They Won't Know if You Don't Tell Them - Setting Client Expectations

As the broker and owner of our company for almost 11 years, I have trained dozens of agents. One of the most important lessons when finessing a real estate transaction from contract to closing is to set the appropriate expectations with clients.

Here are a few quick examples:

"I didn't know they would want me to fix stuff from the inspection."

Part of our job is to inform our seller clients that they will likely have a list of repair items requested from the buyer following the inspection of their home. I try to bring this up during the negotiations on price so there are no surprises (or at least to minimize them).

Conversely, if you know that your client has no interest in dealing with repairs, you should make that abundantly clear with the buyer's agent.

"I was driving around and we found a new home and did a contract with the builder already."

This is never a good feeling. If you have a buyer who purchases a new home with no representation, it is a big-time wasted opportunity AND it doesn't benefit them, either.

Assuming that there are brand-new homes which might be of interest to your buyers, I recommend saying something along these lines, before it is too late:

"I also sell new construction homes. I have worked with almost all of the local builders, and I know which ones to avoid as well. They pay our commission as part of their pricing. The reputable ones will not give you a discount if you have no agent - instead, they simply make a little more money and you have no one looking out for you if things go awry. Even if you end up not liking me, I would recommend getting an agent to help."

Obviously, you can tailor this "script" to meet your needs.

"I have a moving truck waiting to unload my stuff at the house after we close."

I haven't encountered this in a while, but it happens. It's up to the agent to explain to a buyer that there is a difference between closing and funding, and it may be several hours before they "officially" own the house. It could even be the next day.

"I offered full price. How come I didn't get the house?"

Granted, this is a market-specific question. I don't know that you would hear this exact question phrased in this manner, but some buyers don't understand how competitive certain segments and areas are. I had a client earlier this year who had to write 11 offers (lost out on 10 places) to get a house. One offer was for a house priced at $170,000 - we offered $190,000 and did not get it.

Be crystal clear with buyers about what to expect with regard to inventory and competition for good homes. Heck - there is competition for the bad homes, too, at least here in Austin.

Every real estate transaction is a learning experience, and I am still learning after 18+ years in this business. Setting expectations properly will make your sales much smoother and easier, and it is impressive to buyers and sellers alike.

Thanks for reading!