Homebuyer Qualifying Questions that Work

These are a list of questions you will need to ask every prospect that wants to buy. This list is not inclusive, so feel free to add or take away.

Homebuyer Qualifying Questions

1. What type of property are you looking for?
2. What areas are you looking in?
3. Ask personal questions? Kids, dog, do you work locally.
4. What are your must haves?
5. What is your wish list?
6. What price range will you be looking in?
7. What is your time frame?
8. How long have you been looking?
9. What’s been holding you back?
10. Where do you live now?
11. Are you renting? When is your lease up?
12. Do you own? Are you selling? Do you need to sell to buy?
13. Have you listed it yet? Don’t try to get the listing yet. Work the buy half first get them comfortable with you, before you go there.
14. Have you been pre-approved?
15. Do you have a copy of your letter?
16. Could you bring it with you for my files or fax me a copy, because a lot of seller require buyers be pre-approved before setting up showings.
17. Have you been working with another agent?
18. Is there anyone else that needs to view the property?
19. Are you a first time buyer?
20. Do you fully understand the buying process?
21. Is there anything that would keep you from writing an offer if we found the right property?

Open House Language that Works

Open House Language

Agent: Welcome to our open house. My name is Robert Schantz what’s yours?

Prospect: My name is Bill.

Agent: Nice to meet you Bill. Could you take a moment to sign in our guest book. At the Seller’s request all visitors must sign in before viewing the home.

Prospect: Okay Sure.

Agent: (as prospect is finishing up signing in the register). Bill I would just like to point out a couple of important things about the home before you go on your tour. (Remember to keep smiling)

-There is a finished attic up the stairs in the back so you don’t want to miss that.

-The laundry is in a closet in the hallway so feel free to open the doors to see that

And

-The backyard has a dog run built on the side of the home so please take note of that.

I will be available to you if you have any questions while your viewing the home and afterwards as well. I would also like to get your opinion on the home when you have finished viewing it.

Also, please stop by the kitchen and grab an ice cold water if you’d like.

Prospect: Thanks. I appreciate that.

(Agent now follows the prospect to the back of the home but hangs back a little so Agent is not hovering)

Prospect(while walking through the home) makes comments. Agent turns those comments into questions. For instance comment is made and Agent responsds : Yes, I see that and is having a XX important to you? Why? Or That’s true and would having a smaller xx be better for you? Why? Or Yes I see that and what about a large xx is unattractive to you? Or that’s true and what is the challenge in that feature for you?

At the end of the preview Agent asks the client for the feedback by saying, “ I’m glad you’ve had a chance to view the home and I know a couple of the homes features were interesting or not so interesting to you. Can you tell me what you feel are the homes biggest disadvantages?”

Turn these disadvantages into a discussion with the prospect that will help you find his/her true needs in a home and then discuss the inventory that you might think would be a match for this client. It will make you as an agent sound like a neighborhood pro. Once you’ve peaked the propect’s interest, offer to send them some additional information related to these items and get them to fill in more information on the sign in sheet. As they are doing this, ask them if they would like to set up an appt. to discuss their needs even further or if they would like to see a few properties with you.

Happy Production

What is your BIG WHY

My Broker Leona Kline, who I draw upon great strength and conviction, shared with me the below article from a Bradley Thomas Newsletter. You've heard me talk before about a Big Why so I thought it would be great to share it with you. If nothing else, I hope you remember to always focus on your BIG WHY. In other words, WHY it is that you are in this business of Real Estate. By doing so, it makes it so much easier when you pick up that phone to cold call, knock on doors or all the other lead generation activities that you do or should do on a daily basis.

THE REAL CAUSE OF MOST FAILURES

"Nothing leads to futility and failure like the lack of a chief, strong aim,goal or purpose in life. In my classes, clinic and correspondence course, Ihave analyzed more than 2000 people. Eighty-seven percent were accomplishingless than their highest potential because they had no goal or vision to drawand drive them forward.

You'll never even know what your real power and possibilities are until youfeel that irresistible pull from an overmastering purpose from within,drawing you forward. That vision or goal, that purpose or feeling will actlike a magnet, pulling you from in front, instead of requiring a push frombehind. Your powerful subconscious mind will take over and replace the crudewill power and DRIVE AND DRAW you forward.

This dominant goal will relieve you of the source of petty annoyances,fears, hates, peeves, excuses, inhibitions, and complexes that lick littlemen. Whenever an obstacle crops up, you'll automatically think, "How smallthis petty piffle will look five years from today."

Your vision will carry you over obstacles like a jet bomber. It will freeyou from the paralyzing complexes and the picayune peeves that flattenfloundering floaters.

You'll automatically think with Sir Thomas Buxton, "The longer I live, the stronger becomes my conviction that the truestdifference between the success and the failure, between the strong and theweak, between the big and the small man, that separates the boys from themen, is nothing but a powerful aim in life, a purpose once fixed and thendeath or victory. And no perfect speech or manners, no culture or education,no pull or influence, can make a two-legged creature a man without it."

Happy Production and all my best as you focus on your BIG WHY.

Good advice for Clients that want to sell Short on their homes

Have you come across seller's who will probably be short on a property if the were to sell but can maintain the property if they rent it out even though they might have a negative cash flow?? Now you aren't a financial advisor, but you can make a recommendation to them. Be very clear that they should seek the advice of a financial consultant.

First, see if they got into this property with zero money down or even got one of those exotic loans where they also financed their closing costs and even took money out. If so, these people are what we classify as investors. Have a frank conversation with them that as an investor, they rolled the dice and gambled and now they are the ones getting stung. And that's the way the ball bounces in the investment world.

Then, let them know that their time has come to pay the down payment. So if they don't want to damage their credit and go short, they can just continue to make up the deficit each month until it cash flows or can sell to cover the loan. It's that simple. Time to pay the piper as they say. Good thing is they rent it out they can deduct every expense on the property and depreciate it as investment property.

This was a big AHA for me when I heard this as it makes sense. You can't invest all the time and come out ahead. But, you can invest and learn a lesson the hard way. The trick is, learn from that lesson and don't repeat it.

Happy Production.

How to make phone calls without freezing up

Our wonderful MAPS leader, Diana Kokoszka, posted this on the MAPS email and I wanted to share it with you because I know how hard it is as an agent to pick up that phone and make calls. When you do, just remember the following and it will make it a whole lot easier. You will also need to focus on your big WHY.

Diana, I want to make calls; I just freeze every time I go to pick up the phone. What do you suggest I do?

Dianna: First, I want you to remember that “Life begins outside your comfort zone.” It seems like anything we want in life we must stretch to grow. When you go to the gym you lift weights to help your muscles grow, you workout to help your heart grow strong. It is the same in real estate, you must push to grow. Now, how do you do that? Remember, “The truth will set you free but first it will upset you.”

1. Think of all of the possibilities that you create by picking up the phone. Is your mindset one of contribution thinking, “how many people can I help today,” or do you think, “oh my they are going to reject me,” or, “I will be interrupting them”? The first response is contribution the other responses are ego based and therefore the call is about you. I have found that when you come from contribution, you help people and when you come from ego, you repel people. So the fact remains: Come from contribution and call to see if you can help, or come from ego and make the call about you. If you would feel badly because someone lost thousands of dollars because they worked with a terrible agent then you are someone who would pick up the phone to make certain that person would know about you and how you can help them. If you don’t care then you will be the one who will never pick up the phone.

2. Ability: Do you have the ability to make the call? Do you know what to say? If not, get into coaching, The Language of Sales or practice your Scripts and Dialogues

3. Worthy: Do you feel you deserve to make a lot of money? Do you think your family deserves for you to make a lot of money? If you don’t find you feel worthy then say affirmations daily and get your thinking in the right direction. Maybe you need a check up from the neck up. Think Big! Think Possibilities and then pick up the phone because you deserve the money you will get from the service you render.

Good luck and Happy Production

Script to help with FSBO's.

I've said it before, and I'll say it again. Besides FSBO standing for For Sale By Owner, I also call it Fastest Source of Busines Opportunity.

Here is a little script you can use when calling them.

FSBO Questions

Mr. FSBO how many calls did you receive last week?

How many were real estate agents?

Do the math and then say

So you had ___ potential clients call. Out of ___ how many came to see your home?

(regardless of what they say)
Are you aware of the 4 types of buyers?

(some of this taken from Jerry Bresser)

The first are serious and in a hurry, they may be relocating where they only have 3 days to find a home. Others may have sold their house last night and have to find a new home in the next few days.

The second kind are serious yet not in a hurry, they may be a first time buyers proceeding cautiously. Or they may be someone looking for that perfect home either way they want a Realtor to help them.

The third kind sometimes work with Realtors yet they do love FSBO's. They are investors and want to buy a home for 10 cents on the dollar. Have you had anyone call to see if you would take less for the home?

The fourth kind can't qualify to buy a home but they love to look at homes. Realtors won't work with them so they love to look at FSBO's. Do you see if Realtors have the serious in a hurry and the serious not in a hurry what kind of buyers are left?

If I could show you a way to make more money by having me sell your home are you interested?

Good luck with this and Happy Production.

Great Scripts for Creating Urgency to Buy

Scripts for Creating Urgency to Buy

Buyer’s market = Right time to buy

Today’s biggest challenge is on the buy side of the business. There are some key things we hear frequently:

1. The media has created misconceptions about buying homes.
2. Buyers fear paying too much
3. Many buyers don’t have any sense of urgency to buy.

However, the most challenging aspect of making it in real estate today may not be the buyer’s mindset. It might be your mindset. Many agents think this is not a good time to buy.

Truth is though; many people are buying and selling homes in this market.

The solution: Visualize how you can succeed with buyers.

1. Be an expert on your real estate market and the economy.
2. LISTEN to your buyers.
3. Find houses that are priced correctly and in good condition.
4. Show buyers houses that match their needs and wants.
5. Assuage fears about buying.
6. Find solid financial institutions offering good, reliable mortgage programs.

This is a time to provide leadership for your buyers so they feel comfortable and are willing to make a purchase. As Dwight Eisenhower, former US President said, “Leadership is the art of getting someone else to do something that you want done because he wants to do it.”

This is a BUYERS’ MARKET. By definition, it is a great time to buy!!!

SCRIPT:

Mr/Mrs. Buyer, in this market, every house that’s a good buy is in the lower part of the chart. Those homes are IN the market. Buying today would be a great idea. The problem is that if you don’t buy one of those, they’re all going to be gone, because they’re selling. Some are getting multiple offers. And if you aren’t IN the market, then you’re going to miss the market. So you have to be looking and ready to act. When a house fits your criteria, and it’s a best buy, that’s when you buy. You don’t wait for the price to come down because the only ones that are going to come down are the ones that are overpriced. The ones that are currently priced right aren’t going down any further. They’re being bought.

Tip!

To get buyers to buy, show them houses IN the market and explain to them that houses IN the market sell fast. The best homes sell fast in any market.


Buyer Fear:

Interest Rates will drop.

Script:

Interest rates may drop and they may also increase. We just don’t know where they will go. Comparing current rates to the past thirty-five years, what is available now is good, and history shows that rates have rarely been better. When rates have been lower, it’s not been by much. What we do know is that rates are about the best they’ve been in thirty-five years.

Buyer Fear:

Home prices will drop further.

Script:

The media tells us home prices will continue to drop. The media looks for dramatic stories because that is what sells news. Newscasters can’t predict the future. They can only report on what has happened. Eventually home prices will increase. They always do over time. No one can predict when prices will hit bottom. We only know prices hit bottom after they start to rise again, and it is too late to buy at the lowest point. We also know many homes are selling for less than comparable properties sold for in the recent past. Combined with sellers who are willing to make concessions and low interest rates, it is a great time to buy.
Properties that are priced right sell quickly. It is only overpriced homes that drop in cost.

OR:

If we’re at the low or near the low point of this shift in the market, and you’re buying a house to live in and stay in for a multiple number of years, then five years from now, you’re not going to be sitting around saying, “I should have waited another month to buy the house because I could have gotten a slightly better price.” You’re just going to be glad you bought in this general time frame because your home’s value will have gone up.”

OR:

“Do you want to risk missing a house that is perfect for you because you’re waiting for a sliver of savings that may or may not be there?”


Buyer Fear:

Something better may come on the market.

Script:

Inventory is high. Buyers have many more choices than they had in the recent past. In this market, like any other market, the best houses (priced right and in the best condition) sell fast. Skilled buyer agents find the best buys for their customers. Buyers who wait will get to select from the leftovers.


Create a BEST-BUY list. The homes that are IN the market and have no problem selling.
Once a buyer becomes your customer (a person who has signed a buyer representation agreement), prepare the customer to act fast when you show best buys.

SCRIPT:

“Mr. /Mrs. Buyer, not every home on the market is a good buy. But there is a set of homes that really are, based on their price, their condition, and the motivation of the seller. And those homes are the ones that are selling. I’ll take you to see those homes and you have to be ready to act. When a house fits your criteria and it’s a best buy, that’s when you buy. You can’t expect the price to come down in the future because only the overpriced homes will come down. The ones that are currently priced right are being bought.”
When you find out about a great buy, contact your customers right away and have them see the property as soon as possible. Let them know how quickly the best houses go under contract.

SCRIPT:

“Hi Mr. /Mrs. Buyer, this is YOUR NAME. I’m sorry to interrupt you at work, I know you’re busy, but here’s the thing. A home that fits your criteria just hit our best-buy list. This is probably THE ONE. Our experience tells us it could be gone within a day. We can’t get out there fast enough and I don’t want to delay. Can you and spouses’ name take a long lunch to see the property?”

“You should bring your checkbook and I’ll bring the paperwork. Be ready to act. It would be hard to find anything that is better than this. If we miss this opportunity, I’ll feel like I let you down.”


Buyer Consultation

Ask about Their Needs and Wants

The majority of time in a buyer consultation is devoted to asking about lifestyle and what the buyers need and want in a house. Don’t stop at the first level of questioning, such as “How may bedrooms? Go deeper with questions to get at their real needs, values and motivation.

Questions to dig deeper

Script:

“What exactly do you mean by _________________? (e.g., large kitchen)”
“What does having ___________________________ do for you?”
“What does that look like to you?”
“Can you explain that in more detail?”
“How does that make you feel?”
“Why do you suppose that is?”

Ask about Their Motivation and Urgency

People buy homes for a reason. You should ask about their motivation because it’s an indication of their urgency.

The most common reasons people buy homes are:

Ø Relocation – buyers must move due to work or other changes in their lives
Ø Dissatisfaction – the neighborhood has changed for the worse, they are living with other family members, or they are too far from school or work
Ø Positive Live Changes – marriage, the arrival of a baby, promotion, inheritance
Ø Negative Live Changes – death, disease, divorce, loss of income
Ø Second Home – for retirement or vacation
Ø Previous Home Sold
Ø Lease Ending
Ø Investment

SCRIPT:

“Mr. /Mrs. Buyer, out of curiosity, do you mind my asking, what’s prompting your move?”

“What does the next home need to accomplish for you?”

“When do you need to be in your new home?”

“On a scale from 1-10, with 10 meaning you must buy a home as quickly as possible and 1 meaning you’re not sure you’ll really buy anything, how would you rate yourself?”

“What would it take to for you to become a 10?”

Listen to What They Tell You

If you spend a lot of time with a relationship up front, you won’t have to invest so much time later.


Buyers Who Want a Deal

In a buyers’ market, many buyers are looking for a “deal.” What constitutes a deal may vary from one buyer to the next. In that case, figure out what they are willing to give up.


Agent: Do you want a home for you and your family or do you want a deal? You can’t have both.

Buyer: We want a deal more than anything else.

Agent: Tell me, what is a deal to you?

Buyer: Getting below market price.

Agent: How far below ---10 percent, 20 percent, 30 percent?

Buyer: Twenty Percent

Agent: Okay, 20 percent below market price. That’s reasonable. I can find it for you. Do you want to do some work?

Buyer: Yeah, we’ll do some work.

Agent: Okay, great! How much work? Are you willing to paint and change carpet or do you want to knock down walls?

Buyer: We don’t want to knock down walls.

Agent: You don’t want to knock down walls. Okay. I think we can probably find something around 20 percent below market that needs paint and cosmetic work.

Your knowledge of the market and list of BEST-BUYS will help you find the best opportunities for your buyers.