The most important skill in lead generation

What is cold calling in real estate?

As we all know that cold calling is one of the most important strategies of real estate lead generation but, rarely do real estate agents feel comfortable and confident enough to make successful cold calls especially if you just jumped into this real estate industry

And really… if you can not be good at making a phone call, you probably can not become a successful real estate agent, let alone become a top 3% real estate agent in this super competitive “game”

Now, statistics by Forester Research says, nearly 90% of clients, customers stopped doing business with companies that provide bad phone call service. And the situation is not different here, if you badly start a conversation with your clients on the phone, chances are they are not going to do business with you after dropping off that phone call

Want to increase CR and generate leads more effectively?

And just to make clear… you don’t and never have to love making phone calls or have to be a natural genius salesperson. No! All you need is just a deep understanding of phone call strategies and a proper way to apply them on a daily basis in order to benefit from this high-converting lead generation skill

That’s why I am going to walk you through the comprehensive guide so that you can master this very powerful skill. Now, the very first thing you need to do is not learning the scripts but thinking like a “phone call master”…

#1 | Think like a cold-calling master

So, how to cold call real estate?

In order to become a master at real estate cold calling, you have to understand the mindset of a master first. And just to be clear, by “master” I don’t mean a nature talent at communication skill and sales skill, but a person just like you who started with very little and almost nothing special talent. The person who is not always dependent on talent but willing to put in hard work and dedication to achieve something out of their lives

The masters know that if someone wants to be good at cold calling they have to think about what their clients want… not what they want

So, what do clients want from you?

According to HubSpot’s recent Sales Perception Survey (based on 505 global consumers), 69% say, “Listen to my needs.” 61% say, “Don’t be pushy” and “give me relevant information.” 51% want salespeople to respond in a timely manner.

That’s why you have to ask and hear… instead of just talking

After all… the biggest mistake that I see real estate agents usually make when it comes to making a cold call is that they talk so MUCH. Tom Ferry is fond of saying that successful cold callers spend the vast majority (upward of 75%) of their time on the phone NOT talking but listening! 

Because people only care about themselves, they don’t care about your product, they don’t care whether you are a real estate agent or you are having tons of listings. They ONLY care about their needs, their dreams and how to get out of their problems as soon as possible

So, what you should do is asking questions and… let them talk!

An unbelievable report on 25,537 sales conversion indicates that the average salesperson spends 65-75% of a call talking, leaving only 25-35% of a call listening i.e let their prospect talk

According to Saleshacker.com, the more you talk, the less you close and vice versa. That’s why the top closers only spend approximately 40% of a call talking, leaving the rest of the call only listening to their prospect’s needs

That is how you can think and act as a master!

And really… in that way you can uncover your buyer and seller’s needs and secret desires, connect with them and demonstrate your expertise

Now, after understanding the human psychology behind a cold call, the second #2 part is “9 steps you need to do in order to make the most successful cold call ever”. Let’s dive deep into these 9 steps before we get to the specific real estate cold calling scripts at part #3

#2 | 9 genius steps for a ground-breaking real estate cold calling

Step 1: Prepare yourself before doing real estate cold calling

“By failing to prepare, you are preparing to fail” – Benjamin Franklin 

Don’t think that you have to be a natural talent and you mustn’t allow preparing in advance. Or you have to make the script naturally comes out of your mouth by instinct.

No! That’s very dangerous. You have to be well-prepared before coming to make any phone call

So, relax your mind, recharge your energy and continue to step 2…

Step 2: Researching your leads carefully

In some cases, when you just know their phone number or email address, it’s really difficult for you to find any related information about them online. And in these cases, it’s understandable and acceptable if you skip this step.

But the point is, as a real estate agent, you should understand that researching your new leads gives you plenty of useful information that you can use to create a bond with them over the phone instead of just approaching with nothing in common.

Take 10-15 minutes to dive deep into these 18 places to research a prospect before a sales call will help you a lot because you can come up with something they really have in their interest and it’s a lot easier to start the conversation especially with a cold call

Step 3: Choose and verify the right real estate cold calling list

First, you have to be clear about you’re talking to sell or to list real estate. So, the prospects on the phone should reflect this goal. By using different approaching ways at the scripts I will show you below will help you specialize this task

Second, no matter the CRM platform you are using, no matter what kind of leads you’re generating… 30% of phone numbers are going to be either wrong numbers or disconnected

And, of course, it will cost you tons of time to try to connect with those trash phone numbers. So, before picking up the phone, make sure you verify your phone number list

Step 4: Let the Math motivate you

The Keller Center of Baylor University conducted a real estate agent study in which 50 real estate agents make 6,264 cold calls and the results show that on average, for every 209 calls were made, one listing appointment was set or one referral was made

And surprisingly, it only takes you around 7.5 hours a week equivalent to 1.5 hours a day!

Imagine if you could do it 2 times better, you spend 3 hours/day. So, instead of 1, you could make 2 appointments/referrals per week and, it means, more than 100 appointments/referrals per year

Now, do you think you could benefit from over 100 listing appointments or referrals per year? – Of course!

Step 5: Master the cold call scripts

You see, you have to be very proficient in your script in order to subconsciously talk without worrying too much about “What I am going to say next”. Because it will make up the majority of your mind and you probably can’t focus on what your prospects are saying

Using and mastering the script allows you to stop focusing on yourself and just listening to what your prospects are saying

There is a powerful principle which is “1-hour practice = 1 minute of performance”

So, if you want to master the script and make a “killer” cold call, spend time practicing as much as possible

Step 6: Spend more time listening instead of talking

As I mentioned before, it all comes down to the form of listening to your prospects and responding to their needs.

When you understand the call is actually just the platform for your prospects to speak, the fear subsides because the pressure to speak is off you. All you need to do is prepare and ask the right question, them the rest comes easy because your prospect will do the 90%

So, just ask and listen.

Step 7: Remind yourself that success is inevitable

Of course, sometimes you will feel a lack of motivation and excitement when you’re facing a lot of “No” and rejection from real estate cold calling

But remember for yourself success is inevitable if you’re consistent and never commit to giving up. As you can see, base on the result of the Keller Center study… Every cold caller usually successfully sets the listing appointment or getting a referral for every 209 cold calls that they made. It means if you can persistently make 100 cold calls per day, 5 days per week, and 50 weeks per year, you totally can set more than 100 listing appointments every single year

And obviously, you can benefit a lot from that amount of listing appointments… so just don’t give up on your dream of becoming a successful real estate agent!

Find more ready-to-use templates to find more real estate leads in EOwn library

Step 8: Success leaves clue – Just follow it

As you can see, the smartest and fastest way to be successful and to make something done is to follow the people that’s already been there, the people that are already done it… Learn from them, follow them, and imitate them at the beginning if needed 

Because, of course, when you’re just starting out it’s really difficult for you to come up with something totally original and effectively work. So, don’t choose the hard way, just follow the proven systems and great grounded templates that successful people leave us. Success will come much easier.

Step 9: Position yourself as a real estate expert

Finally, the most important and most effective tip you want to do is positioning yourself as a real estate expert

As soon as you can position yourself as a real estate expert, the rest – everything else, comes easy. Because at that moment, your prospects will do 90% of the conversation, they expect to talk to you, they beg for your help and they will believe everything that comes out of your mouth

Remember, everyone wants to talk with the best, learn from the best, and collaborate with the best!

Anyway, cold calling is not the only way. You can learn how to use Content Marketing to generate new leads and how to convert them through 4 buying stages effectively here.

Now is the final part, I am going to walk you through 4 powerful real estate cold calling scripts that you can use for yourself practicing and then use it to conquer your prospects.

#3| Specific Real Estate Cold Calling Scripts

1) Circle Prospecting Script:

Let’s see how circle prospecting got one agent 200 leads in one day

Here’s an example from Theclose.com… Pay attention to see how many questions appear in this script – and that’s how you can ask and listen like a master

Real Estate Cold Calling Script:

Hello, is this Mr. / Mrs. __________? Hey, Mr. / Mrs. __________, this is (your name) with (your company).

{Pause} How are you today?

That’s good. Me too. Just enjoying this good weather outside. Isn’t it gorgeous today?

{Pause and let them talk. Listen to what they say. Chances are high that you get into a conversation about the weather, back and forth. This will set the comfort level of the call. If it’s raining, talk about how nasty it is today. Adjust your opening to what the current weather is doing. When this part of the conversation is over, transition into the reason for your call.}

Well look, I don’t want to take up too much of your time today, but (market information, e.g., “a house/condo was just listed in your neighborhood/complex” or “a house/condo just sold in your neighborhood/complex”), and I didn’t know if there was anything I could do for you regarding buying or selling real estate at this time.

{Pause and listen. If they say YES, follow-up and make a deal happen.}

{If they say NO, continue below.}

I gotcha. Well, is there an agent in the area that you would work with if you did buy or sell in the area?

{If the answer is no…}

OK, well one day you will want to buy or sell, and I would like the opportunity to work with you when that day comes. Would it be OK if we stayed in touch?

{If they say yes…}

Great! What is your email address?

Awesome. Thanks so much. I look forward to speaking again soon!

2) FOMO Script (Fear Of Missing)

This is an example of copper.com, using when you’re noticing so many departures from a specific area and you want to talk to other residents about making the leap

Real estate Cold Calling Script:

“Hi there, my name is [Name] and I’m a real estate agent with [Company]. Am I speaking to [Prospect’s Name]?”

Assuming they say “yes”:

“I don’t know if you’ve noticed this, but [quantity] of your neighbors have put their homes up for sale.”

Pause and then tell them about someone who recently sold (hopefully, with your help) their home for more than the asking price.

“Just last month, I helped [name of neighbor] sell their property at [address] for $[price]. As you probably know, that’s way above the asking price in this part of town.”

If they respond with excitement or interest, move in with:

“What are your plans for your home? Are you a lifer or are you thinking of selling in the near future?”

Wait for their response. If they say they’re a lifer, revert to the latter half of Script #2. If they’re planning to sell, continue on.

“I’d love to help you sell your home when the time comes. My number is: [phone number of email]. Call me next week and we’ll review your options and go over a price evaluation for your property.”

If you don’t hear from them by the end of the following week, follow up by email to gauge their level of interest and help them with the next steps.

3) FSBO (For Sale By Owner)

Another example of fitsmallbusiness.com and the main purpose when using this script is to deliver the unique value proposition you have as a real estate agent in this area. And indicating that you can help them complete the transaction much better than they do it themselves

Real estate Cold Calling Script:

Hi, I am calling about your home. Are you the primary homeowner?

I’m (name) with (real estate company). I see that your house is for sale, and I’m wondering if your asking price matches my research about the possible sale price of your house. How much are you asking? (listens)

Ah, I think you can actually get more for your home. I’ve compiled marketing data that shows houses in your area with the same features are selling at (insert price) and take an average of (insert days) to sell. A good real estate marketing plan can increase the possibility of sales and decrease the number of days on the market — both while ensuring a higher sales price.

Would you be interested in discussing how I can help you make this happen? (wait and listen)

4) Expired Listings

This Expired Listings Script is a good example when you want to get a homeowner to relist their home with you

Real estate Cold Calling Script:

Hi, I’m (name) with (real estate company). Is this the homeowner?

The reason for my call is that I noticed that your home listing expired on (insert date). Have you decided to relist your property with the same agent? (wait and listen)

(If no or undecided) When I reviewed your property listing, I noticed one thing that we can do to improve your sales approach. Would you be interested in finding out how we can correct that one thing? I’d love to discuss the possibility of listing your property with me and how I can help attract more interested buyers. (wait and listen)

(if yes) Well, I’m glad you’ve decided to relist. If you find that your agent isn’t getting you the offers you want or need, I’d be happy to step in and offer a different approach. Feel free to call me anytime to discuss a different marketing strategy that can help increase buyer offers.

5) Ebook of real estate cold calling scripts

According to Placester.com there are so many different ways to approach and make a cold call with buyers and sellers

Here’s a comprehensive approach to the cold calling they provide that can help you in many different ways

Conclusion

Real estate Cold calling is one of the most important strategies that you have to master as soon as possible – if you want to become a truly successful real estate agent

Anyway, after you’re proficient enough to get tons of new leads coming to you. Then you would need a nurturing strategy to follow up and give value constantly so that you can be on top of their mind over the years

So, whenever they think of a real estate agent, your name immediately appears in their mind – That’s how you can make as many transactions as possible

You can find more ready-to-use content to stay top of mind with your prospects in EOwn library: EOwn – Promotional Content templates