Danger Zone: Mixing Biz With Family And Friends.

By
Services for Real Estate Pros with PropertyMinder, Inc.
http://activerain.com/droplet/59KK


Howdy Active Rainers,

The infographic below was designed with a past marketing tip in mind (you can read the original content in it's entirety below the infographic).

As always, we would love to hear your thoughts on anything and everything!
- Tim 

 

 

by Andy Coffaro

We have a feeling that many of your leads are thinking about using a family member or close friend as their next real estate agent. We both know this is a horrible decision, but here are some tips you can forward to them to convey why they should choose you instead.

Let’s paint the picture for you real quick: You’re either buying a new home or selling your current one. It doesn’t matter. You know you need a real estate agent you can trust.

Wait a minute! Isn’t your Aunt Sally a local real estate agent? The same goes for your childhood best friend, Blake. Why would you ever risk going with some agent you found online or in the newspaper when you have trustworthy experts directly at your disposal?

Eh … there are a lot of reasons.

Trust us, we get it. It’s just natural to seek assistance from those closest to us. Sadly, however, family, friends, and real estate just don’t mix.

Here are four reasons why:

 

  1. They tend to tell you what you want to hear

Has a close friend ever asked you if she looked good in a certain outfit and you refrained from giving your true and honest opinion? We all probably have, and this same issue can happen when friends and family are searching through the MLS to find homes they think you want but probably aren’t a good fit.

A neutral real estate agent will tell you her true and honest opinion even if it’s not what you want to hear. That’s exactly what you need for such an endeavor as this.

 

  1. Friendships and kinships can go sour

Have you ever loaned a friend or family member money? He promised to pay you back in a month, but it’s been six weeks and your money is nowhere to be found.

Talk about a quick way to sour a lifelong relationship.
Things can go sideways during a home transaction. It’s just a part of life, but it shouldn’t ruin the special relationship you have with your family member or friend.

Play it safe and hire a neutral party as your real estate agent. Wondering if this neutral party is someone you can trust? Start by checking out her website to get a better feel for her skills.

 

  1. Are your secrets safe?

Everyone has skeletons in the closest, or at the very least, things about their personal lives and finances they’d rather keep under wraps.

There’s a reason many folks spill their guts to a therapist in a way they wouldn’t with a friend or family member. It’s personal information, and when you don’t hire a trusted, local real estate agent, you risk someone blabbing personal info you’d rather not share with others.

 

  1. You’re fired

This one is pretty simple: How are you going to feel if you have to fire a real estate agent that just happens to be your uncle or best friend from graduate school?

It’s not going to be fun, and it’s probably going to be ugly. Best to just avoid it altogether.
Play it safe. Find a local real estate agent with a track record of success. If you are going to consult friends and family (even if they are real estate agents), ask them for referrals instead of their services.

 

Ready to show these leads once and for all why you’re the best option for buying and selling their next home? Let’s get them in the best CRM you’ve ever worked with and start proving to them today why they’d be crazy not to work with you.

 

More marketing advice can be found on our featured
Tip Of The Week Archive & Current Tip Of The Week webpages.

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Topic:
Real Estate Best Practices
Groups:
Active Rain Newbies
More Referrals: Strategies & Tips on Getting More Referrals
Out Of The Box!
Building Your Niche
Buyer Information - What Buyers Need to Know in Today's Market
Tags:
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Rainmaker
1,106,413
Bob "RealMan" Timm
Alliance Real Estate - Minot - Minot, ND
Bob Timm, Broker Associate, Alliance Real Estate

I do a lot more business with Friends being the nearest family is 250 miles away Tim PropertyMinder (AccelerAgent) . I have no fear of working with friends, the RE business is how I met most of them in the first place.

Feb 08, 2018 01:22 PM #1
Rainmaker
307,032
PropertyMinder (AccelerAgent)
PropertyMinder, Inc. - San Jose, CA
Modern Tools for the Modern Agent

That's awesome, Bob "RealMan" Timm! We're thrilled to hear the narratives in the infographic aren't necessarily always the case.  - Tim

Feb 08, 2018 01:24 PM #2
Rainmaker
3,433,116
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

I work well with friends and relatives.  I approach it as a business relationship and ground rules are layed out ahead of time.   Although after 20 years most of my friends and relatives already know the ground rules!

Feb 08, 2018 01:30 PM #3
Rainmaker
307,032
PropertyMinder (AccelerAgent)
PropertyMinder, Inc. - San Jose, CA
Modern Tools for the Modern Agent

Great, William Feela! I'm sure the "ground rules" serve as a powerful deterrent for any negative experiences. - Tim

Feb 08, 2018 01:44 PM #4
Rainmaker
819,682
Carol Williams
U.S.: I specialize in helping agents who have been in the business 2 years or less create a thriving business. - Wenatchee, WA
"Customized Mentoring & Marketing Services"

Hi Tim,
It can definitely be a problem for someone to hire an agent just because they are family and/or friend.  Usually they feel obligated and think it will cause a problem with the relationship if they don't. They aren't necessarily competent, though.  I never shyed away from working with friends and family and, fortunately, never had any negative issues.

Feb 08, 2018 05:20 PM #5
Rainmaker
307,032
PropertyMinder (AccelerAgent)
PropertyMinder, Inc. - San Jose, CA
Modern Tools for the Modern Agent

You're so right, Carol Williams. It seems like it can be a tricky situation. Then again, it may just come down to individual cases (some family and friend dynamics are possibly healthier and more sustainable than others). It's so nice to hear you never experienced any negative stuff! Folks can definitely learn from you (if they don't know that already because of how amazing you are!)  - Tim

Feb 08, 2018 05:33 PM #6
Rainmaker
819,682
Carol Williams
U.S.: I specialize in helping agents who have been in the business 2 years or less create a thriving business. - Wenatchee, WA
"Customized Mentoring & Marketing Services"

Oh Tim... you're giving me a big head!  And thanks for that! 

Feb 08, 2018 05:38 PM #7
Rainmaker
307,032
PropertyMinder (AccelerAgent)
PropertyMinder, Inc. - San Jose, CA
Modern Tools for the Modern Agent

Great! It is well-deserved!! 

Feb 08, 2018 05:55 PM #8
Ambassador
2,628,687
Margaret Rome, Baltimore Maryland
HomeRome Realty 410-530-2400 - Pikesville, MD
Sell Your Home With Margaret Rome

Hi Tim,

Here is my take....

Why wouldn't your friends use you?

Feb 08, 2018 07:34 PM #9
Rainmaker
307,032
PropertyMinder (AccelerAgent)
PropertyMinder, Inc. - San Jose, CA
Modern Tools for the Modern Agent

You made really excellent points and distinctions, Margaret Rome, Baltimore Maryland! Especially:  

Is your friend the very best person to get the job done? Then yes, work them!  If not feel free to say: "I don't work with friends."

Thank you for sharing! - Tim

Feb 09, 2018 10:42 AM #10
Ambassador
2,628,687
Margaret Rome, Baltimore Maryland
HomeRome Realty 410-530-2400 - Pikesville, MD
Sell Your Home With Margaret Rome

PropertyMinder (AccelerAgent)  Hi Tim, This is what I love about AR and real estate. You can see both sides and learn. 

Feb 09, 2018 12:28 PM #11
Rainmaker
2,514,928
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

It’s a tricky thing that you definitely have to watch out for but you always have to be honest with yourself and if it works.

Feb 10, 2018 11:30 PM #12
Rainmaker
307,032
PropertyMinder (AccelerAgent)
PropertyMinder, Inc. - San Jose, CA
Modern Tools for the Modern Agent

I agree 100%, Margaret Rome, Baltimore Maryland - thanks, again! - Tim 

Feb 12, 2018 11:06 AM #13
Rainmaker
307,032
PropertyMinder (AccelerAgent)
PropertyMinder, Inc. - San Jose, CA
Modern Tools for the Modern Agent

You're right, Laura Cerrano - honesty is the best policy. Always. - Tim

Feb 12, 2018 11:06 AM #14
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