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Real Estate Fight Club

29
Jun 2020

Episode 40: Should You Accommodate 2-3 Days of Showings Before Reviewing Offers?

In Episode 40 of the Toe-2-Toe Podcast, hosts Jenn Murtland and Monica Weakley duke it out over whether you should accommodate 2-3 days of showings before reviewing offers. Hear why Jenn thinks that you need to prioritize urgency and why Monica feels you should pause and let things play out. This episode will help you determine what you feel comfortable recommending to your sellers and why.

Episode Highlights: 

  • Should you, as a listing agent, accommodate 2-3 days of showings before offers are reviewed?
  • The caveat is that the sellers get to decide.
  • Jenn says no, you should not accomodate 2-3 days of showings.
  • Monica wants to bring her sellers the highest and best price. In this market, a seller can end up getting whoever happened to be able to come through the house first.
  • Monica wants to set them up to receive not just the first offer, but the best offer.
  • Monica feels that if we pause for a minute, we can allow options to unfold.
  • Jenn feels that if you wait before reviewing offers you're losing a sense of urgency.
  • Jenn thinks you can pull the sense of urgency through the entire contract.
  • Jenn says that if buyers are motivated they can figure out a way to get through and she can help them figure that out.
  • Jenn thinks that when there are already offers in you can tell buyers that they could sweeten the pot and that if they do you'll cancel other showings.
  • If you wait, you could lose very good, highly motivated buyers.
  • Monica disagrees that you'll lose the motivated buyer. Monica feels that in Jenn's scenario the person who wins is who can go fastest.
  • Jenn thinks you'll lose your edge if you wait because then people will know they're the best offer and they'll lose some urgency.
  • Jenn always recommends getting backup offers, especially in a seller's market.
  • Monica thinks that allowing showings to unfold positions your sellers for a better opportunity.
  • Jenn likes to list on a Wednesday, have her sellers leave, and get it all wrapped up by the weekend.
  • Monica argues that allowing 1-3 days of showings to happen before reviewing all offers is important so you can let options for your sellers unfold.
  • Jenn reiterates the importance of urgency. If there's a good offer that they accept, your sellers will be happy and they can go back to living in their house.
  • Guest Chris Chiaramonte sides with Jenn during the tiebreaker.
  • Chris feels like the sellers have the most leverage in the first day or two listed.
  • Chris has definitely seen urgent buyers back out. He argues that this can happen with delayed showings as well.
  • In Canada, they handle this differently. You accept offers until someone releases their contingencies and then the property is pending.

3 Key Points:

  1. Some agents feel that limiting the number of showings to one day when there’s already an offer increases the sense of urgency. 
  2. Other agents feel that you should allow options for your seller to unfold across 2-3 days of showings.
  3. In a seller’s market it is always a good idea to get backup offers.

Resources Mentioned:

 

22
Jun 2020

Episode 39: Should You Ever Take Your Own Photos?

In Episode 39 of the Toe-2-Toe Podcast, hosts Jenn Murtland and Monica Weakley duke it out over whether you should take your own photos. Hear why Jenn thinks you can take your own photos in certain instances and why Monica thinks you should always hire a professional photographer. Stay tuned for the tiebreaker at the end. 

Episode Highlights: 

  • Should you ever take your own photos?
  • Monica does not think you should ever take your own photos.
  • She feels that it is your job to present any property you represent in the best light.
  • Buyers preview the house online first and determine value with the photos and price.
  • Your photos are your first opportunity to attract the buyer and get them to see the house.
  • Jenn generally agrees if you have a standard home that a regular buyer is going to buy.
  • If you have an investment property where you're really truly only selling on the investment opportunity, Jenn thinks you can take your own pictures.
  • Jenn has also taken her own pictures on lower-end leases. For some leases, there's high demand at a certain price point and they will go regardless of the pictures.
  • Monica asks about having standards in your business for what you do.
  • Monica suggests that even if you think your phone is great, it's not the same as having a good camera.
  • Jenn does not think realtors should invest their time in learning photography.
  • Monica believes she has won listings because she uses professional stagers and professional photography.
  • Jenn reiterates that she thinks there are some instances when you should take your own photos.
  • Monica feels that if you understand that the first part of the buying decision happens online then you should be properly investing in a professional photographer.
  • Flor de Maria McNally with KW Cincinnati is the tiebreaker for this week's question.
  • Flor says you should absolutely not take your own photos. You're getting paid thousands of dollars to market a property.
  • Flor also considers it important to establish a high reputation among her peers.
  • One of the value propositions on Flor's team is to help people declutter.

3 Key Points:

  1. If you believe it is your job as a realtor to present a property in the best light, you should hire a professional photographer. 
  2. There are some instances, particularly with investment properties, where you may decide it’s not worth it to pay for professional photography. 
  3. Ask yourself if hiring a professional photographer would upgrade your business.

Resources Mentioned:

15
Jun 2020

Episode 38: Should You Attend Inspections?

In Episode 38 of the Toe-2-Toe Podcast, hosts Jenn Murtland and Monica Weakley duke it out over whether you should attend inspections. Hear why Jenn thinks you should not attend inspections and why Monica thinks it can be a good idea when you’re focused on building relationships. Stay tuned for the tiebreaker at the end. 

Episode Highlights: 

  • Should you attend your inspections?
  • Jenn says you should not attend your inspections. She has no idea why people would.
  • Monica asks if not attending the inspection limits Jenn's ability to interpret the inspection report.
  • Jenn says she is not trying to be an expert in home construction. Whether she gets it or not doesn't matter. She asks what the buyer wants to ask for.
  • Monica asks about the inspection as an opportunity to spend time with the buyer.
  • Jenn says if one client represents 20% of your annual income, then you tend to baby them.
  • Monica does not currently attend inspections, but did many times in the past.
  • Monica did not attend the entire inspection because that's a waste of time. But she showed up to demonstrate commitment and to provide support.
  • Monica does not think there's value in sitting in a house for three hours that's already sold.
  • According to Monica, you can do harm by not showing up if you don't set the expectation with the buyer that you won't be there.
  • Jenn doesn't see why buyers would expect her to attend inspections.
  • Jenn always asks clients when they last sold a home.
  • Jenn doesn't want to put her thought process on the inspection because it doesn't matter what she thinks. 
  • Jenn reiterates that you should not attend inspections.
  • Monica thinks it depends and she can see some value to attending inspections.
  • Ask what could serve your business best. There's no one way to do this.
  • Laura Wogen of Coldwell Banker in Cincinnati, Ohio provides the tiebreaker for this question.
  • Laura says you should not attend your inspections. 
  • If Laura has a question about the report, she's going to call the inspector.

3 Key Points:

  1. There may be no good reason to attend inspections and your time as a realtor would be better spent elsewhere. 
  2. It may be worthwhile in some instances to attend a portion of the inspection to demonstrate commitment and provide support.  
  3. If you find you have questions about the inspection report, you can always call the inspector. 

Resources Mentioned:

8
Jun 2020

Episode 37: Should You Say Yes to Every Seller Opportunity?

In Episode 37 of the Toe-2-Toe Podcast, hosts Jenn Murtland and Monica Weakley duke it out over whether you should say yes to every seller opportunity. Hear why Jenn thinks you should say yes, even if you need to recruit some help, and why Monica thinks you should stay in your lane and focus on your area of expertise. Stay tuned for the tiebreaker at the end. 

Episode Highlights: 

  • Should you say yes to every seller opportunity?
  • Jenn says you should say yes to every seller opportunity, knowing that you may need to refer it out or seek help from another agent.
  • You want to keep the client, but if you don't know how to do it, don't do it alone.
  • Monica challenges Jenn by asking about the limits of expertise based on geographical areas. Cincinnati is split into the east and west side. For many agents, the other side of the city is like another land. Monica asks if Jenn would say yes to a listing in a part of town she didn't know.
  • Jenn would take the listing. If she doesn't know the area well and the data isn't obvious, she would likely consult another agent.
  • Monica provides the example of an area in Anderson that could be complex if you didn't know the nuances.
  • If Jenn doesn't want to drive to a faraway listing, she would likely refer it out or co-list.
  • Monica recommends staying in your lane. Having standards in your business will make a difference.
  • A lot of agents say yes because they don't want to disappoint the client.
  • Monica feels that if your way to help clients is to connect them with the right person, then you've done your job.
  • Trying to be all things to all people will get you in trouble and will prevent you from being the one thing you want to be.
  • Monica thinks agents say yes to everything out of scarcity. She says you'll do more business if you stay in your lane.
  • Jenn reiterates that she will take the listing not because it's a cash grab, but because it's something she's interested in learning, and she'll bring in someone whose lane it is in.
  • Jenn and Monica agree that if you aren't the expert, you should get someone else involved.
  • Ryan Rice, a realtor in Northern Virginia, provides the tiebreaker.
  • Ryan thinks you should take every seller opportunity.
  • In Northern Virginia, listings don't last long. Ryan clearly communicates with sellers about revising prices at a certain point if they want to list higher than he would recommend.
  • Ryan refers out his commercial leads but keeps them in his database.

3 Key Points:

  1. If you say yes to every seller opportunity, you have the option to refer it out or enlist help. 
  2. You may decide to stay in your lane and accept only opportunities that fall within your expertise. 
  3. If you decide to step into a situation where you lack expertise, don’t do it on your own. 

Resources Mentioned:

 

3
Jun 2020

Episode 36: EXTRA ROUNDS - Should We Move to Net Listings?

In Episode 36 EXTRA ROUNDS, join us as real estate heavyweights have a chance to go into the extra rounds to discuss moving to net listings.

If you are interested in becoming a featured heavyweight, please reach out to us through the Toe-2-Toe Podcast Facebook page.

Resources Mentioned:

1
Jun 2020

Episode 36: Should We Move to Net Listings?

In Episode 36 of the Toe-2-Toe Podcast, hosts Jenn Murtland and Monica Weakley duke it out over whether we should move to a new model for listings. Hear why Jenn thinks a sliding scale model for commission can be successful and why Monica thinks exclusive agency creates an emphasis on partnership. This episode will give you different models to think about and ways to evaluate how you are partnering with your sellers.

Episode Highlights: 

  • Should we move to net listings?
  • Jenn provides a quick overview of the differences between a net listing and an open listing.
  • Jenn's understanding is that in the net listing model, if a home sells for anything above the set price, that money goes to the agent and the seller pays normal closing costs.
  • Commercial agents use the open listing model more frequently. This may place more emphasis on relationships.
  • Jenn shares her thoughts on how what happens in commercial real estate would translate into the residential real estate world.
  • Jenn notes that they use open listings in Peru.
  • Jenn likes the idea of a scale model. For instance, if an agent sells the home within a particular time frame, then they would get a certain commission.
  • Monica thinks this new model would put a stop to agents competing with each other by promising sellers unreasonable prices.
  • The scale model could also create an incentive for honesty from agents.
  • Monica says that there’s not a perfect model.
  • Jenn talks about agents who are using the sliding scale model. Monica notes that sometimes this leads to terrible listing pictures taken on phones.
  • Monica's standard around price scaling is that she will not take less than $3k commission. She charges 7% if you're an out-of-town seller.
  • Jenn doesn't think contracts are worth what they're written on, but that it’s good to have something in place.
  • Monica likes the idea of the net listing but doesn’t know if we’re ready for that model.
  • Monica likes giving the agent the ability to tier their pricing.
  • Monica believes that exclusive agency probably creates the nicest partnership. Jenn disagrees.
  • Jenn is in favor of experimenting with open listings.

3 Key Points:

  1. The open listing model is used more frequently in commercial real estate circles where relationships are often emphasized more.
  2. The sliding scale model also offers an alternative to the exclusive agency model and gives realtors some flexibility. 
  3. Experiment with different listing models and see what works best for your business.

Resources Mentioned:

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