Getting together with friends over the weekend is an eye-opening contradiction to the world of real estate sales, marketing and Websites.  People in the real world say things to me that they would never say to their real estate agent or broker.  The reasons they state for choosing their listing agent prove over and over that many people make choices based on the silliest of reasons.   Still, knowing what real people do in real situations is just the kind of information that companies pay the big bucks for so I never pass up these opportunities to Live and Learn. 

SHOCKING PRICES

At a recent small gathering, Anna, a senior citizen with a bad back and weak knees, told us all how she decided to list her home with an agent rather than sell on her own as advertised just two weeks prior at yet another small gathering of friends.  At the earlier meeting, Anna announced to all assembled that she thought it shameful and sinful that agents charge a 6% commission now that home prices have climbed so high.   She did not seem to think it was ridiculous to ask and expect to get about a million dollars for a home that she and her husband bought for a mere $65,000 some 30 years ago.

THE FSBO ATTEMPT

Anna and her husband Bill did make a stab at selling on their own. While both of them have permanent Handicap Parking privileges, they managed to plant a homemade sign in their front yard, which is on a cul-de-sac in the middle of a hillside residential area.  The sign was spotted by the painter they hired to spruce up the house a bit and he told them about a real estate agent he knew and the next thing you know, Anna and Bill have their home listed.  Three days after signing the listing agreement, their agent came over to show them pictures of their home on the Internet.  Anna was amazed that the agent was able to get that information on the Internet so quickly.  She told this story to us all as part of her proof that she chose a top-notch agent.

Now the couple’s biggest problem is finding a new place to live in an area where listings are scarce.  Homes in the area are selling for top dollar within a matter of weeks of going on the market. 

So, what are the lessons to be learned from Anna and Bill’s story?   There are several.

Lesson One:  FSBOs are good prospects.  Maybe some FSBOs will sell on their own but many of them end up listing their home. This is true even in a sellers’ market.  If you are interested in an easy way to tap into this market, call me toll free at 888-814-5347 or visit me online at http://www.sellrealestate.net and then click on FREE Custom Web Plan.

 Lesson Two: Elderly people who live in two story homes make a fantastic niche market for agents who want to list and sell real estate.  Not being able to navigate the stairs anymore is a strong motivator.

 Lesson Three:  Networking is a great way to increase word of mouth referrals.  A good, custom Website can help you expand the network of people who refer to you.  Anna and Bill hired a painter and a gardener to help get their house ready to sell.  Then the painter referred an agent and the FSBO turned into a listing. Visit http://www.sellrealestate.net/FreeWebPlan.asp for a Free Custom Web Plan and find out how easy it is to increase your sphere of influence using Internet technology.

Lesson Four: The prize never goes to the Faint of Heart.  A few of Anna and Bill’s friends had also recommended real estate agents but none of those agents followed up and actually made contact. 

Lesson Five:  Most people are quite amazed by the Internet but have little understanding about how it works.  There is that group of younger Baby Boomers and the Gen Xer’s that are quite Internet savvy but there are vast numbers of people who are easily impressed by an agent’s use of the Internet especially when it comes to real estate.  Until Anna and Bill made the decision that they needed a one-story house they had no idea of all the real estate information they could get online.

While Anna related her real estate story to the group, others who had even more amazing real estate stories to tell interrupted her on several occasions.  Rosie told about her neighbor who could research online and find the asking price of homes all over town.  Anna knew about that as well.  In order to prove her superior knowledge she informed everybody in the room that the homes in Rosie’s neighborhood are going for about $500,000, which is much less than what Anna and Bill expect to get from their home.  Rosie countered by revealing that a neighbor of hers got $700,000 for a home last fall.

REAL ESTATE IS NUMBER ONE

Real estate is often the topic of conversation at social gatherings among people of various age groups.  And a very popular aspect of real estate that gets a lot of talk these days is Real Estate as an Investment.  I know this to be a fact from personal experience and from reading the latest issue of Money Magazine.  Based on a recent telephone poll asking people what they think is the best way to get rich right now, 26% answered Real Estate.  21% said Grad School; 14% said Inheritance; 13% said Marry Money; 12% said Start a Business and only 11% said Stock Market. 

PUT YOUR KNOWLEDGE TO WORK

Knowing this about people should direct how you set up your Website.  Let’s say that you set up your Website to make it easy for your prospects to get instant real estate facts about the local market.  You might focus on real estate investment facts and make it easy for folks to use your site to arm themselves with information and get themselves ready to take the plunge. Does this mean that your Website would be hard to keep up with and manage?  No, not at all!  But it would mean that your Website might get talked about at social gatherings when real estate comes into the conversation, which happens a lot.  You might even create an interactive game of Trivial Real Estate Pursuit on your Website to add substance and excitement to social gatherings.  But, then, maybe I’m getting carried away.

  NOTE:  Anna, Bill and Rosie are real people but those are not their real names.