When you work as a commercial real estate agent in this market, most of the listings that you chase will be the subject of a presentation and sales pitch from a number of real estate agents.
Many property owners feel that they have to test the market and get comparisons from other agencies before they make a decision on just who they will list their property with. Maybe the idea has merit however many sellers and property owners can be influenced by all the wrong reasons and facts.
The problems that stem from the seller approaching a number of agencies can usually be summarised as follows:
- Some agencies will be trying to sign the listing by offering discounted or heavily reduced commissions.
- Some agencies will reduce the marketing costs on the listing or even pay the marketing costs themselves.
- The associated fees for the marketing of the property can be absorbed by the selected agency.
- Some agencies will claim that they have qualified buyers on their books now just waiting to inspect and purchase that particular property.
- The agent offers to take the listing on an open list basis with no exclusivity.
- The agent takes on the listing at the client’s price that is inflated well above market.
- The agent offers the client a method of sale that the client is comfortable with however that method does not reflect the best strategy of sale in the current market conditions.
The realities of these offerings and discounts are that they substantially reduce the interest of the listing agent in the true marketing of the property. They can also hinder the sale and marketing process.
These points above are the most common hurdles that you will come across in the sales presentation and pitch process. Any property owner that chooses an agent based on any or all of these facts should not be taken seriously in their efforts to list and sell their property. This property market is fickle, and needs the right approach. The sellers must follow the rules in and marketing of their property; to do otherwise will create a stale listing and waste everyone’s time.
The Real Focus of Agents
Most good real estate agents will only spend their time on the listings that they have exclusive control, and where they can see the most opportunity or the most commission for the amount of effort that they apply.
So if you are coming across these factors in your local property market, the strategy is to practice your presentations to counter propose and discard these issues; they have any little relevancy to the results that a client wants in this market. The property owner and seller will listen to your offer and strategies providing you have the right argument supported by sound logic.
The listing of property is not a debate and should be built around the best price, the best way to attract enquiry, and the best marketing program. Working with a property owner through these three factors will usually allow you to discard the discounts and offerings of other agencies.
No client wants their property to be an experiment with time, price, or enquiry. That is their Achilles Heel that can be used as a lever in you attracting the listing in the best way possible.