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"Fabulous FSBO Follow-Up!"

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Joeann Fossland Photo
10/1/04 Interview with Joeann Fossland

Advantage Solutions Group
P.O. Box 133
Cortaro, AZ 85652

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The FSBO Market

  1. FSBO stands for "For Sale By Owner," but Fossland substitutes "Frustrated Sellers Batting Zero; their numbers have not grown to the degree predicted by an NAR study five years ago.
  2. The FSBO market is important for agents to understand because it contributes to the downward pressure on commissions; the same techniques of building value that are important in the FSBO niche are important in justifying commissions to all buyers who ask for discounts.
  3. The FSBO market is a good niche for new agents to pick up owner-sellers as clients when FSBOs become frustrated on their own; it is also a foundation niche for many experienced agents.
Working with FSBOs

  1. FSBOs can be targeted effectively by automatized systems; approaching FSBOs used to be a numbers game played by hard-sell agents, but now successful agents are building relationships with FSBOs.
  2. Look at the bigger picture of the market, not just the chance to list a particular property; contact FSBOs to offer them services or tools to help them,even though they may still sell their home themselves, they may use youto buy or may refer you.
  3. A resource to help agents give FSBOs Internet exposure
Watching the Trend

  1. Every year the NAR publishes the "Profile of Home Buyers and Sellers," a report including compelling statistics on FSBOs,e.g., in 2003, the median selling price for FSBOs was $145,000 vs. $175,000 for agents; FSBO houses tend to be older than agent-assisted houses.
  2. The relative number of FSBO sales has dropped from a high of 18%­19% of all sales in 1998­99 to 14% recently; the real estate industry has done goodwork to limit this field,the NAR advertising campaign has played a positive role.
  3. Although the number of successful FSBOs seems to be going down, don't take that trend for granted; more people are trying to sell on their own before listing with an agent. Agents across the country report that clients they thought were loyal have put out their own For Sale signs.
  4. Agents need to continually get their name and their value out to their sphere of influence and make themselves and their value added part of their overall marketing.
Developing a FSBO Niche

  1. Identify what portion of your business FSBOs will be; decide how much time and energy you want to devote to targeting this group; set up an automatic system to get names and numbers and block off time each week to work with FSBOs.
  2. Consider a service that will give you names and numbers, such as Warnocksand FSBO Hotsheet, both of which scrub the numbers against the do-not-call list.
  3. Contact FSBOs about every three days; knocking on the door may be the best way; mentioning that you work the neighborhood and may have buyers appropriate for the home is non-threatening.
  4. Use a combination of in-person, telephone and email contacts with FSBOs;the best time to call is on Mondays, when you can ask about their weekend open house results.
The FSBO Game

  1. The FSBO Game follows the structure of Fossland's Real Estate Game,an opportunity for an agent to jumpstart business by being on a 15­20 minute call every Monday­Friday for four weeks.
  2. On the calls, agents are given a grid of about 30 activities with which they need to get at least 10 points per day to stay in the game; 15­20 agents play on each game; the game is completely interactive.
  3. A different topic is covered on each call, so game players build a total system to work with FSBOs; topics include FSBO exposure on their web site,tools to build relationships, menu of services and more.
Advice for Real Estate Pros

  1. The tablet computer is Fossland's favorite new tech tool; it travels well and cuts down on paper; a good system with a tablet computer plus camera,printer and carrying case is at; the tablet system has a WOWfactor to impress clients and set you apart from other agents.
  2. The biggest mistake with technology is to think it will replace a lot of personal contact; it should supply more ways to build a relationship.
  3. When someone contacts you from your web site, respond with a phone call as well as by email; the extra effort differentiates you and advances your relationship with the prospect.
  4. The most important action a real estate pro can take toward overall success is developing a business plan, a strategic marketing plan integrated with a practical technology plan for the year.
  5. The real estate industry is moving faster than ever, so savvy agents reevaluate their business plans quarterly to make course corrections in light of changes in the marketplace and new consumer expectations.
Favorite Places Online

  1. allows you to find hot spots for wireless linking by searching on an area.
  2. is a source for CD business cards; at less than $1 each,they are a great marketing tool.
  3. Yahoo! Groups is a free, easy communication option handy for such activities as setting up online seminars/clinics or posting information for neighborhoods.
  4. is a great source to find coupons and bargains on other shopping web sites.
Contact Information for Joeann Fossland:

(v) 520-744-8731
(f) 775-254-3256

Real Estate Sites & Tools in this Briefing:

Advantage Solutions Group
Realtor opportunity to give FSBOs Internet exposure
The FSBO Hotsheet
Tablet computer
Source for hot spots
CD business cards
Yahoo! Groups