To many home buyers, realtors are a commodity. You list the house, you get it sold, and everyone’s happy. Of course, you know you’re not a commodity: You have experience and expertise. But unfortunately, when a buyer or seller looks around, that’s all they see: Hundreds of experienced, expert, specialist realtors.
How do they tell them apart?
To speak frankly, too many realtors say the same things. Buyers can’t tell them apart, and they don’t know how to choose. Fortunately, there are still things that can be said that will set you apart from the crowd. In this blog post, we’ll give you some examples of three differentiating factors that still work.
One of our realtor partners used these powerful differentiation tactics in 2014 to generate $43,000 in commissions in just three weeks.
The fact that buyers can find so many properties listed online has led to a belief that these are the only properties to look at. Of course, this is untrue. You know that there are plenty of properties that change hands behind closed doors.
Some buyers will be surprised and delighted to learn they have other options. They’ll be even more delighted when they realize that such properties won’t be subject to the same intense competition as the rest of the market.
This is why having access to these properties can be such a strong differentiating factor. If you can offer buyers this advantage, they’ll be interested.
As with any offer you’re making, frame this in terms of the benefits to a buyer. For example:
1. Access to off-market properties gets you in before anyone else can drive up the price
2. You don’t need to worry about someone taking the property from under you
3. Get an exclusive property: These properties are high-enough quality for the sellers to be confident of not listing them on the market
Buying a foreclosure for cheap is attractive to buyers. Buyers know this, and keep this option in their mind when they start looking. The only problem is, when foreclosures come on the market, everyone knows about them. The competition drives up the price at auction. Buyers also know this, and often prefer to not get involved in the uncertainty of a bidding war.
As a realtor, you do hold the answer to this dilemma: Arranging access to foreclosures before the auction. Benefits you might promote when advertising this:
1. Save money by buying a foreclosure
2. Get certainty by having the capability to make a bid before the property becomes known to everyone
3. The legal issues have all been squared away, so you know it won’t all go wrong
Don’t forget the last point, either. With any new avenue for house buying, smart buyers will be asking “What’s the catch?” Some reassurance will be needed.
Short sales are a way for buyers to get a bargain: Find a distressed property, and get the seller out of their financial problems before the foreclosure. Everyone wins.
Unfortunately, as we know, short sales come with their own limitations. The major one being time. Short sales can take forever to be approved by the lender: Time which a buyer may not have. As such, many buyers write short sales off entirely, preferring the certainty of the regular market.
However, you can have an answer: The approved short sale list, full of short sale properties at lender-approved prices. Providing access to this list is one of the ways in which you can stand apart from other realtors in your area.
When making this offer, these benefits are relevant:
1. Get the bargains of short sales, without the red tape
2. Meet sellers enthusiastic to close quickly, short sales are always a buyers’ market
3. Not all realtors have access to this list, so you’ll have reduced competition from other buyers
The best way to understand differentiation is that it should produce a meaningful difference in the actual outcomes experienced by a client. Will extra experience produce a meaningful difference? Maybe, but experience on its own is unlikely to produce an outcome that a buyer would be unable to find somewhere else.
On the other handed, giving access to off-market properties, and explaining clearly how the buyer will benefit from this access, will: Lower purchasing prices and the stress of less competition. These benefits are what will make you stand out.
As we mentioned, this blog post is a companion to our up-coming white paper, Your Blueprint for Realtor Marketing that made $43,000 in Three Weeks. That paper will explain how to create effective advertising around these concepts. Be sure to check back when it’s posted.