Being a realtor is a job that not everyone can handle. Most realtors will work solely for commission, and if they do not close the sale, they do not get paid. This is a struggle that every realtor has had to overcome.
Obviously then, most realtors will try to do whatever they can to avoid a sale from falling through. In many cases it is out of the agent’s control, however, there are some crucial mistakes that can cause the loss of a sale. Here are seven reasons why realtors fail to close the sale.
The home is in a poor neighborhood
The neighborhood a home lands in can change a lot about how well it does on the market. A realtor can market a home to a buyer as ideal, but once they see the neighborhood that home sits in, they may quickly reconsider. Look at Sugar House homes in Utah for a great example of what most buyers are looking for.
The buyer or seller has second thoughts
Second thoughts or cold feet are extremely common in any high pressure situation. Buying a house can be one of the most stressful events in a person’s life, and realtors need to be sensitive to this. Give the buyer space and time and working with the seller closely can help ease everyone’s fears and make the sale happen.
The agent does not understand the business of real estate
Knowing the real estate market and knowing the real estate business are two very different things. It is important that every agent know the difference in order to succeed as a realtor. This means they will not only have knowledge of their market, but they will also be able to work with people to create sales.
The agent failed to follow up
Making the call seems like such an easy step, but it is surprising how common it is for agents to fail to follow up. This not only includes staying in contact with buyers, but also with the seller, home inspector, loan officers and other people working on the sale.
The agent fails to move quickly on the sale
The housing market today is moving very fast in most areas. This means that not only are new homes coming onto the market every day, but each home sale happens very quickly. Realtors need to be prepared to move fast to keep up.
The inspection report was not good
The inspection can be a deal breaker for most buyers. If something negative at all comes up on the inspection report, a buyer can walk away and leave the sale. Having a pre-inspection is the best way to avoid surprises.
The home has a low appraisal value
Appraisal value posted by the bank or other loan institution will sometimes be lower than the agreed upon sale price. Most buyers will demand a lower price after seeing this, which means the seller will often back out. Keep communication lines open and relaxed to allow for a productive negotiation.