Prospecting for FSBO

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Whether you’re a new or seasoned agent, prospecting for FSBO’s (For Sale By Owner) is a great way to get listings. Let’s discuss how to contact them and strategies for getting the listing!

prospecting for FSBO

Options Available for Them

When a person lists their house, they have a few different options to market the home:

  • For Sale sign in yard
  • Craigslist
  • Zillow

What people don’t know is that even if they’re doing these three things, they are only reaching about 30% of people in the area.

There are flat service MLS options that can get their home listed on the MLS, but many homeowners don’t know about it so they don’t end up listing it on MLS. Unfortunately, this is the biggest platform that they need to be on.

 

Reasons Why People Do FSBO

  • Bad experience with a realtor in the past
  • They want to save money- they figure that they’ll sell the house at the same price a realtor would list it at, so why should they pay 2-3% commission?

 

Homeowner Willingness on a Scale from 1-10

  • 1-3- Not willing at all. They are determined to sell their house by themselves. Don’t even bother trying to get that listing- it’s not going to happen.
  • 4-7- These homeowners are more open to talking to realtors, especially if the realtor can bring something to the table, i.e. a buyer, reduced commission, etc.
  • 8-10- They are willing to try out a realtor. They may have been trying to sell their home, but aren’t having much luck. These are the ones that are the best chance at getting the listing.

 

Why Should They Use a Realtor?

You’ll want to explain the benefits they’ll get by using you as a realtor. Point out that if they use you, you will be able to get them more money at closing. It’s not so much what the house sells for, it’s more about what they will get at the closing. You can negotiate for them. You will also relieve some liabilities they could incur trying to sell it themselves.

 

How Can Realtors Help Sell a Home?

  • Get the home listed on the MLS
  • Maximize the price by maximizing exposure to the house
  • Professional photos
  • Host Open Houses

 

Strategies to Get the Listing

  • Be open to negotiating your commission. Coming down a little bit may help you get the listing.
  • Explain that you can use their listing to attract buyers and this can save them money because the sellers could pay some commission.
  • Call them! You can’t get listings if you don’t call people 🙂
  • Be professional and courteous- explain that you’re actually trying to help them get more money and that you can do more to market the house.
  • Follow-up with leads, it may take a few phone calls to get the listing. If they’re not quite ready, set a reminder for yourself to call back in a few weeks.
  • Remember, it’s not scary- most are pretty receptive to hearing what you have to say.

 

Happy prospecting!

 

At Dalton Wade we believe that today’s buyers and sellers need a trusted resource that can guide them through the complex world of real estate. With our extensive knowledge and commitment to providing only the best and most timely information to our clients and agents, we are your go-to source for real estate industry insight and advice. Contact us today to learn more!