REALTOR® Magazine Online: Responding to Expireds' Objections: Answer Sheet

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SALES MEETING TOOL KIT:
CONVERTING EXPIREDS

Introduction

Component 1: Facilitator Talking Points

Component 2: Agenda

Component 3: Handout 1: 7 Sure-Fire Ways to List Expireds

Component 4: Handout 2: A Expired Prospecting Plan

Component 5: Activity 1: Responding to Expireds' Objections

Component 6: Responding to Expireds' Objections Answer Sheet

Component 7: Handout 3: 10 Questions to Ask Expired Sellers

Component 8: Activity 2: Role Play—Expireds Up Close

Component 9: Activity 2: Role Play—Expireds Up Close—Discussion Directors

Component 10: Handout 4: 6 Warning Signals That an Expired Won’t Sell

Activity 1
Component 6: Responding to Expireds' Objections Answer Sheet

Use these answers to suggest possible counters to some common expireds' objections.

Objection 1: I’ve wasted three month listing with a real estate salesperson who did nothing. Not one offer. Why should I pay you to do nothing and waste more time? I can do a better job myself.

Most effective responses:

From what you’ve told me, I don’t think that your salesperson did very much to market the property. I’ve shown you my comprehensive marketing plan for the property with deadlines for when I’ll complete each phase. That will make a huge difference.

I know that you’re frustrated, but just like (whatever the homeowner does for a living), real estate sales takes special skills. You need to know about disclosure requirements, sources of financing for buyers, and contracts. Plus showing the house takes a lot of time.

Selling your house yourself may seem like a money-saver, but a recent NAR survey (2003 Profile of Home Buyers and Sellers) has determined that homes sold by a real estate professional gross an average of 21 percent more than those sold by the owners. So even with my commission, you’ll do less work and probably come out with more money.

Objection 2: I need to save every cent that I can get from the sale to put toward my new house. I can’t afford to list it at the price you’re suggesting.

Most effective responses:

Real estate salespeople don't dictate price; the market does. And you can see from the comparative market analysis I did for you, the price you’re setting is significantly higher than any other house similar to yours.

The amount of money you need to buy your new home isn't a factor in the price.

Even if you find a buyer who’ll pay your price, banks won’t provide a mortgage to buyers if their appraisal finds the price too high.

Objection 3: What makes you different from the last salesperson I listed with?

Most effective responses:

You can read the testimonials in my listing presentation, but if you want the chance to talk directly with my clients, I know they’d be glad to talk to you. Plus, I represented the Jones family who lived on the next block when they moved a year ago. Let me ask them first if they’d be willing to chat with you and if they are, I’ll ask them to give you a call.

I’m the second highest performer in my agency, and I sell my listings in average of X days, compared to X days on the market for the area. I wouldn’t have been able to achieve that success if I wasn’t dedicated and hard working and I didn’t know how to sell homes.

I understand your need to be an active participant in your home’s sale. I recognize that no one knows your home better than you. I make it my policy to contact every homeowner who lists with me twice a week to give updates on what I’m doing and who’s interested in the house.

Objection 4: My last salesperson told me it was a waste of time to fix up the house, since the buyer will want to do their own decorating.

Most effective responses:

It’s true that making major renovations is probably not worthwhile, but making minor repairs and fix-ups are just a way to put your home’s best foot forward. For some people looking at homes, even a small negative like a sticking door or peeling paint can often be enough to put your home out of the running.

If you don’t want to spend the time and money making repairs, that’s certainly your decision. But I’ve found that buyers usually subtract two or three times the cost of the repair from their offering price, so you’ll probably get less for your home than you’d hoped.

There’s so much new construction in our area that people are used to looking at bright, shiny newness. Older houses have lots of great things to offer—established yards, closer- in locations—but sometimes people let themselves be ruled by first impressions.

10 Questions to Ask Expired Sellers >

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