New Home Sales – Closing Mistake Number One

New Home Sales - Closing Mistake Number OneWhy would a professional new home sales person spend a large portion of their quality time with a prospect and not ask them to buy the home? The first reason is that the counselor has failed to summarize their thoughts and notes taken during the sales process. It is essential that this step be taken both mentally by the salesperson and given verbally to the prospect. To the salesperson, it provides a level of comfort in knowing that he/she has reduced the number of objections to the point that rejection is minimized. For the prospect, his/her needs and wants have been satisfied. They need to be reminded of that due to the large amount of information that is being processed.

The second reason that the sale is not being requested is that the salesperson has not heard the buying signals of the consumer. A majority of salespeople love to hear their own voice, especially when they believe in what they are selling. This excitement and enthusiasm can become a downfall when we begin to speak more than we listen. Are we truly hearing them or are we waiting for them to finish so that we can tell them the next greatest part of the experience? It is not uncommon to hear a customer say, “I really like this.” Only to be followed with further explanations by the salesperson. What would happen if the salesman stopped and acknowledged the prospect with agreement? “Great! I am glad that you like it. On a scale of 1 to 10, how would you rate it?” If the answer is below 10, then ask, “What would it take to make it a 10?” Listen to the answer. Find a way to make it a 10 then ask them, “If you find a home today that you absolutely love, are you willing to proceed with the purchase agreement?” Once you have asked the closing question, SHUT UP and don’t speak. The home buyer is now processing information in order to respond. It may seem like a long period of silence; however it does not seem that long to the prospect. They need the time to process their thoughts. When we, as salespeople, begin to speak after asking for the sale, we “save” the buyer from their thought process. This makes it easier for them to say “no.” However, the silence will either grant you the golden “yes” or it will flush out another objection that you can overcome.

A concerning third reason that we are not asking for the sale is that we sometimes develop a bad attitude. What are some causes of this?

Are you in a slump? Don’t let negative experiences in your past affect your present and future behavior. So you have had the last 10 prospects tell you “no.” Guess what? Welcome to sales! The best way to overcome this attitude is to determine your prospect to sales conversion rate. If you know that you typically sell 1 out of every 8 prospects a home, and then believe that you are going to get 2 “yes” answers out of the next 6 prospects. The Law of Averages is on your side. Keep asking for the sale!

Have you lost belief in what you are selling? This is typically caused by us listening to too many negatives about our location, pricing or product. Are your prospects mentioning the garbage dump next door, or the crime rate, or bad schools, or high tax rate? There are a myriad of opportunities to overcome with each aspect of what we sell. Do not focus on this. Do not allow others to influence your thoughts. Once you hear an objection that you can not overcome immediately, research it. Find an answer. Find a positive in it or something else that overcomes it. In fact, it is wise to find at least three reasons why your prospects should by in your community and/or each home. List them on each handout of the floor plans and keep it in your 3rd Party Book. Also, beware of talking to your competitors’ sales personnel as well. They will lie to you just to bring you down mentally. You will hear that they sold 15 homes last month and 20 the month before. When you drive through their community, you will only notice 3 homes started.

Did the angry customer just leave your office? Studies show that buying a home is one of the most stressful parts of a person’s life. When you combine the buying and closing experience with new home construction, it can add up to a lot of anguish on the part of the consumer. It is important to remember that most anger is derived from a spirit of fear. The buyer is fearful of being taken advantage of due to their lack of understanding about the construction process, financing process, sales process and closing process. It is important to remember that your title is not only “Sales” but also includes “Counselor” or “Consultant.” It is our job to alleviate their fear in order to eliminate the anger. By doing so, you will quickly diffuse the situation and feel more helpful and productive. Therefore, the next customer that enters your office will be greeted by a more confident and assured salesperson.

Are you mentally burned out? Is your family life what it needs to be? Is your spiritual life correct? These are all issues that are in no way less important than any other. In fact, they may be the most important. It is important to give yourself time away from work. Balancing your money hours with your personal hours is crucial to not running into the brick wall of burn out. Find something away from work that you enjoy. This includes spending time with your family. When we are distracted by problems with the most important people in our lives, our work suffers dramatically. Remember that all of the money in the world is not a substitute for quality time spent with family and friends. Finally, it is absolutely imperative that we recognize that there is a God of this world and without our accountability to Him, we are lost and fall short of His glory.