Clients often turn to online home estimate tools to gauge their property’s value. While these tools may offer quick insights, they often fall short in accuracy and comprehensiveness. Here’s how to effectively address client concerns about online estimates and steer them towards more reliable valuation methods.
Understanding Client Concerns
Clients may express confidence in online home estimates, citing inflated values seen on popular listing sites. It’s crucial to acknowledge their perspective while gently guiding them towards a more nuanced understanding of the limitations of these estimates.
Educating Clients on Online AVMs
Take the opportunity to explain to clients how online Automated Valuation Models (AVMs) work. Emphasize that these tools rely on generalized sales data and public records, failing to account for crucial factors such as the property’s condition and recent upgrades.
Providing Accurate Data
Assure clients that you will provide them with more accurate and personalized data for a comprehensive understanding of their property’s value. Offer to conduct a Comparative Market Analysis (CMA) using proprietary REALTOR® tools and data, showcasing recent sales in the area and considering specific features of their home.
Scripted Reply Example
When clients mention online estimates, respond with empathy and expertise. Offer reassurance while gently steering the conversation towards a more accurate valuation approach:
“Yes, I understand that you may have seen your home online and you’re happy with the number you saw. But are you familiar with how online values work? They use general sales data and public records but don’t consider your home’s condition or recent upgrades. I will provide you with more accurate data, and I can show you recent sales in the area for a clearer picture. I will build you a professional CMA. This will help us find the perfect way to price your home.”
In smart prospecting, addressing client misconceptions about online home estimates is a valuable opportunity to showcase your expertise and provide added value. By educating clients on the limitations of AVMs and offering personalized valuation methods, you can build trust and guide them towards informed real estate decisions.
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