Educating Buyers on Auctions

I have been working with a lot of agents of late who simply say "auctions don't work in our area". When asked why the answer is usually the same. People just don't get them here. When asked what the outcome is for any auctions in the area the answer is always there that was no bidders.

It is an expectation of a lot of real estate agents that by simply setting a date and turning up on auction day that it's enough. That buyers know what is going on and understand how the process works.

How long does it take to convince a seller to auction their home?? Usually a 1-2 hr listing presentation then as a bare minimum weekly face to face meetings, weekly written communication and daily phone/email or sms communication over the next 4 weeks to ensure that the auction runs smoothly on the part of the vendors. In total between 5-8 hrs spent with your vendors over the 4 weeks. How much time do you spend educating your buyers about the process. I would think that if you are spending more than 30 mins with each buyer than you are above the norm.

Your vendors took 2 hrs to convince then 4 weeks of reassurance. You ask you buyer once when they visit the home "Is this what you are looking for?" There needs to be some serious education on the part of the buyers so that they as much as the sellers understand what is happening through out the process.

You have a vendor management plan with your auctions. Sort out the buyers. It doesn't matter how good your communication is with your vendors over the 4 weeks if you have no buyers there your efforts have been wasted.

With first home buyers and investor nights proving popular at the moment would it not make sense to run, specifically for your buyers an information evening on how to buy at auction. Whatever your market place better educated buyers can only be a good thing. Have your finance broker turn up and talk about what needs to be done in order to bid at auction. Have a solicitor talk about the legalities of auction. Have an auctioneer talk about what will happen on the day and the benefits of buying at auction for them.

Better educated buyers mean better auctions. Have a clear buyer education strategy in your office and you will improve your auction success

Spring Cleaning Time

Coming into Spring, the time of year that is typically the busiest selling time for Real Estate the signs are positive that this spring will return similar results.
In spite of the doom and gloom and the apocalyptic predictions of some, the sky hasn't fallen. The world continues to turn and amazingly the economy is recovering. Although we have been lucky here in Australia in that we haven't fared as badly as our US counterparts. But believe it or not. The sky hasn't fallen in there either. Life goes on.

Those that have fared best out of this are those that realized that the world would go on and actively made efforts to position themselves. Are you one of those. Are you positively poised in your market place to take advantage of the upcoming spring rush.
Here are my top 10 tips to to get ready for Spring.

1. Be clear about how your business is positioned and have your goals and targets in place. This may seem obvious but you would be amazed at how many agents out there don't do this. I know it is a cliche but fail to plan and you plan to fail. It's a cliche for a reason...it's true
2. Review your listing presentation. Do your recommendations you make in your presentation align with the state of the market.
3. Set in place your prospecting plan from now until the end of the year. I know it seems like a long way away but in reality it's not. The prospecting you do today will come back in the future and as the market improves don't wait until the going is great again to try and pick up the business. Get in those doors now!!
4. Touch base with your entire database, personally. Ring them and discuss the market, see if their circumstances have changed. Changes in the market are a great excuse to build onto the relationships you have with your clients. And they will feel important having heard from you personally. Make 10 calls it will only take a few weeks to get through.
5. Do a review on your closing successes. Look at your last 10 sales. How many inspections did each property have? How many properties had you shown the buyer of the property before that purchased that particular home? How did the negotiation process go? This shouldn't take longer than an hour. Can you make any improvements?
6. Past appraisals. The appraisal you do today will convert into your listings for in the future. Don't forget the appraisal you did last month or 6 months ago.
7. Perfect your open homes. As spring approaches more and more people start looking at open homes. It's show day. Not only are the properties open for inspection but it is a chance for the public to watch you at work. Make an impression. Are your open home signs up to scratch. There is nothing worse than seeing an open for inspection sign with a time scrawled on it in nicko. Wash your flag!!. If you have a flag make sure you wash the grease off it that has come from shoving it in the boot of your car!!
8. Wash your car!! As real estate agents we spend a lot of time in our cars.
9. Do the same with your office. It's not called a spring clean for nothing.
10. Get active. The days are getting longer. Summer is around the corner and most of us have a little winter warmth to get rid of. Try it just one morning. Get up an hour early and go for a walk or run. Some of us are lucky enough to live near the beach. If not it is still nice and fresh early in the morning and a great way to start your day. It will improve your day!!!

Have a great spring!!!!