Monday Musings – Your Pre-Commitment Buying Incentive

By
Real Estate Agent with Dirt Road Real Estate SA676002000

People buy. Realtors sell. Sometimes those who are involved in selling including within the real estate market ignore this premise.

 

To encourage people to buy, they must first buy you. Then they must buy your company. Next, they must buy your sales solution. The fourth “buy” is your delivery. Finally, they must buy the price.

 

Buying you is the beginning of building trust because people buy from people they know and trust. There are many ways to build trust.

 

Barbara Todaro educates those in this group about using a FREE marketing analysis which builds trust. A recent blog posting by Michael Jacobs suggests FREE when implemented correctly can also build the sales relationship.

 

To have people buy you does require an investment of your time. For example, constructing a free market analysis does take time. In my real estate practice, I have created a simple marketing packet with information about:

 

  • Showing schedule if more than one property is involved
  • The property or properties (MLS information)
  • What differentiates Dirt Road Real Estate
  • Sample of Arizona sales contract
  • Information about free range and open carry

 

This marketing packet allows for the buyer to add additional information from me such as a market analysis.

 

Sales Coaching Tip:  The market analysis is a great way to learn and increase your knowledge about the surrounding properties especially in a high velocity market.

 

For those moving from another state into AZ, this information becomes valuable. This marketing packet is a subliminal pre-commitment buying incentive.

 

Also, with the inclusion of the AZ purchase contract I can schedule a time to review the sales contract and answer any questions. My goal is to incentivize the client to buy me first. Then having them “bought” me, having them buy the solution becomes much easier.

 

With the ongoing references by buyers to automated valuation model (AVM), to believing the data from the Internet is accurate and potential inherent distrust of salespeople including Realtors, developing and securing an incentive for buyers to trust you becomes even more essential.

 

Graphic courtesy of Pixabay

Posted by

Leanne M. Smith, MS, GRI, rCRMS

2018 KGVAR Rookie Realtor of the Year-55+
219.508.2859 MST
Life Begins Where the Pavement Ends
Connect with me on LinkedIn:
http://www.linkedin.com/in/leannehoaglandsmith

Comments (47)

Leanne Smith
Dirt Road Real Estate - Golden Valley, AZ
Relocation to NW AZ with elbow room & more freedom

Totally agree Barbara Todaro as marketing is part of the sales process.  Earning trust begins with how one attracts clients and then leads to building the relationship.  Good morning as well.

Mar 09, 2020 06:13 AM
Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

Hello Leanne - thank you for the mention.  Your plan is one that is built over time and based on successful results as well as knowledge.  

Mar 09, 2020 06:13 AM
Leanne Smith
Dirt Road Real Estate - Golden Valley, AZ
Relocation to NW AZ with elbow room & more freedom

My pleasure for the mention Michael Jacobs I thoroughly enjoy sharing the knowledge of others.

Mar 09, 2020 06:38 AM
Shirley Coomer
Keller Williams Realty Sonoran Living - Phoenix, AZ
Realtor, Keller Williams Realty, Phoenix Az

Great article on what all agents should do.  I always do a buyer consultation so my buyers understand the process and answer any questions.  The buying process varies from state to state (ie AZ isn't an attorney state as are many on the east coast and midwest). When buyers haven't purchased a home in several years, the purchase contact itself may have changed. It is always good to explain a process ahead of time.

Mar 09, 2020 06:46 AM
Leanne Smith

According to the Code of Ethics, we must promote and protect our clients.  By the not knowing the contract, does not protect them. Thank you for adding to this conversation Shirley Coomer 

Mar 09, 2020 06:48 AM
Grant Schneider
Performance Development Strategies - Armonk, NY
Your Coach Helping You Create Successful Outcomes

Good morning Leanne Smith - people love to buy but only if they buy you.  The role of assistant buyer puts you on the same side of the table. Congratulations on the feature 

Mar 09, 2020 07:31 AM
Leanne Smith

Thank you Grant Schneider Actually I was quite surprised by the feature.  So true you must be "bought" before they (people or your clients) can buy your solution.

Actually I am prefering trusted counselor instead of assistant buyer specific to real estate.

Mar 09, 2020 07:46 AM
Laura Filip
Laura Filip Broker , Opening doors for All Seasons of Life - Whitesboro, TX
What can we do for you today?

Thank you for sharing the article, preparing oneself for the process of buying and selling is very important. The delivery of what one has to say is important as well. 

Mar 09, 2020 08:16 AM
Leanne Smith

Yes there is a video on You Tube which simply states "change your words; change your world." It is about a blind man who cannot see. You are more than welcome about sharing the posting Laura Filip 

Mar 09, 2020 06:07 PM
Peter Mohylsky
PMI. Destin - Miramar Beach, FL

I'll buy from you after we have met and built a relationship over time.  

Mar 09, 2020 08:55 AM
Leanne Smith

So true Peter Mohylsky, Beach Expert and why unsolicited emails, phone alls leave me quite cold.

Mar 09, 2020 06:07 PM
Sheri Sperry - MCNE®
Coldwell Banker Realty - Sedona, AZ
(928) 274-7355 ~ YOUR Solutions REALTOR®

Hi Leanne Smith - Sometimes we forget all the steps involved in listing a property.  This is a good way to point out the process. 

Mar 09, 2020 09:06 AM
Leanne Smith

Again so true Sheri Sperry - MCNE® If we don't have a process that we consistently follow, it is easy to miss steps.

Mar 09, 2020 06:08 PM
Lottie Kendall
Compass - San Francisco, CA
Helping make your real estate dreams a reality

I love all your ideas on how to help a buyer "buy you." Contratulations on the feature.

Open houses also can help. I had a buyer contact me last night; we had met at an open house in January, she and her husband remembered liking me, and when I followed up with an email letting her know of the pending sale, that cemented their trust. They saw a condo yesterday that they like and asked me if I could help them. I'm sure you know my answer!

Mar 09, 2020 09:20 AM
Leanne Smith

Glad to read you "loved" my ideas.  I am a Zig Ziglar fan. Zig said sales is the transference of feelings.  This goes right along with building trust. Congratulations on making that emotional connection.

Mar 09, 2020 06:09 PM
John Henry, Florida Architect
John Henry Masterworks Design International, Inc. - Orlando, FL
Residential Architect, Luxury Custom Home Design

To encourage people to buy, they must first buy you.

WOW!!!!!

Mar 09, 2020 11:27 AM
Leanne Smith

Yes for some John Henry, Florida Architect  this is a WOW statement.  I am old school in my sales approach. 

Mar 09, 2020 06:10 PM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

In my experience they definitely need to be sold before they’re on anything 70% of the time or so.

Mar 09, 2020 01:30 PM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

John Henry, Florida Architect that’s why I was basic but accurate statements on sales really ever.

Mar 09, 2020 01:31 PM
Lynn B. Friedman CRS Atlanta, GA 404-939-2727
Atlanta Homes ODAT Realty - Love our Great City - Love our Clients! Buckhead - Midtown - Westside - Atlanta, GA
Concierge Service for Our Atlanta Sellers & Buyers

Leanne Smith 
Congrat's on your Feature!
I am ready to 'buy' your approach.
All the best - Lynn

Mar 09, 2020 08:16 PM
Leanne Smith

Lynn B. Friedman thank you for the compliment and the "buy-in."

Mar 10, 2020 06:40 AM
James (Jim) Lawson, DBA
DomainRealty.com LLC - Bonita Springs, FL
Broker Associate, RSPS, BPOR, HI & PE

Your post is very much on the mark Leanne and important to always keep in mind. However, there are always intangibiles. Even highly effective agents get jilted at times. Last year I provided a strong CMA to a super senior widow during a listing presentation. She didn't like my true market value estimate which had a $20K range. She was outraged that I was 17% lower than her number at the mid-point. I offered to go with her number provided we move in the direction of my numbers in a timely manner according to market response. Thirteen months and two agents later it sold  exactly at my mid-range number. So sad since she wanted a quick sale to get back home to her daughters. I would not be surprised if some of you have had similar experiences. 

Mar 09, 2020 09:03 PM
Kris Collis, Associate Broker

James (Jim) Lawson, DBA 


Some sellers lear the hard way.  Other  unrealistic sellers benefit from a test the market price for specified period. They comprehend that a temporary test the market price based on showings and full advertising results does honor where they are in the learning curve and will agree.  Others need the school of hard knocks - lost time and money to understand you were right.  
On to the next!

Mar 09, 2020 11:50 PM
Leanne Smith

Yes you are correct in that some buyers will never buy you or your solutions. And that is what you called the intangible or what I call just "human nature." Thanks for sharing your experience James (Jim) Lawson, DBA 

Mar 10, 2020 06:42 AM
Kris Collis, Associate Broker
Smart Way America Realty - East Stroudsburg, PA
Professional Results you Expect 570-801-5525

Leanne Smith Thanks for a great post helping realtors understand their role in educating buyers to overcome the slew of misinformation they have been exposed to.  We do that with real-life information addressing their needs and wants that they can apply immediately, just like the list you provide buyer.  Many buyers in your market will experience how this approach sets you apart and benefit from your services.  Much success!

Mar 09, 2020 11:57 PM
Leanne Smith

Good morning Kris Collis, Associate Broker  Sales is about differentiation and the integration of that differentiation into your professional behavior. May you also enjoy incredible success.

Mar 10, 2020 06:44 AM
Mimi Foster
Falcon Property Company - Colorado Springs, CO
Voted Colorado Springs Best Realtor

On your Sales Coaching Tip - what are you doing a market analysis on? Like a market report or an individual house they want to see?

Mar 10, 2020 03:14 PM
Leanne Smith

Thank you Mimi Foster for your question. I construct a Market Comparative Analysis for buyer (Market Competitive Analysis) for sellers.  This is essentially the same tool. It contains the property of interest with each of these categories: Active Listings, Pending, Sold in 0-30 days and Sold 31-180 days. I include like features beyond the typical bedroom, square footage, etc, power, sewer, water as many of our properties on rural and may be on or off grid. Additionally days on market is included. Finally for sold properties I pull the financing vehicle such as cash, Conventional, FHA, USDA, VA. Hope this helps to answer your question.

Mar 11, 2020 05:46 AM
Diana Dahlberg
1 Month Realty - Pleasant Prairie, WI
Real Estate in Kenosha, WI since 1994 262-308-3563

This says it all Leanne Smith 

To encourage people to buy, they must first buy you. Then they must buy your company. Next, they must buy your sales solution. The fourth “buy” is your delivery. Finally, they must buy the price.

Mar 10, 2020 07:14 PM
Leanne Smith

Thank you Diana Dahlberg  for grabbing those statements.  I so believe this to be true.

Mar 11, 2020 05:39 AM
M.C. Dwyer
Melody Russell Team at eXp Realty of California, Inc. - Felton, CA
MC Dwyer-Santa Cruz Mountains Property Specialist

Congratulations on the feature!    Yes, the first step of the process in real estate is earning the client's trust.    I enjoyed reading the contents of your package, especially, What differentiates Dirt Road Real Estate.

l even looked up your website because I was intrigued - great job!   But how come it only features Elise Harron and not you?

Mar 11, 2020 10:24 AM
Leanne Smith

Thank you for the compliment.  Glad you have had the opportunity to review the real estate packet.


 


As to the website, this was established by Dirt Road and at that time Elise was the major realtor. I will bring it to the attention of the broker.  I have yet to create a website.

Mar 11, 2020 02:05 PM
Sham Reddy CRS
Howard Hanna RE Services, Dayton, OH - Dayton, OH
CRS

Selling yourself first is so important in Sales business!!!

To encourage people to buy, they must first buy you. Then they must buy your company. Next, they must buy your sales solution. The fourth “buy” is your delivery. Finally, they must buy the price. Buying you is the beginning of building trust because people buy from people they know and trust. There are many ways to build trust.

Mar 15, 2020 05:23 AM
Leanne Smith

So appreciate you Sham Reddy CRS  reposting these five "buys"

Mar 15, 2020 07:41 AM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

You kind of have to be able to not live without it or see yourself in it in a way that is part of you.

Mar 25, 2020 10:09 PM