Special offer

When Do You Break Out That Buyers Agreement?

By
Services for Real Estate Pros with Personal SEO - Website SEO and Real Estate Marketing

buyers agreementWhen do you break out that buyers agreement?

This may be a touchy subject for many agents. I have heard the gamut of responses as when to use one, not use one, where, and why. So when do you stop and say, "hey, how about we look over this buyers agreement before we go any further?"

Do you ever? It's a touchy subject for most buyers agents to bring up. You don't want to scare off the buyer but you also don't want to show this buyer 100 homes for 3 months then have them go out one weekend without you and buy from a listing agent on an open house they just happened to run into. Nothing is more frustrating.

My associates in Alamogordo real estate discuss buyers agency a lot and help those work with their agents in the office on good manners when it comes to this but how do you know when to bring it up at all?

I literally spent 6 months with this couple, looking at homes all over the country. Some homes were 30 miles away from the last house we looked at. In the end they stopped all communication and I assume either went somewhere else or just stopped looking and felt embarrased to tell me. As they should in my opinion.

Another guy, who was my first buyer ever, had me working non-stop on researching houses, asking questions to listing agents and drawing up offer after offer only to bail out at the last minute. Toward the end of the 4 months he finally said, you know, I don't think I want to bbuyers agreement for real estate uy right now. UGGHHH !! Are you kidding me?

So when do you ask for loyalty? After 10 house? Three? Never? When do you decide, this client is not worth my time or my sanity?

I believe we should get to where we can pick and choose our clients. That may sound arrogant but there has to be a time when we stop running around with out head cut off after every potential commission check. I worked with an agent that did 20 deals a year. No more. He worked as hard as he could for those 20 deals, then stopped and spent the rest of the time with his family. He knew what he could live on comfortably and didn't go after anymore. I respected him for this. There are not many who would do this. I may not have..... course I never did 20 deals a year anyway... HA!

Anyway, food for thought today.. Have a productive Day.

Feel free to check out my latest related blogs:

Yes, Mr. Seller, there really is that much wrong with your house

There's always one in the group and sometimes that one is me

Feel free to visit my associates in Alamogordo New Mexico for updates on listings,
buyers information and tips on buying a vacant home.

 

Posted by

Personal SEO Tim and Tammy Emineth

Personal SEO Facebook Page Personal SEO Instagram Page Tammy Emineth Pinterest Page Personal SEO Linkedin Page Linkedin Page

 

Tim and Tammy Emineth have owned Personal SEO since 2004. We focus on SEO first whether it's blogging, images, website design, IDX solutions and calls to action. We operate with a Storybrand philosophy to encourage more traffic to your site, more eyes on your content and more leads to your business. Call us or email us for a free website audit.

Tim: 425-443-8372  Tammy: 425-344-0677

Comments (22)

Tammy Emineth
Personal SEO - Website SEO and Real Estate Marketing - Frenchtown, MT
Content Marketer, SEO Teacher, Website Fixer

65 agent in 8, 000 people!! HOLY COW!! Does anyone have business?!!? I would change jobs or move! HA... that's a tough business Rob!  Good Luck and more power to ya!

Dec 21, 2010 09:33 AM
Glenn Roberts
Retired - Seattle, WA

I'm not perfect at this by any means, but I strive to present it at our first meeting. I set it up with, you know we have a contract to list a seller's property? I also have a contract I use when working with buyers to help assure you, the buyer that you get full service from me, and to assure me that I have an employment contract. 

Along with it I give a signed release form that they only need to sing and return to me if they want to cancel the contract. Seems to work all right. They have a  better understanding of the process.

Dec 21, 2010 09:34 AM
Tammy Emineth
Personal SEO - Website SEO and Real Estate Marketing - Frenchtown, MT
Content Marketer, SEO Teacher, Website Fixer

Carla, interesting that you require that. Ever have clients that don't like that? It's kind of a timid proceedure at least where I was an agent.  Thats GREAT though that you have that in writing and thats just the way it is. Nice :)

Dec 21, 2010 09:34 AM
Stacey Smith
Keller Williams Realty - Aliso Viejo, CA
Your Orange County Beach Cities Realtor

Great blog.. The most successful business people will tell you one the the keys to being successful is realizing you don't have to take help everyone that walks in the door.. I was fortunate to learn that early in my career. But in regards to a BBA if the potiential client is a self proclaimed agent hopper I make it mandatory that they sign a BBA before I take them out to see anything. Also if they are super picky and maybe a skiddish... Just as we have to prove ourselves to them of our competency to help them buy a house they have to prove it to us as well..Than we have to make a sound decision on if that person is worth our time or not and if we they are not let them go and move on to the next.

Dec 21, 2010 09:34 AM
Tammy Emineth
Personal SEO - Website SEO and Real Estate Marketing - Frenchtown, MT
Content Marketer, SEO Teacher, Website Fixer

Glenn,  That's great that its a given that they sign this. In the Seattle area, this was always such a touchy issue to bring up. I mean if you listed with someone that was easy, but guaranteeing they buy from you was like trying to get them to pink swear they will go with you.  If you can do it casually, so much easier! Awesome!

Dec 21, 2010 09:37 AM
Tammy Emineth
Personal SEO - Website SEO and Real Estate Marketing - Frenchtown, MT
Content Marketer, SEO Teacher, Website Fixer

Stacey - So true, glad you learned that early on. I certainly didn't. but how do you tell if someone is a agent hopper? True EQ really helps here (emotional intelligence) and I just didnt' have it back then. It's nice to be able to control who my clients are now and decide how much I really want to work for someone. It's not worth the 24/7 I thought it had to be.

Dec 21, 2010 09:43 AM
Don Reinhard
Itegrity Arizona real estate sales - Lake Havasu City, AZ
928-412-2864

I only want clients that I know are worth my time. Not that I won't offer services to others when needed, but you need to know your limit. If there is a client that is just wasting your time and you start to sense it, it may be time to either sign that contract or move on.

Dec 21, 2010 09:45 AM
Stacey Smith
Keller Williams Realty - Aliso Viejo, CA
Your Orange County Beach Cities Realtor

Tammy-If they are sitting right in front of you bad mouthing another agent or two.. You can only assume that you are now sitting in what was once those very agents that they are bad mouthing spot! Lock them down in a BBA if you choose to work with them or they will be bad mouthing you to another agent down the rode.

Dec 21, 2010 09:46 AM
Tammy Emineth
Personal SEO - Website SEO and Real Estate Marketing - Frenchtown, MT
Content Marketer, SEO Teacher, Website Fixer

HA, Stacy, good point. I will HAVE to find a better way to approach this situation. When the time comes I cannot back down. It's not worth the stress. And you're right, when someone bad mouths others, I know they bad mouth me behind my back

Dec 21, 2010 09:56 AM
Tammy Emineth
Personal SEO - Website SEO and Real Estate Marketing - Frenchtown, MT
Content Marketer, SEO Teacher, Website Fixer

Don, We have to learn our place and when it's aventageous for us to continue with a client or not. I have learned this in my SEO business when I am being compare to other SEO companies. I know what i know and can't deal with others that promise results I know are not obtainable.

Dec 21, 2010 09:57 AM
Bob "RealMan" Timm
Ward County Notary Services - Minot, ND
Owner of Ward Co Notary Services retired RE Broker

Good post Tammy. I did not read all the other comments but for me the best time is the first time they want to look at a house. I usually say that in order for me to show you a property I need to prove to home owners that I do indeed work for you. That's all it's ever taken for me.

Dec 21, 2010 12:37 PM
Rob D. Shepherd
RETIRED - Florence, OR
RETIRED

Tammi I mentioned 65 agents for  8k people. In 2007 when I was president we had 118 agents, The reason I can do well is that only about 15 really work. The rest are there for the coffee and chat.

Dec 21, 2010 03:07 PM
Dawn A Fabiszak
Private Label Realty ( Denver metro area, Colorado - Aurora, CO
The Dawn of a New Real Estate Experience!

Tammy ~ I present the agency agreement as a way for me to represent the buyer; give them guidance, counseling and my opinions.  I become their advocate.  Without an agency agreement, the buyer does receive fair and honest business dealings, but no representation, nor can I negotiate on their behalf.  I'm sure it differs from state to state.

Dec 21, 2010 03:38 PM
Trisha Bush-LeFore
Preferred Properties Land & Homes - Walla Walla, WA
Providing Realtor Services in the Walla Walla Area

Another great blog Tammy. . .I sit my clients down and let them know I expect their loyalty.  They sign nothing. . .Of course it helps in small towns - the pressure is on.

Dec 21, 2010 03:56 PM
Tammy Emineth
Personal SEO - Website SEO and Real Estate Marketing - Frenchtown, MT
Content Marketer, SEO Teacher, Website Fixer

Thats good Bob, glad it can be so simple. It was typically an awkward moment for me.

Dec 21, 2010 11:52 PM
Tammy Emineth
Personal SEO - Website SEO and Real Estate Marketing - Frenchtown, MT
Content Marketer, SEO Teacher, Website Fixer

Rob, I believe that! Only 15 actually doing all the work. Isn't that the case with a lot of things? only about 15% doing the work for the rest... like taxes! LOL

Dec 21, 2010 11:53 PM
Tammy Emineth
Personal SEO - Website SEO and Real Estate Marketing - Frenchtown, MT
Content Marketer, SEO Teacher, Website Fixer

Dawn, is it required in your state? That helps spin it for their benefit for sure. People I ran into just seemed leery about signing anything until they actually purchased something.

Dec 21, 2010 11:54 PM
Tammy Emineth
Personal SEO - Website SEO and Real Estate Marketing - Frenchtown, MT
Content Marketer, SEO Teacher, Website Fixer

Trish, yes, small towns help the loyalty when there is not a lot of competition and they probably felt more at ease not having to sign anything. Verbal agreements when laid out clearly can help put the pressure on them not to go with anyone else.

Dec 21, 2010 11:55 PM
Dawn A Fabiszak
Private Label Realty ( Denver metro area, Colorado - Aurora, CO
The Dawn of a New Real Estate Experience!

Tammy ~ it is not required here at all, but it is preferred.  The agency agreement is not to capture the buyer, it is to allow the agent to give guidance while viewing properties.  To have an open line of communication throughout the transaction, not just at the time they want to buy.  Once a buyer agency is signed the conversations remain confidential between the buyer and the agent and the counseling can begin.  Personally I love them.

Dec 22, 2010 12:46 PM
Gail C. Harris
Resource Network, LLC SFR, AHWD, ACRE, SMAR Board Director - Chesapeake Beach, MD
Reach the BEACH with Gail C. Harris (cell: 703.868

I don't think it's arrogant to pick and choice your clients.  We spend far too many hours of our time not to deal with who we want.  As I get more into the business, if we're not going to respect ourselves and all the hard work we perform, who will?  I still think, as a professional, we should be paid a retainer and a healthy hourly wage.  This paid for by commission is bologne, if you ask me. More and more I think Mollie Wasserman has the right idea.

I like your posts and your style.  :0) Gail

Jan 01, 2011 02:33 PM