Times are changing… as always

Outsiders tend to think of the real estate business as a “property” business, but we all know that it’s also a people business. It’s so vital for us to know everything about our clients, but also, our potential clients.

In today’s second story, we have some eye-opening data about the changing demographics of homeowners. We think this type of story shows just how important it is to track all market data. We live in a world that is constantly changing – especially in terms of how people work and live – and it’s this type of information that helps us not only stay up to speed, but ahead of the game.

On that note, we also have some good tips in our Foundation Plans section on how to avoid mistakes that we see some agents make far too often.

So, here we go with this edition of The Blueprint!

– James and David

Pending home sales rose 4.1% month over month in December, the biggest increase since September 2021, according to Redfin’s latest market update. On a year-over-year basis, pending home sales increased by 5.9%, the biggest annual gain since June 2021. Here are the other key takeaways from December:

• The 30-year fixed mortgage rate fell to 6.82%, down from 7.44% in November

• New listings rose 0.1% MOM, the highest seasonally adjusted level since September 2022

• New listings rose 2.7% YOY, the largest increase since July 2021

• Active listings rose 3.1 MOM, but fell 5.1% YOY

• Nationwide home sale prices rose 4% YOY, the biggest annual increase since October 2022 (prices aren’t seasonally adjusted)

Today we’d like to offer you some practical advice on mistakes to avoid during your listing appointments. Whether you’re presenting to someone in your inner circle, a referral, or a cold lead, there are some universal missteps you should avoid if you want to win the listing.

Don’t be on time, be early – We’ve never forgotten the lesson we learned the hard way from our first managing director. “Early is on time, on time is late, and if you’re late, you’re gone.” Although clients have different tolerance levels for showing up late, err on the side of caution and always be early. If you arrive too early, use the time to explore the neighborhood, familiarize yourself with streets, amenities, parks, and other homes for sale. It's better than being late. Remember: you’re a professional. Act the part.

Park on the street, not the driveway – As much as you can, don’t be an imposition or a cause of stress on your potential client. If you park in their driveway, you’re either blocking someone in or taking someone’s spot. If their teenager has to drive to baseball practice and you’re blocking them from leaving, then your appointment groove will be messed up with an awkward interruption. Park in the street.

Your appointment is about the client, not you – Obviously, as part of your listing pitch you’ll want to talk about yourself and what you’re bringing to the table. But always make it all about the client–their needs, motivation, time frame, and priorities. Don’t discuss your busy schedule, ongoing deal negotiations, the challenges you’re facing with your other clients, or upcoming travel plans. Your client is not interested in all of that. Instead, focus on showcasing how you can address their real estate needs.

Make sure you literally ask for the business – If you’ve structured your pitch correctly, your close should naturally flow from your presentation, but don’t forget to say it and ask for the business. Don’t just assume the clients understand, and don’t leave the issue dangling. Make sure you seal the deal.

For Blueprint subscribers, the course is 30% for a limited time. If you’d like to take our course to learn how to become the top 1% of your market click here!

“Develop into a lifelong self-learner through voracious reading; cultivate curiosity and strive to become a little wiser every day.” – Charlie Munger

Thanks for reading, and we’ll see you back here on Friday!

– James and David