4 Tips for Buyer’s Agents

Here are four buyer’s agent tips:

1. Offer a free consultation

   It is always a good idea to offer potential clients a free consultation. Buying a property can be daunting, and you might put their mind at ease and build some trust with you by walking them through the buying process so that they have a better idea of what to expect. You can explain to them what the different steps of buying a house are (which most first-time buyers have no idea about), and even show them what a contract looks like. Doing this will allow you to show off your expertise. An added benefit of a free consultation is that you get a better idea of who they are, what you can expect from them as a client, and if they are really serious about buying a property at this time. Consultations are usually as much about listening as they are about providing information.
   

2. Make sure your buyer is qualified before doing serious work with them

   As a real estate professional, your time is one of the most valuable assets you have, and you have to guard it carefully. One of the easiest ways to waste a lot of time for absolutely no return is by doing a lot of work with a buyer who turns out not to be qualified. This could either be unqualified because they are not truly serious yet about buying (or some other psychological factor), or because they are not financially qualified to purchase the kind of property they want. After you provide a free consultation and before you start showing properties or spend any kind of serious time with a buyer, you should make sure that they are qualified to buy the kind of property they want. This includes getting the buyer financially pre-qualified by a competent mortgage broker who is willing to really get to know the client and understand their financial situation.
   

   Often, we see buyers being told they do not qualify for what they want even though they actually do (with a little bit more digging into their finances, and by intelligently structuring the right mortgage program). We see this happen especially with self-employed borrowers. Self-employed borrowers are a specialized niche within the lending industry and are best served by a mortgage broker who is familiar with this segment of lending. However, we have also seen it happen when the borrower is an employee. So if your buyer gets told “no,” don’t give up. If you’d like a second opinion, we’ll be happy to provide one with no strings attached.
   

3. Stay calm when the emotions run high

   There is a stage in every real estate transaction when the emotions start running high. This usually intensifies as you get nearer to the close. It suddenly becomes real to the buyer that they are going to spend a large amount of money and commit themselves to a property for a period of time—possibly it’s the largest purchase they will ever make in their life. It is only natural that people get a little stressed out, and we have seen it happen in almost every transaction we have dealt with in the last 15 years. The best thing you can do is to stay calm and be a source of understanding and sanity for your client, especially at this time when they need it the most.
   

   Another thing you can do is eliminate as much additional stress from the transaction as possible. One way you can do this is by working with a competent mortgage broker who provides both you and the borrower with support and cares about your transaction. I myself worked as a real estate agent for over 10 years, and I am familiar with how a transaction works from all angles. When we work with agents and buyers, we stay in close communication and we anticipate any loan-related issues well in advance, so that there are no last-minute surprises on the loan side.
   

4. Have fun!

   People often evaluate professionals by their energy, so keep it light, be positive and inspire confidence in your buyers. Buying a house is a joyous occasion, so don’t forget to have fun and make sure that your buyers are excited too. If your buyers have a good experience, they are more likely to recommend you to their friends, and this can go a long way in getting you additional business.
   

   Real estate is a combination of sales, legal and finance, but is a people business foremost. I wish you lots of success, and I hope you will have lots of fun with your clients this year!
   

   If you need any help, call us at 310-294-9417 any time for anything.