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Do your buyers really know how Realtor's work?

By
Real Estate Agent with Coldwell Banker

The most common topic among buyers is not knowing or understanding how Realtors work or get paid. 

Some of the assumptions they make: 

--They must call each Realtor from each property listing and do not realize they can work with one Realtor to show them all properties. 

--They assume you are working for them because you are showing them properties. 

--They drive down the street and see a property they like and call to ask you if they can see it. They have no idea if it is within their budget or parameters they have set in their needs

--There is also the misconception that Realtor's get paid by the company they work for. 

Do not make the mistake of assuming your buyer knows how things work.  One of the most important aspects of being a Realtor is to educate and inform.  You risk the loss of a commission if your buyer does not understand how we work. 

Things to make sure you cover on your initial consultation.

--Explain the buying process to the buyer, and the difference between working for the seller and working for the buyer.

--Discuss the ability to show any home in your MLS area and help them to understand how you get paid.

--Find out their expectations of you and the defined expectations of what they want in a home.

--Make sure they understand your process in sending them listings based on their defined expectations

--Get a buyer agency contract if possible and explain to them the benefits of this contract.

--Determine also if you want to work with them

--Make sure they have discussed their financial situation with their lender and they understand all the details of the type of loan they plan to obtain.

--Remember to use your intuition and safety

By setting all these expectations before hand will save you time, and possible loss of a commission or even that phone call wondering why you didn't send them that property over on Main St to view when the property on Main St is not within their budget or needs.  You will find it very frustrating if you show them 40 houses and they call another Realtor to write the offer or they have not even received an indication the lender can lend them to purchase a home at this time.  HAPPY SELLIING!!

Show All Comments Sort:
Vickie Nagy
Coldwell Banker Residential Real Estate - Palm Springs, CA
Vickie Jean the Palm Springs Condo Queen

Had a buyer contact me wanting a homes public records history (by e-mail). Did so, and asked if I could help her purchase. 'No, we're being relocated and the company is providing a Realtor'.

Jan 11, 2011 04:54 AM
Craig Zuber
Zuber Group Real Estate - Eagle, ID
Eagle Idaho Real Estate

Agreed. It is even harder in these times, but upfront expectations are important.

Keep up the great posts.

Jan 11, 2011 04:56 AM
Cynthia (Cindy) Vogt
Long & Foster Real Estate - Abington, PA

You hit the nail on the head.  Many buyers think the "floor agent" is an employee on duty to show the homes instantly when they call for appointments.  Many people are totally surprised to find out the agent is on total commission, so educating the client up front does help avoid misunderstandings.

Jan 11, 2011 05:03 AM
Tom Braatz Waukesha County Real Estate 262-377-1459
Coldwell Banker - Oconomowoc, WI
Waukesha County Realtor Real Estate agent. SOLD!

Mary Pautz

I do not think that many people really get how hard we actually work to make things happen

Feb 13, 2015 01:48 AM