Learning how to work with luxury clients is like learning a new language.
It requires a different vocabulary, a different mindset, and a whole different set of rules than working in the traditional real estate market.
That’s why joining us on our latest episode of Estate of Mind is Debbie De Grote, expert luxury real estate professional, coach, and founder of Forward Coaching.
This eye-opening episode answers the very frequently asked question, “How do I make more money as a new luxury real estate professional?” It also breaks down practical ways to reach the next level in your practice using real life strategies from Institute Members and Debbie’s own students.
Besides learning how to make more money as a new luxury real estate professional, Debbie and Diane also discuss:
How Debbie broke through the luxury barrier to earn higher price point listings by identifying opportunities (like expired listings);
How to become a market expert;
Characteristics of luxury buyers and sellers;
How to “get in the door” as a new agent;
What Debbie recommends putting into an expired package;
Why listings expire and how you can market them correctly;
Having that honest (but positive) conversation with your client;
Pricing strategies for luxury homes;
Where to find luxury opportunities.
How to Compete With the “Old Players” In the Neighborhood
One of the biggest challenges for new luxury professionals looking to make more money is knowing how to break into their local luxury market in the first place. Generally speaking, breaking through to the upper tier often requires a big budget to compete with the “old players” who have dominated a certain area for years, so it’s no easy task.
So how does a new luxury real estate professional manage to become the new neighborhood expert?
Debbie suggests starting with expired listings, and recalls how one of her top-performing students was able to make a name for himself in one of the most saturated markets in Southern California using this simple strategy.
Though she suggests making sure the seller is realistic about the price, Debbie says selling expired listings is one of the best ways to start building momentum and your marketing budget.
Working Expired Listings With Confidence
Taking the strategy conversation one step further, Debbie provides step-by-step guidance on how to find, follow up on, and even win expired listings.
She says the thing that trips up most new luxury professionals in the process is confidence. Far too many luxury professionals assume they won’t be able to secure the listing, or work it once they have it. Her advice? Stay informed on the market, and call them anyway.
Giving another real life example, Debbie talks about how one of her students secured an expired listing that was originally above the $3M price point. After three failed-listing attempts, her student secured the listing at $1.4M – and sold it for $1.3M – because the seller was eventually able to agree to a more realistic price point.
So, if you’re looking to make more money as a new luxury real estate professional, don’t be afraid to put your name in the running in the expired market, even if the original listing price is high.
What to Put In Your “Expired Package” to Resonate With Luxury Sellers
Once you’ve decided to pursue expired listings, what should you put in your “Expired Package”? Debbie says the biggest mistake both new and seasoned luxury professionals make is trying to pitch themselves in their marketing materials.
Instead, she says to put yourself in the seller’s shoes, and help them understand some of the reasons why their property didn’t sell.
For instance, Debbie’s students use a booklet that explains how unsold listings aren’t always about the property itself, but about the marketing, the targeting, or even the timing. This helps encourage the seller to try again, rather than wondering “What’s wrong with me and my house?”
This is a more indirect approach, but it helps position you as an expert without being pushy. At the same time, Debbie suggests consistently following up, especially in saturated markets where expired listings will inevitably attract many other luxury professionals who are also trying to secure the listing.
Looking to Make More Money As a Luxury Real Estate Professional?
The Institute has a wide range of resources for you to invest in yourself at any stage in your luxury real estate career – even if it hasn’t begun yet.
Visit your Membership Portal for brand new training sessions, as well as our book, Rich Buyer Rich Seller: The Real Estate Agents’ Guide to Marketing Luxury Homes, which is available for free to all Institute Members and also available on Amazon.