Mistake #1:
Not knowing how much they can afford before they make an offer. The easiest way to avoid this mistake is to get pre-approved for a mortgage by a lender so you know in advance exactly how much you can afford.
Mistake #2:
Not realizing in advance who the real estate agent represents. Most people think that the agent they are working with is working for them. But unless they are working as your buyer representative, they represent the seller.
Mistake #3:
Not realizing that the wrong mortgage can cost thousands of dollars in needless
interest and taxes. Check with your accountant before you make your final decision on which mortgage you are going to choose. Your CPA will be able to tell you what the long-term effects will be on your income.
Mistake #4:
Not discovering hidden defects before they buy a home. One of the most expensive mistakes is also one of the easiest to avoid, by having a professional pre-purchase home inspection.
Mistake #5:
Not knowing how much credit can affect their ability to buy or refinance a home.
Before you buy a home, many of the clouds on your credit history can be cleared up
or even eliminated. Your mortgage professional can help you review and prepare
your credit file in advance.
Mistake #6:
Basing their asking price on needs or emotion rather than market value.
Many times, people make their pricing decisions based on how much they paid or
invested into their home. This can be an expensive mistake. Overpriced homes take
longer to sell and eventually net the seller less money. Consult with a professional
real estate agent. They can assist you in pricing your home correctly from the
beginning.
Mistake #7:
Failing to "showcase" their home. First impressions are the most important. Experience shows that for every $100 in repairs that your home needs, a buyer will deduct $300-$500 from their offer. Thoroughly clean and prepare your home before you put it on the market if you want top dollar.
Mistake #8:
Signing a listing contract with no way out. Most traditional real estate agents want you to sign a listing contract with no way out. When you list you home with Best Local Agent Team, you can cancel your listing agreement at any time, no questions asked.
Mistake #9:
Choosing the wrong agent or choosing them for the wrong reasons. Many homeowners list their home with the agent who works for the biggest company. You need to choose the agent with the best marketing plan and track record to sell your home.
Mistake #10:
Not knowing all of their legal rights and obligations. Real estate law is complex. The contract that you will sign when selling your home is legally binding. Small items that are neglected in a contract can wind up costing you thousands of dollars. You need to consult a knowledgeable, professional who understands the ins and outs of a real estate transaction.
Wednesday, June 07, 2006
Internet inquiries are very different from traditional offline leads.
Success depends on understanding this difference.
* Internet buyers spend an average of 5.9 weeks considering the purchase of a home before contacting a REALTOR®, compared to 2.1 weeks for traditional buyers.
* Internet buyers spend an average of 4.8 weeks investigating homes and neighborhoods prior to contacting a REALTOR®
* Having done significantly more research than their traditional buyer counterparts, Internet buyers spend less time looking for a home once they began working with a REALTOR®, spending just 1.9 weeks on average, compared to 7.1 weeks for a traditional buyer
* The typical Internet buyer also visited fewer homes with their REALTOR® than the typical traditional buyer. Internet buyers visited an average of 6.1 homes with their REALTOR®, whereas a typical traditional buyer visited 15.4 homes with their REALTOR®.
* Internet buyers tended to be younger than traditional buyers with a mean age of 38.5 years, compared to 43.5 years for traditional buyers.
What does all this mean to you?
What this means is that the Internet home buyer is not the same homebuyer you thought you knew. They take longer to choose a REALTOR®, but that’s because they are beginning their process much earlier in the game. (It doesn’t require much effort to decide one day you want to browse around online and start looking for some homes. It’s a bit more of a commitment to set aside an afternoon to go driving around looking for open houses). What’s most important is that these people WILL BUY. In fact, once they choose you as their REALTOR®, they’re actually BETTER buyers. They don’t shop your services as much, they usually have more money, and they’re better educated (both about buying a home and in general).
Where most REALTORS® have difficulty is seeing past the extended initial phase that Internet buyers are so well known for. Instead, they usually are seen literally throwing this business away and writing it off as “bad leads.”
Your ability to effectively manage and maintain the Internet buyer during their initial phase of home buying is what will set you apart from your competition and ensure your success with some type of traffic program.
Your initial follow up with an inquiry is a critical stage in the process.
Poor follow up stops everything in its tracks. When it comes to following up with inquiries, there are a few things you should keep in mind:
1. Immediacy is crucial: A unique attribute of the Internet is that information is accessible immediately. Because of this, Internet users have developed into a very impatient, “now” culture. If you do not respond to an inquiry within 12 hours (at the most) of receiving it, your chance of losing their interest increases dramatically. Best practice is closer to a 0-15 minute response time. Because of this, the auto-responder built right into your landing page can be your most powerful tool. Be sure to customize this auto-responder to your specific needs.
2. Ask leading questions: Many Realtors make the mistake of putting a sentence like “If you need any help, don’t hesitate to ask.” Then they wonder why no one replies to their emails. Be sure to ask questions which provoke an immediate response. Initiate the conversation, rather than waiting for them to decide they’re ready to talk to you.
For Example:
• Are you looking for a place with a pool?
• Are you looking for a 1 or 2 story house?
• Do you have children? If so, are you looking to move within a particular school district
• I know the commute traffic here is pretty bad sometimes. Where will you be working?
3. Include a value proposition for your website: Getting someone to come back to your website is important. You increase your brand awareness every time you are able to get yourself in front of them. Be sure to include a reason for them to go back to your website other than the reason why they went there in the first place. Just ask yourself, “What else do people buying a home in my area want to do on my site, other than search for homes?”
Inquiry Incubation
Due to the need to hit short-term sales goals, many agents will focus all of their attention on working “hot leads.” Focusing too much on this can cause several problems in your marketing strategy:
• The cost of generating a “hot lead” can easily be more than 10 times greater than the cost of generating any other lead.
• You will experience harsh lows in your sales pipeline, when all the “hot leads” sell. You end up being caught in a vicious cycle of actively searching for the next “hot lead” at a very high cost.
With Internet-based marketing, the key to driving down your cost of acquisition and maximizing the benefits reaped from your advertising dollars is to practice effective inquiry incubation methods. This means to not just focus on the hottest leads, but to also identify the warm and even cold inquiries and nurture them over time into hot inquiries. You must implement an effective inquiry incubation cycle, with regularly scheduled “marketing touches” that are aimed at building credibility and brand awareness, and also presenting strong value propositions. By doing this, you create a much more balanced approach to long-term and short-term lead generation.
Success depends on understanding this difference.
* Internet buyers spend an average of 5.9 weeks considering the purchase of a home before contacting a REALTOR®, compared to 2.1 weeks for traditional buyers.
* Internet buyers spend an average of 4.8 weeks investigating homes and neighborhoods prior to contacting a REALTOR®
* Having done significantly more research than their traditional buyer counterparts, Internet buyers spend less time looking for a home once they began working with a REALTOR®, spending just 1.9 weeks on average, compared to 7.1 weeks for a traditional buyer
* The typical Internet buyer also visited fewer homes with their REALTOR® than the typical traditional buyer. Internet buyers visited an average of 6.1 homes with their REALTOR®, whereas a typical traditional buyer visited 15.4 homes with their REALTOR®.
* Internet buyers tended to be younger than traditional buyers with a mean age of 38.5 years, compared to 43.5 years for traditional buyers.
What does all this mean to you?
What this means is that the Internet home buyer is not the same homebuyer you thought you knew. They take longer to choose a REALTOR®, but that’s because they are beginning their process much earlier in the game. (It doesn’t require much effort to decide one day you want to browse around online and start looking for some homes. It’s a bit more of a commitment to set aside an afternoon to go driving around looking for open houses). What’s most important is that these people WILL BUY. In fact, once they choose you as their REALTOR®, they’re actually BETTER buyers. They don’t shop your services as much, they usually have more money, and they’re better educated (both about buying a home and in general).
Where most REALTORS® have difficulty is seeing past the extended initial phase that Internet buyers are so well known for. Instead, they usually are seen literally throwing this business away and writing it off as “bad leads.”
Your ability to effectively manage and maintain the Internet buyer during their initial phase of home buying is what will set you apart from your competition and ensure your success with some type of traffic program.
Your initial follow up with an inquiry is a critical stage in the process.
Poor follow up stops everything in its tracks. When it comes to following up with inquiries, there are a few things you should keep in mind:
1. Immediacy is crucial: A unique attribute of the Internet is that information is accessible immediately. Because of this, Internet users have developed into a very impatient, “now” culture. If you do not respond to an inquiry within 12 hours (at the most) of receiving it, your chance of losing their interest increases dramatically. Best practice is closer to a 0-15 minute response time. Because of this, the auto-responder built right into your landing page can be your most powerful tool. Be sure to customize this auto-responder to your specific needs.
2. Ask leading questions: Many Realtors make the mistake of putting a sentence like “If you need any help, don’t hesitate to ask.” Then they wonder why no one replies to their emails. Be sure to ask questions which provoke an immediate response. Initiate the conversation, rather than waiting for them to decide they’re ready to talk to you.
For Example:
• Are you looking for a place with a pool?
• Are you looking for a 1 or 2 story house?
• Do you have children? If so, are you looking to move within a particular school district
• I know the commute traffic here is pretty bad sometimes. Where will you be working?
3. Include a value proposition for your website: Getting someone to come back to your website is important. You increase your brand awareness every time you are able to get yourself in front of them. Be sure to include a reason for them to go back to your website other than the reason why they went there in the first place. Just ask yourself, “What else do people buying a home in my area want to do on my site, other than search for homes?”
Inquiry Incubation
Due to the need to hit short-term sales goals, many agents will focus all of their attention on working “hot leads.” Focusing too much on this can cause several problems in your marketing strategy:
• The cost of generating a “hot lead” can easily be more than 10 times greater than the cost of generating any other lead.
• You will experience harsh lows in your sales pipeline, when all the “hot leads” sell. You end up being caught in a vicious cycle of actively searching for the next “hot lead” at a very high cost.
With Internet-based marketing, the key to driving down your cost of acquisition and maximizing the benefits reaped from your advertising dollars is to practice effective inquiry incubation methods. This means to not just focus on the hottest leads, but to also identify the warm and even cold inquiries and nurture them over time into hot inquiries. You must implement an effective inquiry incubation cycle, with regularly scheduled “marketing touches” that are aimed at building credibility and brand awareness, and also presenting strong value propositions. By doing this, you create a much more balanced approach to long-term and short-term lead generation.
Writing an Effective Sales Message
The 10 Ingredients of an Effective Sales Message
1. A compelling headline
2. Attention-catching sub-headlines
3. Bulleting list of features and benefits
4. A few intriguing questions to engage the prospect
5. An incentive for responding promptly
6. An assurance or guarantee of satisfaction
7. A testimonial or endorcement
8. Some background on your experience & ties to the community
9. A call to action (urge them to call, visit your website, stop by your office, email an inquiry, etc.)
10. A P.S. used as a place to put a reminder, a special offer, or added incentive
1. A compelling headline
2. Attention-catching sub-headlines
3. Bulleting list of features and benefits
4. A few intriguing questions to engage the prospect
5. An incentive for responding promptly
6. An assurance or guarantee of satisfaction
7. A testimonial or endorcement
8. Some background on your experience & ties to the community
9. A call to action (urge them to call, visit your website, stop by your office, email an inquiry, etc.)
10. A P.S. used as a place to put a reminder, a special offer, or added incentive
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