Are you actively pursuing feedback on showings of your home listings? Do you even care if other agents give feedback on your listings? Or, are you just using that listing to get buyer leads and not actively engaged in selling that home?
There are so many reasons why an agent would take a listing. What they do with it is entirely up to them. But, there are certainly lost opportunities every day. Something as simple as following up for feedback on the showing traffic can be a big contributing factor to why a home won't sell.
I know. All real estate agents are self-employed. No agent can force another to give feedback on a showing. There are just some agents, and some brokers, who believe that no feedback is, of itself, feedback. If the buyer wanted the house, an offer would have been submitted. Right? Not so much. I suggest a different tactic in regard to soliciting showing feedback that has worked for me and has worked on me, as well:
BE COURTEOUS
It's surprising how little effort it takes to get an agent to give feedback. Courtesy for that agent goes a long way. Keeping in mind that a good agent is a busy agent, courtesy for their schedule has to come into play. Email them if they didn't respond within 48 hours to the automated showing feedback request. They may still be touring with the buyer, so they aren't in front of their computer. If they are carrying a Blackberry or IPhone, they may be able to respond sooner than you expect. Consider that they may be out in the field. If you do call them, call what they are giving as their office number. When you call their cell phone, unless they are on a mobile-to-mobile plan and you have the same provider, you are costing them minutes and money. And, don't interrupt their personal family time in the evenings for showing feedback. Any agent, or member of an agent's team, needs to be understanding of just how precious that family time is at the end of the day.
BE PROFESSIONAL
"Hey, you know that showing you did on Saturday? My seller wants to know if you're gonna write an offer?" Really? That's how you want to begin? With a straight-out, direct, yes-or-no response required question? Danger, Will Robinson! Be careful what you ask for, cause you just might get it. "NO". Conversation over. Door closed. Opportunity lost.
How about trying a different tactic that brings about an open line of communication, and might just cause the buying agent to take information back to their client that could lead to a second showing and a possible sale? Now, don't copy me word for word. Find the opening comments that work best for you, that sound the best coming from you. Something along the lines of "Thanks for showing 1111 Elm Street. I know you probably saw a lot of homes that day. This was the one you saw around 10am that had the walnut stained double-door entry and the amazing outdoor kitchen. Can you tell me what your client liked most about this home?" Courteous, understanding, helpful, and open-ended questions, designed to start a dialogue. Agents see a lot of homes when touring with buyers. Help them remember your listing. It was likely included in a tour of very similar homes in price and amenities.
Don't ask what they liked the least about the home. That just invites criticism. You are looking for the other agent to share objections that would keep the home from getting a second showing. Your first goal should be to help the home make that coveted short-list of homes to contemplate purchasing. Then, once they come through for a second showing, your job is to keep the lines of communication open and engaged, to bring about an offer. In the Dallas/Fort Worth suburbs, it's hard to come across a home that can be defined as old and beyond repair. So, age and condition are usually minor factors in the negotiation. Overcoming objections to price, location, or amenities of the home are where we spend the majority of our time.
BE UNEMOTIONAL
As the real estate agent, you are not a party to the contract, and therefore, you need to maintain a certain amount of emotional detachment. As you heard in your classes, you should not be married to the deal. You are liaison to the process. You represent the interests of your client. As a listing agent, you should not take offense if a buyer's agent says they cannot comp out your list price on that home. Help them by providing the comps you used to establish that price. As a buyer's agent, you need to take information from the listing agent back to your clients for discussion, and resist the impulse to speak on their behalf. The deal will either result in a gain:gain, or it isn't going to happen. Maintain your composure. There have been deals lost because a buyer's agent oversold what could be accomplished with negotiations on a home, or because a listing agent misjudged how to navigate an offer to an executed contract. Discuss options with your clients, provide your professional opinion, and then let them make the decisions that ultimately lead to sale or the realization that a sale is not going to happen because the two sides cannot find the gain:gain.
DON'T SETTLE FOR LESS
In regard to showing feedback, don't settle for less information than you should from the buyer's agent. If the buyer's agent finishes a day of touring homes and only states 'the floorplan wasn't right', or 'buyer didn't like the house', you need to get to work. As the selling agent, now is the time to open the dialogue. Unless a buyer is building a 100% custom home from the ground up, it doesn't take long to realize that you are never going to find the house that meets all of the buyer's criteria. Most buyer's settle for 85-95% of their wish list. Location, price, amenities, commute to work, neighborhood, city, condition, layout, lot size, and many other factors come into play. Some of those factors are negotiable, while others are absolutely set in stone. Our job as the listing agent is to find out how far off the home is from the buyer's criteria, and how much of that criteria may be open to negotiation. After all, the true definition of a negotiation is not a tug-of-war. The true definition of negotiation is 'navigating the way'.
Have a blessed day!
Ronda
Ronda Allen - Realtor, Certified Purchasing Manager
RE/MAX Dallas Suburbs - Keith Dobbs Team
#1 Office and #3 Team for RE/MAX in North Texas at mid-year 2009!
CEO - comingsoonhomes Follow us on twitter: www.twitter.com/comingsoonhomes
Client referrals always welcome!
Seller's: So, the prospective buyer offered low on your home? What now? Same song, second verse - right? Buyers are still trying to tell us that the North Texas Region is a buyer's market, even when we can prove to them in sale comps that we're a BALANCED housing market and our sales comps have been rising steadily all year. I know the low-ball offers can be exhausting. We selling agents don't care for them, either. It's a lot of work for potentially no result. Or, is it?
When you've received what you consider to be low-ball offers on the house, what do you do? First and foremost, don't tell anyone. Let everyone assume you just haven't accepted a reasonable offer yet. You and your agent are the only two parties that need to know the details of showings, feedback, and offers on your home. There are a few truisms that I have found in my experience in the real estate market in Dallas/Fort Worth in general, and in the North Dallas suburbs, specifically, that you may find of interest:
1. A home in demand stays in demand.
If you have received offers for your home, that is confirmation (regardless of the offer submitted) that your overall market strategy is working. The goal is to generate enough showing traffic to bring in offers, and hopefully, be in a position to turn just one of those offers into a contract that closes successfully. Don't think you have to give away the farm. Just begin the negotiations with the buyer(s) who offer, and be willing to wait for the next buyer if the negotiations don't work out. The party without time on their side is usually the party who ends up giving away the most.
2. If the agents are showing the home, and providing positive feedback, don't fix what isn't broken.
Agents aren't shy. If we don't buy the asking price of the home or there is a condition issue that stands out as an obvious concern, we're going to tell you in our showing feedback. The Dallas/Fort Worth housing market can be defined as somewhat seller-lazy prior to listing. Not a lot of work goes into making the house sale-ready before the sign goes in the yard. Our buyer's agents do a great service - we want your home to sell and will tell you exactly what you need to do in order to overcome objections. North Dallas agents have it a little easier. Our homes tend to be newer, which should mean they show well with minimal make-ready.
3. No showing feedback does NOT equate to no interest in the home.
Yes, it's true that not every agent is good about giving feedback. But, cut the agents a little bit of slack. Some are being advised by their broker's to ONLY invest their time in activities that generate income. A lot of good agents are out of business, and brokers are pushing the remaining agents to close more deals. Sitting down for an hour to give feedback from a showing tour that lost them a full day out of the office is the professional thing to do, but it isn't an income-generating activity. Any good listing agent has experience with home listings that had 30-50% of the showings fail to give feedback, but one of those agents ended up bringing the buyer who ultimately purchased the home. NEVER give up on those showings as prospective buyers. There was an agent in Dallas who used to say you stay with a buyer until they 'buy or die'. That's a bit harsh, but a good listing agent definitely keeps following up until they know that buyer purchased some other property. Electronic feedback requests aren't enough. A great agent will pick up the phone and track down feedback on your behalf.
4. Until we reach a gain:gain, there is no chance of a successful real estate transaction.
There has been no worse year in real estate than Summer 2008 to Summer 2009 in the DFW Metroplex, in my opinion and in the record books. But, moreso than having slower sales figures, the behavior of buyers has been the most appalling on record. Buyers ran around going for the jugular on listed homes all over DFW neighborhoods. Buyers jumped from one home to the next, looking for the most desperate sellers. What used to be a cooperative industry became a competitive industry. I am personally so glad to see balanced market conditions return to North Dallas, and sellers standing their ground based on factual sales figures. People are holding on to the equity they earned, and are no longer just giving it away to make the sale. It's a sign of strength and recovery that took almost a full year to regain. Until a buyer can offer a normal seller what we used to refer to as a "win:win", and now call a "gain:gain" the seller still maintains the right to sell the house or wait for the next buyer. In a balanced market, both parties must work together to negotiate a fair market value. That doesn't just mean to split the difference between the offer and asking price. That brings the skills of the truly great real estate agents back into the forefront - both of whom have the task of getting the best price and terms for the house for their client. Negotiations are an art. And, that's where the real difference between real estate agents is experienced.
5. A low-ball offer is still an offer. Counter-offer if you don't like it.
The state of Texas has no requirement on a seller that forces an answer to an offer within any timeframe or at all. Sellers have the right to simply ignore an offer. But, quite frankly, that's just stupid. Yes, I called the seller who ignores an offer stupid. Every offer is worth a counter-offer! I've seen over and over again just how close to list price a buyer will get whe they have found the house they want. It doesn't take any time at all to counter to an offer. About 20 minutes to knock out the paperwork. There are lots of buyers out there who have to be educated on the value of the homes. Their own real estate agent may not have even run any comps to support their offer. Our buyers aren't necessarily from here in North Texas. They may have to throw out everything they ever thought they knew about real estate (sorry, Californians - I had to learn the Texas market when I moved from California in the 1970's and the same is true today). Without a counter-offer, you don't allow the buyer to learn how to buy real estate here in Texas. Take a cool off period after a low offer. Pitch a fit. Get offended. Rant and rave about how horrible the offer is. Then, sit down and draft a fair counter-offer based on the actual 90-day sale comparatives in this region, and educate the buyer on your expectations. Don't swat them away like a fly being a nuisance. Help them understand your personal perspective on this home sale, and they may just come up to meet you more than you think they will. The worst they will do is walk away. And, you have no idea how many of those buyer's who threaten to walk away, and then do make good on their threat, turn back around within the next 14 days and buy the house. Ask any North Texas Realtor. We've all seen it happen.
Have a blessed day!
Ronda
Ronda Allen - Realtor, Certified Purchasing Manager
RE/MAX Dallas Suburbs - Keith Dobbs Team
#1 Office and #3 Team for RE/MAX in North Texas at mid-year 2009!
CEO - comingsoonhomes Follow us on twitter: www.twitter.com/comingsoonhomes
Client referrals always welcome!
Heading into the Winter months, many sellers fall into the habit of developing low expectations. There is some (misguided) belief that the warmer months are the ONLY months in which a home sells. Here in Texas, the only weather-issues that we encounter with home sales are:
1. August can be a difficult month to get buyers out to view homes. 100-105 degree days are uncomfortable. And, the last couple of years, Dallas has felt as humid as Houston in August. The heat and humidity are stiffling. You'll find August is a month when veteran agents will pack up and head to a wonderful mountain vacation. I cannot count the number of times I've run into fellow agents when visiting the Vail Valley in Colorado.
2. January can be a difficult month to get agents out to view homes. An agent who isn't working over the holidays has a hard time generating business that will close in January (number one rookie mistake - taking too much time off in November and December). But, we usually get a post-New Year's ice storm or two in January, too. Agents don't risk their office (a.k.a. their car) for ice days. If the agent does leave their home office (not likely), most go to the office, drink coffee and gripe about the weather.
3. Rainy days can keep your home from showing. It's true - most people must think they're made of sugar. That 'rain or shine' attitude only exists with mail delivery folks and die-hard real estate agents. (See #2 - office, coffee, gripe...). Even if the agent is willing to show the home, getting the buyer convinced that a rainy day is a good day for a showing can be a battle, because it's uncomfortable. But, there is truly no better day to check for roofing issues, standing water in the yards, or checking the capacity of the sewer drains on the street. You can't hide water issues on a rainy day.
So, what can you do to give your home a greater chance of successful selling in Winter? These tips have made a difference in the past. Give them a shot:
1. Put in a higher wattage light bulb and light up the house. Be sure to check the limits on your light fixtures as a safety precaution, but a higher wattage bulb can also take off the chill in a room during the cooler months.
2. Put out that fresh mulch and some Fall color. Our warm Fall days are great for picking up a cup of coffee at the nearest Starbucks and driving around to look at neighborhoods. Be the home that shows so pretty from the street that it forces them to put on the brakes.
3. Be unique. If you didn't go with an upgraded lighting package, buy brand new coach lights at a lighting store for your home. Lighting is something that is pretty easy to swap out and doesn't have to be expensive to be eye-catching.
4. Talk to your neighbors about your home, but keep in mind that you are the short-timer. The neighbor is more concerned with their own situation. You are leaving. They may like some say in who moves in next door. They may known someone who would be the perfect buyer for you and a welcome neighbor for them (a co-worker, relative, or friend). We actually have more home sales in DFW that occur because a neighbor recommends a buyer than we have luck bringing buyers through open houses. Why do you think we send postcards to them when we list a home for sale?
5. Don't turn away showings. We have more serious showings this time of year. Because DFW has such a large corporate base, many moves are dictated in timing by the company paying for the relocation. Nothing will make an agent more frustrated than doing all the due diligence to market a home and drive showing traffic, only to have the seller decide to cancel it. You may have just cancelled on your buyer. In the words of Charlie Brown, "AAAGGGHHH!!!"
6. C L E A N. Smell clean, look clean - be clean. Don't just pick up and straighten up. Pretend your Mother-In-Law is coming. Clean like it matters, because your list-price-to-sale-price ratio depends on it.
As always, have a blessed day!
Ronda
Ronda Allen - Realtor, Certified Purchasing Manager
RE/MAX Dallas Suburbs - Keith Dobbs Team
#1 Office and #3 Team for RE/MAX in North Texas at mid-year 2009!
CEO - comingsoonhomes Follow us on twitter: www.twitter.com/comingsoonhomes
Friend me on Facebook: Ronda Wise Allen
Client referrals always welcome
If you are selling your Collin County home and want to ensure you get the right level of showing traffic for a sale in 2009 (yes - there is still time!), you need to be re-evaluating your marketing strategy this week. There isn't a moment to spare.
Some things you need to know about the Collin County real estate market that may help you attain that coveted SOLD rider for your sign:
1. 4th Quarter in Collin County is STELLAR! Our large corporate base helps us rock 4th quarter real estate sales. Corporate moves have been the backbone of North Dallas suburban moves since the 1980's when EDS and JCPenney moved in next door to Frito-Lay and established the Legacy Business Corridor.
2. Sales prices have shifted - UP and DOWN. Are you sure the price you are at is the optimum price for your home? Sales comps fluctuate. If you need to evaluate your pricing, ask your agent for updated sales comps and make sure you are positioned properly.
3. Have you lowered your asking price right out of your target market buyer pool? Many of the homes in ACTIVE status in the MLS have been reduced more than once to attract buyers. But, pay attention to how the pricing attracts buyers. You may lose them. Many online searches are in $50,000 increments. If you were previously priced at $359,900 and you are now at $339,900, you may not be optimally priced and your showings may actually have gone down (or disappeared) with your last reduction. If you were priced at $350,000, you would get the buyer's looking between $300,000 to $350,000 and those looking between $350,000 and $400,000.
4. Are you getting showings, but no offers? You probably aren't priced right against your competition. Go online and check the homes just below and above you in your search. Do you stand out? Are you unique? Does your positioning make sense based on the size, age, and amenities of the home compared to the others? If not, tweak your price 1.5%-2.5% and see if you can go from one of the homes in the showing tour to one of the homes selected for 2nd showings and the possibility of an offer.
5. Don't forget the terms of sale. Sometimes, it isn't the pricing that is the problem. There may be an objection you can overcome within your home, to help it get to that #1 spot for an offer. For example, a media room without media equipment. Finish out the room, and it will have purpose and something to offer that the next house might not have. That decorator paint that matched your furniture so perfectly? Neutralize that wall (yes, I know it hurts your heart to do it), and let the next owner decide how to finish out the house in their own decorator flair. Really large yard? Offer a year of lawn service. Most sellers know the objections to their homes, based on showing feedback. Work to overcome them, and you can still be SOLD in 2009.
6. Don't let your buyer purchase their home through the big banks. The big banks are an absolute mess this year. Let a mortgage broker shop the market and find you the loan that can close with reasonable terms in 2009. I have solid lenders working all over DFW and closing homes in 10-15 days. It does not take 45-60 days in DFW to close a house. Hearing a lender quote 45 days makes my blood boil. We can expedite a closing in Collin County in as little as 7 business days right now. And, we can do it all the way up until Christmas week.
I hope you found my tips helpful and I wish you a blessed day!
Ronda
Ronda Allen - Realtor, Certified Purchasing Manager
RE/MAX Dallas Suburbs - Keith Dobbs Team
#1 Office and #3 Team for RE/MAX in North Texas at mid-year 2009!
CEO - comingsoonhomes Follow us on twitter: www.twitter.com/comingsoonhomes
Friend me on Facebook: Ronda Wise Allen
Client referrals always welcome!
Every year, we see sellers debating whether to decorate for the holiday season. If they do choose to decorate, they have to decide to what extent. If they don't decorate, they may be making a critical error in the attempt to sell their home.
My opinion is that anything that draws attention to your home is a GOOD thing! When we agents hold open houses, you don't see us choosing not to put out our open house signs. We want people to look at the house and make a decision about whether they want to visit the home or not. Same with the holidays. It's a time of year when the weather in Dallas/Fort Worth is crisp and cool. It's the perfect time of year to grab a coffee or hot cider and drive around neighborhoods looking at holiday lights. People get a little voyeuristic at this time of year. We attempt to peak inside as we drive by, if the blinds are open, and see that beautiful tree lit up inside. It's dark earlier these days, so any light in a home captures our attention.
My philosophy on selling a home in the Winter months is that you should draw attention to the home every day, and work to extend the showing window on your home into the evening. It is not a buyer's tendency (or agent's for that matter) to want to get out to show a home after dark. But, when dark comes at 5pm, I don't know a Realtor in Collin County that won't get in their car for a 6pm showing in the Winter months. There isn't much call for them, and we jump at the opportunity to stay busy in the 4th quarter. We don't typically show homes late into the evening around here, anyway. We try to be courteous of the inconveniences that showing a home creates on the family trying to attract a buyer. And, since our region is so heavily corporate, a lot (I would venture to say the majority) of agents work a traditional 9-5pm work day.
Keep in mind that exterior holiday decorating when you are trying to sell your home is VASTLY different than how you might decorate in a non-selling year. Skip the cutesy and stick to the traditional. But, be different, so your home doesn't blend in with others on the street. If everyone else is using solid white lighting out front, let your home be the one in color. If they are on the roofline, yours could be in the shrubbery. You aren't trying to blend in. You are trying to stand out (tastefully). Know your target buyer and try to appeal to them. And, keep in mind that the decorations can be seen during the day, and realize what impression that leaves. Nothing bothers me more than to drive in Prosper, or other parts of North Texas, and see deflated blow-up ornaments in a yard during the daytime. What looks cute in the evening looks like a dog's breakfast during the day when we're showing homes. Subdued, tasteful, minimal - these are your buzzwords for holiday decorating outside the home.
The interior of the home is where many people over-decorate for the holidays when they are trying to sell a home. If a tree is put up, it should be in proper scale to the room. There is nothing sadder than a Charlie Brown tree in a room with 18' ceilings. And, if your home is one in Prosper with a huge foyer - especially the rotunda foyer that just begs for a holiday tree, consider having a tree in the family room as well. People don't want to celebrate in the foyer. That tree is all about show. The big homes of Prosper, with large gamerooms, extended foyers, large family rooms, etc...just beg for multiple trees. So long as the scale is correct and the trees don't become a distraction to buyers, it helps create a bond to your home and is an asset to have in the home during showings.
Let's note that many new construction models do not put up decorations for the holidays. Many of the builders do run end-of-year sales incentive programs, but resale homes win out over new in December for warmth and appeal during the holidays. It's easier to connect on an emotional level with that home. All other times of the year, new construction models are the biggest competition to our resale home. As is true with every buyer I've ever worked with, what begins as a logical home search turns into an emotional decision on their 2nd showings. It all comes down to which house feels the most like "home".
This isn't the year to put out every piece of holiday decor you own. Your choices should be thoughtful. Staging the house is critical no matter what the time of year. Ask yourself, "will this piece help me or deter me from selling my home?" Be honest with your answer. If it isn't necessary, and won't really help, define it as unnecessary clutter, and pack away that precious family momento for next year in your new home.
Above all in December, be a clean home. Walk in your home and take a deep breath. Does it smell clean? Walk into each room, with particular attention to bathrooms, utility rooms, and closets. Does it look clean? If the answer is no, you have some chores to do. No heavy scents like candles or sprays. Just the scent of a clean, neutral environment. Oreck carries my favorite cleaner for granite countertops, and it has the light scent of vanilla cake. I use it in vacant properties and the light scent lasts for up to a week. It smells fresh, clean, and familiar. The reaction from prospective buyers has been very positive. Failing to keep the home show-ready because of the convenient excuse of the busy holiday season means that your home is more likely to be passed over, and not purchased, this December. When your home is for sale, there are two things that are just unforgiveable:
1. An unclean home.
2. A seller-cancelled showing appointment.
December is a great month in DFW and traditionally, a tremendous month for home sales. Be clean, stay available, and make wise decisions. We may just gift you with a SOLD sign rider sooner than you think.
Have a blessed day!
Ronda
Ronda Allen - Realtor, Certified Purchasing Manager
RE/MAX Dallas Suburbs - Keith Dobbs Team
#1 Office and #3 Team for RE/MAX in North Texas at mid-year 2009!
CEO - comingsoonhomes Follow us on twitter: www.twitter.com/comingsoonhomes
Friend me on Facebook: Ronda Wise Allen
Client referrals always welcome!
It's the lowest inventory level I've seen since early in 2006. Prosper, Texas is down to just 137 available homes in the MLS as of 11-24-2009. This is remarkably low inventory and covers a range of homes from the $140,000's to $21,000,000.
WORK Those Signs
Not every agent is good at keeping their signs current, so the for sale signs can be misleading. Many of those homes with signs appear to be up for sale, but are actually homes that are in various stages of contract. Right now, there are 12 homes in Prosper in the buyer's option status and another 26 that have made it through option to contract pending status.
Why might an agent leave their for sign sign up, without current status? So that drive-by's in the neighborhood will continue to contact them for the status of the house, hoping that it's still available. Yes - if the home has been out of active status for longer than three days, this is a violation of our local MLS rules. But, it's a common practice for some agents in Prosper and all over Collin County. Personally, I'd like to see more enforcement by the local Board, so this practice would stop. It's just good business to work the signs and keep them current. It is very misleading to buyers when they think there are lots of available homes in a neighborhood, and leads to some practices like low-ball offers. If the agent is a good one, they'll find some other way than deception to make their phone ring.
If you live in Prosper and have a contract on your home, request that your agent provide a status rider for your sign. We have them in our garages, our offices, or can get them at the Board. They aren't expensive. This same practice impacts homes for lease, which tend to get picked up very fast in Prosper. Yet, the signs and the MLS may stay in the wrong status for weeks.
NEW Home Construction
New home starts are up in Prosper, too. Drive through Prosper and you can see the concrete trucks lined up and the long arm pouring a new slab in Lakes of La Cima, Gentle Creek Estates, Willow Ridge, Saddle Creek, Whispering Farm, Quail Lake, Whitley Place, Prosper Lakes, Twelve Oaks, and on and on. You cannot arrive in Prosper as a buyer and convince me the market is down. That ship sailed in 2008 and has been gone for quite a while now. Prosper is vibrant and growing. The rooftops we need to get the commercial growth we've been promised is underway. This is an exciting time to live and work in Prosper, Texas. I personally cannot wait for the grand opening day for The Gates of Prosper.
Have a blessed day!
Ronda
Ronda Allen - Realtor, Certified Purchasing Manager
RE/MAX Dallas Suburbs - Keith Dobbs Team
#1 Office and #3 Team for RE/MAX in North Texas at mid-year 2009!
CEO - comingsoonhomes Follow us on twitter: www.twitter.com/comingsoonhomes
Friend me on Facebook: Ronda Wise Allen
Client referrals always welcome!
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