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Buyers are Like Spouses - Don't Waste Time With Losers!

By
Real Estate Sales Representative with Capstone Washington Real Estate, LLC

Why is it that we're in a buyer's market and getting buyers to buy is like pulling teeth? I see a lot of agents putting just about anyone in their car for a buyer tour, spending hours and hours with them, only to find they were never really "buyers" to begin with. What makes a buyer a buyer? They BUY! Everyone else is window shopping.

I'm sure you'd agree that we all lead busy lifestyles. The number one thing Americans wish they had more of is not money, it's time. So why are we wasting time showing homes to "shoppers" who have no intention of buying? I think part of it is the natural helpful spirit that made us become Realtors in the first place. But I think it's also because we're not taking the time to really categorize people. I don't like to be judgemental but... it's time to be judgemental! What do you get in return for a little judgement? You get time: time with your family, time for your hobbies (remember those?), time to lead generate, time to take a CE class, time for whatever you want to do.

To get started, write a list of all the buyers you're currently working with. All of them - from the guy you have in your car every other day to the guy who told you he's thinking of buying next year. Then rank them according to the following scale:

  • A Buyer:
    • Motivated: Prepared to write an offer today. Their lease is up, their old house sold, the new baby is coming, etc. Something in life is making this person ready to buy right now.
    • Loyal: You know they will only work with you. Don't make assumptions here; actually have the conversation! Show them you are commited to them, tell them how that benefits them, and have them sign a buyer agency agreement!
    • Able: They are financially ready to write an offer today. You've had them pre-qualified through your preferred lender, even if they've already been pre-approved by a brother-in-law!
  • B Buyer:
    • Able: Because no matter how much they want to buy a home, the money matters most!
    • Either motivated OR loyal: After looking at homes for an afternoon you can get loyal people motivated and motivated people loyal - turning them into A buyers!
  • C Buyer:
    • Absolutely everyone else on the planet!

ONLY SHOW HOMES TO "A" AND "B" BUYERS! Now you're going to ask me, "How do I tell someone I won't show them homes?" You just tell them. Tell them you respect both their time and your's and you don't want to waste it. Tell them how you rank your clients and show them exactly what it means. I know an agent who has the A, B and C criteria printed out and asks the buyer to rank themselves! Then he asks them what would have to happen for their ranking to change (either up or down.) This takes the judgemental feel out of it and shows them you are a professional, not a doormat!

PS: You could easily tweak this and make it work for sellers. And never waste time or money listing a C seller again!

If you ever need a referral to southwest Washington, call the JMC Group at 360-609-6775. Or visit the "Contact Us" page of our website at www.MyRealtorIsJamie.com. We are here to help!

Posted by

The S&B Real Estate Team assists people in buying and selling real estate throughout Southwest Washington. We are proud members of Premiere Property Group, LLC in downtown Vancouver. Our local expertise covers: Vancouver, Battle Ground, Camas, Washougal, Brush Prairie, Hockinson, Ridgefield, Woodland and La Center. If you or someone you know is considering living or investing in Clark County, please contact us. Steve Borwieck can be reached at 360-241-7305. Or drop us a note on the “Contact Us” page at www.ppgwashington.com. We are here to help!

Steven Keefe
Coldwell Banker Sky Ridge Realty - Lake Arrowhead, CA

Great Article... I think you are on to something here.  

Jan 30, 2009 05:35 AM
Amanda Christiansen
Christiansen Group Realty (260)704-0843 - Fort Wayne, IN
Christiansen Group Realty

Good points Jamie and I definitely appreciate the honesty.  Question:  How many of those C Buyers become A Buyers?  I get not wasting three hour blocks of your afternoon showing houses to somebody that isn't buying, but to come out and tell them "I won't show you homes"...  Just my thoughts... 

Jan 30, 2009 05:39 AM
S&B Real Estate Team
Capstone Washington Real Estate, LLC - Vancouver, WA

I guess that's why you'd want to ask what would make them change to a B or A buyer. Keep in touch with C buyers of course! Then they know you're there for them when they need you. But if someone is not ready, willing, and able to buy what good does it do anyone to show them homes? Like everything, it's situational. If a friend or acquaintance just wants to "see what's out there" then, yes, I'll take them out!

Jan 30, 2009 05:47 AM
Vickie Nagy
Coldwell Banker Residential Real Estate - Palm Springs, CA
Vickie Jean the Palm Springs Condo Queen

Wow! I really like the idea of showing the buyers the definitions and letting them rank themselves. I'm going to ponder that one.

Jan 30, 2009 05:58 AM
Judy Cicalese
William Raveis Real Estate - New Canaan, CT
Market Knowledge-Social Media Savvy 203-638-7812

Good idea to ask them to rank themselves - not sure I could do that though.  Need to find their motivation absolutely.  Everyone is a looker at some point.  Getting them to answer the key questions about their motivation is critical in this market.

Jan 30, 2009 06:01 AM
Anonymous
Dan

How about this scenario. My family and I relocated from Utah to the Hampton Roads area of Virginia back in November. We were living in military temporary lodging with 2 dogs and 3 kids, no house to sell and let our agent pre-qualify us with her preferred lender...pre-quailifed at 305K (sounds like an "A" buyer to me) and proceeded to spend the next 4 weeks looking at........absolute, over-priced, run-down garbage!!!! Jamie, you sound very passionate about your job and I know that being in the RE business is very trying right now but I really think that it's not all that productive to start slamming potential buyers in this market. Despite the rhetoric it is NOT a buyer's market!!!! And it will not be until the family with a decent credit score and a decent income can afford a home that can fit their famile's needs. Why would I overextend my family's budget when I can RENT that home for a fraction of what my mortgage would be? 

Jan 30, 2009 06:06 AM
#6
S&B Real Estate Team
Capstone Washington Real Estate, LLC - Vancouver, WA

Nameless commenter:

I'm sorry you had a bad experience when you moved. My intention with this posting was never to "slam" anyone. It was about time management and being honest about where time is being wasted. I agree that no one should over-extend their family's budget to become homeowners. I counsel my clients on that often and sometimes it means they stay renters. I'd rather someone rent a place they can afford than buy a place they can't and end up in foreclosure!

Jan 30, 2009 06:50 AM
Ilyce Glink
Think Glink Media - Chicago, IL
Best-selling author, award-winning TV/radio host.

Jamie- I think the ideas in your post are really interesting, and the comments were fascinating to read too. This is what's great about AR-- the dialogue!

Jan 30, 2009 09:49 AM