Posts Tagged ‘Tips’

It’s Time for a Price Adjustment

September 8, 2014

home_pricingThe story is all too common. During your initial listing appointment, you agreed on a price with your sellers. You’ve worked tirelessly with that listing for several weeks (or months), had plenty of showings, put in the research, and you’ve found there’s only one problem: The price is too high. Your clients have already explained to you that they “need to get this amount out of the sale”, and you know that bringing up a price drop will probably cause some friction if not an outright “No!”

Before you start stressing out, remember that a price reduction in is in their best interest and you have a professional obligation to tell them what they need to do to get them home sold. With proper preparation and solid tactics, you’ll not only get the property priced to sell, but you’ll also gain lifelong clients that will truly appreciate you.

Here are 5 ways to properly handle a price drop:

  1. Set the stage: When you take the listing, tell the Seller that although you are comfortable with the price they have selected, the market constantly changes and it’s your job to monitor the market activity and let them know about any changes that affect the sale of their property. Explain that some changes could make it necessary for them to re-evaluate their pricing strategy.
  2. Stay in touch: Before you can even start suggesting a change in price, your clients need to be able to trust you and see you as a professional. The best way to accomplish this is by having regular contact with your clients, even when there’s nothing to actually report on the listing. I suggest calling them at least once a week to give them an update on their home. If you constantly keep them up-to-date with the latest developments, there’s a much better chance that they’ll understand the reasoning behind the needed price reduction. While they may be disappointed, they’ll know that you’ve been working hard and that this is the best option.
  3. Have an in-person meeting: The last thing you want to do is upset your clients, and there is a much higher probability of them being upset if you simply call, email or text them that they need to drop the price. Plan a get together at their home, a local coffee shop or your office. Face to face meetings are always more effective.
  4. Be prepared: Do your research. Be prepared to discuss the state of the market, recent transactions in the area, showings and feedback on their property. Properly presented, it should be clear why you are recommending a change in the pricing strategy.
  5. It’s a “price adjustment”, not a “price reduction”: A surefire way to upset your sellers is to bring a negative attitude and connotation to the pricing discussion. Instead, you should keep positive and upbeat about the situation, and concentrate on the fact that this will help them sell their home and move on to the next phase in their life. Also, using the word “adjustment” instead of “reduction” is a more neutral term.
  6. Listen and respond: Your clients will definitely have questions during the meeting, and if you aren’t listening to the true meaning behind each question, there’s a good chance you could end with an unhappy client and continue to have an overpriced listing. Listen carefully and be sure to respond to any objections you may hear, but don’t be defensive. Be understanding and mindful, and you’ll end up with happy clients.

What are your tips for price adjustments? Please comment below!

Top 5 Most Valuable Exhibits and Addendums

August 26, 2014

top5_exhibitsIn the process of writing offers, there are several exhibits and addendums that seem to be more widely used than others. The purpose of exhibits and addendums is to formalize the process of accommodating various common reoccurring situations during the negotiations process. When combined with the standard purchase and sales agreement, the exhibits and addendums give additional definition and requirements to the transaction.

At a quick glance, the following are the most commonly used exhibits and addendums in today’s market. (more…)

The Power of Referrals in Your Business Plan

July 28, 2014

referral_techniquesReal estate professionals across the country recognize the value of referrals in their business planning.  Whether referring across town or across the country, referral dollars can increase your bottom line.

Are you capturing referral dollars in your business plan?

As mid-year passes, now is a great time to evaluate your business plan and think about how referral dollars can keep you on track to your goal.

Let’s look at four ways you can increase your referral business. (more…)

Dangers of Dual Agency: Walking the Tight Rope

July 14, 2014

dual_agencyWhen a Broker represents both the buyer and seller in the same transaction, there is the potential for Dual Agency to exist. More specifically, dual agency is created based on the involvement of the affiliated licensees of the broker.

When the buyer and seller are represented by the same broker, but different licensees respectively, the relationship is known as a Designated Agency Relationship. In the event there’s only one sales associate involved in the transaction and the brokerage only represents one party, there’s no risk of dual or designated agency.

There’s a common misperception that exists in the industry: If I sell my own listing, it’s always dual agency. This is simply not always the case. You can sell your own listings and not be in a dual agency situation. When selling your own listing, a dual agency scenario is based on there being a BBA with the buyer (with you as the agent) in addition to the Sellers Listing agreement signed (with you as the agent). (more…)

Objections are a Gift!

June 30, 2014

handling_objectionsMost real estate agents hope that their prospects won’t raise any objections. Instead, they should welcome them and see them as a gift! Anytime a prospect raises an objection, it provides an opportunity for the agent to earn their business.

Objections are a good sign because few prospects will bother to throw out an objection if they’re not interested in proceeding. When someone raises an objection, it simply means they have a concern and want or need to know more.

Depending upon the nature of the objection, objections can be dealt with in several different ways: (more…)

Adding Color to Small Spaces

June 23, 2014

color_in_small_spacesI recently helped a friend move into their new condo downtown, and one of the first things that I mentioned is that now would be the best time to start painting! When it comes to room design, a little color can go a long way, but many people hesitate when it comes to smaller spaces. They’re afraid that by adding color, they might make a room feel claustrophobic.

Color is one of the best ways to define a room, and a carefully chosen color can double a room’s apparent size! Here some of my tips for using color to create depth in small spaces. (more…)

5 Tips for Converting Internet Leads

June 2, 2014

converting_internet_leadsDid you know that more than 90% of buyers start their search on the internet? It’s more likely than ever for a buyer to contact you through the web, whether it’s from one of your listings or via your website.

So you’ve checked your email, and you have a shiny new message from an interested buyer. What do you do now? Preferably, you’re the one and only sales professional that they’ve contacted, but you know that’s not true. When that lead comes in, you need to bring your “A” game to ensure that you end up being their agent!

Are you ready for some great tips for converting internet leads? Let’s get down to it! (more…)

Home Trends from the 80’s Are Making a Comeback

May 5, 2014

80s_interior_designRev up the DeLorean and get set to go back to the future! The same decade that spawned countless classics like Top Gun, Miami Vice and Charlie’s Angels is now back in style when it comes to home interior design.

While some ’80s trends — like pastel colors and neon socks — might make us shudder, others — like funky patterns and kitchen tables — deserve a second chance. Here’s a look at some ’80s trends designers have embraced and freshened up for today. (more…)

Top 5 Mistakes in Advertising Listings

April 7, 2014

oops_advertisingWith the news that talk show host David Letterman has decided to retire, I figured it’s a perfect time to run a Top 5 list: The Top 5 Mistakes Agents Make When Advertising Listings.

Many sales associates have approached me recently about doing additional advertising for their listings. We’ve all seen these mistakes (and possibly made them ourselves), so check out my list below and make sure that your ad stands head and shoulders above the rest.

#5 – A bad concept/design

How do I put this gently? Advertising a listing is about the listing, not the agent. You want to keep the focus on the home (not on you). Make sure the listing photo and details are more prominent than your headshot and contact information. (more…)

New Report Lists Safest Cities in Georgia

March 31, 2014

safest_citiesThroughout my more than 30 years in real estate, housing trends have come and gone. Pastel paint, wallpaper and borders around rooms, and glass top tables are all features that have gone the way of the dodo, but there’s one home trend that has stayed constant over the years: Safety.

I spoke to thousands of families about their home buying concerns when I was a full-time selling agent, and one of their first questions was always “How safe is this neighborhood?” With that in mind, I found a great report titled “50 Safest Cities in Georgia” published by SafeWise, a safety and home security news source.

Although it lists 50 cities in the article, I’d like to cover the top 5 here. Some of the cities are well known for being safe, but others will surprise you. (more…)

What Message Are You Sending?

March 24, 2014

bad_communicationToday’s environment is consumed with endless means of non-“oral” communication methods. Texting, emails, instant messaging, letters, notes and stickies are just a few.

When drafting an email or written message, you must be mindful of how you attempt to convey your messages. Often, the recipient of a message interprets it differently from the expectations of the well intentioned sender perspective. This often results in a moment or situation that stalls progress or even creates a confrontation.

(more…)

It’s a Process, Not an Event! Part 3

March 3, 2014

leads_to_salesIn a previous blog, we reviewed setting SMART goals. After setting your goals, you’re ready for the final step in the process: Writing a Business Plan and schedule that support the accomplishment of your goals.

Before launching into writing your plan, determine how many days/weeks you will work this year. It’s helpful to use a big planning calendar, ideally one that shows all 12 months at a glance. Mark off vacations, holidays, days off and other commitments. Be honest. Factor in some time for unexpected events such as illness. Most real estate agents truly work about 42 weeks a year.

Once you’ve determined the number of weeks you will work, you’re ready to complete the Business Plan steps: (more…)

With Color, I Can Conquer the World!

February 24, 2014

choosing_colorEveryone has that favorite outfit, business suit, dress, tie or scarf. When that favorite piece of clothing also happens to be in your best color, you can become invincible. In sales, success hinges on confidence. When your confidence is soaring, it’s the ideal opportunity for prospecting and/or closing on sales.

Knowing the color or designer that gives you that added confidence is crucial to your individual success and closing abilities. Knowing and wearing “your” color will contribute greatly to your ability to capture more listings and writing more contracts.

A quick poll of 50 – 60 people revealed several confidence boosting colors. Many of the reasons people chose particular colors were quite intriguing. (more…)

It’s a Process, Not An Event! Part 2

February 3, 2014

smart_goals

In a previous blog, the steps to be taken in advance of preparing your 2014 goals and business plan were discussed. To review, the steps are:

  • Analyze your 2013 business
  • Complete a skills evaluation
  • Document your time for one (1) week

After completing those three steps, you’re ready to establish goals and write a business plan.

Establishing business goals is just one piece of a larger puzzle. Business goals must fit with the other areas of your life: Personal, financial, family and spiritual. So, as you set your business goals, make sure they are not in conflict with goals in other areas. For example, if your business goals require a larger investment of time and your family goals are to spend more time with your family…. there’s a conflict. (more…)

Business Planning: It’s a Process, Not an Event!

December 23, 2013

2014_business_planningAs 2013 is winding down, most real estate agents are thinking ahead to next year, but many have not established 2014 goals and a business plan to achieve them. Investing the time to set goals and write a business plan pays off. Consider the fact that various studies show that people who have written goals and business plans earn, on average, 10X as much income as those who do not. So, it’s your choice: Plan to get what you like… or plan to like what you get.

Many real estate agents avoid setting goals and writing business plans because they don’t know where to start. First, it’s important to understand that goal setting and writing a business plan is the end product of multiple steps. It’s a process, not an event! (more…)