Tips for Converting FSBO Listings

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Real estate agents often have questions regarding successful methods for converting For-Sale-By-Owner listings into their own listed properties. The good news is that there are several reliable tactics you can employ when you are approaching your FSBO leads that will help you strike up a conversation, establish your worth, and ensure that you will be the agent they choose should they decide to pursue a traditional listing. 

1.) Begin by Acknowledging Their Can-Do Mindset

Most homeowners who decide to handle their home sale independently do so because they are confident in their ability to sell their home themselves, and they want to avoid paying commission fees. 

When you meet someone who has decided to list as FSBO, congratulate them on their independence and thrifty mindset. This approach puts you both on the same side and contributes toward establishing a positive rapport. When you acknowledge their intentions with positivity and understanding, the homeowner will feel validated and respected. 

2.) Introduce Yourself as a Listing Agent

Early in the conversation, clearly introduce yourself as a listing agent with a specialty in successful real estate marketing. Avoid the temptation of mentioning potential buyers, because doing so makes you immediately seem like a buyers’ agent. Your ultimate goal is to get the listing, so focus on your results-driven marketing skills.

3.) Establish Your Added Value

Once you have explained your marketing success, begin to describe your abilities in concrete terms. If home staging, social media marketing, traditional media marketing, and aggressive pricing are methods you commonly use, say so! Offer to share some of the methods you’d use for their property should they ultimately decide to list with you.

4.) Incorporate a Casual Mention of Your Buyers

If the conversation is going smoothly, it is ok to briefly touch on the fact that you have some qualified buyers who may be interested.

 You might say, “With the current shortage in the rental marketplace, we’re seeing more than the usual number of qualified buyers who are competing to purchase homes. If you would like to work with me, I’d love to speak with a few specific buyers and see if they would like to view your home.”

5.) Book an Appointment That Very Day

If you feel you have established your value and sparked their interest in your marketing strategies, ask when they would like to meet with you. In order to make this request non-threatening, we suggest the following:

    1. Make sure they know that you’re requesting an appointment to see their property, not to list it.

    2. Tell them you’d like to offer complimentary advice and marketing suggestions.

    3. Ask what their next step will be if their home does not sell as quickly as they’d like.

    4. Follow up by asking how much they will lose if their home remains listed as FSBO for 3 months.

6.) Bring a Solid Marketing Plan When You Do Meet

When you arrive for your meeting, you must follow through on the promises you made. Prepare strategies you’re willing to share and have a concrete marketing plan printed out for the client(s). Focus on visuals; a plan that appears less-than-professional will almost guarantee a sharp decline in their assessment of your abilities.

7.) Ask If They Are Prepared to List

By this stage, they understand your intentions, abilities, and your desire to assist them by listing and marketing their home. Maintain an open and cheerful attitude but do ask if they are prepared to list with you. It’s time to hear how their mindset has changed—or remained the same—after your conversations and efforts.

8.) Be Congenial Should They Refuse

Not all homeowners are realistic about their own ability to sell their home—and that’s okay! Some homeowners do get lucky and manage to arrange beneficial sales in a short amount of time. The key is to remain pleasant, helpful, and cheerful at this stage if they decide NOT to list with you.

After all, in a month, they may change their minds. It’s vital that they still have an excellent opinion of you in the future if they do decide to pursue a more traditional method of listing their home.

9.) Check Back in if Their Listing Languishes

If you don’t hear back from this FSBO lead, check back in with them if you see that their home hasn’t sold in 3 weeks. You might say, “I wanted to call to see if you would like assistance with your listing. I’m concerned about the financial hit you’re taking while your home remains on the market. I believe I could ensure a much quicker sale!”

10.) Remember That You May Still Gain a Referral 

Even if you do not convert a FSBO listing, the homeowner may still recommend your services to a friend or family member. If they are impressed by your demeanor, services, and experience, they will be more likely to suggest you as a listing agent. 

They may say, “We listed on our own, but it took a lot longer than we had hoped. We ended up spending a lot of our own time, losing more money than we projected, and experienced quite a bit of stress. If we had it to do over again, we’d have listed with a good agent. Come to think of it - we did meet one we really liked.”

So never give up, never lose your positive tone, and stay focused on communicating your skills, experience, and added value. 

Whether you decide on the cold call method, sending an email, or stopping by the home, assume that your interpersonal skills will always be the key to converting FSBO listings.

Parks Realty