New Homes and You: A Professional Guide for the New Home Salesperson
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THIS BOOK IS INTENDED AS A GUIDE FOR THOSE INDIVIDUALS CONSIDERING A POSITION AS A SALES AGENT IN THE NEW HOME INDUSTRY. IT OFFERS ADVICE AND DIRECTION FOR MAKING THE NECESSARY CONTACTS TO GET STARTED AND PROVIDES ORGANIZATIONAL ASSISTANCE AND CONSTRUCTIVE IDEAS. AN OUTLINE FOR HANDLING AN ESCROW FROM SALES INCEPTION TO CLOSING IS PRESENTED. OVERALL, IT OFFERS A STEP-BY-STEP APPROACH TOWARD THE GOAL OF BECOMING A SUCCESSFUL NEW HOME SALES PROFESSIONAL.
Rosemary A. Carruthers
Rosemary Carruthers began her career as a real estate sales professional in1977 selling real estate in San Jose, California. In 1984 she entered the new home market selling homes for builders in San Diego, California. Her previous experience comprised working with several highly diversified businesses on the east coast. In 1986 she co-founded ON-TRACT, a networking organization for new home sales professionals and became the main force behind its development and structure. She was also the writer and Editor for its monthly newsletter, SITES 'N SOUNDS. Ms. Carruthers is an active member of the Sales & Marketing Council of the Building Industry Association having served four years as a Board Director. She has been the recipient of several prestigious awards and honorariums from ON-TRACT, the Sales & Marketing Council of the Building Industry Association of Southern California, and the Child Abuse Prevention Foundation, San Diego, California. She is a member of the Society of Children's Book Writers and Illustrators and is a published author of several literary works.
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New Homes and You - Rosemary A. Carruthers
Copyright © 2003 by Rosemary A. Carruthers.
All rights reserved. No part of this book may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopying, recording, or by any information storage and retrieval system, without permission in writing from the copyright owner.
This book was printed in the United States of America.
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Contents
PREFACE
CHAPTER 1
CHAPTER 2
CHAPTER 3
CHAPTER 4
CHAPTER 5
CHAPTER 6
CHAPTER 7
CHAPTER 8
PREFACE
Choosing a profession demands attention with insight into the formalities of what is to be expected. By thoroughly researching, the decision-making process becomes easier and more effective. To build your dream it will require both foresight and planning. To achieve your dream, SELF DETERMINATION, PERSISTENCE, and a PASSION to achieve your goal are foremost.
In pursuing a position selling new homes keep in mind that builders tend to seek individuals who already have some working knowledge in new home sales, or at the least, offers a sales background (preferably in real estate) and shows great ENTHUSIASM for the job. Let these be your guide.
The following step-by-step outline details the information required to attain the status of a new homes salesperson. From the initial interview to a fulfilling and rewarding profession, may you seek and find wealth and happiness in your newly chosen career.
CHAPTER 1
JOB DESCRIPTIONS AND COMMISSION LEVELS
I. THE MEANING BEHIND THE TITLE
A formal description of a new home salesperson would be "someone who guides buyers in the decision-making process of purchasing a home."A detailed look at what would be expected of a new home salesperson follows throughout this book.
To begin, treat your position with professionalism. Plan to devote a minimum of five days a week, seven to eight hours a day (longer if you are writing contracts, option orders, or finishing necessary paperwork.) There are no scheduled lunch hours, so you will likely brown bag
it and eat whenever, and if, time allows.
Selling homes is stressful and demanding. A sales agent needs to be up
at all times, ready to greet the public with a smile, prepared to respond to their questions and objections, provide a thorough presentation, and offset any problems that may occur.
At times it may seem like an emotional roller coaster. Feelings can go from a very high to a very low threshold from any given moment to the next. It is important to understand that these are typical occurrences of the profession as you go through your personal decision-making process.
When a sales agent is hired to represent a builder they will be placed in charge of the sales office and the model complex. The builder places faith in the agent to carry out the selling of their homes and maintain full management of both the sales office and the models. Most builders hold weekly sales meetings at their main offices that the agent will be expected to attend. There will also be times when the builder may request the agent’s attendance for special meetings or sales seminars.
If you enjoy responsibility, can handle your own daily motivation, like to be in charge of your own destiny, and prefer earning an unlimited income versus an established, steady paycheck—then new home sales may be what you are searching for.
Many salespeople enter this profession because they believe this will be easy, all the buyers come to you.
This is a misnomer that many people believe. Nothing is further from the truth. There is a lot of responsibility lying on the shoulders of a new home sales agent to assist prospective clients in the selection process of buying a home. You will work hard for the results you get, but it can also be very self-rewarding.
A. THE ROLE OF A SALES PROFESSIONAL
A home sale professional is the central focal point to which all other departments and individuals feed the information necessary to effectively create and close the purchase of a home. It is on a daily basis that these individuals work hand-in-hand to make this a smooth and enjoyable experience for the homebuyer. Overall, it is the role of the sales professional to use infinite coordination in effecting this outcome.
From the construction superintendent to the sales and marketing staff, the lender, escrow officer, options coordinator, design center and their specialists, customer service and warranty services department … all must do their part to work together through the sales professional who in turn keeps the buyer informed.
Along the way, it is the sales professional’s job to also handle all the demands of the builder, and monitor the buyer’s requests and concerns, as well as effecting a successful sale and closing.
Ultimately, it is much more than just being a sales person
.
II. SALES POSITIONS/LEVELS
How can I get started? What expectations should I have?
The following information outlines several positions for which you might be hired within the new homes sales industry. Included is a detailed description of the responsibilities as they relate to each position.
A. HOSTESS/ASSISTANT
In this position you would be an assistant to the sales agent/s at the community for which you are hired. The responsibilities could vary from a simple handling of phone calls, greeting prospective buyers, preparing price sheets and directing prospects to the models, to that of a more complex nature.
You might be requested to write thank you notes to each prospect who comes in to see the models, make follow-up calls after their visits, prepare homebuyer manuals, mail out brochures to interested buyers, prepare mail-outs of fliers mentioning new phase releases/prices/move-in dates, etc., input homebuyer survey information into the computer system, make copies of necessary forms to keep office folders stocked, prepare packets for writing contracts, open and close the models daily, and possibly even do some errands such as grocery shopping for the office, taking mails to the post office, or delivering/picking up necessary items from the main office. In short, you would assist the sales agent with whatever may be required.
Whew! That’s a lot of responsibility. If eventually it is your goal to be an agent, (and that is what we’re reaching for, isn’t it?), then it will all be worth the effort. Nobody gets there without first paying their dues
and in the long run you will be a better sales agent for having laid the proper ground work first. That’s how a good home is built; it’s no different for a good career.
Builders prefer to have licensed staff on site to insure their protection against being sued. An unlicensed individual may not quote figures to the public. Therefore, most builders will be more receptive to hiring a licensed person. A real estate license may be obtained through any real estate school offering classes for this purpose. Depending on how much time you can devote to your studies, a license can be acquired, on average, within three months’ time. A final exam will be given by the Department of Real Estate.
Besides the necessary do’s
of the position, there are several don’ts
of extreme significance that a Hostess or an Assistant needs to be aware of:
A Hostess/Assistant should never interrupt, interject his or her own thoughts or comments, or attempt to take over the conversation when the agent is speaking to a buyer. Once the agent has begun talking with the buyer, the Hostess/Assistant needs to fade off into the background or retire to a separate room so the buyer will not become distracted and divide their attention between two parties. If the sales agent loses their focus with the buyer a sale might be lost.
When a prospective buyer begins to show more than the usual interest (a possible buyer!), the Hostess/Assistant should direct them to the on-site manager, introducing them as such, and bow out gracefully from the conversation. It is not the Hostess’s/ Assistant’s position to continue to make the sale unless the agent is unavailable. not on-site, or otherwise directed to do so.
The Hostess/Assistant should not disrupt the agent with idle talk while they are trying to attend to contracts, read over messages, or make telephone calls. They have work to do. Give them your respect.
Make brochures, copy extra forms used in the contracts or for closings, prepare contract folders or packets of CC&R’s, read a book about real estate to improve your knowledge … but don’t draw the agent’s attention away from his/her important work.
The Hostess/Assistant should try to answer only as many questions as they are prepared to handle correctly and ask if they are unsure