In the Real Estate market, there are many motivated buyers and sellers, and your task is to identify and connect with them. On this episode of MFTV, Mike shares two thoughts on how to finish the year strong. With over 48 years of experience in the Real Estate industry … Mike Ferry has seen it all, been through every cycle and overcame every objection. Watch, listen and learn from the Global Leader in Real Estate Sales Training.
November is approaching rapidly, so make sure to participate in one of the Action Workshops we've scheduled in Las Vegas and Toronto. Find more information at https://www.mikeferry.com/events.
Blog: Mike Ferry Blog
Website: The Mike Ferry Organization
Socials: Youtube, Instagram, Facebook, LinkedIn, and Twitter
Start your coaching journey: Here
Welcome to Mike Ferry TV. This is Mike Ferry today working with you. It's the week of Monday, November. Excuse me. Monday, October 30th. And we have two great months to produce and list and sell Real Estate. You know, it's interesting because the market has been sliding pretty successfully, by the way, for the last 12 to 14 months. And that started with the interest rate change taking place in June of 2022. And of course, interest rates today are designed to slow down the inflation that takes place in an economy like ours and it affects the Real Estate business in some cases dramatically. But what's so interesting to me is, you know, we hit a high point a couple of years ago of about 6.2 million residential sales during the course of a year.
This year, we're probably depending on who you're listening to, any place from 4.2 to 4.4 million, which is a lot less. But what's interesting is it's still a simple fact that more than 50% of all the agents that you compete with do not list and sell a single home in the course of a year. And that's kind of a sad situation. But now the good news is I saw a report and again, I can't verify who sent this to me, that the National Association of Realtors has been reduced in size by a couple hundred thousand realtors over the last few months. These are generally people that aren't listing and selling homes. They're really not competitors of yours. But it does shrink the pool of people that are working in Real Estate every day.
During the months of November and December. Historically, the business will drop in a given area any place from 10% to 12%, up to 20% to 22% less transactions take place, and it's primarily because of the holidays. And then you add in the interest rates. We can see why the slowdown takes place. But what I'd like you to do is this I'd like you to look at the positive side of this change in the market. And the positive side is we have less Real Estate agents competing, and that's good news.
The other positive side is there are a certain group of people that have to buy and have to sell. The circumstances in their business, their family and their life requires that they do something now and they have to get it done soon. So the question is, do you want to participate in that type of a transaction? Or in essence, there are a lot of highly motivated buyers and highly motivated sellers in the marketplace today. Our job is, of course, to find them because again, if you look at Real Estate on the most simple basis, somebody has to buy, somebody has to sell. And our job is to get in the way to get in the middle of those transactions. So there's two thoughts that I want to share with you today.
Number one is do you know and are you comfortable getting in the way of these people that want to buy and sell? Or in essence, do you have the confidence to be able to say, do you have the need to buy, or do you have the need to sell at this time? Or in essence, do you have a good script you use, whether it be a Mike Ferry-trained script, which are some of the best scripts in the business, and I know they're the best because all our competitors use our scripts, so we know that they're very valid. So the question is, what is the level of confidence that you have to get in the way of a transaction?
But the second point that I want to make today in our Mike Ferry TV is the value that you bring to a buyer or a seller. It's hard to create a lot of value with a buyer, and it's hard because basically the house is the value that they're buying. Oh yes, price, neighborhood condition, etcetera are big factors, but the home itself is what really they're after. And the home itself will sell itself in many cases to the buyer without a lot of participation from the Real Estate agent. But the more value you bring in prequalifying them, making sure they're financially capable of buying, introducing them to your lender to get the financial side worked out so they feel comfortable looking at property with you and buying from you.
But on the seller side, there's not a lot of agents in any community that take a lot of listings. And if you follow Mike Ferry, you know that once in a while I will mention the names of agents that on a routinely basis, whether the market be here or here, take 10, 12, 15 listings a month. And if you're a coaching client, you notice that probably at least once every month, I will list the names of 5 or 10 agents that are doing extraordinary in taking listings. And why are they so good at taking listings? Because they bring a lot of value, the seller can see why it's the right person to handle their transaction.
So work on your presentation style. Work on your levels of energy and enthusiasm. Work on the words you use during a presentation. And most importantly, make sure that your presentation separates you from the competition by the value you bring. So it is now almost November 1st, being October 30th today, and we know that we have two months of a lot of transactions to be done. And the only question is how much do you want to participate? Keep watching, keep learning, keep growing, keep producing. See you next week.