Selling is easy when you do your buying and marketing correctly.
Selling becomes easy when you do these things correctly because it allows you to offer your property to a large number of qualified and motivated buyers at a good bargain price. It’s like offering a 3-day sale to people who just got their Christmas bonus.
Much of the work has been established already. Of course, if you want to make a bigger profit by selling the property closer to market value, you need to improve your selling skills. So, if you want to raise your profits, read on.
What is selling?
Selling is the process of serving your customers needs.
Yes, that’s right, your customers not yours. Surprise, surprise!
True, you want your property sold but no one is buying your property until a particular buyer needs it and wants it badly enough to pay for it.
Contrary to popular belief, no amount of selling can force a buyer to buy something he doesn’t think he wants or needs. Even high-pressure salesmen can’t sell to anyone until that person establishes in his mind that he wants a property.
Think about it. Did you want or need the last thing that you bought? What need was fulfilled?
Ask these questions because behind these are the keys to selling your property. It really is as simple as, asking what the customer wants and giving it to them.
This seemingly simple task is made easier by breaking down the whole sales process into 4 easy steps.
Step One – Set The Appointment
The objective of all your marketing is to get the phone to ring or fill up your inbox with inquiries. As you answer the phone or reply back to emails and text messages, resist the urge to sell the property.
Most beginners try to sell the property over the phone. They give all the features and benefits of the property and ask the potential buyers if this is something that fits their needs. When the buyers says no, the seller consoles himself with the fact that he did not waste his time showing the buyer the property.
That is an opportunity wasted.
Most buyers only have a vague idea of what they want. They have an idea of how many rooms they need, the general location and budget but they still need help in finding a suitable property that meets these and more. Buyers have also been known to change their minds if they want a property bad enough.
But if they don’t see the property, how can they want it?
Therefore, your objective at this stage is to get their contact details and set-up an appointment.
If you are just starting out, I suggest that you learn closing the appointment first. If you can’t make an appointment, you can’t sell a property.
You need their contact details to follow-up the appointment since buyers have a tendency to “forget” these things.
Step Two – Qualify the Buyer
When you meet the prospect, do not proceed to the presentation right away. You want to get to know your prospect first. Remember, you can only sell to him if your property matches his needs. You won’t know what he needs until you ask him.
Now being a seller is a little bit like being a doctor. When a doctor is trying to diagnose your ailment, he asks questions. A seller should be the same way.
Ask him about his family, finances, job and interests. Why are they buying a house? What areas and houses have they looked at? How long have they been looking. What’s their budget for down payment and amortization?
These questions are all designed to get you to know your buyer. As you ask the questions, remember the points that he is making and see how your property meets each of the criteria that he’s giving out. And don’t be afraid to ask the “money” questions. This is the step that you want to make sure your buyer can afford to buy your property.
If you are the owner, then make sure your ready with the range of payment terms that you are willing to accept. If you are a wholesaler or broker, make sure you know the range of your seller.
Don’t fret if the prospect gives out figures that don’t meet your range right away. People have a way of making things happen if they want something badly enough so give your prospect a chance to own the property.
Step Three – Presentation
Once you know your prospect, go ahead and show the property. Make sure to highlight the best features of each part of the house. Mention each detail, especially the ones that they mentioned earlier were important to them.
As you go through each part of the house, try to get small agreements from the prospect. Nod your head in agreement when they say something positive.
Encourage them to see themselves living in the house. Ask them what would they do to make the house more beautiful. Ask them what colors they would like for the walls or the curtains. Ask them where they would put the TV, bed, refrigerator, oven and other appliances.
By asking these questions, you’re getting them to own the house in their mind first. You’re establishing the emotional anchor for the purchase. Once they see themselves owning the house, you won’t need to do anymore selling because they’ve already bought.
When you see that they have owned the property in their minds, move to close the sale.
Step Four – Close The Sale
Ask for the order. Get them to sign the purchase contract. Asking for the sale seems simple enough but a lot of investors are afraid to ask for the sale.
That’s understandable. Most of us want the prospect to ask for the sale. Some of them won’t.
Of course, sometimes or maybe even most of the time, the presentation will not be smooth sailing. Your prospect will ask questions or make comments that will express doubt. That’s normal and expected. These are called objections.
In fact, if you don’t get objections then your prospect is likely not interested.
How do you deal with objections? By answering them positively. First, acknowledge the concern from the prospect. Agree that it’s a valid concern and that they are perfectly right to be mindful of such things.
Then, proceed to give your answer to the objection. Your answer could be something that clarifies the concern and shows the prospect that it’s really not a concern. Or you could highlight a strength of the property and let the prospect weigh the pros and cons himself. It’s best to prepare your answers beforehand by anticipating the objection.
Here are 3 common objections:
- “The property is too expensive.” – Acknowledge the concern on price and ask if the property was affordable, if he would go ahead with the property. If he says yes, then proceed to working out the payment plan.
- “I’d like to think about it.” – Find out what the real objection is. Normally, it’s the price and if you’re flexible, you can go ahead and see if he’s willing to act now if you give him some concessions in price.
- “I need to ask my husband/wife/someone else.” – This is tricky because if they are married then you do need both of them to sign off on the agreement. Before you let them go, make sure that the person you are talking with is totally sold on the property. If he/she is, then set the appointment for the next meeting with both of them.
Once all objections are answered, the only thing left for the prospect to do is sign the contract. Don’t ask if he would like to sign the contract. Assume that he will and tell him to sign on the space for his signature. If he doesn’t sign yet, that means there’s still an objection that you need to answer.
If he signs already, congratulations! You just made a sale.
Now, the sale is not yet complete. You still need to Ask for the reservation and follow-up the down payment. Then, you need to work with the buyer for his the full payment (or post-dated checks if scheme is rent-to-own). There’s still paperwork to be done but no more selling to do.
Don’t forget to ask for referrals. This will help you on your next sale.
Making a sale gives you an adrenaline rush and emotional high. Use that to build momentum and make another one and another one and another one.
I hope these 4 steps gave you a clear idea on the sales process. More importantly, use them and it will lead you to more sales and profits in the real estate business.
Ronald Cagape is a real estate investor, coach and Cashflow game master. If you want to play cashflow 101 with Ronald Cagape in Manila, Philippines, you can register at his website,
http://www.livingcashflow101.com/”>Living Cashflow 101.