No Broke Months For Salespeople - What You Should Do Before Taking Overpriced Listings

Episode Date: August 25, 2023

What You Should Do Before Taking Overpriced ListingReal Estate Coach Dan Rochon of No Broke Months for Real Estate Agents talks about what you could do to be prepared when handling overpriced listings.In this episode, Dan shares a script on what to tell your clients when they are expecting to overprice the house they are selling,Learn more on how to get your client to understand how the prices work in this new episode of No Broke Months for Real Estate Agents.--To find out more about Dan Rochon and the CPI Community, you can check this link:www.NoBrokeMonths.com --Stop 🛑 wasting your time ⏳ or spending too much money 💸not getting the results you want in sales; I would love you to join me for the upcoming 5-Day Listing Challenge.You will learn how to find YOUR Way to having closings every month.www.get3morelistings.com--Get your free copy of the Real Estate Evolution here:bit.ly/RealEstateEvolution_GetYourBookThis book shows you the step by step on how to:Step 1: Believe in your unknown potentialStep 2: Deconstruct persuasion techniquesStep 3: Find a business and get hired consistentlyStep 4: Be proactive in the relationship with your clients.Step 5: Learn and implement the exact steps to hire, train, lead, and train virtual assistants so that they can build, support, and guide a winning team to scale.And if you’d like to have a consistent and predictable income, like this page, and don’t forget to join the Facebook group to network with the top agents:https://www.facebook.com/groups/thecpicommunity/ To find out more about Dan Rochon and the CPI Community, you can check these links:Website: No Broke MonthsPodcast: No Broke Months for Salespeople PodcastInstagram: @donrochonxFacebook: Dan RochonLinkedIn: Dan Rochon

So those first five days, I'm going to predict that you probably won't get an offer because it doesn't matter what I say. It doesn't matter what you say. The only thing that matters is what does a buyer say? Welcome to the No Broke Months for Real Estate Agents podcast. Working as a real estate agent can be incredibly rewarding and fulfilling, but it can also be frustrating if you aren't making the money you deserve. So if you're ready to end the stressful cycle of working hard for no results, then get started with a proven step-by-step system so that every month is No Broke Months. My name is Dan Roshan. I'm the host of the No Broke Months podcast, which is a show for real estate agents to help you have no broke months.

Thanks for joining me. Enjoy the show. you could do to be prepared when handling overpriced listings. In this episode, Dan shares a script on what to tell your clients when they are expecting to overprice the house they are selling. Learn more on how to get your client to understand how the prices work in this new episode of No Broke Months for Real Estate Agents. So I want to give you just a little bit of context. In my notes, I wrote down things to think about before you decide to take an overpriced listing. So I want you to write down these notes, right? So am I going to tell you never to take an overpriced listing? No, I'm not going to tell you that.

But obviously, you want to price it as competitively as possible. And if you were to take an overpriced listing, I want you to make a decision and go about it with a plan. And so the rule of thumbs that I have is I will not exceed 5% above the list price. So 5% is my metric. I also consider what is their motivation. Sometimes there's just a timing issue. Sometimes it's like, well, I've got one right now.

It's a timing issue. He is coming soon at 1.25. It's worth 1.15. Now, that's greater than 5%. But he agreed that the three weeks of coming soon, if we don't get any activity, we would look at the price before we go on. So I would predict that when we go on the market, it's going to go coming soon next week. So a month from now, when we go on the market, then we list it at 1.199. Okay. Again, I think it's worth 1.15. We have a coming soon. We will have a coming

soon 1.25. And I predict I'll be able to get them to say yes to 1.99, which is still overpriced, but it's within that 5% threshold. Sherry, go ahead. When you take the overpriced listing, so is uh the roll-a-thon to let it list at whatever they think that five percent for two to three weeks it's uh so remember when you go through the um the the market data of how many days on the market whatever the how many days on the market that's the that that's the benchmark right. But I would even move it in front of that. Okay. Because that's like your definitive line in the sand. So let's say the average days in the market is 19. We listed at 1.9. So Mr. Seller, once we go over 19 days, we know that we're past

average. We're below average in the pricing. When we listen to the expectations of the market, then we make the adjustment. So let me go back to the rules. So 5% above the recommended price. What's their motivation? Is it a timing issue? Are they reasonable people that you're okay to spend time with? Or are they unreasonable people that are going to have unrealistic expectations of you and just waste your time? You know, it just like, is it going to be an emotional drain, right? Just draining you if they're unrealistic expectations, their demands on you, et cetera. All right. So are they that person? Because of that person, I'm going to be less flexible. I'd rather just say no to somebody who I'm not interested to be

in business with than say yes and struggle. Have you told them the truth? Okay. Well, you better have told them the truth. We're showing them the truth of the marketplace. Okay. So what you would never do is not follow a process and they come and say, I want to list it at 1.25. And you say, well, I think we can do that. Yes. Let me give you a very real example. The gentleman I was mentioning to you that I am sort of struggling with. This is the one that listed at 625. Okay. And the property's worth 585. Okay. That's more than the 5%, by the way. Right. But again, there's judgment calls that you make on this because I knew that I'd be able to push them and I have. Okay. So there's like one of these rules may negate another. Okay. So it was listed at 625 and I told them the truth.

So have you told them the truth? Mr. Seller, I understand 625, but when we're looking at the data right here, the market's suggesting that we're in that range of 585 to 600, 600 being a stretch. I understand that, Dan. I just want to try it. And of course, I used all my scripts, yada, yada, wasn't able to be successful in it. But I was successful in saying, okay, well, we're going to pay attention to the marketplace. Because it doesn't matter what I say, it doesn't matter what you say, the only thing that matters is what does a buyer say. And so I was successful at that. So then about a week later on the market, zero showings. It was like five days,

I'm having the price adjustment with them. Like five days, it wasn't even a week. And I got it from 625 to 600. Now, I continue telling them the truth. Mr. Seller, I want you to understand that we're starting this listing not quite today, but we're starting this listing today at the highest price. So those first five days, I'm going to predict that a week from now, because we're at a high price, you probably won't get an offer. And then at that point, you're going to be considering that we've been listed for two weeks. But if you understand we were so far off the mark for the first five days, really day one is today. And now we're at the highest of the price. Fast forward a week, Mr. Seller, the market, we've only had two showings. And during that time that we've only had two showings, I've sold four other properties.

Why did I say that, by the way? Timing of the market. It's because it was through Memorial Day. Okay. So I knew like, okay, he's going to say that, you know, well, I put the timing of the market, you know, I should have done a different timing. Okay. So that was the objection I was getting rid of.

Again, I'm showing them the doubt. This isn't Dan saying it to them. Okay, this is Dan pointing, showing them where to look. So what should we do? Thanks so much for listening to the No Broke Months podcast today. Until the next show, I invite for you to be grateful, make good choices, help someone, have the best day of your life, and go find a listing.