Category: Open Houses
Today we have a very very special guest: Amanda Yates! We’re going to talk about what it’s like to be a new agent.
Amanda is doing so well, she has 8 sales down now, in less than a year; which is an amazing job! Though Amanda was recommended to get into real estate before, it was only when she and her husband bought their first home and saw what a killer job their agent did, that she decided to take the big jump. She wanted to help people with real estate.
She worked 9-5 in a bank as an accountant before. She felt drained and wanted a change!
There are 4 personalities in real estate: expressive, driver, amiable, and analytical. What’s nice about real estate is that there is a type for everyone.
How were the first few months like? She first thought it was going to be a service job and hadn’t realized how many practicalities she would have to deal with everyday and how many people are actually involved with it.
Did she ever have second thoughts about being into real estate? The first few months were very exciting, though felt very ‘ADD’; You are trying to take it all in but it’s not until you get to practice all the theory you’ve been absorbing that things start to make sense. And she had her first transaction within 30 days!
What emotional challenges were caused from these second thoughts? They talk about the ‘real estate roller coaster’. It’s super exciting to close the first deal but, unless you treat it like a business, you’re going to go up and down the first couple months.
Was there ever a ‘ah-ha’ moment, when things ‘clicked’? Yes! They recently went to club wealth and she got to network with a ton of successful people; Seeing how people talked about Mike with so much respect, hearing it from other people too, was such an eye opener! Also sitting down with people that are like-minded and really getting to talk to them and realizing how well Mike’s training had prepared her was an important moment for her; She realized she had to treat real estate like a business. For example, when she now walks into a room, she’s picking up personalities!
Now that she has her feet really wet, based on her personality style, if she had to pick three things that she will be doing for the next year, what will it be? Because of her bubbly personality, she loves open houses. She also loves door knocking and will be picking up farming.
Does she wish she had done more/less training or was it just right to see the world of real estate, fast in 8 months?
She looks back and doesn’t regret the training. She has to remind herself to go back and re-absorb some of what she learned in the past.
How does she feel about the online leads? She has closed around 4-5 deals through online leads. So her call reluctance is down and she has come to realize that, as long as she keeps the mindset that she is here to help, so business will come!
If Mike gave her a time machine and brought her back 10 months: What does she think she would have done differently? She would have been to the office with more consistency.
Going from a full time job and a steady paycheck to fully commision based is terrifying! What made her jump the lead? She had an awesome broker that told her she could do it and the support of her husband!
Family. She’s been with her husband for 8 years. Her lifestyle and ever her own self has changed so much ever since she entered the business. Especially in the first months, it doesn’t take much for a relationship to get on the fence. The words: “maybe you should get a real job” can come up very fast. So you have to be strong when you get into real estate and keep a health balance between your personal and business life. And know your relationship and your partner. Real estate agents have the biggest divorce rate from each industry!
Some relationship advice? Remember to be fully ‘there’ and give your attention to your partner, when you decide to spend time together; Put your phone away and focus on what they say! You also have to learn to keep the stress of the day at the office. Use your team to keep you in your lane and when you are home, be home!
Mike recommends to only share success with spouses. Cry in the shower only. And then your spouse will be more supportive.
How’s her scheduling improved over time? In the corporate world, schedules are planned out to the minute while, in real estate, there is no schedule! Mike’s perfect daily schedule has helped Amanda discipline herself, though she is not going to micromanage herself neither.
Another skillset she has developed is the one of cultivating relationships and network; Wherever she goes, she takes the time to positively connect with the people around her and culture a connection with them. Talking to people 25/ day is simple, even if you’re typing back and forth through social media, this is still a contact you’re talking to!
Being on a team. Amanda was first reluctant to join a team, and was even first thinking of joining someone else’s team. Eventually, Mike convinced her to join his. Amanda’s advice is, if you think of joining a team, have upfront, in writing, how much your splits are going to be, so that you don’t get blindsided later on, once you get your check. However, understanding how much work and people are involved to make each transaction happen, the access that a team gives, and how much more business comes through, made Amanda realize what an amazing asset a team can be to further her career.
If you think you can spend thousands and thousands of dollars, a month, on overhead, that’s fine, but here’s what you have to ask yourself: I can go buy Mike’s market plan and what he wants to spend money on or I can do what I want to spend money on. And this is where the decision making is coming on.
So Amanda is now part of a team; What are some of the real feelings she’s gone through? She has learned to pay attention to the general energy and attitude of people when she says she is part of Mike Bjorkman’s team. How do the people of the community feel about it? What’s their body language and personality? If the personalities don’t match, it’s not going to work out. Accountability is also another huge element to look for and develop with your team members.
Would she rather join someone’s team because they will produce tons of leads, or would she rather be with someone who can teach her? It’s hard for her to say because she gets both from Mike’s team! Training is however huge as well as networking. If people don’t know your name, they’re not going to take your offer.
Final thoughts? The first year is going to be overwhelming and you’ll have to learn the business as quickly as possible or have a support team to help you. Having support is really big. Amanda is also a strong believer of Mike’s ‘law of attraction’; This whole year she had this mentality of trying to break even, which was a very low goal. She has now re-evaluated her goals and has even written them all over the place to visualize them! Her goal now is 40 transactions. It’s making sure that you are a well rounded individual.
Amanda can be reached at: email@example.com (805) 794-8328
Jesse Zagorsky co-owns Z Team Real Estate, a licensed California Real Estate Broker. He has been active in San Diego Real Estate for 10+ years, and has sold over 500 homes.
With a background in Marketing, Jesse loves creating a total marketing experience for each of ZTeam’s listings.
Jesse’s passion for Real Estate includes helping his clients find the perfect home, helping investors analyze possible returns, and Sellers maximize their sales price through tested techniques.
Back in 2010-2011, Mike and Jesse decided to conquer the REO world together; and they succeeded!
Today, Mike wants to give you 5 actionable items.
The biggest trend in retail real estate is purchasing online leads. And everybody is doing it. Jesse and Mike have made a commitment to come up with different systems, processes and procedures to get their team really dialed in. And they’ve succeeded! Jesse, with his great analytical mind, has become a master!
A lead is coming in, what do you do? Leads are the same, but different: All leads and potential clients are the same. All that changes is your intro and your call to action at the end. If you get a brand new lead, your call is to set an appointment. It’s obvious but not everyone realizes it!
So, actionable item 1: Book a face to face appointment (or at least, a video appointment).
How fast do we answer the call/call them back? These days you have to be way faster than the ‘within 5 minutes’ Harvard was claiming some time ago!
The difference between every lead type is that every lead has a little different call to action that is inspiring the potential buyer to click it and request info. Realtor.com leads are a lot further down the ‘buyer life cycle’ so if someone clicks the button, they are pretty much ready to see a house, or almost write an offer! Commissions Inc’s leads, which is mainly a paper click, are a little earlier on on the ‘buyer life cycle’. Realtor.com right now gives me a higher ROI than Commissions Inc leads. However, down the road, the longer you have a synced database and if you work it the right way, you will end up having a higher ROI.
Actionable item 2: Call within 30 second or answer your phone.
Try to decide what types of leads you want to buy or want to be involved in. Remember: The leads don’t suck; You suck! Every lead is a good lead.
Actionable item 3: Every single objection you will ever get falls into one of these two categories. There are only 2 reasons someone will not do business with you:
- They feel threatened
- They don’t see the value.
Actionable item 4: I am a creative, solution oriented, problem solving machine (affirmation for sales). Jesse used to write this out as much as 100 times/ day!
Actionable item 5: Successful people take notes and then put them into play.
Your goal is to truly listen to your client and come up with solutions to their problem. If you push your agenda instead, they will feel threatened, even if you do it in a very subtle way.
And if I can’t illustrate enough value on your end to charge whatever commission you want to charge, you might be better off selling with someone for 1$.
Actionable item 6: Internalize scripts. Remember that once you learn the script, you must get out of the script as soon as you can; It’s like jazz!
*Text the word ‘Buyer’ to the 858-780-5550 to get the script!* (actionable item!)
A lot of agents make the mistake to talk for hours about their potential clients’ kids and waste so much time that way!
*Text the word ‘Buyer’ to the 858-780-5550 to get the script!*
Many teammagents now find it easier to text and email instead of calling; How does Jesse feel about that? Well, do I want easy? Or do I want money?/ Want to help people?
Pick up the phone! Call them first (double dial) when a lead first comes in as you don’t know their preference yet. Then send a text; Whatever your intro of the script is, that is the same text you sent. And then send a video text! (actionable item)
Last words Jesse would like our audience to remember? Accountability.
None of what we talked about so far matters; if you are a team leader, figure out a way to hold your team accountable. If you are a team agent, find a way to be accountable. If you want to make money and help people, you need to be held accountable. (actionable item!)
Livelovesantiegoaccountability: link to access the accountability form Jesse discusses!
Many agents today are flat-lining and are only getting houses through open houses; Yet, Mike has so many other ways to succeed!
So where the heck do we find buyers?!
1) Sign Calls Are The Best
- Always look for seller leads first
- Always be asking who wants to sell
- Team lead will love you
- Make sure they come to you if your listing
- The key to sign calls is CONVERSION
- In order to win you must PRACTICE
- Must be super CONFIDENT
- Another secret, though everyone rolls their eyes at me, PREVIEW!
- With technology today the buyer knows THE INVENTORY better than us!
This can’t be. So if you know your marketplace all day everyday and you’re looking at homes, you know the inventory better than them, which is unusual in today’s market, it’s a perfect opportunity for success! That way, you show them that you have more knowledge over the competition and then can slow them down (mirror and match them) to take the time to look for the best and right match for them!
- Sign calls have to be returned within seconds or minutes before they call another agent, BAD.
2) Open Houses Are For Reals! You want to do open houses the right way, so listen to our podcast!
- They never run out and you don’t need listings
- Do weekdays too
- 10 am – 6 pm are the best hours
- You can still get a full day of work in
- Make sure you are the area EXPERT
- They start 7 FULL DAYS BEFORE
- Make sure they are BLASTED everywhere in print and online
- Use 40 more BRANDED SIGNS
- Don’t worry about buyers with agents THEY REALLY DON’T HAVE ONE offer REO and default
- Must see full blog post and TRELLO CARD from Club Wealth and listen to my podcast at REALESTATEMARKETINGSHOW.COM
3) I Promise Your Mailers Work
- Good old fashioned mail to tenants is still alive if done right
- Call to action key
- Free Credit clean up!
- Zero down programs (believe it or not, you can buy a house without a penny in your pocket!)
- “Congratulations, you just bought your landlord this yacht!”
- Like anything else be CONSISTENT
- Have your lender CO-MARKET
- Offer examples of GOOD DEALS
- Show ‘Rent vs Own’ COMPARISON
- All the stuff should say FREE WITH NO OBLIGATION for tenants
- Mix up the format, sometimes LETTERS work as good as POSTCARDS when you are talking about taxes and qualifying.
4) Social Media Is King!
- This is the cheapest and easiest way
- Know, Like, Trust
Share your love for life, Share your love for others, Share your listings and good deals
- Never be NEGATIVE
- Look for great FIXER UPERS; and I learned that the hard way!
- Try hard to mix in LUXURY also
- Talk about how EASY THE PROCESS IS
- Share videos and pics of SUCCESS
- This goes for all platforms of social media. Be strategic and remember no POLITICS and especially no RELIGION as they follow life.
5) Hold Seminars Often
- You are a professional with information buyers want
- Every quarter
Public places or hotels best. I like to do them at the library. Get vendors to pay
- Lenders and CPA’s are the MAIN SPEAKERS
- Do awesome giveaways and promote as a team
- Have lists of REO AND NOD
- Always have FOOD AND DRINKS
- Know the MILLS and NEW CONSTRUCTION look for creative or seller financing
- Allow VENDORS to speak for no more than five minutes and make sure that they’re available to speak AFTER the seminar. If not LENDOR OR CPA have them give you all their swag
6) Webinars Are Here to Stay
- Some folks won’t come in person
- It’s anonymous
- Can do from home or office
- Can be launched and watched, and pre-recorded
- Same format as SEMINAR
- Very good way to get their EMAILS AND NUMBERS
- Have free DOWNLOADS pre-loaded (leading to a ‘Call to Action’)
- Be ready when they have questions and have VENDORS ONLINE TOO
- After the event upload it to Facebook and boost off your BUSINESS PAGE
- Upload it to YOUTUBE and do a Google ad word CAMPAIGN to get more reach. Put it on your website too.
7) Move Up Buyers Are Awesome – because they have to sell first!
- Farm smaller homes and condos for sellers
- Many are selling and then buying
- Easy and fast to sell
- Team Leader will love you again
- Advertise about move ups and CONTINGENT SELLERS
- Work with Cole Realty when calling to find NAMES AND
- Teach them about RENTAL PORTFOLIOS
8) Sphere Of Influence Is Easy; this can just be people in your life!
- These people are around daily so get referrals
- Don’t be cheesy asking like a used car guy
- Share success with them
- Tell them about deals you find
- Ask business owners if you can have a REFERRAL PROGRAM
- Get them to help with marketing. Make it a WIN WIN
- Prove you are trying, TELL THEM when you send them a client
- Use everything like KIDS SPORTS, CHURCH, CLUBS; They’re part of something!
- The more you pay attention, the more it becomes a SECOND NATURE. It will surprise you.
9) Property Management Companies
- Build relationships with the managers and get buyers!
- They have tenants that are buying
- They know when leases are up
- They talk to tenants more than you think
- They have a license so they can legally get REFERRALS
- Offer to do their OPEN HOUSES
- Tell them you will pay them on CONVERSIONS
- Don’t forget they have SELLERS TOO!
- Add them to a good route. They LOVE FOOD, just like Realtors!
10) Community Out Reach – shaking hands is the most powerful tool!
- Get out from behind the desk- Go big or go home!
- City functions, Charity, Events, Boards etc.
- People who can afford to BUY AND SELL
- They respect you, not FEAR YOU
- True RELATIONSHIPS are built
- Much more fun and you will find SELLERS TOO
- Make sure to engage all of them on SOCIAL MEDIA and add them to client appreciation program; these two go hand in hand!
- Add a certain amount of time to your PERFECT DAILY SCHEDULE at least twice a week – be strategic!
“Mike, how in the world do I get my offers accepted?” Buyers are getting heartbroken because their agents can’t get them houses!
Writing The Offer, Negotiation, and Setting Buyer Expectations
If you’re going to work so hard showing homes, you might as well get it to the closing table.
Writing A Strong Offer
• Ask the listing agent what they want
• You should double app with the listing agents lender
• Fax machines screwed up our market! This turned into emails and so forth! Hand deliver and try to shake hands with listing agent, it just gives this warm fuzzy feeling and gives you a chance to get to know them a little bit. It’s important sometimes to use old school family values in our business.
• Give a small but yet somewhat valuable gift (‘guilt presents’) to listing agent with offer (wine openers for example are great!)
• Send a package that’s meaningful and fun
• Your letter about the buyers should include a FAMILY PICTURE – Nothing more powerful! This shows that you are a serious buyer to the listing agent! If the person has no emotional attachment to your home, how hard do you think they’re going to fight, to close this escrow?
• A second letter should be from a BUYER
• Point out what buyers love about the HOME or YARD
• Let the agent know the buyers have had the chat about not ASKING FOR NONESENSE REPAIRS.
• Buyers are willing to BE FLEXIBLE AND SENSITIVE to all sellers needs; this is always a breath of fresh air and makes your statement so much stronger, minimizing contingencies!
The Details Matter Most
• So, minimize contingencies
• None is best
• Pre approval subject to appraisal and clear title only
• Earnest money should always be 5% OR MORE
I like to think that deposits do matter; it’s another step on your ladder that proves that you do have the money and you mean business and, at some point, you could be risking that deposit. So the higher the deposit, the more it will mean to me, and the more it will mean to that seller.
• Make the deposit NON REFUNDABLE
• Write an as-is clause in the offer or some call it PASS OR FAIL within 48hours
• Write an ESCALATION CLAUSE; what we write is ‘Buyer has the right to pay $1000 over the highest offer, not to exceed ___’. You got to protect your buyers with that, so that they don’t find themselves in situations where they can’t afford the house anymore.
• Include a COPY OF BUYERS CREDIT REPORT; when I am a listing agent, I always want to see that! Obviously get buyer permission
• Always provide PROOF OF LIQUID FUNDS; this is a big one for me as a listing agent!
• Write in a DELAYED CLOSING PENALTY Try $50-$100 per day; If you really love that house, this is just another piece of that ladder to get to the top!
Costs Paid By Buyer
• Have buyer pay selling agents COMMISION; there is nothing wrong with the buyer paying the commission!
• Buyer to pay sellers CLOSING COSTS
• Listing agent bonus PAID BY BUYER; it doesn’t really matter how it’s done. Check with MLS and State laws however.
How To Write Full Price Or Above
• Set up expectations at the initial BUYER CONSULTATION
• Price you offer like you were LISTING IT FOR SALE
• Go over all 90 DAYS COMPS
• Prep buyer for MULTIPLE OFFERS
• Remind the buyer that just because today there is only one, tomorrow could HAVE MULTIPLES. There could be another family writing as you speak.
• Agents might not always TELL THE TRUTH! Agents want to double end homes and male YOUR COMMISSION; they need to understand that.
• This is one of my favorite lines: Remind the buyers that a couple grand to save their dream home is pennies over the life of a tax deductible interest rate. If you only went out to dinner one time less, it will only make up for the difference!