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“More money, please” is a common refrain from home sellers. It is understandable and needs to be handled properly if they are to get the most money in the end. In handling objections, great salespeople use logic, not emotion. Here is a logical (and effective) solution to the challenge of sellers who want to overprice their homes.
Seller: “The price we want is $325,000.”
Response: “Well you can price it at $325,000 but experience has taught us that that’s going to hurt you in the long run. May I explain? Right now, similar homes are available for less. When a home is overpriced it sits on the market and doesn’t sell. Mr. /Mrs. Seller, you’ve seen homes like that before, haven’t you?
“Buyers do not want to look at homes that have been sitting on the market for a long time… and when they do, these buyers don’t take them seriously. I have had lots of buyers in my car and they always say the same thing. They say, ‘I wonder what’s wrong with that house – it’s been for sale forever.’ We sure don’t want people saying that about your home, do we?”
The seller will say, “No way, we’ve got a nice place here!”
“Exactly. There is nothing wrong with your house… there is just something wrong with the price! You have a terrific home here. It deserves to be respected by serious buyers.
“The market is saying your home should be priced at $299,900. Let’s follow that direction and list your home with me for $299,900 tonight. That way we will get you more money in the long run. Sign the agreement, please.”
The core for this objection handler focuses on the stigma attached to a stale listing (“What’s wrong with that house?”). Remember this credo: “If you believe it, they will believe it.” Practice this objection handler, become confident in your delivery and help them get the best price possible. No excuses.
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Here’s an obvious “must do.” Before you spend much time with any buyer, it is critical that you make sure they can get the money/financing to make the purchase. Think about it this way…if you were absolutely sure that they couldn’t get the money, would you put them in your car? Of course not! So right up front, be sure to ask them, “Have you been approved for financing? Do you have that in writing?”
What if the answer they give you doesn’t really answer your question? What if their answer is vague or evasive? What if they say, “Oh that’s no problem, we’re okay”? This could mean anything, including: “We haven’t done anything about that yet, we will worry about that later.” Now what?
Here is a great solution that will plug this hole most of the time. Your response is, “Oh, you already have your financing, that’s great. I guess that means when we put in an offer, we won’t need the conditional on financing clause… you will be buying firm, is that correct?”
This is where your listening skills will serve you especially well. Watch the body language when they answer. It will give you all the clues you need to evaluate this particular buyer. Don’t forget, you are the professional and your time is valuable. Don’t let anybody waste it. There is always somebody out there who really needs you! No excuses.
Bruce Keith is a leading trainer for sales organizations in North America. He was-trained in the corporate world as a marketing and sales manager for 15 years. His education then moved to 25 years in the real estate industry, 10 years as a successful sales rep followed by the last 15 years as a keynote speaker, seminar leader, author and one-on-one coach. His high energy coupled with a “No Excuses Accountability” approach has helped thousands increase their production significantly. He says, “It’s all about results”. BruceKeithresults.com
Bruce Keith is a leading Real Estate Coach/Author/Speaker. Like Bruce Keith Results on Facebook or connect with Bruce on Linkedin. Email Bruce Keith.
