real estate listing & sales techniques
DESCRIPTION
Real Estate Listing & Sales TechniquesTRANSCRIPT
Real EstateListing & Sales
TechniquesPrepared for the
Georgia Real Estate Association
byGail Lyons,
ABR, CCIM, C-CREC, CIPS, CRB, CRS, DREI, QSC, SRES
Overview1. Getting Started2. Working for sellers3. Working for buyers4. Negotiating the purchase contract5. Due diligence & closing6. Ethics & professional practice7. Continuing education
Getting Started:Learning Your Market
To be successful, you must know your market as well or better than anyone else.
1. Develop a data base to organize information2. Collect information in as much detail as possible
a. demographicsb. market size and activityc. price range
Getting Started: Learning Your Market
3. Where are shopping, schools, recreational facilities, etc. located?
4. What laws govern property use?5. What laws govern real estate
transactions?6. What else do you need to know
about your market?
Getting Started:Your Tools
1. Professional wardrobe2. Listing catalog3. Brief case4. Tape measure5. Screwdriver, pliers6. PDA or appointment book7. Maps8. Data base9. Listing forms, contracts
10. Purchase contracts11. Mortgage calculator12. List of mortgage
companies, surveyors, etc.13. Signs, lockboxes, etc.14. Company policy manual15. Buyer’s handbook16. Seller’s handbook17. ___________________
Getting Started:Finding Prospects (handout #3)
1. Develop an effective data base to retain names, addresses, phone numbers, contact history, etc.
2. List potential referral sourcesa. Relativesb. Friendsc. Business contacts
Getting Started:Finding Prospects, continued
3. Contact referral sourcesa. Send an announcement letterb. Include your business cardc. Stay in touch: 4 times/year minimum
4. Join organizations: meet people = “social farming”
5. Establish a “geographic farm”: become the expert (handout #2)
Getting Started:Finding Prospects, continued
6. “Opportunity time”7. Target likely prospects
a. Mailing lists/membership rostersb. Announcements in newspapers
8. Increase your visibilitya. Develop & distribute a newsletterb. Hold open housesc. Advertising
9. “Cold calls”
Understanding Why People Buy & Sell Real Estate:
It’s Usually Personal!1. Death2. Divorce3. Illness4. Financial
pressures5. Loss of
employment6. Job transfer
7. Marriage8. Birth9. Promotion10.Expression11.Unexpected
wealth12.Prestige13. Investment
Duties Owed to Your Clients
1. Usually based on law/regulation/custom2. Six primary “fiduciary” duties
a. Loyaltyb. Keep personal information confidentialc. Obedienced. Reasonable skill & diligencee. Disclose all known factsf. Accounting for money & documents
Conflicts of Interest1. Occur when the duties you owe to one
person conflict with the duties you owe to another person, including yourself!
2. Conflict must be disclosed immediately and a solution agreed upon; put the solution in writing signed by both parties
3. If no solution can be agreed upon, terminate one or both relationships
Responsibilities to “Other” Party
1. Fair and honest treatment2. Disclosure of all known facts about the
transaction and property3. Disclosure of fact you are expected to
know4. No misrepresentation: know the facts
and don’t guess5. Fully explain any documents that
require signatures
Responsibilities tothe Public
1. No discrimination2. Provide competent service3. Don’t undertake a job you’re not
qualified to perform4. Do not do any advertising that’s false,
misleading or a misrepresentation5. Do not do anything contrary to the law
Responsibilities toOther Agents
1. Do not knowingly make false or misleading statements about your competitors
2. Do not take any action inconsistent with the agency of another agent
3. Disclose your client relationship to other agents at first contact
LISTING: Working for SellersFinding Potential Sellers
1. Geographic farming2. Divorce/marriage3. Death/illness4. For-sale-by-owners5. Expired listings6. Foreclosure notices7. Neighbors of new
listings8. Out-of-town owners
9. Advertising for specific properties
10. Moving companies11. “Furniture for sale”12. Business transfers13. Homebuilders14. Social farming15. Attorneys/bankers16. Referrals
LISTING: Working for SellersSeller Counseling Session-1
1. Prepare yourselfa. Dress professionallyb. Be promptc. Prepare CMA (handout #4)
2. Prepare prospective sellera. Establish rapportb. Agree on common agendac. Permission to ask questions
LISTING: Working for SellersSeller Counseling Session-2
Using Seller’s Handbook (sample) as a guide1. Discuss your role as advisor/advocate, your company &
yourself2. Discuss your role as marketer3. Discuss CMA (actives, solds, expireds) /importance of
pricing4. Review seller’s options5. Review listing contract (sample & CD)6. Discuss how you & selling agent are paid7. Determine seller’s motivation, timing8. Discuss preparing the home for the buyer’s eyes (book)
LISTING: Working for SellersSeller Counseling Session-3
Ask: “If we find a buyer today willing to pay your price, are you ready to sell?”
Then eitherA. Present the listing contract again and ask for their signatures ORB. Ask them to review all the information you’ve provided and make an appointment to discuss any questions and finalize the contract
LISTING: Working for SellersMarketing
1. Prepare MLS brochure for competitors2. Put sign in yard, fill brochure box3. Enlist seller’s help in keeping brochure
box full4. Put key box on front door5. Give office showing instructions6. Create advertising: Internet, newspaper,
flyers7. Prepare Property Guide for inside home
LISTING: Working for SellersCommunication
Communicate with your seller…even when there’s “nothing” to say!
1. Tell the seller what you are doing to market the property
2. Collect feedback from showings, tell the seller
3. Contact seller at least once a week4. Review feedback with seller monthly,
discuss possible price change5. Hold “open” houses
SELLING: Working for BuyersFinding Potential Buyers
1. Your sellers! 2. If your sellers are
not buying here, refer them to an agent to which they’re moving
3. Geographic farming4. Social farming5. Referrals from
professionals, other agents, friends, relatives
6. Your niche market 7. Home buying
seminars8. Your web site9. Divorce/marriage10.Expanding families11.“Empty nesters” 12.Just promoted/fired13.Hold open houses14.“Opportunity time”15._______________
SELLING: Working for BuyersBuyer Counseling Session-1
1. Prepare yourselfa. Dress professionallyb. Be prompt!c. Prepare information on possible properties
2. Prepare prospective buyera. Establish rapportb. Agree on common agendac. Ask permission to ask questions
SELLING: Working for BuyersBuyer Counseling Session-2
Using Buyer’s Handbook (sample) as a guide1. Introduce yourself & your company2. Explain your role as advisor and advocate3. Review the steps involved in purchasing4. Review due diligence between contract & closing5. Review sample contracts
a. Buyer agency agreement (sample & CD)b. Purchase agreement (sample & CD)
6. Discuss current market & available properties
SELLING: Working for BuyersBuyer Counseling Session-3
7. Specify buyer’s wants & needs8. Determine buyer’s financial
qualifications
Ask: “If we find a property today that meets your needs, will you be in a position to buy?”
SELLING: Working for BuyersBuyer Counseling Session-4
Then either A. Present the buyer agency agreement again and ask for their signatures ORB. Ask them to review all the information you’ve provided, make an appointment to both finalize the contract and show property
SELLING: Working for BuyersShowing Properties
Selecting and previewing properties1. Match buyers’ wants and needs
with currently available properties2. Preview matches3. Make appointments to show “best”
matches4. Plan “tour” route
SELLING: Working for BuyersShowing Tips
1. Play the “priority” game: keep focused on just 2-3 properties
2. Compare pros/cons of properties3. Encourage note taking4. Encourage client opinions5. Ask probing questions6. Serve as a “sounding board”7. Listen carefully
SELLING: Working for BuyersHandling Objections
1. Always answer honestly2. “I don’t know but I’ll find out.”3. Restate objection as a question4. Correct misinformation5. Ask “why” questions carefully6. Watch for “buying” signals7. “Have I answered all your concerns or
do you need more information?”
SELLING: Working for Buyers
!!!LISTEN!!!
NEGOTIATING THE CONTRACTPurchase & Sale Agreement
Essential Elements1. Competent
parties2. Timely
acceptance3. Unique legal4. Consideration5. Mutual consent
Terms & Provisions1. Price2. Possession3. Personal property4. Means of conveyance5. Pro-rations of taxes &
insurance6. Closing costs7. Contingencies8. Property disclosures
NEGOTIATING THE CONTRACTPresenting the Offer
1. Provide seller with a complete “picture” of the buyer:
2. Present terms of offer3. Explain contingencies/special conditions4. Present buyer’s financial capability5. Encourage acceptance6. If seller is unwilling to accept as is,
negotiate using counterproposals (sample)
DUE DILIGENCE & CLOSING
1. Coordinate with listing agent2. Prepare checklist of all steps & dates3. Maintain transaction file of all meetings,
correspondence, documents, phone notes4. Assist your client with timely information,
emotional support5. Communicate regularly6. Make sure all dates are met7. Schedule & participate in closing
“CLIENTS FOR LIFE!”
1. Perform with highest possible professionalism during transaction
2. Call on client shortly after closing3. Keep in touch at least 4 times each year4. Establish yourself as their professional
REALTORa. For their future real estate needsb. To refer friends/relatives/colleagues
Ethics & Professional Practice
1. It pays to do the right thing2. Honest & ethical behavior bring rewards3. The only answer to building a good,
lasting reputation4. Never let the pursuit of money determine
your behavior5. NAR’s Pathways to Professionalism
(handout #5): show respect to everyone!
Continuing Education:Keeping Ahead of the “Game”
1. List the topics you’d like to learn more about: _________________________
2. Let’s make a combined list.3. Continuing education and training are
critical to your success in real estate.4. Sources5. Designations6. Have an education goal every year.
We hope you’ve enjoyed this class.We hope it will increase your
success.I’ve certainly enjoyed being with you and have learned from you!
, !გმადლობ გმადლობთ
Gail Lyons &International Real Property
Foundation