There are many ways to generate real estate leads, including working your sphere of influence, door-knocking, holding open houses, and contacting expired listings and FSBOs. However, the key to success is having a plan and executing it.
It is also essential to understand your strengths and weaknesses. For example, an agent with a strong background in finance may be more effective than one without that experience.
Identify a Reliable Method of Finding Expired Listings
Real estate agents often focus on listing new properties, and many overlook the potential of converting expired or FSBO listings. However, agents can locate, engage with, and nurture these leads if they have a well-thought-out marketing plan and an efficient customer relationship management (CRM) procedure.
The first step is identifying a reliable method of finding expired listings. Agents can access expired and FSBO property data by searching the MLS or visiting their local city hall to review public records. Some programs simplify the process, giving agents easy-to-use tools to find and contact FSBOs and expired ones, all within one comprehensive CRM system.
Real estate agents often leverage FSBO and expired leads as potential opportunities, actively pursuing these categories of properties to expand their client base and secure new listings.
Regardless of the method, it is essential to approach a potential seller with a clear understanding of their needs. Some homeowners hesitate to work with an agent, especially after failing to sell their homes. A light-hearted conversation can disarm resistance and establish rapport. Additionally, before returning home to the market, the amenable seller will have the chance to develop a cooperative relationship with an agent.
Other expired sellers may need to renovate or redevelop their property, and an agent can use the data on the property to offer valuable advice. For example, a realtor can inform an owner of the property’s value and the costs to complete renovations or redevelopment.
Create an Effective Strategy for Connecting with Homeowners
Real estate agents need to be able to connect with homeowners and build rapport. They can do this by contacting them directly, sending letters, or advertising online. Regardless of their chosen method, they need to be consistent and strategic in their approach. The best way to do this is by making sure that they are targeting a specific group of leads, such as expired listings or FSBOs.
When approaching expired listings, it is a good idea for agents to use quality paper and eye-catching graphics in their letters. In addition, they need to understand the homeowners’ situation and provide a solution to help them sell their homes. For example, some agents may suggest a limited-service option in which the agent only allows the seller with marketing and listing paperwork.
Agents should also be prepared to answer questions regarding their experience and the local market. They should be able to explain how they will be able to sell the homeowner’s home quickly and for a fair price.
Unlike working with buyers, prospecting for expired listings takes much less time and allows agents to close more deals yearly. This is because when dealing with buyers, agents must handle buyer consultations, show properties, organize inspections and appraisals, and help clients qualify for financing.
Develop a Comprehensive Marketing Plan for Winning Expired Listings
Many real estate agents need to capitalize on the potential of expired, and FSBO leads. However, with the proper support and resources, some persistence can transform these leads into a new avenue for immense growth.
One of the biggest challenges in working with expired listings is overcoming the initial resistance homeowners may have to work with an agent. The first step in converting these leads is to develop an effective follow-up strategy, including email, phone calls, and in-person visits. Prompt and personalized follow-up demonstrates that you care about the homeowner’s experience and are dedicated to helping them achieve their selling goals.
Establishing a clear incentive for the homeowner, such as a lower commission rate or a detailed marketing plan tailored to their home, is also essential. These incentives can make a big difference in persuading an owner to work with you.
Another great way to differentiate yourself is by demonstrating your expertise with a comprehensive marketing program that includes home staging, professional photography, luxury advertising, and more. This is especially beneficial for affluent sellers looking to sell their homes quickly and at a premium. A well-researched Comparative Market Analysis (CMA) that outlines current market factors and local neighborhood dynamics can also instill confidence in the homeowner and convince them you are an experienced local expert.
Prepare a Winning Listing Presentation
If you haven’t already, make it a point to prepare a winning listing presentation. This is your chance to wow the prospective client and show them why they should work with you. It’s like the first date of real estate — you dress well, show up on time (don’t bring flowers, though), and enter the house ready to win business.
Your presentation should include your pricing strategy, which should be based on the CMA you have prepared for their property. Also, discuss your experience selling homes in the neighborhood, which should help to establish you as a local expert. You can even use testimonials from past clients to support this point.
During your presentation, be sure to listen to the homeowners carefully. Take notes and ask questions when appropriate. This demonstrates that you value their input and are genuinely interested in what they say.
Once the presentation is complete, ask for an I don’t list agreement. However, don’t push, don’t. It’s best to Take a more subtle approach to this task, as many potential leads will feel intimidated by aggressive tactics. Keep the process natural and focus on building natural rapport, which can ultimately lead to a successful transaction.
