Taking a New Listing - Portland OR

After months of marketing, preparing, schmoozing, wining and dining, and in some cases begging, you now have your FIRST LISTING APPOINTMENT. Oh, crap! Now what?!? What the hell was I thinking – I can’t do this – I’ve not had any training for this. Well I have, but what the hell and I doing? Where do I begin?

First Breathe. Then read this to calm your nerves http://www.edhat.com/site/tidbit.cfm?id=2581 or this one http://www.trulia.com/blog/paula_swayne/2010/01/a_day_in_the_life_of_a_realtor and have a little entertainment. Now that you’re done screwing around, let’s get to business.

Let’s get two file folders started for these clients. The first is for you and everything about them and their home and the other is for the client and everything you’re going to give them. First, let’s order a trio and a marketing packet from your favorite title company. If you don’t have someone in mind, talk to your marketing rep and others in your office about who is the not only the best escrow person (the person your clients are going to sign everything with at the end of the deal) but also who has the best services for when you need extra help (like on challenging short sales, title issues, marketing info on special type of properties, etc.). The trio will tell you if the people that you are talking to actually own the property they want you to sell. It will give you some basic information about the property that you can verify with the seller. The marketing packet (when available from your title company) will give you information about the neighborhood and other useful info to review – especially when you’re getting started. Some will even give you comps to help you get an idea of what’s out there.

You want to pull up the home on RMLS to verify if it’s currently on the market, if it has ever been on the market and how the marketing looked with prior agents, if any. You can pull up the listing history and the tax records. Of course it’s most helpful if it has previously been listed, but don’t worry if it hasn’t. It will give you the opportunity for a fresh prospective about the home. When you pull up the map, you can select demographics and area information (it will be better when the new demographics for 2010 come out, right now they’re quite old). You can also see where local area schools are.

Pull up COMPS. If you don’t know how to do this you better high tail it into RMLS for a class or two. They’re FREE, very helpful, offered often, and have I mentioned very helpful? You want to be sure you’re looking at SOLD homes in the last 3-6 months. Any older and they really won’t work as the market is currently on a downward trend. You also want to list ALL of the homes for sale in the area so your sellers can see how much inventory there is out there and what they can get in the price range of their home.

Then you want to see what’s out on the net about the neighborhood and the property. Check out www.zillow.com and www.cyberhomes.com just to see what they’re saying the property is worth. Don’t go by this because it’s often WRONG. But, this is likely what the sellers and/or future buyers are seeing. Be sure you google the property and neighborhood too. You can look at www.portlandmaps.com and www.maps.google.com go to “street views” so you can do a “drive-by” the property if you’ve not already been out that way. On PortlandMaps.com check out the permit history, zoning, and aerial maps. You may want to include some of this in your packet (especially if there are open permits that should be addressed before the listing, or if there are interesting things to see on the aerial).

There’s a pretty little CMA report you can pull through the RMLS, but I recommend you come up with your own packet to give your sellers. If you’re short on time you can get away with this, but you’re really missing out on an opportunity to market yourself and share with your prospective clients who you are and how you work.

Your SELLER BOOK – This can be as easy or as intense as you are. A simple format should include your bio / “Realtor” resume – something that talks about you and your career as a Realtor. Include your contact info, company info, etc (some like this on every page, others like it at the beginning and end). Your bio might be a challenge if this is your first listing appointment and you’ve sold nothing. But, you have some kind of history and you bring something to the table – even if it’s just your looks. If you can’t come up with something about yourself – something you know a whole lot about – how are you ever going to dream up something wonderful about the crappy little fixer you’re about to list? You need to sell yourself in this bio – how is it that you’re going to help your seller with what you already know? You’ll also want to have, not in any order, what a CMA is, how you help a seller determine the price, why it’s important to price it right from the start, something about how the listing process and sales process works (including what can go wrong and how you’ll help during those times), why use a Realtor (and specifically you), how you’re going to market their home (maybe even samples of a flyer, post card, website listing, what sites they’ll be on, etc), testimonials (this may come later), how you get paid, how the market works, what to do to get their home ready for sale, staging and “pre-packing” (aka decluttering) tips, what to do for an open house, and of course how to get ready for moving day – because when they list with you, they need to start packing soon. You can have a set “seller book” and then have the pricing info separate, or the pricing can be integrated with your book. You will have your own interests, style and flare to how this packet gets put together, but you should have something. You can add and subtract as you feel comfortable. If nothing else it will be something with your contact info on it so they know how to get a hold of you when they’re ready to list. It’s a good idea to put this entire document in a pdf so that if you’re working with an out of state seller, or if the seller is tech savvy you can email them the packet after you’ve met with them so they have it in their digital records. Some agents have this book on their website freely or accessed with a password. Even if you have it on your site, be sure you take it with you to the presentation – remember this is your marketing piece. If they want to save trees you can give them that options, but be sure you have something to leave behind with information about you, how to contact you and what value you’ve determined would be a good starting place for the sale of their home (remember it’s their decision what to sell for, you’re just telling them what’s out on the market right now that compares to their home).

To see the property first or not to see??? One question that comes up often is if there should be a “pre-appointment” viewing or not. How can you figure what the comps are if you’ve not seen the home yet? Well, this is where your experience comes in or not. Newer agents generally want to see the home first. I’m not saying this is a mistake, but you should be able to come up with something without seeing the home. You’ll know a lot just by the tax information, anything they’ve shared with you so far, and what you’ve found online. Go drive by their home and see homes in the area that are similar in size and era (the vacant ones are the easiest, but if you need to make appointments for the others). If there are photos from the last time it listed, even better. If you get to the home and it’s completely different than you expected, then you need to let them know that. On the other hand, some very experienced agents will not do a CMA unless they first see the home. If you can figure out a way to pull this off then, great. If they’re meeting with other agents and they don’t first need to see the home that can be good or bad for you depending on how you explained this to the seller.

Always assume they’re going to list with you right then and there. After seeing your pretty face and hearing what you have to say, why wouldn’t they? Have all of the paperwork ready to go. It’s made really simple with the RMLS and OREF forms (available with a link in RMLS). Again, if you don’t know what I’m talking about you better attend an RMLS class. In addition to the sales contract you need all kinds of other forms. What they are depends not only on the type of property, but also your office policies. Your office should be able to give you a sample package or at least tell you what forms you need. Often there is a checklist with all of the documents outlined. Most forms you’ll find on RMLS/OREF, but others you’ll need to get from your office site. You might want to set up some of your own – again depending on what your office has available. You should have a form that gathers all of the clients information, like names, their address (which may be different than the property address), kids & pets names, birth dates, and anything else you’re keeping track of in your database or want to know because it’s helpful to you. Also a form about what they owe and who they owe on the property – especially in these times you want to know if this will be a short sale (or is close to), and a form for the improvements they’ve done on the property since they purchased the home (with dates of when things were updated like the furnace, water heater, roof, etc), who the utility companies are, and what they love about their home – why did they buy it (special features, neighborhood, etc) as this will prove helpful when you’re marketing the home.

You may want to practice this presentation on a friend. If your best friend doesn’t own a house, go pick a vacant home that you can practice on. Or if there is a for sale by owner, practice on them (or at least with their home). Pull everything just as if you’re listing their home. If you can get mentoring from someone in your office before your own blessed event, all the better. Go on their presentation or have them come with you (depending on the client – best if it’s someone you already know or family). Do your first three listings with an experience agent. Give them 20-30% for their help. It will be worth it – especially if something hairy comes up (which something usually does).

When you’re in the actual meeting be calm and confident. This is the biggest asset they have and they’re going to entrust you with the sale of it. They have a lot riding on this. If they don’t know you they will likely interview other agents. How are you going to differentiate yourself from them? Better yet, how are you going to market their home that will get a buyer faster and at a higher price than your competition? One way new agents think give them the edge is to offer a cut-rate commission. If you can’t negotiate a standard or above standard commission, how are you going to negotiate the sale of their home? You’re going to work hard on this listing and sale, you should get paid well for the work you’re doing. And if you’re working with a mentor you’re really going to appreciate that you didn’t short change yourself. Other agents think that some listing is better than no listing, even if it’s not going to pay well, it will give you the experience you seek. This is a decision that you and your managing principal broker need to agree on (some brokerages have rules, so be sure you know what they are if any).

When you’re done, be sure you send a thank you card (not just and email, but a real thank you card). Be sure you let them know how much you loved their home (or at least what parts you liked about it if you didn’t like it) and how great it will be to work with them. Show your excitement for their home and the prospects of selling it. Remind them what is unique about you and why you’re the best choice. Put your best foot forward and if you don’t get the listing, don’t be shy about asking why they chose the other agent over you. You never know, they may end up not liking that agent at the end of the listing term and call you for the relist. If nothing else you’ll learn what to do differently the next time around.