Lets get started today
Right now we are officially ⅓ of the way through the second quarter. We are wrapping up April. You need to spend a little time Looking at your april numbers and evaluating where you are.
Did you prospect your schedule? How many work days did you miss in the month of April? Did missing those prospecting days cost you money.
The reason I keep mentioning this on my weekly calls is I want you all to associate missing prospecting time with losing money.
There are only 2 motivators in ours lives, They are pain and pleasure. You are either doing something because you are avoiding pain or you are doing something because you are seeking pleasure.
If I could pick one thing for you guys to take away from all of these coaching calls it would be this, To feel pain when you dont prospect, To feel guilty. I know some of you that will listen to this call are going to say “man jason is tough”, but if you feel guilty when you miss your lead generation time, what will happen is you are going to stop missing it. After a few weeks you are going to start seeing results, as far as listing and then you are going to start seeing stuff sell and start getting pay checks.
But you have to do the work. Jim Rohn says “you can not hire someone to do your push ups for you”
I had a call yesterday set up with the marketing people at redx. They wanted to talk about some user feedback and request they were getting. One thing they wanted to ask me about was ISA’s making calls for you. If you dont know I am going to tell you, I am anti ISA. The reason I am is because I believe that one person talking on the phone with a seller and really connecting with them and they another person showing up to their house to list it is a very tough sale. I think the average agent hiring ISAs are really going to struggle with the whole process, typically because they dont have a listing system in place to make the transition between the appointment setter and the listing presentation presenter or closer. Most agents hiring these companies are trying to get out of personally calling
If you are the person calling and then the same person knocking on their door, it will be a whole lot easier to get the paperwork signed. You can’t hire someone to do your push ups for you.
So guys today what I want to talk about is being prepared for your listing appointment and how.
First I want to talk I want to talk to about a couple of things happening in the industry. I feel like if you haven’t saw massive change in your market, you are about to. I want you all to be prepared.
Last week, on April 21st, Nar released their March Numbers and sales were up 4.4%. This is existing home sales. They said in the report this was the largest increase in 10 years. That puts us back to 2007 kind of real estate transaction numbers. It is 5.9% above where we were a year ago.
Here is a link https://www.nar.realtor/news-releases/2017/04/existing-home-sales-jumped-44-in-march
So if you havent noticed the market is taking off!
Then Just a few days ago, the National Association of Home Builders released their report and said home building was up for the 3rd month in a row and it was the second highest increase in new homes being built since the end of the Great Recession.
That was on the 25th of April.
Then Yesterday we saw in the news where our tax code is getting overhauled and if it passes it will be one of the largest tax cuts in our countries history. Ive been reading about it this morning and there is a lot of talk about corporate tax reductions and deduction for investment.
That has all happened in the last week, on top of having a fairly fast paced market in most of the country. Thats 3 major economic events in a week!
We have the perfect storm coming, I dont have a crystal ball but I promise you we are going to see the real estate market really get crazy.
I want you guys to be prepared. I was in the real estate business during the last boom. Some areas of the country are already in a boom and inventory is painfully low. But there is something different coming. What you need to do is get prepared for it.
I dont want to discourage you, I want to motivate you. These are all signs of what is ahead. We are going to see inventory continue to drop and we are going to see more agents coming into the real estate business. Instead of 5 agents calling that FSBO this week, you will have 10.
The way you need to prepare and I can not stress this enough, you may have even heard me say this before. If you association has 5,000 agents in 12 to 18 months you may have 6500 or 7500. All these people are coming back into the business.
Now for the good news, most of these agents are not going to be very skilled. They aren’t going to be very good on the phone. They aren’t going to have pre-listing packages, a follow up system, use a net sheet or anything. They got into the business, joined a really busy brokerage and they think they will cash in quick on the market. So the new agents coming in to the market or back into the market just will not be as professional as you
This is proof, we have 3 big signs this week!
What this does mean is you guys are going to need to get more and more diligent on improving and getting better at every. Everything needs to move up a notch. When they market really booms, we are going to start seeing downward pressure on real estate commissions, because our services are not going to be as needed or in as much demand. You are going to need to get better at relaying what your value proposition is. Why should they hire you? Why should they right you a check at closing for in most markets $5 to 10,000.
The way you are going to do this is by making sure your listing process is in place and making sure we know how to overcome the most common objections.
I started in the real estate business going on 14 years ago. There were really the same objections then as there is now. Nothing has changed. There are not classes that teach sellers new objections.
Now is such a thing as a condition. A condition is different. For example a condition is something in most cases that is true, its not just a smoke screen that a seller throws up to get you off the phone and to quit calling them. A condition would be like, A tree fell on my roof, you can’t really list a house with a tree on the roof. Maybe the house is really being fully rehabbed. Maybe they really are sick or injured. Use your best judgement to decide what it really is, a condition or an objection.
The number 1 objection we all get when we make calls, I feel like we can agree on this one, is real estate commission related. The reason why we are we are having this objection is because we are focusing the conversation on what we are making off the transaction and putting in our pockets versus what the seller is walking away with.
If you start focusing that conversation on what do they want to walk away with you are going to start having different conversations. They way you are going to start having different conversations is by asking different questions.
For example: when we initially talk about price with a seller, we should only talk about what they want to walk away. “Mr seller, how much do you want to walk away with at closing?” “What do you want for the property after everything is said and done? Attorney fees and everything”?
That is fantastic, then build your net sheet and listing price backwards around netting them the amount they want to leave closing with. Its just that simple. Use your net sheet. Make your net sheet very simple. Like 3rd grade simple. A lot of these people you work with, they are not like us, this is probably one of there first home selling transactions. Even experienced sellers in most cases, doing general brokerage, haven;t sold more than a couple of properties. CHances are the advice they are getting is from somebody that knows even less than they do.
You want your listing presentation to be as easy as possible.
So this what your listing presentation should look like. Let me put this all into context real quick.
So you made the call and set the appointment. You sent over your prelisting package. For you guys that haven’t gotten yours together, this should be a priority. You can get my template at JasonMorrisPrelistingpackage.com or email me and I’ll send it. Send the email to JasonMorrisCoaching@gmail.com
Your listing package tell about what you do to sell home. Remember guys, we dont really sell homes. What we sell is a service that sells homes. This pre-listing package tells about that service. It is simple 10 to 12 pages, lots of graphics, not tons of text. If yours is 50 pages and you wonder why nobody looks at it, its because it is 50 pages. If you get a 50 page pdf that is all 10 point text, no pictures what will you typically do with it? Especially if it is something you were not really looking for. You just delete it or forget about it.
You want to make sure they get this. Text them, call them follow up and make sure they got it. See if they have any questions.
Then from here on out they way you need to describe that document when you talk to that seller is “you got my pre-appointment package, it has our full marketing plan. SO you know we market 2 different ways. We market to the general public looking for our buyers we can show your house to, then we market to other realtors looking for agents that have qualified buyers” Anytime you talk about buyers coming to their house specifically refer to them as “qualified buyers”, we bring qualified buyers, we show your house to qualified buyers. We want to get your home in front of as many qualified buyers as quick as we can, our pre appointment package talks about our plan to do that”
So as soon as you show up. Always, always, always show up early. Like 10 to 15 minutes early. If your appointment is at 2pm and you show up at 2:15, you already look bad.
As you go on more appointments, you will get more comfortable going through peoples homes.
You guys need to go on as many appointments as you possibly can. One of 2 things happen at every appointment. #1 you might list their house. #2 you practice your dialouges and presentation.
So I walk into the sellers house. I introduce myself, I shake everyones hand. I hand them a couple of business cards. I make a little small talk. The weather is nice and that sort of stuff, compliments them on something random. Then I confirm they recieved my pre appointment package. Then I confirm the price THEY want to walk away with! This is the price THEY gave me on the first call, this is NOT the listing price. Right after I do that, I useually say something like “ so who wants to give me the tour?”. I walk through the house. As I am walking through I try to point out anything that I think will be an issues and I talk about it like “hey when WE bring a buyer, when We do ______, everything is WE. I typically look for things that jump out at me and make me think, wow this is a problem. Water spots on the ceiling, soft places on the floor, dirty carpet, dirty walls. I try not to be too critical of anything. I never point out a problem without asking about it and offering a solution.
That solution can be a couple of different things “are you guys going to fix this? For example do you think these carpets will clean up or do you think they need to be replace? Wait for their answer and ask if they want to have it done or offer a credit. If they say they dont want to do anything I would move on, from it, but make a mental note.
Once I get through the house I always tell people, I do a lot of research before I come to your home.
(talk about my active pricing strategy)
(Talk about my net sheet)
(talk about my paperwork presentation)