Your real estate agents don’t want more leads, they want more listings. In today’s market, there has never been more options for a seller to sell their property today and the popularity for i buyers in the market place has created some competition for traditional real estate agents.
There’s nothing more frustrating for your real estate agents than losing a potential listing to an i buyer or alternative solution. However this is also a major opportunity too because with change comes paradigm shifts and that’s exactly what’s happening today. It’s those who capitalize on the paradigm shifts that always break through the clutter and right now there’s a large opportunity to do so.
Your agents or real estate brokerage will never compete against i buyers in terms of marketing or advertising. Companies like Zillow or Open Door are well funded and will out spend us every time, but where you can compete is through the relationship your agents have with the local community and their clients.
You can also beat them at their own game by embracing multiple options for all agents under your brokerage?
Don’t fight the change, embrace it, but more importantly sell it.
Virtually all of these i buyers or alternative home selling companies cooperate with real estate agents and they would be more than happy to take your agents deals too if you let them.
All you need to do is set up the system so it can be easily adapted by your real estate agents. By doing so this could be their updated listing strategy.
How many more listings could they attract and marketing activities created simply by just offering this?
What if you agents were help sellers flip their own homes or make the buy and sell process much easier? Better yet how many more agents could you attract to join your brokerage if this was your listing offering?
Let’s go through how each option works in more detail.
Fix & List Selling Option
How many times have you heard your agents complain about sellers wanting to sell their $400,000 property for $475,000? Now you have a way to help them get there.
If you want to find additional ways to attract more listings to your office, then having Fix and List program is a value add that attracts agents and listings.
Improvements could be as simple as a fresh coat of paint, putting in new appliances, or even changing out the floor in the living room to full kitchen or bathroom remodels. Most sellers just don’t have thousands of dollars laying around to invest in their house.
How It Works
A Fix & List service/investor supplies the contractors and the funds to pay them. All you have to do is learn how their process works and adapt it into your offering. The company is paid back at the closings so are monies are recouped, which provides a win win for all parties involved.
Some of the more savvy brokerages are even creating their own Fix & List programs or companies as it creates another profit center.
Seller Trade In/Up Program (Bridge Buyer)
Selling & buying a property in a tight inventory market or even in a pandemic is process that can be inconvenient for sellers. This is where a bridge I buyer solution fills the gap allowing sellers to sell and buy more conveniently. The Trade in/up program is best suited to allow clients you to separate the buying and the selling process so they can do one transaction at a time.
How It Works
Seller first needs to get underwritten for home loan from a bridge i buyer. Once approved, they will be funded with i buyer funds as a cash buyer so they can make a strong contingency free offer. When the new house is closed, seller moves into it, and then begins preparing the old house for sale.
Eventually, the old home will be sold and once it is, you can officially buy your new house and refinance out of the i buyer loan. The program gives sellers the ability to purchase your next house without having to sell your existing house first. it also caters to people who want to separate the buying and selling process and not be inconvenienced with a traditional sales process.
Instant Cash Offer
Everyone seller wants an instant cash offer today, but very few will actually take it. Sometimes highest and best price isn’t what the seller wants. When you agents have an instant cash offer they will; generate more people raising their hands.
How It Works
Many brokerages have small private investors or institutional investors like Open Door or Zillow they are working with. How many more listings will you attract if you were able to bring several cash offers within the first week?
Sell & Stay Program
The Sell & Stay program allows sellers to sell their home directly to an investor who will let them remain as a tenant. They can cash out on their home’s equity and have an option to repurchase the property in the future.
How It Works
Investor buyer would analyze home and prepare an offer to purchase. Seller would then know at what price the home would sell for as well as the lease terms if to stay as a tenant. If the seller agrees, then the parties move forward towards a closing.
Reverse Mortgage Options
Did you know that of 100 Americans surveyed over the age of 62 that 69% relied on friends, government assistance, or charity to pay their bills?
For agents who are working with an older clientele, knowing about how a reverse mortgage works can be advantageous for attracting more listings as it’s an underserved market.
How It Works
If someone owns a home that is their primary residence and is 62 years or older, the may qualify for a reverse mortgage.
Getting approved for a reverse mortgage is based on the equity that is in the home, not on how much their income or credit is. Many times this freed up equity allows sellers to buy a new house and then sell their old house as approval terms are geared towards the senior population.
Having a good referral source who specializes in reverse mortgage is important to have as a referral source for your agents.
Interruption is Here
Competing against I buyers and alternative home selling solutions only requires that you adapt the same options they are offering into your current strategy. Adapting and offering the solutions and working with the changes is how you embrace it.
If you’d like to learn more about adapting a multiple listing strategy option into your brokerage, visit the Listing Advocate. They can build the entire model for you and your office can implement it within 30 days.Read More ➔