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It is Hard to Tell Sellers All of the Truth

By
Real Estate Agent with eXp Realty 2021016812

Scenarios:

  • You the REALTOR®, you walk into a potential listing and the home has a few (hundred) too many items in the house.  What do you say to the seller?
  • The seller wants $75,000 more than the home is worth.  Do you tell them the advice they got from their hairdresser neighbor or uncle from another town is a mile off?
  • The house is dirty, messy and has a bad smell (Big Dog).  Do you say lovely home, I am sure it will sell fast or do you tell it to them straight?
  • The orange bathroom walls and hot pink bedroom carpet is not going to be popular among buyers.  Do you say lovely choice of colors or do you talk about neutralizing?

These are among some of the basics we as REALTORS® deal with on a daily basis.  If you are a professional, you need to be honest and tell them the truth up front.  You also need to be diplomatic and not hurt feelings or insult anyone.  You are speaking about their home.  You are however an expert and they brought you in to help them, not stroke their ego.

Being professional includes preparing clients for the process ahead and keeping them informed.  I tell clients I would rather tell them the truth up front and not stand in front of them three months from now making lame excuses.  A true test of a professional is you ability to say no without insulting someone.  Most people understand no.  What really makes them angry is being mislead and later having to deal with the damages.

We are dealing with the most expensive item in their lives in most cases and we need to treat it as such.

To address clutter, I discuss making the space look as big as we can.  I also talk about what they loved about the home when they bought it and discuss how we can make the home better show that to potential buyers.  We also need to allow buyers to envision the home with their stuff in it.  If the walls are filled with family pictures and shelves have a ton of collectables they will not be able to place themselves in there.  In some cases bringing in a professional stager may be the solution.  If the seller does not except my advice, they may accept it from a staging professional.

The pet question is a big one.  Many pet owners are immune to the smell.  I delicately discuss that many buyers do not have pets and detect the smell easily.  I also mention that many buyers and/or their children have allergies to pet dander and fur.  Hopefully when I begin the discussion, they pick up on it and make it easier for me.

The loud colors I handle with my famous speech about staging.  I tell sellers there is two ways to stage a home.  We can stage it to live in it and we can stage it to sell.  Staging to sell requires that we neutralized and depersonalize.  I have had a few clients resist by telling my how much they love something.  In the most tactful way I can I remind them they are not going to be living here and we need to prepare it for the new owners.  In most cases the sellers have gone with my suggestions and we have had a successful sale.  In two cases they held their guns and the sell price was less than I felt we might have gotten, and it took longer to sell.  In both cases, I gave my professional advice and then accepted the seller's decision.  It is their home and their choice in the end. 

If sellers are completely unreasonable are not willing to price the home within reason or make any effort to make it sellable, I then do the most professional thing I can.  I do not take the listing.  This is hard for most agents to do, but there are times when you will not be able to help them.

In one case where I rejected a listing, the seller respected me for doing it and agreed to my recommendations.  To this day we are good friends and has not only been a repeat client, but has sent me referrals.

Good luck and good selling!

Posted by

 

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Randy L. Prothero, REALTOR®

Broker-in-Charge, ABR, AHWD, CRB, CRS, e-PRO, GRI, MRP, SFR

eXp Realty

Team Leader - "The Prothero Group"

Randy Prothero is well established as an expert in working with military / VA clients and first time home buyers.  His home seller's (listing) campaign is one of the most aggressive marketing programs in the area.  His luxury home listings sell faster and for more money.

Based out of Mililani, Hawaii. Randy services the island of Oahu (Honolulu County) Performs mediations and ombudsman services for the Board of Realtors.  To improve overall professionalism in his area Randy also offers classes for real estate agents. 

www.HawaiiRandy.comOahu (Honolulu County) Property Search  Hawaii Military Relocations

Comments(72)

Pete Jalbert
The Maui Real Estate Team, Inc. - Paia, HI
R(S)

If I am going to spend my time money and energy marketing a property, I don't want to take on properties where the seller is not going to adjust to the market. If a seller has the laundry list of issues above, they need to price accordingly or they need to make efforts to improve the presentation of the home. If I can't have that honest conversation up front, it may be just as hard down the line.

Aug 22, 2008 02:01 PM
Earleene Woods
Keller Williams Experience Realty - Murray, KY
ASP, CRS, GRI

Randy,

You are so right.  I usually use people that I cam only tell them what the market is telling us...or what the market perceives as value.

I also tell them that living in a home on the market is harder than living normally in the home.  It is no longer their home, but a product they are marketing.  When you market a product your job is to make it appeal to as wide of a market as possible.

I also tell them that you want the potential buyers looking at the house and not at family pictures to see if they know who the seller is.  

 

Aug 22, 2008 02:18 PM
Kara Casamassina
International Property Management Group, LLC - Aiken, SC
Boomers and beyond

besides odors/allergies - pets can sometimes make it difficult to set up viewing appointments.  great post, Randy :)

Aug 22, 2008 02:19 PM
Emily Lowe
RE/MAX Homes and Estates, Lipman Group - Nashville, TN
Nashville TN Realtor

Enjoyed reading this post - so many "tactful" ways to handle different things...

Aug 22, 2008 02:38 PM
Linda Breeding
Keller Williams Realty - Pinehurst, NC

Great Post Randy - you are correct in everything you mentioned. Do what we have to do and keep the seller's feelings intact. With "collections" I sometimes tell them we need to box them up for moving because we don't want the buyer's children (or buyers themselves) to accidentally break anything. Works every time!

Aug 22, 2008 03:26 PM
Roland Woodworth
Blue Cord Realty - Clarksville, TN
Blue Cord Realty

Randy... Yes it can be hard some times as the sellers always thing there home is in the best condition

Aug 22, 2008 03:40 PM
Randy L. Prothero
eXp Realty - Hollister, MO
Missouri REALTOR, (808) 384-5645

Pete - I can honestly say, the few times I gave in to the sellers when I knew better; it did not go well.

Earleene - I also let sellers know I am the messenger.  I did not create the market.

Kara - Pets can be a real challenge when selling.

Aug 22, 2008 03:50 PM
Randy L. Prothero
eXp Realty - Hollister, MO
Missouri REALTOR, (808) 384-5645

Emily - Tactful is another name for professional.  :)

Linda - That is a very tactful way of addressing that.

Roland - I remember the lady who thought hers was worth an extra $100,000, because she had all of the original appliances, fixtures and cabinets.  All were in perfect working order.  40 years old and avocado appliances. (True story).  I did not take the listing.

Aug 22, 2008 03:54 PM
Gary Bolen
McCall Realty - South Lake Tahoe, CA
CRS - Lake Tahoe Real Estate Information

a good starter is something  like this, no? "the house has a little pet odor, they had two big mastifs, and three rotweilers, so maybe it's a bit more than a little pet odor, but the good news is they didn't have six goats!"

Aug 22, 2008 04:21 PM
Elaine Reese, REALTOR® in central Ohio
Real Living HER, Powell Ohio - Powell, OH

This reminds me of a listing appt I had this past spring. Seller had originally listed with MLS-only broker and home didn't sell. When I know there are dogs, I always grab a few of Murphy's liver bites and put them in my pocket to become friends with the dogs. We walked through the home first and I noted the items that needed to be done to prepare for sale. I could tell the wife was not in agreement.

Then there were the 3 little dogs who all wore doggie diapers because they hike their legs. Plus, there was the dying 18-yr old cat (really, that's what she said) in the dining room. By this time, I knew I didn't want the listing but went through the formalities anyway.

I placed my winter coat over the back of the kitchen chair while we discussed comps and price. They wanted $285 and I wouldn't go over $239K. Eventually, I told them I didn't see a fit, but wished them well. Proceeded to put my coat on and had my keys fall out of my pocket. It seems one of the little dogs had quietly chewed through my coat to eat the remainder of the liver bits that were there.

So not only did I waste my time that night, but I've got to buy a new coat before winter comes. :-) Doncha' just LOVE this job!

Aug 22, 2008 04:45 PM
LLoyd Nichols
Premier Florida Realty of SWFL - Fort Myers, FL
Southwest Florida Homes By The Sea

Randy: great post. NO matter how much you try to tell the sellers the truth..they have their own ideas.Hopefully, they will wise up.After all they want to sell. 

Aug 22, 2008 05:03 PM
Anonymous
Sherry Sim

Randy, truth is difficult but what needs to be said should be, and could be conveyed gently.  Pricing is crucial and sellers need to be told if they really want to sell.  A tip that I received from a stager is to use the word, "treasures".  Anything that the sellers have could be a treasure, well at least in their perspective, and for that reason, they want to make sure that their treasures are packed nicely, kept away, and ready for the move.  Another tip from the same stager is to advise the sellers to picture their home as a canvas in which potential buyers are going to buy, and why the canvas need to be neat and clean so that the potential buyers will know where and how to place their own stuff. 

Aug 22, 2008 08:13 PM
#64
Tisza Major-Posner
I.V.P.G. - Inland Valley Professional Group - Claremont, CA
DRE#01784679

Hi Randy,

This is an easy one for me and should be an easy one for any Real Estate Professional... heck, it should be a "gimmee" for a Realtor - tell them the TRUTH.  After all, if Great Aunt Edna or Susie the Stylist really were the be all and end all of the Real Estate world then Shouldn't they be the ones entrusted with the sale?

I totally agree with you about not taking the listing if the client's are inflexible.  That doesn't mean that they need to kowtow to my every whim, but it sure as heck does mean that if I start getting that little "Danger Will Robinson" bell going off in my head, I had better listen. 

Thanks for an insightful article.

Take care, help lots of people, have a wonderful day and Aloha!

Tisza

Aug 22, 2008 08:24 PM
Marcia Kramarz
Re/Max Executive Realty - Medway, MA
CDPE,LMC,CBR

Wow - I'm sending this to my agents - GOOD ADVICE all around!

Aug 22, 2008 11:23 PM
Russ Ravary ~ Metro Detroit Realtor call (248) 310-6239
Real Estate One - Commerce, MI
Michigan homes for sale ~ yesmyrealtor@gmail.com

You definitely have to tell people the truth and get it out into the open on what is needed to sell the home.  Never lead them on.

Aug 23, 2008 01:59 AM
Patrick Randles
Nova Home Loans - Tucson, AZ

Take the listing "as-is" and worry about the rest of it later. After you have blitzed the neighborhood with your mailers and flyers, you can try to bring your clients into reality. I am kidding but I had an agent tell me that yesterday. She is new to town and wants some exposure and admittedly, the house will not sell as it is going to be purchased by the Border Patrol (relo?) in 60 days. The power has already been turned off and the house is trashed so she has her work cut out if she wants anything other than a sign in front of a house.

Aug 23, 2008 02:33 AM
Mark Richards
Cherry Creek Properties - Castle Rock, CO
Castle Rock/Denver Real Estate

Good advise.

Aug 23, 2008 03:21 AM
Randy L. Prothero
eXp Realty - Hollister, MO
Missouri REALTOR, (808) 384-5645

Gary B. - I bet they used to have a few cats before the killer dogs ate them.

Elaine - I was thinking there could be a draw back to bringing the doggy snacks.  I didn't think about them wrecking your coat.

Lloyd - I met a seller who asked me what price I thought his home was worth and I gave him a price range.  It was considerably where he thought it should be.  The fact that he had three previous agents, try to sell for that price and fail did not deter him.  Those agents just were not any good. (In his mind)  In my mind their mistake was taken him on as a client.

Aug 23, 2008 07:46 AM
Randy L. Prothero
eXp Realty - Hollister, MO
Missouri REALTOR, (808) 384-5645

Sherry - I thought of something funny when you said treasures.  I was thinking the pirates buried their treasures.  Sherry all joking aside, I like using canvass and treasures.  Very positive and terms a seller can embrace.  Thank you for those pearls.

Tisza - If the warning bells are going off in your head, you really need to pay careful attention.  That is great advice in almost every aspect of our business.

Marcia - Thank you.

Aug 23, 2008 07:52 AM
Randy L. Prothero
eXp Realty - Hollister, MO
Missouri REALTOR, (808) 384-5645

Russ - Unfortunately there are too many folks in the industry that do not always follow that rule.  Some for fear and some are just dishonest.

Patricia - If that is her plan, she better buy a lot of signs.  They will be out on the road for a long time.

Mark & Wendy - Thank you.

Aug 23, 2008 07:54 AM