Real estate listing & sales techniques

Real Estate

Listing & Sales

Techniques

Overview

1. Getting started: learning your market

finding prospects

2. Working for sellers

3. Working for buyers

4. Negotiating the purchase contract

5. Due diligence & closing

6. Ethics & professional practice

7. Continuing education

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Getting Started:

Who Are You &

What Are Your Skills?

1. Please complete the Survey (handout #1)

2. Form into groups of threes (3s): decide who will be

the “broker”, the “prospective agent” and the

“observer”.

Using the questions on the Survey, the broker will

interview the prospective agent (5 minutes) while

the observer listens.

Switch roles so that everyone has a different role

and repeat (5 minutes).Adel Abouhana

Getting Started:

Who Are You &

What Are Your Skills?, continued

3. Prospective agents: If you were the broker, would you hire yourself?

4. Brokers & Observers: What did you like bestabout the Prospective Agents?

This interview may be similar to one you’ll

have in “real” life.

The rest of today’s class is designed to

prepare you to be as successful as you can be!

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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 information

2. Collect information in as much detail as possible

a. demographics

b. market size and activity

c. price range

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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?

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Getting Started:

Your Tools

1. Professional wardrobe

2. Listing catalog

3. Brief case

4. Tape measure

5. Screwdriver, pliers

6. PDA or appointment book

7. Maps

8. Data base

9. Listing forms, contracts

10. Purchase contracts

11. Mortgage calculator

12. List of mortgage

companies, surveyors, etc.

13. Signs, lockboxes, etc.

14. Company policy manual

15. Buyer’s handbook

16. Seller’s handbook

17. ___________________

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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 sources

a. Relatives

b. Friends

c. Business contacts

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Getting Started:

Finding Prospects, continued

3. Contact referral sources

a. Send an announcement letter

b. Include your business card

c. Stay in touch: 4 times/year minimum

4. Join organizations: meet people =

“social farming”

5. Establish a “geographic farm”: become

the expert (handout #2)

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Getting Started:

Finding Prospects, continued

6. “Opportunity time”

7. Target likely prospects

a. Mailing lists/membership rosters

b. Announcements in newspapers

8. Increase your visibility

a. Develop & distribute a newsletter

b. Hold open houses

c. Advertising

9. “Cold calls”

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Understanding Why People Buy

& Sell Real Estate:

It’s Usually Personal!

1. Death

2. Divorce

3. Illness

4. Financial

pressures

5. Loss of

employment

6. Job transfer

7. Marriage

8. Birth

9. Promotion

10.Expression

11.Unexpected

wealth

12.Prestige

13. Investment

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Duties Owed to

Your Clients1. Usually based on law/regulation/custom

2. Six primary “fiduciary” duties

a. Loyalty

b. Keep personal information confidential

c. Obedience

d. Reasonable skill & diligence

e. Disclose all known facts

f. Accounting for money & documents

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Conflicts of Interest

1. 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

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Responsibilities to

“Other” Party1. Fair and honest treatment

2. Disclosure of all known facts about the transaction and property

3. Disclosure of fact you are expected to know

4. No misrepresentation: know the facts and don’t guess

5. Fully explain any documents that require signatures

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Responsibilities to

the Public

1. No discrimination

2. Provide competent service

3. Don’t undertake a job you’re not

qualified to perform

4. Do not do any advertising that’s false,

misleading or a misrepresentation

5. Do not do anything contrary to the law

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Responsibilities to

Other 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

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LISTING: Working for SellersFinding Potential Sellers

1. Geographic farming

2. Divorce/marriage

3. Death/illness

4. For-sale-by-owners

5. Expired listings

6. Foreclosure notices

7. Neighbors of new

listings

8. Out-of-town owners

9. Advertising for

specific properties

10. Moving companies

11. “Furniture for sale”

12. Business transfers

13. Homebuilders

14. Social farming

15. Attorneys/bankers

16. Referrals

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LISTING: Working for Sellers

Seller Counseling Session-1

1. Prepare yourself

a. Dress professionally

b. Be prompt

c. Prepare CMA (handout #4)

2. Prepare prospective seller

a. Establish rapport

b. Agree on common agenda

c. Permission to ask questions

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Using Seller’s Handbook (sample) as a guide1. Discuss your role as advisor/advocate, your company &

yourself

2. Discuss your role as marketer

3. Discuss CMA (actives, solds, expireds) /importance of pricing

4. Review seller’s options

5. Review listing contract (sample & CD)

6. Discuss how you & selling agent are paid

7. Determine seller’s motivation, timing

8. Discuss preparing the home for the buyer’s eyes (book)

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Ask: “If we find a buyer today willing to pay your price, are you ready to sell?”

Then either

A. Present the listing contract again and ask for their signatures OR

B. Ask them to review all the information you’ve provided and make an appointment to discuss any questions and finalize the contract

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Marketing

1. Prepare MLS brochure for competitors

2. Put sign in yard, fill brochure box

3. Enlist seller’s help in keeping brochure box full

4. Put key box on front door

5. Give office showing instructions

6. Create advertising: Internet, newspaper, flyers

7. Prepare Property Guide for inside home

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Communication

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 week

4. Review feedback with seller monthly, discuss possible price change

5. Hold “open” houses

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SELLING: Working for Buyers

Finding 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 farming

4. Social farming

5. Referrals from professionals, other agents, friends, relatives

6. Your niche market

7. Home buying seminars

8. Your web site

9. Divorce/marriage

10.Expanding families

11.“Empty nesters”

12.Just promoted/fired

13.Hold open houses

14.“Opportunity time”

15._______________

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Buyer Counseling Session-1

1. Prepare yourself

a. Dress professionally

b. Be prompt!

c. Prepare information on possible properties

2. Prepare prospective buyer

a. Establish rapport

b. Agree on common agenda

c. Ask permission to ask questions

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Using Buyer’s Handbook (sample) as a guide

1. Introduce yourself & your company

2. Explain your role as advisor and advocate

3. Review the steps involved in purchasing

4. Review due diligence between contract & closing

5. Review sample contracts

a. Buyer agency agreement (sample & CD)

b. Purchase agreement (sample & CD)

6. Discuss current market & available properties

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7. Specify buyer’s wants & needs

8. Determine buyer’s financial

qualifications

Ask: “If we find a property today that

meets your needs, will you be in a

position to buy?”

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Then either

A. Present the buyer agency agreement again and ask for their signatures OR

B. Ask them to review all the information you’ve provided, make an appointment to both finalize the contract and show property

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Showing Properties

Selecting and previewing properties

1. Match buyers’ wants and needs

with currently available properties

2. Preview matches

3. Make appointments to show “best”

matches

4. Plan “tour” route

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Showing Tips

1. Play the “priority” game: keep focused

on just 2-3 properties

2. Compare pros/cons of properties

3. Encourage note taking

4. Encourage client opinions

5. Ask probing questions

6. Serve as a “sounding board”

7. Listen carefully

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Handling Objections

1. Always answer honestly

2. “I don’t know but I’ll find out.”

3. Restate objection as a question

4. Correct misinformation

5. Ask “why” questions carefully

6. Watch for “buying” signals

7. “Have I answered all your concerns or

do you need more information?”

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!!!LISTEN!!!

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NEGOTIATING THE CONTRACT

Purchase & Sale Agreement

Essential Elements

1. Competent parties

2. Timely acceptance

3. Unique legal

4. Consideration

5. Mutual consent

Terms & Provisions

1. Price

2. Possession

3. Personal property

4. Means of conveyance

5. Pro-rations of taxes & insurance

6. Closing costs

7. Contingencies

8. Property disclosures

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NEGOTIATING THE CONTRACT

Presenting the Offer

1. Provide seller with a complete “picture” of

the buyer:

2. Present terms of offer

3. Explain contingencies/special conditions

4. Present buyer’s financial capability

5. Encourage acceptance

6. If seller is unwilling to accept as is,

negotiate using counterproposals (sample)

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DUE DILIGENCE & CLOSING

1. Coordinate with listing agent

2. Prepare checklist of all steps & dates

3. Maintain transaction file of all meetings, correspondence, documents, phone notes

4. Assist your client with timely information, emotional support

5. Communicate regularly

6. Make sure all dates are met

7. Schedule & participate in closing

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“CLIENTS FOR LIFE!”

1. Perform with highest possible

professionalism during transaction

2. Call on client shortly after closing

3. Keep in touch at least 4 times each year

4. Establish yourself as their professional

REALTOR

a. For their future real estate needs

b. To refer friends/relatives/colleagues

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Ethics &

Professional Practice

1. It pays to do the right thing

2. Honest & ethical behavior bring rewards

3. The only answer to building a good,

lasting reputation

4. Never let the pursuit of money determine

your behavior

5. NAR’s Pathways to Professionalism

(handout #5): show respect to everyone!

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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. Sources

5. Designations

6. Have an education goal every year.

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We hope you’ve enjoyed this.

We hope it will increase your

success.

Adel Abouhana

Adel Abouhana

Real estate listing & sales techniques

Real Estate

Transcript of Real estate listing & sales techniques