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More crazy buyers just means my offer will have more weight behind it when I do make it. I waited until I sold my condo until I started getting serious about making an offer on a future home. I wanted that 20% down payment sitting in my bank account ready to go.
When I sold my condo, I had all sorts of weak offers. 3% down, contingent on sale of house for $xxx, closing date 6 months away to allow an apartment lease to expire, etc etc.
In the end, I sold at asking price to an elderly couple who put 50% down as they were downsizing. Closing was smooth.
More crazy buyers just means my offer will have more weight behind it when I do make it. I waited until I sold my condo until I started getting serious about making an offer on a future home. I wanted that 20% down payment sitting in my bank account ready to go.
When I sold my condo, I had all sorts of weak offers. 3% down, contingent on sale of house for $xxx, closing date 6 months away to allow an apartment lease to expire, etc etc.
In the end, I sold at asking price to an elderly couple who put 50% down as they were downsizing. Closing was smooth.
are you kidding me they expected you to wait 6 months ? who in the blue blazes goes house hunting with 6 months still left on their lease ?
I'm glad you were able to sell . But jesus , nope I want people out of the place and the keys at closing .I stand very firm when I tell people if you are not out especially after giving them 60 days to close like one wanted then we are not closing and I will sell you the contract back for the amount that I had to put out of pocket plus my re agents fee had she sold the place , end of story .yes selling the contract back is legal in my state .
Seriously "Crazy Buyer" if I turned down your offer because it was contingent on your house selling (which you haven't even listed yet), you want to go through a VA loan which notoriously doesn't fund farm property, and because you are a lawyer that seems to want to try to try to work every angle possible ....don't expect me to say yes when you ask to put 20% down and ask for owner financing for 2-3 years until you get your finances stronger.
I want some of what your are smoking "Crazy Buyer"!
It amazes me what people will try when it comes to buying RE. You POOR agents that have to deal with the bat$hit crazy buyers that are shopping for property out of their means...what a waste of your time.
Why not simply decline the offer and move on to the next one?
Why not simply decline the offer and move on to the next one?
That's what I did! Other offer proposal / ideas from the attorney were submitted in emails from her agent for approval before they were to be formally written up and presented. Which of course never reached the formal written up stage.
are you kidding me they expected you to wait 6 months ? who in the blue blazes goes house hunting with 6 months still left on their lease ?.
It was $20K under asking, 3% down, and 5 months and a week to close.
They were hoping I would need time to find a new place to buy...but I moved all my stuff into a storage unit and moved into my G/F's apartment (I had been living there for a year pretty much anyway). I wanted an ASAP close so I didn't have to carry the mortgage on an empty condo much longer.
]So why would anyone hire you? Seriously, if I am pre-approved and "realistic about" my "expectations of the process", why do I need you?
It depends on many factors and not all of the ones listed below fit every situation but enough of them do to fit most situations:
1. I am very familiar with the local market.
2. I am very familiar with the process of buying and selling and all points in between - much moreso than a person who does something else for a living.
3. I am educated in the process and keep that education current and pertinent to the local market.
4. When operating as a buyer's agent, I represent the best interests of the buyer - not myself, not the seller, but the buyer. There's a lot more to buying a house than being "pre approved" (which is NOT "approved" by the way) and "realistic about expectations." That's just the tip of the iceberg in fact.
5. I'm a lot of fun to work with and have a great amount of energy and enthusiasm - yes, even passion - for helping my clients find the perfect house and situation for their needs.
6. I am as honest as the day is long, and will always level with my clients. In fact, I'm a bulldog for my clients.
There are more reasons depending on various situations but you get the drift.
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You are leaving money on the table.
No, I'm not. I'm not, however, going to waste my time or the time of my clients, or that of sellers.
The key to prescreening is asking good questions. I didn't say I won't show people who originally aren't pre approved houses - I am all for helping them get pre approved, educating them on the process and the market and financing, etc. What I am NOT going to do is waste hours or days with people who refuse to get their financial ducks in a row or who are secretive and untrusting.
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Why don't you consider being an advisor to and educator of your clients? What about referrals to reputable mortgage brokers to help a buyer obtain financing?
See above. I am very willing to do this. What I am not willing to do is spend days with people who refuse to take reasonable steps to prepare for buying a home or who, for whatever reason, have unreasonable ideas (such as, for instance, "I'm going to win the lottery because Jesus came to me and told me I was." You may think I'm exaggerating but I'm honestly not.)
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How about a market presentation to describe the current RE market to manage the client's expectations and perceptions?
No problem - in fact, this is one of my favorite things to do, with both buyers and sellers. But - they need to listen. They need to be reasonable. They need to be realistic. I have a pretty good "nose" when it comes to whether or not potential clients are realistic, rational, and reasonable.
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I mean, who is hiring, you or your client?
It's a two way street. Sure, the client needs to feel confident and comfortable with me, but I also need to know that they're not just using me for entertainment purposes, or to get decorating ideas, or in the hopes that one day they may actually get that court settlement or win that lottery. Believe it or not, there's a lot of that out there. Why should I waste my gas and time on unqualified buyers? Sure - I'll help them get qualified, but they need to take those steps in a timely manner.
Not everyone gets to get in my car, I'll put it that way.
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Your post reads like you want the least amount of effort to get a check. I respect that, but there are already enough agents like that.
Sorry for the miscommunication. I'm not at all that way. I am, however, efficient. Why shouldn't I prescreen and educate my potential clients? I don't approach real estate as part time - I consider it a full time job and my time is important to me.
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I know you cannot ignore the break-even point in your efforts. What is the point if you show 50 homes and your check doesn't cover--I would not do it either. However, there are lots of under-educated, naïve buyers with good credit, employment history and low debt-to-income ratio getting frustrated by being told to "come back when you have a pre-approval", instead of, "let's sit down and get you ready to buy"
I'm more than willing to do that and in fact it is the FIRST step I take with buyers - it is not the step I take after spending hours or days with them looking at properties. You want to look at property with me? LET'S GO - it's tons of fun and there's a great local market. But FIRST you need to get prequalified and we need to discuss your expectations and mine.
What I'm NOT willing to do is recommend that, show them the ropes, and then have them refuse to take the necessary steps, or refuse to level with me - and yet expect me to devote hours or days running around opening houses for them.
Last edited by KathrynAragon; 09-23-2015 at 06:56 PM..
I find this interesting. The only time I was ever "pre-qualified" was for my first house, bought when I was 28 years old and single. Since then, we have bought several properties and never had to prove we had the money before Realtors would show us properties. Of course we did have to prove it to the bank :-) In 2 cases, however, we were paying cash, and I even offered to show Vanguard statements to prove we had the money, and was told it wasn't necessary!
YO2F
I don't demand written proof of pre approval on the front end. What I do, however, is ask about the financial situation before I spend a lot of time running around showing properties. I ask specifically how a person plans to buy a house, for instance. I ask where the money is coming from. What is their plan? What needs to happen for them to buy a house? I let them know that when we put in an offer, it will need to be accompanied by proof of the ability to actually buy the house.
1. I am very familiar with the local market.
2. I am very familiar with the process of buying and selling and all points in between - much moreso than a person who does something else for a living.
3. I am educated in the process and keep that education current and pertinent to the local market.
4. When operating as a buyer's agent, I represent the best interests of the buyer - not myself, not the seller, but the buyer. There's a lot more to buying a house than being "pre approved" (which is NOT "approved" by the way) and "realistic about expectations." That's just the tip of the iceberg in fact.
5. I'm a lot of fun to work with and have a great amount of energy and enthusiasm - yes, even passion - for helping my clients find the perfect house and situation for their needs.
6. I am as honest as the day is long, and will always level with my clients. In fact, I'm a bulldog for my clients.
There are more reasons depending on various situations but you get the drift.
This is nothing but a canned sales pitch that I have heard over and over again. Again, if I am pre-approved and have realistic expectations, nothing listed above separates you from the field. Your reply does paint a much warmer picture than your original reply, which I still maintain is the prevailing attitude of the field. None of this distinguishes you from the field, but I understand that HOW you present it may very well set you apart from others.
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Originally Posted by KathrynAragon
No, I'm not. I'm not, however, going to waste my time or the time of my clients, or that of sellers.
The key to prescreening is asking good questions. I didn't say I won't show people who originally aren't pre approved houses - I am all for helping them get pre approved, educating them on the process and the market and financing, etc. What I am NOT going to do is waste hours or days with people who refuse to get their financial ducks in a row or who are secretive and untrusting.
Prescreening is more than asking good questions. It is using techniques that fit the situation and the potential client, using both interrogative and suggestive to elicit responses, and sequencing the steps. I guarantee you the mediocre agent leaves money on the table because their prescreen is unrefined. The KEY is the person controlling the interview--not always the client, not always you. Even a potential client you know you will reject has to be handled carefully. I know more about this than you think--not a dig on you at all, but have done it, observed it, and taught it. People will lie to get past your questions. "Let me make a copy of your pre-qual certificate for your file" gets you the same, if not better result as "Have you pre-qualified with a....?" Improperly sequenced, you can create mistrust and hostility. Personally, I prefer the direct, blunt method on either side of the conversation, but again, that doesn't work all the time (leaving money on the table).
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Originally Posted by KathrynAragon
It's a two way street. Sure, the client needs to feel confident and comfortable with me, but I also need to know that they're not just using me for entertainment purposes, or to get decorating ideas, or in the hopes that one day they may actually get that court settlement or win that lottery. Believe it or not, there's a lot of that out there. Why should I waste my gas and time on unqualified buyers? Sure - I'll help them get qualified, but they need to take those steps in a timely manner.
Not everyone gets to get in my car, I'll put it that way.
Yes, I agree as I did before. Anyone, not just RE agents, who cannot distinguish the break-even point in their time and effort toward a service to a client will not last. There will also be fully qualified buyers who you show 50 listings to all over town who decide not to buy.
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Seriously "Crazy Buyer" if I turned down your offer because it was contingent on your house selling (which you haven't even listed yet), you want to go through a VA loan which notoriously doesn't fund farm property, and because you are a lawyer that seems to want to try to try to work every angle possible ....don't expect me to say yes when you ask to put 20% down and ask for owner financing for 2-3 years until you get your finances stronger.
Other offer proposal / ideas from the attorney were submitted in emails from her agent for approval before they were to be formally written up and presented. Which of course never reached the formal written up stage.
