PROSPECTING CHAPTER 4

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PROSPECTINGCHAPTER 4
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LAPTOP
I CAN DO PRESENTATIONS, MATH, FORMS . . .
EVERYTHING. TAKE ME WITH YOU TO EVERY
LISTING PRESENTATION
I KNOW EVERTHING
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Prospecting is the process of locating owners who
are interested in selling property and
prospective buyers who are interested in
purchasing property.
Who are the top producing agents, listing or
selling Agents?
Usually listing agents. Remember, listing is the
Realtors invention or product.
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PROPER ATTITUDE Prospecting is the process of
locating owners who are interested in selling
property and prospective buyers who are
interested in purchasing property.
Do you consider prospecting a major challenge?
Do you recognize the urgency to maintain a
constant supply of new properties and buyers?
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Do you have a wellorganized system to use for
prospecting?
Are you afraid of REJECTION?
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The prospecting method that will produce the best
results varies according to the agent and the
situation. The broker or salesperson should
choose a method or methods based on

• the type of property involved,
• the period of time planned for,
• the types of prospects,
• and neighborhood and property characteristics.

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TYPES OF PROSPECTING 1. Doortodoor
canvassing. 2. Telephone canvassing. 3. Direct
mail canvassing. 4. Expired listings. 5.
Newspaper leads. 6. For Sale By Owner. 7.
Announcements.
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FARMING Farming is a method of gaining clients or
customers. There are a variety of ways to farm.
Clients are sellers and customers are buyers.
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DOOR-TO-DOOR CANVASSING
Obtain an Area.
An Agents Farm Area
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BASIC CONCEPTS 1. Introduce yourself and give
your broker affiliation. 2. Explain why you are
there. 3. Ask if they need help in their real
estate needs. 4. Ask if they know anyone that
needs help in real estate. 5. Always thank them.
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Contact your farm area at a minimum of once a
month.
Your area should have 250 to 300 homes in it.
If your area has 300 homes in it, you need to
make 15 contacts per day to contact everyone in
farm at least once a month. Take notes of their
reactions.
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TELEPHONE CANVASSING Learn to use the phone it
is your best friend!!!
On the negative side, people will hang up far
more quickly than they will slam a door in your
face.
In your farm area, call at least once a month.
Again 15 calls per day, five days a week. Again
take notes of their reactions.
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AD CALLS The ad call is one of the most important
calls that you will ever answer.
Most people dont know how to take an ad call.
They think they know how and they ad lib from
call to call. They dont have consistent success
and pretty soon they think ad calls are a waste
of time.
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There are several methods of answering ad calls
that work well. This is one of the most simple
and most successful methods of answering an add
call.
Hello, this is Dan Johnson from Cerritos College
Real Estate. How may I help you?
I wanted to get the address on the property of
the ad you have in today's paper.
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Can you read that ad to me please? (they read
the ad to you) Everyones calling on that ad I
think thats one of our best buys.
Im sorry, Im Dan Johnson, whats your name?
(They will usually give you their name). Im
going to get that information, it will take me a
few minutes, Im going to put you on hold. Just
in case we become disconnected, what is your
number? (There is about 50/50 chance they will
give you their number.) Ill be right back.
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Should the buyer refuse to give the telephone
number or name You are sincere about buying a
home arent you? This home you are calling on may
not be the answer to your needs. Homes come on
the market every day. It would be frustrating for
me and disappointing to you, if one did come on
the market that fit your needs, and I could not
get in touch with you. I promise I will not abuse
the privilege of having your number Ill only
call when its in your best interest. Whats your
number?
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Get approximate time the prospective buyer will
drive by May I make a suggestion to you? Would
that be alright? (Wait for their reply) The
home you called on may not be the answer for you.
If youre going to invest your valuable time
driving by the outside of the property, let me
talk to the owner and see if I can get you
inside. This could be the home that tells us the
interior your looking for. (Wait for their reply)
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GO FOR THE APPOINTMENT If I make an appointment
for you to see the property, what time would be
best for you 600 P.M. or 700 P.M.?
Our office address is (Give the address and
directions for your office). Please be here at
give the time sharp, as I will be making
arrangements with the owner. If you are going to
be a few minutes late please call and let me
know.
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VERIFY CONFIRM THE APPOINTMENT TEMPT THEM WITH
THE MORE CLOSE I dont mean to impose, but if
you dont mind, I will research the area and see
if I can come up with some more homes. Will that
be O.K? (Wait for answer). It will only take a
few minutes more. That way you can make a
comparison. See you at (Verify The Appointment
Time) sharp then.
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Learn CITO CITO is the acronym for Come Into
The Office.
These Magic Words Come into the office will
help keep control of the client and earn you
several thousand dollars more.
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When they come into the office, you can explain
the benefits of prequalification.

• When you receive a call, there are 3 objectives
  or goals
• Get their Name.
• Get their Telephone Number.
• 3. Make an Appointment.

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• Going to the clients home should be a last
  resort.
• In the clients home . . .
• the phone can ring.
• the television can be a problem.
• if they have children, they will pay more
  attention to the kids.
• you might arrive at dinner time.
• friends might comeby.
• Many more distractions can distract your
  presentation.

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DIRECT MAIL CANVASSING. Use 10 plain envelope.
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Dan JohnsonCerritos College Realty
Mr. Rob Rooks 11110 E. Alondra Blvd.Cerritos,
CA 23456
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Always use first class mail. Dont use mailing
labels. Hand write all addresses or use the
computer to address envelopes. Dont try to
indicate that your letter is something it is
not. Get the readers attention in the first few
lines. Never send out mass mail without testing
it first. Add two business cards.
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This is a 12 pt. type, usually used in
letters. Put important or main ideas in 20 pts.
This will make them stand out and get the readers
attention.
Which line did you see or read first?
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For monthly mass mailing in your farm try using
post cards.
Cerritos College RealtyDan Johnson Do you know
the market value of your home? I would be happy
to give free market analysis of your home. Call
Dan Johnson at 562-860-2514. We just sold the
home at 12345 S. North St., Cerritos, Ca.
99999. www.danjohnson_at_emailaddress.net
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EXPIRED LISTINGS Never contact owners before
their listing has expired. When contacting the
owners, you want to find out immediately if they
have re-listed the property with their agent or
another agent. If they have, wish them well and
end the discussion.
Expired Listings are listings that were listed by
a real estate agent and for whatever reason they
didnt sell. The term of the listing has expired,
they are no longer contractually for sale.
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The reason most listings expire is because the
home is over priced. DO YOUR HOMEWORK. Get comps.
EXPIRED LISTINGS Expired Listings are one of the
richest sources of listings for the active real
estate agent.
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How Much Money is Locked Up in Your Home? Because
of high demand in your area, your home has
exceptional appreciation. If you wish to explore
the possibility of taking advantage of the market
opportunities, we can supply you with a supported
estimate of your homes present market value
without cost or obligation on your part. I will
be calling you in about a (give a time, i.e.
about a week) to determine if you are interested
in knowing what you could receive from a sale of
your home. Yours truly,
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ESTABLISH THE FAIR MARKET VALUE. Do Comparables
Establish 3 homes in the area that have sold in
the last six months. Dont forget to view
them. Were the homes better or worse? Adjust
the price of the home.
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There are several things you need to be aware of
before you attempt to get expired listings from
the Multiple Listing Service.
Just before the listings expire the listing agent
will take the owners telephone number out of the
listing. To counter this you should download the
entire listing data base once each week using a
program called Altaira. When the listing expires
and the telephone number has been removed you
simply go back to your Altaira database and the
number will be there.
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The second thing you will want to know is how to
do a KPar search on Expireds. The KPar tells
you if the property has been re-listed yet. If it
hasnt you make a call.
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(One objection you may get is Im tired of all
you brokers calling, youre the 15th person to
call! In a kindly, but worried voice, say That
worries me a little. We have 18,300 members in
our board of realtors and if only 15 of them
called maybe there is a bigger problem. Did your
last broker (agent) do a Salability Checklist?
No! That could be the problem, Id better do one
when I come over to see if we can isolate the
problem.)
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EXPIRED LISTINGS are pursued using three basic
methods 1. Telephone 2. In Person, at Their
Door 3. By Mail
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Hi, my name is Dan Johnson, with the Cerritos
College Realty, and I was wondering . . . 1. Is
your home presently for sale? 2. Would you be
offended if I took a look at your home? 3. Why
did you decide to sell your home? 4. If you were
to move . . . where would you go?
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5. How soon do you have to be there? 6. What did
that agent do . . . that you liked best? 7. What
do you feel he or she should have done? 8. What
will you expect from the next agent that you
choose? 9. Have you already chosen an agent to
work with?
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• 10. I would like to apply for the job of selling
  your home. Are you familiar with the techniques I
  use to sell homes?
• 11. What would be the best time to show you.
  Monday or Tuesday at 5?

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The expired listing at the door is exactly the
same as on the telephone, except you are there.
You can do the walk through while you are there
and you can accomplish the initial steps of your
bonding while your there. The questions and the
approach are identical.
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Currently there are programs that can be
programmed to call into the Multiple listing
service, find the expired listings that have not
been re-listed, then go into the County Tax
Assessors Records and find the address of the
owner. These programs will then write and print a
letter as well as make a list of mail labels.
When you get to the office in the morning you
would simply put the letters in the appropriate
envelope, stamp them and mail them. This is
particularly good for follow-up after a telephone
call or personal visit.
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NEWSPAPERS Newspapers can provide a number of
sources of buyers and sellers. When checking
newspapers for leads, dont forget that there are
other papers besides the large daily papers.
There are throwaway papers, usually devoted
entirely to ads there are papers for groups such
as mobile-home owners and there are a wide
variety of ethnic and foreign language papers.
All of these papers contain leads.
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FOR SALE BY OWNER FSBO A major reason owners try
to sell without an agent is that they feel they
are saving a commission.
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• The FSBO is very similar to the expired listing.
  You need
• The contact.
• The bonding.
• The explanation or reason for you.
• The Signed Listing.

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You may find For Sale By Owners while driving
around, and in advertising media such as
newspapers, the Penny Saver, any local media
even advertising boards in markets. You have the
same two basic ways to talk to the For Sale By
Owner by telephone or in person.
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You will then enter into a series of questions
after which you will want to take a look at their
home, or rather have them show it to you.
There are several films on For Sale By Owner and
Expired Listings that you should acquire, watch
and study.
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• Why did you decide to sell this home?
• Where will you be moving to?
• How soon do you have to be there?
• How long have you owned this home?
• 5. How did you determine your sales price?

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• What methods are you using for marketing your
  home?
• Are you prepared to adjust your price down when
  working with a buyer?
• Why did you decide to sell yourself rather than
  list with a real estate agent?
• 9. If you were to list which agent would you
  list with?

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• If you were to listwhat would you expect an
  agent to do to get your home sold?
• Are you familiar with the techniques I use for
  selling a home?
• 12. What would be the best time to show you.
  Monday or Tuesday?

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THE INTERNET IS THE AGENTS BEST FRIEND! Learn to
use the internet, it will save you a lot of time,
your most important commodity.
There are many different ways to market property
on the internet.
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These home are for sale and can be found on the
internet. Many agents today have their own
websites and some will not cooperate when you
contact them on their website. Why put the
properties on the MLS?
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Learn to use the internet -- it will save you
time and money. You can see a better
representation of homes, and decide in the office
if the buyer wants to see the home.
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Step 1 Develop your site. Usually it is best to
have it set-up by a professional.
Step 2 Maintain your site. You need to
periodically update information and properties
for sale or listed on the site.
Step 3 Advertise your site. Your business card
should include not only your phone number, fax
number, but also e-mail address and web
site. Such as www.danjohnson_at_emailaddress.net
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It is suggested you use your name for your
website and e-mail. Catchy names are hard to
relate to.
Step 4 Some agents use more than one website.
Step 5 When advertising your listings, use as
many pictures as practical.
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A list of websites you might find useful is
included in the back of the Practice book.

• A list of commonly used suffixes are
• .com a commercial website.
• .net a commercial website.
• .org a nonprofit organization website.
• .edu an educational website.
• .gov a governmental website.
• .mil military website.

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Internet sites are a great advertising tool. The
internet can create interest in your business and
an inventory of homes.
Also set up an e-mail address. The e-mail address
is not the same as a web site.
Obtain an e-mail list from the clients you work
with or have done a transaction with.
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Name _at_ site yourname.com or Name _at_ site company.
net
Example danjohnson_at_emailaddress.net
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REFERRAL LIST Develop a systematic plan. Keep
track of the results. Make sure every contact
knows that you are in the real estate
business. Follow-up referrals by reporting back
to the referrer.