 |  |  | | ||
|  Fifteen Benefits of Working with a Buyer’s Representative Advanced tip Understanding Agency Broker tip Contract Terms for Buyer’s Representatives Qualifying the Buyer Advanced tip How Well Do You Listen? Advanced tip Who Are Today’s Buyers? Advanced tip Advanced: Psychographics —Understanding Buyer Motivation Prospecting for Buyers Working with Internet-Empowered Buyers Servicing the Buyer Advanced tips Closing the Deal Advanced tip Due Diligence and Disclosure Advanced tip Staying Safe While Showing Homes Broker tip When to Call It Quits Quiz: Buyer’s Representation Bright Ideas: Working With Buyers Code of Ethics: Working with Buyers More Resources: Working with Buyers Vendor Resources: Working with Buyers | WHEN TO CALL IT QUITS WITH BUYER CLIENTS 9 Warning Signs of Problem Clients Sometimes even your best efforts won’t yield a sale. To avoid wasting valuable time on a client who isn't ready to make a move, look out for these warning signs. 1. Clients who just want to see what's out there. 2. Clients who are looking for a deal. 3. Clients with a questionable payment history. 4. Clients who refuse to prequalify with a lender. 5. Clients who are reluctant to sign an exclusive buyer’s agency agreement. 6. Clients who are hypercritical or overly demanding. 7. Clients who miss appointments or show up late. 8. Clients who won't follow your advice. 9. Clients who aren't honest with you. Identifying Problem Clients Curtis Hall of RE/MAX-Anasazi Realty in Tempe, Ariz., has been working as a buyer's representative since 1989 and has learned to read the signals of problem clients. Q: What should real estate practitioners do if they have shown a buyer properties for several months, but the client still has not found one thing that is satisfactory? How do they know when to pull the plug? Hall: Time is your main commodity, so at some point you have to do a cost-benefit analysis of the time you've spent with this client so far. Also take into account your current workload and the client's future business potential. In general, there are three qualities I need to see in a buyer—honesty, loyalty, and commitment. Q: Is there a way to avoid hitting a dead end with a buyer? Hall: Yes. Before you sign an agreement or begin looking for properties, schedule a buyer counseling session to explain how you work, what services the buyer can expect from you, and what you expect in return. This session is a kind of filtering process. If you detect any obstructions, it's best to cut your losses early on. Q: How can you avoid hard feelings when you cut a client loose? Hall: There's no easy way out because you have to tread a fine line between truth and diplomacy. Try to explain your decision without putting blame on the buyer. It's important to maintain your professionalism, especially if you're working with a referral from another client. How to Say 'You're Fired' When you decide to call it quits with a buyer client, it's important that you don't burn bridges. Try to find a softer way of getting your message across, even if you're frustrated. Here are some examples. Harsh:"Your indecision is a real problem. I can see you're not committed to buying." Softer:"It looks like you need more time to think through your decision. Let's put things on hold for a while." Harsh: "Your expectations are unreasonable. I can't afford to spend any more time with you." Softer: "I don't specialize in the types of properties you're looking for, but I can refer you to a salesperson who does." Harsh: "I'm offended that you're working with another salesperson behind my back." Softer: "I'm sorry I'm not meeting your needs. It's probably best for you to work with someone else." Harsh:"I won't work with anyone who won't sign an exclusive buyer agency agreement. I've been burned by clients too many times." Softer:"A signed agreement protects us both. I value my client relationships too much to operate without one." Remotivating the Reluctant Buyer Some indecisive or apprehensive buyers are worth sticking with. They may just take some extra motivation. Here's what you can do.
TIP: If buyers get cold feet, play devil’s advocate and let them convince you that it’s the right house. —Courtesy of Pat Wattam, C.J. Brown Sherwood, Baton Rouge, La. Quiz yourself on Working with Buyers Bright Ideas, next page > | |