Training Information About Expired Listings • • • The Sellers have already decided that they need the assistance of an agent The fact that their home hasn’t sold may or may not be a result of the agent they selected to assist them • You should convince them that you offer something which will bring them different results Statistics show that 85% of Expired Listings will relist • Most will relist in a short period of time • Your contacts must be frequent and in-depth • You may only have one chance to make an impression on them before they make a decision • They may only agree to speak with the first agents that contact them Contacting Expired Listings • By phone • You main purpose is to get an appointment • If they indicate that they are going to relist or already have determined their next agent, ask to drop off information for their review before they sign anything • Assure them that you’ll leave the materials and not take their time • This may provide you that “one chance” that you won’t otherwise get • Information delivered • Owner is home • Explain that you have information and offer to leave it with them • Ask if they are willing to speak with you for a moment • Review your package with them • If you leave the package, follow-up that evening • Attempt to schedule an appointment with them • Owner not home • Consider leaving it in a plain envelope (no company or personal logo) or marking the envelope as “private” or “confidential” • Another agent will be less likely to take it if they are dropping off info also • Follow-up with them that evening • Confirm receipt of package • Attempt to schedule an appointment with them Expired Listing Dialogues You want to determine their opinion of why their home didn’t sell. There are key comments that you can use to “plant seeds” to make them question their original decision or entice them to speak with you further. Training You can accomplish this by asking questions that they probably don’t have answer to and then acting “surprised” that they didn’t receive the services that would have provided the answers. • “What was the feedback you had from the agents who showed your home?” • “Oh, you didn’t receive feedback? I contact all showing agents the next day and report their feedback to you. It’s very important to know why a buyer didn’t select your home or to find out if they purchased something else. If not, we need to determine if there’s anything we can do to make your property more enticing to them.” • “Do you have the copies of your marketing that we could review?” • “Your agent didn’t provide you with copies of your print advertising, postcard mailings or internet promotion? I always provide my Sellers with copies of these items with their weekly reports. (Pause…) You did get weekly reports, didn’t you?” • “Are you comfortable with your pricing? Did you receive updated CMA’s as your listing progressed?” • “Oh, you didn’t? Well, the market can change from month to month, even week to week. As competing houses become available or sell, your market position can change. I provide my Sellers with a market activity update weekly and make recommendations accordingly.” Other Suggested Questions for Expired Listings: • • • • • • • • • Did you see how your home looked in the MLS system? Do you still want to sell your home? While for sale, did you receive any offers? Do yo have any ideas of why your property didn’t sell? Do you know if your house was promoted on the internet? Had your home sold, where had you planned to move? What were your plans/time frame for wanting to complete the transaction? How did you select your previous agent? What marketing wasn’t done that you feel should have been done? Common Expired Listing Objections: • If you’re so good, why didn’t you sell my house when it was for sale? • “That’s an excellent question. You see, I spend my time promoting properties for Sellers who have employed me. My advertising produces Buyers for those listings or similar listings.” • If you have shown or previewed their home—let them know. Training • We decided to wait until next year/another season/etc. • “I see. If I come across a Buyer between now and then who is looking for a home like yours, can I call you to schedule a time to show them your home if there are no homes currently listed meeting their criteria?” • We are going to leave it off the market until the market gets better. • “I’ve been having (or if you don’t listings… Our market has had) 40% of listings sell in the first 30 days. Would you still consider selling if I could get your home sold in that time frame” or “My marketing plan is designed to get homes under contract in the first 30 days. Would you still consider selling if I could get your home sold in that time frame?” • Check statistics locally. Often it’s not as important that the statistics are extreme, but they give you credibility in what you’re saying and show that their experience may not have been typical. • We are going to sell it on our own. • “That’s okay. It has been my experience that when a home doesn’t sell when it’s listed, there are only four reasons. I can come by your house and give you an evaluation as to why your home didn’t sell. This might help you with your attempt to sell on your own.” • We decided not to sell. • “I understand. If I find someone looking for a home with your features, would you consider selling to them?” or “What has changed that has caused you to change your plans?” • They may have lost a home they were wanting to purchase. They may need assistance in locating another home and will be selling once they find one. • Do you have a Buyer for my home? • “I have several Buyers that I am working with. I have located these Buyers as a result of my promotion and advertising of homes I have listed. If I were given the opportunity to promote your home, I would attract Buyers for a home with your features. There are agents out there who do currently have Buyers for your home. Part of my marketing plan includes in-depth marketing to the other area agents. I really don’t care which agent brings your Buyer, my job is to promote your home so those agents want to bring their Buyers. At that point, my job is to represent your best interests and get your transaction to closing.” • We are going to stay with our current agent. • “Has your agent given you a revised marketing plan? Obviously what has been done so far hasn’t been productive.” • If you’re on the phone, offer to deliver your package for comparison before they sign again. Training Expired Listing Package Keep in mind that the information you provide may be your only chance to convince them to speak with or select you. The more detailed, customized and informative it is, the better your chances of securing an appointment with them. • • Generic • Pre-listing package with a custom letter for Expired Listings Custom • Use Pre-listing package as a base • Customize title/text to reference Expired Listings (Some examples follow) • “Our Home Has Expired… Now What?” • “Expired Listing Handbook” • Center on bottom of each page “Specialized Systems for Expired Listings” • Include some specific references to Expired Listings • Statistics • Reference the fact that you specialize in selling homes which have expired • Explain that you have a system which results in the sale of Expired Listings Contact Suggestions • • • • • • • MLS printout showing Expired status • Highlight or make notes of: • Incorrect information • Poor use of options • Features present but not marked • Incomplete use of Remarks space • Highlight or circle Expired status Marketing plan/Samples of marketing & advertising Resume Company information Informational brochures Current market statistics • Creates confidence in your knowledge • Averages by school district • Pick & choose to fit your needs • Days on market of recent sales • List Price to Sales Price ratios • Current Year vs. Previous Year CMA Information • Consider limiting amount of info—too much and they don’t need you • Must have if you get the chance to speak with them • Gather details on their home and offer to assemble full presentation if necessary Training Expired Listing System Check for Expired listings daily • MLS search for areas you want to work • Mark “Expired” and put yesterdays (or last search date) in “From” field • Print information off (Suggest 1 line format) • Search by addresses with all status fields marked • Make sure the home isn’t relisted (Active), under contingent contract (will show up if they Expire during a contingency) or weren’t previously withdrawn (still show up on expiration date) Prepare “Workable” Listings • Print “Agent Standard” printout for true Expired Listings • Print Tax Record for property • Attempt to locate phone number for owners • Tax records • Phone book • Online services (ie. Anywho.com) • Determine how you will file these sheets while you’re working the contacts • Do you file by Street name or Seller’s name • Something portable is recommended so you have the info if you receive a call • Pendaflex file with alphabet • 3 ring binder with alphabet dividers Develop Systems for Contacts • Contact by phone • Deliver package/Mail if necessary (Time delay could lessen effectiveness) • Follow-up phone call • Develop continued contact schedule (postcards/phone calls/letters) • Determine frequency based on contact’s urgency or probability of listing • Categorize as A, B or C leads A sample category system might be: • A Lead: Anyone who hasn’t relisted but told you they would be doing something within the next 30 days. Hand deliver package! Contact every 3 days until they make a decision. Keep them up-to-date on market activity in their immediate area. • B Lead: Anyone who told you they were going to put their home back on the market but probably not for 1-2 months. Hand deliver or mail package only if necessary. Contact once a week until they make a decision. • C Lead: Anyone who told you they’re not sure what they’re going to do yet, they’re not going to sell now, they’re going to sell it themselves or they may wait for a better market. Mail package. Contact once a month. May upgrade to A or B lead as time passes.