If you are a new real estate agent then you might not know that there are some statements that are guaranteed to help you lose buyers quickly! Here are the top seven things that real estate agents should NEVER say to a buyer. It is important that the agents that have already used these phrases, and have seen their effect, share their experience and help out the new generation of agents, so that they don't end up in some sticky situations themselves!
1. "That Is Never Going To Happen!"
Many clients will set up an appointment to go out and look at properties, but when they get to their real estate agent's office they will sit down and start telling them all of the attributes that they want to find in a home, and what they want to spend. An example would be "I want a 3 bedroom, 2 bathroom home, with a yard, that is lakefront, and I don't want to spend more than $200,000!" YIKES! Every agent reading this is rolling their eyes right now because they have all had this experience. The important thing to remember is NEVER tell the buyer that their dream will not be coming true! If you tell a buyer that it is never going to happen, then they will be angry with you for squashing their dream, and more than that they won't believe you anyway! They will simply go out and find an agent that believes in their dream and is willing to tell them that their dreams are going to come true! My suggestion would be to nod and smile and say okay...then take them out to look at properties. They will soon realize on their own that their dream is unrealistic and that they need to lower their expectations in order to find a home that they are happy with.
2. "I'll Call You Later!"
OMG this is the WORST thing a real estate agent can say to a buyer! Real Estate follows the early bird gets the worm concept. When a buyer contacts an agent, that agent will need to start asking questions immediately and take down as much information as possible, even set up an appointment if possible.
Buyers take time to process before they get up the nerve to finally make a huge investment such as buying a home. It takes courage and a sense of resolve for them to take the next step and call a real estate agent. If the real estate agent says they will call the person back later, that buyer is going to feel crushed, angry and they will assume that the agent doesn't care about them, their dream of owning their own home, or the courage that it took to pick up the phone and call. The anger will not last, but neither will the buyer...they will hang up and call another agent and tell the other agent all about the first agent they called that didn't have time for them! If an agent wants to get buyers to go look at properties, their chance to make an appointment is in the first call. If an agent has a lead capture website, then they should check it periodically throughout the day to see if there have been any new contacts and call them up as soon as possible. Studies have shown that agents that make contact within the first 15 minutes have a much higher rate of sales!
3. "You Don't Need That Inspection!"
This one always goes over well with clients...NOT! Buyers will typically ask their agent what inspections the agent thinks that they should do. This puts the real estate agent in a very precarious position because an agent should never tell a client what inspections they should or shouldn't get done. If an agent tells a client they don't need an inspection, the client might wonder what the agent is trying to hide or cover up. The other thing that could happen, is that say the buyer doesn't get the inspection because their trusted agent told them it wasn't necessary. If something comes up after closing, chances are that buyer is going to sue the agent for the damage, and a judge is going to ask why the agent told them they didn't need an inspection that they obviously did need. The best course of action for any agent is to tell the client that they should get any and all inspections that they deem necessary to make them feel secure with their investment. If the buyer pressures the agent for suggestions then a good phrase to use is "In this area buyers will generally get these inspections" and then list the ones that are common in their area. This way the agent is not taking any responsibility, but instead, they are leaving it up to the buyer to make the choice on which inspections to get.
4. "The Seller Will Never Accept That Price!"
Never, Ever, tell a buyer that the seller will not accept the amount they are offering! Not only will the buyer automatically assume the agent is working for the seller and therefore trying to manipulate them into a higher price, but they also will not believe that the seller won't accept their offer. The best thing to do would be to write up the offer and let it get rejected. The next time your buyer wants to place an offer you are sure will be rejected, ask them if they would like to come in at a higher price so that they won't lose this home to a better offer. One of my favorite questions is "What are you willing to pay to make sure that you will get this home, what is it worth to you?" The buyer will go through the process of realizing that they will have to offer more if they want the home. This process should not be forced, let the buyer reach this conclusion on their own, so that they feel like it was their decision, instead of feeling like their agent is bullying or manipulating them.
5. "You Will Never Find A House As Good As This One!"
This one is hard not to say because it is natural for a real estate agent to want to create a sense of motivation and urgency in the buyer to cause them to want to place a competitive offer as soon as possible. The problem with this statement is that if the buyer does place a great offer on the home quickly and it does not get accepted then not only will they be crushed, but they will also get stuck on that home. What I mean by "Getting Stuck" on the home is that every home that the agent shows them after that will be compared to the one they didn't get, and nothing will ever be quite right. Statements such as "Well the other house had a pool" or "Yeah I know this house has a yard, but the other house had that amazing view and that is what I wanted!" These are the buyers that are going to have a really hard time putting an offer on a home because each home will fall short, in their minds, of the original home that their real estate agent told them was the best. Instead of falling into this hopeless situation, try pointing out the selling points of the home and saying something like "This home is beautiful and gets lots of sunlight" or some variation of this, depending on where the home is located. These are safer statements that will endear a buyer to the home, without the intense let down if they don't get their offer accepted.
6. "I Realize That Is What You Want In A Home, But You Can't Have Everything!"
Buyers are notorious for showing up in their agent's office with an idea of what they want in a home, and more often then not they have unrealistic expectations about what they are going to be able to find. This is, however, their dream and it is important that their agent doesn't disillusion them before they have a chance to see for themselves what is out there. If the agent tells the buyer that they have unrealistic expectations, the buyer is going to be angry and resentful of the agent for trampling on their dream. The best thing for the agent to do is to take the buyer out and let them take a look at what is on the market and what homes are available in the area that they are looking to invest in, and they will realize on their own that their expectations are too high. Once they come to this realization they will begin to decide what they can live with and what they can't live without, and soon they will begin placing offers on the homes that fit within that range.
7. "You Won't Be Able To Find A Home In That Price Range!"
Most buyers have a general idea of how much they can afford and, more often then not they don't want to spend that much. Buyers will always be looking for a great deal and they will expect the home to be in perfect condition as well as be a great deal, which usually is not the case. A good idea for most real estate agents is to begin by asking if the buyer is pre-qualified for a loan or how much they are able to invest in property. Whatever you do, DO NOT tell them that they will not be able to find property in that price range! If a real estate agent tells a buyer that they will never find a home in their price range, the buyer will take their business to another agent, and they will buy a home from that agent. The best thing for an agent to do is to take their clients out and show them property and let them go through the process of learning what the true value of real estate is on their own. Let them come to the conclusion that they will need to spend more to get more, on their own. This way when the buyer is ready to buy, they will remember how patient their real estate agent was, and call them up.