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Why Home Searching is NOT Sight Seeing...

By
Real Estate Broker/Owner with Lola Audu~Audu Real Estate~Grand Rapids, MI Real Estate

Accidental tourist house huntingEarlier in my career, I had a friend who became a client.  Well, a quasi client would be a better descriptive.  My friend LOVED looking at houses.  She spent time in each listing admiring the decor and gathering decorating tips.  She even drove around town searching for more homes for us to preview!  

But it was what she didn't do that determined that she was not a home buyer at all, in fact she was simply taking a sight seeing tour.  Being a brand new REALTOR at the time, it took me a bit of time to recognize the difference.  After all, she was excited about seeing the homes and definitely relished the time spent with me gleaning as much information as possible about how to enhance a property and pertinent details about the community.  

What she didn't do was:

1.  Contact a lender to obtain a pre-approval letter.  EXCUSE:  The looming divorce settlement was not finalized

2.  Create a realistic buget and goal for what she wanted in a home.  EXCUSE: Looking at houses was fun!  

3.  Work on saving money for a down payment or get a real job.  EXCUSE:  That would come later...

As a new REALTOR, I really wanted to help my friend.  I did not want to appear rude.  And, I was hoping that things would fall together so she could finally purchase a home for her family.  But, one day after another round of 'house viewing' that was not really 'house shopping' she remarked that she just 'loved looking at houses with me.'  That's when it dawned on my that this is ALL we were doing.  Looking at houses that is!

Turning to her, I said 'You know what, I am not in the Chauffeur business, I sell houses for a LIVING!  I realized that I had inadvertently become an 'accidental tourist'!  That was the end of our house viewing expeditions.

I still have to remind myself at times of the importance of focus with regards to my real estate practise.  The fact that I genuinely enjoy being with people must be tempered with the restraints of extended conversations & time with every caller or client.  To remain focused, I must use time wisely and determine fairly accurately if a client is 'coachable' or bent on ignoring my counsel.  

I must continually monitor my investment gleaned from my hundreds of hours of study and practise and determine if this expertise will be appropriately utilized to the benefit of the party requesting assistance.  I've learned that failing to do this can lead to burn-out and a lack of availability for those who really need my help and are actually house hunting...not simply house viewing.  

 

Comments(44)

Gary Frimann, CRS, GRI, SRES
Eagle Ridge Realty / Signature Homes & Estates - Gilroy, CA
REALTOR and Broker

Lola, great story from your rookie days.  I think it happens to every newbie, and the n the  light goes on that these folks are never going to buy.  After a few years, we pick up on the signals, and pass them along to rookies.

Aug 25, 2013 02:01 PM
MichelleCherie Carr Crowe .Just Call. 408-252-8900
Get Results Team...Just Call (408) 252-8900! . DRE #00901962 . Licensed to Sell since 1985 . Altas Realty - San Jose, CA
Family Helping Families Buy & Sell Homes 40+ Years

At least you were smart enough to realize the truth, address it and change your behavior. In the meantime you benefited from seeing a lot of inventory.

Aug 25, 2013 05:33 PM
Jon Quist
REALTY EXECUTIVES ARIZONA TERRITORY - Tucson, AZ
Tucson's BUYERS ONLY Realtor since 1996

Even though it can be unpleasant, you need to follow the 'rules'. If they don't get at least a prequal letter, they don't need to be in my car. By now, after 17+ years, I've seen plenty of houses already.

Aug 25, 2013 05:38 PM
Sally K. & David L. Hanson
EXP Realty 414-525-0563 - Brookfield, WI
WI Real Estate Agents - Luxury - Divorce

Tour guides have a wonderful job...just not ours !

Aug 25, 2013 08:03 PM
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

Pre-qualify, pre-qualify, pre-qualify! Really important to do so as not to just be a driver and a door opener. Obviously, somewhat tougher with a friend. If someone is resisting pre-qualificationof any sort, I offer to show three houses. Then that's it. By then you probably have a good feel if they are a real buyer or not.

Aug 25, 2013 08:44 PM
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Congratulations on the featured post . Thank you for the reminder to work with qualified motivated buyers.

Aug 25, 2013 09:04 PM
Jill Sackler
Charles Rutenberg Realty Inc. 516-575-7500 - Long Beach, NY
LI South Shore Real Estate - Broker Associate

Who hasn't been there at least once? You live and learn.

Aug 25, 2013 11:03 PM
Brian Sharkey
SharkeyRE LLC - Singer Island, FL
SharkeyRE

Lola, We like to call them "lookie-Loos" down here in FL

Aug 25, 2013 11:31 PM
Marco Giancola
Beachfront Realty - Miami Beach, FL
Realtor (305)608-1922, Miami Beach Florida

Hey Lola-when I first started out I was happy to be a tour guide/chauffeur to anyone that would get in my beat up car at the time. It didn't take much time though to put an end to that practice:)

Aug 25, 2013 11:34 PM
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

I can recall instantly the eager young buyers who wanted to move and shake but wouldn't follow instructions fondly...We parted

Aug 25, 2013 11:52 PM
Andrew Mooers | 207.532.6573
MOOERS REALTY - Houlton, ME
Northern Maine Real Estate-Aroostook County Broker

Expectations in real estate, you set them when you enable the gypsy buyer who just wants to tour houses.... not buy one. And sellers who say this place is worth seven times what you say it is and you take the listing. Rut rho.

Aug 26, 2013 12:02 AM
Team Honeycutt
Allen Tate - Concord, NC

We have all had experiences like this before. It takes some time to figure out that we have someone who just enjoys looking at homes. I agree that if they are not willing to get prequalified they are probably not serious about purchasing a home.

Betty

Aug 26, 2013 12:11 AM
Richard Bazinet /MBA, CRS, ABR
West USA Realty - Scottsdale, AZ
Phoenix Scottsdale. Sellers, Buyers & Relocations
We have this section in the buyer agreement where we can charge a retainer and a consulting fee before the transaction. That's where you can charge your time and expenses up front. You always have the option to credit back at the time of closing.
Aug 26, 2013 12:36 AM
Jimmy Faulkner
Florida. Homes Realty & Mortgage - Wantagh, NY
The Best Of St. Augustine

Discernment is the key to any good Realtor. It takes time to realize that we are important and that means our time is important. we have all been fooled by certain buyers and even sellers. Great Blog, and thank you for the reminder.

Aug 26, 2013 01:13 AM
Jeff Dowler, CRS
eXp Realty of California, Inc. - Carlsbad, CA
The Southern California Relocation Dude

Lola

Been there done that. Fortunately it's been rare and I am pretty carefule these days to make sure that I query buyers thoroughly to really find out how serious they are. Not getting pre-approved is a huge red flag but I see it all the time.

Jeff

Aug 26, 2013 01:36 AM
Gary Woltal
Keller Williams Realty - Flower Mound, TX
Assoc. Broker Realtor SFR Dallas Ft. Worth

We are not taxi drivers Lola, and I refer to these people as in the HOBBY of looking at houses. Nip it in the bud.

Aug 26, 2013 02:16 AM
George Roth and Don Elliott
Coldwell Banker Bain - Mount Vernon, WA
Real Estate Brokers

We do a few showing appointments, but after that, we politely ask for them to get pre-qualified if they aren't honing in.  Amazing how fast they stop calling!

Aug 26, 2013 04:22 AM
Deb McNeill
Flying M Team Small World Realty Fort Worth, Tx - Fort Worth, TX
Fort Worth Real Estate

I'll do a few trial runs with someone--when time permits---but I won't go out again and again with someone who won't speak to a lender.

Aug 28, 2013 03:26 AM
Pam Graham
All Real Estate Options - Jacksonville, FL
Jacksonville, Clay & St Johns Counties

I'm hoping your friend is still your friend after that. I guess people sometimes don't think about how we get paid, especially if they have never worked a commission type job. They think it's an hourly or salary type gig.

Aug 31, 2013 03:28 AM
Kate Elim
Dockside Realty - Spotsylvania, VA
Realtor 540-226-1964, Selling Homes & Land a

Hi Lola...The one good thing that came out of that was the fact that you were previewing homes. As a newer agent at the time that was probably helpful. We have only so much time and energy and we have to use it judiciously. That was a good lesson for you to learn.

Kate

Sep 01, 2013 12:15 PM