Ideas for Working with For Sale By Owners

I have been working with For Sale By Owners on a regular basis since the early 1980’s. Prior to writing this article have avoided writing on this topic so I wouldn’t help my competitors. But since I have returned to the world of friendly competitors (St. Charles County), I will live up to that spirit and share some insights I have about the By Owner sellers. But I won’t give away all of my secrets! (yes, this first paragraph sounds just like the Expired Listings article.)

The first thing you need to do is set up your system. Years ago, before computer systems, I was told to always track FSBOs by their phone number rather than the ad, as the ad will change. Now I use AgentOffice, but always check the current ads by the phone numbers. That was very good advice. If you sent someone the same initial mailing it would not cast you in a very good light with the FSBO seller.

Before you start, you need to understand the By Owner seller. They are selling on their own for a variety of reasons, so don’t assume anything, but instead address several of the reasons in your mailings. Here are a few of the reasons I’ve heard noticed:

They had a bad experience with an agent in the past and felt like they would do better themselves (that’s also the reason many people get into our industry).
They had a good experience with an agent in the past who made it look very easy, so why should they pay someone this time.
They think it will cost them too much money to hire an agent. Before my father died recently, he loved to tell about how stupid his oldest friend was. When he wanted to sell his home in San Antonio, he refused to list despite what my father told him (with a little help from me) because it would cost him too much money. When a neighbor saw his FSBO sign, he asked the friend how much he wanted for the house. After being told the amount the neighbor went and got his checkbook and wrote him a check for the full amount. Sounds like not using an agent cost him a lot of money!
They don’t know any better! Yes, there are some people out there who still don’t know about us.

Another thing to remember is that most FSBOs are really nice people. Well, except for one of the first ones I talked to. When he answered the door, he yelled at me “If I had wanted an agent to come to my home, I’d have called on. Get out of here.” That image is still in my mind. Getting through something like that will either toughen you up or make you quite!

The second step is deciding what method of contact to do. Ideally, you should do some mailings, some phone calls and some door knocking. You need to try different things and see what works best for you. I still try door knocking and calling, but know that I have had the best luck with mailings. Whatever methods you choose, do not settle for only one contact. The more they see you, hear from you or see your name, the more they will remember me.

Nothing is more exciting than getting a phone call saying “Come over and list my house”. OK, there are two. One is going on a listing call and seeing all of your post cards stacked up and the other is going on the listing call and starting on your presentation only to have the seller interrupt you and had you a piece of paper and says “This is the information you need for our listings.” That is why I continue to do this, for those wonderful moments when it comes easy. But the reason it comes easy is because I first understood them and contacted them with materials that addressed them and their situation rather than telling them that I’m great. That is the goal of all of your contacts to them. Make it about them, not about you.

Here are a few things I’ve heard about over the years that I do not thing works:

Talking down to them, like you think they are stupid for trying on their own.
Giving them so much detailed information that they will realize how hard it is to sell a house and call you.
Telling them about all the risks they are facing and hope that the will be afraid and call you.
And, of course, there is the “I’m the greatest. I’m #1. I’m the only one who can sell your home.”

Don’t the sound stupid when put that way.

Now is the best time to get started working with For Sale By Owners.

The author of this article is Linda Grissette. Some of you may remember her as Linda Grayson. Linda is a Broker-Associate with River City Real Estate. She is also the company trainer. Learn more about how River City Real Estate can help you make more money...even in today's market...browse through this site.

If these articles makes you interested in learning more about the real estate company who would hire the Linda as their company trainer, simply fill in the information below and click on "submit". Linda will call you back as quickly as possible, but within the times that you requested. And don't worry, everything response from this website is kept confidential.

All content of this web site is copyright protected. Our copyright will be legally defended. Linking to our content is always acceptable. Besides the copyright issues, if you copy this content to your website, it will hurt BOTH of our websites! Don't do it!