What tactic or explanation do you use to convince clients that they really do need your services?
“I always ask clients that come in to get pre-qualified if they are using a Realtor. I tell them it costs you nothing and helps me make a smooth transaction. Most of the deals that I have problems with are for-sale-by-owners.”
—Wally Sears,
Wachovia Mortgage
Corporation
“I tell the story of a customer that told me he could not afford to sell his house with me, but would I review a contract for him? I told him that I would look it over and make sure that he was protected and not selling his home for too little. He was offered $40,000 less on paper than this house was worth. I explained to him that he could not afford to use me. We listed his house that same day for $40,000 more than the contract price and sold it within three hours. He is a true believer in the use of Realtors. He was very close to leaving $30,000 on the table because he was not up on the current market values. He allows me to give out his name and number to verify the story. As Realtors, it’s difficult for us to be up on the fast paced market that we are in, much less a for-sale-by-owner. After telling this story, it almost always gets them hooked.”
—Teresa Mercurio,
Re/Max 100 Realty
“Certainly the final choice to use or not use a professional Realtor is the buyer or seller’s decision. Normally you do not have an enormous amount of time to develop rapport, so you need to move quickly and get to the point. You have to establish yourself as an honest and trustworthy person, capable of handling the needs of your client. Each client is different and those different needs dictate how you will approach each. Establish value up front and how your knowledge can actually save them money and time. Let them know how you work and what you expect from them. Finally offer your service commitment to them and ask for their commitment to allow you to work exclusively for them until their home is found and closed. If you are successful with these things, you will have continued opportunities to prove your worth as you work through the buying or selling process.”
—Dan Daniel,
Prudential Network Realty,
Mandarin Office
“At first contact with either a buyer or seller, I make sure the discussion is focused on adding value. If the Realtor doesn’t add value, or cannot quantify that value, then it is an uphill battle to convince the potential client that your services are needed. Adding value and being a benefit to the client is the first and most important first step.”
—Phyllis Staines,
Re/Max Coastal Real Estate
“As an attorney title agent, I explain that this is the largest purchase most people make and they want to protect themselves by making sure that they are not buying ‘The Brooklyn Bridge’ from a seller without a clear title.”
—Gordon T. Nicol,
attorney
“There are some extremely important facets of selling a house. These are the top six considerations for ‘Why you should use a Realtor.’ The legal facet is selling your home requires a complete understanding of the legal forms and ramifications of contracts to effectively sell a home. If you choose to be a for-sale-by-owner, then retain legal advice for the contractual period. The emotional facet is selling a house is a business transaction. Selling a home is a business transaction with an emotional facet, which is undeniably true. You must retain an unbiased attachment. I experienced the listing and selling of my personal home two times over the years. I am an experienced agent. I have been a Realtor since 1988. I was thoroughly aware of the importance of remaining detached, which is virtually impossible at times. The list price facet is no one knows better than a certified appraiser or a Realtor what to price your home at. The marketing facet is advertising is very expensive. Real estate companies have high advertising budgets and access to the entire membership of the local and neighboring board of Realtors. That means thousands of agents know immediately that your house is for sale, which in turn potentially means thousands of buyers know that your home is for sale. The highest sales price and best terms facet is competition in the market place will bring the highest price and best terms. The more buyers that compete for your home, the better you will profit all round. Last but not least is the time facet. You must be available at least 12 hours a day/seven days a week to sell your home quickly and efficiently. I personally and professionally believe that no one can sell their own home for the highest price and best terms with little or no emotional stress unless you hire a professional. We are the somebodies that you can lean on and rely on! Now how to choose a Realtor? Do your home work! Check the Homes and Land Magazine, newspapers, and other advertising periodicals. Find out who does a great job advertising and how much they advertise? How many boards of Realtors are they a member of? Buyers come from the surrounding counties! Are they experienced? What is their past two year’s sales volume? Check out the company! Visit their office. How large is the sales force and the advertising budget? Then, interview a few, get a feel for the personal style and pick the one that you feel most confident in.”
—Shelley Trela,
Premier Properties Realty Group
“Although Realtors are not my primary source of clients [brokers are] however, most of my clients have extended relationships with Realtors. Obviously, one gets the business and the other finds the loan a home. In most cases, if the Realtor is on top of their game, they will surround themselves with dependable contacts and people that are all out to scratch each other’s backs. This way, when late night exceptions need to be made, the Realtor can call upon his many and vast contacts and get the job done. It’s extremely important, I think, for the Realtor to have a friendly and compromising relationship with at least two appraisers that don’t mind going the extra mile in terms of turn times and expense. Equally as important is to make sure the Realtor has a tight relationship with a local title company that actually provides them with impeccable and reliable service at all times. Remember, you are only as good as the team you pick to work alongside you. An inefficient title company can cost not only the borrower, but the broker too - thousands of dollars in some cases. Lastly, I think it’s very important that the Realtor be consistent with their volume and choose only the most qualified broker shops to handle their caseload. But keep that number of broker shops to a minimum, heavy volume gets investor consideration, and that leads to more exceptions and perks which ultimately leads to more closed loans.”
—Heidi Miesemer,
Mortgage Minders, LLC
“My past business and reputation speak through my customers and my success as a Realtor. I talk to them about my experience and refer them to any of my customers for personal testimonies. I show them my presentation book with ads, resume, marketing program, cards and letters from customers. Most of my business is through personal referrals, so I generally have their confidence level at the beginning.”
—Josie Deal, Coldwell Banker Jasinsky and Associates
“I assure my clients first and foremost of what I can do. Additionally I provide information about the stability and history of not only my banking division, but also supply history related to service and the rest of the First Horizon family responsibilities. On top of that I always advise that if the client is not happy, it is her prerogative to most certainly walk away. If they are on the fence due to the adversary nature of the business, I offer client comment sheets and articles detailing my work and service history. As a result, I have never had to go into the gray, have never had to ‘bait and switch.’ I might have lost some potential customers because of my honesty, but I am sure that the person missed out in the long run [and later realized it]. I build my customer base on realistic expectation, true rates that include information about the nature of extended locks and services as well as assure them that I will be along for the entire process. The rest is history, and they always come back, tell a friend or advise a loved one to me, and that is the reward, making this business personal and above all accountable.”
—Amy Noel Johnson,
First Horizon Home Loans
“As a mortgage broker we typically have two sales to make. We have to sell the Realtor on the fact that we are competent and close deals on time. We also have to sell the client on our service and fees. We get the majority of our business through Realtor referral so we rely heavily on our existing team of Realtors to ‘spread the word’ about our loan processing and service. We target the Realtors needs and the constraints of the Northeast Florida Association of Realtors contract to develop our internal processes so that we can consistently and accurately deliver excellent service to our Realtors and clients. If there was such a thing as karma marketing, I guess that is what we do.”
—Scott Patton,
Solaris Lending