In our last article, we went over some of the critical disclosure agreement considerations that all real estate agents must understand. Selling homes is a complex process, and in order to keep yourself out of legal trouble, understanding each facet and providing quality service can minimize your exposure. Once you’ve got the procedures down, you can start focusing on growing your business. Since you are in control of your commissions, what better way to earn more income than focusing on boosting your average sales price? While this process takes time and practice, honing your skills means more money for you while you build a great reputation within your community. Before making any sales, protect yourself and your business with a Real Estate Professional Liability policy.
Start with listings rather than buyers.
It’s easier to control the average sales price on the listing side of the business than it is when working with buyers. When we connect with a buyer, we don’t have much influence on their price range. When we focus on getting listings in higher-priced areas instead, we have much more control on the average sales price. Additionally, the buyer leads we generate from higher-priced listings are looking for more expensive homes, which is a double win, explains RIS Media.
You can’t set realistic and attainable goals if you don’t know where you currently stand. Ask yourself the following questions to set a baseline for your success:
- How many homes have you sold within the past 12 months?
- How many of those were buyers? How many of those were sellers?
- How much did you earn for each home after closing costs and fees?
- What is the average listing price for the homes you’ve sold within the last year?
It might be tempting to shoot for the luxury market immediately after setting your goals. However, this takes time and patience. Instead, determine your average sales price and increase that goal by 50%. Once you’re successful within the higher sales price market, continue to increase your home sale’s price by 50% each year.
Put in the effort.
Working with affluent customer can be intimidating. However, it’s no different than the past clients you’ve worked with. Just understand what they’re looking for, dedicate your time to addressing their needs, and communicate/disclose information as it becomes available. If they’re happy with your service, they’ll likely refer you to friends and family.
About Daniels Insurance, Inc.
At Daniels Insurance, Inc., we have a unique understanding of the risks that businesses like yours face on a regular basis. With the backing of our comprehensive coverages and our dedication to customer service and quick claims resolution, your business will be fully protected. For more information, contact us today at (855) 565-7616.