San Francisco Real Estate: “The Scoop”

There are times when an objection should be aclmowledged and set aside for later in the sales process. This is calledDeferring Objections and it follows this model:1. “\’X1hat are your concerns with an Exclusive?”2. “If1 can address those concerns to your satisfaction at our next meeting, what other concerns would keepyou from exclu ively listing?”Closing usually involves summarizing the benefits of selling, formulating a plan, and asking for permission toproceed. Close “vhen you think the client is ready, not before.13SKILL 1: OPEN-ENDED QUESTIONSWhen trying to uncover information, ask open-ended questions thatinvite the listener to talk about his or her own investment, goals, andconcerns../ Open-ended questions usually begin with: Why, How, Tell meabout, Explain, or Describe../ Why are you … ?./ What change do you need to see?./ How did you … ?./ Describe for me … ?./ Questions that begin with Do, Are, Which, Does, Have, Is, andHas, are usually closed-ended. They tend to limit the range ofanswers and stifle conversation../ Prepare questions before you meet with a client.IIFINAL TEST QUESTlONS:II./ Explain the goal and technique of open-ended probingI questions../ Provide four examples each of how open and closed questionsare commonly phrased. (e.g. “Why do you… ?)./ Consistently ask open or closed questions on-cue, inexercIses.14i\Content .,. … . …SKILL 2: CONVERTI G FEATURES TO BENEFITSClients don’t want to know about our services, they want to know howour services can help them.They want to hear the WllFMs. (”What’s In It For Me?”)Therefore, you have to be skilled at describing the Features of ourservices as Benefits for the client.We convert a feature to a benefit by using phrases such as thefollowing:• Which means that. ..• In other words …• As a result. ..

quality inventory and we have a track record.

3. You are the ri ht a ent for the assi nment.

. FINAL TEST QUESTIONS:

./ Cite the three common interests of all sellers.

./ Cite the three primary points of the Value of Representation.

./ Explain how our size and experience attract a higher price.

./ Explain how exclusive listings bring a higher price.

./ What can you do for an owner that he or she can’t do alone?

./ What can you do for an owner that another broker candidate

can’t?

./ What can you do that will actually cause a buyer to pay more?

1I

SUMMARY: THE BENEFITS OF MARCUS & MILLICHAP

CLASS DISCUSSION:

Have volunteers explain the client-benefits of the following:

./ Exclusives:

./ Pass-through Deposits:

./ Market Research:

./ MNET:

./ Largest pool of I031 buyers:

./ Monday morning sales meetings:

./ Individual specialization:

./ Our specialization in investment sales:

12

SECTION 2: Sales Skills

OVERVIEW: We use sales skills to more effectively uncover and satisfy the client’s objectives.

of the client’s answers.

1. Op~n-ended Q~estions

2. Features & Benefits

We askstrategic questions to gather in~9rmation and um.:;ov’:E client -.,,-_._,,,

Open P;bbes encouni~e t~l cU~nt tark. freely. … ‘II

./ Closed Probes, such as “yes Or no questions”, limit the

Don’t just describe your services; specify the benefits of those services for the client.

questi<;>ns:

:’~;’: “

3. Windows of Opportunity An owner may refer to a worry or ~ decision that he or she iSinaEng. Thl§is your opp5ttunity fo help.

4. Managing Objections We have a simple four-step method for managif:lg o1?jecqpns;

./ Clarify and ConEirn1 Underlying Concerns

./ Provide Information

5. Incremental Agreement

6. Trial Closing

7. Deferring Objections

8. Closing

./ Verify Unders~nding

./ Close

If the client agrees with each step of the logic, he or she:will agree with your conclusions.

……………………………………………“‘…

Trial closes measure the client’s readiness

, FINAL TEST QUESTIONS:

1. List the perceived advantages and disadvantages of thefollowing:• FSBO• Open - Listings• Exclusive listings• A Marcus & Millichap ExclusiveThe perceived advantages and disadvantages of different sellingmethods:,,/ FSBO: fee, control.,,/ Open - Listings: perceived exposure; agent relationships; fee.,,/ Exclusive listings: marketing; commitment of the listing agent;motivation of buyers’ agents; buyers see the seller’s commitment.,,/ A Marcus & Millichap Exclusive: All of the above, plus a largenetwork of agents and their buyer pools; the largest pool of 1031exchange buyers; the expertise of our specialization in investment·real estate; our track record; our marketing plans; our timely andspecific market research.9PROBABILITY BROKERAGEYour success depends on your ability to focus your energy on deals thatare likely to close. Pay close attention to the following:./ The client’s acceptance of market realities./ The potential buyer base for the product./ The availability of financing./ The quality of the underwriting./ The size of the deal./ Your knowledge of the product type and marketFINAL TEST QUESTIONS:./ Explain the concept of probabi lity brokerage.10THE VALUE OF REPRESENTATIONOur goal is to serve our cl ients’ interests. All clients have three basicinterests - they want to sell their properties …1. To a buyer who will perform.2. In the shortest period of time.3. At the highest price and best terms possible.These three goals are the client-benefit of everything we do. TheValue of Representation explains how we accomplish this. It is thecentral feature of our presentations and our belief system.The Value of Representation makes three points:1. Exclusive listings bring a higher price./ They send a message about the seller’s seriousness../ They motivate the agent to market aggressively.2. Marcus & Millichap can position the property to attract ahigher price../ We have a large network of agents and buyers and amandated culture of information sharing. This exposurecauses a bidding environment and a higher price../ We attract serious buyers because we have large, high

4ContentBuild Long-term Client Relationships via TICKETI. Trust2. Integrity3. Credibility4. Knowledge5. Enthusiasm6. Track RecordNotes, FINAL TEST QUESTIO S:./ Explain how you will cite your track record.6Content . NotesFIRM-WIDE SPECIALIZATIOMarcus & Millichap specializes in marketing investment real estate.This results in:,/ Increased market information and understanding.FINAL TEST QUESTIO S:,/ How does the client benefit from our specialization inmarketing investment real estate?./ A larger pool of qualified buyers../ Better marketing techniques.,/ An expert sales force. i,/ Contacts that can increase the probability of completing –’i–transactions.7(Content

INDIVIDUAL SPECIALIZATION

./ Each associate specializes in one geographic area and product.

This results in increased expertise and more credibility among

local owners.

./ This focus also enables you to develop stronger relationships and

better name recognition .

./ Branding

i FINAL TEST QUESTIONS:

./ Explain seller and broker benefits of individual specialization.

8

Content,

BENEFITS EXCLUSIVE LISTINGS,,/ Motivate the agent to market the property aggressively becausethey are more probable than open listings. This will attract morebuyers, which in tum, increases the likelihood of a high price.,,/ Indicate to buyers that the seller is committed. This attracts 1031Exchange buyers, who are particularly motivated and may paymore for your property.,,/ Provide some legal protection for the seller.,,/ Relieve the seller of some of the workload of marketing theproperty and fielding inquiries.

with above.)Friday1. Final Test2. Topics in Real Estate3. Role-Play Practice4. Legal Considerations5. Business Planning and Activity Levels6. Instructor Assessments & Video (Concurrentwith above.)2Course Overview1. Standards:Our agents depend on our reputation. Our job is to defend that reputation by helping you meet their high standards of skills andknowledge. Perform well in these tests and role-plays and you will join their ranks../ Final Test:All of the test questions are in the training book../ Final Role-Play Assessment:On the final day of training, your coach will test your skills and provide personalized advice about your business plan. At thatmeeting you will identify the skills you must improve before the Graduation Review../ Graduation and the 90-Day Review:In ninety days, you will have the opportunity to demonstrate your progress to your coach. If you meet the rigorous standards ofour firm, you will graduate to full agent status during that meeting.2. Participation:./ Exercises:During the team competitions, you will win points by demonstrating the specific skills. On the final day, the best team will wina prIze../ The Daily Firing Squad:At the end of each day, the teams will compete by fielding questions from the class. The questions must be based on the day’slearning material. During each day, collect tough questions and prepare to answer questions yourself.SECTION 1:The Marcus & Millichap Philosophy and StrategyrooteDtOUR

I I r ( (’i ( ( ( { ( J I ( I ( i I { ( { ( [ I { ( ( ( ( I . I f r I I~~~- -~New Associate :rrair-ling—-~-~(Table of Contents(I. Schedule 311. Course Overview 4I. The Marcus & Millichap Philosophy & Strategy 52. Sales Skills 143. Quiz 224. Business Development Contacting 235. The First Listing Appointment 466. Financial Analysis 617. The Proposal and the Second Listing Appointment 628. Leased Properties 639. Final Test 6410. The Real Estate Field: Open Discussion 65II. Legal Principles 6612. Business Planning and Activity Tracking 67Monday1. Course Overview2. Introduction to Marcus & Millichap3. Sales Skills4. Firing SquadTuesday1. Value of Representation Quiz2. Business Development Contacting3. Firing Squadi Wednesday1. First Listing Appointment2. Firing SquadScheduleThursday1. Financial Analysis2. The Proposal and Second Listing Appointment3. Leased Properties4. Role-Play Practice5. Firing Squad6. Instructor Assessments & Video (Concurrent

Rent Schedule This information has been secured from sources we believe to be reliable. Brokers USA makes no representations or warranties,