The thought of buying a house isn’t an overnight process. The idea of investing in real estate property of any kind comes with the personal struggle of manifesting a way to finally be a homeowner. Thanks to the realtors’ good real estate sales and branding strategies, clients are more confident and keep exploring more options until they find the right fit that matches their expectations. Homebuyers have become more informed about real estate sales and transaction procedures nowadays, which is a good practice, but they fail to focus on the legal parameters. Here’s when the real estate agent needs to help the client to make them aware of unknown facts, manage client expectations wisely and handle real estate sales smoothly.
Client expectations go for fantasy shopping all the properties and saving them on their bucket list every time they visit a real estate website. It’s natural to get aspirations and keep hopes high, especially when client expectations meet most real estate sales criteria for attaining a property.
When first-time homebuyers approach you for a particular real estate property of interest, it is necessary to understand their viewpoints and their expectations. The following ways can help you manage client expectations and enable clients to buy their dream homes.
The money angle in real estate sales
Many homebuyers are confident that they meet most of the financial requirements only to realise that a thorough pre-approval process from a bank is required to understand what amount you are dealing with. While the duty of the client is to know their ability, as an agent, it’s a good head start for real estate sales as you direct your investors properly.
Understand your client’s expectations
Most homebuyers are emotionally inclined to their home-buying needs that forget to have a rational approach. Some clients are influenced by watching reality television shows about real estate sales. It’s important to ask what client expectations are, and you can address problems before their assumptions get out of hand.
Misleading information on the internet regarding property is the biggest threat to real estate sales. A lot of information on the internet can be tricky unless and until it’s cross-checked with the concerned authorities. The chances of losing a client have significantly increased as many ill-informed clients don’t realise the realistic and fair market value. Potential homebuyers shouldn’t focus on national trends, as prices vary between states and neighbouring cities as per their ongoing real estate laws.
Build trust with clients
Most often, as a real estate agent, you focus on the numbers, abide by all rules, and ensure your clients abide by them. The client is often completely clueless and gets cold feet during the real estate sales process. As their advisor, it’s important to empathise with your client in such situations. Understanding their monetary needs, clearing their misunderstandings, and assuring them that you are with them through the entire real estate sales process helps clear their minds. They will look out to you whenever they want to crosscheck their facts. You can inform them well in advance about ongoing real estate market trends and ask them to cross-check later. This way, they know they have hired the best real estate agent that understands their expectations.
Recently found an article focusing on business strategies to expand clientele. You might have heard of the terms “Under-promise and over-deliver”? This idea fits perfectly when working with a real estate client. Honesty in delivering what is promised is very well appreciated. Overpromising and being unable to provide the same can be a drastic downhill ride. For example, you may provide your ideas on how the best use of the space can be done and how the space can be expanded, but make clear that it’s only a suggestion and not what you promise to deliver during the handover of a real estate property.
One step at a time
- It’s easy to understand your client’s expectations, provide the necessary listings, and guide the client in the buying process, but what’s more important is to set the correct real estate sales picture for them. Sometimes considering your client’s expectations will help them rely on you more. It helps to know that you have their best interests. Hence, before doing any kind of negotiation, it allows you to brief them about a few fundamentals they might not have known. This involves doing a basic math check.
- Calculate the debt-to-income (DTI) ratio. Use the DTI ratio to determine what your client can afford to spend. This helps them make more informed choices about their expenditure if they apply for a loan. Let the clients do their math too. Maintaining a good credit record is one of the other factors for being qualified for a loan.
- Including expenses like inspection reports, repairs, closing costs, insurance taxes, and other expenses which are not part of the property sale rate. This ensures that the client considers the factors and understands the sale rates.
- Taking advice from industry experts (In this case, you are a higher authority if you work under someone). You can always ask your client for a second opinion if there’s a need, as many clients need help to believe that the reality is different from their expectations.
When you are authentic, informative, helpful, honest, and dignified in your approach, you have the upper hand at managing client expectations and be their light at the end of the tunnel in their hopes of finding their dreamy abode backed by the REAL-ities of Real estate sales and market trends.