My mouth gets lonely if my foot doesn't visit at least once a week. Great post!
So true how you never know what a seller (or buyer) will do. In the past I had a seller state he would not make one repair but the buyer could have the home inspection for information only. The inspector found a crack in the bottom of the fiberglass tub....during renegotiations, seller told me he would only repair not replace or buyer can walk (told it couldn't be repaired properly) and buyer said replace or no deal.......
I thought for sure when I told the seller the buyer wanted a new tub he would say "next" and guess what.....he didn't even raise his voice or get angry and agreed to replace the tub. He did a 360 and that experience reminded me to never assume what a seller will/will not do throughout a transaction.
Congratulations on the sale! I am always amazed by what my clients will do, some will walk away over a few hundred dollar difference, while others will agree to what I would consider crazy-low offers! That is part of what makes the job so interesting and challenging I guess!
You just never know what the seller/buyer is really thinking. Thanks for the reminder Elizabeth.
Sometimes we forget our place in the transaction, but I think your reaction was natural. Yesterday I saw a listing agent start screaming at a buyer's agent over $300. I'm so glad to hear that you transaction is closing.
Love it. We all have those...Oooops moments. Fortunately it was with the handling of earnest money, or something far more blatant. Thanks for the reminder. Honesty in this form helps us all.
Thanks for posting.
Jason
Elizabeth, guilty a couple of times. Now I do not say a word till my seller reacts. In fact if an offer comes via e-mail I forward to my sellers and ask them to call me to discuss. It gives them time to think about it on their own before we talk. I found that sellers react to our words and our opinion of the offers made. We should not be part of the decision making. I've had agents tell me don't bother to write a contract if it is below $$$. I am hitting the button on this one and thanks for sharing.
Elizabeth,
So true, we don't know what the seller will do. I share offers and answer IF they ask my opinion. It's up to them what WORKS for them. I support whatever works for them. (Or I don't take the listing in the first place if they are in outer space as far as price point.)
All the best, Michelle
Elizabeth - I've only been in the mortgage industry since 2002 but I have certainly have seen and heard my fair share of unbelievable comments and remarks come out of the mouths of Realtors/agents and their sellers/buyers.
At this point, almost nothing seems to shock or amaze me anymore. Just when I think I have seen and heard it all, something else comes along to tremind me I haven't. Just goes to show, we never really know what our buyers/sellers will or will not do and it would behoove us to remember that more.
Sometimes it is hard to control our instinct reaction to offers. It is always always good to take a moment and then react or if any reaction at all. We have to try not to stand in the way of the transaction.
Elizabeth,
Great reminder..Its not up to us.Even when we no it will never fly we have to go through the motions because you never know !! Congratulations on you closing.
Elizabeth, who hasn't inserted foot in mouth at times? Sometimes our loyalty to our clients gets in the way of good sense. We never know how sellers are going to respond to a real, written offer. Happy that it worked out for you.
What a great reminder! Glad that it worked out in spite of 'foot in mouth'. Also, great post title -- made me want to "click" and read more.
You know once when one of my agents was typing up an offer I was snickering under my breath about the wasted paper and time. The seller took that offer. An offer that seriously I could have bought and tripled my money in two years if I'd torn the house down and just sold the lot. It was a rediculous offer and the seller took it even though our CMA indicated it was worth twice that amount.
So you're right on target when you say we don't know what they will take until the offer is made.
So true that we never really know what they will do. Even if they have taken a stance in the past.
That is great advice! Even if I "think" the seller won't go for a low offer, and after they have instructed me not to present anything under a certain price, I still do it because they may have had a change of heart after it's been listed. Thanks for posting!
I think we do sometimes get so invested in the process that it is easy to forget we are not the decision makers. And seems like most of us have had that experience of being CERTAIN we know what our buyer or seller will do during negotiations, only to find out we are way wrong!
It's hard on both sides. It's hard not to be insulted when you are the listing agent, and sometimes it's embarrising to make the low-ball offer when you're the buyer's agent. I have had buyers make such silly low-ball offers that I really did not want to call the seller's agent. But, SURPRISE! They were excepted! You never know...
We never know what our sellers will do, or won't do! Keeping the offer in play... leaving room to negotiate, that is our job! Great post! Kathy
Elizabeth,
You stated this so well! Most of us have been there with that same feeling even if we didn't let it fall out of our mouths. There are times I would have bet my own career that the seller would not entertain a counter...thank goodness, I let them make the decision.
Margaret
So often agents get overwrought about their role in advocacy for their client.
The fundamental requirement is to faithfully, accurately and timely carry the information to your client for their decision.
Baldly stated, the opinion of the listing agent is neither solicited nor relevant unless and until the seller asks for it. What matters is the present the offer. Predicting your client's behavior is extremely hazardous!
Thank you for the reminder! I know it's meant with the very best intentions but without the crystal ball - and mine is broken - we need to listen more than we talk. I struggle with this daily!
I wouldn't sweat it unless you had left it at that. And, obviously, you didn't.
By the way, I've been in real estate since high school too. =)
Our instincts to "protect" our sellers from what we perceive as unattractive offers is a hard one to keep at bay sometimes. I have a scenario similar to this one that's about to play out. How it will work out, no one knows. As you said, we don't know what our clients are thinking or what they will do.
Elizabeth,
Sacre bleu! Wonderful that you are closing. I probably have only avoided this because I tell everyone to put the offer in writing and I'll find out exactly what the seller will do.
I can't tell you how many times I've heard that from adamant listing agents here. We do have to always remember, however unappealing the offer seems to us, it's not our decision to make.
It is true that you sometimes want to answer for your seller, especially with a lowball offer. There are too many agents that would not think twice about not even presenting the offer if it was too low in their opinion....it is unfortunate. We cannot put ourselves in their shoes, and even though they may tell us at the point of listing what they are willing to do make it happen, you never know until the offer is on the table. Good for you that you recognized that you needed to get out of your own way! Congrats on the closing!
Hi Elizabeth~ Yes, sometimes we lose sight of the fact that we aren't the seller and it is never our decision.
I have worked really hard to watch it, but it's east to think out loud. Congrats on the sale.
Elizabeth, you are absolutely correct. You do not know for certain what tge seller will or will not take! We can't make assumptions!
Congrats on getting it sold. Thank you for the reminder, sometimes it is easy to blurt something that you regret. At least you can swallow your pride and share with the rest of us so we can avoid the same. Thank you!
Elizabeth -- Your reaction was only natural even though you know never to assume how the seller will react. Congrats on getting it closed quickly.
Elizabeth, I love the openness of your post...I believe it is imperative to keep the "me" out of my counseling to clients. I try to give them all of their options and leave them to their decisions. It is not my job to persuade, as much to educate. Very excellent post!
I encourage an offer any offer. I can't presume what my client will do when faced with an offer. If the seller doesn't like the offer, I council to counter.
Oh, yea, been there. I wish I could say I've only failed at keeping my mouth shut on one occasion over the past 20 or so years, but I can't Like you, I DO know better. I think sometimes it's the way you're appraoched. But the key is that you did exactly what you were supposed to do, presented to offer and let the seller decide. Congratulations on the sale..
I love the ending. Sometimes it pays to just shut up and let the Seller make the best decision for themselves.
I love it when a deal comes together. It's great to see that you presented the offer. So many agents THINK they shouldn't.
This is such an honest post. I think you summed it up best when you said, "My fiduciary responsibility is to look out for their best interests, not to dictate the terms of those interests." It is Basic Real Estate 101 and something drilled in us while studying for the license exam that we have to forge through and continue.
Sometimes market price and actual selling price just don't synch up, especially in a situation like this. Sounds like this seller was much more motivated by speed of sale than dollars.
I understand where you are coming from, but I am not sure I agree. I wouldn't feel I was doing my job if all I did was to take the offer, bring it to the seller, and tell him that he could either accept, counter, or reject it. This is not paying me to act as as courier. I do believe in engaging the other party in the negotiation. And to do that, I have to say more than simply "thank you. I will present it and let you know.".
Hope this makes sense.
Elizabeth, it happens to all of us. I'm glad that you recognized your slip and corrected it in time. Also glad that you've got a closing coming.
A closed mouth gathers no foot.
I blew a transaction over another agent demanding small incremental concessions, including a $300 raise in her commissions. I had shown her clients the home, and had procuring cause but didn't say anything. Long past the inspection she kept trying to get more concessions from me until I snapped. She had them cancel. We all lost.
Great post Elizabeth! So true, we have to let the seller speak when the opportunity presents itself and never assume. That is important for agents to keep in mind. Congratulations on your closing and yes sometimes short sales are 10 times the work.
You really never know...some sellers say they will take x, but when that comes in they DON'T, and others say I will never take x, when it comes in the DO!...you just never know!
It's good that you were able to step back and realize the issue and bring the sale to resolution.
Elizabeth, yet another superb post! It's true that you can't take words back once they've been spoken.
It takes a lot of courage to admit a mistake. . .I get so many calls that start like that on my listings .
Elizabeth, congrats on the close! Good post, too! I have seen some of the lowest, dumbest offers EVER work. Buyers often make the low ball offers only to meet the seller at just the right place. Seller never stop surprising me. Best lesson, as you say, is to go with it and see if there is a meeting place.
I think this has happened to most of us, Elizabeth.
I had a listing presentation the other day and reflected on it later in an effort to evaluate myself.
There were a couple of things that came out of my mouth that I wish I could do over.
Got the listing but hopefully I learned something at the same time.
I wouldn't have a problem with that comment if it is prefaced with "I doubt"
I doubt my seller will accept that
I doubt my seller will entertain an offer that low this early
I doubt that we can get this done at that price
I doubt that .....
and ended with "But it never hurts to ask"
I have had the inverse, when I called and said I'm presenting.....and we will consider counters....the listing agent has said...."Oh, they will take that!"
Gary De Pury, SFR
And I am French!
Wow! That just happened to me last evening. I have a new listing and the prospect made a low offer. My jaw hit the ground but I have presented it to the seller and waiting their reply. You really never know what their thoughts are and I am required to submit all offers.
Oh if I had a dime for every time I've heard "my seller won't" before the agent has spoken with the seller....
I have been trained in hostage negotiations by the FBI - and as funny as it may seem that training has served me well in this profession. Never say never. Always try to end on a positive. And never speak for another party. Great post and timely reminder.
Thank you for your honesty and stepping aside...
I have had too many listing agents tell me if it is below $$$ not to bother submitting it....I always ask if they are part owner of the property?
The surprising thing is that the seller will then counter with with a lessor price than I expected!
Eve in Orlando
Even if they tell me what they will do -- swear up and down what they will do -- I still don't know what they will do because I am not them. Isn't it interesting how a seller will tell you one thing and react completely different?
This is a great post. You are very courageous to admit your snap judgment error and correct it immediately. Not only was that the right thing to do, it turned out to generate a commission check for you. Personally, I have run into many, many listing agents who also immediately reject what they deem to be a "lowball" offer. The problem is that they do not correct their mistake. In most cases these listings are still for sale months later....
Liz, I do hate when I suffer from hoof in mouth disease... And if you don't think before you speak it is an easy thing to catch. Really hard to get rid of though.
So completely true and worth reminding ourselves daily. We are not the decision makers we simply bring them together. My standard line is I don't know know what the sellers will take but I'll certainly let them know your offer and we'll go from there.
Love the comment about mouth being lonely without a foot in it weekly!
Josette
Great post Elizabeth. Very similar to sellers immediately wanting to reject lowball offers and not counter for an amout they WOULD accept on a transaction. Glad to hear the deal went through!
I think we've all done that and then regretted it. Then we have to back-track. You never know and it's not about us and our opinion, as you say. It's the two principles involved.
I have learned not to project my feelings onto my clients - No take that back, I'm still learning
Elizabeth:
You were correct to withdraw that comment. We never know what the seller will take for the property. I have sellers that change their mind everyday. They get in a panic and want to sell right away at a lower price. Good luck!
Thanks for being so canded and sharing the lesson learned. Food for thought for us all in the future.
Good post. We can never presume to know what the seller will or won't say. Our job is to present all information known to us to the client. Thanks for the reminder!
Human behavior - still haven't perfected predicting it, so I've stopped trying, shut my mouth, and passed on the information to either the seller or the buyer. You just never know, and it's taken me a while to prove that to myself!
Congrats on the closing and the great post!
I have seen agent ego get in the way several times. We all need to check our ego's and present any and all offers. Work each deal until it closes or the buyer or seller says no.
I have saw some very low offers come in and the seller make a counter offer and end up closing. I have also saw sellers give a lot just to get the deal done. It is their choice not ours.
We have to remember that the concept of "Market Value" is a tricky one. When your seller accepts a bid, he has just established the market value for that property. Buyers and sellers, not Realtors, establish market value.
Elizabeth - I don't know how I missed this blog when you posted it. Duel agency is always tricky. I've done it a few times, but not lately. I do something totally unorthodox when I am representing both buyer and seller. I "try" to get them to agree to meet around a table with me. I begin the dialogue by having them all sign the dual agency disclosure form. I explain in depth what dual agency means. I also tell them that in many transactions, a buyer can only qualify or afford so much, and a seller can only settle for a certain amount. I put every conceivable comp I can find for the property on the table. So all parties can view as they wish. I explain the good news is that because it is a dual agency and I am representing them both, that I am reducing commission from 6% to 5%. I have been successful with that method most of the time.
There are times, like you illustrated, that words simply jump out of our mouths. You're right - we do not always know what a seller will accept, or won't, until written word appears on an offer. I also agree with Thomas McCombs in his comment, "Market Value" is a tricky concept. . .Especially in today's marketplace.
Great advice for listing agents. I always encourage an offer, even a low one. Better to have an offer to counter than no offer at all.
You would think that this is a no brainer but I am sure this has happened to us all at one time or another. I applaud you for recognizing the gaff and taking the necessary steps that allowed the seller to get out from underneath his burden - as somebody up above said, its not always about the money.
Elizabeth, there are a lot of comments, and usually I read comments, but just not enough time, so sorry if I repeat what others have said.
We all do things like that. I also know that even if the Seller says he would not take anythhing below cedrtain number, when you submit the offer, it may often change drastically.
Glad it closed after-all Elizabeth. Congratulations. Sometimes it's just a reaction, but you're right. The sellers might have told you what they wanted but what they'd take could change and does!
Congratulations, glad you were able to close. You said the agent asked you to represent him/her, but you did not mention if you accepted or not prior to speaking with the seller.
That happened to me once - I had an estate property and got an extremely low ball offer - As in, about 1/3 less than the list price.
This is a small town and the buyer had been a friend of the gentleman who had passed on. I didn't know that he also knew the daughters, because they had moved away years ago.
Rather than write it up, I called the sellers with the verbal offer. The answer was "We like Tony, so sure, we'll take that offer."
Elizabeth ~ I liked Doug's comment #2! We do need to step back and not answer for the clients. Often it is difficult to do, especially when we feel we are working in their best interest.
Great points. A lot of times, we take a low offer personally without being un-biased and seeing what the seller might react to it first.
LOL As soon as you say they will or won't do whatever, they will turn around and do exactly opposite of what you just said. Yes, it's best not to go there.
Great ending! Lesson learned and just another reminder that we need to listen and not make others decisions.