Does YOUR buyer know WHO His/Her Agent is ?

I think too many agents are too anxious to jump in a car and go show houses when they should in fact slow down and take the time to explain the home buying process.

GREAT POST! I too train our agents to take the time and interview the buyers similar to what you would do with a seller by making sure that you find out what their main purpose for purchasing is so that you can meet that goal.  During the first meeting we explain the home buying process as well as making sure to get them pre-approved if they are not already.  In our market where there is a ton of inventory and more importantly, constant change in the mortgage guidelines... You want to be sure to spend your time wisely.

That pretty much sums up the difference between a sales person and an agent!

Have learned a lot from the line of comments...thank you all!

Hi Sally and David -- Sound advice, and I have gotten burned several times even after going through all this.  It's a hard business sometimes.

When I first meet with buyers I usually talk to them about agency and explain why they need representation.  The idea of calling a buyer agency contract a free service that enables me to represent them is novel, I will remember that.  I also try to take them and register them at any building sites that I think they might be interested in, so they don't wander in without me later.

I also like the marketing spin that "buyer agency" is an added value service that I can provide for to them for free ...it's true, allows me to truly focus on their wants and needs, and it builds trust in the buyer / agent relationship!

When I have the first contact with a buyer, I go over and have them sign the Consumer Notice.  This way I have explained "agency" to them and that leads me into the discussion of the Buyer Relationship.  As others have said, I generally find out if they have been with other agents and what went on.

I am always amazed at how few agents in my area ever show anyone the Consumer Notice.  This is then my way of letting them know how I operate and what I would expect of them.  Having other agents not do what is required puts me many steps above them in a buyers eyes.  Buyers begin to wonder what else that agent is not telling them.

7 times out of 10, I am able to have them sign the Buyers Relationship agreement.  I too have found that explaining that it is a no fee arrangement softens "the having to some a document" mentality.

My rule of thumb has been that by the second meeting they have sign the Buyers Relationship Agreement and if they have not begun the mortgage process, I can then give recommendations and get the ball rolling.  I also give them several of my business cards so that if they do go to an Open House without me, they can give my card to the agent to let them know who they are working with.

Great post.

This is a great Blog! I have been having a hard time with this and I trust people too much! But the past burns have thickened my skin and this Blog has given me great ideas on how to talk to these buyers the right way and right away!

Honesty is the best way to live your life and it's good for business too.

Sally & David

In PA a Consumer Notice is a document that explains the role an agent has when they are a Sellers Agent, Buyers Agent, Dual Agent, Transaction Agent and Designated Agent.  It also explains that in Pa we have what is called a Real Estate Recovery Fund.  Say an agent in a transaction does financial harm to the buyer/seller.  They can sue the agent and if they cannot recoup the financial damages that were awarded by the court, they can apply to the fund for them.  We as agents in Pa contribute to the fund each year.

We are required by Law to go over this document with a consumer when there is going to be substative discussions.  They sign it as well as I and they keep a copy.  As I said, this is usually done at the first meeting.

It also specifically states that it is not a contract.

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And the loyal bumpkin from the west coast has stopped by -- out of loyalty -- to see how you've been doing and to say Congratulations! on the beautiful golden star.