Buyers – Are You Telling Them The Truth?
The question has been coming lately – how much do you tell buyers in the first meeting about the state of the market? In today’s world of multiple offers, escalation clauses and waived contingencies, it’s a lot to absorb for any buyer, especially a first time buyer.
There is the concern that you might scare them away, and the wistful hope that maybe they will get lucky and it won’t be that bad.
Here’s an important thing to remember: You didn’t create the market.
You didn’t create a shortage of inventory, or a surge in demand.
But what you CAN create is a scenario in which your clients feel informed and empowered to venture in and know that they will be successful.
How do you do that when it feels like so much is outside of your control?
Lay it all on the line at your very first meeting. But as with everything, it matters how you say it. More importantly, the context matters.
Here are 4 ways to help you frame the conversations in your next buyers appointments:
- Deciding quickly: Rather than being a source of stress – highlight that it’s a great filter to know whether it’s the right house. If a client is hesitating about making a quick decision it just means it’s not the right house. (without this filter it’s easy for Buyers to feel like they aren’t cut out for the market) Re-assure them that for the right house, it will be easy to say yes quickly.
- Paying over the asking price, and likely more than the last sales price in the neighborhood: Basing your max offer price on the last sale price in this market isn’t going to get it done. Whatever their sales price is will likely be the highest in the neighborhood, for now. And 6 months from now, when there have been other sales higher than theirs, they will feel like they got a deal.
- Waiving financing: This is a big one, and not to be taken lightly, yet it’s probably what needs to happen to be successful. Encourage your clients to talk to their lender early about what this could look like and what their plan B would be. If the house doesn’t appraise could they switch from 20 – 10 percent down to pay the difference? Knowing their options ahead of time is crucial to them feeling empowered.
- Focus on the interest rate: That is where the win is right now. They aren’t going to get a house 10% under market, but they are going to get an interest that will either allow them to buy more house than they thought possible, or give them a payment that is lower than they ever imagined.
In every scenario there is a benefit. This is a market that encourages quick decisions which empowers Buyers to have a clear yes or no on each house, which is much better than a “maybe”.
Whatever the market is, having clients fully informed from the very beginning empowers them, strengthens your relationship and makes the whole process a lot more fun.
To your success!
Nicole
Signup to receive Nicole's blog posts via email weekly:
Other Posts
The #1 Reason Clients Don’t Choose You
Don Miguel Ruiz said it best in his book – The 4 Agreements: Don’t Make Assumptions Find the courage to ask questions Communicate with others as clearly as you can This one agreement can completely transform your life Beautifully said. Assumptions are the #1 reason your clients don’t choose you. As agents we assume many…
Read More
Letter to My Younger Self
Today is my birthday. For me, birthdays are a beautiful mix of celebration, anticipation and reflection. This post is dedicated to reflections. Things I wish I could tell my younger self. Imposter syndrome is normal! You’ve spent so much time doubting yourself. Feeling like everyone else knows what they are doing while you’re still trying…
Read More
Managing the Adrenaline / Emotional Roller Coaster of Real Estate
Closings, getting mutual on a contract, receiving a referral – there are lots of wins in real estate. Each one brings a shot of adrenaline that feels amazing. However, those moments are often short lived, with a lot of space in between. If you aren’t careful that space can fill with self doubt, insecurity or…
Read More
Why Proving Yourself Is A Bad Idea
I competed on a listing this week that I didn’t get. It was a great one too – awesome house, great clients. It was one I really wanted. When I got done pouting I took a few minutes to ask myself, ‘where did it go wrong’? Our first appointment was amazing! The second one, not…
Read More
The Secret To Success: How Awareness Transforms Everything
‘The first step towards change is awareness. The second step is acceptance. Let us not look back in anger, nor forward in fear, but around in awareness.’ – Source Unknown Last week focused on letting go of the need to play catch up. The only thing that matters is focusing on the present moment. The…
Read More
Don’t Try To Catch Up – Just Start Where You Are
I’ve spent the last few days in Virginia at my favorite real estate conference, Genuine Hustle, where I had the honor of presenting a session on asking powerful questions. It’s the most authentic, vulnerable, supportive and all around amazing group of agents that I’ve ever spent time with. They haven’t released the location or dates…
Read More
This Phone Call Brings In The Most Referrals
Can calls really translate into referrals? Are some more effective than others? When we work with clients it’s easy to go into ‘get it done’ mode. We focus on getting from contract to closing as quickly and smoothly as possible. And to be fair, that’s a big part of what our clients hire us to…
Read More
What if EVERYTHING is Working Out For You?
What happens when you have a ‘set back’ ? Does it send you into a tail spin of fear and insecurity? Do you brush it off and move on? Or – Do you view it as confirmation that you ARE on the right path, realize it wasn’t the right opportunity or situation for you, and…
Read More
Don’t Do This Alone
I was lucky enough to be invited to mastermind with these amazing agents for a few days this week. We talked business, but it was so much more than that. We talked about being intentional with our lives, the hours we worked, the struggles we face, our investment strategies (owning rental real estate of one…
Read More
Collaboration Over Competition, This Is Your Chance To Learn From The Best
What if you could stop over thinking how to run your business? What if you knew exactly what other agents do to attract clients? This is your chance! Season 2 of Secrets of Attracting Clients starts January 27th and I’m super excited for this years line up! We have 12 amazing sessions, all with ideas…
Read More