I've posted my success stories but it's important to share the not so successful stories as well.

This may have a happy ending when all is said and done but this is what happened. I have an investor client with whom I have done several transactions over the last 4 years. Like many of my clients, he has also become somewhat of a friend. As probably some of you have experienced, friends and relatives can be the biggest users.

His last 2 purchases have been from FSBOs he found himself and who would not pay a buyer's agent commission. Each of these "deals" was fraught with troublesome details and potential time bombs and I had advised him against getting into them. Of course, "he knew better" and proceeded. I did not represent him. However, he wanted my advice almost every step of the way. I politely told him that I just couldn't put myself in that position.

Hi folks,

I've been a litle quiet lately because I've had a lot going on but wanted to take a quick minute to give you an idea of how I've recently been working with investors.

One of my investors gave me a referral for another investor who is unfamiliar with Richmond. He is from out of state and intends to buy and sell a minimum of 10 fixer-uppers per year.

I had a great phone interview with him where he explained that being unfamiliar with the specific neighborhoods, he needed help determining the best offer price and estimated subsequent value of the property after he finished his rehab/renovation. After the work was done, he would want me to resell these for him.

One of the many aspects of consulting that I love is that it truly is whatever works for you and the client. Not being boxed in by the commission structure is so empowering!

I'm in the process of developing a specific plan for him that includes what services I'll provide, how I will be paid for the analysis of present day value, estimated resale value, and marketing the property when work is complete. Because he is from out of state, he may opt for a commission based listing but he and I are still working that process out.

This is an awesome opportunity to fine tune my consulting program with investors and will be an ongoing source of income and subsequent referrals from him as well.

On Thursday, a homeowner called me from my time change Spring Ahead postcard reminder. She said she was thinking about going FSBO but was curious about my consulting services. (By the way, EVERY single marketing piece I send out has a reference to consulting and a call to action.)

Anyway, we made an appointment. Witihin minutes of my entrance and greetings, the Seller said she wanted a FREE CMA like "the other agents offer." I explained that I'm not like other agents and that I'd love to talk to her and her husband about their goals relative to selling their home.

After an hour, they determined that the consulting approach was too much risk for them and asked if if I would consider taking their listing. Now THAT is a first for me! The Seller asking ME to consider THEM! Woo hoo! I love this model.

I've been in dialogue with a newbie investor. Discussed consulting service vs. conventional listing. He was in awe of how much a REALTOR really does but just couldn't get past how much he'd have to pay either for a guaranteed result (x% listing commission) or consulting services (x$$$).

Obsessed with saving $$ money so he can have a nice payday. Typical "Carleton Sheets/Infomercial" kind of investor who thinks this kind of money grows on trees. Well, I wished him all the best, shook hands and said goodbye.

He called me tonight to say that although he felt he would get the very best service from me, he has opted to go with IHSRealty.com flat fee - I asked what he gets and it is MLS only, lockbox, sign, listing on IHS website, listing on Realtor.com; no representation. For this he pays
$700 plus is offering a 3% buyer's agent commission.

Again, I wished him all the best, hoped for his success, etc. and just warned him that if/when he gets a contract from a Realtor, the Realtor may very well eat his lunch (do I sound like Paula?) since he/she is going to know so much more than he does.

He said if he doesn't get this sold in the next 3 weeks he'll be coming back to me for full service. Yeah, I'll bet he will! For what he has already or may have to spend, he could have spent a bit more with me and had plenty of protection as well as be able to convert to a convnetional listing with rebate on the commission.

We'll see what lessons this young'un will be learning.

Deb

Hi there kids and kidettes!

Just wanted you to know that this continues to work. Like anything else, you need to "work" at it to get it to "work."

One of the folks with whom I met a few weeks ago, is very close to signing up for consulting services. He's been going it alone, unsuccessfully and is feeling the strain of trying to be a FSBO.

Secondly, I sent letters to my SOI introducing my new ACRE achievement. I used a letter based on the file already uploaded to the site. Anyway, one of my former clients called me yesterday and wants me to consult with them (at my hourly rate) to determine if an investment property they're interested in buying from a FSBO is a worthwhile investment. Woo hoo! We're meeting this morning at 9:30 at the property. Tick-tock, the clock began last night when I started my background investigation into values, sales, neighborhood, etc.

Ya gotta love it!

Deb Orth

Hi all,

Just thought I'd share what has happened with the listing I took as a result of the consultative approach.

I feel I'd have gotten the listing/business anyway because this is my neighborhood and I'm known in the area for getting houses sold at full price or close to it. In fact, my list to price ratio is 98.9%. But I think the consultant approach made it much easier because, perhaps for the first time, I think the Seller could really UNDERSTAND the value that a professional brings.

Now, here's the cool thing. It's already under contract. It took less than 6 days to get a contract on it and although not full price it was close enough to make him very happy since this means he can join his wife & family in Pa. much sooner than he had thought.

And, sure enough, there have been landmines to negotiate. There are septic system issues and a few other oddball issues that he would not have had the time or knowledge to work through. I was able to get these things wrapped up in a few days and he thinks I'm a genius! We close on Jan. 12th.

Deb Orth, REALTOR®, ABR, SHS,
ePRO- Certified Internet Marketing Specialist
ACRE - Accredited Consultant in Real Estate

Just wanted to let y'all know that I had my appointment Monday evening. It went very well, even though I was nervous. The Seller didn't know I was nervous or that I hadn't made a presentation like this before, so it was smooth from his perspective.

Even though I had his Seller needs Analysis, I wanted to know more about him and his motivation for selling (wife has already relocated and he's staying in an empty house-in the basement on a cot); wants to sell fast; wants to save the commission; has sold FSBO once before. I asked him what he liked most about selling FSBO and what he liked the least.

He said he liked saving $$$. The part he liked the least was the after the contract was signed. he said he could remember how much "pain" there was trying to be sure the buyer was really qualified, the landmines surrounding the home inspection and request for repairs, which
is where one of his contracts blew up. We talked a while and then I gave him an overview of what services I offered.

By the time we got through, he said that selling fast was his biggest issue and he decided that even though he had the ability to do so, he didn't have the time to do what I could do. I walked away with a listing.

He was impressed that I wasn't trying to "sell" him on a listing presentation. He thinks a lot of REALTORS® sell their souls just to get a listing and he feels much better knowing a "professional" who has confidence in herself is in the driver's seat.

Deb Orth