A Thorough CMA ~ Get The Listing
How well do you know your market? Knowing your market is key in providing a seller with a thorough comparative market analysis. Anyone can throw together a list of sold properties and what is currently on the market in any given area. The key to getting the listing is knowing your market!
This does not happen over night. If you aren't doing it now, it should be something you begin immediately. What properties are currently for sale in your market area? How long have they been on the market? What are the condition of those properties? Have you been inside them? What about the homes that have sold over the last 6 months? Expired?
These are questions your seller may ask you. Be prepared. When putting together the CMA for a listing presentation, do your homework. Hopefully you know your market area and will be able to put together a factual report that leaves no questions; if there are questions, you can answer them!
- Active Listings ~ this is the primary tool for showing the seller what their competition is in their neighborhood. Be sure to include every property that has a sign on it the sellers are bound to have seen in their normal day to day activities like walking the dog or driving to work. If it isn't in your presentation, they are going to want to know why! Make sure the information is accurate and relevant.
- Sold Listings ~ This will be the most reliable for price. Facts are facts! Use comparable sales within the last 6 months. Sold properties represent real numbers and provide a look at what real people are spending real money on. Although there is not a guarantee there will be a buyer tomorrow willing to pay the same amount for a similar property, it is a pretty good indication of market value.
- Expired Listings ~ Expired listings expire for a reason. Most are overpriced and a seller has not been willing to take a look at the facts and see they are over priced. This will help establish a price point that is unrealistic in today's market. There may be extenuating circumstances for an expired listing, but all in all, they are overpriced.
Don't get caught with your pants down when presenting your CMA! You better know the properties you have used for the analysis! Sellers are pretty bright~they are going to know if you don't know! This is what you are telling them is their competition! People are emotionally attached to their homes and have an idea of what they want to list for. Did you know the property you show in Active #4 is a home that backs the freeway? You would if you knew your market and did your homework! You are a professional. The seller expects professional quality work.
Present facts. It is hard to argue with facts. Do a thorough CMA and Get The Listing!
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