Should you work with Buyers??

By
Real Estate Sales Representative with Real Living Metro Real Estate

     Alot of people in the industry feel like a successful Realtor is a listing agent and he/she should concentrate only on getting listings because when you have a large inventory of homes you control the market.  My broker suggests that I should NEVER work with buyers and that is for the inexperienced agents.  I am told let them go out and do all the work to sell your home.  It is suggested that I give out all my buyers out as referrals or I hire a buyers agent.  Now for a long time I thought this was wrong and that a buyer can lead to many different opportunities and infact I started my career with buyers so why should I bail out on them now.  However, lately the buyers that are out there have been very confusing to me.  For example they all want to see foreclosures becasue they think its such a great deal then when they find one they like to offer 100,000 to 200,000 below asking, a total low ball offer.  They don't understand that a bank is very cut and dry and do not negotiate very much so all your deals go south the opposite direction of the closing tables.  Second, I have had some buyers having me drive them all over town only for them not to make any decisions or when they do make an offer and we negotiate a deal they get cold feet and back out.  Then I have ones that are very well qualified can afford a large mortgage payment but are so conservative that they want a mortgage that is less than 1/4 of their pay check.  The ones that are not afraid and really go for that mansion on the lake have 20 dollars in their pocket with no funds.   So needless to say I have become very exhausted from buyers and discouraged. I am writing this post to see if anyone has any opinions on this and what their experiences have been with buyers and if they suggest no working with buyers?  With the price of gas we need to start collecting a 500 dollar retainer for those buyers who just like casually looking.

 

Ann Byer

Comments (9)

Gail Lamborn
Bluffs Real Estate and Investment Properties - Jupiter, FL
Broker

Prequalify, Prequalify, Prequalify! That is what saves me from spinning my wheels with bogus buyers and window-shoppers!

Jun 13, 2008 01:12 AM
Brian Schulman
Coldwell Banker Residential Brokerage, Lancaster PA - Lancaster, PA
Lancaster County PA RealEstate Expert 717-951-5552

Ann, a REALTOR with good listings will always do well.  However, in slow times like this, it may be easier to find buyers (looking for bargains) than sellers (not wanting to sell in a slow market).

Jun 13, 2008 01:17 AM
Mike Norvell Sr
Morris Williams Realty - Leesburg, FL
Norvell Consulting Group

Hi...For the record, I have graduated to only working with buyers.

I call them investors, and I have been advocating that every agent should make it thier lifes ambition to seek out investors in your own community and work with them..Investors will save you thru these hard times because they will continue to invest in these times..

I have graduated to much larger investors and that means I now am working on bigger deals. When the banks get worse than they are now, investors as clients will look very good indeed.

Best Wishes

Jun 13, 2008 01:20 AM
Michael Shankman
Award Realty - Las Vegas, NV
Selling Las Vegas 702-498-3383

here in las vegas, you need to work with buyers. i was a listing agent but have changed to buyers now., You can't comptere with the bank repos which make up most of the listings. Unless the seller lowers his price to that of the repos, they won't sell. To survive in business, you need to work with buyers....

Jun 13, 2008 01:26 AM
Ernie Steele
Berkshire Hathaway HomeServices Homesale Realty - Lebanon, PA
Call me, let's get started!!! 717-304-2912

I think there's a happy medium in working with both...Prequalification is a must.

Jun 13, 2008 01:37 AM
Pam Joffe
Solaris Realty - Tampa, FL

Good morning Ann- I like working with both. While I am with buyers I am getting to see what is out there for sale both old and new and helps me understand what is going on in the market.

Jun 13, 2008 01:43 AM
Bob Haywood
McGraw Realtors - Owasso, OK
BobHaywood.com

Ann, last year 90% of my income was from buyers.  This year it seems to be with Listings.  I like working with buyers.  However, you have to do it right.  Make sure BEFORE you ever get in a car that they have a pre-qual letter from a reputable LOCAL lender.  Then (again before going out) help them select the houses they want to see.  I usually limit my buyers to 10 at a time because they run together if you do too many and you'll drive all over creation.  I also keep the listings we're going to be seeing close together so I don't drive too far.  I also have the buyers rank each house in order #1, #2, #3 - and take notes.  At the end of the day, they usually have eliminated listings and narrowed down their search pretty well.  AFter one or two times out, we're usually there!  In regards to foreclosures, just tell your people up front that foreclosures are hard to work with and they're going to have to offer close to asking price.

Jun 13, 2008 01:45 AM
Sonja Priebe
City Realty Inc. - Olympia, WA

I get the point about "get more listing", but I for one really enjoy working with buyers regardless of the extra time and work involved. But I will likely turn no one down.

Sonja

Jun 13, 2008 01:49 AM
Roland Woodworth
eXp Realty - Clarksville, TN
eXp Realty

I will work with a Qualified buyer any day. I just don't want to go giving a free taxi ride all over town

Jun 13, 2008 01:50 AM