Good Sales People Aren’t Born, They’re Trained.
“But I’m not a salesperson,” you say. “I don’t need to close sales because real estate investing doesn’t require sales. That’s why I have an agent who sells the houses for me!”
Excuse me while I take a sip of my coffee to suppress my chuckling.
You could be the best in your area at marketing and creating leads. You could have all the distressed houses at your fingertips. But unless you can get the seller to sign, you’re out a whole lot of work while someone else snags up the properties. The ability to sell isn’t exclusive to used car salesmen or corporate jobs.
If you’re waiting fore deals to fall into your lap because you don’t want to “sell,” then you might as well make yourself comfortable because you’ll be waiting a while.
You need to be able to sell to create opportunity for yourself.
If you can’t close a deal, you don’t have a deal.
Though it takes practice—and for some, training—being a top-performing closer will drastically shift your real estate investing from hobby level to replace-your-job level. If you’ve been on a webinar with me, chances are you’ve heard my Circle of Wealth goals for you. First, you need to earn $250,000 in liquid capital. Do you think that first step to life-long wealth happens by putting out hobby level effort? I won’t even continue with the steps needed to create life-long wealth, because if you can’t close a deal, you won’t get much further than step one. (You CAN read more about it: <CLICK HERE>)
But closing a sale doesn’t have to be daunting, and you don’t have to be a character straight out of The Wolf of Wall Street to succeed at it. In an effort not to overwhelm, let’s start with the first 4 steps in training to be a winning closer. Master these and we’ll up your game even more.
- Have Multiple Strategies
This is why I teach on making a 3-tiered offer. If you only give the seller one opportunity to say yes, you’ve instantly reduced your odds for success by way more than half. Even with a 3-tiered offer, you need to have several approaches ready to employ. Closing a sale is like going on a road trip. If you don’t have enough fuel, you aren’t going to get to your destination. You need more strategies than the homeowner has objections.
- Stop Buying the Seller’s Story
When talking to a potential seller or distressed homeowner, we need to ask questions to glean as much information as possible. And when they start in on their story, our ears need to perk up because it’s that pain point that we can fix.
Never glaze over the meat of the story. Maybe it was divorce that lead to financial distress and pre-foreclosure, or a loss of a family member or a layoff for the bread winner. Whatever the root of the distress is, pay attention! You are not their councilor, swooping in to fix their problems, nor do you want to use their pain for your gain. But if you let the homeowner sob into your shoulder about their pains without offering a solution, you’re not doing anyone a service.
Get the homeowner out of their own head by selling them on the solution. You can provide them with the cash they need to start over, you can give them a life raft out of their sinking ship, you can untether them from a bad situation by providing a monetary solution. But the more you buy into their story without selling them on a way out, the more you reinforce their victim mentality and set them up for failure.
- Apply Pressure to the Wound
Let’s say you suffered a serious wound on the leg and began bleeding out. You’re weak from the blood loss and don’t have the strength to rip off your shirt and tie it around the cut with enough force to slow the bleeding. An acquaintance is nearby with a sterile bandage in hand, but they are too afraid to apply pressure to the wound, believing that pressure is rude and unprofessional. And so, you continue to bleed.
You’ll encounter distressed homeowners who are bleeding out financially. For whatever reason, they don’t have the strength or knowledge to fix it themselves, and though they won’t come out and ask you to apply pressure, if you don’t, their situation won’t change.
Pressure doesn’t have to be a bad word. If the solution you’re offering someone is wise, well addressed, and valuable, then they may need a little persuasion to see it as such. When you see a wound, sometimes you need to apply a little pressure.
I’m not talking locomotion, I’m talking education and practice. Sales people are the third-highest paid profession on the planet, directly behind doctors and lawyers. Consider how much time both doctors and lawyers spend in school and in practice before becoming professionals in their field.
Don’t believe you can just jump in and close your first deal and then get discouraged when it doesn’t work out. I’ve seen too many people give up prematurely because they didn’t understand that to be great at anything requires practice and developed skill. You can learn the skills; I can teach you that. But the fortitude must come from you.
You may have to get uncomfortable for a while. You’ll stretch your selling muscles, make mistakes, learn from them, and improve. But remember to ask yourself, “Who am I NOT to do this?”
YOU have what the distressed homeowner wants: a way out.
By not doing your absolute best to get a deal under contract, you’re actually doing them a disservice by leaving them in the bad situation you found them in. Not every deal is going to close, and that’s okay. Like the rest of business, it’s a numbers game.
Put your best foot forward, lead with love, and help others.
If you’d like the hands-on training needed to catapult you from meandering salesperson who hopes for good deals into a confident closer who enters each potential transaction with the needed skills and tools to secure a deal, then stop waiting and wishing. Act now and call us at 800-473-6051 to discuss the necessary courses or coaching to get you there.
Don’t worry, we’ll only apply pressure if you’re bleeding.
Lee A. Arnold
The Lee Arnold System of Real Estate Investing