The majority of real estate agent lead-generation tactics require costly investments. This is particularly true when working with buyers, as you must conduct buyer consultations, schedule inspections and appraisals, facilitate loan approvals, and more.
Expired listing leads offer an excellent opportunity to build relationships with homeowners and close sales without the typical investment required of working with buyers. Learn how to tap into the untapped potential of expired listings with our new guide.
Locations with a High Concentration of Expired Listings
Expired listings often have a higher conversion rate than new leads, resulting in a greater return on investment. However, real estate agents need to know where they will most likely succeed to maximize the potential of expired listings. This will help them focus their efforts and optimize the results of their marketing campaigns.
When contacting owners of expired MLS listings, you should be prepared to answer common objections. It is essential to build rapport by letting them know that you understand their situation and are here to help. You can also highlight your local market expertise and ability to sell homes quickly.
Another great way to nurture expired listing leads is by using drip marketing. This is a series of automated emails that are sent to your contacts at regular intervals. You can send your contacts helpful real estate tips, market updates, neighborhood reports, and even case studies of successfully selling previous properties. You can build trust and convert expired listing leads into clients by providing value.
Overpricing
Expired or withdrawn listings offer an attractive prospecting opportunity for real estate agents who take the time to identify their root causes and implement effective strategies for reviving them. This process can be considerably faster than working with a prospective buyer, as homeowners are already committed to selling their property and may be willing to work with a new agent who can help them reach their goal of completing a transaction.
Overpricing is one of the most common reasons a listing expires, as it can deter potential buyers and lead them to choose competitors who offer a more reasonable price point. This is why it’s essential to run comparables on expired listings before contacting the homeowner, as this will reveal if their asking price is irrationally high and can be used as leverage during negotiations.
Expired listings present an ideal prospecting opportunity for real estate professionals, whether in major metropolitan areas, seasonal markets, or suburban communities. Real estate agents can convert expired listings into successful transactions by addressing their root causes, implementing effective prospecting techniques, and leveraging their local market expertise.
Lack of Market Awareness
Expired listings represent an excellent opportunity for real estate agents to market their skills and expertise. Unlike working with active listings, which require an agent to handle buyer consultations, organize inspections and appraisals, help clients qualify for financing, and more, pursuing expired properties is a relatively low-cost prospecting method. Plus, owners of expired listings are often frustrated with the need for more progress in selling their homes and may be receptive to hearing about new marketing strategies.
Whether located in major metropolitan areas, seasonal markets like mountain resorts, or suburban communities, expired listings can offer unique opportunities for real estate professionals willing to invest time and effort into them. With proper research and a strong understanding of the local market, real estate agents can revive these properties and turn them into successful transactions.
To begin capturing this lucrative market, agents should start by researching the reasons for listing expiration in their local market. Then, they can use that information to develop a strategy for reviving these properties. Finally, they can implement their action plan by leveraging digital tools and traditional marketing methods such as postcards to drive leads.
Competition
Expired listings can provide real estate agents lucrative opportunities to close deals in competitive markets. The key is to target properties that aren’t in the hands of other brokers and to market them effectively. In addition, it’s essential to avoid negotiating with sellers who are unrealistic or emotionally tied to their property.
Sellers who have experienced failed attempts to sell their homes will often feel burned by previous brokers, making them less receptive to new marketing approaches. But if you can explain how you’ll do things differently, you may have the chance to convince them to listen to you.
Some expired listing leads will be more responsive than others, and it’s a good idea to prioritize them based on your market analysis. For example, you might want to focus on mountain resort areas that experience seasonal fluctuations in real estate activity. These properties present unique opportunities to market them as year-round vacation homes instead of just summertime getaways.
To help you succeed in your expired listings prospecting, it’s helpful to rehearse scripts before making calls. By practicing them, you can develop an instinctive approach that feels natural and confident to the people you’re talking to.
