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4 Essential Things You Need To Know About Expired Listings

By
Real Estate Technology with CityBlast

 

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Mary’s home was on the market for several months. She eagerly watched potential buyers coming and going, hoping one of them would feel at home and make an offer. Once the listing expired, her hopes started to diminish.

 

Many realtors can get discouraged and shy away from a home that doesn’t sell. But a smart realtor can recognize that Mary’s situation is a great opportunity to pick up an expired listing.

 

How-to Qualify an Expired Listing

As all real estate agents know that listings have an expiration date. The seller agrees to a time frame that their home will be listed for. Obviously if the home isn’t sold in that time, it expires. There can be a number of reasons the house doesn’t sell, but the most common is that the asking price was a little bit too high. This tends to make the seller fairly unhappy, prompting them to get a new real estate agent - that’s where you come in.

 

Why Expired Listings Have More Motivated Sellers

The seller’s house could have been on the market for months without any offers and that can make them anxious. Often times they were looking to sell and move out by a certain date, and if things don’t go according to plan, it can get pretty frustrating. The downside is that since their last real estate agent failed to sell the home for them, they can sometimes get a little skeptical about realtors. But that brings us to the second reason why you should go after expired listings.

 

Brand Yourself as a Sales Guru

Expired listings are a great opportunity to prove to the world that you can sell a house that someone else couldn’t. It’s important for you to go through the entire process with the seller to try and identify why the home didn’t sell the first time and use your skills as a realtor to get the job done.

 

The Tricky Part

Expired listings can be a steady source of lead opportunities, but keep in mind that sometimes they didn’t sell the first time for a reason. Be selective when choosing an expired listing and make sure it’s something that you can actually work with.

 

You also have to make sure that you are on your “A” game. Most sellers have had a bad experience with an agent unable to sell their home, so you really need to set yourself apart in order to give them all the confidence that you can get the job done. Expired listings can often be an “all or nothing” opportunity.

 

What are You Waiting For?

Being successful in real estate is all about creating as many leads as possible and selling every home in town if you can. Cold calling, billboards, social media are all ways of generating leads, but there is one other source that some agents are hesitant to undertake - expired listings. They are a great way to find a motivated seller who is eager for someone to help them sell their home.

 

It will take hard work and determination, but if you can master the art of prospecting expired listings, you can take your real estate business to a whole new level.


Not sure of the best way to ensure you’re the first choice for an expired listing? Check out this article on winning expired listings for the go-to steps you need to take.

 

 

John Wiley
Fort Myers, FL
Lee County, FL, ECO Broker, GRI, SRES,GREEN,PSA

You made some good points about going after Expireds. I think your point of not all Expireds are good listings. Do your study and have an honest talk with the Seller before deciding to take a listing.

Jan 27, 2016 09:34 PM
Dana Basiliere
Rossi & Riina Real Estate - Williston, VT
Making deals "Happen"

Often the reason a listing expires is due to being overpriced.  If they are willing to reduce the price when listing with you it is a tremendous opportunity. 

I have been on both sides of the overpriced expired listing.  When I was new to the business I took a couple overpriced listings with the caveat that in 2 or 3 weeks if there was no action or negative feedback on price they would lower to XX dollars. Well the never comply and when it doesn't sell they blame the agent. 

 

Jan 27, 2016 09:59 PM
Shaun Nilsson

Great tip when it works!

Feb 05, 2016 04:49 AM
Tony and Suzanne Marriott, Associate Brokers
Serving the Greater Phoenix and Scottsdale Metropolitan Area - Scottsdale, AZ
Coldwell Banker Realty

Welcome to Active Rain!  As REALTORS who have been here for more than 9 years, it's well worth it!

 

Jan 27, 2016 10:18 PM
Mery Fernandez Empire Network Realty Luxury Brokerage
Empire Network Realty INC. - Orlando, FL
The Rise of An Empire, Let's Build Yours!

Hi Shaun! Welcome to the world of Activerain, may your blogging  create a whole new chapter in your Real Estate Career.

Jan 27, 2016 11:31 PM
Gene Riemenschneider
Home Point Real Estate - Brentwood, CA
Turning Houses into Homes

Thanks for the post.  We do not have a lot of expireds around here, but it is a market I need to consider.

Jan 28, 2016 12:18 AM
Theresa Akin
CORPUS CHRISTI REALTY GROUP - Corpus Christi, TX

First off welcome to the rain.  Few years ago, I was handed a listing that had been expired and bm'd a couple times. Really wanted to sell her home. Did my due diligence. Discussed and agreed upon a listing price. Set up showing instructions. Call listing agent, appointment needed on Supra lockbox. The biggest problem was seller wanted to be notified of the time but she was out of town most of the time and never answered her phone. Communication helps as with all properties on market. I went by one day to speak with her to see if she was home. We talked, took it off market. She rented it to her nephew. Checked property history. 6 agents in 2 years with 3 companies.  Believe me when I say due diligence is imperative. Property history along with the cmas and tax sites all play important parts.

Jan 28, 2016 01:40 AM
Ron Aguilar
Gateway Mortgage Group - Saint George, UT
Mortgage & Real Estate Advisor since 1995

thanks for the post. This concept is widely talked about with varying opinions. And we know what the homeowner thinks about the process selling their equity.

Jan 28, 2016 01:50 AM
Eva B. Liland Century 21 Doug Anderson
Century 21 Doug Anderson - Lancaster, CA
Glad to be of Service 661-714-1643

Thanks for a great post. I have been thinking about calling expireds but have so far hesitated to do so. In my mind, if a listing does not sell, mostly it is due from being over-priced and having to deal with a seller that believes their home is worth more than what it actually is, is something I really do not want to do. Researching a property BEFORE calling is a great idea!

Jan 28, 2016 02:24 AM
Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

Great first post here in the rain.  I am putting you down to follow your blogs here.  Keep it up!

Jan 28, 2016 02:28 AM
Mary Hutchison, SRES, ABR
Better Homes and Gardens Real Estate-Kansas City Homes - Kansas City, MO
Experienced Agent in Kansas City Metro area

Usually you can tell why a listing didn't sell.  I think it's worth at least trying to get those expired listings...it can pay off!

Jan 28, 2016 02:38 AM
John Pusa
Glendale, CA

Shaun Nilsson These are excellent tips to know about expired listing.

Jan 28, 2016 07:34 AM
Diana Dahlberg
1 Month Realty - Pleasant Prairie, WI
Real Estate in Kenosha, WI since 1994 262-308-3563

First ... Welcome to the Rain!  It's so nice to have you aboard and I am looking forward to many more posts from you.  Regarding Expireds, I do not cold call them, however, I get my share of Sellers who have expired and they call me directly because they have heard good things about me.  In most cases, the main two reasons is poor photos (due to a lack of advising the seller how to prepare their house for showings and pictures), and being priced above what the buyers are willing to pay.  Once we get those things straightened out, we re-list the property and Get it SOLD!

Jan 28, 2016 10:53 AM
Bob Crane
Woodland Management Service / Woodland Real Estate, KW Diversified - Stevens Point, WI
Forestland Experts! 715-204-9671

Great article Shaun, and very hot topic this time of year.

Welcome to Active Rain, looking forward to reading many more of your posts, let me know if there is anything that I can do to help as you get started here.
Bob

Jan 28, 2016 03:27 PM
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Shaun, great tips, and have never worked expireds.   Welcome to ActiveRain!

Jan 31, 2016 08:29 AM
Karen Feltman
Cedar Rapids/Iowa City, IA KW Legacy Group - Cedar Rapids, IA
Relocation Specialist in Cedar Rapids, Iowa

Welcome to Active Rain.  Expired listings are the best, the seller has already expressed interest in selling and it is not a cold call anymore.  :)  We are problem solvers.  Uncovering the motivation to sell, along with what can be done differently this go round, will be the key to getting the home sold.  Being selective on which ones to take is definitely true.  I have found expired sellers to be more involved the second time around and they need a little more time to earn their trust.  Thank you for the post.

Feb 02, 2016 03:45 AM
Peter Mohylsky, Beach Broker
PMI. Destin - Miramar Beach, FL
Call me at 850-517-7098

I love expired listings.

Feb 02, 2016 05:37 PM
Eva B. Liland Century 21 Doug Anderson
Century 21 Doug Anderson - Lancaster, CA
Glad to be of Service 661-714-1643

I asked another agent today how successful he was at getting expired listings. His answer was not too encouraging but he is just learning how to prospect them himself since late October last year.

He has started a group himself and they go out door-knocking expireds. He gave me a 3.5x2 card with 10 questions to ask.

1. Do you still want to sell

2. Where will you be moving?

3.Have you found your next house yet?

4. Why are you moving?

5. When would you like to be there?

6. What will happen if you don't sell by then?

7. Why do you think your house didn't sell?

8. What are you looking for in your next agent?

9. Are you familiar with how e sell homes?

10. What would be the best time to show you... at...?

All designed to stimulate a conversation. So far, gearing up myself!

Feb 05, 2016 07:41 AM
Letitia Stevenson
BHHS Fox & Roach | www.DelawareValleyRE.com - Greenville, DE
Listing Agent DE/PA/MD, Digital Marketer & Coach

Hi Shaun, Thanks for Sharing and Welcome to the Rain! ActiveRain is a great place to share your knowledge, expertise and thoughts, as well as network and learn so much from the vast pool of talent already onboard. I look forward to reading your upcoming posts. If you would like to connect with me on ActiveRain, please subscribe to my blog! Welcome Aboard, Happy New Year and Much Success! 

Feb 05, 2016 03:36 PM
LUXURYSOCALREALTY COMPASS La Jolla
Compass - La Jolla, CA
San Diego Partner - The Private Client Network

Hi Shaunwelcome to Active Rain hope you are enjoying the active participation from everyone.  

Feb 26, 2016 02:40 PM
Eren Millam
Realty World Cosser & Associates, Inc. - Chehalis, WA
Certified Negotiation Expert

Half of my business last year came from expired listings and FSBOs. You will find that a lot of agents not only do not market to expireds, they look down on the agents that do. It's your business and livelihood so you get to decide how you want to run it! :)

Mar 02, 2016 01:41 AM