© 2011 Cengage Learning
Working with Buyers
Chapter 6
© 2011 Cengage Learning
RATIONALE FOR CHAPTER
•
•
Agents must become skilled in preparing
to work with buyers.
They must show them property that is
appropriate for their needs and learn
how to write effective purchase
agreements.
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Focus of Presentation
Buyers come from many sources so you
must examine the most effective ways to
acquire a constant supply of new buyers.
Many buyers are reluctant to give their
names to an agent.
The primary reason is a perceived lack
of credibility on the part of the agent.
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Focus of Presentation
This chapter presents an opportunity to
learn how to handle ad and sign calls
through role-playing.
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CHAPTER SIX OUTLINE
6.1 SOURCES OF BUYERS
6.2 THE FIRST APPOINTMENT
6.3 PREAPPROVED FOR FINANCING
6.4 AGENCY DISCLOSURE
6.5 BUYER/BROKER AGREEMENT
6.6 TIPS ON SHOWING PROPERTY
6.7 BUYING SIGNALS
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SOURCES OF BUYERS
Importance of having a on-going
knowledge of the listing inventory in your
primary marketing area.
Different sources available for obtaining
buyers.
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SOURCES OF BUYERS
Switch properties and why they are
important.
State of mind of the average buyer who
calls to get information (i.e. fear,
reluctance to give a name, etc.).
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SOURCES OF BUYERS
Differences between sign calls and ad
calls
how to handle each one
Referred buyers vs. ad or sign call
buyers
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THE FIRST APPOINTMENT
Agent safety when meeting buyers for
the first time.
Buyer needs assessment prior to or at
the first meeting.
After the initial greeting and cordialities,
most of your conversation should be in
the form of questions.
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THE FIRST APPOINTMENT
Proper use of a Client Information Sheet.
Think about the benefit to the agent and
the buyers of the agent asking the
buyers for feedback on each home after
they view it.
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FINANCING PREAPPROVAL
Loan pre-approval process.
Pre-qualify buyers when a loan agent is
not available.
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FINANCING PREAPPROVAL
Different loan requirements of an employee
vs. a self-employed person.
Pre-qualifying a buyer or getting him or her
pre-approved negates the possibility of
selling the customer a home they cannot
qualify for!
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FINANCING PREAPPROVAL
Determining how much total cash the
buyer has available for purchase
including money for closing costs.
Think about the importance of telling the
buyers ahead of time the three things
that can happen:
Rejection
Acceptance
Counter offer
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FINANCING PREAPPROVAL
Dual role of an agent in prequalification:
what they can afford
what the buyer really wants in a home
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AGENCY DISCLOSURE
Proper time to present the agency
disclosure form.
Dual agency.
What is prior informed consent of all
parties?
What are agent’s boundaries in a dual
agency situation and how to handle
them.
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BUYER/BROKER
AGREEMENT
Timing of presenting the buyer/broker
agreement.
Method of showing the benefit of the
agreement to the buyer.
How to work with buyers when they will
not sign a buyer/broker agreement, and
the negative issues that can arise.
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TIPS ON SHOWING
PROPERTY
Various issues that must be explored
when Pre-qualifying buyers, such as:
do they have a home to sell first?
are they financing their purchase?
have they been Pre-approved?
what does their dream house look like?
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TIPS ON SHOWING
PROPERTY
All motivated buyers have “hot buttons.”
Think about how to elicit these hidden
desires through questioning, and what
non-verbal signs to look for.
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TIPS ON SHOWING
PROPERTY
Benefits of being fully prepared
know the inventory
know the neighborhood issues
location of places of worship
shopping centers
Schools
recreational facilities, etc.
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TIPS ON SHOWING
PROPERTY
Importance of staying reasonably within
the buyers’ price range when showing
them property and really listening to the
buyers’ desires and only showing them
properties that are reasonably close to
meeting those desires.
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TIPS ON SHOWING
PROPERTY
Revisit fair housing and ethical issues.
Proper way to view a home (they lead,
the agent follows).
Importance of creating ambiance in each
home the agents show to buyers.
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TIPS ON SHOWING
PROPERTY
Importance of watching buyers for signs
of fatigue and how to handle it.
How to handle the “friend” that buyers
sometimes bring along.
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BUYING SIGNALS
Importance of letting the buyers lead as
they view each property while the agent
stays behind and watch for the buyers’
reaction to what they see.
Do you have any personal anecdotes?
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BUYING SIGNALS
Importance of asking open-end
questions when buying signs are
observed and the difference between
verbal and non-verbal buying signs.
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BUYING SIGNALS
How to involve the buyers’ children in the
home buying process, if they accompany
the parents.
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BUYING SIGNALS
The text, page 181, contains a section
on Rules of Professional Conduct.
Have you ever had a problem with
another agent violating any of the rules?
© 2011 Cengage Learning