Seal the Deal Series: 6 Reasons Why You're Not Closing Sales as A Real Estate Agent
Ever ask yourself how fellow Real Estate Agents are selling multiple properties every month? With the same amount of time and work they spend on emails, calls and viewings as you? And sometimes they have only been in the business for 1 to 2 years?
Meanwhile, you're banging your head against the wall as another lead fails to show or tells you they can't afford the property. There is a simple truth to why some succeed and others don't when it comes to selling property. It all comes down to these 6 key points of building your relationships with your clients that you might have not been doing.
1) You're not using reciprocation
People tend to return a favor. If you do something for someone that positively impacts their life, chances are the recipient will feel a moral obligation to give back. This is why you hear people like Gary Vaynerchuk (https://www.garyvaynerchuk.com/) saying to not hold back your free information. As refered to in the online world, your free content.
Give your audience every piece of information you have for free! Some examples of a great way to “kill your audience with kindness” are free guides, tutorials, area descriptions, latest property prices etc. As you consistently give quality information, your audience will eventually feel obliged to invest in your real estate services. On a deeper level, they know they are dealing with a dedicated, serious, motivated and resourceful agent.
Think of it like tipping a waiter or barman who has gone above and beyond their duties.You feel obliged to give something back despite having no legal obligation.That's the first key point of building a relationship with your client in the form of reciprocation.
2) Who's got my money?
I have seen countless real estate agents receive a call from a total stranger and accepts to have a viewing with them, without any screening or asking information of the buyer. Most importantly, they did not ask this crucial question: Can he/she pay for property or at least get a loan?
Too many real estate agents play the game of hope, pray and see. By doing so, you will end up just spending time entertaining people with viewings, free coffee meetings and loads of calls, emails, and Whatsapps. The worst case scenario is you figure out that these people were never able to pay or get a loan for a property in their current situation. That's why I learned an important lesson from a great businessman called Grant Cardone (https://grantcardone.com/) who taught me the valuable lesson: Who's Got My Money?
When you go into the market, you have to accept that not everyone has the capability to buy property. Firstly, you have to figure out who can and who can't buy. Although you spend less time on the ones that can't buy presently; however, you don't forget them because they may come back in the future. Instead, you focus on the people that can buy or at least has the ability to get a loan from the bank. Most importantly, you need to figure this out before you go for viewings, meetings, and endless emails sessions. This will save you so much time and work more productively in closing deals with people that can pay for it. So from now on, focus on Who's Got My Money?
3) You're not utilizing social proof
One thing I've observed from watching hundreds of people move through closing deals with the same agent over and over again is a lead tendency to look for any testimonials from previous clients. People always like to experience what others have experienced before if it was a positive impact. Furthermore, people will always feel more comfortable committing to something if their peers are on board too.
In a social experiment, actors in a doctor's waiting room would stand up every time the buzzer sounded. After a while, members of the public would mimic the actors. Although this is not related to real estate sales, this phenomenon shows that people do conform to social norms. Therefore, it is essential to have social proofs in the form of Facebook screenshots, comparison pictures, and video testimonials showing what you do, which will lead clients to contact you for your real estate services.
4) You're not yet positioned as an authority
People tend to obey and follow authority figures. The cool part about this is nearly everyone has the ability to become an expert authority in their niche.
The first step is to identify your micro-niche (Area of Expertise), followed by understanding what your customers think, feel, and act from the inside out.
Ask yourself these questions….
1. What do my real estate clients want and need most?
2. What are their pain points / their most important problems that they need to solve?
3. Where do they hang out online? Where do they hangout offline?
Once you figure this out, you can then start providing answers for your niche audience in the form of published content. This can take in the form of blogs, videos on YouTube, interviews on podcasts, newsletters through email, or even published books. If you have “niched down” enough, you are capable of becoming the go-to authority in that field or area within 8-12 months. Most importantly, consistent is key. For example, one email or video will be sufficient for the long run.
The formula to buiding your authority is stated as such,
Your Expertise x Consistent Content x Value = Building Your Authority In Your Area
Once you are an authority to your audience, they are more likely to follow your advice, review your offers, and invest in your real estate services.
5) You're forgetting About BBB
People tend to buy from those who are like them, or who they aspire to be like. This is known as the BBB Formula - Be, Become, Beat.
Therefore, it should be your daily mission to build BBB with your niche audience.This is especially true if you are venturing out into the real estate online world where skepticism is naturally higher. Without direct physical contact with an individual, building a relationship with your clients to the point where they are ready to buy is challenging.
In reference to the words of Fred Hilmer, "Leadership requires five ingredients--brains, energy, determination, trust, and ethics. The key challenges today are in terms of the last two--trust and ethics". If you can do this via multiple communication channels, closing more real estate deals will become a lot easier.
6) You have not created authentic scarcity
People tend to buy when their perceived solution is scarce. Here's where many real estate agents get confused. They think that they will never be able to create scarcity when there is too much inventory in the market. I can tell you, this is a wrong assumption.
The first thing you need to figure out is, 'Do my clients really like this property?' How can you find out? By asking, of courde! It is through asking hundreds of questions, and most importantly, the right questions. With the answers to these questions, you will understand which property you clients desire.
Once they give you the clue, your brain has to be activated like a sales machine. Because here comes the million-dollar question: Sir/Madam, if this property would not be available tomorrow, how would that make you feel? Don't tell your clients, just ask how this makes them feel. Ultimately, you create authentic scarcity on what your clients might lose if they don't move forward. The moment your clients go home and start thinking or talking to each other, they will go over the idea that they might lose the property if they don't act fast.
Bonus Tip: Ask for the close
Many agents will see closing deals as the hardest part of their real estate business. The top agents will agree with me, that when you prepare the 6 key points in building your relationship with your clients, you will have no problems in closing deals.
In the end, it's all about one thing: Asking the right questions. Whoever asks the right questions, wins! It's that simple. When you talk, ask a question. When your clients ask a question, ask a question back. When your clients are silent, ask a question. When you clients ask: Why are you asking so many questions? You reply them with a question, ' I'm just trying to find the right question to serve you best, what questions should I ask? '
Series 1: 3 Things You Should Do to Jump Start Your Real Estate Career
Coach Taco Heidinga and Coach Alexander See are both founders of Propcoach , a coaching , consulting and training company for the real estate professionals of Malaysia.
Their mission is to create real estate business leaders who empower each other to impact and build the communities around them. With their vision of transforming lives through education, their goal is to empower those in real estate. Firstly, to be free and able to run purposeful and successful business. Ultimately, to lead by example and bring positive change to society.
This far, they are grateful to have been given opportunities to speak at various events and conferences, such as the iProperty Learning & Network Session, Affordable Housing Conference 2018, EPIC Homes & the KL Career Fair. In addition, they have also been invited to speak at educational fairs organized by colleges, such as Portman College in Seri Kembangan.
With their dedication and passion in sharing the fundamentals of business growth, sales, leadership, and personal development, many real estate professionals has been inspired to strive for their dreams and realise their greatest potential.