Last week, we started discussing the three reasons people don't buy from you and how to overcome them. The first reason was they don't want what you are offering and I thrashed out the problems as well as some solutions. (
So what do you say we dig in to reason No. 2, which is they can't afford it. When I think back on all the time I wasted with "wannabe buyers" it actually makes me sick. Think back yourself. Go ahead right now. I'll wait.
Doesn't it make you angry? Seems like the people you can't help are the exact ones that can only meet you at night or on the weekends. Right? So let me share with you some solutions.
The first is to target your marketing. Sounds simple, I know, so let me explain. Figure out who your ideal prospect is and the best program you have for their needs, and then only market to those people.
If you want to do reverse mortgages then only market to seniors. Only put your ads in senior publications. Only send direct mail to seniors. Only advertise on radio and television programs whose target audience are seniors.
Most of us just throw out a big net and we get lots of nasty fish that aren't edible. So go deep instead of wide.
SIFTING AND SORTING
One of the techniques I have developed and shared in our industry is to send people to a toll-free telephone number or to a website to get a free report. In this report I tell the readers why they should choose me, give them testimonials, answer their questions and then tell them what to do next (schedule an appointment to meet me). But the biggest and most important thing about these reports is that I also tell them whom I can and can't help. Why? Simply because I don't want to waste time with people I can't help.
But every so often, one of these "others" slips through. So I developed a test and a product to see if they are worth spending time with. I created a "Get Mortgage Ready Program" that helps people who aren't qualified right now go through a pre-qualification process.
It's not credit repair or modification or anything like that. It's simply a pre-qualification customized for their circumstances and with tools for them to get back on track.
I charge them $195 for this service and it is credited to them at closing just like an application fee, which is what it really is.
THE TEST
If they go ahead with this I not only have a future deal (97% convert to closed loans) but I also can now turn around and give them to a Realtor and build a new relationship.
If they say no they usually follow that sentence with "I can't afford $195." That's great news for you.
See, if they can't afford $195, then: A) They are not serious about buying a home; B) You don't waste another single minute of your time with them.
Go ahead and give it a try. At a minimum, charge them for a full credit report and see what their response is. Either way you win!
In the next article I will wrap up with reason No. 3: They Don't Trust You. This one is a biggee so stay tuned.
Brian Sacks is the CEO of
