Magnetic Real Estate Leads
The Economic Model For Your Real Estate Business
Feb 06 2010
Posted by Greg Reed as Traffic Generation
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Recently we spoke about the four key models necessary for success in real estate. Now I’m going to look more in depth at the key areas you need to focus on to have a successful economic model in your real estate business.
1. What Numbers MUST You Achieve – Your Laser Light Focus
Knowing your numbers will take the guess work out of what’s needed to reach your desired income level. The basic formula looks like this:
________ No of Listing Appraisals
X ______% Conversion rate
= _____ No. of Listings
X _____ Conversion rate
= _____ No. of Listings Sold
X _____ Average Sales Price
= _____ $ Value Sold
X _____ % Commission
= ____ Gross Income
2. Focus On Appointments
No appointments means no sales. This is one of the key focuses at the beginning of the process that determines the end. it’s crucial therefore to drive for appointments (listing appraisals)
3. Conversion Rates
This is a key ingredient as it effects your ultimate income.
Having a high conversion rate whether it be appriasals to listings and or listings to sales comes down to good presentations involving well rehearsed scripts and dialogues.
Therefore you must be highly skilled in your presentations if you are to have high conversion rates. Keep practicing!
Earning A Million In Real Estate – 4 Key Models To Success
Feb 06 2010
Posted by Greg Reed as Traffic Generation
Knowing where you are going in real estate is the key to your success. High achievers understand that there are 4 key business models necessary fo rtheir success. And within each of these models, high achievers understand they must focus on the “20%” of activities that’ll produce “80%” of their results.
To be successful you must have:
- An Economic Model
- A Lead Generation Model
- A Budget Model and
- An Organisational Model
Within each Model there are some key focus areas. In the Economic Model there is the need to focus on what numbers you must achieve, what appointments are necessary and your conversion rate.
In the Lead Generation Model it’s important to have an understanding about prospecting and marketing, setting up a database and marketing to it and focusing on listings of properties for sale.
The Budget Model centers around sticking to a budget and working your finances optimately while the Organisational Model looks at ways to leverage your efforts by hiring administrative staff, picking good talent and training those staff.
In future posts I’ll be looking at each of these models in more detail.
Too many real estate agents think of their role as a job or a hobby. You must think of real estate as a business and using the above models will go a long way to achieve that.
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The REO Secret List Every Agent Must Have – A Product Review
Jan 08 2010
Posted by Greg Reed as Foreclosures
REO SECRET LIST
Foreclosures Are At All Time Highs!
Banks Are Struggling To Unload Their Bank-Owned Properties.
Hmmm pretty inviting heading if you a real estate agent. But is this product The REO List worth the money or is it all hype?
Their promo goes on to say:
The real estate market all across our nation has changed in the past few years. Foreclosures are at all time highs and short sales flood the market. Many industry analysts believe this is only the beginning of a massive wave of foreclosure which is expected to hit the market in the coming years. In 2008 alone there have been over then 2.2 million foreclosures which is more then twice the amount in 2007. Industry experts and government officials believe over the next five years there will be millions of more facing foreclosure during these tough economic times.
The wave of foreclosures hitting the market now and in the foreseeable future is absolutely overwhelming financial institutions nationwide while they struggle to find agents who specialize in listing their bank seized REO properties.
I have a comprehensive list of the Nations top financial institutions and property liquidators that industry insiders have been utilizing for years. You’re about to discover a strategy to break into the REO business and make a fortune during the biggest housing bust of our generation.
Even if you are doing okay now, you can double, triple, or even quadruple your income by picking up just one REO client.
The REO List Every Agent Must Have! Absolutely Priceless (hmmm maybe. We’ll see)
This REO list will be your guide to rebuilding your real estate career in a depressed market. We both know the market has changed and now it is time for you to change with it. Redefine your objectives and start contacting asset managers who liquidate bank owned properties and assign listings. I have personally seen agents with more then 30+ listings be assigned in just a few months time by these lenders.
You will receive REO listings by being in front of asset managers at the right time, you will also start receiving BPO’s (Broker Price Opinions) from these lenders. This is a guaranteed investment for your future and given our economic outlook as a country the time to act is now.
So Simple, Even A Rookie Agent Can Do It!
A Few Facts and Benefits Utilizing Our List:
- 50% of the Real Estate Market is now REOs Projected to reach as high as 75%
- Foreclosures are expected to reach 10 Million by 2012
- Connect with REO decsion makers at Banks
- Increase your Active listings in a downward spiraling market
- Develop lasting relationships with Assest Managers and Investors as a result
- Ride the massive REO wave coming to your local market
Ok it all sounds pretty good. In this market bank foreclosures are on the up and you definately need to be marketing this type of property or get left behind.
But before you part with your hard earned cash, is it REALLY necessary?
You could start from scratch and try to make relationships with your local banks in the hope of getting some listings. Unfortunaly this will take time and the market is on the improv albeit not for the next 18 months or so.
Decision makers are not always housed in the local banks when it comes to foreclosure. You need to have good relationships with the decision makers if you are going to get the listings and these bankers maybe situated in a far away city.
Bank foreclosure personal also don’t run around with a sign on their chest advertsing who they are. So if you are not already established in this growing market, how are you going to locate the right people who can make a decision. And even though this sector of the employment market is growing, bankers move around.
How do you keep up with all these changes?
You need to have on hand a list of all the assest managers of each of the major banks and financial institutions and to be able to update that list at will.
This is the GOLD of the REO List and it’s for this reason as to why you need the product. You still need to be skilled in foreclosure mastery if you are wanting to rein supreme in this field, but having the contact database of bank foreclosure decision makers will set you on the right path.
Have a look at REO Secret List for yourself.
Foreclosure Training – How Real Estate Agents Can Become Foreclosure Listing Masters
Jan 08 2010
Posted by Greg Reed as Foreclosures
Bank Foreclosure Home Listing – Are You Buying A Bargain With Bank Foreclosure Home Listing?
Jan 08 2010
Posted by Greg Reed as Foreclosures
Bank foreclosure home listings sound attractive to a buyer but are they REALLY a bargain. You need to research the bank, the type of home you are considering as to whether it needs repairs, the area for infrastructure and other comparable homes in the area.
Real Estate Agents/Brokers: Discover how to generate new leads & listings by mastering: Foreclosure Lead Capture, Foreclosure Lead Qualification, and Foreclosure Lead Conversion with Foreclosure Mastery
Real Estate Prospecting – 7 Secrets To Real Estate Prospecting
Jan 08 2010
Posted by Greg Reed as Prospecting
For many salespeople, prospecting is the most difficult activity they do. They dread the thought of picking up the phone to make a living. Long-term success in sales is built through solid prospecting. In order to be successful and profitable, sales people need to apply these seven secrets of prospecting daily.
It gets easier after the first call. The first call is always the most difficult. I prospected solidly for over eight years in real estate. I never got over the difficulty of making the first call. Getting yourself to make the first call is the highest hurdle. The only solution is to just do it. After you make the first call, you realize it was not as difficult as you imagined. The person on the other end of the line was not as difficult as your mind had created. In many cases calling begins to get fun after a few calls. The problem is most people just never break through the initial barrier.
Establish a routine. To be successful, you should have a scheduled time for prospecting daily where that is the only activity that is being done. Treat prospecting as an appointment. Do not allow anything to interfere with your prospecting. We often allow distractions to creep into our prospecting time. The salesperson that has a set routine daily of making prospecting calls at a specific time and adheres to his schedule without distraction is guaranteed to succeed. This person will not only succeed but he will be a “top gun” Agent, the best of the best.
Big “Mo.” At first prospecting will be very difficult. Your skills will not be developed to the level of an expert. Once you start the process, do not stop. Momentum is critical to prospecting. Once you get the process going, your skills will improve to generate more leads and to set more appointments. Do not break your momentum.
Another Agent in the real estate office where I worked once issued me a challenge. The challenge was who could list more homes in a month. I knew that I would win, since I had momentum and he did not. He had not been consistently prospecting, so he had no momentum. I must say that he did have the best month he had ever had. But that was because he was consistently prospecting and had been following up on the leads he was generating. At the end of the month, my team had taken eighteen listings and he took six. Do not bet against Big “Mo.”
Exploding the best time to prospect myth. The best time to make prospecting calls is when you have the most energy and when you actually will call. There have been tremendous arguments over this point by Agents and trainers. Set a time to prospect and call at that time. Do not worry about things you cannot control, such as someone being home or not. Focus on your skill level, avoiding distractions, and prospect. These factors you can control. I always prospected early in the morning because that was when I had the most energy. It also got my day off to a great start, which would carry me through the rest of the day. I always thought if I had a good disciplined day of prospecting that I had a good day regardless of the number of leads, number of appointments set, or anything else that happened that day.
Focus on the goal or objective. Set a specific goal of what you want to happen on each call. Know what you want that prospect to do. It is hard to achieve success in prospecting without a clearly defined objective.
The true objective is to set a qualified appointment with the prospect. If you are unable to accomplish that objective, then the next best objective is to get an agreed upon action by the prospect within a specific time frame. For example, the prospect is going to be interviewing Agents next week. You and the prospect agree to speak on Thursday about getting the appointment scheduled for next week. The last objective is to generate a lead that will buy or sell in the future. This objective depends on your definition of what a lead is for a buyer or seller.
The power of scripts. Highly successful sales people use scripts. To effectively prospect, it is crucial to know what to say before you start to prospect. Scripts provide a guide and logical sequence of questions to follow. They allow you to focus on the response of the prospect rather than fumbling around to find the words.
The only way to move to the highest form of communication is to know what you are going to say to the prospect. The words you say only account for 7% of the communication. If you know the words, you can begin to focus on your tonality and body language. Tonality accounts for 38% of all communication and body language accounts for 55% of all communication. If you are focusing and stumbling through 7% of the words you will be ineffective in prospecting. We have all heard an unskilled telemarketer stumble through their scripts and dialogues. Develop, learn, and practice your scripts so you can effectively communicate and reach your prospect through your tonality and body.
It is a numbers game. Prospecting is truly a numbers game, for two valid reasons. The first is the more prospecting you do the less rejection bothers you. The best way to deal with rejection is to get as much as you can as soon as you can to reduce its effect on you. Most people you call are very nice and pleasant. They may not need your services at this time, which is fine. Rejection is rarely as bad as you imagine. The only way to find out this fact is to make more calls.
The second reason is you can replicate your business via numbers. Prospecting will allow you to plan your income and results. If you track your prospecting efforts, you will find you have ratios in your business. I would make 25 expired listing contacts and get a listing signed. If I wanted to list a property a day, I needed to make 25 expired contacts daily, which would then create the desired income for my family. Contacts are defined as a prospecting call that results in talking to one of the decision makers in the household.
What is your desired income? How many prospecting contacts do you need to make to achieve it? As you get more skilled, the number of contacts needed will decrease. When I first began prospecting, I needed to contact over 100 people to get a listing. Start tracking your numbers so you can play the game. To play the game well is to know and understand the game.
Michael Jordan was the best player of all time because of his abilities, but also because cerebrally he knows the game better than any other player. His physical skills were not at his highest levels late in his career, but his mental skills were beyond compare. Develop your verbal and mental skills.
Prospecting is truly an integral part of success in any sales profession. Do not be fooled by the prospecting-free system to success. Develop and apply the seven secrets of prospecting success. Develop the habit of daily prospecting, and you will become one of the “top gun” Agents in the world.
Become a dynamic real estate prospector and lead generation master here
Dynamic Listing Presentations – Get Listing Presentations That Win
Jan 08 2010
Posted by Greg Reed as Listing Presentation
The listing presentation is one of the most misunderstood areas of real estate sales. There are as many theories about this presentation as there are licensed Agents in North America. Although the listing presentation has changed and has been altered dramatically in the last five to ten years, an efficient and professional presentation will enable the Agent to control his clients properly. What are the elements of an efficient, professional listing presentation?
First, it is necessary to clearly define a purpose for the listing presentation. Now, I know that you are thinking, “Of course, the purpose is to take the listing.” You would be partially correct. Certainly the objective is to get the contract signed. The true purpose, though, is to identify the clients’ problem in an efficient manner and convey to the clients that you are the person who will provide them the best opportunity to solve their problem. These are really the objectives of a professional’s listing presentation.
The first part, identifying the problem, has two issues that must be resolved. The first issue is identifying the actual problem itself. The actual problem has a baseline that stems from price. “Price will fix everything else in the equation.” The price is like the known variable in an algebra equation. You need to search for the other potential issues, or potential problems, but they all flow through the known issue, which is invariably price. By lowering the price, you can sell a property in poor condition, poor location, busy street, functionally obsolete, a “buyer’s market,” or poor marketing. The list of fixable problems is never ending. Price has a direct correlation to all of these issues. These issues or problems may, or may not, be interconnected with each other, but price is the only guaranteed connection to all these issues or problems. Your presentation should be focused and centered on price, so that you will have an opportunity to get a sale, rather than just a listing. Both you and your client want the sale. Neither of you just wants the property listed.
The second key issue, during the identifying the problem stage, is to get your client to agree on the problem. This one certainly is the harder of the two issues. You must be in agreement with your client about what the problem is before you can proceed forward. Since the problem is most often price, you must have a mutual agreement on price. The stronger you are regarding the price, the better chance you have of a sale. Many Agents will delay the hard reality hoping it will go away. Deal with it up front rather than thirty days down the road. You must have the integrity to tell the client the truth. “It won’t sell for what you want. You need to lower the price.” Do not hedge or mince words. Tell the client straight up that it will not sell. Get an agreement with the client on price before you move on. There is no point in continuing if you and the client do not agree on price. You will just be wasting your time. I urge you to have the conviction in your skills, as an Agent, to truthfully interpret the market, even though most Agents will not. Be honest. Most Agents want the listing and are unwilling to risk losing the listing even though they know the property will not sell for the client’s desired price.
Once you have resolved the pricing issue you are in the home stretch. Your job now is to convey that you are the REALTOR® for the job. Brevity is crucial to success in this arena. Most people do not want to listen to someone talk about how great they are at selling homes. Ask them specific questions to see what kind of services they are looking for from their REALTOR®. Find out the type of REALTOR® they are looking for to sell their home. Most people will just say, “We want someone who can sell our home.” This is the perfect opportunity to demonstrate your confidence and conviction that you are the REALTOR® for the job. Look them straight in the eyes and tell them your track record of success and ask them if they are looking for an Agent of your caliber. If you do not have a track record, sell your company’s record. You may even need to sell a little of both. Finally ask the clients to sign the paperwork.
This section of your presentation should last less than ten minutes, unless they ask a lot of questions. All during this presentation, pepper them with trial closure. For instance, “Do you want a lock box or by appointment only? Are there times that would be inconvenient to show the home?” If you have a concern about the condition of the property, ask the clients if they could fix these items. There are a million trial closes; use a few to test the water. Most people will answer them and proceed forward.
When you have set up a few trial closes and you have already agreed on the price, you have arrived. You have arrived at the moment of truth, simply ask for the order. It does not have to be elaborate, just ask. Here are a few examples: “I think I have all the information I need; I just need your o.k. in the box” or, “Do you believe I can sell your home?” When they say yes, ask them to sign. If they say no, ask them to tell you why and listen to their answer. Once you have heard their answer, handle their concern, and ask them for the order again. Do not give up after the first setback. The average sale is made after the fifth or sixth customer refusal. Be persistent; do not give up. If you firmly believe that you are the Agent for the job, that belief will come through. People want to select winners to sell their homes.
Many Agents do not understand the concept of brevity. They have a two hour listing presentation. What in the world are they doing for two hours? The seller wants to know each Agents version of the problem, wants to know how that Agent can solve the problem, and which one is the best Agent for the job. The rest of the presentation the seller really does not care about. If you want to be the chosen Agent, focus on the problem and the solution. Spending endless amounts of time on other stuff, will just weaken your presentation.
Lastly, once the contract is signed, spend a few minutes debriefing the seller. If you have staff, introduce them to the seller. If you have a routine of communication or system you use that may be unique, fill them in. A few minutes of explanation will save you the frustrated seller phone call in thirty days. Let them know you care, appreciate the opportunity, and move on to the next appointment.
A truly dynamic presentation is short and to the point. It also stays on focus for the entire time of the presentation. Do not break your momentum by going too long or not staying focused during the presentation. Stay directed, focused, and solve their problem.
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