When to talk about price...Are we there yet?
What’s up guys! Cody here with another ninja tool to add to your arsenal and start converting those leads into deals.
Today I’m going to discuss price…not how to comp a property, not how to negotiate, or what to offer. I’m actually going to give you a ninja trick no one else is talking about, and that’s WHEN to start talking about price.
Now I know some of you out there are thinking, “Cody, price is the most important part and I usually start with that.” and that’s ok…if you want to be like everybody else. But we’re Clever Investors and we know deals typically don’t happen in a matter of minutes, but in a matter of months meaning we are going to be more strategic in our approach rather than “shot gunning” offers all over the place.
If you’ve read my other article “Yes, you need to talk with the Seller (Part 3)”, then you know that we try to establish price on the first phone call, but that doesn’t mean we start with it. I am very strategic about when I bring up what the seller is looking to get for the property and I make sure to get all the property logistics/rapport building done first before I bring up price. I want them to have their walls down and feel comfortable with me. If I bring up price too soon I can always feel it because there’s a strange tension between the seller and I and I feel I don’t get the full answer.
So now for my general rule of thumb: 9-10 minutes! I try my hardest to not bring up price until at least 9-10 minutes into the call. Throughout the many years I’ve been doing this I have seen time and time again that there’s something magical about the 10 minute mark where the sellers walls come down and they tell me what they NEED for the property rather than what they think they WANT. Now that’s not to say that they won’t go lower, but we’re typically already closer to the number I need to get it for and my negotiations down the road are easier.
I encourage you to start setting a stopwatch or your phone when you’re making the first phone call and try your best to get to 10 minutes before you ask the seller what they’re looking for.
That’s it for me! Take care, comb your hair!