7 figure Attraction Agent

The Right (and Wrong) Way to Promise Price at a Listing 🤑

• Tom Panos - Real Estate Coach & Trainer

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‘Larry The Liar’ is really struggling to make sales at the moment. 

Because up until a few weeks ago, he had a reasonable chance of selling at the figure quoted in the listing. 

Today, however, Larry The Liar has his vendors screaming at him about why all the offers are coming in tens of thousands below their 'hope-to-get' price.

Vendor management in a buyer's market means that you need the skills to deliver hope without backing yourself into a corner.

In this role-play, you will see how I win the listing and allow for future price alignments.

The entire training is only in the Real Estate Gym

TOM PANOS:

If you're Larry the liar and you overpriced the listing to get the listing, I've got bad news for you. It's no longer a listing, it's a liability. It's no longer a listing, it's an overpriced turkey. Ladies and gentlemen, I'm letting you know. The way you handle price at the listing. Presentation is critical. I want to do a role play. You're a vendor, I'm an agent. I just want to quickly go through with you what the conversation around price would be, around the listing presentation. I'm going to do two versions. I'm going to so. You called me yesterday to get an appraisal. I've come to your house. You're thinking of selling. On the phone I was able to get off you that you're chasing 1.1. That's your target number. All right, I was able to get that off the phone, off you. Right. Now I've come on over to your house. I want to show everyone that's listening, everyone that's watching, how I handle price, the right way and the wrong way. Let's do the wrong way first. Ready, Okay, Jonathan, thank you for taking me for a tour through your property. Beautiful home. Let's have a sit down at your dining room now we sit down.

TOM PANOS:

Jonathan, you mentioned a figure of 1.1 on the phone yesterday as a number that you're thinking that's correct. Well, let me tell you I reckon I'll get it. I reckon it's worth it and I think I'm the best person to get it for you. And I reckon I've got some buyers for you and I want to bring them through. And yeah, yeah, nice house man. Yeah, I reckon it's achievable. Let's see how we go. That's the wrong way. You want to know why? Tell me why. Because when I come back to you in three weeks and say, hey, Jonathan, the buyers are saying it's a bit busy. I think we've got to take the price down.

TOM PANOS:

Jonathan's going to say that you're the one that told me, like you'd get my price. And even if they don't say it, they're thinking about it. They're thinking you bastard, you bullshit to me. You told me you'd get me 1.1 and you've come running back and you're telling me my bedrooms are too small and the kitchen and bathroom need too much work. Yet the kitchen and bathroom are exactly the same way when you store my house, and the bedrooms have not changed size. And the position that you keep telling me it's too busy. Well, it's in exactly the same spot that you saw the property when you came to value it. And now you want to tell me to take the price down. That's why, team, you do not give them an overpriced number, because in this market they're going to jump at you like a cobra and go.

TOM PANOS:

You told me you'd get me that Right. You told me you'd get me that right. So, jonathan, let's role play now the right way to handle price. Is that? All right, let's do it, tommy.

TOM PANOS:

Hey, jonathan, you mentioned you mentioned a figure of 1.1 on the phone when I made the appointment and i've've got to tell you that would be a fantastic number to achieve in this market fantastic number. I've brought with me three comparable sales in the last two weeks not three months ago, but two weeks ago and I've brought with me four or five properties that your home is up on the market against. It's going to be competing and I want to let you know that if we got that 1.1%, I would love to be aligned at that number because, based on these comparables, that says to me that is on the upper end. However, I don't give a stuff about the comparables, because my job is to go out there and find someone that has the same view on value as what you do, not the value on the comparables. My job is to find someone that sees the beauty and elegance of your home that you see, that's my job, and I don't know exactly what it's going to sell for. But what I can tell you is that there's no better agent than me to get you that.

TOM PANOS:

And I want to let you know that the value of your property is actually dependent on four factors location, presentation, the agent you pick and the strategy the agent uses. I've got good news for you. Out of those four, you control three. You don't control the location that's fixed, that's a position, but you've got a good spot. But you do control the presentation and you and your partner have done a beautiful job. It's stunning. So that ticks the box. You do control the agent that you pick, because you appoint the agent and hopefully you pick the best agent and hopefully you think I am the best agent. And then the last thing is you also sign off and appoint the marketing and the process.

TOM PANOS:

So, if it's okay with you, John, what I want to do is spend time talking about the process and not the promise of a price, because you and I aren't going to nail the price today. You see, one thing I don't have is buyer intel. I've got comparable intel. I don't have buyer intel. We are going to get that buyer intel over the next one week because I'm going to do. I've got four or five really hot buyers. I want to bring them through. They might buy it and if they don't, at least I'm going to get their view of what they think of the property. So I'm going to break out a role play Team.

TOM PANOS:

Did you notice? The first version, which is the wrong version, is very definitive. I said it's worth that and you'll get it. I locked myself in a corner. The second version is the desired version I want you to be using.

TOM PANOS:

I actually gave you hope, but I didn't tell you your home is worth that. I actually said the comparables are saying this. And then I said but I don't care about the comparables because I've got to try and find someone who has the same opinion on value as you. And did you notice what else I said to Jonathan? I would love to be aligned at that number. And then what else did I say to Jonathan? I don't have buyer intel, but I do have comparable intel. Did I say to Jonathan I don't have buyer intel, but I do have comparable intel. So what that's done is it's opened up the door for me to be able to get a price correction after I have the buyer intel. Does that make sense? What I did there, Jonathan? It does, Tony. Yeah, it makes a lot of sense.

TOM PANOS:

So what we need to do, team, is we need to make sure that our pricing of property allow us a get-out clause to actually come in and revise their price. Now I know that there's some of you that are watching this now online that are probably saying, Tom, I've got all these properties that are probably overpriced Because when I went and valued them, the market was different and I know what it's like. Sometimes we valued properties in March, April, that came on the market in September and a hell of a lot has happened from March to September. And now what I suggest you do is you that's given you a test ride of the real estate gym. In the real estate gym, we've got all the information you need to succeed, whether it's prospecting, listing, presentations, scripts, dialogues, how to actually have the best templates and have a process-driven business. You can join the real estate gym. The doors are open now and it is less than one coffee a day as an investment.