Door Knocking for Short Sales

By
Education & Training with Keller Williams Realty - Rancho Cucamonga

In the past (late 1990's), door knocking on properties in default was a staple for any blue collar realtor working the pre-foreclosure sector.  We had a whole army assembled and equipt with data, scripts, knowledge of available options, compassion, and savvy.  You never know when you're going to get a cigarette flicked in your eye (it has happened) but you did it anyway.  Evenings and weekends were prime time and you expected to put in some work in order to continue your success.  At one time, we had over 200 listings with over 90% being short sales.  Many were obtained as a result of door knocking N.O.D.'s. 

As a national short sale trainer and a top active agent, I find much less door knocking being done as a major part of realtors' business plan.  However, it never ceases to amaze me how many times the top short sale agents in the respective towns I visit are "door knockers".  I always ask, "so, how did you get so many listings? What's the key to your success?"  I sit back and either expect them to say that they door knock or spend major dollars with direct mail campaigns. 

One weird fact is that it seems there is a stigma attached to "door knocking" as well.  People who door knock or who refer to others who door knock tend to consider it "old school".  Almost like it is something only people with no other marketing options do.  That couldn't be farther from the truth. 

At the doors is where real estate business thrives.  Real people with real problems are out there.  Carefully constructed scripts and conversations along with a healthy knowledge of the subject matter can breed fantasctic results.  There is no short cut to success in real estate in this downturn.  Homeowners are desperate for knowledgable Realtors who will put the needs of their prospects first and help them find the most favorable solution to their real estate crisis.

Below, I have laid the groundwork for the mind-set for the 4 levels of door knocking your prospects:

1. Pre-foreclosure profiling - Homeowners who obtained risky loans during the span of 2004-2007

*Soft passive "Trusted Advisor" approach, informing homeowners in the area about foreclosure relief    options in case they know someone who may need more info (wink wink)

2. 30-60 day late on mortgage payment (credit lead)

* Soft semi-passive "Trusted Advisor" approach, in the area sharing current info on foreclosure relief options, laws are changing, stay informed, someone you know may need our help (wink wink), asking them if they have any questions about loan modification, short sales or any other relief options, positioning yourself as THE source for this info.

3. N.O.D. has recently been filed / recorded

* A little more forthright, confirming an N.O.D. has been filed.  Asking them if they have a "bullet proof" solution they are working on, offering a short sale as a plan "B", having conversation, not being pushy, talking about timelines and ramifications if their plan possibly fails

4. N.O.T.S. has been filed / recorded 

* Strong yet very polite, confirming N.O.T.S. has been set, making sure they understand what that means, politely probing their current status (many will be attempting to modify their loan), offering a plan "B" to increase their chances of avoiding forclosure, it helps to have a very good understanding of the Making Home Affordable program (www.MakingHomeAffordable.gov), being persistant.  This type of lead is not for a wimpy agent.  Got to know your stuff and be strong. 

Well, Ihope this post either confirms what you're doing (if you're a door knocker), or convicts you to get out there and help some people if you're not door knocking.  There is plenty of business out there...and you're not going to get it just by being on facebook :)

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Re-Bloggged 8 times:

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  1. Mark Rienzie 11/28/2009 08:38 AM
  2. Peggy Santmyer 11/28/2009 09:22 AM
  3. Donald Bradbury 11/28/2009 10:23 AM
  4. Nicholas Goglucci 11/28/2009 10:57 AM
  5. Dave Singery 11/28/2009 01:52 PM
  6. Sandy McAlpine 11/30/2009 07:44 AM
  7. Sarah Lin 04/18/2010 09:12 PM
  8. Astara Blackwell 10/28/2013 09:40 AM
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Topic:
Real Estate Sales and Marketing
Location:
California
Groups:
Inland Empire Networking Info
Short Sale REALTORS®
Short Sales and Forclosures ONLY
Short Sales Specialists
Tags:
short sale trainer
door knocking
making home affordable
jacob swodeck
short sale

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Rainmaker
24,637
Shari Posey
Prudential California Realty

Thanks Sylvia,

What do you put on your mortgage distress postcard?

The distressed homeowners I plan to contact already have a sale date so they are about 30 days from sale. I was going to stress the fact that trying for a short sale will postpone the sale date in addition to less of a hit on their credit. Any thoughts on this?

July 02, 2010 11:26 AM
Anonymous
Sylvia Jonathan

You can buy foreclosure postcards at Cornerlot Marketing online, or maybe Prudential has some ready made ones. I use the small cards for less postage. Things like "the clock is ticking" or "loosing sleep over mortgage default" might work. I am still trying which ones give best results. If you door knock, leave a flier that advertises you doing zero cost short sale.

I once knocked on a door where the sale was scheduled in 2 days and the guy let me in and listed the home. I closed 5 months later.

July 02, 2010 11:37 AM
Rainmaker
24,637
Shari Posey
Prudential California Realty

Very clever taglines...I like them. I wouldn't have thought of those. Thanks!

July 02, 2010 05:08 PM
Rainmaker
88,543
Frank Harris
Keller Williams Realty Centre

I have targeted two areas in my county and I will going door to door in these specific sub divisions. I am simple telling homeowners that there are options to foreclosures and that we have already helped a few clients in the their neighborhood avoid foreclosure and we are spreading the word about our service.

I will chime back on the results

April 09, 2011 04:00 PM
Rainer
332,837
Paul Gapski
619-504-8999,#1 Resource SD Relo
Berkshire Hathaway / Prudential Ca Realty

thank you very much for the informative and interesting post. I get so much out of the active rain network.

March 14, 2012 08:33 AM
Anonymous
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Rainer
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Jacob Swodeck

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