Bernice Ross
You walk into a listing appointment, really connect with the sellers and nail your listing presentation. When you’re ready to close for the listing they tell you, “We’re interviewing three other agents – we’ll get back to you.” What do you do next?
The increased interest rates coupled with a historic low amount of inventory has made today’s real estate market more competitive than ever. When there are too many buyers and not enough listings, no closing skills are needed. As the listing agent, all you have to do is issue your counter offers, make sure the buyers are qualified and then take the best offer. Buyers are so desperate to purchase that their agents have little need to close as well.
Today’s market is a completely different story. Experienced agents are the ones who are doing well today. Those lacking these skills are falling by the wayside.
Common Mistakes Agents Make When Closing
When most people think of closing skills, they normally think about high-pressure tactics. While you can close clients with this approach, it often results in resentment, possible cancellation of the deal later or even a hit to your reputation as well.
To illustrate how this works, let’s go back to the example I started this column with. First, let’s go over what not to do.
Some people’s instinct is to play the gracious loser: The sellers object, you stand up and thank the sellers for the opportunity to discuss the marketing of their home. You leave the appointment empty-handed and hope that they will call you back. This weak approach may leave the sellers feeling you lack the confidence or ability to handle their business.
Some people instead get defensive: “Our company is number-one and I’m the top-producing agent in this area. Why would you go with anyone else?”
The moment you begin justifying why you are the best agent to list the house, you lose the battle. When sellers ask you this question, it usually means that you haven’t fully demonstrated your value prior to your attempt to close. You also come across as more focused on yourself rather than on what the seller wants and needs.
Some people also get angry: “Call me when you’re ready to get your house sold.”
This strategy is often perceived as disrespectful and alienates the seller, which in turn can result in a loss of potential referrals – or worse yet, a highly negative online review.
Powerful Closing Strategies
Strong closers play offense rather than defense.
If the sellers aren’t ready to list with you and you force the issue without understanding their reasoning, you run the risk of alienating them. Instead, strong closers understand how timing can play an important role as to when a seller will list their home.
The questions you ask lay the groundwork for closing the client. By asking questions that the seller answers “yes,” you increase the likelihood they will sign the listing with you.
Before asking these questions, however, you must first set the context and establish the value you bring to the seller. Examples include sharing testimonials from past clients or creating a detailed marketing plan that provides the seller with a roadmap showing exactly how you will market their listing.
Once you do this, you are in a much stronger position to go for the close. Here’s how to do it: “After reviewing all the materials in my marketing package, do you believe I can get your property sold for the highest possible price in the shortest amount of time?”
When they bring up appointments with other agents, bring up their moving deadline, and ask if they’d like to get started marketing right away.
Begin with a Question
Sometimes, however, the sellers won’t be comfortable with cancelling the appointments.
Here’s what to say: “I really respect the fact that you want to keep the appointments that you made. Would you feel comfortable meeting with me after you finish talking with the other agents? That way, if you have additional questions or concerns, we can address them then.”
This increases the likelihood that you will be in front of the sellers when they’re ready to sign the contract. And note that you begin with a question. Questions give the sellers the sense that they are in control. You’re not as likely to be perceived as being a pushy salesperson.
Ultimately, closing today is about helping clients arrive at a decision about which they feel confident rather than pressuring the client. Demonstrate your value, focus on understanding the sellers’ unique needs and ask the right questions. That’s the heart of going for the close.
Bernice Ross is a nationally syndicated columnist, author, trainer and speaker on real estate topics. She can be reached at bernice@realestatecoach.com.
