How’s the real estate market?
If you’re a real estate agent, you already know that the number one question you get is:
“How’s the real estate market?”
You’re at a cookout and someone finds out you’re an agent… how’s the real estate market?
You’re in a movie theater… how’s the real estate market?
You’re high on a mountain top at a silent retreat… how’s the real estate market?
Everywhere you go, people ask you: how’s the real estate market?
Do you have a great answer?
Maybe you’ve been in one of those training sessions where someone told you to say “unbelievable” or “amazing” or “crazy.” Maybe you’ve even said those things. Let’s make that fluffy answer a great answer.
The following are the scripts, the deconstruction of the scripts, and how to close prospects from them.
There are 4 most common reasons someone asks “how’s the real estate market?”.
- They are a potential buyer.
- They are a potential seller.
- They are just curious.
- They are considering getting their real estate license.
How’s the real estate market?
The script – part 1:
Thanks for asking. We’re in a really interesting time where there are advantages for buyers AND advantages for sellers. Who do you know who is thinking about buying or selling real estate?
Why it works:
The use of the word “interesting” causes the listener to be interested in what you’re going to say next. Surely you wouldn’t call it an interesting time and then say something uninteresting.
The market has advantages to buyers AND sellers. You may be talking with an undercover buyer or seller. If you launch into why now is a good time to be a buyer, someone might mistakenly assume it is a bad time to be a seller. If you launch into why now is a good time to be a seller, someone might mistakenly assume it is a bad time to be a buyer. Don’t miss the bus before you even know it’s coming.
“Who” is a much more powerful way to ask. If you ask, “do you know anybody…?” it sets you up to receive the “Reflexive No.” A Reflexive No is a simple tool we’ve all used. You walk into a department store and someone says “can I help you find anything?” You say, “no thanks, I’m just looking.” That’s a Reflexive No. You’re potentially interested in what’s in the store; otherwise, you wouldn’t be there. However, a salesperson jumped out from behind a mannequin and you didn’t know what to say. So, you said “no”. Same here.
Let’s keep moving.
You’ve just asked them “who do you know who is thinking about buying or selling real estate?” And, they say something like “funny you should ask… I’ve been thinking about buying.” (jackpot)
Before you pounce like a 3-month-old Labradoodle, follow this 3 step process:
1. Validate
2. Substantiate
3. Close
The script – Validate:
I think that’s a great idea.
– or –
I think that’s a smart decision.
– or –
I think your timing is perfect.
Why this works:
People want to feel smart. When you make them feel smart, it helps to build rapport, particularly with strangers. Have you ever ordered dinner at a restaurant and the waitress says “great choice” – that’s validation. You look at your friends at the table. They all ordered grilled chicken with seasonal vegetables. You ordered the Cryo-torched Antarctic flying fish with caramelized alpaca fur and essence of unicorn tears. “Great choice,” the waitress says. You immediately feel smart. Later, you pick up the tab and leave her a nice tip. All because you felt validated in your decision to order the special.
The script – Substantiate:
I think your timing is perfect. As you know, interest rates remain near historic lows, which means money is practically on sale. And, home prices continue to increase.
Why this works:
It’s not enough to make them feel smart without telling them why you think they’re smart. “You’re smart because this market is unbelievable” doesn’t pack the punch. Give them a few sound bites that demonstrate that you know what you’re talking about. Build some trust and validity with them.
Even if they don’t exactly know what historically low interest rates mean; everyone knows what a sale means.
The script – Close:
When would be a good time for us to spend 5-10 minutes together to discuss this further?
Why this works:
“When” assumes they have time.
“Do you have time…?” sets you up for the Reflexive No.
“5-10 minutes” sets the expectation for how long the next conversation would last. If you’re getting a lot of no’s when you close, one reason might be the absence of a time parameter around the next meeting. If someone assumes that the next meeting will be long, and they aren’t sure how much value will be in it, they’ll be reluctant to say yes.
—
Back to the top of the script.
How’s the real estate market?
Thanks for asking. We’re in a really interesting time where there are advantages for buyers AND advantages for sellers. Who do you know who is thinking about buying or selling real estate?
They say “funny you should mention it… we’re thinking about selling.”
Same process:
- Validate
- Substantiate
- Close
I think that’s a great idea. As you’ve probably heard, home values are at all-time highs and there are more qualified buyers in the market than there are homes for them to buy. When would be a good time for us to spend 5-10 minutes together to discuss this further?
—
Back to the top of the script.
How’s the real estate market?
Thanks for asking. We’re in a really interesting time where there are advantages for buyers AND advantages for sellers. Who do you know who is thinking about buying or selling real estate?
They say….”I’m just curious”.
The Script – Combo Punch:
I understand. It’s probably the most common question I get. For buyers, as you likely know, interest rates remain near historic lows, which means money is practically on sale. And, home prices continue to increase. For sellers, home values are at all-time highs and there are more qualified buyers in the market than there are homes for them to buy.
[slight pause to let it sink in]
May I ask you a question? [no pause]
If you had a real estate-related need, who do you TRUST to help you with that?
Why this works:
The Combo Punch applies all of the tactics from earlier scripts. We validate them for asking the question. We deliver the talking points for buyers and sellers. It is possible that we have to go to this extent to expose the “undercover” buyer or seller. Worst case scenario, we give them a few sound bytes for the water cooler chatter.
Asking someone who they TRUST with their real estate needs often elicits a much different reaction than “do you have an agent…?” or “do you know an agent…?” Maybe they already have an agent. Maybe not. If they don’t, then ask:
What would I need to do to earn the right to be your real estate agent?
—
Back to the top of the script.
How’s the real estate market?
Thanks for asking. We’re in a really interesting time where there are advantages for buyers AND advantages for sellers. Who do you know who is thinking about buying or selling real estate?
They say….”I’m thinking about getting into real estate”.
The Script – Aspiring Agent:
I think that’s a great decision. I love this business. And, there’s not a higher, legal, net profit business that I’m aware of. [pause, smile, let that sink in.]
When would be a good time for us to spend 5-10 minutes together to discuss this further?
—
A few final thoughts.
I believe everything above to be true. I wouldn’t say it if I didn’t believe it.
I believe it’s a great time to be a buyer. Would 5 years ago have been better? Sure. 10 years ago? Sure. 50 years ago? Sure. However, that ship has sailed. Now is a great time relative to the future.
I believe it’s a great time to be a seller. We don’t know what the future holds. While all indications are that home values will continue to go up, I also think it’s a great time to sell and downsize… to sell and move up… to sell and make any other move you want to make as part of your long term real estate plan.
If you’re looking for all the research behind the strength of the market, check out our previous research:
What Goes Up Must Come Down….Or Must It?
Be Elite!
Bill + Debbie
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