The million-dollar question as a new luxury real estate professional is how to sell million-dollar homes.
It feels like a paradox, doesn’t it? Most people believe that to sell million-dollar homes, you have to have already sold million-dollar homes, right?
The answer is yes and no.
While it certainly helps to already know how to work with luxury clients, it’s not a requirement to get your first luxury listing. Because, as they say, everyone has to start somewhere.
Fortunately, getting your first million (or multimillion) dollar listing is easier than you’d think. In fact, the inner workings of the luxury real estate industry are largely built on mentorship, replicable systems and relationship building. If you can leverage those three things, the million-dollar listings will come.
To break it down even further, here are a few ways to get closer to that first high-ticket sale:
1. Take advantage of mentorship.
The truth is, sometimes it “takes a village” to get that first million-dollar listing. Of course, there are a lucky few who come right out of the gate knowing how to sell million-dollar homes on a hunch, but many top producers started under a more knowledgeable professional’s wing.
Granted, it’s easy to believe top producers are too busy producing to consider taking on a mentee. Yet, the reality is, most are happy to teach a new professional what they know.
Because the best mentorships in luxury real estate are mutually beneficial. While you may find some professionals who don’t expect anything but a percentage of commission in return (more on that in a minute), many top producers are happy to exchange their knowledge and guidance in return for a helping hand.
Maybe it’s picking up some administrative tasks, taking some meetings or helping with social media. Whatever it is, it doesn’t hurt to offer a potential mentor a little extra help in return for theirs.
When looking for a mentor, you might try looking to a more experienced professional at your brokerage or even someone in your professional networks. For instance, one of the major benefits of earning your Certified Luxury Home Marketing Specialist™ designation or becoming a member of The Institute for Luxury Home Marketing (The Institute) is the unbarred access to an elite network of top producers.
2. When in doubt, co-list.
Again, no one expects a new luxury real estate professional to know how to sell a million-dollar listing right off the bat. It certainly helps to have sold traditional real estate first, but either way, luxury real estate comes with its own nuances.
To take that a bit further, each luxury real estate client comes with their own nuances, too.
That’s why it helps a great deal in the beginning to list with someone who already knows the ropes and has “seen it all,” so to speak.
You’ll likely give up a percentage of your commission, but you’ll gain an invaluable amount of experience and confidence. In fact, even pros who know how to sell million-dollar homes still opt for co-listing at times when they’re selling in a new niche, a new market or an extra-unique home.
3. Pick up expired listings.
Another way to learn how to sell million-dollar homes? Work your local expired listings. It may feel intimidating at first to approach sellers who are inevitably disappointed that their home hasn’t sold yet, but another way to look at the situation is that they’re also likely ready for a new approach.
It may take some priming, but the bottom line is that no one wants their home sitting around on the market. With the right pre-listing package (and again, maybe a mentor or co-lister to help guide the way), expired listings can be the perfect place for a new luxury real estate professional to start.
Some tips to set you apart from the other real estate professionals hunting down expired listings?
– Lead with empathy first. The fact is these folks have likely spent some significant time and money trying to get their home to sell. Even though they’re ready to move on from their home, it can sting to know other homes in the area are selling while theirs is stuck on the market.
– Create a follow-up plan and stick to it. That means you may have to schedule times to go back and knock on their door until you’re able to connect in person, and you’ll have to schedule times for follow-up calls. Be enthusiastic in your follow-ups and show genuine interest in their home.
– Lean on the experience of your mentor or brokerage. If you haven’t sold similar luxury homes to the ones you’re prospecting for, lean on your brokerage’s track record or your mentor’s track record. Do your research beforehand and come equipped to every conversation with examples, numbers and data.
Learn how to sell million-dollar homes from some of the top producers in the industry.
Becoming a member of The Institute gives you access to some of the top producers in the industry and done-for-you marketing tools that give you a tremendous advantage.
The Institute also offers a wide range of resources for you to invest in yourself at any stage in your luxury real estate career—even if it hasn’t begun yet.
– Subscribe to our Estate of Mind podcast and/or Estate of Mind video series on YouTube for monthly deep-dives into specialized luxury real estate topics with industry experts.
– Take our Luxury Livestream or Luxury Online training to qualify for The Institute membership and its many member benefits.
– Visit your Membership Portal for brand-new training sessions, as well as our book, “Rich Buyer Rich Seller: The Real Estate Agents’ Guide to Marketing Luxury Homes,” which is available for free to all members of The Institute and also available on Amazon.
Diane Hartley is the president of the Institute for Luxury Home Marketing, the premier independent authority in training and designation for real estate agents working in the upper-tier residential market. The Institute’s Designation, Certified Luxury Home Marketing Specialist™, is recognized around the globe as the gold standard in luxury designations. Institute training and membership is open to all real estate agents, regardless of firm, experience level or brand affiliation.