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Handshake Agreement - Does it carry any weight?

By
Real Estate Agent with Charles Rutenberg Realty Inc. 516-575-7500 NRDS ID#641625055

Handshake Agreement - Does it carry any weight?

 

In this hypothetical scenario, you and another party have reached a meeting of the minds. Is it enough to shake hands and say you agree?  Well, according to a NAR survey, which I was unable to find, but I'm told exists, that depends on whether you're a man or woman.  handshake

Findings show that a woman who shakes hands over a transaction but later changes her mind, suffers no disquiet whatsoever, in apparent contrast to the reaction from men.

This phenomenon was demonstrated in a training session I attended and taught by a motivational speaker. I was the first female in the room asked how I would feel under the above-described circumstances and the only one to respond, "it would kill me." I was amazed to learn that this is considered an unusual response. Apparently, many women see nothing wrong with changing their minds after a handshake, even when this amounts to essentially killing the deal. The instructor suggested I may have adopted this sensibility if I were raised in a predominantly male household (I wasn't). I have no comprehension as to why I think the way I do. However, I did get a good laugh when, several days later, this hypothetical situation became real.

I was holding an open house when two unaccompanied female investors came in to look. They became so excited about the property, they immediately started discussing the price. They initiated a handshake, gave me their agent's card (a family member, not present, but that's another post) and assured me several times the agent would be in touch the next day. When I didn't hear from the agent, as promised, I called him to check on whether an offer was forthcoming. He said he thought the ladies had changed their minds and that was the last I heard from any of them.

The timing of this situation was perfect. I would not have believed the survey results otherwise. Coming so close on the heels of our instructional example, I learned firsthand that there is, indeed, a gender difference in the weight of a handshake agreement.

Posted by

Jill Sackler

 

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ABOUT THE AUTHOR: Graduate REALTOR Institute 

Jill Sackler, NYS Real Estate Broker Associate based on Long Island's South Shore
 
 

Sunny Isles, Fl 

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Comments(26)

Jill Sackler
Charles Rutenberg Realty Inc. 516-575-7500 - Long Beach, NY
LI South Shore Real Estate - Broker Associate

Thank you Chris and Dick. I appreciate your kind words. It's a shame that society has changed so.

Jan 04, 2013 02:29 AM
Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

HI Jill....interesting post.... too bad women have that label....most have no business sense????? 

Jan 04, 2013 02:35 AM
Jill Sackler
Charles Rutenberg Realty Inc. 516-575-7500 - Long Beach, NY
LI South Shore Real Estate - Broker Associate

Hi Barbara - say it isn't so...we have enough stereotypes to contend with.

Jan 04, 2013 02:45 AM
Joe Petrowsky
Mortgage Consultant, Right Trac Financial Group, Inc. NMLS # 2709 - Manchester, CT
Your Mortgage Consultant for Life

It all depends on who's hand I am shaking. I have purchased a lot of real estate over the years on a handshake and continue to do it even today. In buying real estate that is bank owned, that is not going to happen.

Jan 04, 2013 03:42 AM
Glenn Freezman
Family Abstract, Inc. - Horsham, PA

Man or woman, I wish it still existed.  i'd rather do it with a hand shake, verbally or even toasting a drink.  but that's just me.

Jan 05, 2013 10:06 AM
Jill Sackler
Charles Rutenberg Realty Inc. 516-575-7500 - Long Beach, NY
LI South Shore Real Estate - Broker Associate

Joe, that's impressive that it still works for you.

Glenn, that's just me too.

Jan 05, 2013 10:50 PM
Connie Harvey
Pilkerton Realtors - Brentwood, TN
Realtor - Nashville TN Real Estate

Jill, it's odd how I have mixed feelings on this. I agree. A handshake over a deal is a deal. However, I didn't thnk of the investors as actually making a deal to write an offer. Hmmmm

Jan 06, 2013 04:16 AM
Jill Sackler
Charles Rutenberg Realty Inc. 516-575-7500 - Long Beach, NY
LI South Shore Real Estate - Broker Associate

Connie, if you had been present, it would have been perfectly clear to you that there was no mistaking their intent. It wasn't a thank you for showing us the property or glad to meet you and hope we can do business in the future handshake, It was a "this is perfect, we want to move forward with this, will the sellers accept our offer of 330k, you'll definitely hear from our agent tomorrow" handshake. They were grinning from ear to ear in marked contrast to how they entered the house and seemed incredibly happy to have found what they were searching for.

Jan 06, 2013 07:31 AM
Roy Kelley
Retired - Gaithersburg, MD

I was in the business when a handshake confirmed a transaction. Times have changed.

Jan 07, 2013 05:20 AM
Mary Yonkers
Alan Kells School of Real Estate/Howard Hanna Real Estate - Erie, PA
Erie/PA Real Estate Instructor

Jill, I agree that times have changed not matter the gender.  Even, Roy Kelly, an attorney, says, 'Get it in writing.'

Jan 07, 2013 10:36 AM
Gail Robinson
William Raveis Real Estate - Southport, CT
CRS, GRI, e-PRO Fairfield County, CT

Jill - Isn't it a woman's perogative?  Some cultural traditions die hard.  In the past most business was conducted by men and much of it was done on a handshake.  While there are fewer differences between men and women these days, I think the vestiges of gender-specific behaviors still remain.  It's interesting to note that in residential real estate NOTHING is done on a handshake, but in the male dominated world of commercial real estate most deals begin with a handshake and it isn't until much further down the line that hard money and legal contracts come into play.  I do both residential and commercial, so I see the differences.  In commercial real estate it takes a long time to build relationshps with other agents and your reputation can be destroyed in one deal.  You have to be handshake worthy or you can't work in commercial real estate.

Jan 07, 2013 10:42 AM
Jill Sackler
Charles Rutenberg Realty Inc. 516-575-7500 - Long Beach, NY
LI South Shore Real Estate - Broker Associate

Absolutely, Mary. I wouldn't dream of doing it any other way.

Gail - I didn't realize that about commercial sales. That was very informative.

Jan 07, 2013 10:58 AM
Debbie Reynolds, C21 Platinum Properties
Platinum Properties- (931)771-9070 - Clarksville, TN
The Dedicated Clarksville TN Realtor-(931)320-6730

Jill, I am stopping in from Cindy's post to say hello. I wish some things were like they were in the handshake era.

Jan 07, 2013 11:16 AM
Jill Sackler
Charles Rutenberg Realty Inc. 516-575-7500 - Long Beach, NY
LI South Shore Real Estate - Broker Associate

Thank you for stopping by, Debbie. It's interesting to hear from people who saw business done both ways.

Jan 07, 2013 10:59 PM
Pacita Dimacali
Alain Pinel - Oakland, CA
Alameda/Contra Costa Counties CA

Jill

Interesting...does this perhaps have anything to do with the oft-repeated comment about women having the propensity, and possibly the right, to change their minds? Are we perpertuating a myth and if so, using it to our advantage?

In today's business climate, the only way to do business is to get it in writing!

 

Jan 08, 2013 04:41 AM
Jill Sackler
Charles Rutenberg Realty Inc. 516-575-7500 - Long Beach, NY
LI South Shore Real Estate - Broker Associate

Pacita - I think you're on to something. If this is, indeed, true, then it's because women feel they can get away with it.

Jan 08, 2013 09:56 PM
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Jill, rather surprised by the normal - as I would be crushed too.    My word/handshake is as good as something in wiriting.

Jan 09, 2013 10:02 PM
Shar Sitter
Rooms With Style - Minneapolis, MN
Home Staging and Redesign Minneapolis/ St. Paul, M

I held my landlord to a handshake deal and he honored it. I would have done the same and it shows a stand-up person. 

Jan 10, 2013 09:05 AM
Suesan Jenifer Therriault
JTHIS-Professional Home Inspection Team - Blakeslee, PA
"Inspecting every purchase as if it were my own".

I believe that a handshake deal is a binding agreement, at least on my part. I don't understand why the speaker thinks women who feel this way grew up in a male predominate house. I was raised as an only child. 

Jan 12, 2013 08:00 AM
Michael Therriault
Michael Therriault Contracting - M.T. Contracting - Blakeslee, PA
The name to remember when you want it done right.

I agree with everyone else. A handshake agreement is as much binding as anything else. If I can't take you at your word, how do I know your going to honor something in writing without being chased. 

Jan 12, 2013 11:01 AM