Contracting with sellers and listing houses tends to be where agents can make the most money in one lump sum. Yes, buyer leads and referrals add up, but there’s nothing like getting that $5,000 dollar commission check ALL to yourself to celebrate a job well done. Of course, because there’s so much money in listing homes, there’s also a lot of competition out there, which means to get a lead’s business you need to be the BEST. Or at least, the BEST to that particular lead.

By seller leads, we mean people who are ONLY looking to sell – maybe they’re moving out of the area, maybe it’s a rental property they want to sell or maybe they had a death in the family and now need to sell the deceased’s home. These are sellers who will not be buying a new home (at least not in your area) and can be classified into two types: short term sellers and long term sellers.

Short-term sellers are usually motivated by money and want it as quickly as possible. You’ve got to pounce on them quickly and aggressively follow-up by phone, email AND home visits, because you’re not the only agent competing for their business, and in this situation, the early bird truly does get the worm. The first agent they create a relationship with, feel really comfortable with and who provides them with the most valuable information is the agent they’ll choose, so you’ve GOT to be better than your competitors.

Go to their home on an every other day basis, dropping something of value off, such as a list of competing properties on the market and what they’re going for. If they’re stressed out (and these situations can get very stressful) let them talk to you and blow off some steam – be their amateur psychologist.

Most sellers of rental properties are usually short-term sellers as well, and very much money motivated. They care only about making money on the deal. Understand your lead’s motivation – how much money they want to make and why they’re selling the property and then find out what the property would have to sell for to meet and exceed their expectations. Also be prepared to predict how long it might take the property to reach that goal, or what its value may be in 3 months. Use the home’s past growth to determine what the future holds for its value. Just become a consultant with them so they trust you and you can steer them to the best time to sell, what the home is worth, etc.

Long-term sellers aren’t as money motivated, or they’d be hot to sell immediately. A good example of long term sellers are people retiring within the next couple years to Florida. Really, they can move anytime they want if they know where they want to go in Florida, they just haven’t actually made the decision to go. In these cases, continue to follow up on a regular basis by phone, e-email and stopping by the property.

The best way to get the most out of these sellers is to find them a really great, AGGRESSIVE agent in the area they want to move and get a referral agreement with the agent. Also, make sure the agent sends you listings and updates on market conditions in their area so that you always have more material to take the lead. As the property values rise, it should encourage the people to make a move sooner rather than later, since they may get a little nervous about spending too much money on a new home whose value keeps rising.

Seller leads tend to give the most payoff to agents but are often the hardest to capture and convert to listings. By following a strict follow up schedule and making sure you remain in near constant contact of the lead, you have a better than average chance of getting them to list with you!