Part 2- How Can Realtors Make Money With Custom Home Builders?
Selling Building Lots- One of the toughest sells for a Realtor in an empty lot. The problem, it's empty! It takes a buyer with imagination to purchase the property. Sellers give agents the listing on the lot and it just sits there, month after month. After months without an offer, the buyer pulls the listing and gives it to somebody else after lots of wasted effort. Sometimes, building lots sit for years. What if the Realtor could get some help from a Custom Builder to move this property and what would that look like?
- A site plan.
- Potential house design with an elevation.
- Specifications.
- Package price.
A site Plan- can make all the difference when marketing the building lot. A drawing of a potential home positioned properly on the site within all the required building setbacks. Driveway, sidewalk and all the site issues addressed. Suddenly, a potential buyer has the “light bulb” go on in their head. They can start to see the bigger picture. I can’t tell you what a difference this makes. I see the sparkle in buyers eyes, all the time, once they see a house positioned on a survey.
Potential House Design With Elevation- to further enlighten a potential buyer we need a plan design that meets their needs. Perhaps the property has an unusual shape like a slice of apple pie or it’s a corner lot. Issues that give most buyers the “heebie jeebies”. Not to worry, your Custom Builder partner can solve all these issues for you and more. Custom Builders have access to 1,000 of plans for all kinds of lot circumstances. Long and narrow, pie shape, corner lots, slopes like Mt. Everest, no problem. Builders deal with this stuff all the time, it’s what they do. Buyers that now have a site plan with a house positioned on it can see traffic flow, room placement and furniture locations.
Specifications- the next step in the process is a set of specifications for the potential home. Tile roof, budget allowances for cabinets, appliances, landscaping, paver driveway, plumbing fixtures, pool and all the pieces and parts that go into a new home. After all, buyers want to see what they will be getting with this lot and home package. This empty lot is starting to look like something a potential buyer can visualize.
Package Price- the last piece of the puzzle is the price. We have a lot, plan design and the home specified now we need a price. The Custom Builder can sit down in front of his computer and tell you exactly how much he would charge to build this home on that lot for potential buyers. Can you see how having a Custom Builder partner working with you on this lot sale is going to make moving this property a whole lot easier?
The next part is telling buyers what you are offering. Perhaps a sign on the empty property with a colorful front elevation along with the floor plan will generate interest? In some states you can even place the lot and home package in MLS as a home for sale. Think creatively! I didn't say selling an empty lot was going to be easy but with a little imagination and the right Custom Builder buddy it's doable. You might even turn a commission on a $100,000 empty lot into one on a $600,000 home and lot package! Are you getting excited?
Let’s think outside of the box. You can even use this concept on a “tear down”. That’s another tough one for buyers to envision. A dumpy old house on a property in a great location with lots of issue that have to be solved. The Realtor needs some help putting this deal together, a builder buddy.
Ok, I get it, it's not what Realtors are normally used to doing. They usually, sell something tangible. Give a Realtor a house on a lot ready to sell and their all over it. They know just what to do. Something less tangible, not so much. But Realtors are deal makers, that’s what they do all day long, overcoming objections and charging the hill. This is just a little different. If it were easy, everyone would be doing it!
So, perhaps this becomes a new niche for you, something that makes you’re an expert in a new niche? If you don't already have one, find a Custom Builder Buddy. Like you, somebody that isn't standing there with their hand out asking, what’s in this for me today? Instead, looking at a mutually beneficial relationship that is going to put money in both your pockets for years to come.
Have an awesome day!
Mike
No comments:
Post a Comment