How to Create Buyer Urgency
"You may delay, but time will not." Ben Franklin
Old Ben was a smart fellow. The gist is we can choose to do whatever we want, but one thing is for absolute certain: time marches on.
Apply his quote in your real estate business, and you’ve got either a recipe for grand success or miserable failure. The result depends entirely on you and how you opt to use your time.
But as you well know, in real estate we have to take this a step further. Sometimes you get buyers who, well, for lack of a better phrase, are not fleet of foot. And we know what that means for us – as the minutes tick by, we lose money.
So how do you create urgency in buyers? Here are five ways to add some speed to those slow-moving buyers.
1. The buyer presentation. We’re all very familiar with listing presentations for sellers and in this market, anyone can get listings. So I give my clients a buyer’s guide and they use it to create their own customized buyer’s presentation. It usually lasts between 30 and 45 minutes – just like a listing presentation, but scripted specifically to buyers – and it works great.
2. Mortgage approved. Only work with buyers who are approved for a mortgage. Doing otherwise is a waste of time. You have to be selective. And for those who are approved, that tells you they’re serious. What’s more, with the mortgage industry the way it is today, there are changes almost daily, so those who are approved today may not be approved tomorrow. Explain that to the buyers and they’ll feel the heat.
3. Market mechanics. Related to number two, the real estate market, too, is seeing some jitters. First knowing and understanding today’s market is vital. When you do, you can explain to buyers just how important price is. Homes priced right are selling, many very quickly. Social scientists who’ve studied buyer behavior tell us that consumers are usually more afraid of losing out on a good deal than anything else. So focus on the cost of waiting. Remember this and you’ll do just fine with your sluggish buyers.
4. The right questions. Learn exactly what’s motivating buyers to be looking for homes in the first place. And don’t accept their first reply as gospel. Keep asking questions. Even ask the same key question (why are you looking to buy) phrased a little differently later in a conversation and see what pops up. The more you know about buyers, and specifically why they’re wanting to buy, the better you’ll be at meeting their needs. For example, if they’re renters, you’ll want to focus on building equity soon, instead of making their landlord rich. Talk about all the advantages of homeownership. And if they’re moving from their first home to a larger second home, explain market factors – they don’t call it a buyer’s market for nothing!
5. Problem solving. When people have a problem, they want it solved. So when buyers begin explaining the answers to the questions you posed from number four above, think of their answers in terms of problems. Take the renters for example. Each month, money goes out the door they’ll never see again. But with a home, they will see it again when they sell. Turn your work with buyers into a problem-solution format, and you’ll up the urgency quotient – the need to scratch the itch, if you will.
Commit now to start creating urgency in your buyers to increase your sales, maximize your time and become the agent you were meant to be. You can do it!
Bob Corcoran is a nationally recognized speaker and author who is founder and president of Corcoran Consulting Inc. (CorcoranCoaching.com, 800-957-8353), an international consulting and coaching company that specializes in performance coaching and the implementation of sound business systems into the residential or commercial broker or agent’s existing practice.
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