Real Estate Fight Club

Episode 14: EXTRA ROUNDS - Should You Offer a Buyer Agent Incentive on a Listing?

In Episode 14 BONUS EPISODE, join us as real estate heavyweights have a chance to go into the extra rounds to discuss if you should offer a buyers agent incentive. If you are interested in becoming a featured heavyweight, please reach out to us through the Toe2Toe Podcast Facebook page.

 

Resources Mentioned:

• Jenn Murtland LinkedIn | Facebook
• Monica Weakley LinkedIn | Facebook
• Toe 2 Toe Podcast Facebook Page

Episode 14: Should You Offer a Buyer Agent Incentive on a Listing?

In Episode 14 of the Toe-2-Toe podcast, hosts Jenn Murtland and Monica Weakley duke it out over whether you should offer a buyer agent incentive on a listing. Hear why both hosts think this is an ill-advised idea. Then hear some great tips on how to handle condition issues and why the real target is the buyer, not the buyer’s agent.

Episode Highlights: 

• Should you offer a buyer agent incentive on a listing?
• Jenn thinks that is stupid. She doesn’t think you should even offer buyers incentives.
• An incentive is the value of the house which is the price and the condition.
• What if someone added a luxury vehicle like a Ferrari?
• Jenn says that's just weird.
• It's not a marketing field online.
• Instead of offering a buyer incentive, adjust the price of the home.
• A Ferrari is not really going to entice someone to buy the home.
• Monica asks Jenn if she looks at the buyer’s agent percentage.
• Monica doesn't look. Jenn looks.
• If the percentage is lower than 3%, Jenn wants her clients to know they are on the hook for the rest.
• Monica doesn’t look because she doesn’t want it to persuade her either way.
• Monica also does not hold her clients to the full 3% in those circumstances.
• Jenn feels that this situation is similar to when carpet allowances are put into listings. Just replace the old carpet.
• We have cookie-cutter homes because the majority of people like the majority of the same things. This is a reason to install neutral carpet.
• Dirty carpet can be a condition issue that you can offset with price.
• If you paint a house you can paint it for a few thousand dollars. If a buyer sees your house and sees it needs to be painted, they're going to take off five times more.
• Sometimes people have different motivations for selling. That's where agents come in.
• You're doing a disservice if you don't know all the ways that you can sell a home.
• Offering a buyer's agent incentive is not a way to sell a home in their market.
• Monica thinks that what they're trying to do is make their house be appealing in some way.
• Many people don't read all the comments and they should.
• The target is the buyer, not the buyer’s agent.
• If you're offering something like a carpet allowance, remember that it's hard for retail buyers to imagine the new carpet. Consider including carpet samples at the house.
• When Monica was selling her house, she had a room for her dogs and the carpet needed to be replaced.
• She offered an allowance for the carpet or offered to install new carpet in that room that they could choose.
• Realtors they asked on Facebook felt this was not the best way to entice a sale.
• Donna Drake provides excellent advice on this subject. When she sees this offered she writes in the contract that the bonus shall be applied to the buyer's closing cost paid by the seller.
• It's really hard to try to figure out what people will want.
• Jenn is always a proponent of more communication vs. less.

3 Key Points:

1. The real incentive should be the value of the house, which is based on the price and condition.
2. It’s often less expensive to fix a condition issue than to let condition influence price.
3. When you consider offering incentives, remember that it can be difficult to predict what buyers actually want.

Resources Mentioned:

• Jenn Murtland LinkedIn | Facebook
• Monica Weakley LinkedIn | Facebook
• Toe 2 Toe Podcast Facebook Page
• Donna Drake website, LinkedIn

Episode 13: Should Buyers Always Take Occupancy at Closing?

In Episode 13 of the Toe-2-Toe Podcast, hosts Jenn Murtland and Monica Weakley duke it out over whether buyers should take occupancy at closing. Hear why Monica feels that only confusion comes from deals when buyers don’t take occupancy at closing, and Jenn argues that sellers need time to move and that deals sometimes fall apart at the last minute. This episode provides great advice for agents looking to do a deal with a delayed occupancy.

Episode Highlights: 

• Should buyers always take occupancy at closing?
• Monica feels that there’s nothing but headaches in deals with pre and post-occupancy.
• You don't know about insurance. You don't know about liability. You don't know about the condition of the house.
• Jenn feels the seller should always have post-occupancy.
• If sellers are going to have occupancy at closing, we need a more ironclad contract.
• Staying is convenient for the seller.
• Buyers can often get out for any reason.
• It’s the seller’s house until the buyer buys it and they need time to move.
• While Monica acknowledges that moving is hard, she reminds us that the entire contract process is based on faith that the other party will hold up their end of the bargain.
• Jenn asks what happens to sellers when buyers back out of the contract.
• A lot of sellers have been in the house for 10-20 years. It will take them a while to move out and they're going to be very nervous about the process.
• Monica argues that most buyers don’t back out at the eleventh hour.
• Why should a seller be penalized if a buyer backs out?
• In Canada, they do not put the property in pending status until all the contingencies have been released.
• Sellers used to get up to thirty days post-close to move.
• Jenn and Monica lament that people don’t trust each other anymore.
• When they surveyed fellow agents, the general consensus was that it's a headache.
• Some people will need post-occupancy to move, for example, if they own several animals.
• Jenn thinks people should have time to move out after closing.
• Monica asked for five days post-occupancy when she sold her own house. This was strictly based on convenience for her.
• There is a piece of paperwork where you can clarify the date and the actual time. When you're dealing with movers you need to know specifics.
• A post-closing document outlines liability, insurance, and gives you an opportunity to say who will hold the utilities.

3 Key Points:

1. Some realtors feel that allowing sellers to hold occupancy after closing only creates headaches.
2. Other realtors feel that sellers need time to move and should be allowed to stay until the deal is truly done.
3. If you are working on a deal with delayed occupancy, be sure to use the post-closing document to communicate specifics around dates and times.

Resources Mentioned:

• Jenn Murtland LinkedIn | Facebook
• Monica Weakley LinkedIn | Facebook
• Toe 2 Toe Podcast Facebook Page

Episode 12: EXTRA ROUNDS - Should You Call the Buyer’s Agent Before They Show Your Listing?

In Episode 12 BONUS EPISODE, join us as real estate heavyweights have a chance to go into the extra rounds to discuss if you should call the buyer's agent before they show your listing. If you are interested in becoming a featured heavyweight, please reach out to us through the Toe2Toe Podcast Facebook page.

 

Resources Mentioned:

• Jenn Murtland LinkedIn | Facebook
• Monica Weakley LinkedIn | Facebook
• Toe 2 Toe Podcast Facebook Page

Episode 12: Should You Call the Buyer’s Agent Before They Show Your Listing?

In Episode 12 of the Toe-2-Toe Podcast, hosts Jenn Murtland and Monica Weakley duke it out over whether you should call the buyer's agent before they show your listing. Hear why Monica feels you should call only when you have a good reason and Jenn insists that you should call because there’s always a good reason. This episode will help you see agent-to-agent communication in a new way. 

Episode Highlights: 

• Should you call the buyer’s agent before they show your listing?
• Monica thinks it depends on a few things.
• It depends on the instructions of the seller. If they want you to do it, do it.
• If you are calling just to reiterate the marketing remarks or the agent remarks, Monica feels you should resist.
• If you have something that has come up just before the showing or there’s something about the house that's easier to describe in a call, then call.
• Jenn asserts that there’s always a reason to call.
• The buyer's agent has never been in the house. 
• You’re calling because your job is to sell the house.
• You need to gather information about the buyer to better negotiate for your clients.
• The buyer's agent will tell you everything you want to know about the buyer.
• Ask all the questions that you have.
• Monica suggests that you don’t need all of that information and that you may end up having many unnecessary conversations.
• Jenn says these are never unnecessary conversations because you’re building a relationship with the buyer’s agent.
• One time Jen called and learned the buyers had lost every house to other buyers. She used this as a negotiation point.
• The best way to sell the house is to be in conversation with people.
• Monica looks at selling a house as properly positioning it to the market.
• Jenn thinks you’re better positioned to sell the house if you’re communicating with the agent and know about the potential buyer.
• Agents need to talk to each other more. It’s never a wasted call. 
• You can get a lot accomplished with actual voice to voice communication. 
• Relationships really are everything.
• Monica polled agents on her Facebook page and they were split 50/50 on this issue.
• Deb Julson sees calling as a way to build relationships.
• Erin Fey thinks you should hold off unless there’s a legitimate need.
• Monica reiterates her position that it depends on the circumstances.
• Jenn reminds us that we want to find out as much information as possible about the buyer to help the sellers sell the house.

3 Key Points:

1. Some realtors feel that you should only call the buyer’s agent before they show your listing if there’s a good reason. 
2. Other realtors feel you should always call the buyer’s agent before they show your listing to learn about the potential buyer and establish a relationship with the other agent.
3. When we are in good communication with the other agent, we’re building a relationship.

Resources Mentioned:

• Jenn Murtland LinkedIn | Facebook
• Monica Weakley LinkedIn | Facebook
• Toe 2 Toe Podcast Facebook Page
• Deb Julson website
• Erin Fay website 

Episode 11 EXTRA ROUNDS - Is It a Good or Bad Idea for an Agent to Join a Team?

In Episode 11 BONUS EPISODE, join us as real estate heavyweights have a chance to go into the extra rounds to discuss if it's a good or bad idea for an agent to join a team. If you are interested in becoming a featured heavyweight, please reach out to us through the Toe2Toe Podcast Facebook page.

 

Resources Mentioned:

• Jenn Murtland LinkedIn | Facebook
• Monica Weakley LinkedIn | Facebook
• Toe 2 Toe Podcast Facebook Page
• Felix Hung Coaching Opportunities

Episode 11: Is It a Good or Bad Idea for an Agent to Join a Team?

In Episode 11 of the Toe-2-Toe Podcast, hosts Jenn Murtland and Monica Weakley duke it out over whether it’s a good or bad idea to join a team. Hear why Jenn thinks joining a team can help new agents, and learn why Monica believes every agent can succeed on their own. This episode covers important questions to ask if you’ve ever considered joining a team. 

Episode Highlights: 

• Is it a good or bad idea to join a team?
• Jenn thinks realtors need an apprentice program. 
• In Jenn’s opinion, new agents especially, need to join teams to learn sales skills they may not otherwise have.
• However, Jenn does not think you should join a team simply because you haven’t had success. If you’ve been in the industry for a while without success, hire a coach.
• Many agents that don’t succeed either don’t have sales skills or they aren’t putting in the work.
• A number of people get into real estate because they think they can be their own boss but then they forget to work.
• Not everyone who leads a team is a good leader.
• Monica believes 80% of teams are lacking leadership from the top.
• Monica sees many people join teams out of scarcity and panic.
• She feels that people inevitably either outgrow the team or continue to flounder.
• When joining a team, ask yourself if you want to be an employee.
• Jenn thinks many of these variables depend on the team.
• You can’t just expect to be handed everything and keep all the money too.
• Jenn feels that the whole team system needs to be overhauled. The barrier to entry needs to be higher and team owners need better leadership skills.
• Monica points out that in other industries you would not turn a top salesperson into a sales manager.
• Monica believes every agent can succeed on their own.
• Not all teams are set up to teach their people.
• Jenn would like to see a program where agents are funneled through different aspects of the industry over a few years.
• In the Lab Coat Agents Facebook group, agents were split on this question.
• Whether or not you should join a team depends on a lot of variables.
• Jenn reiterates her position that new licensees should join teams to learn.
• If you're going to join a team you need to talk to several teams, interview them, have an understanding of what their program looks like, what you're going to learn, and what the end goal is.
• Monica believes there’s room to support each other without having to commingle your lives so much.
• Monica recounts the drama of team exits.
• Monica's coach says that before you ask advice from someone you should find out if they've made a lot of money, or lost a lot of money in that arena. Then, ask yourself if you would trade places with that person.
• When you're doing anything new, you need 3-4 months to reflect on whether something is the best fit.

3 Key Points:

1. Joining a team can be a great idea for new agents who have a lot to learn. 
2. Everyone can succeed on their own, so joining a team may not be essential. 
3. If you do join a team, do your homework. Interview people, understand their system and know the end goal. 

Resources Mentioned:

• Jenn Murtland LinkedIn | Facebook
• Monica Weakley LinkedIn | Facebook
• Toe 2 Toe Podcast Facebook Page

Episode 10: EXTRA ROUNDS - What To Do When Sellers Won’t Provide Their Opinion on Price

In Episode 10 BONUS EPISODE, join us as real estate heavyweights have a chance to go into the extra rounds to discuss what to do when sellers won’t provide their opinion on price. If you are interested in becoming a featured heavyweight, please reach out to us through the Toe2Toe Podcast Facebook page.

Episode 10: What To Do When Sellers Won’t Provide Their Opinion on Price

In Episode 10 of the Toe-2-Toe Podcast, hosts Jenn Murtland and Monica Weakley duke it out over what to do when sellers won’t give you their opinion of price. Learn Monica’s strategy for reminding them you’re a team and hear Jenn’s approach on how to figure out why they aren’t answering the question. This episode will demonstrate one of the reasons why having a pre-qualification questionnaire is a great tool to have in your pocket. 

Episode Highlights: 

• What do you do if the seller won't give you their opinion of price?
• Monica says she will give them her opinion of price but that it doesn't have anything to do with their opinion of price.
• Most sellers have an idea of what their home is worth or what they hope their home is worth. That is an important piece of data as she comes up with a strategic price.
• She will ask again what they think their home is worth.
• It's a red flag for Monica if people won't answer that question. She does not want to work with difficult people. Why are they unwilling to share that with her? She has no fear of losing the listing. 
• If they're difficult in a listing presentation, believe them.
• Jenn asks, “I find that everyone has a price in mind that they feel their home is worth. What is yours?"
• Jenn thinks that if they won’t answer this question, there’s a good chance they’ve had a bad experience.
• Maybe they sold a house and told someone what they thought and then they felt taken advantage of.
• She asks them directly if they’ve had a bad experience.
• Jenn reminds them that they’re a team in this process.
• Monica’s approach tells them from the outset that she has to decide if she wants to take their home into her inventory.
• If you’re getting a lot of pushback on this question, consider your approach.
• As a follow-up question, you need to ask what they owe.
• Do they have any second mortgages? Have they talked about renovating recently? Do they owe any contractors money?
• Have the pre-qualification questionnaire easily accessible in many places. Memorize it.
• Many agents indicated that they do not complete a pre-qualification questionnaire.
• Another way to ask this question is, “What are you hoping to net from the sale of your home?"
• If they don't answer the question Jenn dives in and tries to figure out why.
• Monica recommends assuring them that your opinion will be voiced regardless. Remind them you need to be a team.

3 Key Points:

1. It’s a red flag when people won’t answer this question. 
2. Consider that perhaps they aren’t answering the question because they’ve had a bad experience. Ask followup questions and remind them you’re a team. 
3. Assure them that your opinion will be voiced regardless.

Resources Mentioned:

• Jenn Murtland LinkedIn | Facebook
• Monica Weakley LinkedIn | Facebook
• Toe 2 Toe Podcast Facebook Page
• Pre-qualification Questionnaire

Episode 09: EXTRA ROUNDS - What Are the Top Reasons Agents Fail?

In Episode 09 BONUS EPISODE, join us as real estate heavyweights have a chance to go into the extra rounds to discuss the top reasons agents fail. If you are interested in becoming a featured heavyweight, please reach out to us through the Toe2Toe Podcast Facebook page.