Million Dollar Agent
Million Dollar Agent
Listener questions: Selling with Integrity & Maximizing Off-Market Sales
Drawing from listener questions, we delve into the ethics of influencing clients' decisions, focusing on the importance of putting their interests first.
We share our experience from a Strathfield sale that achieved a remarkable price with minimal market exposure and the approach to discreetly navigating these unique deals.
We then outline the art of transitioning these quiet listings to public campaigns, leveraging qualified buyers and the influential reach of social media.
Tom Panos, john McGrath, troy Malcolm, million Dollar Agent, the podcast. We're up to around 800 episodes. I think Troy Thereabouts Around about Thereabouts.
Tom Panos:We started like this has got to be one of the longest serving things I've actually done in my life. I mean, don't get us wrong, we've actually had times that we've not done it for a few weeks in a row, but today I'm pumped because questions are all about what matters to the listeners and I've got three questions and sometimes you get weird questions, but these are questions that I think the masses would like. So, before we kick off, how are you both? Start of the week.
Troy Malcolm:Yeah, great, great. Happy Christmas. Happy Monday for the weekend. See you, tommy Happy. Greek I think we've done it so long because we enjoy it.
Tom Panos:Sorry, John, I missed that.
John McGrath:No, that's all right. No, I was speaking at the same time. I was just saying I think we've done it so long because we enjoy it, which is kind of nice to do something you enjoy and not get paid for it, but that's a.
Tom Panos:It would be good to enjoy it and get paid for it. That would be the ideal scenario, right?
John McGrath:Yeah, that would spoil the last decade. No good Questions are good. I love specific questions and I know some of the ones you've sent in today are good. Well, we might have similar or dissimilar answers. Let's get cracking and see.
Tom Panos:Let's go. Question number one. I'm not going to mention who wrote them in. They were sent as DMs on social can do to fast track a seller that is in their pipeline that wants to sell but not just quite yet. What can you do to get them to move faster? I get asked that question often by real estate agents like how do you actually bring people on Troy's nodding? I presume that that comes up in the McGrath network. I mean, I've always had the view If some parents are moving next year because that's when they're moving, their HSC ends on that day or the job transfer happens, that's a condition that you live with. Just because you need to get four listings that month doesn't mean they've got to list their property right. But is there things that you could do in those situations that might influence or encourage sellers, particularly if you in your heart believe it's better for them to do it right now?
John McGrath:Yeah, I think that last sentence, tommy, is critical. I mean, I don't like the word fast track because that suggests self-interest and it's to make my budget or because, you know, I want to get paid quicker. Um, I'm with you that our role a bit like a bit like a lawyer or a doctor, if you will not as important, but is to help diagnose their situation. I'll give you an example. Literally last night I was up at our Oval. As you guys know, I take our two little girl, baby, female Dachshunds for a walk every afternoon at sort of you know, five o'clock, sunset type time, and there's a lovely couple that sit in the grandstand, which is not too grand, it's just a tiny little stand at the Oval and they watch the dogs play every day.
John McGrath:Long story short is I was talking to her and she said we're thinking of going up to Sunshine Coast. I said okay, well, that sounds exciting. And they said, yeah, you know, our house, our place here, is worth one and a half and we could sort of buy something up there for a million and, you know, put the half into whatever. So all I did because they were bringing it with me, they know I'm in real estate, they were looking for my advice. All I did was ask a number of questions to help them identify is this the right decision and when would be the right time? So after a few questions, I kind of came to the conclusion which I checked with them. I said to them look, maria, it sounds to me like you've made the decision to move, you just haven't made the decision as to when to move. And she said and he was nodding, richard, her husband was nodding furiously. And she said yeah, that's the way to put it. And I said so what I need you to think about is what would be the catalyst to make you feel like it's the right time. Now, they haven't got the right answer for that yet and I just said you know, we'll just think about it.
John McGrath:But by asking a series of questions and it wasn't to sales pitch, it was just to try and help them, it was to identify have you made the decision to sell? And if not, let's talk about what are you thinking? What are the pros, what are the cons? And the key thing here, tommy, is to do it selflessly, not with a view to try and twist them your direction, to earn some money, because this is someone's life, which is far more important than two or three percent commission to you. So I just ask so what are you thinking? What's what I literally say? What are the pros, what are the cons? Um, how about this? Have you thought about that?
John McGrath:Here's what I've found in the past and, in terms of timing, what would make it feel like it's the right time? And just by asking a series of questions and I could see them kind of untying themselves in knots last night just by asking half a dozen questions and they, they left the, the park or the meeting a little bit wasn't a meeting, it was just a chat um, feeling better. So I think you know, from my point of view, everyone I deal with knows I'm selfless, I'm coming from a point of what's going to work for you, not me. I figure that if I help you understand, is it the right decision and if so, what is the right timing and I do it without any bias you're going to be predisposed positively towards me and I also think you know life, life short, and this is a big decision. So I'm not going to try and push you in a direction. So I think you know you taught you call it beautifully atomic admission breath. I think you've just got to make sure that, um. So that's why I get rid of the word fast track.
John McGrath:So how I'd rebrief it into whoever sent it would be what questions can you ask a client to identify whether moving is the right decision and whether it's a clear decision?
John McGrath:Or what else do they need to know from you to help them make the right decision for them? And if they, or when they do make the decision to move, what? How can you help them identify the best time? So I left them with a question last night is why don't you have a think about what would it take for you to feel this is the right time? I can tell energetically he, the husband, richard, wants to move faster than his wife and that's fine. But they need to sort that out between them and there doesn't really seem to be any particular catalyst. They've retired. It's not like daughter's going through the hsc. So I just said, just have a think about that and let's have a chat. I'll be back here tomorrow and the next day and the next day and you can ask me whatever question. So I think it's all about good quality questions, um, posed with selflessness, with the client's interest, not your own troy.
Troy Malcolm:Yeah, I agree. Once you've got that understanding of the outcome they're trying to achieve, you then need to become the beacon of information, the data and the insights that, tom, as you said earlier, help influence them to make the right decision. And it has to be the right decision every single time for the client. We should know the stats, the data, every property that's coming to market, every competing property that's like theirs, that's probably going to sell over the next two or three weeks. You've got to give them that information so they can be educated about making the right decision and the insights that we provide with interest rates and general market conditions. But John couldn't agree more. It has to be once you understand their circumstances and exactly what they want to achieve, you then need to go into well, how can I help them realise that at the appropriate moment?
Tom Panos:Yeah, go, tommy go. No, you go, you go.
John McGrath:I was just going to say. It's really about twisting the question around, not to them, but to you. Is, you know, do you have the client's interest in mind? Because it's quite possible that you can fast track. With a bit of snazzy talk and a little bit of kind of biased thinking or, or you know, optimistic thinking, one direction, you can get someone to put their property on the market when it may not be the right decision yet or it may not be the right time, and that would be tragic for me to think I've actually helped someone shift faster than they should have.
John McGrath:They haven't got the best outcome and they're now uncertain as to whether they've done the right thing. I'd rather help them come to the right conclusion. If the right conclusion is we should stay here for another two years, that's great. That's what we teach Now, not just in our company, but you do at the Real Estate Gym, tom, we do at McGrath and through Eric and some of our channels. Like this is you know just what is in the best interest of the client, not what is in the best interest of you, the agent.
Tom Panos:Just listening to you both. I'm going to bring up a case study that actually encompasses what you've both said. It was a property in the Sutherland area. The owner didn't get the price he wanted at auction and I remember going in and I just asked him this simple question Do you want to keep it or sell it? And he said look, I actually know that we've got good money for this property. I accept it, but I really wanted more. So the answer is no. I said no problems.
Tom Panos:Then I said to him out of curiosity, why did you actually set it in the first place? I said I find it fascinating that you've said that you realize that it's reasonable money. But yeah, he goes. Well, I want to go and live close to my daughter. She's separated, she's got two kids and we want to help out. I said okay. So I said so, that plan's out the window now goes. No, he goes, we'll wait for um, we'll wait for the next, next boom. I said okay and I said have you got a home there? That you're moving to is an area called Padstow. I think you've got an office at Reesby with Maddy King there. Anyway, I said have you got a property there? And he goes. No, I'll buy one.
Tom Panos:And I said so if you're telling me that your plan is that you're going to wait till the next boom to pick up what you hope is extra money on Sutherland and then you're going to go buy in Padstow.
Tom Panos:And I said I find it hard to believe that if Sutherland goes up, padstow is going to go up, so you're going to be in a revenue neutral position. And I said and if it's three, four years? I said I figure that probably your daughter needs more of the support now. So I said really the decision you're going to have to make is it's not about money, because you're going to be in the same position If you wait for prices to go up. You're not going to put a lay by on Padstone now. You're going to buy something when the market goes up. And just talking him through that, he ended up doing the deal, because I think sometimes people don't know what they don't know, or sometimes people in our industry have to explain all the things that we've seen that impact them, and I think questions are a very good way to actually articulate it than just statements.
John McGrath:Yeah, I'm not sure that everyone. In fact, I know they haven't. In fact, a lot of people that come to us they haven't thought it through fully and one of the best roles we can play as agent or potential agent is ask some more questions to help them clarify. And you're right, tommy. Look, you know if they're moving from A to B, and A and B are going up the same pace and you want A to go up another 300 grand, well, so is B. So you're right, that is good to point that out to people, but only once you know the lay of the land. So anyway, hopefully selfless.
Tom Panos:Yeah, number two, number two, number two. What is the best approach to encourage some of your off-market listings to go and become an on-market listing? And this is an interesting one, because I don't know, john and Troy, look, there was a period of time in my life when I was working in real estate, and maybe it's because we didn't have the portals back then, but we never really had off-markets. You either had your house up for sale or you didn't have your house up for sale. Now we seem to have another category which is I'm sort of on the market but don't want to really be on the market. So what's your view on that?
John McGrath:Let me rephrase my experience is different to that. I remember from when I started. I've always it depends what your definition of off market is but I've always had a number of people that didn't want to sign out the front in their old days and that was about it. Or an ad in the wentworth courier, um but one. But we're happy to sell at a reason at a good price, but didn't want the hoo-ha and didn't want open for inspections and all the rest. And I get it.
John McGrath:I get it. There's someone who's kind of got a price in mind and it's fairly realistic and they don't want to have lots and lots of marketing activity swirling around. I understand that. So I think and I say that to people today I was out listing just three days ago in Strathfield and I said the same thing. I said I totally understand if I put my property in the market tomorrow, I said I'd prefer to do it quietly, quietly, silently, with, with no open for inspections, and that occasionally works, but more often than not it doesn't work and you've eventually got to go the other route and it might be better. So again, you know, refer to answer number one is, firstly, make sure that they do want to sell and you're not trying to push them, hustle them for your own benefit. So the specific question, though Tommy was around how do you get them off market?
Tom Panos:Yeah, Now, if they're currently an off-market listing and you want them to actually, you know, put a signboard up and get them up on realestatecom. That's the question.
John McGrath:Yes. So the first thing is, I think, ask the questions, just tell me a bit more Tom about why you guys are wanting to do it the off market rather than the on market and then you have that discussion and then I usually well, I always empathise because I totally understand it. If you can get me a record price with one buyer without putting it on the portal, so without it for inspection, I'm very, very happy. Does that happen? One in a thousand it happens. The other 999, it doesn't. So I think you've got to have the conversation to fully understand. You can't propose anything useful until you understand the other side of the customers or the client's objection or perspective. So firstly, just find that out, then empathise, don't debate, don't say, oh no, you're wrong. I always say I can understand how you do that. I think everyone would love to do that and yet most people go to market either sooner than later. So I think that's really important. The second thing of course you can do if they've got, depending on your jurisdiction, if they've got a contract for sale in New South Wales is get some buyers through it, sometimes actually getting some real people through it and getting feedback and having a discussion about that feedback Makes it more real because they can call you and two other agencies and they can sit there and you know, sort of think about it forever. But when you actually give someone a key to your house and have some buyers through it, it starts getting real. So I think you know, as long as you understand, as long as you empathise, as long as you ask them for some sort of tangible reasons so you can understand better, then possibly, you know, get some buyers through it.
John McGrath:This is one of Alex Phillips, who's the top agent in the country. One of Alex's gifts and greatness of which he has many is he often gets buyers through quickly, seamlessly, qualified buyers. He's got a stack of buyers, he and his team, ready to go. He'll say you know, tom, I think auction ultimately could be the way to go here, but I've got two people missed out on a property around the corner last Saturday. Let me just whip them through and see what happens and that normally either leads to an offer, a sale, or at least a conversation that leads to a marketing campaign. So I think it's just about action, having the buyers at the handy, asking more from them and then seeing where that takes you.
Tom Panos:Beautiful. No-transcript. Yeah, all the time.
Troy Malcolm:I think the main question is to understand whether it's a quick sale or a price maximization strategy that you're going into. Tom, a lot of the markets that we operate in now there's not really off market in the traditional sense. There's normally photography, there's normally a video, there's normally an Instagram post that really does connect with the audience. They may not be on portal, but they are kind of they're active listings.
Troy Malcolm:So, john, to your point, having that 10 or 20 or 25 or 30 hot buyers, maybe even with a slightly higher budget, and getting them through the property when it is that quiet listing. Just to understand, normally those with a higher budget know the value of property. They're not trying to get it at a bargain because they're not the budget below being aspirational. They're actually got the real dollars and the approval where they're at. So, understanding that, understanding that, once you've got that feedback, to have that really clear expectations, meeting with your client to understand whether it is a price maximisation or they just want to move on to the next part of their journey those two factors are going to play a big part in whether it goes to a full campaign or you execute an off-market or a quiet listing.
Tom Panos:Beautiful, well said, and I do think you've got to start with the premise On that point, john, that you said it does happen. I'm not going to say it doesn't happen. I do hear of a property that wasn't on the market. An agent went in and saw it. They had a specific buyer and it does sell for a good price, right, and I have seen that happen. That buyer had been waiting for something specific. An agent walks into the best street in the suburb, has got someone and you know happy days.
Tom Panos:But generally speaking, and I would say that maybe 95% of the time, the more bums on seats, the more competition. The more competition, the more money. And you should follow what probabilities. Let's do that. Last question, question number three what's the best approach to handle vendors at a listing presentation who are keen but just can't sign yet as they might have other agents coming over after you? So that's always been the question I get asked at training conferences and seminars Are you better being first agent? Are you better being last agent? I mean, a lot of the time you don't even really have that choice. So, yeah, what's the view there?
John McGrath:What do you think you kick off? Throw us in.
Troy Malcolm:Reappoint, always reappoint, no, always have a chance to go back. No, it's a fine line, right? So you've got to first understand what is the objection or the hesitation of not committing. If both decision makers or all decision makers aren't in the room, then that probably should have been worked out before you even get to the listing presentation. If it's something else that they think they're not getting from you during the listing presentation, then ask the question Is there anything that we haven't discussed today that you would like answered? And normally that's set up at the agenda as well.
Troy Malcolm:But a lot of the time it comes down to a couple of factors whether decision makers aren't there, or you haven't answered a question, or they don't have full confidence or trust and rapport with you instantly. But a lot of that, john, as we always say, a lot of it happens before you even walk in the door at the listing presentation. It always happens in the work leading up that it makes that decision a little bit easier. But if you can also get a chance to go back and develop a strategy with team members, yeah, yeah, no, I agree.
John McGrath:And I think you know up front I'll often say to people look, troy, at the end of the meeting I guess there's a couple of options. You'll either think I'm the right agent and that'll be awesome, we can get started, or you'll think there's someone better position than me, and I respect that. So I kind of I try and move people in the direction of you know, might to now, might be the time to make a decision, and I do it subtly, I'm not trying to beat anyone over the head, but I just say you know, that's kind of you know where we might get to and I totally respect troy if you think there's an agent better position than me. But if you do think that I can fulfil exactly what you're looking for, I'm ready to go. So I like an early positioning statement around that. So that's number one. Two is, I think if you trial close along the way, that is, you keep getting you know. So how do you feel about the auction method? You know, what about the marketing? Does that plan that I've put towards you feel like it's going to fit for you guys? Are you happy with it? I think if you get a few little yeses along the way, there's a chance that you'll get a big yes at the end, as long as you ask it. By the way, even if someone said you know we're meeting another agent tomorrow, I think you have absolutely the right to say you know at the end of it, troy, how do you feel about that? Would you be comfortable with putting me to work?
John McGrath:So I think a lot of agents back off when they hear there are more agents to follow and then at the end, if you know, despite all of the above, you know they're saying well, look, you know, we want to have a think about it. You know I agree with you, troy, reappoint. You can say, well, look, so I know, and perhaps prepare best for our meeting tomorrow. What are the bits that you want to think about most and then that will offer? Well, you know we still haven't made the decision to sell, or we still don't really like the auction, or we like you, john, but to be frank, you're twice the price of anyone else.
John McGrath:At least it might give me one last chance to try and finalise a deal by reaching agreement. So they would. And at the end of the day, if you've got to wait overnight and go to battle the next day. You've got to. I mean as long as you've prepared for it, you've positioned right, you've planted the seed, you've done some trial closes, you've asked for the business. If they've hes, you say could I just I sense a bit of hesitation troy, just, or you know what? What exactly do you want to think about overnight, just so I can be best prepared for when we speak tomorrow?
Tom Panos:if you've done all that and you still can't get it, just go to bed and run up tomorrow morning yeah, because I actually think the worst thing that you can do is get a little bit desperate and pushy and high pressure, because at least if you walk out of there and did the right thing, you are still in with a chance. But if you went into high-fast mode typical agent speak not only will you not get the listing that day, you won't get the listing the day after. So that was great. I love real-life scenarios because this is what our listeners are doing every minute of the day, and being able to chat about those. John Troy.
John McGrath:I don't you. 80% sold, Eric. Tommy, 80% tickets are arching towards that wonderful last bit. So we're now starting to close in, which is exciting. Trade Expo, I think has six booths left but pretty much sold out, and it's much bigger this year.
Tom Panos:Yeah, I've explained to a few of the people with expo at the expo stand that the it's been made a lot larger this year so there's more, more stands um there I think we've added 20, 25, 20, 25 new booths singles, so which could be six quads and we've got half a dozen left.
John McGrath:So that's exciting that that's getting well. Ryan Reynolds has got a new doco. That Netflix doco is coming out somewhere. I know it's out somewhere else, but someone texted me today and said oh, this is great timing, this is going to be awesome. No, exciting. So I can to um to see all of them. Brian serhant in the house for two days at the gold coast, shaking hands, having selfies with people, signing autographs. Whatever you want him to do, I suspect he's. He's there because he's going to immerse himself. I get that feeling from him and his team that he really wants to make this a serious, two-day immersive event, which will be good and we'll see. Anyway, it's time for the dog's walk, so I'd better jump off and I will see you guys tomorrow.
Tom Panos:All righty Well. Thank you again everyone, and at the moment, troy, the Roosters are looking good. And listen. There's one better feeling than losing right Like if you're losing, it's terrible, but when John's team's losing as well and John's team's actually underneath the Tigers and I haven't seen that for a very long time, john Someone sent me the ladder we're not last, but I don't think you're going to be last for long. I have a funny feeling you're going to hit above us in the competition. I have a funny feeling.
John McGrath:I believe. But I've got to say Tigers are playing very well. There's a whole new spirit and I've always thought Benji would be an extraordinary coach and I think he's showing early and definite signs of that. Just to make it worse, I had a friend text me the other day about the Rabideaus and the friend of mine lives in England and he said you know the bloke you've just bought. I said yeah, he said he's average and you've massively overpaid for him. So I thought that makes a bad season just get worse. All of a sudden he's average and massively overpaid for him. So I thought that makes a bad season just get worse. All of a sudden he's average and massively overpaid. Just thought I'd let you know, was the comment from this guy. I said thanks very much.
Tom Panos:Appreciate it Would have been better if he'd called you the week before then. John Wouldn't. I think, Exactly All right. We live in hope everybody All right, We'll see you at Eric See you next week and don't forget, get your Eric tickets. So there's 20% left. And if there's only 20% left, I've got to tell you it'll be a lot less than 20% left soon, because most ticket sales seem to happen this period. So, yeah, that's right, all righty.
Troy Malcolm:Thank you so much, see you.