Would you give me $22 for a $20 bill? Of course not. But what if I ran a full-page ad in the newspaper marketing my $20 bill, built a dedicated web page to showcase high-resolution photos of my $20 bill, streamed Facebook live videos of me holding my $20 bill, and scheduled times on the weekend inviting you to come and see my $20 bill in person and hold it in your hand so you can experience how amazing my $20 bill is and what it would feel like actually to call it yours? Would that be enough to get you to pay me $22 for my $20 bill? Of course not. 🟢 Because a $20 bill is only worth $20. But what if I ran a television ad, waving my arms all over the place claiming I had a $20 bill that I was willing to sell for $18? What do you think would happen then? There would be a line all the way down the street, around the corner, continuing for multiple blocks... with people ready to buy (or make offers) on my $20 bill. ➡️ The difference is VALUE. If you try to sell a $20 bill for $22, you are asking too much and nobody will be interested. But if you try to sell a $20 bill for $18, you have created a perceived value that consumers cannot ignore or refuse. Many property issues can be addressed and even eliminated with a little effort. You can clean carpets, paint walls, repair pools, and bake cookies to cover a musty smell. When you do these things, you create value. Or, you can price the home for what it is. You can take the home as it is, along with the current market conditions, and offer the home for sale at a price that reflects the real value -- with the property issues and market conditions factored in. I've been doing this a long time and am confident in my claim that every home, even homes loaded with issues, problems, and flaws, will sell if they are priced at a level that represents value to the buyer. But homes that are priced that ignore the property issues and the market conditions, will sit on the market while the listing agents promote them with Google ads, postcard mailings, and Facebook live videos.
There are many strategies you can use to increase your buyer's chances of getting their dream home when shopping for a home in a competitive housing market. 1️⃣ Encourage your buyer to be ready to make a decision. There's no time to "sleep on it". Another buyer looked at the same home yesterday, slept on it last night, and is ready to pull the trigger today. Your buyer needs to be quick and decisive. 2️⃣ Guide your buyer to offer competitively and aggressively. Sellers' markets are not the time to present lowball offers. Review the recent sales with your buyer and the currently available homes on the market and counsel them about making a competitive offer. Advise them to put their best offer on the table as their first offer. 3️⃣ Eliminate all contingencies unless absolutely necessary. If your buyer is financing, ensure there is a contingency for their final loan approval, but other than that, keep contingencies to a minimum. 4️⃣ Encourage your buyer to shorten the normal inspection time to a minimal number of days and have an inspector ready to look at the home in the first few days after contract acceptance. 5️⃣ Don't let your buyer get caught up in the frenzy. It's easy for buyers to compromise their wants and needs or bid higher than their desired budget in a low inventory environment. Help them understand that new properties come on the market every few days, and if they miss out on this one, there will be another home to look at soon. Use these tips to guide your buyers toward a successful contract.
Here is one of my favorite quotes: "Your present circumstances don't determine where you go; they merely determine where you start." -Nido R. Quebin Nido Quebin has been president of High Point University in North Carolina since 2005. He came to the United States as a teenager with limited knowledge of English and only $50 in his pocket. His inspiring life story is one filled with adversity and abundance. Through the lens of his life accomplishments, one appreciates his current role as an educator, philanthropist, and passionate advocate for the development of our future leaders. I have followed and studied Dr. Quebin for many years. This afternoon, I came across some notes I took during a mastermind session where he was a key contributor: 🟢 If you want more out of life, you must become more valuable. 🟢 Your value increases proportionately to the size of problems you can solve. 🟢 When you solve bigger problems, your perceived value will increase in other people's eyes. 🟢 A higher value proposition will allow you to differentiate yourself from others. 🟢 When you solve bigger problems, you will develop a higher competence level. 🟢 When you have a higher competence level, you will have a higher confidence level. 🟢 A higher confidence level will translate into higher proficiency in your career and higher compensation for your skills. Consumers expect us to solve their problems. Become a problem solver! And the bigger problems we solve, the higher our compensation will be.
Facebook real estate groups reveal the heart and soul of the average real estate agent. The questions posted are real questions...from real agents...that often reveal how naive most agents are about how the real estate business works. For example, here's a question that was posted in a 246,000-member real estate agent group: ❞ Is anyone paying for leads? Who are you buying from, and have you closed any deals from them? ❞ On the surface, it's a simple question. But there is so much to unpack. Some agents replied with comments like: ...two from Zillow... ...3 from CallTend this year... ...run Google ads... ...I got a deal yesterday from my sphere... I'm not sure those comments really helped the original poster. I prefer to avoid real estate agent drama whenever possible... and the last thing I want to do is make an agent feel bad about asking a question, but I can't ignore an opportunity to open an agent's eyes to what this business is all about. This was my reply to that post: ❞ Don't assume that you can "buy a transaction." Whether or not someone closed a deal from a lead they purchased has 1% to do with the source of the lead and 99% to do with that individual agent's communication skills, sales ability, and follow-up habits. Sharpen your people skills, networking skills, and negotiation skills as well. Mastering these skills is where the real money is made in the real estate business. Closing deals from paid lead sources is all about YOU. -Dennis Jones ❞ Then, I sent him a free invitation link to join our Mastermind. If you buy leads, the only thing you are really buying is an opportunity. From there, you must have the necessary skills to convert the opportunity into a commissionable transaction. Where do you learn those skills? Right here, in this community. Ask questions. Share your knowledge. Collaborate with like-minded agents.
Over the last 20 years, my wife and I have built a 7-figure commission real estate business. I credit much of our success to the consistent and effective use of a CRM. Most agents do not use a CRM because they find them challenging to learn and cumbersome to use. Their hesitation usually stems from past experiences with complex systems or the daunting task of integrating a new tool into their daily routine. In my opinion, leveraging a CRM is the most cost-effective method for generating leads. You may disagree, but my bank account will not let you change my mind. A CRM not only aids in nurturing existing clients and motivating them to provide referrals but also plays a vital role in expanding your business. A well-implemented CRM system will automate many tasks, from lead generation to client follow-ups, making your day-to-day job more manageable and efficient. In my career, I have used over a dozen different CRMs. Some were great, some were OK, and some were horrible. Some were intuitive, and others were impossible to follow. I wanted to create a system that worked how I worked, so in the summer of 2022, I contracted with a team of developers to create The RARE Agent CRM. The RARE Agent CRM is more than just a database - it's a software solution. It will track your client relationships, nurture new leads, and generate referrals. It includes fresh monthly content and full access to me via this Mastermind community for round-the-clock support, training, and coaching that will teach you how to generate leads using the CRM. This supportive ecosystem will ease the learning curve and empower you to harness its full capabilities and fuel your business growth. Learn more about our CRM on the RARE Agent Website. https://rareagents.com/crm/