A buyer being “interested” isn't an offer. And a verbal promise isn't proof of anything.
Here's something sellers don't hear often enough:
Not every buyer inquiry deserves your attention.
Recently, another agent contacted me about one of my listings. She had a buyer who was supposedly very interested.
The buyer could put 50% down and wanted the seller to finance the remaining balance.
Sounds interesting, right?
Then came the problem.
The buyer didn't want to go to a lender.
As the listing agent, that immediately raised a few questions.
How does the seller know the buyer actually has the money?
What are the proposed financing terms?
What interest rate is being offered?
How long would the seller be receiving payments?
What happens if the buyer stops paying?
When would the transaction close?
What happens during the inspection period?
What are the deposit amounts?
What are the default provisions?
And on and on.
This is why I told the buyer's agent:
“Put it in writing.”
Not a text.
Not a phone call.
Not “my buyer says they'll do this.”
A legitimate written offer with the necessary documentation and terms.
Her response was that she didn't want to waste any time.
That's when I thought:
Wait a minute. You're asking my seller to potentially finance hundreds of thousands of dollars, but you don't want to spend the time putting together a proper offer?
That's not saving time.
That's creating risk.
And yes, I eventually told her:
“This is a big transaction. They're not buying a sandwich at Publix!”
Was that a little blunt?
Absolutely.
Was I frustrated?
Also absolutely.
But the point remains.
Buyers: Your Agent Can Make You Look Good-or Bad
Here's something buyers should understand:
Your Realtor is your representative.
The way your agent communicates with the listing agent can influence how seriously your offer is taken.
A professional buyer's agent knows that a serious offer should answer the seller's basic questions.
At a minimum, that generally means addressing:
Purchase price
Financing
Down payment
Proof of funds
Preapproval /prequalification when applicable
Inspection period
Financing deadlines
Closing date
Deposits
Contingencies
Seller concessions
Special terms
And if you're proposing seller financing?
The details become even more important.
You are asking the seller to become, in effect, part of the financing arrangement.
That's not something you casually throw into an email and expect the seller to say, “Sure!”
Sellers: Don't Confuse Enthusiasm With Qualification
This is equally important for sellers.
When an agent tells you:
“I have a buyer who really wants your house.”
That's nice.
But wanting the house and being able to buy the house are two completely different things.
The seller should want to know:
Can they actually perform?
Where is the money coming from?
How much are they putting down?
Are they financing?
Have they been pre-qualified?
What are the contingencies?
What happens if they can't close?
What are the deadlines?
The strongest offer isn't always the offer with the highest price.
Sometimes it's the offer with the highest probability of actually closing.
Here's the Controversial Part
I believe the real estate industry has gotten too comfortable with casual communication.
Text messages.
“Interested buyers.”
“Verbal offers.”
“Let's see what they'll do.”
“Send me something later.”
That's fine when you're buying a pizza.
It's not how I believe you should conduct a transaction involving hundreds of thousands of dollars.
Professional agents should bring professional offers.
And consumers should expect that from their Realtors.
Choose Your Realtor Carefully
If you're buying a home, don't choose your agent simply because they're friendly, available or willing to show you 20 houses on Saturday.
Ask yourself:
Can this person negotiate?
Can they structure an offer?
Do they understand contracts?
Will the other agent take them seriously?
Do they know how to protect my interests?
Because when the right house finally comes along, you don't want your agent learning on the job.
The Bottom Line
A verbal offer isn't an offer I can put in front of my seller.
“Interested” isn't qualified.
“50% down” isn't proof of funds.
And “I'll send you something later” isn't a strategy.
If you're serious about buying a home, get serious about the person representing you.
Because in real estate...
Professionalism isn't optional.
And no-you're not buying a sandwich at Publix !
| ||||||||||||||
| IMPORTANT. the content of this email and any attachments are confidential. They are intended for the named recipient(s) only. if you have received this email by mistake, please notify the sender immediately and do not disclose the content to anyone or make copies thereof. | ||||||||||||||
No comments:
Post a Comment