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Conversation Compass is a step-by-step tool designed to help you build the skills needed to speak in Discovery Mode.

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Sign Call

Working at my computer one afternoon, the front desk manager put a call through to me saying someone was asking for info regarding my listing on Villa Lane. Actually, having two properties listed on that street, with one being an escrow, I wondered which the person was calling about. The following conversation occurred between us.

This is Fred Wilson. Thanks for calling with whom I speak. Hi Mike. Mike Roberts. Hi Mike.

Hey, this is my landline so I can't see your number on my screen. What's your cell? Oh sure. 744 -277 -4201. Thanks. You called regarding Ville Lane.

Correct. What information would you like? I did, yes. 22534 Va. What's the current price? Well it turns out that lot is an escrow. What's the price range you're looking at? Well actually we're not looking, we're comparing.

I see. What exact are you comparing? Oh you know other building lots in the market in that neighborhood specifically what they're listed for and what they've sold for. Thinking of building? Well whether or not to guess, but can't you just tell me the price? Happy to. The lot you called on is priced at the May in 395 although as I said it's currently an escrow. Well once it closes escrow I can let you know or perhaps the seller won't mind me giving out the contract price to prior to closing.

I'll call him and ask either way I can get back to you. Sound good? So it's selling for less than the asking price. Let me talk with the seller and get back with you with the pertinent information. Earlier though you mentioned other building lots are in the area. Which other lots have you seen? Well, I saw you had another lot listed.

Is it still listed a million 250? Good question because we've just substantially lowered the asking price to 995. What do you think about that number? For that lot, I'd say it's headed in the right direction. I never thought you'd get more of a million for it. You think you're going to feel lower to actually sell it? That's hard to say. There is someone with another agent who's nose around at the moment.

You want to take a run at it before they do? No, no. It's a purchase. That lot just doesn't interest me. I understand. What is it about that particular lot that doesn't work for you? Well, you know, the building envelope is a little too small.

The view is not so great. I don't really like having hugs on the mountains them outside and there's just enough light up there. I can see what you're saying but I'm curious what would you do if you could get the property for less than 900 ,000. That would make a difference to me. So simply not ready to jump in at this time.

Well like I said we're really just comparing you know trying to decide whether to build or not build because in truth, you know, we already have a really nice lot. Wow. Super. In the very same neighborhood? Oh, yeah. Just a few blocks up the street.

Oh, very good. And how does it stack up in comparison to the lots that we've been talking about? Well, I like mine better, which, you know, it's a personal thing. Everybody thinks their property is the best, right? A good point. But tell me about your law. When did you buy it? Four or five years ago, I'd say.

And how about how much did you pay for? We've made a million one, two, five. I think we got a pretty good deal. Any idea what it's worth today. A good age and always walks the ground, so I'd first have to do that and look at a few more recent comparables, then I could tell you what number do you have in mind? Well, I prefer to hear what you have to say. You're the professional.

Thank you, I appreciate it. And which is why I'm first going to pull together a few more relevant facts. You mentioned previously that you're comparing things. So let me ask you this, in what ways have you been following the market since you bought? Well, since I bought, I haven't really. Now that we're thinking of not building, I just want to get a feel for what my options might be.

Got it. So building is now pretty much off the table for you guys? Probably. I mean, there've been some changes in our life direction and we're thinking we don't want to go through the drill of building. Makes sense. Was what you had previously been planning set to become your main residence a getaway home or perhaps a rental property? Maybe sometime down the road or residence but otherwise a weekend or holiday place for it.

Okay, understood. And you've lost the desire for a big construction project. Exactly. Well, to be honest, I don't even know what I was thinking. I bought the lot to build on.

And I'm not sure particularly when we can pick up something that's nice for less than replacement costs and none of that hassle. Would you agree with that? Absolutely. I agree. The high end in that area has never fully recovered from the down market. Right now, if we pay attention, I could get you a great deal on a very nice property.

What would you say to buying for perhaps 70 to 80 % of the cost to build? Right. Yeah. That's just what we've been thinking. So you and your wife are on the same page with this new direction? I'd say so. Yeah.

And what's changed in your lives page with this new direction. I say so, yeah. And what's changed in your lives to cause this new approach away from building? Well, chiefly, I'm now thinking of retiring and frankly, I'm tired. We've done it before and just the thought of building exhausts me and it's from my wife Mary Ann with a slew of grandkids having arrived on the scene. She just wants to put her energy in this other direction, other than building.

I can totally relate. And you want me to sell your lot before you can identify a house. Well potentially, I don't want to go loan on real estate. Smart, what do you want to sell your lot for? Well certainly not less than what I've paid for it, do you think you can get that? Well based on what you've told me perhaps but again I need to walk it. What's the address? I'll check it out before the end of the day.

Oh, darn, I can't recall the actual street address. I just know it's a lot 22 will Elaine, can you find it out with that? Sure, no problem. And which has got me thinking, if I like the lot, but not so much the market, which is fairly flat, what would you do if somebody offered you 950 -all cash in just 15 days to close escrow? "Under no circumstances, let it take less than 1 million. So if you want to hurt a commission, you need to know that going in." And it's good to know. I too would rather go in with my eyes open.

I want to thank you for being up front with me. How about I go walk your lot and get back to you. Would 4 o 'clock or would 6 be better? Okay, but you won't get me later today. So ring me tomorrow morning. No worries.

I can do that. And if the numbers pan out, we'll get it on the market. Sound like a plan? Well, let's see what the number you come back with is and we'll go from there. Great. Thanks, Mike.

Talk to you soon. Now after having met and spoken with Mike on the phone, a bit later that day I went to walk his lot and spend a little time putting together a competitive market analysis to discuss with him, knowing what I did coming out of our initial conversation. I actually listed his lot for May in 150 and then several weeks later sold it to my own buyer who did in fact want to build for May in 150 and then several weeks later sold it to my own buyer who did in fact want to build for May in 25. I then took Mike and Marianne out shopping and they quickly purchased a lovely home in a great, although different neighborhood for 2495. And as is often the case when using the production model, it didn't stop there.

Based on what I learned while shopping with them in the new neighborhood which previously I'd been unfamiliar with, I thereafter went on to experience a major deal chain in that area, and an excellent example of perpetual production, in which I had more than a dozen additional transactions come together totaling approximately 20 million in sales, all starting with the above sign call and doing large part to my effective process of talking with people.

Now, after having met and spoken with Mike on the phone, a bit later that day, I went to walk his lot and spend a little time putting together a competitive market analysis to discuss with him, knowing what I did coming out of our initial conversation. I actually listed his lot for a million in 150 and then several weeks later sold it to my own buyer who did in fact want to build for a million 25. I then took Mike and Marianne out shopping and they quickly purchased a lovely home in a great, although different neighborhood for 2495. And as is often the case when using the production model, it didn't stop there. Based on what I learned while shopping with them in the new neighborhood, which previously I'd been unfamiliar with, I thereafter went on to experience a major deal chain in that area.

And an excellent example of perpetual production, in which I had more than a dozen additional transactions come together totaling approximately 20 million in sales, all starting with the above sign call and doing large part to my effective process of talking with people.

Conversation Topic:

Conversation exercises are designed to help you identify the  Conversation topics outlined in Module 5 of the Production Model PRO course. Select a Conversation topic, and the Conversation Compass will help you dissect each conversation.

Operating in Discovery Conversation Elements:

 Example: 1    Example: 2
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[hyperaudio width="100%" media-height="10px" height="100%" webmonetization="false" transcript-height="250px" show-active="true" player="SoundCloud" src="https://w.soundcloud.com/player/?url=https%3A//api.soundcloud.com/tracks/&color=%230198ff&hide_related=true&show_comments=false&show_user=false&show_reposts=false&show_teaser=false&show_playcount=false&show_artwork=false&single_active=true&buying=false&sharing=false&download=false&liking=false"][hyperaudio]
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Sign Call:

Step 1: Scenario

Step 2: Conversation

Step 3: Outcome

Step 4: Analysis

Step 5: Exercises

[hyperaudio width="90%" transcript-height="200px" show-active="true" src="https://w.soundcloud.com/player/?url=https%3A//api.soundcloud.com/tracks/1868202618&color=%230198ff&auto_play=true&hide_related=true&show_comments=false&show_user=true&show_reposts=false&show_teaser=false"]

Working at my computer one afternoon, the front desk manager put a call through to me saying someone was asking for info regarding my listing on Villa Lane. Actually, having two properties listed on that street, with one being an escrow, I wondered which the person was calling about. The following conversation occurred between us.

Sign Call:

Step 1: Scenario

Step 2: Conversation

Step 3: Outcome

Step 4: Analysis

Step 5: Exercises

Working at my computer one afternoon, the front desk manager put a call through to me saying someone was asking for info regarding my listing on Villa Lane. Actually, having two properties listed on that street, with one being an escrow, I wondered which the person was calling about. The following conversation occurred between us.

Someday Lead (5 points)

Lead Date:

Score Interaction?

Score Talk-To?

Score Attempt?