Wade Corbett
By Wade Corbett
How much time do you spend time researching and creating comparables for properties that you aspire to list? You then sit down with the homeowners and they have decided—in their infinite wisdom—that you should list it at a higher price than you suggested. What do you do?
Many agents will say, “Sure! Let’s list it at your price and we’ll see if it sells!” After all, we’re just happy to just add another listing to our portfolio, right? Many months later, the home is still on the market and the same sellers are questioning your ability to do your job. How many of us have shot ourselves in the foot this way?
Thankfully, there are some easy ways to avoid this situation: Continue reading »
Dave Robison
By Dave Robison
Sometimes selling is complicated. Sometimes, a home can sit for weeks, months, even years before there’s so much as a bite. But with the right knowledge and dialogue, selling a home can be as easy as telling a buyer’s agent one simple thing. In 2011, I wrote a post about the power of one sentence to attract a client. Now, I’m going to let you in on another secret. Here’s how to sell a difficult home with just one line.
A few years ago, a seller in my local area called me and said, “Dave, I’ve had my home listed with my best friend for over a year. This is hard for me to do, but I need you to sell this house. Can you do it? Tell me the truth!”
To answer the question, I sold that home in one week to the first buyer who looked at it. Do you think it was luck? Not a chance.
Here’s how the conversation went with the agent who showed the home:
Agent: Dave, my buyer just saw your listing and it’s the first one he looked at. We have a lot of other homes scheduled to view and I wanted to ask, if you get anyone else interested in this property will you give me a call?
(Translation: We are going to shop around with your competition, are you cool with that?)
So to this I say, heck no I’m not cool with that! Why are agents telling buyers’ agents that they will call if they get offers? The Code of Ethics Article 1-15 specifically states: “REALTORS®, in response to inquiries from buyers or cooperating brokers shall, with the sellers’ approval, disclose the existence of offers on the property.” How many agents do you know who are technically breaking this rule by disclosing the existence of offers without sellers’ permission? Did the agent call the seller and ask for permission to disclose that they don’t have offers on the table? There’s a good chance they didn’t.
So what did I say to the agent? Continue reading »
Jason O'Neil
By Jason O’Neil
Last week, I received an unusual call from a seller. As a REALTOR®, getting a call from a seller is not out of the ordinary. However, when this particular seller explains that he has developed a list of questions to use for a “prescreening” of potential REALTORS®, I really perk up. Despite what some may think, the approach did not come across as arrogant or stodgy, and as he asked his questions, I could only think how professional, thorough, and very interesting they were, and how crucial it was for me as his prospective employee to answer them.
After I hung up the phone, the experience prompted me to develop my own set of questions that are not only important for sellers to ask, but are also equally as important for REALTORS® to answer:
1. In what areas or neighborhoods do you predominately sell homes?
2. On average, how many days do your properties spend on the market?
3. What is your sale price to list price ratio?
4. More important, what is your sale price to original list price ratio?
5. What is your marketing strategy?
6. What is your communication strategy? How do you reach out to potential clients?
7. What is your team or company composition?
8. What three attributes set you apart from other agents?
9. What is your process for determining a listing price?
10. How do you make your listings stand out in the market?
I know most real estate professionals have been asked these questions countless times before. We could talk for hours about just one of them, explaining our marketing strategy or relating all the ways we are unique when compared with other REALTORS® in our market. But have you ever really taken the time to craft written answers to these questions? Continue reading »
Jennifer A. Klein
Derek Sandoval
By Jennifer Klein and Derek Sandoval
There is a shift toward a seller’s market in many areas of the country. Placer County Association of REALTORS® YPN members Jennifer Klein and Derek Sandoval discuss contributing factors, including lack of inventory and fewer distressed properties.
Jennifer Klein is a REALTOR® in Northern California who is experienced in short sales, investments, and property management. Connect with Jen at RosevilleAndRocklin.com, JenKlein.com, and @JenKleinSac.
Derek Sandoval has worked for Keller Williams Realty in Roseville, Calif., since 2009, and specializes in residential, REO, and short sales. Find Derek at www.dereksellshomes.com and dereksellshomes.featuredblog.com.
Melissa Krchnak
By Melissa Krchnak
I obviously am not an expert in what anyone else’s listing presentations are like, I only know mine. Yet I heard someone talking about the Olympics recently, and with my market’s emphasis on the need for more inventory, it got me thinking. Is your listing presentation like watching cycling or gymnastics?
I can dig both, and yet I watch them with a different level of interest. See, I can put cycling on and read a book or cook my breakfast or check Twitter. I know I probably won’t miss anything major and I’ll look up every now and then to see who’s ahead. With gymnastics though, it goes from one event to the next so fast. I’m so engrossed with how competitive it is, that I have to keep my eye on the TV or I’ll miss something great. So, is your listing presentation creating lots of interest with a fast-paced and quick finish? Or is it uneventful and lasting for hours?
My suggestion if it’s dragging on? Hit the high points, move through each piece effortlessly, and put a bow on it in 45 minutes or so. Any longer and you’re losing them. Remember what your mom used to say about visiting friends’ houses? “Don’t overstay your welcome!” Just get your agency and listing agreement and get out. You can get disclosures signed, pictures taken, etc., another time. This is strictly presentation time.
So, are your clients watching cycling or gymnastics when you’re presenting?
Melissa Krchnak is the assistant team leader for Keller Williams Realty in Rancho Cucamonga, Calif. Connect with her at kwrancho.com.
Scott Newman
By Scott Newman
Real estate is back in 2012 in a big way. Many markets are seeing price increases in response to dwindling inventories as more and more buyers are getting off the fence every day. With that in mind — especially since it’s been so long since we’ve had the opportunity to use the phrase “multiple offer” — I felt it would be pertinent and relevant to go through some best practices for handling multiple offer situations to make sure you’re in line with ethical and fair business practices.
Don’t Forget Your Loyalties: This is a big one, and it’s obvious, but many agents forget that you can’t disclose information that your client doesn’t authorize. No where is it written that you must disclose whether or not you have other offers on the table. Unless your seller has specifically directed you to do so, you should not automatically answer that question if asked by a buyer’s agent or buyer.
I have seen situations where a buyer will pull out of a deal because they think there is too much competition, and you can be legally liable for any negative consequence that results from your disclosing information you shouldn’t have.
To summarize, don’t ever forget that your ultimate loyalties lie with your seller, and just because you’re asked a question doesn’t mean you have to answer.
Treat Everyone the Same: This is another obvious one, but it’s important and bears repeating. To avoid accusations, legal action, and overall negative impact to your reputation as a professional, it’s imperative that you treat everyone the same way.
If you’re sending out a request for highest and best, send the exact same e-mail, forms, etc., to all interested parties who have seen the property so there is absolutely no doubt that everyone was informed of the status and had a chance to make an offer if they wanted. It’s better to e-mail an agent that showed the place six months ago along with everyone else, than it is to have your deal blown up by a lawsuit from a buyer who feels they were unfairly kept from knowing the latest update and opportunity to place an offer.
Keep Unbelievably Good Records: Continue reading »
Melissa Krchnak
By Melissa Krchnak
Who has an influx of buyers? We sure do! My market (the Inland Empire of Southern California) is crawling with them. Our middle market is sitting a bit, but our entry-level and high-end are moving quite quickly… with multiple offers over asking!
That got me thinking: With lower inventory and a ton of activity, should I be going back to the 2009 days of setting a cut-off date for offers?
I obviously want to make sure I’m doing what’s in my seller’s best interest… so, is that it? Maybe. Here’s what I think you should do if you set a cut-off date:
- Review your offers as you get them, but present all at once: I created a cover sheet that I attach to each one with a break-down of the offer with any special notes, so when I go to present, I have all the info right there.
- Have at least one open house before presenting offers: Like I say, “business comes from everywhere,” and who am I to deny a lucky buyer the joy of working with me?
- Have at least one brokers’ open: Give all your lovely agent friends a chance to check it out. I don’t do a brokers’ open on most of my listings, but if you’re only going to have it on the market for a limited amount of time, it’s probably a good idea to give everyone a fair shot.
- Have it on the market for at least 10 days: When the market was hot in 2009, 10 days was an eternity and I’d be swimming in 30+ offers. I don’t think it’ll get that crazy now, but I wouldn’t want my sellers to wait much longer than that – they’re tired of opening their door to strangers… I get it. Just make sure that 10 days includes two weekends. I usually list my homes on Thursday or Friday for maximum exposure.
I’ve had agents try to get me to extend the cut-off date, but if I have it in the MLS, and your Client (or yourself) is set-up on an auto-email, how did ya’ll miss it? Just curious. I always offer to hold it as a back-up in case something happens with “the chosen one.”
What’s your market look like? Do you need to chat with your sellers about a cut-off date when you’re taking the listing?
Melissa Krchnak is the assistant team leader for Keller Williams Realty in Rancho Cucamonga, Calif. Connect with her at kwrancho.com.
Trisha Ocona Francis
By Trisha Ocona Francis
Being a real estate professional is more than just helping people sell, buy, or rent property, but rather assisting them in achieving their real estate goals. One of the best ways in doing so is by narrowing down your practice of real estate to an area you know extremely well, enjoy doing, and are committed to furthering your knowledge on the topic. It allows you to focus, and shows your clients your commitment and dedication as an expert towards their particular issue.
There are many areas to choose from, such as the luxury market, commercial sales, office leasing, residential, investing, foreclosures, apartment rentals, government program housing placement, senior housing, relocation specialist, or you can always develop your own area of expertise.
You may decide to gear your real estate practice towards commercial real estate because you like analyzing the potential profits of a building, the adventure of negotiating, and helping your clients produce their desired results. Or you may work with seniors because you enjoyed helping your previous senior clients transition from homeownership of forty years to senior housing, loved their history stories, and learned a lot about senior housing programs in the process.
The road to becoming this “Specialized Real Estate Expert” is similar to a college student deciding on a major and ultimate career choice. Medical doctors and attorneys concentrate on a specific field to practice for the same reasons.
To begin, here are a few questions to ask yourself: Continue reading »
Scott Newman
By Scott Newman
With new communication and social media technology emerging everyday, it seems all you can do is try and stay on top of it all so you’re not left in the dust and viewed as “out of touch.”
However, as we enter this new, super-connected world as real estate professionals, I think we need to make sure we are on the forefront of establishing good policies and rules for how we use all this technology to connect with our clients and the general public.
Below, I’ve outlined 3 “Golden Rules” to consider when choosing how to use technology to engage your network.
Rule #1: Just because it’s a text, email, or blog comment, doesn’t mean that grammar and spelling should become afterthoughts. Anytime you’re communicating with anyone, it is imperative that you put your best foot forward — and that means taking the time to spell-check and make sure what you have written is grammatically correct.
Rule #2: Do not use your phone to do your dirty work. Yes, we have all been running late to meet a client and thought that it would be easier to just shoot them a text, but I personally feel that is the wrong way to handle it. Your character is defined by how you react to adversity. So when something goes wrong, pick up the phone immediately and call so they can hear the sincerity in your voice. That way whether it’s a giant issue or a tiny one (like you running a few minutes behind), they know they are still your top priority and that you are making the necessary time for them.
Rule #3: Do not use your technology while you are with your clients. Continue reading »
Jason O'Neil
By Jason O’Neil
One of the places where I have focused my business is on referrals and past clients. This isn’t unique. But the way I look at it is unique, and it has to do with what I call “The Gap.”
Here’s what I mean: According to NAR, in 2011, 69 percent of all sellers said that they definitely would use their agent again, yet in that same year only 22 percent of all sellers had previously worked with their listing agent.
Knowing that the average person moves every four-to-eight years, and moves 18 miles …what happened? Why would so many agents end the relationship brilliantly (presumably with a sale) yet fail to get the listing later on? I think there are only two real reasons for this: the agents goes out of business or the agent fails to talk to their clients.
Strategies for Minding the Gap:
- Have and use a database
- Develop a client touch program
- Minimum two touches per year
- Birthdays
- Anniversaries (Home sale anniversary)
- Holidays
- Daylight Savings time
- Monthly Touch Program
- Monthly Mailings involving quotes and/or give-aways
- Vendor Partner Programs
The key is to be mindful of “The Gap” and develop strategies to avoid it. What are you doing in your business to Mind the Gap?
Jason O’Neil is a broker-owner of McKenzie Real Estate in Indianapolis. Visit his site: www.McKenzieListings.com
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