Rapport Building with Distressed Homeowners

4 Most Important Things You Must Do to Convert Leads into Sales
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If you want results you MUST implement proven strategies on a regular and consistent basis.  One of the single biggest factors to your success is Building Rapport with Distressed Homeowners a necessary skill that can be learned!  That’s the good news …

Finding Distressed Homeowners and helping them with their specific problems all at the same time building rapport is an other matter …

As the nations leading data provider CDLData.com specializes in Marketing and Lead Generation for real estate professionals and Investors to keep your pipeline full.  Need more information about your real estate need contact us here <more-info> or call 866-377-4599. Building Rapport

At CDLData.com we have solved finding distressed homeowners with our Hidden Treasures Leads.

The Mindset Behind Sellers

You may be thinking, finally, we get to talk about sellers and looking at property! It’s true. We have reached the point where we are ready to start looking for problems to solve and property to purchase. Note how we worded that last sentence. We are looking for problems to solve. We are not looking for just any house with a for sale sign on it and asking our buyers if they are interested. The value that we will be bringing is wrapped up in the solutions that we can offer to our sellers who have some sort of problem to solve, be it big or small. We are there to save the day! Don’t forget this. Building Rapport

There are all kinds of different motivations and situations wherein sellers will need help. When you start dealing with sellers, you will begin to realize that real estate is a people game, not a house game. During this piece in the process, you will be building rapport and doing a lot of listening. The main objective throughout the sales process will be to solve some sort of problem for the seller. To identify this problem, you will need to be asking great questions and listening for different pain points.

There is no shortage of problems in this world that can be solved by the selling of a property. No two sellers are alike, and no two problems are identical. Speaking with sellers and solving problems is a practice, not an end game. When you are talking to multiple sellers daily, you will be sharp and ready to solve any problem they can throw at you. If, instead, you are inconsistent in your marketing and rarely speak with people, you will be uncomfortable and less effective. Let’s talk about some of the problems you will be solving:  Building Rapport

  • Pre-Nods: A seller is 30-60-90 days late on their mortgage.
  • Pre-Foreclosure: A seller is in the process of being foreclosed on by the bank or county.
  • Foreclosure is when someone has failed to make a required payment, and the lender is taking the property back through legal action and the court systems.
  • Divorce: It is common for a seller to need to liquidate property when going through a divorce.
  • Probate: A death in the family has caused an unwanted property to come into a seller’s hands.
  • Bankruptcy: A seller is approaching bankruptcy, and the sale of the house is either required or might help save the seller from having to file bankruptcy.
  • Problematic Tenants: The “tired landlord” is a very common selling situation. Real estate is not for everyone, especially when attempting to self-manage. When problematic tenants or vacancies occur with great frequency, it can be a great time for you to come in and save the day.
  • Back Taxes: Back taxes are exactly what they sound like they might be. The seller or person responsible for the property has fallen behind in paying the property taxes and now no longer has the ability to cover the bill and needs to sell.
  • Liquidation: Many people would rather not pass down property and the responsibility thereof after passing away. As a result, sellers will liquidate their assets when they get older, or when they are comfortable with no longer owning.
  • Down Markets: When a market hits a recession, people who are either over leveraged or have lost their jobs need solutions to bring in money. It is not uncommon for people to sell their homes in downturns.
  • Short Sales: You can be of help even if the property is underwater (worth less than what is owed).
  • Moving to New Home: When moving into a new property, sellers need to sell their old property to help pay for their new home.
  • Out-of-State Seller: There are a multitude of reasons for why family members or friends end up with property hundreds of miles from where they live. In this situation, it is best for them to sell and relieve themselves of the responsibility of owning another home they will never see.
  • Seller Wants To Reinvest Sale Funds Into New Deal: There are times when a new investment opportunity has presented itself to a seller, and to take it, he needs to sell a property.
  • Poor Lending Terms: This means that whoever or however they secured funds to pay for the house is no longer working for them. This could mean that the payment is higher than the rental income they can receive or that they can no longer make the mortgage (loan) payments.
  • House Expenses: The house is in poor or worsening condition, and the seller can’t keep up with the maintenance expenses.
  • Deferred Maintenance: Similar to the seller’s not being able to pay for updates or maintenance, but in this scenario the property is in such poor condition that the seller doesn’t want to take on the daunting task of fixing everything. The work may even cost more than what the house is worth in certain markets.
  • Health Code Violations: Sellers are required to update a home or clean up a property because its living conditions have been determined to be below code. An example of this is hoarder houses. (I have experience with hoarder houses; they are a handful!)
  • Emotional Reasons: There is no shortage of emotional turning points in which someone needs to sell or liquidate a property.
  • Lessen Responsibility: Some people are motivated to sell so they can be renters again. Renting is far less time consuming and holds less responsibility, so the seller can focus on other aspects of life.
  • Downsizing: Parents sell their homes after the kids move out because they no longer need the extra room. It is common for older generations to want to move into ranch-style homes (single floor) to avoid staircases. The above examples represent a SMALL sample size of possible reasons to sell a property. Trust me when I say every day you will discover new reasons for why people need to sell and why you need to help them accomplish just that. With all of these reasons to sell, how can we possibly have a solution for all of them? One word: Practice! In the beginning, you may be overwhelmed overwhelmed or confused about how to pinpoint the problem or how to solve it. This is totally natural and expected. You can’t learn and look good at the same time, remember? Building Rapport

GREAT QUESTION: WHY DO YOU WANT TO SELL?

Locating Problems to Solve Building Rapport

Now that we are aware of just a small fraction of the possible problems sellers face, CDLData.com Hidden Treasures can help you locate these problems. Better yet, we need to learn how to discover these problems by asking great questions and consistently marketing ourselves as problem solvers. Our focus in the beginning is to build a large network so that we have potential sellers approach us and ask us to be their personal problem solver. To do this, we will be putting our name out into the world everywhere we go. When the leads begin to funnel into us, we will begin the process of uncovering the real problem at hand. Not everything is what it seems. To learn the source of a seller’s pain, we need to ask great questions, build rapport, and feel genuine empathy. In doing so, we lower the walls surrounding the seller’s ego, and then–and only then–we can solve his or her problem. People sell to people they like and trust. You need to be more likeable than the next guy. You do this by actually caring about the situation at hand and asking questions about the seller. 

GREAT QUESTION: HOW WOULD I FEEL IF I WERE IN THIS SELLER’S SITUATION?

Building Rapport

Building rapport is a learned skill. Whether you are an introvert or extremely outgoing and talkative doesn’t matter much. Regardless, you will be starting at the base problem and working your way up. The first time you meet a seller at a property you will feel out of place. You will feel strange. You may actually feel like a bit of a fraud at first because in many cases people just starting out don’t have the money or network to purchase the property. Luckily, you are following this process step by step and know in the back of your mind that even if you don’t have the funds to purchase the properties, your partners do. That thought should give you the confidence that you belong there. Remember the value you are bringing to this distressed situation. You are meant to be there. So, don’t worry too much and focus on the two most important things you should be doing:

  1. Ask great questions.
  2. Listen.

Sounds simple enough, right? However, you would be amazed how much we tend to get chatty and/or not listen intently when we are in an uncomfortable situation. Don’t be surprised if the first time you leave a property walk through with a seller, you don’t remember anything that he or she said. This will improve quickly over time. Again, expect this, and don’t be ashamed if it happens to you. Asking questions is the most proven approach for building rapport. Why is that? It’s because people love to talk about themselves. When you truly listen to the answers and the sellers’ story, they will respect you and put you on a higher pedestal. Think back to a time when someone wouldn’t shut up about themselves and their life. How did you feel about that individual? Now think about someone who is a great listener and who you can count on to call if you need to talk to someone. How do you feel about that person? Make sure you fall into the latter category. Be the powerful listener. Below are some great questions to ask a seller. Building Rapport

GREAT QUESTIONS TO ASK …

  • How long have you owned the home? How long did you live here?
  • Are there any really cool stories that you can tell me about the property?
  • Who first bought the home?
  • What are your goals with the house?
  • Have you ever thought about fixing the property up yourself?
  • How can I best serve you?
  • Have you ever dealt with a buyer before?
  • Have you ever sold a home before?
  • Do you understand how the home buying and selling process works?
  • Where would you like to move?
  • What would you like to see happen to the home?
  • How quickly would you like to close?
  • How would you like to be paid?
  • Are there any structural issues with the property?
  • Are there any major issues that I should address first?
  • How old is the house?
  • Did you know the previous owners?
  • Would you like to come back and see the house when it is finished?
  • Why do you want to sell?
  • The final question in this batch is the most powerful question you can ask a seller. You must never forget to ask why. When you ask WHY DO YOU WANT TO SELL? , shut up and listen! People with a real problem will tell you all about it, given the opportunity. Building Rapport

If you listen carefully, you will then be able to unearth the true problem at hand and help them solve it. You will become their knight in shining armor. Uncovering motivation is an art form. You need to be ethically strong to be doing this, as well. If someone were to do this simply to manipulate someone, shame on that person. This is meant to be a tool for helping, not conquering. The answers to the above questions will range from typical to over-the-top crazy. No matter how they answer them, it is more important that you are listening closely and discovering the true pain at hand. You should be listening 80% of the time, at a minimum. Building Rapport

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