In this tight Real Estate market, how you handle this objection will determine whether you get paid in a timely manner or have your time consumed going nowhere fast. The reason this is becoming the latest and greatest smoke screen objection for Realtors is simple and understandable:
- Where the inventory is very low, nervous sellers who want to up or downsize are hesitant to sell first without knowing what they can buy. This is a reasonable concern and can be more of a condition than an objection. A condition cannot be overcome. An objection is not “no;” it is simply a request for more information. In most cases, this is an objection that a skilled Realtor can navigate the truly motivated prospect to a successful sale if the proper steps are followed.
Keys to navigating the seller/buyer in this market
- Thoroughly prequalify your prospect to determine a very high motivation to sell and buy. The only prospects you should ever spend time with are highly qualified, motivated ones; and this is true especially now.
- List their house first then put them on a buyer agreement. Explain to your client that showing homes they can’t buy (most contingent upon the sale of their home offers rarely win in multi offer scenarios) violates the fiduciary to the seller (ready, willing and able buyers). Your client wouldn’t want other agents bringing unqualified buyers through their home either. Having them on a buyer agreement allows you to send them on drive by tours to get a feel for the neighborhood and exterior options until their home is sold.
- Set realistic expectations on their buy options. This is where true motivation is required. Their need or want to transition in this market must exceed a desire to get the perfect next home. Before they list with you, make sure you explain clearly your clients options after an offer is accepted on their listing:
- They select the best home available on the market, write a winnable offer contingent on the close of their home. If successful, they should be able to concurrently close and move once.
- Find an alternative place to move to or rent if a suitable home isn’t available, and wait until the right home comes to market.
- Select a lot and have a preferred builder build their ideal home. Make sure you get paid on the lot sale-and home once it is completed. Time the marketing of the listing to close at/near the completion date of their new home.
- If options a-c above are not an option for your prospect, they are not qualified to transact in this market.
Do not show any contingent buyer homes before you list them or try to write contingent on the sale of unless circumstances give you and your prospect a better than average chance to win. If the prospect can buy without selling first, by all means get their next home secured and then list their current home.
If you need help on navigating your prospects in this challenging market, Contact Us today and schedule a no obligation Complimentary Session with one of Our Coaches. This could be a game changer for you and your conversion ratios!
