Posted by Wendy Forsythe
I often talk to real estate agents who tell me they are not numbers people. I don’t accept that. We all retain and recite lots of numbers at the drop of a hat. Some of the most common are:
- Price of gas
- Miles per gallon
Most of us can reel off these stats with great ease (well maybe discomfort, but we still know them!!!). Proving we are numbers people. We just need to expand this list to include our real estate vital statistics.
Here are some additional numbers to add to the tip of your tongue:
- Average sales price
- Days on market
- List price to sales price differential
- Absorption rate
- List to sales ratio
- Average commission rate
If agents added these six statistics to their top of mind awareness they would see measurable differences in their interactions with buyers and sellers. Numbers really get fun when you start to use them to your advantage. For example, if my MLS reporting tells me that the average property in my market sells for 95% of asking price (list price to sale price differential) and my personal track record is that my listings sell for an average of 98% of asking price—I’ve just demonstrated my negotiating skills and the potential benefit of listing with me. An extra 3% on a $300,000 sale is $9000. That’s a hard number to ignore! It’s a great proof statement during a listing appointment.
Which statistics do you track in your business? And how do you use them?