Six Weeks to Success Session #5: Getting Paid What You’re Worth

How was your week? Let’s look at your Sales Planners Were you able to stay on track? If not, what stopped you? Did you attain the number of appointments you wanted? What new techniques have you tried and what was the outcome?

Today’s Agenda Discuss Seller’s expectations Share techniques to address Seller’s concerns Share/demonstrate what YOU use that makes you Different and BETTER Share neighborhood videos (You Tube or Around Town) and the results (feedback) they elicit Prospecting

Get Paid What You’re Worth What makes you different than the Competition?

What’s On The Sellers’ Mind? What are their biggest fears? Where are they getting their information from? What do they expect/demand from a Sales Associate? What are the challenges in the current market? Instructions: Ask the group these questions and see if they can answer these questions. There are no right or wrong answers but prove the point that knowing the answers to these questions are important. This serves as an important lead in to the next slide. 5

What are the Sellers’ Most Common Objections? It is all about the money…is it about what it costs or what you charge? What do they perceive as the value of a Realtor? Is the timing of the sale important, and why? What are their terms?

How Do You Handle Common Objections? These objections may be intimidating, this is a big decision for potential sellers. Knowing the answers to these questions will help you increase your odds of overcoming these objections and Winning the Listing! Instructions: Acknowledge that the objections we just reviewed can be intimidating, but we went over how to combat these common objections because we want you to be able to overcome these confidently. 7

Understand Your Audience Objections to paying full commission can fit into 3 categories: The Need to Save The Need to Negotiate The Perception of Value

Uncovering The Hidden Meaning The Need to Save Dollars and cents are the key concern The Need to Negotiate They know commission rates are negotiable They want the best deal The Perception of Value They don’t believe you’re worth your commission They aren’t aware of what you can do for them

The Need To Save “Will you reduce your commission?” translates to “How can I obtain the most money for my property?” Shift away from commission and focus the seller on their net in pocket. “Bottom line, Mr. Seller, what’s more important to you; what you pay me, or what you net in pocket?”

Make a deal with the seller. Show your ability to negotiate. The Need To Negotiate Make a deal with the seller. “What if I can show you how Weichert and I can sell your house at a higher price at a 6% commission, and still get you a higher net? Would you be interested in learning how?” Show your ability to negotiate. “It concerns me that you are willing to hire an agent to negotiate your largest asset, who can’t even negotiate his own fee! If he’s so quick to cut his fee, how effective will he be when it comes to protecting YOUR profit?”

The Perception Of Value Show sellers why they should list with you! “What if I were able to show you how I am able to get you the highest price for your home by marketing your home for maximum exposure; would you agree that level of service is worth more to you?” or try “When you list with me, not only do you get a skilled negotiator, you get a full-service team of marketing and financial professionals on-hand to meet your need and sell your home”

Build A Tool Kit Create a seller file with visuals to help you Win the Listing Weichert Marketing Flyers Statistical Reports from MLS showing market share and SP/LP Ratios Absorption Rates Your track record Weichert’s track record in their area Testimonials of your happy sellers

“What Am I Paying For?”

“I Need to Compare. . .” “Mr./Mrs. Jones, I can certainly respect your need to speak with other agents, I would do the same. I would like to like to show you my plan first, ok?” “I have a very thorough, custom marketing plan and pricing analysis to share with you that has worked effectively for my other clients, when is the best time to return and share it with you?” “If after my presentation, you still feel that you need to speak to other brokers to see what they may offer you, I certainly understand and respect that decision. However, I am sure I can save you some time by reviewing my marketing plan and pricing strategy first.”

Remember YOU Have More Value! Dialogue to overcome seller objections are covered in the Value Story Dialogue & Tips book.

How much? https://www.youtube.com/watch?v=k8daQd9lEno

What Tools and Dialogue do you use to Address These Seller Objections? List price Commission Seller does not want a lockbox on the door Seller does not want a sale sign in the yard Seller does not want any open houses Listing period is too long Pets, baby or sick person in household are preventing seller from leaving during showing appointments or even allowing showing appointments

Let’s Practice Pick a partner You will be assigned a Seller Objection Create dialogue to overcome the objection, then demonstrate it for the group You will have 5 minutes to practice

Overcoming The Commission: Techniques To Try Draw a picture of a circle representing the full compensation (6% or 7%, etc,) then show how half of it is offered to the agent who brings the buyer. Then rip it in half again to show you have a split with your Broker. “So, we agree that 2.5% OR MORE must BE OFFERED TO THE BUYER’S AGENT, otherwise the property will not be shown as much and that affects the price and terms we get in an offer.”

Overcoming The Commission: Techniques To Try “This dollar represents the 7% total commission; ½ goes to the other agent who brings the buyer (it may be me but it will most likely be another agent).” Then fold it again & say: “This represents the company portion,” Then fold it again & again & say: “This represents our costs (taxes, car payment, insurance, association and insurance, computer & MLS fees, marketing fees, etc),” By then the dollar is tiny. Then a little guilt manipulation by the agent, delivered with much confusion, “ So you don’t think I am worth this?”

Overcoming The Commission: Techniques To Try Agent can remind seller: “The compensation is only paid to me when I get the job done. NO ONE gets paid until the buyer shows up with the money, right?” “This is what I am good at.” “If you are concerned about spending money up front, don’t worry - I pay for those up front marketing costs…You only pay me at settlement.”

Remember This Statistic: 85 % of the general public will pay you what you are worth, if they see the value. Of that 85 %, 5 % of them don’t even need to see the value, they just pay top dollar for everything, and are looking to maintain their image! Then there is the 15 % that will never EVER pay you what you are worth, they want a discount for everything.* They would look for a discount from a heart surgeon, they’d want a discount on a face lift! Selling a home is one of the biggest transactions of someone’s life. Little or no service and marketing is not going to result in a successful home sale transaction. *RIS Media.com

Lets Practice Break into groups of 2-3 The Sales Associates has completed their marketing plan and presented the Enhanced PTA The Seller wants a higher price, but will agree to your analysis if you lower your commission Practice showing your value using one of the techniques we discussed Present your solution to the group

Debrief: Who had success? What worked? What may you do differently?

Prospecting Let’s make some calls Let’s send out some note cards What source is working best for you to secure appointments so far? DO THAT for the next 30 minutes It’s a race: Who can set the most appointments in the next 30 minutes? The agent who brings me their completed Call Session Tracking & Tips Sheet with the most appointments wins!

Thank you for coming, see you next week! Prepare For Next Week Bring a spreadsheet of the # appointments you set and # appointments you conducted since we began this Six Weeks to Success series (Session #1 date). Include the date, name, address, contact info, etc. for each appointment. Bring a success story of how you implemented one technique (new idea) that was shared in the Six Weeks to Success. Thank you for coming, see you next week!