Real Estate Practice: ch 4

Prospecting

actively looking for and finding prospects - those owners who may be interested in selling their property or potential buyers who are interested in purchasing property.

Prospecting Method # 1 Knocking on Doors

Plan your outings at times when most people are home.
* See if door-to-door solicitation is allowed and if it requires a permit.
* Use a reverse telephone directory to get the names of residents so that you can address them by name.
* If it feels more comfortable, visit the neighborhoods with a co-worker. It can help keep you motivated to do what is often a hard task.

Prospecting Method # 2 Telephone Calls

You can make several calls in a short period of time, but people may turn off their phones quickly
You can pique the person's interest, but is not as personal as face contact.

Prospecting Method # 3 Direct Mail

Offer something valuable to the reader
* Tell the reader that you plan to call at a later date.
* Put your mailing in an envelope. Don't use a self-folding mailer, which tends to look like "junk" mail and will be quickly tossed.
* Address the envelope by hand instead of using a label.
* Use an attractive first-class stamp. Don't "meter" the mail.

When you contact owners of expired listings, ask first if they have relisted the property. If they have not, then you can explain how you believe you can successfully sell the property.

Prospecting Method #4 Newspaper to Prospect

For Sale by Owner Ads • Rental Ads • Special Announcements • legal notices

Special Announcement examples

Weddings; Births; Promotions and Job Transfers)

Legal Notices that provide leads

foreclosures; divorces; bankruptcies; death notices; Probates, building permits, code violations, tax delinquencies

Using the Internet

Be sure to have your site professionally designed. Sections that would interest potential sellers include:
• Lists of successfully sold properties and services you offer specifically for sellers. • Getting the highest price. • Inspection tips. • Improvements that pay off • Staging a home for sale •Curb appeal list.

Sections that would interest buyers include:
• Information on current interest rates • Mortgage loan calculator and information on available loan programs • Financing terms defined • Home buyer checklist •Getting pre-qualified •Closing cost information

Other Sources for Finding Buyers and Sellers

Local Chamber of Commerce, Builders, Open Houses, Friends, Neighbors, Current Sellers and Former Buyers.

Community involvement:

the group gets a helping hand for their activities and you get the satisfaction of helping AND the potential for future clients (Churches, Boy/Girl Scouts, The school PTA, Neighborhood associations, Alumni groups).

Good management systems save time and ensure that customers and clients don't fall through the cracks.

Farming

choosing to prospect in an area that is of particular interest to you.

geographical farm

can be a neighborhood, a subdivision or an area where the homes share some common characteristics.

Developing a Prospecting Plan

• Can help you to identify the needs in the marketplace and provide you with a steady stream of potential clients. • List all the activities you plan to do to develop and maintain leads. • Keep track of your results so that you can become more effective at attracting both sellers and buye