I recently read an article from the NAHB that headlines, “Builders Fear Slower Housing Market as Tax Credit Fades.” (Click here to read the actual article.) Please read this article and ask yourself if this is what you believe.  If it is, then please don’t act by asking the government to give more, but instead, change your sales team’s behaviors to be equipped to handle the situation when it happens.

In a recent coaching call I asked a sales person, “How much of the selling conversation with your prospects emphasizes that the best reason to purchase is the tax credit, vs. that the home will improve their life and the life of their family?”

He said, “65% of my conversation is focused on incentive and tax credit and only 35% is focused on the customer’s need and the desire to improve their life.”

That salesperson is like many that I have coached that are creating their entire sales presentation around the deal rather than the emotional reasons a person needs to buy.  The problem is that when the tax credit (only a circumstantial urgency) goes away, these salespeople are not equipped to start selling based on the customer’s needs and their emotional desire to improve their life!

As home builders, you have two choices: one, put your efforts into asking the government to extend the tax credit, or two, put your efforts into teaching your salespeople how to sell emotionally regardless of the circumstances.

Poll your sales team and ask them, “What percentage of your sales the last 3 months have been a result of the tax credit?”  If the answer is more than 20%, then please email me to set up a conference call to discuss preparation for the future.

I want to encourage you to take ownership over your sales results by being prepared to handle what happens when the tax credit does go away.