It’s listing season. No matter what market you work in, the key to success right now is to get listings at the right price. Even in our slower markets, this will earn you revenue.
There are five simple steps to earning listing commissions:
1. Find people that need to sell
2. Engage and build trust with them
3. Get an appointment
4. Get the listing contract signed at the right price and
5. Fulfill the contract (aka, sell the house)
Today’s Tip addresses step four – get the listing contract signed at the right price.
Help the seller separate the price from the decision of who to list with.
If the seller has chosen to interview several agents for the job of representing them in the sale of their property, it’s important for you and for them to know what criteria they will use to make that decision.
We ask our agents this question:
“Is it in the seller’s best interest to hire their agent based on the price they give them?”
The answer is always NO and yet, very few agents take the time or develop the skills to help the seller see that this may not be in their best interest.
This is a sensitive time in the sales process so “telling” the seller that what they are doing is not smart could cost you the listing. You need to help them “see” there is a better way. There are many ways to accomplish this but here are a few to try.
Asking questions like,
“Mr. Seller, what is most important to you in the sale of your home?” or;
“Mr. Seller – I understand and appreciate that price is very important to you – I’d like to review the pricing information I have prepared for you but I’d like you to know how a Competitive Market Evaluation works first. This will help you understand that the price any agent gives you is their interpretation of the market data and doesn’t necessarily reflect what you will sell for – does that sound ok to you?” or finally;
“Are you going to give the listing to the agent who gives you the highest price?”
This final one is much more direct and should be used cautiously but if you get a strong sense that the seller is shopping for the agent who will give him the higher price, this direct approach may be very valuable, not just to you but to the seller. Saving a seller from an agent who deliberately over prices their property to get a listing will result in a much better outcome.
Our job as real estate professionals is to help buyers and sellers make the best possible decision. While information is important, understanding and interpreting that information is where our real value lies.
Now get out there and find some people that need to sell!