100 Day Challenge

A Deal A Week

SELLERS

19. (Listing appointment) We don’t want to give it away.

I understand. No one is asking you to give it away.

What factors will help you determine if you will sell at a price that makes sense to you?

What information would you need so you could make that determination?

20. (Listing appointment) We don’t want to give it away.

What if the actual sales price for your home is less that you are hoping for, would you still want to sell your home?

What would you need to see or know from an agent to feel confident that they would get you the best price that the market would bring?

21. (You receive a phone call.) We just want to know the value of our home.

Great. Do you need a range, or do you need an exact price?
What format? Would you like me to email it, send it or come out and meet with you?
What is the purpose for the information?
Would a professional appraisal be better suited to your needs?


22. (Listing appointment) We need more than this for our home.

When you say you need more than this for your home, what do you mean?
And if the market won’t bring that price, what do you see as your options?

23. (Listing appointment) You sold us the house, we paid too much, and now we need to sell.

What is motivating you to sell your home at this time?

24. (Listing appointment) The last agent said they could sell it for more.

Why didn’t you list with him?
Would you list with an agent just on the basis of price?
How would you determine which agent could sell your home for the highest price possible?

25. (Listing appointment) The last agent said they could sell it for more.

I would love to tell you an even higher price! However, I think you are talking to me because you know I will be straight with you. I would be doing you a true dis-service to risk your equity and best interests just to get your listing.
Are you willing to work with me if I don’t outbid other agents on the price?

26. (Listing appointment) We have an appraisal that is 10% higher than these numbers.

Unfortunately an appraisal does not necessarily reflect current market value.
If the appraised value was lower than current market value, which price would you go with?
How does the information we just reviewed impact your thoughts regarding pricing?


27. (Listing appointment) But this price is what we paid for it 3 years ago!

I understand. Can you afford to sell your home at this price today?




28. (Listing appointment) But the price doesn’t really give us credit for all these improvements…

Yes, they are lovely. If you had known that you were going to sell, would you have invested as much in improvements?
Why not?

29. Listing appointment) But the price doesn’t really give us credit for all these improvements…
In today’s market, improvements like these don’t increase the value of a home. However they are likely to increase the marketability of your home.


30. ( Price reduction) We know if we lower the price, the offers will still come in low.

That could happen. If we get a low offer, we can negotiate and work the offer price up.
We need to be priced at a point where we are actually getting offers.
Until we have offers we have nothing to negotiate.
Even if we have to turn an offer down, at least you will have the opportunity to say “no”, and we will know with certainty what the market will bring.
Are you willing to price your home where we are likely to stimulate serious offers?

31. (Listing appointment) We want to price it on the high side, we aren’t in a hurry to sell.

What are you trying to accomplish specifically?

32. (Listing appointment) What’s the harm in just trying it at a higher price?

What would going on the market at a higher price do for you?









33. (Listing appointment) What’s the harm in just trying it at a higher price?

There are several risks that could erode your equity:
1) A perception that stigmatizes the property: buyers and agents think there must be something wrong with the property or it would already be sold; or they think you must be desperate by now, so offers will be low.
2) Inconvenience: keeping your home in “show home” condition every day.
3) Risk: the market may drop further and we will end up chasing the market down and selling for an even lower price.
Is that enough, or would you like to hear more?

34. What do you mean “chasing the market down”? (this is easier to understand if you illustrate)

In any market you need to price just ahead of the “curve” or the trend line.
The trend follows the supply and demand for homes in your price range. More demand, less supply means higher prices. More supply, less demand means lower prices.
If prices are rising quickly, you price higher than the last sale.
In a declining market, if we don’t price lower than the last sale, competing homes will sell even lower, and we will get left behind.
Unless we get in front of the trend, we will continue chasing the market down and eventually sell at a lower price than we would have had we priced right in the beginning.
Shall we price to sell or to chase?


35. (Listing appointment) We want to price it high so we’ll have room to negotiate.

I understand. In order to negotiate we first need a buyer. If we price too high the right buyer won’t see the home. They are not even looking in our price range.
We need to be in a price range where we are comparably better than our competition. Most important: our price needs to attract offers.
Are you willing to price in that range?

36. (Listing appointment) We don’t want to leave any money on the table.

What would have to happen in order for you to feel that you weren’t leaving money on the table?

37. (Listing appointment) We don’t want to go through the hassle to repaint and carpet, can’t we just give them an allowance and the buyer can pick for themselves.

I understand. The convenience factor is important.
The condition of your home is one of the few factors within your control. Which is more important to you, some inconvenience upfront or a longer time on market and a lower sales price?

38. (Listing appointment) We don’t want to go through the hassle to repaint and carpet, can’t we just give them an allowance and the buyer can pick for themselves.

People buy on emotions and it is easiest for them to buy what they can see.
If a buyer sees something that needs to be changed, you may see it as a small thing, but the buyer sees it as an unknown, which equals more in their mind, plus the inconvenience of having to make the improvements themselves. So they will make a low offer.
Can we make your home easy to buy?

39. (listing appointment)I think we need to update the kitchen before we go on market, but my spouse just wants to get going.

What would you need to know to decide if it was worth the effort given that it would delay your sale?
If the two of you did agree on doing the remodel, how would you go about deciding what specific changes to make?
Is there anything smaller improvement you could make that you feel would give you a similar effect?
It seems that it is more important for (spouse 1) to make the move as soon as possible, why is that?
__(Spouse 2), if it were entirely up to you, when would you be making this move?
What would need to happen for you to feel ready to sell?

40. (listing appointment) Should we leave it empty or should we stage the home?

On this point, I think we should take our cue from the best in the industry. New home builders invest $100,000’s in staging because they understand the power of emotion in a purchase. A beautifully staged home makes a powerful impact on buyers when they experience your home compared to others.
These stagers are full time professionals who have been staging homes as a business for _____ years.
The average days on market for the homes they stage is ______.
The cost is usually around _______ % of the sale price.
Would you be open to meeting with the stager to get more specifics?



41. (call back from listing client) I’m sorry I know we said we are ready to list, but a friend told us that they will buy our home.

That’s great. Have they put an offer in writing?
How long will you wait for their written offer before you list to see if you can do as well or better with buyers competing for your home in the open market?
Would you consider moving forward with listing and excluding your friends from our contract for 7 days?

42. (Listing appointment) We don’t have to sell, we can just rent it.

That could be a good option. What would you need to know in order to know which way to proceed?

43. (on phone before listing appointment) We are going to be interviewing three agents.

What is your thought behind interviewing three?
How are you selecting the agents to interview?

44. We are going to be interviewing the area experts.

What do you think that they can do for you that I can’t?

45. Listing questions

What do you want to get accomplished as a result of our meeting today?
Why are you selling?
What would be your ideal timing?
If the sale was sooner or later than the ideal time what would you do?
Have you definitely decided to sell at this time?
Is everyone in the family on board with that?
What do you love about your home?
What would you change if you were going to stay?
What are you going to be asking for the property?
Have you sold other properties?
Can you tell me the pros and cons of those experiences?
What are the 3 most important things you are looking for in a Realtor?
What kind of data or information would you need to feel confident that an agent meets that criteria?


SELLER EXPECTATIONS


46. We thought we would have an offer by now.**Review

Are you open to discussing a reduction in price?

47. How much do we need to lower the price?**Review

If I brought you an offer today for $______________, all cash, closing on the day of your choice, what would you do?


48. Can’t we just lower it a little at a time—we don’t want to give it away!**Review

Time is working against us. Do you want to risk letting time erode even more of your equity?

49. Before we reduce the price, we think you should do more advertising.**Review

What do you expect to happen if we do more advertising?


50. Okay, we agree, let’s price it to get good offers.

Good decision. Now, let me ask you something: let’s say that I go back to my office and talk up your home. And tomorrow at this same time I am sitting here in front of you with a full price offer. How will you feel?

Seller #1 ABSOLUTELY GREAT—I’M PACKING!!
Seller #2 Not me, I’d think we listed it too low.

This is what really happens: The buyer has been looking, knows what is on the market and is ready to buy now. Your home is perfect and they want to get it before anyone else. Because it is so new on market, they know they have little negotiating power and I will tell them or their agent that they need to write a full price offer.

If you still think we are selling too low we can ask them to hold off for 30 days so you’ll feel better. (SMILE)


51. (seller call) We think you need to do more advertising

What do you mean by more advertising?
What do you feel that type of advertising would do for us?

52. (seller call) We think you need to do more advertising

What is your perception of where buyers are coming from?
How do you see this type of advertising exposing a new category of buyers to our home?


53. How long should it take to get an offer?**Review

Three things can happen when we put your home on the market:
The first scenario is, we get lots of showings and a great offer we can accept.
The second scenario is, we get lots of activity and no offers. This means that people are interested, however they don’t perceive our home as the best value.
The third scenario is that we get no showings and no offers. This means that we missed the mark all together.
We are positioning for the first scenario, but if the market brings no offers or little activity, are you flexible in pricing?

54. We don’t even want to see offers that are really low.**Review

I recommend that we counter all offers. A low offer is not personal, it is just a question: “How motivated are you?” and by our written counter we answer! Can we agree that we will answer?

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FREDIAN THEORY....

Commitment is measured by action.

Who will do what.... when?

Are you talking to people in terms of benefit (opportunity)?

Enlightenment is being free of self-limitation.

"I like to find out what people think."

You don't vend a propportunity™ to sell that specific property, although that is a possibility. You vend opportunity to find out what people will do.

Every day you need to watch from falling into the trap of thinking, "Tomorrow things will work out."

Measure your success by what you do today.

One definition of success is... taking appropriate action.

The goal is to find out what you don't know vs. judging what you think you know. This is what it means to be "open".

Things don't get done because they don't get done today.

Great is being great today.

Your career, your year, won't come together until you break it down into the unit of today.

What are you pushing away, distraction or deals?

The practice of being in the hunt leads to production on a regular basis.

Begin each day "on purpose". Clear, connected, open, and READI.

Your decisions define who you are.

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