We recently posted, “How to Get Real Estate Leads in a Tight Market,” an article that outlined ways to get listing leads, specifically. The first strategy was to go for stale real estate leads, and now we’ll share a few ways to do that.
Check out expired and withdrawn real estate listings that were on the market in the past year or so that never sold. It could be that they were overpriced then, and now they are still viable properties if still interested in selling.
The process can be very simple, it’s just a matter of doing it. If you consistently go through this process, you could pick up 2-8 more listings per year (or more)!
Once you have a listing, the chances of selling can be very high – especially if you make the adjustments to the expired and withdrawn listings that kept them from selling with the last marketing agent.
Real Estate Leads from Expired Listings
Run an “Expired” and “Withdrawn” list from your MLS on a regular basis (weekly, monthly, etc.).
Matthew Bushery at Placester says to watch for red flags that hindered the sale of a listing real estate lead, such as location or damage, but to also watch for these “green flags” that could improve the property’s ability to sell once you list it.
Examples of some positive indicators are*:
Flexible price history: Even if the seller is still asking too much, a history of price reductions can indicate the seller is flexible and understands the need to adjust to the market.
Poor photos and copy: If the listing agent provided terrible photos and a lousy description, it’s unlikely their sales efforts were very sophisticated. A competent marketing job might just make the property move.
Underappreciated markets: If the property is in an up-and-coming area, it may become more desirable as that area’s reputation improves.
Poor agent fit: If the previous listing agent specializes in farm land, but happened to pick up a condo listing, it’s unlikely they had the expertise to sell the property. Look for properties that play to your strengths.
Unique features: A property with unique features needs some innovative marketing. If the expired listing has unusual qualities, it opens up the opportunity for you to take a fresh approach with your marketing.
Call the Home Owners
Prior to contacting homeowners, be sure that you know the law -- follow it. Do not solicit an active listing, and make the following information clear to every prospect:
- Your name.
- The company with which you work.
- The fact that you are a licensed real estate agent.
From there, remember to:
- Ask questions.
- Give the prospect answers to his/her specific questions and concerns.
Expired Home Prospect Call Example
This is a great example that shows many questions, issues, and concerns an expired listing home owner might had when an agent called her. This agent does an excellent job of asking a lot of questions, listening to the home owner, and proceeding to build rapport to eventually get the appointment.
The “Harry Potter Method”
Bill Tierney explains a direct mail method he dubbed, “The Harry Potter Method to Reach Expired Listings”:
“For anyone who has seen the “Harry Potter” films — and that is a lot of us — you might recall the scene when Harry Potter receives his invitation to Hogwarts School of Witchcraft and Wizardry. The invitations come in the home through every which way imaginable. This is a great allusion to my method: Don’t send only one letter to an expired listing and expect a call; send a bunch, fill the mailbox like Hogwarts.”
1. Tierney pulls a .csv spreadsheet of expired listings on a daily basis from a company called LandVoice.
2. He creates a bulk letter for the leads using a handwritten font to make the letter look more personal.
3. Tierney creates a schedule of postcard mailings and sends branded postcards to the list.
Again, this isn’t rocket science, but it does take some guts, persistence, and basic sales techniques.
Good luck, and let me know how it goes!