In commercial real estate brokerage, there will be times that investors and buyers of property will be prepared to act on an opportunity, whether it be planned or unplanned. They are ‘purchase occasions’ where the client or prospect will be prepared to take action in purchasing a property.
When you know your clients and prospects well, you will get to know their trigger points for purchasing another property. On that basis, you can create more transactions ‘off-market’. You will know their ‘purchase occasion’.
It is good then for you as an agent or broker if you can rank your clients and prospects in some form of ‘index’ that considers the unique factors that will create a ‘purchase occasion’.
Remember that each client situation is special and different. Have you got a category in your database software program that sets and categorises a purchase occasion for each client or prospect?
Easy Ways to Create More Transactions
When you have a category in your database program like that, you can create more transactions at the right time and with the right property types, simply by placing a filter on your client and prospect lists.
When you are looking to market and sell a new property listing, you go to your database list, activate the filter, and find the people that you can talk to immediately.
Note that most agents and brokers don’t do this well, and at best, it is a random process. If you want to improve your sales and particularly ‘off-market’ transactions, then the process of indexing ‘purchase occasions’ is very effective. Comprehensive indexing will help you with transactions.
Index of Typical Purchase Occasions
Here are some ideas to help you with the concept. The ‘purchase occasions’ will be a mixture of things in commercial real estate, but here are the most common that we see across the property market in most towns or cities with investors and buyers of commercial real estate.
- The right price for purchasing
- The timing of a transaction
- A particular property type
- A location for a property
- A capital gain potential
- Cash flow with upside or growth
- A property valuation
- Financing availability
- Rezoning of local properties
- A change in business or partnership
From this list, it is easy to see that you can and should put some form of ‘purchase occasion’ index in your database or spreadsheet lists to apply to all your contacts and conversations. It will help you to activate more new business in a timely way when the right property situation or property listing comes along.
Simplify Your Career
The idea is both simple and clear cut, and it provides promising opportunities if you deliberately rank all the people that you talk to into your ‘purchase occasion’ index. Use your client lists more effectively in this way.
Got the logic here? You can be confident that this initiative will help you greatly in your real estate career. Use the concept to convert more new business in greater frequency.