Most real estate agents spend a lot of money to get leads, but not enough time focused on converting those leads into actual listings.
And one of the most underrated areas of lead management and conversion is prospecting calls.
These calls can be an extremely profitable activity when done correctly and consistently. However, many real estate agents either avoid prospecting call altogether because they dread doing them or they do them sporadically.
So today, we want to talk to you about common mistakes that realtors make when trying to pick up leads on prospecting calls and how you can avoid them in the future to land more listings. Let’s get started!
1. Not having a prospecting plan in place
Top real estate agents know that prospecting and lead generation is the MOST IMPORTANT activity they can do to build their business. In fact, as an agent gets more successful, they actually need to INCREASE these activities. If you absolutely hate prospecting or know you won’t be able to manage the time to do it consistently, Real Agent Pro services are the perfect option.
2. Setting off sales triggers in the first 30 seconds
A common mistake that most real estate agents make is setting off sales triggers in the first 30 seconds of the conversation. As soon as you set off a “this is a sales pitch” trigger, the prospect will shut down and be more likely to give you a knee-jerk reaction to anything you say following.
The easiest way to engage a lead is to focus on creating an interactive dialogue. Before you start talking about yourself and what you are calling about, start with questions about their home and their experience trying to sell it.
3. Handling knee-jerks as if they are objections
Getting a knee-jerk reaction on a prospecting call is common and should be expected. It’s important to remember that these reactions are not actually objections and they shouldn’t be the end of the call!
Most of their reactions can be anticipated so you can be prepared with automatic responses to make them feel at ease. Whether they are asking you what the call is about or if you are a buyer or an agent, having supportive, confident responses to these questions will go a long way in building their interest in working with you!
It’s important to always be upfront with the prospect in your response and avoid telling them your life story. Your response should be enough to satisfy the prospect’s question while continuing to lead them through the conversation with questions about their home.
4. Not communicating direct benefits with the seller’s interest in mind
If your response to knee-jerks does not showcase how the seller will benefit from the conversation, they will start to build objections until the conversation is over. It is important to quickly find the seller’s pain points and motivation for selling their home.
Start by asking questions about why they are trying to sell their home and if they’ve already tried to sell their home, ask them why they believe their home failed to sell the first time. These 2 simple questions will give you everything you need to know to deliver the appropriate response based on their pain and motivation.
5. Not giving a sense of urgency to meet/act
The goal of your prospecting calls should be to set up an in-person appointment. And if you don’t properly display a sense of urgency to set this meeting, you’re not likely to get the appointment.
So, it is important to show the prospect the immediate benefit they will receive from meeting with you as soon as possible so that you can leave the call with an actual time, date, and location of that meeting.
6. Not properly overcoming an objection
The main reason why a lot of agents never get to the point of making an appointment is that they don’t have the right script to overcome the objections that are thrown their way. And most objections are just blow offs and simple to overcome. So, make sure that before you even place a call, you know the objections that you may receive, and you have the proper responses prepared to secure an in-person meeting. The good news is that the potential objections are commonly known and therefore easy to prepare for ahead of time.
7. Over talking on the call
Making a prospecting call can be nerve-racking. And when you are nervous or anxious, it’s easy to over talk on the phone call losing the interest of the prospect.
The seller on the other end of the phone is not going to lead the conversation. You must do it! So be sure to keep your points simple, ask the right questions, and close the call by asking for and securing an appointment.
8. Not using a strategy of preeminence
The script and planned responses that are given on your prospecting calls need to tie into the seller’s motivation while also conveying that you aren’t trying to make a quick buck. Convey that you want to provide them with value and help to sell their home. And let them know that if you aren’t the right fit for them, then you will understand and walk away.
This may seem hard to incorporate in your strategy, but if there is not a mutual recognition that this is the best fit to get their home sold, then they will seek another agent to list their home anyway.
9. Not implementing effective follow-up systems
Many real estate agents spend so much time and energy worrying about the initial contact that they forget to set up the proper follow-up system to nurture the leads that are captured.
If you are unable to get the appointment after the first call or the listing after the first in-person meeting, then your next move is to trigger the appropriate follow-ups to push the lead through your conversion funnel until they are a client. And even with those who you do win over, it is still important to have a system in place to follow-up and continue to create a long-lasting relationship with the client to generate repeat business and referrals.
10. Not tracking your metrics
If you want your real estate business to grow, then it’s critical to use your time and efforts in the most effective way to generate more listings on a consistent basis. And that starts with knowing your metrics.
It’s critical that you know how many phone calls you need to make to get an appointment. You also need to know how many appointments it takes to generate a listing. And how many listings it takes to generate a closing!
If you don’t know these simple metrics about your business, then you are taking a shot in the dark every time you make a prospecting call. You’re also more likely to give up the process before you can reap the benefits. Understand your metrics and you will understand what it takes to grow your real estate business. You’ll have the patience and discipline to see your plans through.