Latest / Market Ready / The Neon Orange House That Sold Over Asking
Transcript
- 0:00What was that first conversation with her like in terms of kind of trying to
- 0:04understand where to go with her and helping make this a little more seller-friendly?
- 0:09Interesting seller, actually, because she knew how hard it would be
- 0:14to see her house change. So she actually told us she didn't want
- 0:19to see anything, she didn't want any progress photos, she didn't want to know. And I think it
- 0:24was kind of fun for us, too, because we kind of we protected her from this transformation,
- 0:30but then at the very end when she saw the final product, that was like the real moment
- 0:35of truth. And I mean, to spoil the ending, I think she was like tearfully, you know,
- 0:42she was moved by it, she loved it, she felt honored. Yeah.
- 0:46Every listing has a story. This is the Market Ready Podcast.
- 0:55Incredibly excited to have the Rachels on with me this week to discuss the hacienda
- 1:01that needed to be loved. And what do I love about a hacienda that needs to be loved?
- 1:05I'm gonna have them explain to you because when they first told me this story,
- 1:09I thought, man, that's gotta be well, not only is it completely relatable to people, but it is
- 1:14something that I think every one of us knows that we have to deal with at some point in time,
- 1:19but we don't really want to. And I'm excited to have the Little Hill team with me today.
- 1:25And I'm just calling them the Rachels because I just think it's a cool name.
- 1:28But ladies, I'd love to have you introduce yourself so I don't butcher it.
- 1:32Yeah, sure. Thanks so much for having us on. I am Rachel Melby. I'm Rachel Sheftel.
- 1:38Yes, and we are the Little Hill team brokered at Road Oak Realty here in El Cerrito,
- 1:42California. Very, very cool. And how long have you been in the business?
- 1:46About five years. Yeah. So pandemic time we started and we're still here. So, says something.
- 1:53So I'm gonna give you a fun statistic. And normally I save the statistics for the end of the show,
- 1:58but this is a factual statistic. If a real estate agent coming into the business
- 2:03can be in the business for five years or more and be able to financially support themselves.
- 2:07Five years or more and financially support themselves. Technically speaking, you have
- 2:12a better chance of getting into Harvard three times in a row than accomplishing that.
- 2:17Oh, wow. I'll tell my parents. They'll be so proud. Yeah. It's impressive what
- 2:22you accomplished 'cause you came in at a really difficult time too, right?
- 2:27Yeah, interest rates had nearly just doubled when we were, you know,
- 2:32out there learning the ropes. And so this is all that we've known.
- 2:37We have to get a little bit more creative when buyers are more reluctant and sellers aren't
- 2:42sure if they're going to recoup what their neighbors did when they sold their house.
- 2:47And you know, I think coming in you said interest
- 2:49rates were at what and went to what when you joined?
- 2:52When I started, they were, you know, two and a half percent,
- 2:56and then shortly thereafter, five and a half, six percent.
- 3:01And then yeah, and then and then quickly up to seven. So you come in
- 3:04during a global pandemic, you come in at a time where interest rates
- 3:09are incredibly low, and then literally as you're trying to start a business,
- 3:13the market starts to go down and the interest rates start to go up. Am I getting that correct?
- 3:19Yeah, pretty much. And here it was wild in the early days of the pandemic. I mean houses
- 3:25were getting 30, 40 offers, hundreds of disclosure packages out. It was it was intense.
- 3:32But we're talking five years in, right?
- 3:34So you've survived the opposite of what most people have
- 3:39to get through, which I think is the incredibly cool part of this.
- 3:42Tell me if you don't mind too. I'd love to hear from you. Like,
- 3:45what was the hardest part of that journey in the beginning?
- 3:49Hmm. Yeah, great question. For me, it was all about
- 3:53building relationships early on. There was kind
- 3:57of a surge of interest in real estate during the
- 3:59height of the pandemic. Everyone wanted to get a
- 4:03license because they could see how quickly and easily things were moving. And it seemed like,
- 4:09man, you know, my life has changed a little bit. I'm not going into an office. And
- 4:16you know, real estate sounds like a great career. And so I felt like I was entering
- 4:21as like one of a dozen new agents that these incumbents were meeting out on
- 4:26our brokers' tours. And so trying to show up as
- 4:30professionally and as earnestly as possible and
- 4:35identify as somebody who was really here for the right reasons and not just for
- 4:39the gold rush was one of the things I wanted to make sure I got right early on.
- 4:45What's a competitive advantage you think that you had
- 4:48though compared to other people in this time period?
- 4:51Yeah, for me specifically, I had built a really
- 4:54large network in my community. I have a background
- 4:59in tech. I worked in tech marketing for a dozen years and had, you know, the know-how about
- 5:05launching my own brand, making sure that I was presenting myself digitally as sophisticated as
- 5:11possible, but I also had an audience to launch to.
- 5:15I had nearly 10,000 followers who were hyper local
- 5:20to "my farm" or the community that I'm serving.
- 5:23And so they really showed up to support me when
- 5:27I started this new venture. And it was and remains a huge
- 5:31competitive advantage. That's awesome. Rachel, what about you?
- 5:36I was just thinking about this. I was actually thinking it almost had the opposite effect of I
- 5:42started my career by working for a really seasoned
- 5:45veteran agent. He kind of had his own brokerage,
- 5:49did his own thing. And the pandemic proved honestly to be great in the sense that I was
- 5:54like drinking through a fire hose and I was getting so many reps so early on. And I
- 5:59also love that I started out working with this awesome agent who just like
- 6:04very old school, like no TC, I was doing all of our paperwork. And now
- 6:09of course I have all of these nice, I have a great transaction coordinator,
- 6:13but I feel like I really got in those early years to know like how to do things
- 6:18from the ground up. And it was yeah, I think it was a good time to start.
- 6:24Very cool. Well, listen, I tip my hat to you
- 6:27because it was an incredibly challenging time. And
- 6:31everyone can say, look, you know, the height of the pandemic, a napkin could sell a house.
- 6:35Well, at a point, sure. But the reality of it is is that also dissipated as quickly as it rose.
- 6:41Yeah. Right? For sure.
- 6:43Yeah. And that's an interesting thing to see that after this period of time you're
- 6:47still really successful and you've built a really healthy business for yourselves
- 6:52during a time that's incredibly challenging for a lot of agents out there. So I wanna touch
- 6:56on the hacienda because I know when we chatted a little bit before, something that's really
- 7:02common in the practice of real estate these days is understanding the psychology of how
- 7:07do you navigate working with people who have an understandable real love of their home,
- 7:14right? A place in a space in which they can feel like the time that they spent,
- 7:21the memories that they have there, it's an extension of them, what they've done to it,
- 7:25how they've done it, what colors they've painted it, what type of decor they have,
- 7:30are all very meaningful to people. But as we've learned over the years,
- 7:33sometimes what's meaningful to one person or something that's aesthetically pleasing
- 7:38to one person may not be to somebody else. So take me through this journey.
- 7:42Tell me about this particular house and what you noticed when you got there.
- 7:47Yeah, this was an interesting one too because the seller was a very good
- 7:52friend too, who I had just met. I lived nearby, we met walking dogs,
- 7:58we ended up just hitting it off, we would have dinners together, and I knew this house
- 8:02very well personally. So it was high stakes for sure. Not only was it high stakes,
- 8:07but it was like this house is so well known in the community. This is like the bright
- 8:11orange house on the corner. Like everybody's passed this house a million times,
- 8:16everybody's noticed it. And our client, she's so special. I mean,
- 8:22I adore her. And she just marches to the beat of her own drum. And this house was like,
- 8:27she refused to be like every other house. And you could you could tell in so many
- 8:32ways. It was very special. She had been inspired by, she was actually
- 8:39in Mexico at the time when we were selling the house and I mean the color choices,
- 8:43everything about this house was like inspired by the colors of Mexico. And she was like,
- 8:48she chose us actually to list the house because she knew we wouldn't whitewash it. She's like,
- 8:54I can't have an agent who's just gonna like paint everything white, make it gray,
- 8:59make it sad, make it like every other house. So then we had this really big
- 9:03challenge of like, how do we honor this and also have really, really broad appeal.
- 9:09It was that was our goal, of course. Yeah.
- 9:12Interesting. And so what was sort of the beginning of the conversation like with her?
- 9:17Because obviously you knew that there may need to be something that's done, right,
- 9:22to be able to to do something. Because it's hard. We're in current day and age where
- 9:26if you if you don't do fifty shades of greige, like you got problems because people
- 9:30have no vision for anything. So they just immediately will rule something out based
- 9:34on the first photo or in a showing based on even a smell in a house. Like things just
- 9:39immediately click. So what was that first conversation with her like in terms of kind of
- 9:43trying to understand where to go with her and helping make this a little more seller-friendly?
- 9:49Interesting seller actually because she knew how hard it would be to see her house change.
- 9:56So she actually told us she didn't want to see anything, she didn't want any progress photos,
- 10:02she didn't want to know. And I think it was kind of fun for us too, because so we kind of we
- 10:08protected her from this transformation, but then
- 10:10at the very end, when she saw the final product,
- 10:14that was like the real moment of truth. And, I mean, to spoil the ending, I think
- 10:19she was like tearfully, you know, she was moved by it, she loved it, she Felt honored.
- 10:28Yeah, we did so many little things throughout the process too
- 10:32to kind of like let her know that this is we were playing
- 10:37one of her favorite artists in the open houses and the music. We did like a
- 10:40big taco party to market the house. So like all of these things to show her
- 10:44that we were really thinking about her and the house and its legacy and
- 10:49Yeah, I think we also kind of laid the groundwork too. We have had precedent for
- 10:56listings doing very well that are a little more punchy than the white and the greige that you
- 11:04know people are scrolling through infinitely and that nothing is really sticking in
- 11:09their minds. And so prior to this listing, we had the confidence knowing that we could.
- 11:16leave some color and some texture intact when we were doing the listing prep on
- 11:21this particular house and were able to give those anecdotes to her. You know,
- 11:26this house that we just did with this, you know, crazy wallpaper still went,
- 11:32you know, 30, 40% over the asking price. And that can happen here too.
- 11:38Well, let's talk about that. What was it that you did to the home?
- 11:41When we say did, walk me through the process if you don't mind
- 11:44of sort of what did you see that it needed and what did you do?
- 11:47One of the biggest, I don't want to call it a challenge, but the house was bright,
- 11:52bright neon orange with neon blue trim, which was like,
- 11:55I mean, it was so fun, but we knew that it
- 11:59was gonna be a love it or hate it for a lot of people. So picking those exterior paint colors
- 12:03was a really, really big one for us. We were actually like we were driving the neighborhood,
- 12:08we were looking for colors. So we actually like stealth
- 12:12swatched a couple of houses. Hiding in the bushes.
- 12:20That's right. Well it you know, everyone needs bail
- 12:22money in the trunk of the car at some point, so.
- 12:24But we found like a very beautiful, I don't want to call it palatable, but like a universally,
- 12:32I think, likable kind of terracotta orange and like a darker green trim. And so we kept it as
- 12:40the orange house on the corner that it was so well known for. And it was so funny too,
- 12:44actually, now that I think about it, a lot of people when they came to the
- 12:48open house didn't realize that we had changed the color. Like they which but it was if you
- 12:53had see it, yeah, in a good way. It was like it was subtle enough, but it had a huge impact.
- 13:00Yeah, yeah, it was really important to us to get
- 13:02the exterior color right because not only was the
- 13:06seller going to see it ultimately, but the entire
- 13:08community, because it was such a well-known house,
- 13:12was watching very closely. There was clearly prep going on and everybody was wondering,
- 13:17what are they gonna do? Are they gonna paint it gray? Are they going to leave
- 13:22it? And I do think there were an equal number of admirers as there were folks
- 13:27who thought it was you know, maybe a little too loud for the neighborhood.
- 13:32We wanted to keep both sides happy, the people who love the orange and the
- 13:35people who, you know, would have liked something a little bit more subdued.
- 13:40Were there challenges on the inside? Yeah. Yeah.
- 13:43Well let me rephrase that. Not challenges, areas of opportunity.
- 13:49Yeah, I think the biggest area of opportunity in
- 13:52this house was that there was also a very playful,
- 13:56very Mexican-inspired kitchen. There were hand-painted tiles on the counter and on
- 14:02the backsplash, and we wanted to make sure that because we weren't going to change it,
- 14:08that those influences were touched throughout the
- 14:11house in a really thoughtful manner. Yeah, that
- 14:14led to some additional color selection throughout the house. There are all of these little
- 14:19pretty niches inside the walls, as there are in a
- 14:23lot of old Mediterranean homes. And we were able
- 14:28to fill those in in ways that felt reflective of
- 14:30what people would expect when they walked into the
- 14:34kitchen. We never want to surprise anybody with something like jarring or unexpected.
- 14:39So from the moment you walk in, you need to get some sort of foresight into what's coming next.
- 14:46Yeah. Yeah. I think the cohesion was really important. This just made me think of... I forgot,
- 14:51there was also the fireplace had this tile on the front of it. It had covered up the
- 14:57original kind of vignette that was there, but it was a very personal tile that like
- 15:02told the story of a past relationship. And so we had to decide how we were gonna deal with
- 15:08this tile. And we ended up going to a great store in our area that does handpainted Mexican.
- 15:15tiles and we like specially designed this new tile to match the kitchen. It actually
- 15:21like had the same matching bird pattern. So really leaned into it and I feel like a lot of
- 15:25people felt like it had been there forever. So just kind of leaning in was kind of our goal.
- 15:31Was it a good relationship or a bad relationship?
- 15:34It was I guess it wasn't, it was no longer, so It was no that's
- 15:38why it was above the fireplace and not on the mantle. Okay,
- 15:42well it's super interesting. Okay, so there was outside work that was done.
- 15:47There was a little bit of inside work that was done. What do you feel was
- 15:52the biggest driver to success for the property in terms of the marketing?
- 15:58I believe that the home really had a stately presence. So obviously it's a well-known piece
- 16:08of architecture, but it's also right there on a corner, little bit of a busier street.
- 16:14And I feel like there's a certain type of buyer who's really drawn to being in a stately home.
- 16:21And I just think that the way that we curated the curb appeal from the
- 16:26exterior paint to the thoughtful landscaping that complemented you know,
- 16:32the curves of the architecture. It photographed really well. It looked like a luxury property.
- 16:40And when you look at the work that needed to be done, it sounds like you really did spend
- 16:45a lot of time sort of curating the idea of how do we maintain the identity of the property,
- 16:51the passion that the owner has of what they've done for and with the property,
- 16:57while also trying to do something that respectfully fits what the outside community
- 17:03may perceive as something that they then can see forward and beyond, right?
- 17:08That vision into what could I do with this or what could it be? And I think there's a a
- 17:14certain psychology behind that that takes a lot of skill and tact and practice.
- 17:18So I commend both of you for that. And clearly this seller was picking you because you articulated
- 17:24that very well. What is it about how you communicate or how are you communicating
- 17:30with people to best understand their story and their needs for a home?
- 17:36Yeah, great question. I think it varies client-to-client.
- 17:39We always ask early in the process, you know, what is your How involved.
- 17:44Yeah, how involved do you want to be?
- 17:46For a lot of people, this is like this client, it's too painful. It's like
- 17:51they don't want to be involved and then building that trust I think just from
- 17:57the very beginning that we, you know, we've got this is really important.
- 18:04Yeah. So that they can kind of relax and not feel like they need to be overseeing in that way.
- 18:11Giving them that yeah, the opportunity to just kind of like turn it off and trust
- 18:15that we've got it. Yeah, I think it has a lot to do with building trust early on,
- 18:21meeting people where they are. Some people want
- 18:25to be in a group text where they are seeing every
- 18:30new planting, every new light fixture, and it's fun for them and it's fun for us. But
- 18:36we manage those expectations early on, give them the opportunity to tap in or tap out and
- 18:46yeah, we move forward. If we're not communicating with them daily about the process,
- 18:51like we are so lucky to have each other to bounce ideas off of and you know, to gut check things with.
- 18:58And I think of course just listening, like really, really listening at the very
- 19:03beginning and hearing sort of what their fears are and then addressing those. Yeah.
- 19:10It's so interesting too, because you know, at the root, people all of us want to have
- 19:14some combination of what I call the four big things, which are we want to feel loved,
- 19:19appreciated, heard, and understood. Right. And I think that what you've described is going
- 19:23into a relationship with somebody where you're actually focusing not really even on listening,
- 19:29but on how are we showing up for these folks by what we're hearing
- 19:32them say, right? Does that person feel heard? Do they feel
- 19:35appreciated for what they're doing, which is incredibly important.
- 19:39But I wanna just for our listeners, I wanna just frame one thing if I can,
- 19:44which is you're talking about engaging with them in a very specific way,
- 19:49particularly around getting market-ready, right? In the how do we make the changes,
- 19:54how do we do the prep work? How do we do this process? Does that same behavior model that
- 20:00you go into with clients in that piece, is that the same model you're using in the beginning?
- 20:04Is it the same model that you're using during the transaction, after they have an offer?
- 20:09Tell me about how that plays out. Absolutely,
- 20:12absolutely. I mean, we we are very empathic people.
- 20:17We do care very deeply if we are received well and if people like us,
- 20:22probably to a fault. We hear that all the time in this industry, we're not alone. But absolutely,
- 20:27the care and the level of communication we put into the prep process will translate
- 20:32throughout our entire relationship beyond the transaction with these clients. We do fall
- 20:40in love with the process and the client is a big part of the process,
- 20:46making sure that their journey beyond the sale is a good one. What did the seller get
- 20:53to do as a result of our good work together? We wanna know. We want a Christmas card.
- 21:03Is there ever a time that you need to set boundaries with them?
- 21:07Yes. Yes. And that's always something that we are
- 21:11working on, working on getting better at. Again,
- 21:15because different clients have different communication styles, different love languages.
- 21:20We never want to thwart the process, but we do have lives outside of real estate.
- 21:27We do want to make sure that this is a sustainable career for us.
- 21:31And if we're getting pinged all hours of the day or when we're on vacation,
- 21:37which is less of a problem now because we have two Rachels,
- 21:42we find gentle ways within our communication to let them know we'll address this in the
- 21:49morning. It's a great question. We will be on top of this, at at some point in the future.
- 21:55Not everything is a fire, and if we react as though it is, if we respond right away.
- 22:01when it isn't an emergency, then we're training
- 22:05them in a way to continue that approach with us.
- 22:10Yeah, I think AI has kind of involved itself in
- 22:13this process as well, more and more. Interesting.
- 22:17We're getting more and more clients who display some level of expertise based on
- 22:24what they are learning from these AI models, and they're asking their questions to them
- 22:31before they ask them to us. So that communication
- 22:34has changed a little bit where I feel like people
- 22:38are displaying a level of expertise that we weren't previously working with. So it's changed
- 22:46communication, I would say. We're fielding a lot more questions. People are doing their
- 22:52own research and then coming to us with questions
- 22:54that are clearly generated by these AI models. And
- 22:58they're a lot of times great questions. But it's a lot more back and forth,
- 23:04letting them know that these are things we are well equipped to handle and answer.
- 23:11Yeah, and there are so many specific nuances in our market, in our micro market,
- 23:17that AI can never know. And making sure that that's top of mind.
- 23:25Yet.
- 23:26Right. Yet. We'll stop feeding it anecdotes and information.
- 23:31But I think that that is a really important part of boundary setting
- 23:35is making sure that our clients remember they hired us because
- 23:40we are the experts and that we that we will steer them in the right direction,
- 23:45regardless of whether AI is telling them something a little bit different.
- 23:51Well see, back in my day we didn't have to deal with AI. The two biggest things that we had to
- 23:56deal with were the younger couple that was buying
- 23:59something and their parents were involved. That
- 24:03was the kiss of death. Because you know, like Dad had some knowledge because he'd been to Home
- 24:07Depot four times in his life, so obviously he came in with a measuring tape and was like,
- 24:12these beams look bad and you're like, okay, well, I guess we're moving on to the next house.
- 24:17Or the other one that we used to get often was, you know,
- 24:21the it wasn't AI, it was worse. It was, Well, my daughter's
- 24:26boyfriend's mother's sister told her that this should be $1.2 million and it's like
- 24:32Too many opinions. Like I feel like too many opinions can be the kiss of death.
- 24:39Exactly. So it's interesting you say that too though, because again, you know, AI,
- 24:44all those things that exist in the world today don't help support the part that
- 24:49you do. And I always say great agents are therapists, not agents. I always chuckle
- 24:53when you hear agents talk about you know, I'm one of the top salespeople. No,
- 24:57you're not. You're not in sales. You're not in sales. Sales isn't a real thing.
- 25:02Yeah, yeah. It is hard to identify as a salesperson in this job. I mean, there are elements
- 25:07where I I see it, but on the day-to-day on the whole, I I rarely feel like a salesperson.
- 25:12Well, and if you think about it, when people talk about selling as an agent that I'm in sales,
- 25:16I'm always like, Okay, well let's play that tape forward, right? So if you take
- 25:21a home and you put it on the market, you put the price really low, what's gonna happen?
- 25:26Well, that is every house in our market, 20 to 40% percent under the actual value
- 25:31Yeah. Right. But it's gonna sell, right? But what
- 25:34does that have to do with me? That's not part of
- 25:38what we do. So I just think it's so interesting
- 25:40that the two of you have come into the industry at
- 25:44at a challenging time, really, right? But you've
- 25:47come into it in a way that is driven by empathy,
- 25:52care, compassion, right, and a wantonness to learn
- 25:55and understand what's important to the person.
- 25:59And what matters. It's incredibly invaluable because AI is never going to replace that.
- 26:02Right. And so, you know, I think that's the core key to what I've learned from talking
- 26:06to both of you today is so great that we as an industry have a tremendous opportunity to
- 26:14learn from what you two are doing to be able to really come into a space and a place to dig
- 26:18in at that level and understand from them that we hear you and that we're here to make sure
- 26:23that you feel loved, heard, supported, understood, and also have boundaries.
- 26:29It's okay. We can have those too. Two things can exist at the same time.
- 26:32Listen, it's progress, not perfection, as the kids say.
- 26:36Yes, yes. I subscribe to that.
- 26:38Amazing. Well, let's let's do a couple quick trivia questions as we wrap up,
- 26:43alright? Trivia, no right, no wrong. These are just a couple fun things.
- 26:48Current median house price in the United States. Ooh, in the United States.
- 26:57Five I was gonna say $475K $525K Anyone want to bet one dollar?
- 27:02It's like The Price is Right. Whoever's closest will... $412K.
- 27:08Okay. $412K. There you go. Interesting one. Now, I'll give you another quick... Oop there's
- 27:14a fly in here. I'll give you another quick small one. We'll see if we can get this one.
- 27:21How many agents are there currently in the United States
- 27:24of America? How many agents in the United States?
- 27:28This is your strength Hmm, I'm gonna go with Take it away.
- 27:33650,000 It's good guess, Rachel. I abstain.
- 27:411.5 million. Oh my god, that was not a great guess. That was half. 1.5 million.
- 27:48Wow And to give you a perspective, out of that 1.5 million last year 90% of all real
- 27:53estate sold in the United States of America was sold by less than 10% of those agents.
- 27:59I believe it So if you think about it,
- 28:01you're already in the top 10% in what you've accomplished so
- 28:06far in just a short period of time. And on top of that, look at how you've actually learned to
- 28:10engage with people in that process and work through hard things and look about just getting
- 28:15market ready as we talk about. That's the most important thing that people have and
- 28:19understanding how they connect to people. So thank you both. Really, it is both an honor,
- 28:23privilege, and inspiring to hear both of people that are newish to the business.
- 28:28but really have done it the hard and are doing a great job at it. So I can't thank
- 28:30you enough for being here and chatting with us. Thank you. Thank you for having us.
- 28:34Really appreciate your time. It's our pleasure.