Reference no: EM132946496

Question

CASE STUDY You are the new licensee of an agency and you are reviewing the listing performance of the sales consultants. You note that Bob Best's listings have slumped dramatically over the last 12 months. You decide to spend some time analysing and observing his pre-listing preparation and listing presentation to identify areas of improvement.

The following is a description of his typical listing process. Read it carefully and then complete the following critique. Please attach your typed answers to your assessment.

Bob's Listing Presentation

Bob Best has been in real estate for around 10 years. He is an experienced sales consultant and he is very confident about property prices in the area. He has taken a phone call from a prospective seller who is keen to have him provide an appraisal and to discuss the possible sale of the property.

Bob has a three-minute chat on the phone with the owner, writes down the address of the property in his diary and agrees to meet at the property later in the day. He then rushes out the door to another appointment that he is already late for.

Later in the day, Bob has time to have a quick cup of coffee before heading out to conduct the listing inspection and appraisal. He asks his personal assistant to run off a quick ownership search on the property that he can use as a reference when considering price. Bob collects a clipboard and an Authority to sell and heads out to the listing appointment. His presentation folder is always kept in the car so he knows where it is.

He arrives at the property right on time and parks in the driveway. He shows up to the front door and bangs on it a couple of times until it is answered. When an adult female opens the door, he courteously introduces himself, hands out his business card and steps inside the home.

He tells her that he can find his own way around if she wants to continue whatever she was doing. Once he has had a good look around, Bob asks whether the owner has time to listen to his presentation. She hasn't ! All she wants to know is what the property is worth and is it a good time to sell at the moment.

Still standing, Bob pulls out the ownership search and has a quick look at what she paid for the property. He notes that she purchased it 12 months ago, and quickly warns her that the market has not changed a lot since that time and she'll be lucky to get her money back.

The owner is quite defensive and explains to him that she and her husband have spent a lot of money on the home and she would have thought it was worth at least $50,000 more than what they paid for it.

Bob explains how bad the market is and how tough the buyers have been. He comments that the only way the owner will get her money is if she spends around $2,000 in advertising.

The owner is very defensive and comments that she thought that the agent should pay for advertising as they earn a big enough commission.

Bob comments that he is happy to take on the listing then at the client's desired price and she does not have to pay for marketing. However he would like an exclusive agency.

The owner asks Bob what are the benefits of an exclusive agency. Bob takes out his presentation folder and begins to bore the lady of the house about how his agency is the top agency in the area, provides a graphic display of his sales awards from 4 years ago and promises her that she will receive the best service possible if he is the listing agent.

The owner eventually winds Bob up by stating that she has another appointment to attend. Bob tells her that it has been a pleasure meeting with her and asks when will he know about the listing?

She replies: "Don't call me. I'll call you!"

Now complete the following critique. Each point you wish to raise can be expressed in a brief dot point summary. Please attach your answers to the back of this assessment.

Listing Preparation

Question 1

How could Bob have prepared better for the listing presentation? You should be able to mention at least 4 points in your answer.

The Property Inspection

Question 2a

How could Bob have better handled his introduction to the seller and the inspection of the property? You should be able to raise at least 4 points.

Question 2b

What critical information did Bob fail to find out from the owner before he commenced his presentation? You should be able to raise at least 2 points.

The Listing Presentation

Question 3

Could Bob have provided a more conducive environment for the presentation before discussing price and market conditions with the client? Please explain your answer.

Price

Question 4

How do you think Bob should have handled the issue of price? You should be able to raise at least 4 relevant points.

Listing Options

Question 5

How do you think Bob should have handled the benefits of an exclusive agency more credibly?

You should be able to raise at least three points.

Marketing

Question 6

Now comment on how he could have handled the benefits of marketing more effectively?

Point of Difference and Seeking Commitment

Do you think that Bob was convincing in the way he handled the issue of why he was the best person for the job? Do you think that he demonstrated empathy and understanding when closing the listing? Please provide at least 4 points that you think Bob should have raised or dealt with.

Question 7

During a presentation, why is it important to explain the findings of a visual inspection?

List three benefits of an agent would gain from a visual property inspection.

Question 8

List Different the different types of value

Question 9

Under the IVSC standard's ,what is market value is defined as?

Questions 10

What are the elements of a presentation?

Question 11

What information is should be in a listing kit?

Question 12

What are the legal rights and obligations of vendors and agents in listing a property for sale?

Question 13

What is the documentation required in a listing a property for sale?

Question 14

List 8 items that could be included in a listing kit?

Question 15

What documentation is required when listing a property?

Question 16

What forces create value?

Question 17

What is market value?

Question 18

What does the International Standards Commttee define value as?

Question 19

What is the purpose of a Listing Presentation?

Question 20

Name 6 pieces of legislation that covers the listing of properties?