FSBO leads can be challenging to convert, but they provide an incredible opportunity for agents willing to invest in the effort. Using the proper scripts, showing these sellers your professional value can be relatively easy.
They’re Ready to Sell
Many real estate agents focus on prospecting new clients through open houses and referrals but ignore expired, and FSBO leads. By focusing on this overlooked market, agents can cut out the competition and gain a lucrative source of sellers. Expired and FSBO leads are often easier to convert than traditional seller leads because they’re more likely to have already tried to sell their home without success.
They’re also more willing to pay a commission as they understand the value an agent can bring to the sale. The key is to approach FSBOs and expired listings with confidence, a professional demeanor, and a clear plan for helping them sell their home. Using data-backed conversation points and explaining how their previous listing plan or FSBO experience led to their unsuccessful sale is a great way to demonstrate your expertise and win their trust.
Some agents also find that FSBOs and expired listings are more willing to speak over email or text than in person. These leads are often easier to talk to and more responsive to repeated contact, so following up with them regularly by phone or email is essential. Agents that sustain natural client relationships with these leads by maintaining a regular communication calendar are more likely to get them to agree to a preview appointment.
While many agents focus on active listings, seasoned pros know that sale-by-owners and experts are valuable prospecting sources. Typically, working FSBOs takes less time and effort than finding a diligent buyer, and the right strategy can result in a client as quickly as any other lead source. One of the keys to successfully prospecting FSBOs is offering clear incentives, which may be monetary (like a lower sales commission rate) or tactical (like outlining a plan to market their home).
Some agents also find that homeowners are more receptive to discussing a partnership if they are approached via text message or email rather than over the phone. Another key to effectively converting FSBO leads is demonstrating a solid understanding of why the homeowner’s previous attempt at selling their property has failed and how you can help them overcome that hurdle this time.
This approach positions you as a knowledgeable neighborhood expert with the tools, resources, and track record to do the job. Finally, FSBOs and expired listing leads will most likely convert when you show interest in building a long-term relationship with them. To that end, consider adding a handwritten note with your contact information to every new lead you connect with and checking in regularly to see how their house is progressing.
They’re Looking for an Agent
Despite the challenges of working expired and FSBO leads, many real estate agents find them an excellent source of new business. This is especially true in a seller’s market when sellers are more likely to work with an agent. However, converting expired listing and FSBO leads requires additional marketing effort and expertise.
For example, FSBO sellers may have many questions about how to sell their homes, such as pricing, marketing, and paperwork. Therefore, real estate agents must have various tools and strategies to help them close these deals. Ultimately, the key to converting expired and FSBO leads is being persistent and providing value. During each interaction, you should demonstrate your knowledge of the market and commitment to helping homeowners sell their homes.
This will prove that you are a valuable partner and the right choice for them. The proper lead generation and management software can make this prospecting process more efficient.
They’re Ready to Sell Now
If you’re a real estate agent looking for a lucrative new source of seller leads, expired and FSBO listings are the perfect option. These leads require a different approach than other lead types, but they can be some of the most profitable if you nurture them correctly. Finding FSBO and expired listing leads can be as simple as a quick search of the MLS or using a tool that constantly scours classifieds, websites, signs, and more to find sellers interested in selling their property.
Some agents have even found success by creating their list of potential leads and then running ads on classifieds websites and social media to attract them. When cold calling these leads, remember that they may be skeptical of your pitch, but that shouldn’t stop you from putting in the time and effort to convert them into clients.
Providing data-backed conversation points demonstrating how the listing plan or previous agent’s mistakes led to the home’s failed sale and a clear incentive to use your services will go a long way in winning them over. Another way to make your listing more competitive is by offering professional real estate photography. This can be an excellent add-on service that you can provide to your expired and FSBO leads or as a standalone package to all your clientele.
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