Expired Listings Chapter 02

Why I Take Expireds

 Can you see that the price isn’t always the reason the home didn’t sell?

Why did I just say that the reason homes don’t sell is because of bad marketing? Because that is what most sellers think. Most sellers think the agent messed up. Or, the agent didn’t “stay on top of things.”

The seller’s perception is reality to them. In their mind, the story they tell themselves is 100% the unadulterated truth. They don’t want to come to reality about their price. And, since price isn’t always the problem, then I’m glad to discuss the problems.

A lot of you are concerned that this guide will only attract unrealistic sellers who will not drop their price. Not true.

 Here is an example of a listing that is a little overpriced… and the seller is motivated.

A seller for $279,000. It expired 6 months later. She listed it with another Realtor for $264,900.

Then she dropped the price to $259,900. Then the listing expired.

I mailed her a letter you and she called me. Realistically, her house is worth between $240,000 and $250,000. But, she still thought it was worth $260,000. And she wanted to list it at $269,000. I argued with her a little bit about the price but finally agreed to list it as $269,000. Why did I take an overpriced listing? The seller had moved to Atlanta, Georgia – five hours away. The house was empty.

She didn’t want to rent. In fact, she was absolutely terrified of renting. She needed to sell and would sell eventually. I knew that with a little bit of work, I could get the price to $250,000. We would receive an offer for $240,000 or $245,000, and she would take it. Here’s what happened. The first thing I worked on was the showing condition. I convinced her to cut down an ugly dead tree that was in the middle of the backyard. She stubbornly insisted that it wasn’t a problem and didn’t deter buyers. I got some feedback from a buyer that said otherwise. She agreed to cut the tree down. Ok, one problem out of the way.

At this point the house had been on the market for 3 weeks. Not much had happened. I started asking her for price reductions every week. A week later she agreed to drop the price to $259,000. I let the price slide for a month. Then, I started asking for price reductions again. She finally agreed to drop the price to $250,000. The home sold 3 weeks later for $243,000. That is how I succeeded where the other agents failed. If you know how to get price reductions, then you will become a much more effective agent. If you use this guide, then you will get a lot of listings like this.

CHAPTER 3