New This Month
Print Article Archives
Reprints / Subscriptions
Editorial Calendar
Media Kit
Popular Features
Architecture Guide
Cost vs. Value Report
Good Neighbor Awards
Handouts for Customers
Top 100 Companies
Take a Quiz
30 under 30
Young Professionals
REALTOR® Emeritus
Architecture Guide
Cost vs. Value Report
Good Neighbor Awards
Handouts for Customers
Top 100 Companies
Take a Quiz
30 under 30
Young Professionals
REALTOR® Emeritus |  | Risk management Keeping Risks Under Control | | ||
|  Three Lines of Defense Against Risk Keeping Risks Under Control Controlling Transaction Risks Agency Disclosure Avoiding Antitrust Risks Minimizing Liability from Contracts Fair Housing Risks Controlling Personnel Risks Communications Policies to Minimize Risks Insuring Against Risks More Resources: Controlling Business Risks Code of Ethics: Controlling Business Risks | 5 Tips for Keeping Risks Under Control Here are some other suggestions for managing risk in a proactive way. 1.Encourage salespeople to report any buyer or seller dissatisfaction to you or the sales manager as soon as it occurs. It’s easier to cure a small problem than to let it fester. 2. Train your salespeople and clerical staff in handling complaints. The Prepackaged Sales Meetings on Working With Difficult Clients and Negotiating Resolvable Differences are good places to start. 3. Instruct salespeople to keep on the lookout for buyers’ remorse, respond to buyers’ specific concerns, and reinforce the benefits of homeownership to clients and customers. 4. Be sure that salespeople, their assistants, or the company’s closing specialists track all transaction documentation and alert you when a serious problem arises. 5. Institute training on fair housing, disclosure , and other issues that often give rise to disputes. 5 Client Warning Signals That May Mean Trouble If you experience any of these warning signals more than once, begin taking extra care in your record keeping and written follow up. If warning signs persist, it might be in the salesperson’s best interest to “fire” the client. 1. Are the clients or customers unusually argumentative? 2. Are they derogatory of others? 3. Do they seem fickle or indecisive? 4. Do they constantly disagree with each other? 5. Are they involved in an unusual amount of litigation? Adapted from Reduce Your Risks to Professional Liability Claims in Real Estate, Leland M. Kraft, Jr., Apollo Publications, 1991 Controlling Transaction Risks > | |