Special offer

Emotions and Principles...What are their roles in the real estate transaction?

By
Real Estate Agent with Judy Burkett Realtors

 

 "Shannon, we are not moving forward with this house.  We know the value is there,it is the best house we have seen, it is in the right area and it is well within our price range.  We just feel that the sellers are not negotiating enough....it is just the principle of the matter."

Definitions of principle on the Web:

a basic generalization that is accepted as true and that can be used as a basis for reasoning or conduct; "their principles of composition characterized all their works"

  • a rule or standard especially of good behavior; "a man of principle"; "he will not violate his principles"
  • rule of personal conduct
  • wordnet.princeton.edu/perl/webwn

 Is there transient value in the principle of a situation?  At what point does pride,honor and a sense of fair play become a hindrance to your goals?  When do you stand your perceived ground and at what cost do you become unyielding on what seems to be a character value in the other party to your real estate transaction?

Let me start by saying that the above questions do not pertain to a seller who is trying to defraud the buyer or is misleading the agent or buyer in anyway.  I am speaking only in the context of negotiating a price,terms,repairs, etc that are within the realm of realistic expectations for our market and within that situation the principle argument becomes an issue.  It is this instance where I believe that principles and emotions becomes a stumbling block to the goals that buyers and their agents are trying to reach. 

I, as an Exclusive Buyer's Representative have a duty to my clients to gently remove this obstacle from their path.  To put it bluntly, your goal as a buyer is not to "teach" the seller your principals or to make a stand for your principals in general.  Your goal as a buyer at this juncture is to obtain the home that you and your family want and deserve, at a price that is at market and terms that meet your needs.  That is your goal and my JOB. 

So here is my answer to above comment:

"Mr. and Mrs. Buyer, I understand that you feel the seller is being somewhat unyielding on (what ever the problem is) but let me ask you this.... If this is the house for you,the price is at or below market and the terms are reasonable why would you allow someone who has no personal ties to you dictate your family's housing needs?  When we close  on this house next month, your relationship with the seller is over and done with and in the long run you will have won because you and your family got the home you wanted and deserved.   Isn't that the principal of the matter?" 

 

 

Tricia Jumonville
Bradfield Properties - Georgetown, TX
Texas REALTOR , Agent With Horse Sense

I love it!  I absolutely love it!  Isn't that really the bottom line in every house purchase?  Sometimes you do just have to point out the reality of the situation with them, particularly when they get caught up in an adversarial attitude rather than one that serves their best interests. 

 

Feb 12, 2007 01:14 PM
Martin Rodriguez
Pacific Funding - Valencia, CA
Senior Loan Consultant

Shannon

Good post,  Not sure if you saw Jeff Turners post earlier this week on a similar topic on how emotions play into the equation from both the buyers and the sellers perspective.  http://activerain.com/blogsview/44170/Sex-And-Real-Estate

If you look a Jeff Turners blogs (he's an amazing writer) you'll find a follow up post that he did on bloodhound blogsite called http://www.bloodhoundrealty.com/BloodhoundBlog/?p=1036 would you leave me at the altar.   In this article he talks about the realtors responsibility to tell the buyer NO to a house they really want to buy..

I thought I'd recommend these two posts because they touch on the same issues you discuss in this blog. 

Your focus is right on target..

Nice post.

Martin

Feb 15, 2007 05:41 PM
Shannon Sims
Judy Burkett Realtors - Baton Rouge, LA

Tricia- exactly!  I believe the ability to advise the client on this level is what sets us apart from the herd.

Martin-I do read Jeff's blog, you are right he is an amazing writer.  I did not see that particular post however.  I am going to check it out right now.  Thanks for the tip!

Feb 16, 2007 10:40 PM
Alexander Harb
Knights Investing - Mesquite, TX
Dallas, Texas Real Estate Investing

Integrity goes hand in hand with leading a principled life...... for instance if you SAY you are a certain type of person which implies a certain lifestyle...and your life (your actions) don't line up with it.... you have violated your principles in life.....

And people will see you as a hypocrite...... sellers AND buyers can be like that......unfortunately.

More seriously, so can agents......and loan officers.....etc...etc...

To know the other professional you are doing business with is above board and honest is a calming thing in life. 

Our clients deserve no less from us...to guide them in what is BEST for them...to represent them in THEIR best interest.

That is why it is so important to make sure the people you do business with HAVE integrity... your clients will get the best deals...and they will LOVE you for it.......

And your future business dealings will be secure if you deal with people who have integrity.....  =-D

I know this comment MIGHT be a little off subject, but I felt I HAD to post it..... just a little rant....  ;-D

Feb 25, 2007 04:18 PM
Shannon Sims
Judy Burkett Realtors - Baton Rouge, LA
Alexander- Not off subject at all.  I agree with you totally like the saying goes...the chain is only as strong as the weakest link.  If you are not referring to professionals of high integrity then you will become questionable yourself.
Feb 26, 2007 03:56 AM
Alexander Harb
Knights Investing - Mesquite, TX
Dallas, Texas Real Estate Investing

THANKS Shannon.... I am SO glad you agree with me...... TOO many people in this business tend to "look the other way" when agents, vendors etc have a dual life..... and then the hidden side comes out in public.......

Instead of calling the person out and telling them..."Hey this is NOT right......I thought you lived like........THIS over here like YOU told everyone....." 

=-P

The people with the hidden part of their life that is unseemly will just keep going with NOTHING or NO-ONE to show them the error of their ways.....and it will eventually seep into their professional life too.....causing LOTS of embarassment to those who are around them that THINK they did NOT have a hidden side.

I am glad I have been seeing the people around me that are like that...and I am distancing myself from them.......and I am clinging to those who have integrity in thier lives...professional AND personal....

As the bible says,"You will know them by their fruit in life."

 

Feb 26, 2007 05:39 AM
Dana Hollish Hill
Hollish Hill Group, JPAR Stellar Living - Bethesda, MD
REALTOR * Broker * Coach
Yes. Great post!
Apr 01, 2007 03:56 PM
Shannon Sims
Judy Burkett Realtors - Baton Rouge, LA
Dana- Thanks, have a great week.
Apr 04, 2007 08:20 AM