learn more about this year?
• How many correctly priced listings would you ideally like to carry?

Needs-Gap Questions (Questions that restate needs in relation to a future goal to help the agent prioritize.)

• Would you consider efficiency issues or income growth as the primary focus of your business efforts over the next 90 days?
• Are you on track to achieve your transactional goal?
• How would you like your assistant to more effectively serve your needs?
• What types of things would you like to see your computer achieve for you?

System Oriented Questions (These detail how a current system works and may start to point out deficiencies or flaws in the current system. Think “how.”)

• How do you keep in touch with past clients?
• How do you manage your database?
• How do your vendors help you to close more transactions?

Solution Oriented Questions (Help the agent to determine what type of specific system would lessen the needs gap. Think “would.”)

• Would an outsourced flier delivery system help you to save employee costs?
• Would an off-site database management company help you to save money and ensure consistent contact with your past customers?
• Would a list of asset managers help you to penetrate the REO marketplace?
• Would a system that performed your cold-call prospecting help you to maxi­mize your prospecting time?

Relationship Definition Questions (Help determine how the agent is willing to compensate you for your time, energy and involvement in his or her business.)

• What percentage of your directable transactions would you feel comfortable sending me over the next 90 days?
• If I get involved in your business and contribute in a positive way. is there any reason you could not start directing transactions to my office?

Start to master different types of questions so that you can add the most value to the appointment AND walk away with a commitment to a tangible next step.

Happy Selling.

11 Basic Categories of Need

We have identified eleven basic Categories of Need that you can and should research to be a valuable resource for your clients:

1. Consistency in business flow: Marketing plans that provide consistent leads, avoiding peaks and valleys, analyze competitors in their market area, help to develop speaking opportunities for lead generation.

2. Hiring, managing, training assistants: Training, vendor relationships, job descriptions, identifying qualified candidates, transaction management.

3. Understanding business planning and forecasting: Goal setting, creating quarterly business plans, planning transactional volume and calculating buyer/seller split, turn time analysis (avg. length of home ownership in their area).

4. Utilizing technology to increase efficiency: Keeping in touch with past and current clients, using PDA’s, Blackberry’s and other technological tools, products a title company may offer to help them access information remotely and 24/7 for current orders and ordering customer service products.

5. Using technology to increase sales: Increasing value of websites, database management and Customer Relationship Management (CRM) systems.

6. Improving the response of marketing and advertising efforts: Working with professionals to increase return on marketing investment (logos, tagline, etc), marketing pieces have a “call to action” and focus less on them and more on what benefits they can provide to their client.

7. Cultivating referrals from past clients/sphere of influence: Creating strategy and follow up plans, CRM systems to support goals, client apprecia¬tion parties.

8. Tax and financial planning issues: Tracking expenditures, calculating real profit, find a good CPA who specializes in real estate professionals and small business owners.

9. Increasing average transactional value: Strategy to “move up” in home values.

10. Increasing sales volume: Goal setting, marketing efforts, farming, prospec-t¬ing, sphere of influence.

11. Increasing personal time: Delegating, hiring an assistant, specializing in something rather than trying to be all things to all people, goal setting.

By understanding these categories, you are better prepared to identify one need on which to base your solution and put yourself in a position to truly negotiate a percentage of business from your clients or prospects.

Happy Selling!