Cold Calling Is Challenging, Here’s How To Warm Them Up

How often do you tap into a real estate tips video or read a real estate related blog to get an answer to a question or challenge you’ve run into? For most real estate agents, the answer is likely a couple of times a week and if you are highly active, possibly multiple times daily. 

Let’s face it, the internet is a bottomless chest of information. So much so, it can be tricky to maneuver and separate fact from fiction. 

Considering this, we’ve dedicated space in a corner of the net to carve out reliable strategies to help take your real estate career from one level to the next. One of the most common strategies that has passed the test of time is cold calling. Yes, the scariest strategy in the book, but potentially the most rewarding if you can nail down a conversion rate that supports success.

What Is Cold Calling Anyway?

Cold calling is challenging. There is no way around that truth, but it can be rewarding with the right approach. One of the most common scenarios as a real estate agent to use cold calling would be reaching out to For Sale By Owner (FSBO) listings and inquiring to represent their home on the market. Cold calling is an integral part of selling for those who are looking to build their business as a listing agent vs a buyer’s agent.

The primary goal is to take it from a cold call to a warm lead. Simply put, how can you convince a stranger on the other end of the phone call to listen to your sales pitch and show a genuine interest? With the right approach, it is possible. 

Why Warm Up A Cold Call?

If we were to liken a cold call to a cold car or cold muscles, we would describe it as difficult to maneuver or stiff. Cold calls often have a low success rate, as they catch prospects off guard and can be perceived as intrusive. However, just like warming up a car or your muscles before engaging in activity, when a caller is warmed up they become more pliable or open to hearing what you have to pitch. A more connected caller can produce a higher probability of converting the lead into a customer.

How To Warm Up A Cold Call

Now that it's clear on the reason a cold caller needs to be warm, let’s discuss how one can actually warm up a call.

1. Research the Prospect

A cold call may be off guard for the prospect, but it doesn't have to be unprepared for you. Before making a cold call, it is important to research the prospect. So, if you are sifting through FSBO listings on Zillow or a similar platform, the owner will likely have their information listed. However, before simply pressing send on the number, take a second to learn about their listing, review how long they have been attempting to complete the process independently, run some comps. Scour the listing to see where they maybe can use your help in making a successful sale.

2. Personalize Your Approach

Assume that if you are attempting a cold call with a prospect, that others have done the same. Reportedly, FSBO sales declined by 8% in 2023. It could be related to reports that FSBO sellers on average sell their homes for $100,000 less than what they would have with the help of a real estate agent. So, what does all this mean? It means that they are likely getting a boatload of calls from multiple agents trying to solicit their services. All great reasons why you should personalize your approach to actually build rapport and stand out.

3. Start With A Strong Introduction

You have maybe 5 seconds to capture the prospect's attention from the moment they answer the phone. By natural inclination they will want to disconnect the call, and if they hang in there with you, it may initially be from a sympathetic aspect. You can change that. Clearly state who you are, the purpose of your call, and how you can provide value to the prospect. A compelling introduction will make the prospect more willing to listen to what you have to say.

4. Focus On Benefits, Not Features

It's way too easy to get on a call and immediately begin rattling off meaningless numbers and stats about your real estate track record that they may or may not understand. During the call, focus on highlighting the benefits of your services and how your expertise can serve their goal. Show the prospect how your offering can solve their pain points by emphasizing the value they will receive, you make the call more enticing and increase the chances of generating interest.

5. Ask Open-Ended Questions

Yes and no questions like, “Are you interested in working with a real estate agent,” will result in a 10-second call, and at least four of those seconds will be you stuttering in an attempt to reclaim your call before the prospect ultimately disconnects. Engaging using open-ended questions will allow them to share their thoughts and challenges, giving you an opportunity to understand their needs better. Open-ended questions also show that you are interested in their opinion and that the call is not just a one-way sales pitch.

6. Listen Actively

While it is important to deliver your pitch effectively, it is equally important to listen actively to the prospect. They will gauge whether you are listening with the intent to respond or actively listening to be of effective assistance. Cue in to their responses and ask follow-up questions to show that you are genuinely interested in their needs. Active listening builds trust and makes the prospect feel valued.

7. Provide Solutions And Insights

During the call, offer solutions and insights that demonstrate your expertise in the industry. Provide valuable information or tips that can help the prospect overcome their challenges. By positioning yourself as a trusted advisor, you increase the chances of the prospect seeing you as more than just a salesperson.

8. Set Clear Next Steps

At the end of the call, be sure to set clear next steps with the prospect. This may include scheduling a follow-up call, sending additional information, or arranging to meet them in person at their home to go over a prepared Comparative Market Analysis. Setting clear next steps keeps the momentum going and increases the chances of progressing the lead further.

National Real Estate Management Group Can Help You Master Cold Calls

By implementing these strategies, you can effectively warm up a cold call and increase the chances of converting leads into clients. More clients mean growing your business, and achieving your financial goals. While it can be challenging, it can be conquered by using strategy and building confidence.

We can help you fine tune the core skills such as actively listening, preparing an irresistible sales pitch and building rapport with prospects, all while becoming more confident. Does that sound like what you would like to do with your real estate goals? Contact us and let us help you blossom into a top producing seller’s agent.