Jeff Lichtenstein of ECHO Fine Properties On How To Get The Absolute Best Price When You Sell Your Home

Pre-inspection — Take care of the ugglies before they occur! A pre-inspection of a home before putting it on the market just does that. I remember representing a home in the Alton real estate development that had a leak in the wood floors in the closet. This caused mold as well. We fixed it and then put it on the market and it sold a few months later. Imagine if after a few months, the offer comes in and the Buyer cancelled it. Then you have to fix it and put it back on the market, explaining what happened. If the Buyer still wants it, then you usually have to pay more as Buyers will oftentimes get the most expensive vendor out there for a quote.

How can you get the best price possible when you are looking to sell your home? Sometimes it’s a matter of timing, the right upgrades, or simply the right negotiation. In this interview series called “How To Get The Best Price When You Sell Your Home” we are talking to successful real estate leaders, who can share stories, insights and lessons from their experience about how to get the best price when you want to sell your home.

As a particular part of this series, we had the pleasure of interviewing Jeff Lichtenstein.

Jeff Lichtenstein is the President and Founder of ECHO Fine Properties in Palm Beach Gardens, Fla. He’s sold more than 1,100 homes since becoming a realtor in 2001. Jeff was named Best Realtor of the Year in 2021 by The Palm Beach Post.

Thank you so much for doing this with us! Can you tell us the “backstory” about what brought you to your career?

I earned my bachelor’s degree in business management with a major in marketing from Syracuse University. Before launching my own brokerage, I worked as an agent at Illustrated Properties Real Estate and Waterfront Properties. Prior to real estate, I worked for my father’s company, Western Textile Fashion Drapery Products, as the Vice President of Marketing and Sales. There, I worked with buyers and designers to sell home furnishing fabrics to manufacturers, distributors, and retailers. As owner and founder of ECHO Fine Properties, I now manage a 70-person team. I work closely with my agents as a very hands-on broker and trainer. I’m involved in all aspects of my business — marketing, advertising, creative content, social media, SEO, and more. I earned the nickname “The Machine” because of my work ethic. I’ve sold more than 1,100 homes since becoming a realtor in 2001 and was named Best Realtor of the Year in 2021 by The Palm Beach Post.

Can you share with our readers the most interesting or amusing story that occurred to you in your career so far? Can you share the lesson or take away, you took out of that story?

This crazy referral I got. He was this oddball goofball inventor. (I can’t give the product away). I showed him this property and he saw this lady coming out of the door. He said that she is a stripper and he only wanted to live by strippers! Some people want to live in golf communities or 55+, and this guy wanted a stripper community!

He wrote up an offer, but he had a 400-credit score, so we assigned the deal to his mother. The inventor stormed out and left me and Mom at closing. Mom said she outsmarted him. Now she had equity and didn’t have to chase him down to collect rent. A week later, she called me to put the house on the market. The inventor had moved to California! She sold it for $5k more.

Do you have a favorite “life lesson quote”? Can you share a story or example of how that was relevant to you in your life?

“You can’t do a good deal with a bad guy.” This was a quote from my grandfather. In today’s world, it means avoiding negative energy. We hire people who have a good moral compass and who really want to help others. If we make an error, the negative energy person weeds themselves out as there is no one to gossip with. We doubled our sales last year and it’s because we have good people who love to help and collaborate with others. We also don’t take every client. We will go to the ends of the Earth to satisfy any “reasonable request,” but work to avoid people who are abusive with unreasonable expectations. We do more business for it and pick and choose our clientele.

Are you working on any exciting new projects now? How do you think that will help people?

Echo Home Match™ is revolutionary patent-pending technology. The premise is that all those traditional searches are all over the place and they don’t first address the neighborhood. Do you want to be in a golf community? Near the beach? No HOA fees? Pet-friendly? ECHO Home Match™ uses a questionnaire approach (much like a dating service) which first matches you to the right neighborhood and then the right home. We call it Your SoulMate in Real Estate™. A real estate purchase is not like buying a box of cereal. It’s an emotional experience and an important one. Not only are the financial stakes high, but this is where you live and cry and where memories are made. We think ECHO Home Match™ is a complete game changer in search technology.

What do you think makes your company stand out? Can you share a story?

It’s our company model. WE PAY for all marketing and advertising and lead generation. This lets our agents concentrate on selling and networking instead of creating brochures or deciding whether to pay for night shots. Our Home ECHOnomics Guarantee promises 57 items that we make happen for every client.

None of us are able to achieve success without some help along the way. Is there a particular person who you are grateful towards who helped get you to where you are? Can you share a story about that?

There were lots and still are. My dad, though, was the most constant. He recognized when I started working for him to not give me anything. I started working in the warehouse when he was in the home textile industry. I reported to others. He never had me directly report to him, which in retrospect would have been too intimidating. He has lots of stories and business philosophies like, “You can’t do a good deal with a bad guy” or “keep it simple.” When I got into the real estate business, I used to call him daily and give him a rundown. While I learned tons from a lot of people within the real estate business, my foundation was always that key element.

Ok. Thank you for all that. Let’s now jump to the main core of our interview. For the benefit of our readers, can you please tell us why you are an authority about the topic of getting the best price when selling a home?

I’ve had 22 years of experience. I’ve personally completed over 1,000 transactions on my own and survived the Big Short Market. Our brokerage, Echo Fine Properties, has 70+ Realtors and each one was interviewed and trained by me. I’m a hands-on Broker involved in strategy sessions and negotiations. Besides that, though, we take a business approach to our sales. We have a 57-point promise, called our Home ECHOnomics Guarantee, that assures the seller everything that is supposed to happen, happens. When all the marketing is in place, it ups the odds of a higher price. The rest is training and individual strategy.

Can you share 3 things that most excite you about the Real Estate industry, as it is today? If you can please share a story or example.

The impact of the industry and the joy it brings to people is enormous. I remember one small sale. It was this joyful man who immigrated from Israel. He was working maybe 15 years ago on virtual reality (way ahead of his time). He purchased a home after saving for years. He planted all these little American flags in the front. To him, achieving home ownership was the American dream and he felt “American” through this purchase. How can that not inspire you?

Technology is moving so fast. It’s so interesting to see, and to figure out how to use it to create business and market our homes. Email marketing and websites were the biggest game changers. Social media was next. Internal things like DocuSign. I can’t imagine myself faxing or having people sign and countersign an offer on 80+ transactions a year. The amount of time saved is beyond enormous. QR Codes, which took a decade to have the proper effect, are another example. I’m most curious to see how virtual reality and blockchain transforms the business.

Environmental
We have a new ultra-luxury development coming to our area, Panther National at Avenir, that is very environmental. There are Tesla solar paneled roofs on every home, renewable energy systems, and power storing systems. A few years back, we traveled to Sante Fe and Taos and visited this environmental building named Earthship Biotecture, which is all solar and made of upcycled or recycled materials like tires and bottles. It’s cool to see these things are starting to get incorporated.

Can you share 3 things that most concern you about the industry as it is today? If you had the ability to implement 3 ways to reform or improve the industry, what would you suggest? Please share stories or examples if possible.

Consumer education
Consumers really don’t understand how to interview or what to ask for in a Realtor. I talked to a couple selling a $2.5 million condo the other day. They were not looking at marketing materials or what the game plan was. Personality was the biggest factor. In a Buyer’s market, Sellers are more careful about going through the track record of the agent and exactly what the company is doing to earn its commission. We have a list of 57 promises we make (actually call it our Home ECHOnomics Guarantee). It’s an even bigger problem now because the money a Seller can leave on the market by not marketing properly and creating a bidding atmosphere sometimes causes Sellers to sell up to 20% less than what they could have gotten. Buyers are also not prepared in this market. We talk with each client for at least 30 minutes about the market and strategies from escalation clauses to understanding rights with the AS IS contract. A Buyer today can’t afford to miss out on a good purchase.

Investors
There are so many more investors today in real estate. While they serve a purpose and at times have bailed out the marketplace, it is worrisome how many homes are now under their control. Will rentals now be more the norm for younger people instead of home ownership where equity and memories are built?

Bad Actors
There are some real estate agents who do lots of business, but are bad actors at the same time. Meaning they try to “double” the sale by blocking other agents and in turn hurt the sale for the owners they are representing. There needs to be more policing of this. At the same time, it’s too easy to get licensure and we need to thin out the amount of people who can practice. Our industry has an 87% failure rate after a year. We are dealing with legal contracts, monies, emotions, and complex situations. There should be more education, and the industry shouldn’t let so many people go by trial and error with licensure.

Based on your experience, what are a few of the biggest mistakes you have seen people make when they sell their homes? What must be done to avoid them?

The biggest mistake people make when selling their homes is laziness. My Mom sent me a headline in the Palm Beach Daily News that said, “Bidding war sees home fetch extra $3M.” I texted back, “Smart Seller”. Lazy Sellers are costing themselves 10–15% on average by not marketing their home properly right now. More than any other time I’ve ever seen. To me, it’s the biggest story of the market.

If you inherited or had a Pablo Picasso, what would you do with it? Here are 4 options:

Sell it to your neighbor.

Donate it to a museum.

Call art galleries.

Auction it with lots of marketing, creating a bidding war that will make Buyers sweat.

The reason why auctioning it will yield the biggest return is the auction house is going to spend the money to get the word out and will put it into a bidding atmosphere. It does take effort, though.

Buyers will sweat and raise their paddle up. Your neighbor, local museum, and art gallery owner are all welcome to come and place a bid.

It’s exactly the same in real estate. I am not suggesting auctioning off a house, but I am alluding to creating a bidding war.

At a recent open house, 80 people walked in during the first 30 minutes! This home needed major renovations and had no view. We gave 150 showings and netted two offers. Before the open house, we had a standing full price offer. After it, by doing more marketing complete with professional photos, aerials, brochures, mailers, social media, etc… we got another buyer to engage in a bidding war with the first buyer. The result was 12% more and no inspection. This was a shrewd, smart Seller. I understand that some sellers don’t want that amount of foot traffic in their home, but open houses can be worthwhile and should be strongly considered.

Interview multiple listing agents. Oftentimes listing agents who only specializes in one area is the absolute worst choice. The reason is they have no marketing reach. They may know the local neighbors, but the local neighbor is the one who is already there and is going to see it regardless. You are looking for value added reach.

If you want to be neighborly, sell it to your neighbor after the open house when all the bids are in. You are being neighborly to them by choosing them and they are being fair to you by paying fair market value.

I know this question has passionate opinions on both sides, but we would love to hear your opinion. Engaging a realtor is costly. Should people use a realtor when they sell their home? Please explain why you feel the way you do.

Engaging a Realtor isn’t as costly as one thinks. They typically take a 6% commission. For one, the Buyer is looking to save money when it’s sold without a Realtor. They just don’t want the 3% of the Buyers commission, but rather the whole 6%. You only save 3% at best. They bid less and know the Seller will take less. Second, the marketing is going to look bad and not have reach. Imagine if Mercedes Benz took photoshoots with an iPhone only and stopped all advertising. Same with McDonalds, Budweiser, Geico, or any auction house. With less reach, the odds of finding the proper buyer who both pays the most and is the easiest to work with is diminished severely. Third, the Seller becomes vulnerable when not having representation. You are dealing with legal contracts, homeowners’ insurance, homeowners associations, and addendums. There are too many variables and moving parts and personalities to possibly do it properly. It’s why Zillow dropped out of the listing business within six months. It’s easier than it looks. One missed signature or box left unchecked of something you don’t understand can have severe consequences. Fourth, not receiving proper advice on staging and things you need to do in the process. Fifth, as Abraham Lincoln said, “He who represents himself has a fool for a client.” You can inadvertently say the wrong thing or not get along with a personality type. Lastly, the cost of stress. Moving is incredibly stressful. There is a cost of stress and worrying and a good Realtor who knows how to navigate those items can be a lifesaver.

Ok, here is the main question of our interview. You are a “Real Estate Insider.” Can you please share five things you need to know in order to get the absolute best price when you sell your home? If you can, please give a story or an example for each.

Stage it

Staging can have a 10–15% differential in getting or not getting top dollar. I once took over a listing that was on the market for more than a year in Mirasol, a high-end country club in Palm Beach Gardens that had a great lake view, but the hedges were up so high in the backyard that one couldn’t see the view. The owner was reluctant to take them down because they valued privacy and it was expensive to put the hedges up. After walking them to the front door and asking them what they saw (putting them in the Buyers’ shoes), they agreed to do it. The home sold within a week with 2 competing offers. Most people can’t visualize and certainly not “Retail Buyers” who pay top dollar.

Pre-inspection

Take care of the ugglies before they occur! A pre-inspection of a home before putting it on the market just does that. I remember representing a home in the Alton real estate development that had a leak in the wood floors in the closet. This caused mold as well. We fixed it and then put it on the market and it sold a few months later. Imagine if after a few months, the offer comes in and the Buyer cancelled it. Then you have to fix it and put it back on the market, explaining what happened. If the Buyer still wants it, then you usually have to pay more as Buyers will oftentimes get the most expensive vendor out there for a quote.

Proper Photography

Once we got an offer for a home in Old Palm by doing the right aerial photography. When it was listed previously, there was only a front shot. The buyer had dogs and the aerial showed the full picture, which showcased how large the property was.

Marketing Reach

You have 100’s of channels to watch. If you are a CNN watcher and a commercial rolls by, you obviously see it. How about if it’s played on Fox News and you only watch CNN? Or if you just like to watch HGTV or ESPN? Point ism you have to have a wide reach to connect with a widespread audience. Same goes in real estate. I was recently approached through LinkedIn about a home. I’m connected to more than 20,000 locals this way. They saw one of our Singer Island condos for sale and ended up purchasing it. A wide and appropriate reach did it.

Negotiation

A good negotiator makes all the difference in the world. Knowing what to say or what not to say can kill a deal or keep a deal. Years ago, I was dealing with an “ego buyer” in Admirals Cove of Jupiter. I knew when he left the home that he was going to pass on it. I walked over to his SUV and asked him to roll the window down. I said, “I know you want it at a lower price,” but the home next to the one you are looking at isn’t as strong as this one. It’s closing at a higher price than what the one you are looking at is listed. Once that closes, the next Seller will list higher, not lower. That gave the Buyer the “win” he needed so he could show off. I’ve sold for 10 years, seeing 4–7 clients a day for 35 weeks a year and 20 years in real estate selling thousands of homes. Recognizing situations, reading people, and knowing how to react is the most important piece of all of it.

Because of your position, you are a person of enormous influence. If you could inspire a movement that would bring the most amount of good to the greatest amount of people, what would that be? You never know what your idea can trigger. 🙂

I think the best sales skill a Realtor can have is the ability to put oneself in someone else’s shoes. It helps for a Realtor to understand their clients’ needs and the party they’re negotiating with. Most of the time, people see the world only from their viewpoint. For myself, “getting” other people is most important. It’s for whatever reason an extraordinarily hard mindset for people to have. When I was growing up, a close member of our family instilled in me that I was no better than anyone else, but I was as good as everyone else. Not only is understanding others great for business, but it makes for a kinder and happier society. It’s easier to solve problems and grow on a forward trajectory. I think that mindset, which also results in more empathy, needs to be taught at home, in school, and throughout daily life with more emphasis.

How can our readers further follow your work online?

Website: echofineproperties.com

Facebook: https://www.facebook.com/EchoFineProperties/

LinkedIn: https://www.linkedin.com/in/jefflichtenstein/

Instagram: https://www.instagram.com/echofineproperties/

Twitter: https://twitter.com/echopbc

YouTube: https://www.youtube.com/user/JeffRealty

Thank you for these fantastic insights. We greatly appreciate the time you spent on this.