This post was originally published on RealEstateGradSchool.com.
First, your hardest questions of the week…
- …Did you exceed your appointment goals for last week, and are you already scheduled for this week?
- …Where are you in relation to your May Sales and Listing goals? Have you achieved them? Can you see where they’re coming from?
- …How is your income? Unless you have rentals May is already set – and for most of you June is nailed down, too.
These are the questions you need to ask every day so you’re thinking strategically, which means you’re really thinking like a business person. Our the Real Estate Grad School Charts are one tool that will keep you on top of the answers to these questions.
Today – Build Your Communication and Sales Skills
Continually sell your expertise – I think that all of the top agents do this – either naturally or at least logically.
As an agent, you need to continually and subtly sell your expertise. There are five ways that you do this.
1. Constantly and tactfully communicate that you know the market.
When? As you drive down streets or you’re discussing the neighborhood. Stand in a front yard and point out the dollar amounts that homes sold for.
You have knowledge of what homes sell for and you’re displaying that knowledge.
You’re also showing why they sell for what they do. For example if this side of the street sells for more than the other one.
Or that a lot of people finish their garages nicely as extra living rooms on this side of town, but that they don’t across town.
Let people know naturally that you’re aware of nuances in the neighborhood and that your know the way that people buy and sell.
What do I tell new realtors? You can beat the catch 22 by pre inspecting…
….talk to owners, neighbors and listen to what people speak about. Is it swimming pools or kitchens with cathedral ceilings? Use this information to your advantage when speaking with prospects and clients.
2. Constantly and tactfully communicate that you’re showing you know about the values in the neighborhood.
This is what they sold for, what prices were like 2, 5 or 10 years prior. What improvements people are making today.
That’s why we like farming – I want you to be going out and previewing the houses in the neighborhood, because then you can do this….
….I was selling the Cobbs Hill neighborhood where I grew up. There was about a two year stretch when I wasn’t just the highest selling realtor, but I sold the highest priced houses on every one of those streets. I let the neighbors know that I was setting records for the next highest selling house in the neighborhood. Do you think that was good for my reputation to get listings?
You bet it was.
And what about buyers? I explained to buyers: “I know the neighborhood, I know the houses, I know what you should pay for them.”
Now I never sold a house to a buyer that he wasn’t able to sell for more afterward. But did they pay a premium?
Yes, because I controlled the listings…
…and that’s what I’m teaching you to do.
3. Constantly and tactfully communicate that you are in touch with Secret Inventory.
These are houses that aren’t listed yet, houses that people are thinking of selling, houses that other agents know about and because they trust you – they’ve told you.
As you build your name in an area and you have secert inventory you can sell houses that other people don’t even know about. Particularly in a market like ours where houses are selling so fast.
There are so many offers…when you can find a secret house your buyer will pay a premium for it because they don’t want to be in competition. Maybe you’re dealing with buyers who have lost multiple houses in competition.
4. Constantly and tactfully communicate that you can help with Financing.
That you’re in touch with different lenders and you can get the best possible rates and terms. You know the advantage of a 15 year mortgage versus a 30 year loan when the buyer can afford a higher payment and wants to pay the loan in a shorter time – and when and how to recommend that.
How they can do the same thing with a 30 year loan just by making advance payments.
You know how to reduce closing costs by asking the seller to pay concessions, partial closing costs, or dealing with banks that will cover them.
You know how to deal with low appraisals and you can explain that with prices increasing in the market – occasionally the appraisers will rate the property lower than it can sell for, and you can negotiate that to your client’s benefit.
Whether clients use the lenders who you recommend or not, you’re able to get knowledge and use it in ways that other people aren’t.
5. Constantly and tactfully communicate that you have Valuable Relationships.
What relationships are valuable?
Relationships with many agents, lenders legal and structural engineers and professionals like plumbers, carpenters – maybe even doctors. You’re always looking for the best people to recommend.
Back in 2001 I had back surgery, and because of the relationships I had through real estate I was able to get to one of the most highly sought after back surgeons in the country – people from out of the country come here to see him. That surgeon called me to schedule an extra surgery for me outside of his normal rotation because of the way I was recommended to him.
You have those kinds of relationships. It’s one of the amazingly tremendous values of being in real estate.
These people can help get the most house for the best price and get them settled in their new home; or get the best possible price for their house with a buyer whose purchase will close.
Today your Recipe for Success:
Choose one of today’s five areas of expertise each day and work on subtly selling yourself.